Trans-European Transport Network Executive Agency
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1 Trans-European Transport Network Executive Agency Biennial Report
2
3 TEN-T Executive Agency Biennial Report
4 Europe Direct is a service to help you find answers to your questions about the European Union Freephone number (*): (*) Certain mobile telephone operators do not allow access to numbers or these calls may be billed. More information on the European Union is available on the Internet ( Cataloguing data can be found at the end of this publication. Luxembourg: Publications Office of the European Union, 2011 ISBN doi: /10043 European Union, 2011 Reproduction is authorised provided the source is acknowledged. Printed in Belgium PRINTED ON ELEMENTAL CHLORINE-FREE BLEACHED PAPER (ECF)
5 TEN-T EA Biennial Report Introduction - Dirk Beckers, Executive Director, TEN-T EA The European Commission s Trans-European Transport Network (TEN-T) Programme plays a vital role in financing transport infrastructure by providing support to selected European projects in all transport modes. It was created to establish a single multi-modal network that allows people and goods to circulate quickly and easily in a single European transport area. Such a network creates an infrastructure basis for the development of an integrated, greener and ultimately decarbonised European transport system which benefits all EU citizens, both economically and socially. Major tasks of the TEN-T Executive Agency during the project lifecycle organisation of the Calls for Proposals and evaluation by external experts support to Member States in the negotiation phase preparation of the Financing Decisions for selected projects technical and financial follow-up of the implementation of the projects key feedback to the Commission In order to give important and necessary support for the completion of the network, the Commission established an Executive Agency TEN-T EA to which it delegated the tasks of executing the TEN-T budget, and improving the follow-up of the technical and financial management of the related projects throughout their entire lifecycle. On 15 April 2008, after becoming autonomous in a record 7½ months, TEN-T EA took over the follow-up and closure of all open projects under the TEN-T Programme from the Commission. From 1 January 2009 it added the additional responsibility for the TEN-T budget ( 8 billion) and for the follow-up of all projects selected under the TEN-T Annual and Multi-Annual Programmes during this period. TEN-T EA is now in its third year of operations and has already started to demonstrate its positive impact and added value to the TEN-T Programme. I am pleased to present this report, which highlights our activities and achievements for the first two and a half years of the Agency s existence from , on behalf of the TEN-T EA. It will be distributed widely to the Agency s key stakeholders with the aim of increasing awareness and transparency of the Agency s strategy and operations. It is our intention to make this a regular report to be published in the future every two years. 3
6 TEN-T EA Biennial Report Who we are The Agency is led by Dirk Beckers, who was nominated by the Commission as Executive Director of TEN-T EA in July In addition to the Director, other management posts are filled by Commission Officials seconded to the Agency as Heads of Unit or Deputy Heads of Unit in the interest of the service. TEN-T EA is based in Brussels in order to ensure good cooperation with the Commission who, despite the Agency s independence, remains responsible for its supervision. In November 2010, TEN-T EA moved to a new building situated within a few kilometres of the European Quarter. The first recruitment of Agency staff took place in 2007 with a total of 44 posts being published. Now, after more than 140 rounds of selection and recruitment, the TEN-T EA currently has a multinational team of 99 staff representing 19 nationalities. They include specialists in finance, project management, transport, engineering, and legal affairs. The Agency s staff is subject to the Staff Regulations and Conditions of other Servants of the European Communities. TEN-T EA s organisational structure consists of four units. Two are operational units responsible for project management, another unit is responsible for resources and logistics and the fourth is a technical assistance unit which provides support to operational project management tasks. The Director s own team is responsible for a number of horizontal activities: information and communication, accounting, internal control, internal audit. Staff T0: 10 T1: 24 T2: 28 T3: 18 T4: 19 Total 99 T0 EXECUTIVE DIRECTOR Dirk Beckers ASSISTANT Julie Parry INFORMATION & COMMUNICATIONS Kara Baptista ACCOUNTANT / INTERNAL CONTROL Milena Chakarova INTERNAL AUDIT Michael Adriaen T1 RESOURCES T2 ROAD & RAIL TRANSPORT T3 AIR, WATERBORNE TRANSPORT, LOGISTICS, INNOVATION & CO-MODALITY T4 TECHNICAL & FINANCIAL ENGINEERING, GIS & MONITORING Marcos Roman Parra Ioannis Giogkarakis Argyropoulos Christopher North Anna Panagopoulou January
7 TEN-T EA Biennial Report What we do TEN-T EA mission: To support the European Commission, TEN-T project managers and project promoters, by providing technical and financial management of the TEN-T Programme and projects, and the expert technical and administrative support necessary for the Programme s successful implementation. The TEN-T EA s specific tasks are defined in a Delegation Act which includes the regulations and procedures with which it should comply, and also formalises its relationship with the Commission. Essentially the Commission defines the policy, strategy, objectives and priorities for the TEN-T Programme and TEN-T EA puts the policy into action. Repartition of Tasks European Commission (DG MOVE) DEFINES THE POLICY Makes all TEN-T programming decisions Defines strategy, objectives and priority areas of action Selects the projects for co-financing and adopts the financing Decisions Monitors the Agency Evaluates the TEN-T programme and the Agency s performance Executive Agency (TEN-T EA) TURNS POLICY INTO ACTION Follows up the technical and financial implementation of the TEN-T projects Manages the entire project lifecycle Executes the TEN-T budget Gives feedback, assistance and reports to the Commission Provides administrative support to the beneficiaries of TEN-T financing Coordinates with other Commission services, programmes, Institutions and financial instruments The Commission exercises its supervisory responsibilities over the Agency s activities through a Steering Committee with 5 members from its Directorate-Generals concerned by transport infrastructure and the Commission s horizontal services and with an observer from the European Investment Bank. The Committee approves certain measures related to the Agency s activities including its Annual Work Programme, Annual Activity Report, administrative budget, annual accounts and decisions regarding its organisational structure. The Agency s main objectives are: supporting the completion of TEN-T infrastructure by effectively managing the TEN-T Programme and projects, putting in evidence the Agency s expertise supporting in particular the development and deployment of Intelligent Transport Systems increasing awareness of the Programme, the Agency and its achievements and improving support to partners increasing the efficiency of operations by streamlining working methods and developing new IT and reporting tools ensuring a better coordination of funds with other Union instruments and Institutional partners raising the profile of Union action in the field of TEN-T and in general adding value to the management of the TEN-T Programme supporting the Commission and leaving it free to concentrate more on policy issues. STEERING COMMITTEE CHAIRMAN DG MOBILITY & TRANSPORT DG MOBILITY & TRANSPORT (member) DG ENVIRONMENT (member) DG HUMAN RESOURCES & SECURITY (member) DG REGIONAL POLICY (member) EUROPEAN INVESTMENT BANK (observer) 5
8 TEN-T EA Biennial Report The projects The TEN-T Programme is one of the most important financing means for European transport infrastructure projects 8 billion for The Agency manages over 400 projects in every Member State which are either preparatory/feasibility studies, or construction works for transport infrastructure, for all modes of transport: Road ERTMS - European Rail Traffic Management System Rail Galileo Water ITS - Intelligent Transport Systems RIS - River Information Services ATM - Air Traffic Management Air 30 Priority Projects and a number of horizontal priorities have also been established. As a whole, TEN-T projects should aim to: establish and develop key links, interconnections needed to eliminate existing bottlenecks to mobility fill in missing sections and complete the main routes especially their cross-border sections cross natural barriers improve interoperability on major routes The TEN-T budget is allocated to projects via calls for proposals launched every year, which are organised and administered by the Agency. The Multi-Annual Programme, introduced to suit the longer-term nature of TEN-T projects and addresses the highest TEN-T priorities accounts for 80-85% of the budget. The remaining 15-20% is allocated to the Annual Programme, which addresses other projects of common interest that can also give specific focus to new TEN-T priorities and is more flexible due to its annual nature. Funding is open to all EU Member States, or with the agreement of the Member State concerned, international organisations, joint undertakings or public-private undertakings or bodies. 6
9 TEN-T EA Biennial Report The TEN-T EA carries out tasks related to the implementation of the projects, including: carrying out the technical and financial management of financed projects: executing payments, project conformity checks and continuous monitoring visiting project sites and meeting with Member States/beneficiaries to build close cooperation and ensure a good project follow-up executing on-site technical and financial checks and audits advising on financial engineering methods and Public-Private Partnerships (PPPs) harmonising financial guidelines, simplifying administrative procedures, developing IT tools to provide statistics/data to improve project follow-up and reporting providing information on the programme and project developments to project promoters, Member States and the Commission co-ordinating with other services, EU programmes and Institutions approving the Strategic Action Plans (SAPs), which are required to be submitted by the beneficiaries of selected projects for assessment and approval by the Agency. The SAP gives an overview of the planned realisation in terms of the different milestones of the project, and as such lays down the basis for closer project monitoring, and is an important element in improving the quality of the follow-up of the projects Key feedback to the Commission Technical & financial follow-up of project implementation Organisation of the Calls for Proposals Evaluation by external experts Project lifecycle: Major tasks of TEN-T EA Negotiation phase: support to Member States Preparation of the Financing Decisions for selected projects following up of Action Status Reports (ASPs), which are submitted annually by project promoters to provide a status of the execution of the projects, allowing the Agency to review the project performance. 7
10 TEN-T EA Biennial Report Our stakeholders The Agency s key stakeholders are the Member States and beneficiaries of TEN-T funding. The Agency also works closely with its Institutional partners. A Memorandum of Understanding has been signed with DG MOVE, and there is improved co-ordination with DG Environment (DG ENV), DG Regional Affairs (DG REGIO), Joint Assistance to Support Projects in European RegionS (JASPERS) and DG Economic and Financial Affairs (DG ECFIN). Co-operation already exists between the Agency and the European Co-ordinators in order to promote the implementation of the Priority Projects. So far 6 of the 10 Coordinators have made personal visits to meet Agency staff thus setting the basis for enhanced collaboration, joint activities and missions. European Coordinators Visits to the TEN-T EA Karla Peijs (PP18/3) - February 2009 Peter Balazs (PP17) - March 2009 Karel Vinck (ERTMS) - May 2009 Pavel Telicka (PP27) - September 2009 Luís Valente de Oliveira (PP21) - July 2010 Gilles Savary (PP22) - October 2010 European Commission Vice-President in charge of Transport Siim Kallas has also visited TEN-T EA in order to exchange direct views with the Agency s management over the progress of projects and the organisation of the Agency itself. The Agency has also started to progressively build up working relationships with the European Railway Agency (ERA), and to open discussions with the European Investment Bank (EIB) and the European PPP Expertise Centre (EPEC). 8
11 TEN-T EA Biennial Report Main achievements Budget Execution Since its autonomy, the Agency has continued to consolidate the thorough and effective management of its operational and administrative expenditure. Close attention to the working methodology put in place in 2008 and extensive follow-up of all phases of the payment process have resulted in the increased efficiency and transparency of the overall management of the TEN-T Programme and projects, and improved the clarity of requirements for the beneficiaries. BUDGET OBJECTIVES maintain better use of the credits throughout the period reduce the time it takes to make payments (payment delay) perform better financial monitoring of the projects give specific attention to the closure of the Programme projects carry out a closer follow-up of budget execution develop a series of harmonised models and guidelines for the preparation of various documents, reports and payments host regular workshops to address common issues relating to the financial and technical aspects of project management. Administrative Expenses - Time to pay (in days) Operational Expenses - Time to pay (in days) # of days # of days YTD Time to pay MTD Time to pay YTD Time to pay MTD Time to pay MTD Time to pay The Agency has developed measures to: simplify procedures, e.g. harmonised templates for financial statements provide guidelines for beneficiaries streamline internal processes streamline deliverables into a clear annual cycle make improvements in both the execution of the TEN-T budget and the speed with which cost claims are analysed and payments are made gather the beneficiaries feedback and input on procedures through targeted workshops. 9
12 TEN-T EA Biennial Report Project Management Projects In its daily project management, the Agency has introduced a number of simplifications and improvements to make life easier for its own project managers and especially its beneficiaries: reminders policy for beneficiaries on the approaching deadlines to submit documentation Strategic Action Plan (SAP), a project management document which aids the project/action implementers and managers to steer and facilitate the implementation and monitoring of the action, which is then shared with the Agency to help project followup Action Status Report (ASR), an annual report submitted by the implementing body on the technical progress of the project against the initial plan, as well as the associated budget consumption. It is the main document used by the Agency annually to review project performance and assess progress use of the final technical report to support cost claims. Improved management of calls for proposals The Agency has contributed to the calls for proposal process since its inception. In 2009, the Agency was in full charge of the organisation of a complex call for proposals, which covered the preparation, organisation and administration of the external evaluation exercise for five calls million 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 Rail (59 projects) % RIS (11 projects) % Projects financed under the previous financial perspectives (until end 2006) (113 projects) Calls for Proposals organised by the TEN-T EA Results of the calls Share of awarded TEN-T funding by transport mode ( Million) (100% = 1.312,6 Million, 213 selected projects) Road (34 projects) % Port (12 projects) % Airport (9 projects) % Multimodal (21 projects) % ATM (14 projects) % MOS (12 projects) % 7,109.7 Projects financed under the current financial perspective ( ) (291 projects) Decarbonised transport (1 project) 5 0.4% IWW (12 projects) % ERTMS (26 projects) % ITS (2 projects) % under three work programmes, which had a budget doubled to nearly 1 billion and a very short time frame due to the inclusion of an urgent ad hoc call under the Commission s European Economic Recovery Plan (EERP). In 2010, it repeated this exercise with a successful organisation that included four Calls under two separate work programmes. Airport ATM Decarb.transport ERTMS Galileo ITS IWW MOS Multimodal Port Rail RIS Road Calls for Proposals organised by the TEN-T EA Results of the calls Number of eligible proposals by transport mode Total number of proposals submitted = 501 and selected = Submitted proposals 83 Selected proposals 150 Calls for Proposals organised by the TEN-T EA Results of the calls TEN-T support requested and awarded ( million) by transport mode Total support requested = 4,521.9 million and awarded = 1.312,6 million Airport ATM Decarb.transport ERTMS Galileo ITS IWW MOS Multimodal Port Rail RIS Road , ,000 1,200 1,400 TEN-T support requested TEN-T support awarded 10
13 TEN-T EA Biennial Report The entire call process has been improved by the Agency with: streamlined call texts rationalised application forms improved guide for applicants which clarifies the requirements, e.g. for environmental criteria dedicated Info Days to provide beneficiaries with information on the specific calls MAP Project Portfolio Review 2010 in collaboration with DG MOVE In 2010, the Agency provided specific support to the Commission in the context of the TEN-T policy revision and mid-term review of the Multi-Annual Programme by assessing 92 individual projects and giving feedback for the review of the Programme. As a result, 311 million will be liberated from underperforming projects to be reinjected into new calls for proposals under the current TEN-T Programme. The Call Process European Commission (DG MOVE) Executive Agency (TEN-T EA) Call Publication Info Day event Proposal opening & Eligibility check External evaluation Internal evaluation/selection Consultation of other Directorate Generals Consultation of the Financial Assistance Committee (FAC) European Parliament right of scrutiny Signature of individual Decisions 11
14 TEN-T EA Biennial Report Promoting the Programme The Agency has emphasised information and communications on projects in order to promote the TEN-T programme to all its stakeholders. Its key dissemination product is its external website that features key information about the Agency and contains details about individual projects, including maps and statistics. Linked to the website is the Agency s enewsletter for its stakeholders. Along with its own informational flyers, the Agency has provided assistance to DG MOVE in publication of TEN-T related reports, including the Implementation Report on the Priority Projects and the aforementioned MAP review. Workshops to build cooperation and share best practices with the beneficiaries, as well as to receive their feedback. In 2010, in conjunction with the Info Day, a Seminar on Project Finance and Public-Private Partnerships (PPPs) was held to discuss TEN-T project finance in general, and financial engineering and PPPs, in particular. This was linked to the 2010 Annual Call, which had a specific priority for PPPs, and the Agency s overall objective to improve support to its partners in this field. The Agency has developed coordination with other services and Institutions in particular EIB and EPEC (the European PPP Expertise Centre) on further cooperation developing the potential of the LGTT (Loan Guarantee Instrument) to provide early-stage support to PPPs. Financial engineering/ppps There is a funding gap of 45 billion for the current TEN-T financial perspective. In order to help address this discrepancy, the private sector should be more active in bridging this funding gap, and there is thus a need to ensure that public sector funding is efficient and effective. It has also created various types of specialised maps from its own Geographic Information System (GIS) department and statistics sector, for internal use as well as for DG MOVE, other services and its beneficiaries. The Agency has organised two successful Info Days on the TEN-T Calls for Proposals, and two Project Management As an implementing body, TEN-T EA has insights at project management level and the capacity to execute policy orientations. It aims to increase the participation of the private sector in financing TEN-T as well as to improve the effectiveness of current TEN-T financial instruments and identify new opportunities for the next financial perspective. 12
15 TEN-T EA Biennial Report The future perspective The Agency s future focus will be to continue to support the completion of TEN-T infrastructure, and to work towards accelerating the implementation of projects. Continuous improvements will be made to the technical assessment of, and technical assistance to projects. The Agency will build on the progress already made in the management of the TEN-T budget and its execution, concentrating in particular on further reductions in the time taken to make payments, and on the closure of any remaining projects from the Programme. The Agency will also aim to benefit stakeholders and increase awareness of the EU added value of TEN-T Implementation. The Agency s public website will continue to be used to provide information on the TEN-T Programme and the Agency s activities, and will also in future be used to promote the Programme s results. In 2011 a comprehensive review and evaluation of the Agency s activities will be undertaken by the Commission. Agency s added value more dedicated resources to better monitor the projects new project management approaches, techniques and IT tools simplified and streamlined administrative procedures revised templates, forms and requirements reducing the time to pay and reaction time to all beneficiaries requests targeted focus on Public-Private Partnerships (PPPs) increased services, in particular on expertise in financial engineering, transport engineering and environmental issues targeted flow of information to stakeholders improved visibility for EU support 13
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17 European Commission TEN-T Executive Agency Biennial Report Luxembourg: Publications Office of the European Union pp. 21 x 29.7 cm ISBN doi: / 10043
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