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Demand-side innovation policies: public procurement of innovation June 2011 call for proposals

Demand-side innovation policies: public procurement of innovation June 2011 call for proposals. Dr. Bertrand Wert, Policy Officer bertrand.wert@ec.europa.eu Industrial Innovation Policy Development.

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Demand-side innovation policies: public procurement of innovation June 2011 call for proposals

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  1. Demand-side innovation policies:public procurement of innovationJune 2011 call for proposals Dr. Bertrand Wert, Policy Officer bertrand.wert@ec.europa.eu Industrial Innovation Policy Development

  2. Demand-side innovation policies:public procurement of innovation1/current activities (DG ENTR)2/ policy developments3/ future activities

  3. Lead Market Initiative LMI Current activities… Policy mix: supply and demand-side measures - Regulation Measures from the demand-side - Standardisation LMI package - Public procurement Intention: Supporting market VS supporting technology push - Fiscal Measures - Training, fairs - Financing R&D - Grants, loans - Equity support - ... Measures from the supply side

  4. Current activities… Running activities in 2011 Policy tools Standardisation Labelling Certification Legislation Public Procurement Complementary Actions Lead Market Areas Introduce the Electronic Health Insurance Card EU Patient Smart Open Services large scale pilot funded e-Health EU Recommendation for interoperability Sector-specific networks of Contracting Authorities to foster demand for innovation Screening of national building regulations SMEs guide on collaborative working schemes in construction Sustainable construction 2nd generation of Eurocodes Inventory of all relevant standards Training platform for buyers and users Protective textiles Revision of the PPE Directive Inventory of legislation affecting bio-based products FP7 call on bio-refinery pilot plants Bio-based products Product performance standards CEN Packaging Standards Recycling Waste Framework Directive Financial support (CIP) for market replication projects Mandatory national targets for 2020 Guide on funding available for RE demonstration and pilot projects Renewable energies Adopting minimal energy performance requirements

  5. Current activities… Cities: sustainable construction & rehab. “SCI-NETWORK” Sustainable Construction & Innovation through Procurement:ICLEI (lead)Local Governments for Sustainability (Europe), Transport for London TFL (UK), City of Torino (IT), Department for Environment, Food and Rural Affairs (UK), Dutch National Procurers Association PIANOo (NL), Culminatum, Helsinki Region Centre of Expertise (FI), University of Klagenfurt (AT), Motiva, National Agency for Energy Efficiency and Renewable Energy (FI) First results: • 120 organisations are participating in the pilot phase • Online Forum 5 Working Groups WG:application of environmental standards inrenovation; new technical solutions;procuring innovation;whole-life costing;financing & contracting. • WG for helping public sector to become key driver for sustainable innovation • WG encourage knowledge & experience sharing, identifying best practice, innovative technologies & products relevant to public authority • WG will engage with the market to identify the best solutions:Online forum developedhttps://procurementforum.viadesk.com www.sci-network.eucontact:mark.hidson@iclei.org

  6. Current activities… Fire-brigades protective garments “ENPROTEX”:Firebuy (Lead), the National Procurement Agency for the fire and rescue service in England (UK), Belgian Ministry of the Interior IBZ (BE), Dutch national Disaster Response Agency LFR (NL) First results: • A web-portal for public procurers and SMEs • Innovation mapping in textile research on protective clothing • Providing industry with forward commitments to meet future needs of procurers • A Personal Protective Equipment public procurers network is under development • Dissemination at national and international level. • Discussions with industry on barriers to innovation as well as dialogue with SME associations on involvement of SMEs in innovation and the supply chain • Model for tender documents will be produced http://www.enprotex.eu/indexcontact:joshua.osifeso@firebuy.gov.uk

  7. Current activities… Low carbon Hospitals “LCB-HEALTHCARE”:Department for Business Innovation and Skills BIS (UK)(lead), Netherlands Organisation for Applied Scientific Research TNO (NL), Norwegian Directorate for Health Affaires(NO), Rawicz Hospital(PL), Department of Health DH (UK), European Health Property Network EuHPN (NL) First results: • Develop a sustainable, self-funding, trans-national network • Stakeholders' consultations commenced at the European Congress on Healthcare Planning and Design in June 2010. • A survey of barriers to investment in low carbon solutions was launched in 2010 • A European state-of-the-art report: publication before the end of 2010 • "Ultra Efficient Lighting for Future Wards" in the Rotherham hospital (UK): by implementing a Forward Commitment Procurement project refurbishment leaders expect: energy consumption saving of 30% or €5,200 for 40 beds over 10 years, and Maintenance Saving of 88% or €15,400 for 40 beds over 10 years. http://lowcarbon-healthcare.eu/contact:gaynor.whyles@jeraconsulting.com

  8. Innovation procurement: policy developments

  9. Policy developments… Innovation Union, Commitment 17: Procurement budgets for innovation • Issues • Wrong incentives • Lack of knowledge and capabilities on technologies, innovations, market developments • No strategy that aligns public procurements with public policy objectives (e.g. health, environment, transport), and with R&D&I support programmes • Fragmentation in demand • Actions • “Member States and regions should set aside dedicated budgets for pre-commercial procurements and public procurements of innovative products and services ... • The Commission will provide guidance and set up a (financial) support mechanism to help contracting authorities to implement these procurements in a non-discriminatory and open manner, to pool demand, to draw up common specifications, and to promote SME access. • In addition, the Commission will offer guidance on implementing joint procurements between contracting entities…” European Council conclusions, 4 February 2011 20- the Commission is invited to: provide guidance on the application of the Directives on public procurement; more generally public procurement should be better geared to creating greater demand for innovative goods and services; 22- The Commission is invited to present proposals by the end of 2011: (…) and for assessing how best to meet the needs of fast growing innovative companies through a market-based approach. In this connection the Commission is also invited to explore the feasibility of a Small Business Innovation Research Scheme.”

  10. Financial support to innovation procurement: future activities

  11. Public Procurement as a tool for Innovation Future activities… Pre-Commercial Procurement PCP Public Procurement of Innovative solutions PPI Supplier X Phase 0 Exploratory Research Phase 2 Prototype development Phase 3 Pre-commercial small scale product/service development - Field Test Phase 4 Commercialisation Diffusion of product/service/processes Phase 1 Solution design Supplier O Group of Public Procurers Single Public Procurer Supplier A Supplier B Supplier J Supplier B Supplier B Supplier C Supplier C Supplier A,B,C,D or Y, Z Supplier D Supplier D Single Public Procurer Supplier D - + Goods/ services Market Diffusion - + Procurement Risks EC support to procurers and suppliers (FP7 grants) Pre-commercial Tender (WTO GPA & Procurement Directives not applicable) EC support to procurers purchasing (CIP grants) Tender for commercial deployment (WTO GPA & Procurement Directives applicable)

  12. Which financial support to PPI? Call for proposals of 15M€ PPI CIP programme 23 June 2011 European Commission, DG ENTR Grant: networking, procurement preparation PPI & % of the real procurement 20% of the costs* 95% of the costs Procurement contract Group of buyers only Supplier (e.g. SME x) or Supplier (e.g. SME y) Group of buyers (at least 2) + innovation agency and/or specialized platform (e.g. for cities: sustainable development) and/or cluster organization + innovative SMEs support organizations (chamber of commerce, EEN member…)… Supplier (e.g. SME z) Innovative solution: good, process or service Innovations + client reference Beneficiary for other procurers + UE internal market * 20% for a maximum contribution up to 500.000 EURO Refer to the call for proposals text: http://ec.europa.eu/enterprise/newsroom/cf/newsbytheme.cfm?lang=en&displayType=fo&tpa_id=135

  13. Which participants? For how long? Sectors? Future activities… • Eligible public bodies are: • Public purchasers, i.e. contracting authorities in the meaning of the public procurement directives at all levels (local, regional, national and supra-national) including utilities • Public authorities (e.g. innovation agency, SME support organizations and/or specialized platform (e.g. for cities: sustainable development) and/or cluster organization) • Excluded bodies are: • Private bodies that are potential suppliers of products or services in the area of solutions are not eligible to participate as direct beneficiaries • Composition of the consortium: • 2 public purchasers minimum; partners from 2 Member States minimum • Opening and closure of the call, and duration of the action: • Opening: 23 June 2011; dead-line: 27 September 2011 • Suggestion: from 20 to 48 months • Areas/sectors of support: • EU level support will be related to European societal challenges such as defined in “Innovation Union”: Active and healthy aging; smart cities and mobility, sustainable construction; raw materials (waste management, water, minerals…); sustainable agriculture; or LMI sectors (e-Health, sustainable construction, protective textiles, bio-based products, recycling and renewable energies Refer to the call for proposals text: http://ec.europa.eu/enterprise/newsroom/cf/newsbytheme.cfm?lang=en&displayType=fo&tpa_id=135

  14. Which activities supported for PPI? Future activities… Type of activities supported for PPI 1/ Preparation phase: financial support ≤ 95%(?) • Capabilities improvement: trainings, workshops • Procurement strategies development • Meeting the market: state-of-the art, technical dialogue, market consultation • Development of functional specifications • Forward Commitment Procurement • Standardisation, certification and/or insurance • Networking activities to Develop a Joint Procurement • 2/ Procurement phase: financial support≤ 20%* • Specification and publication of a (joint or coordinated) call for tender. • Implementation of a (joint or coordinated) call for tender (including marketing) • (Joint) evaluation and selection of proposals • (Joint) monitoring and evaluation of projects * 20% for a maximum contribution of 500.000 EURO Refer to the call for proposals text: http://ec.europa.eu/enterprise/newsroom/cf/newsbytheme.cfm?lang=en&displayType=fo&tpa_id=135

  15. Which financial support for which activities/sectors? Future activities… Preparation Phase (PPI) Procurement Phase X and -- : Examples of activities that can be developed by a consortium. They are not exclusive. A consortium could developed all activities suggested. Refer to the call for proposals text: http://ec.europa.eu/enterprise/newsroom/cf/newsbytheme.cfm?lang=en&displayType=fo&tpa_id=135

  16. Next steps in the preparatory work Future activities… • 31 March (Brussels): Workshop to chart out CIP pilot call for proposals (€15 million, before summer: http://ec.europa.eu/enterprise/policies/innovation/policy/lead-market-initiative/pp-conf2_en.htm • 11-12 April (Budapest):Conference on Pre-Commercial Procurement: http://www.pcp2011.eszakalfold.hu/ • Deadline 18 April: Public consultation on modernisation of EU public procurement policy • 23 June 2011: Opening of the call on innovation procurement: dead-line for application: 27 September 2011 • 27-28 June: Turin’s conference on “innovation procurement”: VP Tajani launching the call for proposals: http://www.comune.torino.it/relint/PPI/web-stream:www.wipietv.eu • September 2011: Next INFSO call for pre-commercial public procurement (FP7 ICT) • November 2011: Finalisation of the feasibility study and proposal for a full-fledge European innovation procurement scheme • Autumn 2011:Call for proposals on Green public (+ private) procurement (€2 million) • End of 2011: Proposals for funding programmes: CSF, Structural Funds

  17. THANK YOU FOR YOUR ATTENTION Contact: bertrand.wert@ec.europa.eu Public Procurement & Innovation:http://ec.europa.eu/enterprise/policies/innovation/policy/public-procurement/index_en.htm Call for proposals annoucement: http://ec.europa.eu/enterprise/newsroom/cf/newsbytheme.cfm?lang=en&displayType=fo&tpa_id=135

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