Pre-Announcement of the Funding Programme “STEP-ONE: Setting up facilities and production lines for manufacturing new innovative products/services”

The Research and Innovation Foundation (RIF) informs interested parties that it is expected to announce a Call for Proposals under the Funding Programme “STEP-ONE: Setting up facilities and production lines for manufacturing new innovative products/services”, with a total budget of €1,800,000 and maximum funding of €900,000 per project.

The objective of the STEP-ONE Programme is to support enterprises in Cyprus in establishing facilities and production lines for the manufacture of new innovative products and services, thereby strengthening their production capacity and competitiveness.

The Programme is implemented within the framework of the European Strategic Technologies for Europe Platform (STEP) Regulation and covers the following technology sectors:

• Deep and digital technologies.
• Clean and resource-efficient technologies.
• Biotechnologies.

Eligible Activities

The Programme is addressed to small, medium-sized and large enterprises wishing to invest in the establishment of facilities and production lines for new innovative products and services.

Funding will be provided in accordance with the applicable European Union State Aid Regulations, through the General Block Exemption Regulation (GBER) and the De Minimis Regulation, depending on the nature of the activities and the applicable eligibility conditions.

Projects may include the following activities:

1. Production Activities

Establishment of facilities and production lines for the manufacture of new innovative products or the provision of innovative services. Depending on the applicable conditions, support may be provided under Articles 14, 17, 22 or 29 of the GBER, or under the De Minimis Regulation.

2. Training Activities

Training of personnel related to the establishment and operation of the facilities and production lines, in accordance with Article 31 of the GBER.

3. Other Supporting Activities

Activities related to production, communication, recruitment of specialised personnel, attraction of investment and market penetration, in accordance with the provisions of the De Minimis Regulation.

The selection of the appropriate State Aid scheme must be justified based on the nature of the activities and the relevant provisions of the State Aid Regulations.

Required Documentation

As part of the proposal submission process, interested enterprises will be required to submit, among other documents, the following:

• Technical and Economic Feasibility Study and Business Plan, demonstrating the viability of the investment and the prospects for the commercial exploitation of the product or service.
• Cost estimate for the machinery and equipment required for the establishment of the facility or production line, based on at least three (3) comparable quotations from three (3) independent suppliers, meeting the requirements of the implementing organisation.
• Expert opinion regarding the eligibility of the selected State Aid Article for the activities related to the establishment of facilities and production lines. The opinion will be assessed by RIF through specialised State Aid experts.
• Results of a Freedom to Operate (FTO) analysis, demonstrating the ability to commercially exploit the product or service without restrictions, including relevant intellectual property rights already held by the Project Implementing Organisation and commercial exploitation licences, where applicable.
• Evidence of the initiation of the necessary consultations with the competent authorities for obtaining the required permits, certifications and other relevant approvals.
• Evidence of the availability of access to materials and/or components of appropriate quality and specifications for the proposed product or service, where applicable.
• Evidence of securing the required private investment.
• Employment contract of the Project Coordinator with the Project Implementing Organisation.

 

Interested enterprises are encouraged to initiate the necessary procedures in a timely manner to secure the required expert opinions, approvals, private investment, permits and other relevant documentation, in order to ensure the timely and smooth submission of their proposals.

 

Submission and Evaluation Process

Proposals will be submitted through RIF’s electronic Proposal Submission Portal, in accordance with the terms and procedures to be specified in the Call documents.

The deadline for proposal submission is expected to be in early April 2027. The evaluation and selection process is expected to be completed by mid-May 2027, while enterprises selected for funding will be required to sign their Contract by 25 June 2027.

Upon the announcement of the Programme, an information workshop will be organised to present its main provisions and address questions from interested parties.

For further information, interested parties may contact the RIF Partner Support Centre by telephone at 22205000 or by email at [email protected], using the subject line “STEP Programme”.

Further information, including the Call documents, eligible activities and eligible costs, will be made available on the RIF website.