Cohesion Fund 04-06

Accession of the Czech Republic to the European Union allowed the Czech Republic to draw on financial resources from European Union funds. One of the funds the Czech Republic could utilise in the programming period 2004 – 2006 was the Cohesion Fund. From the perspective of the volume of financial resources determined for the Czech Republic the Cohesion Fund made up approximately 1/3 of the overall volume of funding provided in the years 2004 - 2006.

Besides the fact that the Cohesion Fund in EU member states whose GDP is lower than 90 % of the EU average provided contributions to projects which contributed to achieving objectives related to the environment and trans-European transport networks, it was also supposed to achieve a shift towards budget stability in those supported states, as requested by the EMU (Economic and Monetary Union), yet without restricting extensive investment which is necessary in these regions.

The conditions for RIA obtaining support from the Cohesion Fund directly followed on from the EU pre-accession support via the pre-accession instrument  - ISPA, because use of the ISPA fund was the primary assumption for subsequent successful utilisation of co-financing of projects from the Cohesion Fund following accession of the Czech Republic to the EU. More about the ISPA fund can be found here.

The Cohesion Fund was established in 1993 to provide assistance at a national level to selected countries (e.g. Greece, Portugal, Spain, and Ireland) so that they could prepare for accession to the EMU. Historically the Cohesion Fund has financed projects in the field of the environment and trans-European transport networks. The provision of support is conditional upon two factors: one being GDP (or rather GNP) in purchasing power parity per capita cannot exceed 90 % of the EU average in the member state in question, and two being the member state must carry out the programme of “economic convergence”. More about the Cohesion Fund can be found here.

The extent of EU support provided through the Cohesion Fund amounted to 80-85 % of public or equivalent expenses. The exact amount of support was determined according to the type of project that was being undertaken.

The Cohesion fund provided resources for large investment projects (totalling at least 10 million EUR). Projects financed from this fund in the transport sector constitute part of the trans-European transport network.

RIA submitted four projects which were approved for financing from the Cohesion fund in the programming period 2004 – 2006.

The total EU contribution received by RIA as part of the Cohesion Fund from 2004 – 2006 amounts to more than 6.5 billion CZK.

Start Finish Name
14.04.2005 29.09.2011 European Train Control System (ETCS), Pilot project Poricany-Kolin
01.04.2006 01.01.2009 Optimization of Plzeň – Stříbro railway section
01.08.2005 01.10.2008 Červenka – Zábřeh na Moravě track section modernisation
01.04.2004 01.01.2007 Optimisation of Zábřeh na Moravě - Krasíkov Railway Section

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