Trans-European networks: eTen telecommunications programme, Community funding ceiling

PURPOSE : to lay down general rules for the granting of Community financial aid in the field of trans-European networks.

LEGISLATIVE ACT : Regulation 1159/2005/EC of the European Parliament and of the Council amending Council Regulation 2236/95/EC laying down general rules for the granting of Community financial aid in the field of trans-European networks.

CONTENT : the Council adopted this Regulation amending Council Regulation 2236/95/EC laying down general rules for the granting of Community financial aid in the field of trans-European networks.

The present Regulation raises the ceiling for Community financing of projects in the trans-European telecommunications sector to 30% of the total investment cost. Regulation 2236/95 limits the maximum contribution to projects in the area of telecommunications to 10% of the total investment cost. Since the cost of a preparatory study for a service in the telecommunications sector represents a high proportion of the total investment required to roll out the service, that percentage is not enough to stimulate the deployment of services which make the greatest contribution to the development of the information society.

Moreover, Community aid should be granted in preference to projects which aim to stimulate the deployment of services and thus make the greatest contribution to the development of the information society. It is necessary therefore to increase the maximum contribution in proportion to the actual costs arising from the trans-European nature of a service. An increase in the Community contribution should, however, be applied only to services of public interest which must overcome the barriers of language, culture, legislation and administration.

ENTRY INTO FORCE : 11/08/2005.