Council agrees its position on the RESTORE proposal

Member states' EU ambassadors agreed on the Council’s negotiating position on a proposal to facilitate the use of cohesion funds to help member states affected by natural disasters (the RESTORE proposal).

The proposal responds to the devastating floods and wildfires that impacted Central, Eastern, and Southern Europe this autumn. Its goal is to ensure that EU cohesion policy funds can be rapidly and flexibly mobilised to assist in post-disaster recovery and rebuilding efforts.

The agreement reached today will allow the Council presidency to start fast-track negotiations with the European Parliament to finalise the measures designed to support the affected member states.

The new measures will enable member states to swiftly and efficiently channel EU cohesion funds into post-disaster recovery and rebuilding efforts. They reaffirm our solidarity with the affected communities as they work to rebuild their lives in the aftermath of climate-related disasters.

Tibor Navracsics, Minister for Public Administration and Regional Development, on behalf of the Hungarian presidency

Main elements

The Council’s negotiating mandate retains the main elements of the Commission proposal, which amends the regulations governing the European Regional Development Fund (ERDF) and the Cohesion Fund, and the European Social Fund Plus (ESF+), for the 2021-2027 programming period. In line with the Commission proposal, the mandate offers additional assistance and further flexibility for member states affected by natural disasters that have occurred as from 1 January 2024, covering measures such as repairing damaged infrastructure and equipment, and providing food and basic material assistance and social and healthcare support.

The main changes made to the Commission proposal are as follows:

  • The new measures will apply to natural disasters occurring until 31 December 2025.
  • The maximum co-financing rate for RESTORE priorities has been reduced from 100% to 95%, requiring member states to contribute the remaining 5%.
  • In addition to the ERDF and ESF+, the Cohesion Fund can also support RESTORE measures where appropriate.
  • The overall resources available for reprogramming under RESTORE are capped at 10% of the initial total national allocation for the ERDF and ESF+, excluding the Cohesion Fund from the reference amount.
  • The measures would benefit from an additional pre-financing rate of 25%.

Next steps

Negotiations with the European Parliament are expected to start in the coming weeks, once the Parliament has voted on its mandate.