BRUSSELS -
By 30 April 2021 at the latest, governments will have to present recovery plans that contain the reforms indicated in the EU recommendations of 2019 and 2020,
and projects on clean technologies and renewable sources, energy efficiency of buildings, extension of public transport, broadband , fiber and 5G, digitalisation of public administration, strengthening of digital skills for all ages:
the EU Commission writes in the guidelines for the use of the Recovery fund, underlining how the plans must "increase economic potential, create jobs and strengthen resilience ".
The guide "aims to help states to prepare high-quality national plans in line with common objectives. Not only so that the funds can arrive as soon as possible, but also so that they are the impetus for a real transformation", said the commissioner to the Economics Paolo Gentiloni.
In the guidelines, the Commission illustrates the "transparent" criteria with which it will evaluate the recovery plans.
In particular, "it will consider whether investments and reforms effectively contribute to addressing the challenges identified in the country-specific recommendations, whether they contain measures that help the green and digital transition, and whether they contribute to strengthening growth potential, job creation of work and social and economic resilience ".
The recovery funds "are consistent with a broad concept of investment in capital formation, that is fixed capital, such as infrastructures, buildings, but also research and development, therefore patents or software. Human capital, that is expenditure on health, social protection, education, training. And natural capital, that is, an increase in renewable energy sources, environmental protection or adaptation to climate change ".
The reforms must include those actions that have a "lasting improvement in the functioning of markets, institutional structures, public administrations", continues Brussels.
The Commission's assessment will have to be approved by the Council in an 'ad hoc' decision.
Given the very close link between the Recovery plan and the EU recommendations of past years, the Commission will not present new recommendations in May 2021 for those countries that have submitted their plans.
"Progress on reforms and investments will be measured through targets", set by the States themselves in agreement with the Commission, and "must be realistic, clear, well defined, verifiable, and directly determined or influenced by public policies. On the basis of completion of the targets indicated in the plan, the States will submit a request to the Commission for the disbursement of financial support ", explains the EU communication.
The Commission will then prepare an evaluation which it will submit to the Ecofin Sherpas.
In exceptional circumstances, if a state considers that there are serious deviations from the plan, it can request the intervention of the European Council and the Commission can block the disbursement.
