25 July 2020
The European Council agreed on the plan for economic recovery, which still needs approval by the European Parliament. Know what implications it might have for the ASD industries.
The agreement on the economic recovery plan was closed, this week, between the State-Members leaders, in Brussels. During five days of negotiation, from 17 to 21 of July, the European Council discussed the European Union’s Economic Recovery Fund, the “Next Generation EU” (NGEU) plan, which has now to be approved by the European Parliament (EP).
The EP exercised the veto right and demanded a reformulation of the plan, arguing that the cuts in fundings for the areas of R&D and youth are very significant. It is expected that in the beginning of September there will be a new debate in the EP to approve the “Next Generation EU” already reformulated.
The NGEU was created to help EU countries to deal with the crisis caused by the pandemic and reinforces the traditional MFF (Multiannual Financial Framework).
A total budget of around €1 trillion and €824 billion has been determined for the next seven years:
In a macro analysis, we can see cuts in some centralized management programs by the European Commission, mainly linked to business support, but the national envelopes were practically spared.
The Community budget also started to have new priorities to be financed, such as security and defence, the environment and the digital, areas of great importance for the Aeronautics, Space and Defence Cluster, which should, despite the huge reduction compared to what was planned before the pandemic, take into account the following values for funds, in the MFF:
For Portugal, €45,1 billions was the total settled amount, being that €15,3 billion will come from the Recovery Fund (NGEU) and €29,8 billions come from the MFF. As happens with all EU State-members, Portugal will have to present to the EU the strategy to recover national economy and the way in which these funds will be managed and distributed. This same strategy was presented by António Costa Silva and is now under public debate.
National Cluster companies are prepared to collaborate in fighting fires, using their unmanned aircraft.
The document, which will be a strategic guideline for Portugal's economic recovery and financing for the next decade, defends the reinforcement of investments in the Defence sector.
Several companies in the Aeronautics, Space and Defence sectors are manufacturing equipment and enabling services to support the pandemic caused by the spread of the Coronavirus.
ESA is going to launch into space half a hundred new satellites. One of them has a portuguese contribution.
In an interview with a national radio station, Mr. José Neves (AEDCP's President of the Board of Directors) spoke about the impact of the pandemic on the sector, the challenges ahead and their possible solutions.
A new platform where investors can find the best location to develop their business in Portugal.
The European Commission announced the winning projects of the EDIDP and PADR defense programs, which include 6 national entities.
In the context of the global pandemic, AED Cluster Portugal prepared a synthesis document with mitigation measures for the Aeronautics, Space and Defense sectors, which was handed over to the Government.