Common use of Compartments Clause in Contracts

Compartments. 1. The policy windows referred to in Article 7(1) shall consist of an EU compartment and a Member State compartment. Those compartments shall address market failures or sub-optimal investment situations as follows: (a) the EU compartment shall address any of the following situations: (i) market failures or sub-optimal investment situations related to Union policy priorities; (ii) Union-wide or Member State specific market failures or sub-optimal investment situations; or (iii) market failures or sub-optimal investment situations, which require the development of innovative financial solutions and market structures, in particular new or complex market failures or sub-optimal investment situations; (b) the Member State compartment shall address specific market failures or sub- optimal investment situations in one or several regions or Member States to deliver the policy objectives of the contributing funds under shared management or of the additional amount provided by a Member State under the third subparagraph of Article 4(1), in particular to strengthen economic, social and territorial cohesion in the Union by addressing imbalances between its regions. 2. Where appropriate, the compartments referred to in paragraph 1 shall be used in a complementary manner to support a given financing or investment operation, including by combining support from both compartments.