EU Funds investments and projections, preparation for the period December, 2014

Transcription

1 EU Funds investments and projections, preparation for the period December, 2014

2 Content 1.Implementation progress 2.Risks 3.Progress of EU funds planning documents Preparation for the period - optimizing/simplifying EU funds management system

3 absorption by (M EUR, % of EU funding, progress % since ) Total ERDF CF ESF 2 407,6 (100%) 1 539,8 (100%) 4 530,4 (100%) 1 879,8 (78%) + 15% 52,1 (3,4%) Total: 1 591,9 (103,4%) 1 508,4 (98%) + 1% 583,1 (100%) 81,4 (14%) 647,9 (111%) + 2% 647,9 (111%) + 2% 585,2 (100%) + 8% 553,9 (95%) 0% 1 508,4 (98%) + 9% 271,0 (11,3%) Total: 2 678,6 (111,3%) 2 593,5 (108%) + 7% 2 583,8 (107%) + 6% 1 870,9 (78%) + 13% 1 151,5 (75%) + 14% 1 196,6 (78%) + 19% 3 607,6 (80%) + 13% 3 630,3 (80%) + 14% Total: 664,5 (114%) 404,5 (8,9%) Total: (108,9%) 4 749,7 (105%) + 4% 4 740,0 (105%) + 7% EU funding Overcommitments Approved projects Contracted amount Payments to final beneficiaries Recieved advance and interim payments from EC

4 EU fund projects Contracts by industries (M EUR, % of EU funding till ) 181,4 183,2 110,7 49,3 22,5 15, ,2 Transport (26,3%); 102,9%* Environment (15,2%); 94,2% Education (10,7%); 106,1% 243,3 230,9 Entrepreneurship and Innovation (9,8%); 96,3% Employment and social inclusion (8,2%); 115,3% Urban environment (7,3%); 123,5% Science (5,2%); 95,6% 339,1 Health (5%); 105,2% 382,7 708,0 Energetics (3,9%); 92,1% ICT (3,9%); 99,7% Support for EU funds management (2,4%); 99,7% Culture (1,1%); 136,6% 457,0 498,6 Administrative capacity (0,5%); 98,1% Tourism (0,3%); 87,1% Total: 4 740,0 M EUR (104,6%)* * - Contracts as % of available EU funding for industry 4

5 1.3. Progress by Ministries by (M EUR, % of EU funding) MoEPRD 1 216,7 (100%) 1 260,1 (103,6%) 1 028,8 (84,6%) 65,9 109,3 (9%) 187,9; 297,2 Total: (109%) MoT 1 201,1 (100%) 1 249,3 (104,0%) 914,6 (76,1%) 741,4 (100%) 80,9 (10,9%) 76,5 (6,4%) Total: 1 277,6 (106,4%) 28,3 286,5; 363,0 Total: 822,3 (110,9%) MoE MoES 776,6 (104,7%) 499,2 (67,3%) 732,2 (100%) 762,5 (104,1%) 561,8 (76,7%) 45,7 242,2; 323,1 57,8 (7,9%) 27,5 170,4; 228,2 Total: 790 (107,9%) Available EU funding; Total 4 530,4 M EUR Overcommitments; Total 404,5 M EUR Approved projects; Total 4 749,7 M EUR Payments to final beneficiaries; Total 3 607,6 M EUR

6 1.4. EC payments by % of Member state s allocation Lithuania Estonia 92,20 % 91,43 % Poland Cyprus Latvia Slovenia Hungary Malta Bulgaria Czech Republic Slovakia Romania Croatia 81,76 % 81,20 % 80,23 % 72,69 % 72,13 % 64,00 % 59,94 % 59,70 % 56,14 % 50,59 % 43,41 % 0% 20% 40% 60% 80% 100% 1st place within ESF

7 1.5. EU funds budget execution ( ) in the division of Responsible Institutions in 2014, M EUR Ministry of Transport Ministry of the Environmental Protection and Regional Development Ministry of Education and Science Ministry of Economics Ministry of Welfare Ministry forecasts for 2014 as of July 2013 (863,0 M EUR) Ministry of Health Ministry of Finance Ministry of Culture Available (in ministry budget programmes) budget expenditure on (740,0 M EUR) Budget expenses till (550,2 M EUR) 1. Responsible Institutions forecast - 863,0 M EUR; Law of Budget 779,4 M EUR, amount reduced due to forecast of broken contracts or unused overcommitments. 2. Till the ministries have performed only 64% of the planned budget amount. 3. The big difference between forecasts and amount used confirms poor planning. 4. By the and of 2014 ministries could perform an amount of budget close to the one that is set in the Law of Budget 779,4 M EUR (as of the amount of budget in ministry programmes is 771,8 M EUR). 5. Main non-performances in the division of Responsible Institutions: - Ministry of the Environmental Protection and Regional Development - Ministry of Education and Science - Main reasons of non-performance: problems within public procurement procedures (appeals) and too optimistic cash flow planning State Chancellery 779,4 M EUR amount of budget set in the Law of budget for 2014

8 1.6. National EU funds expenditure flow for and programming periods, M EUR Planned state budget expenditure for planning period (5 243 M EUR) Planned state budget expenditure for planning period (4 868 M EUR), incl (1 113 M EUR) Total planned state budget expenditure in (2 709 M EUR)

9 1.7.Targets for payments in 2014, till M EUR, % of target , ,7 657,2 495,8 736,9 444,4 In two month period 193,6 M EUR have to be paid out to the Final Beneficiaries (FBs) to reach ERDF target ,7 284,2 250,8 190,9 366,6 312,1 340,5 53,3 58,1 61,8 Jan. Feb. March April May June July August Sept. Oct. Nov. Dec. Total target Total fulfillment ERDF target ERDF fulfillment 54,1 In two month period 149,6 M EUR have to be paid out to the FBs to reach CF target CF target CF fulfillment ESF target ESF fulfillment

10 Content 1.Implementation progress 2.Risks 3.Progress of EU funds planning documents Preparation for the period - optimizing/simplifying EU funds management system

11 OP - ESF The risk of losing EU funding, M EUR NO risk! /16 Programme Closure 2017 ESF "red line" Projection for payment claims (actual value by 2013) Payment claims submitted till

12 OP - ERDF risk of losing EU funding, M EUR NO risk! /16 Programme closure DP ERDF "red line" Projection for payment claims (actual value by 2013) Payment claims submitted till

13 OP - CF risk of losing EU funding, M EUR Currently NO risk! /16 Programme closure DP CF "red line" Projection for payment claims (actual value by 2013) Payment claims submitted till

14 OP - ERDF The risk of losing EU funding /16 Programme Closure DP ERDF "red line" Projection for payment claims (actual value by )

15 Content 1.Implementation progress 2.Risks 3.Progress of EU funds planning documents Preparation for the period - optimizing/simplifying EU funds management system

16 3.1.Architecture of EU funds programming documents and financing scheme for planning period in Latvia Partnership Agreement ESI funds 5.6 billion EUR Ministry of Finance CF, ERDF, ESF CP funds The Ministry of Agriculture EAFRD, EMFF Operational programme «Growth and employment» 4.4 billion EUR Latvian Rural Development Programme (EAFRD) 1.1 billion EUR Action Programme for Fisheries Development billion EUR

17 3.2. Planning documents of EU funds ( ) Partnership agreement (CF, ERDF, ESF, EFARD, EMFF) Approved by European Commission Prepared by MS, involving social and cooperation partners Includes assesment of State needs and possible solutions Defines financing by Thematic Objectives Defines investment strategy Operational Programme (CF, ERDF, ESF) OP Approved by European Commission Displays introduction of a particular investment strategy of PA Defines the priority axes, specific objectives, achievable results and indicators, supported activities

18 3.3.Cohesion policy EU funds by thematic objectives , % Total: 4,4 billion EUR Strengthening research, technological development and innovation 10% 12% 0% 11% 4% 7% Enhancing access to, and use and quality of, information and communication technologies; Enhancing the competitiveness of small and medium-sized enterprises Supporting the shift towards a low-carbon economy in all sectors Promoting climate change adaptation, risk prevention and management 3% Protecting the environment and promoting resource efficiency 11% Promoting sustainable transport and removing bottlenecks in key network infrastructures; Promoting employment and supporting labour mobility 2% Promoting social inclusion and combating poverty 27% 13% Investing in education, skills and lifelong learning Enhancing institutional capacity and an efficient public administration

19 3.4. Cohesion policy EU funds by priority axis , % 10% 0% 1% 1% 11% 1.Research, technological development and innovation 2. Availability of the ICT, e-government and services 4% 3. Competitiveness of small and medium-sized enterprises 12% 7% 4. Shift towards a low-carbon economy in all sectors 3% 11% 5. Protection of environment and effective use of resources 6. Sustainable transportation system 7. Employment and labour mobility 8. Education, skills and lifelong learning 9. Social inclusion and combating poverty 26% 14% 10. Technical assistance ESF support for implementation and management of CP Funds 11. Technical assistance ERDF support for implementation and management of CP Funds 12. Technical assistance CF support for implementation and management of CP Funds

20 3.5.SO s which implementation will start in 2014 Planned financing for ,54 mill EUR (will be financed 13mill EUR) Specific objective Statuss To ensure necessary infrastructure on main flyovers of Riga and to prevent fragmentary nature of main streets To reconstruct the pavement of state main roads, increasing bearing capacity To increase regional mobility through improvement of the quality of state regional roads To increase the employment of young people not in employment, education or training and to facilitate their participation in education within the framework of Youth Guarantee To increase number of modernised vocational education institutions To increase inclusion of SEA non-registered NEETs and foster their inclusion in education, supported measures within the framework of Youth Guarantee, and NGOs or youth centres To support the development and implementation of prior (cardiovascular, oncology, perinatal and neonatal period care and mental health care) health network development guidelines and quality assurance system, especially for improvement of health of people at risk of social exclusion and poverty In implementation of first call has started Implementation has started, procurement procedure in progress Implementation has started, procurement procedure in progress Implementation has started Regulations of Cabinet of Ministers of conditions of implementation of SO will be submitted to Cabinet of Ministers in the end of 2014 Criteria of project selection were adopted in written procedure of Temporary monitoring committee in Regulations of Cabinet of Ministers of conditions of implementation of SO will be submitted to Cabinet of Ministers in the end of

21 3.6.SO s which implementation will start in 2015 Specific objective To ensure increase in the re-use of public data and efficient interaction of public administration and private sector Statuss 2nd Q To increase the amount of private investment in the regions, by making investment for entrepreneurship development according to the economic specialization of territories set in the 3rd/ 4th Q municipal development programs, as well as based on the local entrepreneurs needs To promote effective use of energy resources, reduction of energy consumption and transfer to RES in manufacturing industry. 3rd Q To develop the infrastructure of environmentally friendly public transport. 3rd/ 4th Q To reduce flood risks in rural areas. 3rd Q To ensure the development of environmental monitoring control system and timely prevention of environmental risks, as well as participation of the society in environmental management. 3rd Q To preserve, protect and develop important cultural and natural heritage, as well as to develop related services. 3rd/ 4th Q Promotion of revitalisation of urban areas in Riga, ensuring efficient socioeconomic use of the area Revitalisation of territories through regeneration of degraded territories according to municipal integrated development programmes To raise the qualification of the unemployed and improve their skills according to the demand of labour market To create a system of anticipation and management restructuring in labour market, ensuring its connection to the Employment barometer To facilitate inclusion of disadvantaged unemployed people in the labour market nd Q 3rd Q 1st Q 1st Q 1st Q

22 3.7.National EU funds expenditure flow for and programming periods, meur Planned state budget expenditure for planning period (5 243 M EUR) Planned state budget expenditure for planning period (4 868 M EUR), incl (1 113 M EUR) Total planned state budget expenditure in (2 709 M EUR)

23 3.8.Time frame Fulfilment of exante conditionalities * Review and enactment of SO s criteria in Monitoring Committee * Promulgation of Regulation of the Cabinet of Ministers in Meetings of the State Secretaries Implementation of SO s, approval Regulation of the Cabinet of Ministers Ex-ante evaluations of specific objectives 2 weeks-1 month To review it in Subcommittee (Before ore at the same time with Regulation of the Cabinet of Ministers) Review and enactment SO s criteria, Regulation of the Cabinet of Ministers and Ex-ante evaluations of specific objectives in Subcommittee according to documents that has been submitted of line ministries ~ 1-2 month! To start implementation of SO s all ex-ante conditions have to be fulfill Development of SO s implementation conditions (criteria, Regulation of the Cabinet of Ministers) according to work plan of line ministries Submission of SO s criteria and Regulation of the Cabinet of Ministers to the Subcommittee 1 month before Subcommittee Time period 3-6 month

24 3.9.Main results Work and social support Business and Innovation Transport Education Social life and convenience 2500 new jobs will be created Support will be provided for more than 3,000 companies. Will be reconstructed 919 km of roads In general educational institutions will be integrated children with special needs 59% of waste will be recycled and regenerateded 100,000 unemployed people will take participation in employment promotion activities 10% proportion of innovative businesses Will be constructed or rehabilitated more than 900 km of railway 80,000 children and young peplpe from lowincome families will receive support to promote access to education. 82% of households will have access to broadband Internet at data rates of not less than 30 Mbit / s. 37,700 young people will have necessary requirements of the labor market. Will be reconstructed ~ 70 km of heating main

25 Content 1.Implementation progress 2.Risks 3.Progress of EU funds planning documents Preparation for the period - optimizing/simplifying EU funds management system

26 4.1.Main differences between MCSs

27 4.2.Delegation of functions Verification of delegated funcions Managing Authority Ministries (Responsible Authorities) Verification of delegated funcions Verification of delegated funcions Ministries (Responsible Authorities) Managing Authority Verification of delegated funcions Agency (CFCA) Agencies (6 Cooperating Authorities)

28 4.3.Allocation of functions between RI and CI in

29 4.4.Main differences between two periods

30 4.5.Reduction of administrative burden E-cohesion system all documentation in one e-place Avoid audit duplication over same project, compilation of audit plans More effective and simplified implementation system of the EU funds CFCA as one stop agency for FB performs all controls, unified approach Simplified costs

31 Thank you Any Questions? for suggestions on LV EU funds system improvement