CIP – Competitiveness and Innovation Programme 2007-2013

Stimulating the competitiveness of SMEs, fostering and promoting eco-innovation, energy efficiency and renewables, and accelerating the process leading to a fully-fledged information society are the objectives of the Competitiveness and Innovation Framework Programme 2007-2013.

Europe's ambition to become the world's most dynamic knowledge-based society (as defined by the 2000 Lisbon Summit) needs a strong focus on competitiveness and eco-innovation. In order to reach these goals, the EU has to achieve a better coherence and synergy of its policies and policy instruments.

On 1 June 2006, the EU adopted a seven-year framework programme aimed at enhancing competitiveness and innovation. 

The new framework, which will run from 2007-2013, merges several already existing measures into one comprehensive programme to boost the competitiveness and productivity of European businesses (especially SMEs, which represent around 90% of GDP and two thirds of jobs in the EU), while at the same time proposing support for eco-innovation and sustainable energy.

The total envelope for the seven-year period amounts to €3.6 billion.

The CIP consists of three sub-programmes:

  • The Entrepreneurship and Innovation Programme, with a budget of € 2.17 billion, which brings together activities in the areas of entrepreneurship, SMEs, access to finance, industrial competitiveness and innovation; 
  • The ICT Policy Support Programme, with a budget of € 730 million, which will promote the speedy adoption of information and communication technologies (ICTs), in particular in the field of services of public interest, and comprises existing measures such as eTEN, eContent or Modinis;
  • The Intelligent Energy-Europe Programme, also with a budget of € 730 million, which brings together actions to accelerate the uptake and promotion of energy efficiency and to increase investments in and awareness-raising of renewable energy sources. Existing measures such as 'SAVE', 'ALTENER', or 'STEER' are part of this subprogramme. 

The CIP will add a new risk capital instrument to the existing instrument fostering SME start-ups. This non-grant-based instrument is aimed specifically at innovative and high-growth SMEs, which need capital at their crucial growth phase.

The Competitiveness and Innovation Programme is complementary to the 7th framework programme for research (FP7). It will be open for participation to members of the EEA, candidate countries, countries of the western Balkans, and, under certain conditions, to countries participating in the EU’s neighbourhood policy.

Business federation BusinessEurope  welcomed the CIP, highlighting the simplification of Community programmes and the fact that competitiveness "is taken as the overriding theme that must inspire and drive all the sub-programmes". 

Eurochambres (the Association of European Chambers of Commerce and Industry) appreciated that "SMEs are to be placed at the core of this strategy". 

The European Environmental Bureau (EEB), the European Association of Craft, Small and Medium-sized Enterprises (UEAPME) and the European Committee of Environmental Technology Suppliers Assocations (EUCETSA) stressed the importance of budget support for eco-innovation.

  • The CIP was finally adopted by the European Parliament on 1 June 2006.
  • Legislation trackers: see PRELEX  and OEIL.

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