# Regulation (EU) No 1316/2013 of the European Parliament and of the Council of 11 December 2013 establishing the Connecting Europe Facility, amending Regulation (EU) No 913/2010 and repealing Regulations (EC) No 680/2007 and (EC) No 67/2010 (Text with EEA relevance) (revoked)

EU Regulation No 1316/2013 · adopted 11 December 2013

Regulation (EU) No 1316/2013 of the European Parliament and of the Council of 11 December 2013 establishing the Connecting Europe Facility, amending Regulation (EU) No 913/2010 and repealing Regulations (EC) No 680/2007 and (EC) No 67/2010 (Text with EEA relevance)

PDFs: Printed copy https://openlegislation.uk/eu-regulation-2013-1316/pdf/eur_20131316_adopted_en.pdf; Revised version (2 August 2018) https://openlegislation.uk/eu-regulation-2013-1316/pdf/eur_20131316_2018-08-02_en.pdf; Revised version (30 December 2017) https://openlegislation.uk/eu-regulation-2013-1316/pdf/eur_20131316_2017-12-30_en.pdf; Revised version (4 November 2017) https://openlegislation.uk/eu-regulation-2013-1316/pdf/eur_20131316_2017-11-04_en.pdf; Revised version (4 July 2015) https://openlegislation.uk/eu-regulation-2013-1316/pdf/eur_20131316_2015-07-04_en.pdf; Revised version (20 March 2014) https://openlegislation.uk/eu-regulation-2013-1316/pdf/eur_20131316_2014-03-20_en.pdf

## Introductory text

Regulation (EU) No 1316/2013 of the European Parliament and of the Council
of 11 December 2013
establishing the Connecting Europe Facility, amending Regulation (EU) No 913/2010 and repealing Regulations (EC) No 680/2007 and (EC) No 67/2010
(Text with EEA relevance) (revoked)
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## Title I: COMMON PROVISIONS

### Chapter I: The connecting europe facility

## 1 Subject-matter

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## 2 Definitions

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## 3 General objectives

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## 4 Specific sectoral objectives

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## 5 Budget

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### Chapter II: Forms of financing and financial provisions

## 6 Forms of financial assistance

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## 7 Eligibility and conditions for financial assistance

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### Chapter III: Grants

## 8 Forms of grants and eligible costs

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## 9 Conditions for participation

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## 10 Funding rates

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## 11 Specific calls for funds transferred from the Cohesion Fund in the transport sector

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## 12 Cancellation, reduction, suspension and termination of the grant

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### Chapter IV: Procurement

## 13 Procurement

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### Chapter V: Financial instruments

## 14 Types of financial instruments

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## 15 Conditions for granting financial assistance through financial instruments

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## 16 Actions in third countries

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### Chapter Va: Blending

## 16a CEF blending facilities

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### Chapter VI: Programming, implementation and control

## 17 Multiannual and/or annual work programmes

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## 18 Granting of Union financial assistance

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## 19 Annual instalments

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## 20 Carry-over of annual appropriations

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## 21 Delegated acts

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## 22 Responsibility of beneficiaries and Member States

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## 23 Compliance with Union policies and Union law

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## 24 Protection of the Union's financial interests

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## Title II: GENERAL AND FINAL PROVISIONS

## 25 Committee procedure

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## 26 Exercise of delegation

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## 27 Evaluation

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## 28 Information, communication and publicity

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## 29 Amendment of Regulation (EU) No 913/2010

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## 30 Transitional provisions

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## 31 Repeal

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## 32 Entry into force

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## Signature

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### Part I: LIST OF PRE-IDENTIFIED PROJECTS ON THE CORE NETWORK IN THE TRANSPORT SECTOR

## 1 Horizontal Priorities

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### Division 2: Core network corridors

### Division: Baltic – Adriatic

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: North Sea – Baltic

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: Mediterranean

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: Orient/East-Med

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: Scandinavian – Mediterranean

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: Rhine – Alpine

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: Atlantic

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: North Sea – Mediterranean

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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### Division: Rhine – Danube

## ALIGNMENT:

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## PRE-IDENTIFIED SECTIONS INCLUDING PROJECTS:

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## 3 Other Sections on the Core Network

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### Part II: LIST OF INFRASTRUCTURE PRIORITY CORRIDORS AND AREAS IN THE ENERGY SECTOR

### Division 1: Priority electricity corridors

## (1) Northern Seas offshore grid ("NSOG"): integrated offshore electricity grid development and the related interconnectors in the North Sea, the Irish Sea, the English Channel, the Baltic Sea and neighbouring waters to transport electricity from renewable offshore energy sources to centres of consumption and storage and to increase cross-border electricity exchange.

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## (2) North-South electricity interconnections in Western Europe ("NSI West Electricity"): interconnections between Member States of the region and with the Mediterranean area including the Iberian peninsula, notably to integrate electricity from renewable energy sources and reinforce internal grid infrastructures to foster market integration in the region.

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## (3) North-South electricity interconnections in Central Eastern and South Eastern Europe ("NSI East Electricity"): interconnections and internal lines in North-South and East-West directions to complete the internal market and integrate generation from renewable energy sources.

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## (4) Baltic Energy Market Interconnection Plan in electricity ("BEMIP Electricity"): interconnections between Member States in the Baltic region and reinforcing internal grid infrastructures accordingly, to end isolation of the Baltic States and to foster market integration, inter alia by working towards the integration of renewable energy in the region;

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### Division 2: Priority gas corridors

## (1) North-South gas interconnections in Western Europe ("NSI West Gas"): gas infrastructure for North-South gas flows in Western Europe to further diversify routes of supply and increase short-term gas deliverability.

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## (2) North-South gas interconnections in Central Eastern and South Eastern Europe ("NSI East Gas"): gas infrastructure for regional connections between and in the Baltic Sea region, the Adriatic and Aegean Seas, the Eastern Mediterranean Sea and the Black Sea, and to enhance diversification and security of gas supply;

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## (3) Southern Gas Corridor ("SGC"): infrastructure for the transmission of gas from the Caspian Basin, Central Asia, the Middle East and the Eastern Mediterranean Basin to the Union, to enhance diversification of gas supply.

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## (4) Baltic Energy Market Interconnection Plan in gas ("BEMIP Gas"): gas infrastructure to end the isolation of the three Baltic States and Finland and their dependency on a single supplier, to reinforce internal grid infrastructures accordingly, and to increase diversification and security of supplies in the Baltic Sea region;

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### Division 3: Priority thematic areas

## (1) Smart grids deployment: adoption of smart grid technologies across the Union to efficiently integrate the behaviour and actions of all users connected to the electricity network, in particular the generation of large amounts of electricity from renewable or distributed energy sources and demand response by consumers;

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## (2) Electricity highways: first electricity highways by 2020, with a view to building an electricity highways system across the Union that is capable of:

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## (3) Cross-border carbon dioxide network: development of carbon dioxide transport infrastructure between Member States and with neighbouring third countries with a view to the deployment of carbon dioxide capture and storage.

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### Part III: TERMS, CONDITIONS AND PROCEDURES OF FINANCIAL INSTRUMENTS

## Objective and rationale

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### Division I: Debt instrument

## 1 General provisions

The goal of the Debt Instrument shall be to contribute to overcoming deficiencies of the European debt capital markets by offering risk-sharing for debt financing. Debt financing shall be provided by entrusted entities or dedicated investment vehicles in the form of senior and subordinated debt or guarantees.
The Debt Instrument shall consist of a risk-sharing instrument for loans and guarantees and of the Project Bond Initiative. The project promoters may, in addition, seek equity financing under the Equity Instrument.

## a Risk-sharing instrument for loans and guarantees

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## b Project Bond Initiative

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## 2 Financial parameters and leverage

Risk- and revenue-sharing parameters shall be set in such a way that specific policy objectives, including targeting of particular categories of projects, can be achieved while still preserving the market-oriented approach of the Debt Instrument.
The expected leverage of the Debt Instrument — defined as the total funding (i.e. Union contribution plus contributions from other financial sources) divided by the Union contribution — shall be expected to range from 6 to 15, depending on the type of operations involved (level of risk, target beneficiaries, and the debt financing concerned).

## 3 Combination with other sources of funding

Funding from the Debt Instrument may be combined with other ring-fenced budgetary contributions listed below, subject to the rules laid down in Regulation(EU, Euratom) No 966/2012 and the relevant legal base:
(a)other parts of the CEF;
(b)other instruments, programmes and budget lines in the Union budget;
(c)Member States, including regional and local authorities, that wish to contribute own resources or resources available from the funds under the cohesion policy without changing the nature of the instrument.

### Division 4: Implementation

## Entrusted entities

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## Design and implementation

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## Fiduciary account

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## 5 Use of the Union contribution

The Union contribution shall be used:
(a)towards risk provisioning;
(b)to cover agreed fees and costs associated with the establishment and management of the Debt Instrument, including its evaluation and support actions, which have been determined in line with Regulation (EU, Euratom) No 966/2012 and market practice. The administrative and performance-based fees to be paid to the entrusted entity shall not exceed 2 % and 3 % respectively of the Union contribution effectively used for individual operations, on the basis of a cost-based agreed methodology between the Commission and the entrusted entities;
(c)for directly related support actions.

## 6 Pricing, risk and revenue sharing

The Debt Instruments shall bear a price, to be charged to the beneficiary, in accordance with the relevant rules and criteria of the entrusted entities or dedicated investment vehicles and in line with best market practices.
As regards direct mandates to entrusted entities, the risk-sharing pattern shall be reflected in an appropriate sharing between the Union and the entrusted entity of the risk remuneration charged by the entrusted entity to its borrowers.
As regards dedicated investment vehicles, the risk-sharing pattern shall be reflected in an appropriate sharing between the Union and the other investors of the risk remuneration charged by the dedicated investment vehicle to its borrowers.
Notwithstanding the risk-sharing pattern chosen, the entrusted entity shall always share a portion of the defined risk and shall always bear the full residual risk tranche.
The maximum risk covered by the Union budget shall not exceed 50 % of the risk of the target debt portfolio under the debt instrument. The maximum risk-taking ceiling of 50 % shall apply to the target size of dedicated investment vehicles.

## 7 Application and approval procedure

Applications shall be addressed to the entrusted entity or a dedicated investment vehicle, respectively, in accordance with their standard application procedures. The entrusted entities and the dedicated investment vehicles shall approve the projects in accordance with their internal procedures.

## 8 Duration of the Debt Instrument

The last tranche of the Union contribution to the Debt Instrument shall be committed by the Commission by 31 December 2020. The actual approval of debt financing by the entrusted entities or the dedicated investment vehicles shall be finalised by 31 December 2022.

## 9 Expiry

The Union contribution allocated to the Debt Instrument shall be reimbursed to the relevant fiduciary account as debt financing expires or is repaid. The fiduciary account shall maintain sufficient funding to cover fees or risks related to the Debt Instrument until its expiry.

## 10 Reporting

The reporting methods on the implementation of the Debt Instrument shall be agreed by the Commission in the agreement and the entrusted entity in line with Regulation (EU, Euratom) No 966/2012.
In addition, the Commission shall, with the support of the entrusted entities, report annually to the European Parliament and the Council until 2023 on implementation, the prevailing market conditions for the use of the instrument, the updated projects and the project pipeline including information on projects at different stages of the procedure while respecting confidentiality and sensitive market information in accordance with Article 140(8) of Regulation (EU, Euratom) No 966/2012.

## 11 Monitoring, control and evaluation

The Commission shall monitor the implementation of the Debt Instrument, including through on-the-spot controls as appropriate, and shall perform verification and controls in line with Regulation (EU, Euratom) No 966/2012.

## 12 Support Actions

The implementation of the Debt Instrument may be supported by a set of accompanying measures. These may include, amongst other measures, technical and financial assistance, measures to raise the awareness of capital providers and schemes to attract private investors.
The European Investment Bank shall, at the request of the European Commission or the Member States concerned, provide technical assistance, including on financial structuring to projects of common interest, including the ones implementing the core network corridors as listed in Part I. Such technical assistance shall also include support to administrations in order to develop appropriate institutional capacity.

### Division II: Equity instrument

## 1 General provisions

The goal of the Equity Instrument shall be to contribute to overcoming the deficiencies of European capital markets by providing equity and quasi-equity investments.
The maximum amounts of the Union contribution shall be limited as follows:
33 % of the target equity fund size; or
co-investment by the Union in a project shall not exceed 30 % of the total equity of a company.
The project promoters may, in addition, seek debt financing under the Debt Instrument.

## 2 Financial parameters and leverage

Investment parameters shall be set in such a way that specific policy objectives, including the targeting of particular categories of infrastructure projects, can be achieved while still preserving the market-oriented approach of this instrument.
The expected leverage of the Equity Instrument — defined as the total funding (i.e. the Union contribution plus all contributions from other investors) divided by the Union contribution — shall be expected on average to range from 5 to 10, depending on market specificities.

## 3 Combination with other sources of funding

Funding from the Equity Instrument may be combined with other ring-fenced budgetary contributions listed below, subject to the rules of Regulation (EU, Euratom) No 966/2012 and the relevant legal base:
(a)other parts of the CEF;
(b)other instruments, programmes and budget lines in the Union budget; and
(c)Member States, including regional and local authorities, that wish to contribute own resources or resources available from the funds under the cohesion policy without changing the nature of the instrument.

### Division 4: Implementation

## Entrusted entities

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## Design and implementation

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## Fiduciary account

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## 5 Use of the Union contribution

The Union contribution shall be used:
(a)towards equity participations;
(b)to cover agreed fees and costs associated with the establishment and management of the Equity Instrument, including its evaluation, which have been determined in line with Regulation (EU, Euratom) No 966/2012 and market practice; and
(c)for directly related support actions.

## 6 Pricing, risk and revenue sharing

The equity remuneration shall comprise the customary return components allocated to equity investors and shall depend on the performance of the underlying investments.

## 7 Application and approval procedure

Applications shall be addressed to the entrusted entity or a dedicated investment vehicle, respectively, in accordance with their standard application procedures. The entrusted entities and the dedicated investment vehicles shall approve the projects in accordance with their internal procedures.

## 8 Duration of the Equity Instrument

The last tranche of the Union contribution to the Equity Instrument shall be committed by the Commission by 31 December 2020. The actual approval of equity investments by the entrusted entities or the dedicated investment vehicles shall be finalised by 31 December 2022.

## 9 Expiry

Union contribution allocated to the Equity Instrument shall be reimbursed to the relevant fiduciary account as investments are exited or otherwise mature. The fiduciary account shall maintain sufficient funding to cover fees or risks related to the Equity Instrument until its expiry.

## 10 Reporting

Annual reporting methods on the implementation of the Equity Instrument shall be agreed by the Commission and the entrusted entity in the agreement in line with Regulation (EU, Euratom) No 966/2012.
In addition, the Commission, with the support of the entrusted entities, shall report on implementation annually to the European Parliament and the Council until 2023 in accordance with Article 140(8) of Regulation (EU, Euratom) No 966/2012.

## 11 Monitoring, control and evaluation

The Commission shall monitor the implementation of the Equity Instrument, including through on-the-spot controls as appropriate, and shall perform verification and controls in line with the Regulation (EU, Euratom) No 966/2012.

## 12 Support actions

The implementation of the Equity Instrument may be supported by a set of accompanying measures. These may include, amongst other measures, technical and financial assistance, measures to raise the awareness of capital providers, and schemes to attract private investors.

## IV INDICATIVE PERCENTAGES FOR SPECIFIC TRANSPORT OBJECTIVES

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## V LIST OF GENERAL ORIENTATIONS TO BE TAKEN INTO ACCOUNT WHEN SETTING AWARD CRITERIA

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### Division: TRANSPORT FUNDING PRIORITIES FOR THE PURPOSE OF THE MULTIANNUAL AND ANNUAL WORK PROGRAMMES

### Division 1: Funding priorities for the multiannual work programmes

## 1.1 Funding priorities for the objective of bridging missing links, removing bottlenecks, enhancing rail interoperability, and, in particular, improving cross-border sections:

i))Pre-identified projects on the Corridors of the Core Network (railways, inland waterways, roads, maritime and inland ports).
ii))Pre-identified projects on the other sections of the Core Network (railways, inland waterways, roads, maritime and inland ports).
iii))Rail interoperability.
iv))Deployment of ERTMS.

## 1.2 Funding priorities for the objective of ensuring sustainable and efficient transport systems in the long run, with a view to preparing for expected future transport flows, as well as enabling all modes of transport to be decarbonised through transition to innovative low-carbon and energy-efficient transport technologies, while optimising safety:

i))Deployment of new technologies and innovation in all transport modes, with a focus on decarbonisation, safety and innovative technologies for the promotion of sustainability, operation, management, accessibility, multimodality and efficiency of the network.
ii))Safe and Secure infrastructure, including safe and secure parkings on the road Core Network.

## 1.3 Funding priorities for the objective of optimising the integration and interconnection of transport modes and enhancing the interoperability of transport services, while ensuring the accessibility of transport infrastructures:

i))Single European Sky – SESAR.
ii))River Information Services.
iii))Intelligent Transport Services for road.
iv))Vessel Traffic Monitoring and Information Systems.
v))Motorways of the Sea.
vi))Actions implementing transport infrastructure in nodes of the Core Network, including urban nodes.
vii))Connections to and development of multimodal logistics platforms.

## 1.4 

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### Division 2: Funding priorities for the annual work programmes

## 2.1 Funding priorities for the objective of removing bottlenecks, enhancing rail interoperability, bridging missing links and, in particular, improving cross-border sections:

i))Railways, inland waterways and roads projects on the Core Network including connections to inland and maritime ports and airports, as well as development of ports.
ii))Projects on the Comprehensive Network (railways, inland waterways, roads, maritime and inland ports).
iii))Projects to connect the trans-European transport network with infrastructure networks of the neighbouring countries, in particular related to cross-border sections (railways, inland waterways, roads, maritime and inland ports).

## 2.2 Funding priorities for the objective of ensuring sustainable and efficient transport systems in the long run, with a view to preparing for expected future transport flows, as well as enabling all modes of transport to be decarbonised through transition to innovative low-carbon and energy-efficient transport technologies, while optimising safety:

i))Deployment of new technologies and innovation, other than those covered by the multiannual Work Programme.
ii))Freight Transport Services.
iii))Actions to reduce rail freight noise, including by retrofitting of existing rolling stock.

## 2.3 Funding priorities for the objective of optimising the integration and interconnection of transport modes and enhancing the interoperability of transport services, while ensuring the accessibility of transport infrastructures:

i))Telematic applications systems other than those covered by the multiannual Work Programme.
ii))Actions for better accessibility to transport infrastructure for disabled persons.
iii))Actions implementing transport infrastructure in nodes of the Core Network, including urban nodes.
iv))Connections to and development of multimodal logistics platforms.

## 2.4 CEF Financial instruments:

i))Contribution to the financial instruments, as defined in article 14 and Part III of the CEF annex.
ii))Programme support actions for innovative financial instruments.

## Annex II 

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Source: https://www.legislation.gov.uk/eur/2013/1316 (the official version)
Page: https://openlegislation.uk/eu-regulation-2013-1316
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.

