Automatic decommitment is the mechanism by which the European Commission withdraws from a member state the part of the allocation that has not been spent and reported within the set deadline. It does not happen on the basis of a decision or a sanction, but automatically upon the expiry of a deadline derived from the annual commitments and known as the N+3 or N+2 rule, depending on the period concerned. It is precisely this threat that explains behaviour by providers which applicants often fail to understand: suddenly announced calls with short deadlines, pressure for quick contract signatures, and reluctance to extend schedules. For a prepared applicant it is also an opportunity – in the period before the deadline expires, the allocation tends to be more available and competition weaker than at the start of the period. A pipeline of ready-made projects is therefore more valuable in this system than a perfect application written at the last minute.
See also: N+3 rule, Absorption Capacity, Allocation.
