1.   The Research Programme shall support the competitiveness of sectors related to the coal and steel industry by providing support for collaborative research with an industry-led orientation in those sectors, including on dual-use applications.

2.   The Research Programme shall provide support for clean steel breakthrough technologies, contributing to the objectives of climate neutrality in the Union and reinforcing Union strategic autonomy across the steel value chain. The Research Programme shall also provide support for research projects for managing the just transition of formerly operating coal mines or coal mines in the process of closure and for related infrastructure and the regions in which they are located, particularly those facing significant social, economic or environmental challenges arising from the transition of the coal and steel sectors.

3.   The Research Programme shall promote valorisation and innovation, including the testing and piloting of new methods, to enhance the market relevance of research outcomes and to increase their potential for scalable deployment. It shall also promote solutions that are commercially viable and industrially scalable.

4.   The Research Programme shall be consistent with the political, scientific and technological objectives of the Union, and shall complement the activities carried out in the Member States.

5.   The Research Programme shall support synergies with other relevant programmes and funding instruments aiming at accelerating technological development to deployment status.

6.   The Research Programme shall support research projects aimed at the objectives set out in Article 4 for coal and in Article 5 for steel.

1.   Research projects shall aim to accelerate the transition, by 2050, towards a climate-neutral Union economy, with the objectives of supporting the phasing out of fossil fuels, especially coal, and supporting the social, economic and ecological revitalisation of coal regions, developing alternative activities on former mine sites and avoiding or addressing the environmental damage from coal mines in the process of closure, formerly operating coal mines and the regions in which coal mines are located.

2.   Special attention shall be given to strengthening Union leadership in managing the transition, including repurposing, of formerly operating coal mines and coal-related infrastructure through technological and non-technological solutions, while supporting technology and non-technology transfer. Research activities with those objectives shall present tangible climate and environmental benefits in line with the objective of climate neutrality by 2050.

3.   Research projects shall take into account issues concerning safety in coal mines in the process of closure and formerly operating coal mines with a view to improving working conditions, occupational health and safety, as well as environmental issues harmful to health.

4.   Research projects shall seek to eliminate the impact of coal mines in the process of closure and of formerly operating mines on the climate, atmosphere, water and soils.

5.   Research projects shall consider:

1.   Research projects shall aim to develop, demonstrate and improve sustainable and low-carbon steelmaking and finishing processes, with a view to raising product quality, increasing productivity and decreasing strategic dependencies.

2.   Research projects shall focus on developing advanced, sustainable and low carbon steel products and related lead markets which meet the requirements of steel users while reducing emissions and environmental impacts, in accordance with the objectives of Directive 2003/87/EC (14), Directive 2010/75/EU and Regulation (EU) 2024/1781 (15) of the European Parliament and of the Council.

3.   In steel production and use, research projects shall enable the conservation of resources, the preservation of ecosystems and the transition to a circular economy and shall consider safety issues.

4.   Research projects shall pay particular attention to the continuous development of skills adapted to the evolution of the sector towards new net-zero-carbon processes, to the improvement of working conditions and to the promotion of high health and safety standards and sustainable livelihoods.

5.   Research projects shall accelerate the use of digital technologies, including artificial intelligence and machine learning, in steel production and use.

1.   The financial envelope of the Research Programme for the period 1 January 2027 to 31 December 2034 shall consist of the following:

2.   The financial envelope of the Research Programme shall be committed in its entirety through four work programmes covering the years 2027 and 2028, 2029 and 2030, 2031 and 2032, and 2033 and 2034. The work programmes shall provide for yearly calls for proposals in accordance with Article 10.

1.   Any legal entity established within the territory of a Member State may participate in the Research Programme and apply for financial assistance.

2.   Any legal entity established in a candidate country may participate in the Research Programme without receiving any financial contribution, unless otherwise provided under the relevant European Agreements and their Protocols or in the decisions of the respective Association Councils.

3.   Any legal entity established in a third country may participate in the Research Programme on the basis of individual projects without receiving any financial contribution, provided that such participation is in the Union’s interest.

1.   The Research Programme shall be implemented in accordance with Regulation (EU, Euratom) 2024/2509, under direct management by the Commission, through executive agencies.

2.   Funding under the Research Programme shall be provided in the form of grants in accordance with Regulation (EU, Euratom) 2024/2509, except for the funding of actions necessary for the sound and effective management of the Research Programme, such as the evaluation and selection of proposals, monitoring and assessment, studies, clustering and networking of research projects funded.

1.   Dual-use research projects carried out under the Research Programme shall comply with the applicable national security rules, including rules on the protection of EU classified information against unauthorised disclosure, and shall comply with any other relevant Union and national law.

2.   Where necessary, proposals shall include a security self-assessment identifying any security issues and detailing how those issues will be addressed in order to comply with the relevant Union and national law.

3.   Where necessary, the Commission shall carry out a security scrutiny procedure for proposals raising security issues. Legal entities participating in a dual-use research project shall ensure the protection against unauthorised disclosure of EU classified information used or generated by the action. They shall provide proof of personal security clearance or facility security clearance from the relevant national security authorities, prior to the start of the activities concerned.

4.   If independent external experts have to deal with EU classified information, the appropriate security clearance shall be required before those experts are appointed.

5.   Where appropriate, the Commission may carry out security checks.

6.   Proposals or actions which do not comply with the security rules under this Article shall be rejected or terminated at any time. Members States shall be informed of the termination of dual-use research projects not complying with those rules.

1.   Calls for proposals shall be published twice a year. The content and publication of calls for proposals shall comply with Article 197 of Regulation (EU, Euratom) 2024/2509.

2.   Proposals shall relate to the research objectives laid down in Articles 4 and 5, and where applicable, to the priority objectives listed in the conditions of the call for proposals.

3.   In order to cover the entire value chain, the work programmes shall be designed to address the whole range of Technology Readiness Levels, from low to high, and shall include bottom-up research and projects of various scales to ensure the participation of a wide range of stakeholders.

4.   The selection, award and evaluation procedures for proposals shall take place in conformity with Articles 201, 202 and 203, respectively, of Regulation (EU, Euratom) 2024/2509.

5.   For the purposes of Article 153(3) of Regulation (EU, Euratom) 2024/2509, the evaluation committee shall be composed of independent external experts, except in duly justified cases.

1.   Projects based on selected proposals shall be the subject of a grant agreement. Grant agreements shall follow the corporate model grant agreements drawn up by the Commission, taking into account, as appropriate, the nature of the activities concerned.

2.   Beneficiaries shall implement actions in compliance with the conditions and obligations set out in this Decision, Regulation (EU, Euratom) 2024/2509 and the grant agreement.

1.   A single funding rate per action shall apply for all activities funded by that action. The maximum funding rate per action under the Research Programme shall be fixed in the call conditions.

2.   Up to 100 % of total eligible costs per action under the Research Programme may be reimbursed.

However, in the case of legal entities which, by their legal form, are for-profit making or which have as their legal or statutory purpose to distribute profits to their shareholders or individual members, up to 70 % of the total eligible costs per action under the Research Programme may be reimbursed.

Notwithstanding the first and second subparagraphs, in the case of small and medium-sized enterprises up to 100 % of the total eligible costs per action under the Research Programme may be reimbursed.

1.   Indirect eligible costs shall be 25 % of the total direct eligible costs, excluding direct eligible costs for subcontracting, financial support to third parties and any unit costs or lump sums which include indirect costs.

Where appropriate, indirect eligible costs included in unit costs or lump sums shall be calculated in accordance with the first subparagraph.

2.   Notwithstanding paragraph 1, if provided for in the call conditions, indirect eligible costs may be declared in the form of a lump sum or unit costs.

1.   By way of derogation from Article 193(2) of Regulation (EU, Euratom) 2024/2509, costs of resources made available by third parties by means of in-kind contributions shall be eligible up to the total direct eligible costs of the third party.

2.   By way of derogation from Article 195(2) of Regulation (EU, Euratom) 2024/2509, income generated by valorisation shall not be considered to be revenue generated by the action.

1.   For all research projects the beneficiaries shall draw up periodical technical reports. Such reports shall describe the technical progress made during the reference period. They shall be shared with the innovation centre for industrial transformation and emissions established pursuant to Article 27a of Directive 2010/75/EU, for information purposes.

2.   On completion of the work, the beneficiaries shall provide the Commission with a final technical report comprising an assessment of the impact and exploitation of the results of the research project. The Commission shall publish that report in full or in summarised form depending on the strategic relevance of the research project.

1.   After the conclusion of the Research Programme, the Commission shall conduct a final review of activities and shall present its findings in a report. That report shall be sent to the Coal and Steel Committee.

2.   The Commission may appoint independent highly qualified experts to assist with the final review of activities.

1.   The assets shall be managed to provide annual or semi-annual payments within the limits of the annual allocations in order to finance collaborative research in the sectors related to the coal and steel industry. The annual or semi-annual payments shall be financed by the net revenue from the investments and by the cash amounts generated by selling part of the assets, up to the amount of the annual allocations.

2.   The Commission shall review Articles 20 to 26 where it considers it appropriate. To that end, the Commission shall reassess the operation and effectiveness of the financial guidelines and shall propose amendments thereto where it considers it appropriate.

1.   The assets of the ECSC in liquidation, including both its loan portfolio and its investments, shall be used as necessary to meet the remaining obligations of the ECSC in liquidation relating to its outstanding borrowings, its commitments resulting from previous operating budgets and any unforeseen liabilities.

2.   The assets that are not necessary to meet the remaining obligations of the ECSC in liquidation shall be prudently invested by the Commission, in accordance with the chosen investment horizon referred to in Article 21, and used to fund research in sectors related to the coal and steel industry.

1.   The assets shall be invested with the objective of preserving, and where possible enhancing, the value of those assets to meet the liquidity needs arising from the funding calls (the ‘investment objective’). The investment objective shall be pursued over the investment horizon and delivered with a high confidence level.

2.   The assets shall be managed in accordance with prudential rules and the principles of sound financial management, and in accordance with the rules and procedures set out by the accounting officer of the Commission and with the risk management framework of the Commission.

3.   The investment objective shall be pursued through the implementation of a prudent investment strategy based on diversification across eligible asset classes, geographical areas, issuers and maturities (the ‘investment strategy’). The investment strategy shall take into account the investment horizon and the size of remaining assets and shall ensure that necessary funds are available in a sufficiently liquid form as and when needed.

4.   The investment strategy shall be expressed in the form of a strategic asset allocation, which shall set out the indicative target allocations to different categories of eligible financial assets.

5.   The Commission shall reflect the strategic asset allocation in a strategic benchmark (the ‘benchmark’), against which the performance of the assets shall be compared.

6.   The investment strategy and the benchmark shall be determined by the Commission in accordance with the rules on the delegation of budget implementation powers referred to in Article 60 of Regulation (EU, Euratom) 2024/2509. In case the assets are invested only in current bank accounts and term deposits, an investment benchmark and investment strategy shall not be required.

7.   The Commission may modify the investment strategy and the benchmark in the event of:

The procedure for modification of the investment strategy shall be the same as for its initial determination.

8.   The investment strategy shall be established taking into account the investment horizon and the risk tolerance of the assets.

1.   Sufficient diversification among and within all asset classes shall be assured to reduce investment risks. In principle, the riskier or less liquid an asset, the less concentrated the exposure shall be.

2.   The assets may achieve exposure to different asset classes and diversification via investments in collective investment undertakings or exchange-traded products.

3.   The assets shall be invested only in the following asset classes, which shall be denominated in euro:

4.   The assets shall achieve exposure to the asset classes referred to in paragraph 3 through investment in the following instruments or by engaging in the following operations:

5.   Derivatives in the form of forward and future contracts and swaps shall be used solely for the purposes of efficient portfolio management and not for the purposes of speculation or leveraging of positions. Those derivatives may be used for adjustment of duration, mitigation of credit or other relevant risk or changes in asset allocation consistent with the investment strategy.

6.   The assets may be invested in liquid money market assets and bonds denominated in US dollars issued by sovereign and supranational entities provided they are invested for the sole purposes of diversification and exposure to another interest rate curve. Any currency risk shall be hedged by making appropriate use of swaps or other instruments for foreign exchange hedging, in accordance with paragraph 5.

7.   The Commission may, in accordance with the rules on the delegation of budget implementation powers referred to in Article 60 of Regulation (EU, Euratom) 2024/2509, enlarge the scope of eligible investments to include other asset classes and investment operations that are consistent with the investment strategy and objectives, as well as currencies of other advanced economies, as listed by the International Monetary Fund and subject to hedging of currency risk. Any decision to include new asset classes or investment operations, or currencies of other advanced economies, shall be supported by a substantiated justification per asset class, operation or currency, of how the expanded investment possibilities will enhance the risk-return performance of the assets. That justification shall include an assessment of the operational capacities needed to support those expanded investment possibilities.

1.   The investment strategy shall be implemented by favouring environmental, social and governance investments when available and possible, provided that they align with risk management criteria.

2.   The Commission may set out detailed guidelines applicable to environmental, social and governance investments, in accordance with the rules on the delegation of budget implementation powers referred to in Article 60 of Regulation (EU, Euratom) 2024/2509.

1.   The management of the funds shall be accounted for in the annual accounts for the ECSC in liquidation and, on completion of the liquidation, the annual accounts for the assets of the Research Fund for Coal and Steel. Those accounts shall be based upon and presented in accordance with the accounting rules adopted by the accounting officer of the Commission in accordance with Article 80 of Regulation (EU, Euratom) 2024/2509, taking into account the specific nature of the ECSC in liquidation and, on completion of the liquidation, the assets of the Research Fund for Coal and Steel. The accounts shall be approved by the Commission and examined by the Court of Auditors. The Commission shall engage external firms to carry out an annual audit of its accounts.

2.   The Commission shall carry out, in relation to the ECSC in liquidation and, on completion of the liquidation, the assets of the Research Fund for Coal and Steel, the management operations referred to in Articles 20 to 26 under the Commission’s internal rules and procedures.

3.   The Commission shall draw up a detailed annual report on management operations carried out under Articles 20 to 26 and send it to the Member States. In that annual report, the Commission shall include information on the use of the different asset classes, on the reasons behind its choice to invest in specific asset classes and on the observed performance of each asset class.

1.   The Commission shall manage the Research Programme. It shall be assisted by technical and advisory groups with relevant expertise, established by a Commission decision.

2.   The Commission shall be assisted by the Coal and Steel Committee. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.

3.   Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

4.   Where the opinion of the committee is to be obtained by written procedure, that procedure shall be terminated without result when, within the time-limit for delivery of the opinion, the chair of the committee so decides or a simple majority of committee members so request.