The projects are funded by the Directorate-General for Structural Reform Support (DG REFORM) (European Commission). The mission of the DG REFORM is to help EU countries to design and implement reforms as part of their efforts to support job creation and sustainable growth. To this end, EU Member States submit requests for support under REGULATION (EU) 2021/240 establishing a Technical Support Instrument.

A.      Sustainable for Local Public Finances

Approved in 2015 by the United Nations (UN), the 2030 Agenda for Sustainable Development Goals (SDGs)  set the global development agenda for the next fifteen years, highlighting essential actions for humanity and the planet.

The European Union (EU) has contributed to the creation of the SDGs and has shown proactivity to implement them. More specifically, the European Commission (EC) has prioritized sustainable development throughout its mandate, highlighting the significance of the Sustainable Development Goals (SDGs) for all EU Member states. The full implementation of the 2030 Agenda is "crucial to strengthen resilience and prepare the world for future shocks”. It has committed to carry the 2030 Agenda through its internal and external policies, as mentioned in the (i) 'Towards a Sustainable Europe by 2030' reflection paper , (ii) the European Green Deal, (iii) the European Commission's political priorities and its work program.

While the UN framework for SDGs is focusing on national policies, efforts to decentralize the integration of SDGs are ongoing, including focusing attention on the links between local actions and global challenges . In fact, the SDGs also have a regional dimension, sometimes called 'localisation'. Achieving around 65 % of the targets is estimated to depend on input from local and regional authorities. Successful implementation of the goals depends largely on effective cooperation between national and local stakeholders and mechanisms to act on the ground. The annual High-level Political Forum (HLPF) - the central UN platform for the follow-up and review of the 2030 Agenda for Sustainable Development and SDGs at the global level - also promotes input from regions and cities. The platform presents an overview of local SDG measures globally, a sample toolbox, and a selection of Voluntary Local Reviews, in which several examples originated from European regions and cities. SDG 11 on 'Sustainable cities and communities' covers such issues as public transport, air pollution, housing, waste and safety. The involvement of regional and local governments is key to national achievement towards this goal since they have a direct implication in the implementation of such policies. In addition, other SDGs such as SDG 13 (climate change), SDG 7 (affordable and clean energy), SDG 10 (reducing inequalities) and/or SDG 16 (strong institution) are at the core of actions and concerns for local governments, as demonstrated for instance by the cities stemming from the European CSPF  (the beneficiary of this technical assistance), having tackled these challenges and goals since 2020 showcasing and exchanging concrete cases and solutions. The SDG framework is thus a useful political orientation for territorial strategies, with the possibility to adjust the specific targets and indicators under each goal to the local context and within local jurisdictions.

Monitoring SDGs at the local level can, therefore, help support the overall implementation of the SDGs, reinforce local efforts, support regional development strategies, and provide transparent information about within-country trends. This involves budgeting for the SDGs at the local budgetary framework level. SDG budgeting is a key tool as it enables accountability of public expenditures and their impact on achieving set objectives. This strategic approach involves the allocation and evaluation of financial resources based on anticipated development outcomes, thereby emphasizing effective and efficient use of public funds. Integrating development goals into the budgetary process helps direct spending towards priority sectors, promote equitable resource distribution, and maximize positive societal impact. SDG budgeting also highlights cross-cutting goals, encouraging an integrated approach to address complex challenges. By adopting this approach at the local level, cities could enhance the relevance, coherence, and sustainability of their budgetary policies, thus significantly contributing to the achievement of long-term development aspirations.

The European Parliament has expressed its support for an overarching European sustainable development strategy and increased involvement of regional, local and civil society organizations in SDG implementation.

Achieving the Sustainable Development Goals demands a systemic approach, with planning, economic, finance and other relevant authorities working closely transversally. It will heavily depend on successfully tackling trade-offs and leveraging synergies within this broad agenda. Public policies should be coherent with one another, and evidence based.  A solid knowledge capacity needs to be built to prevent policies unintentionally creating unsustainable patterns.

One the one hand, policy-making that takes into account both interactions among the SDG goals and targets, and of the SDGs with other policy agendas, guarantee the sustainability of the impacts. On the other hand, innovative methods and tools can enhance capacity to adopt systemic integration of the SDGs, both within authorities and among other actors. A data-informed analysis of interactions can provide more coherent and effective decision-making, follow-up, and monitoring, and encourage knowledge gathering, learning processes and multi-actor partnerships. Systemic analysis can support both prioritization by identifying areas where action can best support overall SDG progress and avoid unnecessary conflicts between goals; but also help to identify the best collaboration mechanisms between different actors on specific issues to their mutual advantage.

Project general objective

The general objective of this project is to support European cities in aligning their public finances management practices with Sustainable Development Goals (SDGs), supporting their efforts to implement and achieve the Agenda 2030, which could encourage investment, increase competitiveness, and assist in achieving sustainable economic and social convergence, resilience, and recovery. This should also strengthen institutional and administrative capacity at municipality level, to facilitate socially inclusive, green, and digital transitions, to effectively address the challenges identified in the country-specific recommendations and to implement the Union law.

Specific objectives

The specific objective(s) of this Project is:

·       to support Bordeaux Metropolis, the city of Barcelona, the city of Hamburg, and the city of Amsterdam to design, develop and implement reforms;

·       to support Bordeaux Metropolis, the city of Barcelona, the city of Hamburg, and the city of Amsterdam to align their budgeting practices and policy frameworks with Sustainable Development Goals and promote these practices among other cities within the European Union.

The achievement of the objectives of this Project will depend on the follow-up actions undertaken by Bordeaux Metropolis, the city of Barcelona, Hamburg, and Amsterdam.

B.      Green Budgeting for regions

Following the Technical Support Instrument (TSI) 2024 call, two European regions requested for specific and tailored technical support from DG Reform for the development of transparent and easily applicable method for climate tagging, as well as its integration in the budget cycle. The Regional Ministry of Environment and Climate of Lombardy (Italy) as well as the Ministry of Finance of Baden-Württemberg (Germany) requested this specific support to achieve climate neutrality by 2040. These two regions are members of the interregional network “Four Motors for Europe”.

Project general objective

The general objective of this Project is to support Italy (in particular, the Regional Ministry of Finance and Ministry of Environment of Lombardy), Germany (in particular, the Ministry of Finance of the State of Baden Württemberg) and Greece (in particular, the Ministry of Economy and Finance) in their efforts to implement reforms, which could encourage investment, increase competitiveness, and assist in achieving sustainable economic and social convergence, resilience and recovery. This should also strengthen their institutional and administrative capacity, including at regional level to facilitate socially inclusive, green and digital transitions, to effectively address the challenges identified in the country-specific recommendations and to implement Union law.

Specific objectives

The specific objective(s) of this Project is to support the beneficiaries to design, develop and implement reforms.