The Seventh Framework Programme for Research introduced a new type of European public-private partnership at programme level: the Joint Technology Initiative (JTI) based on Article 171 of the EC Treaty19. This new instrument was created to promote European research in fields where the objectives pursued are of such a scale and nature that traditional instruments are not sufficient. The first JTIs have been set up in five fields: innovative medicines, aeronautics, fuel cells and hydrogen, nanoelectronics and embedded computing systems. The JTIs have total budgets ranging between € 1 billion and € 3 billion in the period up to 2017. In three JTIs (Innovative Medicines Initiative, Clean Sky, and Fuel Cells and Hydrogen), public resources are exclusively composed of Community funds, provided through the budget of the JTI; in two other JTIs (ARTEMIS and ENIAC), they are combined with funds of the participating Member States or countries associated to the Seventh Framework Programme, provided through national funding agencies. The private partners' contribution is made up of 'in kind' contributions to the projects funded by the JTIs in which the private partners participate. Both public and private partners contribute to the running costs (administrative costs) of the JTI.
These partnerships make it possible:
- To develop commercially-viable solutions by supporting large-scale multinational research activities in areas of major interest to European industrial competitiveness.
- To integrate and internalise objectives of high societal relevance, such as promoting alternative energy sources and using energy and resources more efficiently20, supporting more sustainable transport, combating climate change and ensuring high quality, affordable health care.
- To pool and leverage (private, European and national) funding and know-how and to reduce the fragmentation created by multiple national projects pursuing similar or overlapping objectives.
- To harness the skills and innovation of the private sector within appropriate risk sharing arrangements.
The experience of the five existing JTIs as they become autonomous and fully operational will enlighten the approach to creating further research PPPs.
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19 Article 171 TEC allows the Community to set up Joint Undertakings for the efficient execution of Community research, technological development and demonstration programmes.
20 PPPs can in particular drive further development of the pan-European energy research cooperation and will be promoted through the recently adopted Commission Communication on Investing in the Development of Low Carbon Technologies (SET-Plan), COM(2009)519