Brussels (Brussels Morning) – The European Commission supports France’s €7.5 billion payment request under NextGenerationEU, acknowledging satisfactory progress in meeting milestones and targets. This approval follows France’s second payment request, advancing its recovery efforts.
The European Commission has supported a positive preliminary assessment of France’s third payment request for €7.5 billion under the Recovery and Resilience Facility, the key factor of NextGenerationEU.
What Milestones and Targets Did France Meet?”
Following its review of the payment request submitted on 16 January 2024, the European Commission has preliminarily figured that France has satisfactorily satisfied the 15 milestones and 24 targets set out in the Council Implementing Decision for the third instalment, which enfold the first landmarks and targets of France’s REPowerEU chapter.
Which Reforms and Investments Will Benefit France?”
According to the Press of Commission, Nine reforms and 30 investments will push positive change for citizens and businesses in France in the dimensions of digitalisation, as well as research and innovation for the green transition. The payment request covers significant investments in the areas of energy renovation of buildings, the greening of transport by supporting rail over the road, acceleration of transport infrastructure works, as well as the upgradation of hospitals and health care supply. The payment request also contains a set of reforms, such as the entry into force of the Law on the acceleration of renewable energy production.
What Are the Flagship Steps in France’s Payment Request?
Flagship steps in this payment request include a Digital upgrade of the State: these investments will contribute to improving the efficiency of public action and provide a more efficient, more collaborative, and more mobile digital work environment for State employees. Decarbonisation of industry under the REPowerEU chapter: this includes backing for industrial heat decarbonisation, energy efficiency and process change progress of industry. France is the foremost country to start enforcing its REPowerEU reforms, helping the country reduce its dependency on fossil fuels and increase its energy security.
What Are the Next Steps for France’s Payment Approval?
In the Next steps, the Commission has now sent its initial assessment of France´s fulfilment of the milestones and targets needed for this payment to the Economic and Financial Committee (EFC), which has four weeks to provide its opinion. The payment to France can take place following the EFC’s view, and the adoption of a payment conclusion by the Commission.
How Will France’s Recovery Plan Be Funded?
France’s recovery and resilience plan includes a broad range of investment and reform measures. The plan will be funded by €40 billion in grants. The payment request preliminarily approved follows France’s second payment request, which was supported by the Commission on 17 November 2023 and paid out to France on 22 December 2023.
This payment proposal will bring the funds paid out to France under the Recovery and Resilience Facility to €30.9 billion (net of pre-financing), which compares to 77% of all the funds in the French program, with 73% of all the milestones and targets in the plan fulfilled.
