After more than 4 days of negotiations, 27 heads of government struck a deal and agreed on the EU budget totalling 1.82 trillion Euro. The deal includes the regular 7-year budget called the ‘Multiannual Financial Framework’ (MFF) and the 750 billion Euro Recovery fund, called ‘Next Generation EU’ (NGEU). ECF and its members are calling for a fair distribution of investments in the transport sector and continue to push for more cycling projects.

The NGEU is set up to help member states deal with the economic crisis caused by the COVID-19 pandemic. The NGEU itself is split up in several funds. The largest and most important by far is the ‘Recovery and Resilience Fund’ (RRF) with 672 billion Euro. Member States will have a big say on how to spend that money. Aside from the general requirement of 30 % climate investments, the expenditures primarily should trigger economic recovery and create jobs.

New Opportunities for Cycling Projects

However, the agreement on the RFF does neither specify what counts as a climate investment nor in which economic sector the money should be invested. It is unclear how much of it will be going to transport. Car scrappage schemes for conventionally cars, vans and lorries, in any case, have to be avoided. Yet, if such schemes were to be introduced nationally for e-cars and hybrid cars, ECF is appealing to the principle of fairness and a level playing field for more sustainable modes of transport, hence these should be extended to (electric) bicycles and other forms of sustainable transport, too.

In response to the COVID-19 crisis, ECF issued ‘ECF recommendations for healthier and safer streets’. The idea of a 5.4 billion Euro E-bike access fund as well as 95,000km of COVID bike lanes have found a lot of traction with European leaders and would be obvious projects to push for.

In response to the EU recovery fund, ECF recommends:

National e-bike/ e-cargo bike fund. Sweden and France are particular successful recent examples, which have proved that these purchase subsidy schemes can substantially increase the uptake of e-bikes, and that a high share of trips done with e-bikes bought under the schemes replace car trips. During the COVID-19 crisis, Italy also introduced a support scheme, and other countries are currently drafting legislation or are considering it. This is a unique opportunity to generalise these schemes all around the EU, and create a level playing field for e-bikes compared to e-cars.

High-quality, safe and attractive cycle infrastructure, including cycle highways; Local, regional, national cycle route networks; Bridges, underpasses; and bike parking stations at public transport hubs. The UK, for example, will invest 2.2 billion Euro over the next 4 years in “thousands of miles of curb-protected cycleways” to kick-start a cycle revolution. ECF strongly encourages the EU 27 Member States to take inspiration from this example.

Cycling is essential for a sustainable recovery. It is the only mode of transport that responds to the triple challenge of economic recovery and job creation; climate crisis; and the Covid-19 pandemic and the need for social distancing. To get us out of this crisis, the Next Generation EU 750 billion Euro fund poses a unique opportunity. Cycling qualifies for meaningful investments. ECF will continue to push for the EU E-bike access fund and the COVID bike-lanes.