Call for proposals

of 15 April 2011

1 Funding purpose and legal basis

1.1 Funding purpose

Opening up innovation potential through international cooperation is an important priority for the German Federal Government. International networking can boost the competitiveness of German companies, research institutions and universities.

The Baltic Sea region has great potential for cooperation in the areas of research and development (R&D). Stakeholders from this region play a leading role in key emerging areas. There are already diverse cross-border initiatives of various countries in the Baltic Sea region that are attractive for German participants.

This programme of the Federal Ministry of Education and Research (BMBF) is intended to help German researchers engage in networking activities with outstanding researchers from the Baltic Sea region in order to develop cooperation strategies and participate in R&D projects. The ultimate aim is to promote the internationalization of existing national networks.

International contacts are to be created along the entire value-added chain in order to support technology transfer and innovation. For this reason, the participation of companies, particularly that of small and medium-sized enterprises (SMEs), in the R&D networks is expressly desired.

It is becoming increasingly important to consider the needs of future users when developing new products, services and processes. The Nordic countries have developed very interesting "user-driven innovation" and "open innovation" concepts from which German companies can benefit.

1.2 Legal framework

Project grants will be awarded on the basis of private-law funding contracts in accordance with the present call, the BMBF's standard terms and conditions for grants on an expenditure or cost basis and the administrative regulations under sections 23 and 44 of the Federal Budget Code (BHO).

There is no legal entitlement to funding. The funding provider will make a decision after due assessment of the circumstances and within the framework of the budget funds available.

2 Object of funding

Funding will be provided for the establishment and development of R&D networks or for the international orientation of such networks with partners from the Baltic Sea region. These networks should focus on the fields of action of the Federal Government's High-Tech Strategy (climate/energy, health/nutrition, security, mobility, communication) or on key technologies that are geared towards these fields of action. Innovative concepts for the creation and development of interdisciplinary networks are welcomed. (Further information is available on the BMBF's website at http://www.bmbf.de/en/14397.php).

Funding takes place in two phases which run consecutively:

• First Funding Phase:
  Establishment or development of the network
  The first funding phase can last up to twelve months and serves to establish the new R&D network or expand an existing R&D network involving partners in the Baltic Sea region (Denmark, Finland, Norway, Sweden, Estonia, Latvia, Lithuania, Poland and Russia). This phase is intended to build up sustainable network structures. A written agreement about the nature of cooperation activities within the network should therefore be signed by the network participants at the end of this phase, for example in the form of a Memorandum of Understanding (MoU).
• Second Funding Phase:
  Initiation of specific R&D projects
  Funding in the second funding phase, with a duration of up to twelve months, can be provided for the initiation of specific joint projects. In this phase, the network partners should prepare and submit a project application in one of the fields listed in section 2 or acquire a private-sector R&D contract.

3 Funding recipients

Research proposals may be submitted by German research institutions, institutions of higher education and commercial companies, particularly SMEs*.
Research establishments which receive joint basic funding from the Federal Government and the Länder can only be granted project funding for additional expenditure on top of their basic funding under certain conditions.

4 Prerequisites for funding

Funding will only be provided for projects that have high potential for realization and success in line with the objectives of this call.

At least three partners must be involved in the establishment or development of the R&D network:

1. A German partner
   In addition, there should be at least one partner from:
2. Denmark, Finland, Norway or Sweden and at least one partner from:
3. Estonia, Latvia, Lithuania or Poland

Institutions from Russia can participate as additional partners.

The German partner should include at least a letter of intent concerning the participation of a foreign institution from one of the countries listed under b or c.

In order to receive funding for the second phase, applicants must have successfully participated in the first funding phase. Participation must be confirmed by a report on the results achieved and the agreement reached. In order to obtain further funding under the second phase, applicants must present a convincing funding or financing solution for a joint research project within the network. For example, this can be a specific call within an EU funding programme, a national (Federal Government or similar) or regional funding programme, a call published by one of the other countries in the Baltic Sea region in which the network would like to participate, or a contract from the private sector that is to be acquired jointly by the network partners. In this case, the application should include an expression of interest from the potential industry partner, confirming that this partner has a general interest in cooperating with the R&D network and in awarding R&D contracts to the network.

5 Type, scope and rates of funding

Funds will be awarded in the form of non-repayable project grants. Funding is provided through a contract under private law.
The level of funding in the first phase amounts to a maximum of €50,000. Funding for preparing the ground for concrete joint projects under the second phase amounts to a maximum of €30,000.
The following measures can be funded in the first and second funding phase:

1. Travel expenses and subsistence costs incurred by German experts travelling to the Baltic Sea region
   Per diem: €94 for accommodation and meals
2. A per diem allowance of €104 for stays by foreign experts from Estonia, Latvia, Lithuania and Poland in Germany
3. Grants can be provided towards the rental of venues and accommodation in the context of the organization of workshops in Germany. Grants can be provided on a pro-rata basis towards the costs of events in Estonia, Latvia, Lithuania, Poland and Russia.
4. Funding for equipment can be provided in justified exceptions and to a limited extent.
5. In justified special cases:
   Staff on the German side, e.g. for the organization and realization of events (up to three man-months)

The following expenses will not be covered in whole or in part

• Personnel costs (exceptions: see e, above)
• Costs of translating documents, interpreting, etc.

In addition, funding cannot be provided for normal basic equipment such as:

• Expenditure on office supplies, communication, etc.
• Laboratory and IT equipment

Grants for commercial companies are calculated on the basis of the project-related costs eligible for funding, up to 50% of which can as a rule be covered by government grants, depending on the project's relevance to application. The BMBF's policy requires an appropriate own contribution towards the eligible costs incurred - as a rule of at least 50%.

Grants for universities, research and science institutions and similar establishments are calculated on the basis of the eligible project-related expenditure (grants for Helmholtz centres and the Fraunhofer Gesellschaft (FhG) are calculated on the basis of the eligible project-related costs), up to 100% of which can be funded in individual cases.

The European Commission's Community Framework for State Aid for Research and Development must be taken into account when determining the rates of funding. The Community Framework allows differentiated bonus arrangements for collaborative projects proposed by applicants from the new German Länder and by SMEs, which may result in a higher rate of funding.

6 Procedure

6.1 Implementation of the funding measure

The BMBF has entrusted the International Bureau of the BMBF at the DLR with the implementation of this funding measure.

Internationales Büro des BMBF
Heinrich-Konen-Str. 1
53227 Bonn
Internet: http://www.internationales-buero.de

Applications for funding are to be submitted in accordance with the following criteria.

6.2 Application process in electronic form and hard copy

Applications for funding can only be submitted by the German partner.

If there are several German partners, each partner must submit its own application which is coordinated with the main partner. All the applications submitted must bear the same title. The main partner submits the specialist project proposal for all the other partners.

The German partner should include at least a letter of intent concerning the participation of a foreign institution from one of the countries listed under 4b or 4c.

Applicants must use the IB's electronic application system "ewa" to draft formal applications. This can be accessed via the following website: http://www.ewa.internationales-buero.de?project_cat=SOMA
In addition to the electronic application, a hard copy of the final application (finalized using the electronic application system), signed by and bearing the stamp of the German and the foreign partners, is to be sent by post to the following address (taking into account the deadline for submission!):

Deutsches Zentrum für Luft- und Raumfahrt e. V.
Internationales Büro des BMBF
Agnieszka Wuppermann
Heinrich-Konen-Str. 1
53227 Bonn

The following information must be enclosed with the application for the first funding phase as an attachment to the electronic application. It should not exceed ten pages and should be structured as follows:

1. Formulation of the objectives to be achieved in the first phase (establishment or development of the network) and initial ideas for planned follow-up activities in the second phase
2. Research management experience in coordinating international projects and networks
3. Description of existing contacts and collaborations with the target countries in the region
4. Information on the research and innovation potential of the prospective partners in the partner countries
5. Overall concept of the network and planned individual measures for the establishment and creation of the network
6. Medium and long-term effectiveness of the proposed measures in line with the objectives of this call
7. Detailed work plan and time schedule and, if relevant, distribution of tasks and cooperation with the existing and potential partners
8. Structured financial plan with information about own funds and funding requirements, structured according to the eligible types of costs (see section 5).
9. Measures for the protection of intellectual property/IPR: The BMBF brochure on the protection of intellectual property offers helpful suggestions for cooperation agreements. The brochure is available for download via the following link: http://www.bmbf.de/pub/know_how_internationale_kooperation.pdf
10. Suggestions for the evaluation of the proposed measures

A separate follow-up application must be submitted for the second funding phase. This application must be submitted at least three months before the end of the first funding phase to ensure a seamless transition.

The following information must be enclosed with the application for the second funding phase as an attachment to the electronic application. It should not exceed ten pages and should be structured as follows:

1. Description of the goals achieved in the first funding phase (establishment or development of the network) with regard to the follow-up activities in the second phase
2. Description of existing contacts and collaborations with the target countries in the region
3. Documentation of cooperation e.g. in the form of a Memorandum of Understanding (MoU)
4. Title of the funding programme towards which the project preparation is targeted and the application deadline or, in cases involving the acquisition of a private-sector contract, documentation of an expression of interest on the part of the potential industry partner (cf. 4)
5. Overall concept of the planned project with details of individual measures planned
6. Medium and long-term effectiveness of the proposed measures in line with the objectives of this call
7. Detailed work plan and time schedule and, if relevant, distribution of tasks and cooperation with the existing and potential partners
8. Structured financial plan with information about own funds and funding requirements, structured according to the eligible types of costs (see section 5)
9. Measures for the protection of intellectual property/IPR: The BMBF brochure on the protection of intellectual property offers helpful suggestions for cooperation agreements. The brochure is available for download via the following link: http://www.bmbf.de/pub/know_how_internationale_kooperation.pdf.

6.3 Deadline for applications

Applications for funding for the first phase are to be submitted to the International Bureau by 15 June 2011 at the latest. New Deadline for applications: 12. July 2011

The submission deadline is not a cut-off deadline. However, applications received after this date will usually not be considered.

6.4 Contacts

For questions regarding this announcement and the drafting of applications for funding, please contact the following persons at the International Bureau:

For subject-related information (Nordic countries), please contact:
 Dr. Hans-Peter Niller,
e-mail: hans-peter.niller@dlr.de
Phone: +49 228 382 14 68

For subject-related information (Baltic countries and Poland), please contact:
Dr. Michael Lange
e-mail: michael.lange@dlr.de
Phone: +49 2 28 382 14 85

For administrative information, please contact:
Agnieszka Wuppermann (Nordic and Baltic countries)
e-mail: agnieszka.wuppermann@dlr.de
Phone: +49 228 382 15 07

Maija Buddrich (Poland)
e-mail: maija.buddrich@dlr.de
Phone: +49 228 3821 467

If you have any technical questions concerning the online application process, please contact:

Martina Lauterbach
Deutsches Zentrum für Luft- und Raumfahrt e. V.
Internationales Büro des BMBF
Heinrich-Konen-Str. 1
53227 Bonn
e-mail: martina.lauterbach@dlr.de
Phone: +49 228 382 17 34

6.5 Selection and decision-making procedure/funding criteria

The evaluation of the project proposals will include external experts and will be based on the following criteria:

• Compliance with the specified thematic priorities and the specified formal requirements
• Plausibility and innovation potential of the overall concept
• Initiation of new partnerships and development/intensification of existing partnerships in the Baltic Sea region
• Scientific and administrative expertise of the German applicant for managing the proposed network
• Plausibility and viability of the methodology, the work plan and the time schedule
• Research and innovation potential of the prospective partners in the target countries
• Relevant connections of the applicant with the prospective partner countries
• Participation of companies, particularly SMEs
• Benefits of the proposed measures from Germany's point of view; medium and long-term effectiveness beyond the funding phases

Additional criteria for the second funding phase are:

• Prospects of success with regard to funding under regional, national or European funding programmes
• Industry participation in the R&D networks: Commitment of the industry partners to engage in long-term cooperation with the network and award R&D contracts

A decision on the provision of funding will be taken after final consideration on the basis of the evaluation. Applicants can expect to receive written notification of the results of the competitive selection process for the first funding phase in September 2011.

There are plans to evaluate the measures receiving funding. Successful applicants are expected to participate in a kick-off workshop and an evaluation workshop after the first and second funding phases.

7 Entry into force

This call will enter into force on the day of its publication in the Federal Gazette (Bundesanzeiger).

Bonn, 15 April 2011

Dr. Erika Rost
Federal Ministry of Education and Research

* According to the EU's definition of SMEs: The category of micro, small and medium-sized enterprises consists of enterprises which employ fewer than 250 people and which have either an annual turnover not exceeding €50 million, or an annual balance sheet total not exceeding €43 million. Within this category, the following definitions apply: Small enterprises are defined as enterprises which employ fewer than 50 persons and whose annual turnover or annual balance sheet total does not exceed €10 million. Micro enterprises are defined as enterprises which employ fewer than 10 persons and whose annual turnover or annual balance sheet total does not exceed €2 million. In general, most SMEs are autonomous since they are either completely independent or have one or more minority partnerships (each less than 25%) with other enterprises. If that holding rises to no more than 50%, the relationship is deemed to be between partner enterprises. Above that ceiling, the enterprises are linked.
Source: http://ec.europa.eu/enterprise/enterprise_policy/sme_definition/sme_user_guide_en.pdf