EU Funds can be combined with PPPs in a variety of ways, of which co-financing is only one. The European Commission has made three different groups of instruments available to PPPs:
• Financial engineering instruments that leverage private finance - in other words, enabling private finance to be used where it would not otherwise have been the case;
• Sectorally focused grants that incentivise promoters to undertake projects in the pan-European interest;
• Grants that support the cohesion policy of the Union and individual EU Member States.
These instruments address different needs, and are directed at different authorities.