Climate change and environmental degradation threaten the very existence of Europe and the world. To meet these challenges, the European Green Deal will transform the EU into a modern, resource-efficient and competitive economy. The European Green Deal is also our gateway out of the COVID-19 pandemic. One third of the €1.8 trillion[/B] investment from the Next Generation EU Recovery Plan, as well as the EU's seven-year budget, will finance the European Green Deal.
The European Commission is now laying the foundations for an industrial strategy capable of supporting the dual transition to the green and digital economy, making EU industry more globally competitive and strengthening Europe's open strategic autonomy, while announcing a "proposal for an action plan for the 'circular economy'".
In the light of these changes, the European Commission is undertaking a review of competition policy tools - to ensure that all competition instruments (mergers, antitrust and state aid control) remain fit for purpose - and is enriching its current toolbox in the context of the green and digital transition, but also for a resilient single market.
In order to contribute to the green transition, the Guidelines on State aid for climate, environment and energy (CERs) aim to support industry's efforts towards decarbonisation, circularity and biodiversity, clean or zero-emission mobility and energy efficiency in buildings.
In order to contribute to the digital switchover, the forthcoming guidelines on State aid for broadband networks seek to promote the development of digital infrastructure by facilitating the deployment and take-up of broadband networks that meet the rapidly evolving needs of users.
The revised regime for the State aid framework for research, development and innovation aims to simplify the rules for State support for research, development and innovation and align them with the Green Deal by facilitating aid for investment in green technology. It introduces the possibility of granting aid in favour of "technological infrastructures" that are expected to play a role in contributing to the green transition.
In addition, with a view to addressing the economic and social impacts of the COVID-19 pandemic, sustainable growth and ensuring the resilience of the EU economy, the European Commission launched in 2020 an emergency and temporary instrument to finance the EU's recovery and exit from the crisis, called Next Generation EU with a total budget of €750 billion, under the new Multiannual Financial Framework 2021-2027. At the core of the above instrument is the Recovery and Resilience Mechanism.
In conclusion, I would like to point out that this dual transition - to a green and digital economy - is a huge opportunity for Europe. It will help us build a better, stronger, more productive economy with the help of the fundamental principles of competition rules, including state aid rules. But we also need to make sure that the way we put the rules into action is appropriate for the world we find ourselves in, and that is what the European Commission is trying to achieve through changes to the state aid legislative tools. This double transition should ultimately bring about changes in social practices and in the behaviour of individuals, communities and public and private organisations.
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