The European Union Encourages Green Investment in Member States

The European Union (EU) is leading the way for green incentives while creating employment opportunities for women and young people through the funds it provides to countries. In Turkey, support provided to 16,000 projects has created employment for 65,000 people, with 20 percent of Instrument for Pre-Accession Assistance (IPA) investments implemented by women. Meanwhile, a low-carbon economy continues to take shape through the European Union's Green Deal, which forms the roadmap for addressing climate crisis, global warming and sustainability issues. According to exporters from the Aegean region, which declared 2020 as the "Year of Sustainability," focusing on sustainable growth benefits society and adds value for investors while determining the future of our world. At an online video conference organized by Aegean Exporter Associations, Bülent Özcan, Director General of Financial Cooperation and Project Implementation at the Foreign Ministry's European Union Presidency, discussed the programs and project grants that Turkey will benefit from in the new EU period extending until 2027.

Customs Union must be updated, visa liberalization dialogue should accelerate

Jak Eskinazi, Coordinator President of Aegean Exporter Associations, said that the EU market accounts for 50 percent of Turkey's exports, which is why duty-free exports and imports are crucial. "The Customs Union between Turkey and the EU, which has been in effect for 24 years and awaits updates, needs to have its scope expanded and be modernized as soon as possible, and work on visa liberalization dialogue needs to accelerate for our relations to continue steadily. We achieved USD 40 billion of Turkey's USD 83 billion exports during January-July out of exports to EU countries. We reached USD 7 billion in exports in July. In the first seven months, we experienced an 18 percent decline in our trade, and an 8 percent decline in July. We hope that travel restrictions imposed on EU countries will be lifted in the near future. The Green Deal, which the EU has developed to combat global warming and includes many efforts such as climate legislation and carbon border tax, is one of the issues we attach the most importance to on our agenda."

Green Deal conveys the same message as EİB's Sustainability Manifesto

According to Eskinazi, for our country, which has taken green transformation steps in many fields, especially agriculture, industrial production and energy generation, this agreement contains a series of opportunities. "The most important opportunity is the concentration of investments by Turkey, which has the natural resources necessary for clean and renewable energy production as part of the Green Deal. Our Association's Sustainability Manifesto, which declared 2020 as the "Year of Sustainability," conveys the same messages as the Green Deal, which will open new doors for us in increasing sustainable and environmentally conscious production that we have long embraced. We are now entering a period where we will see cooperation between companies and governments on sustainability and recycling, and trade restrictions may be imposed on countries that do not participate. That is why it is very important for our companies to be part of these efforts from now on. It is inevitable that other programs will have a significant impact on contributing to the human capital of our companies and advancing their international operations."

Key highlights regarding EU funds are as follows;

- The EU aims to achieve a transformation through the "Green Deal" covering all sectors from manufacturing to energy, transport, reaching zero carbon emissions by 2050. - Industry 4.0 and the Green Deal will directly affect businesses and companies, and will be a determining factor in the business world and trade. Therefore, companies need to monitor the process carefully and be prepared. - EU funds are renewed every 7 years. The 2021-2027 period is starting. The EU has allocated USD 13.5 billion in resources to 7 countries. Which country receives what amount of funding remains unclear at this moment. - There are also programs targeting businesses exclusively. Companies from Europe and Turkey are coming together to work on projects that can commercialize new ideas and bring them to markets. There is no subject limitation. Apart from this, there are programs with individual applications. - The final call of the Horizon 2020 program will be in September with a budget of 1 billion euros in the European Green Deal area. This call is open to anyone developing innovation projects in different fields. A program providing support and funding opportunities for innovation-focused areas ranging from agriculture to food, transportation to energy, production to environment, space sciences to renewable energy, information communication technologies to environment. With its massive financing of 80 billion euros, it is the world's largest budget research and innovation program. - In the new period it will continue under the name Horizon Europe. Its budget is expected to be 100 billion euros.

- Erasmus+ is known as a student exchange program but it is not just that. It also includes support for work related to employment and job creation efforts. For example; strategic partnership, knowledge sectoral skills partnership projects exist. Total budget is 14.7 billion euros. 34 countries are involved. In 2021, its budget will be 22.5 billion euros.

- COSME is more of a network and business development program targeting SMEs. A program aimed at increasing information about public procurement and business purchases. Its budget is 400,000 euros. Representatives of the business world from Turkey or Europe can participate in this project. - EASI is a program related to bringing workers and employers together. Programs like InvestEU and Horizon Europe promote sustainable investment. - The European Union announced its seven-year financial framework in recent months. A fund pool of 1.5 trillion euros is being created under the borrowing program. Turkey will definitely participate in Erasmus+ and Horizon 2021 programs. The funds we are included in create different areas of the EU harmonization process while preparing us for the harmonization process and also increasing Turkey's chance of reaching the budget in the fund pool created for EU member countries. - Coronavirus will have no impact on funds. Programs have not been cancelled. All kinds of facilities have been provided regarding project implementation processes. There is an increase, not a cut in funds. Companies should add digital elements when designing their projects. Turkey submitted nearly 400 projects, with a portfolio of 4 billion euros for these projects.