INSIGHT ISSUE 01 | 2021

15 By “shovel ready,” EY means expecting a financial close within the next two years, “that just need one last push.” The study is based on 169 interviews in 27 member states carried out with industrial companies, public entities, investors, project developers, startups, and professional associations. The European Commission is working on a “Next generation EU” package of €750 bn to support economic recovery. This package will complement the EU budget for the period 2021-2027, bringing the EU’s commitments to €1,850 billion. By highlighting the large number of green projects in the pipeline, the EY study shows that concerns that countries “are not ready” to spend the funds may be misplaced. Financing is only one of the aspects holding back the deployment of green projects, the study says. For 49% of the projects selected, the main barrier is regulatory, administrative, or commercial. Governments would therefore do well to re-examine policy and regulatory measures in order to deliver environmental and social value. The investment requirements of EY’s selected projects would be between 10% and 50% of the stimulus grants for the five countries receiving the largest shares of the Next Generation EU fund, the study says. €750 bn Complement to EU budget for the period 2021-2027 €1,850 bn Total EU's commitments THE "NEXT GENERATION EU" PACKAGE PRYSMIAN GROUP EDITORIAL STAFF INSIGHT | Focus On Energy accounts for the largest single sector out of the 1,000 projects picked by EY, with 374 projects for €75 billion required. Out of 374 projects, 193 have indicated main barriers. For 43% of these projects, the most important barrier is financial. The transport sector is next-largest with 217, in areas such as electrification of transport, recharge infrastructure for low carbon mobility, public transport, autonomous vehicles & connectivity or low carbon logistics, for an aggregated investment required of €87 billion. In the industry sector, 201 projects were highlighted, for a total investment requirement of €19.1 billion. Approximately 36% of the projects identified are related to circular economy, and a third focus on industrial process improvement. Buildings projects number 125, in areas such as building energymanagement, building renovation / energy efficiency improvement, construction process and Innovative building, for a needed investment of €13.3 billion. Land use is still an emerging sector, with 40% of the projects proposed by startups. The total of 85 projects has an investment requirement of €5 billion. For Land use, almost 50% of projects identified are concentrated in three countries: Czech Republic (18%), Italy (13%) and the Netherlands (12%). EY chose Prysmian Powerlink’s €10 million High Depth Submarine Cable Systems project as one of its “50 illustrative projects” in the energy sector, a submarine cables project contributing to strengthening interconnections and energy transition for integration of renewable sources such as offshore windfarms. The aim of the project is to make submarine cables lighter and stronger, replacing the steel armor with high performance fibers. ENERGY TRANSPORT INDUSTRY BUILDING PROJECTS LAND USE