Conditions for successful preparation and absorption of assistance. Joint presentation by respective units in DGs AGRI, EMPL and REGIO
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1 IPA Components III, IV and V: Conditions for successful preparation and absorption of assistance Joint presentation by respective units in DGs AGRI, EMPL and REGIO
2 IPA framework: Structures and programming for Components III, IV and V Essentials for the progress to be achieved How to ensure e a good absorption o of funds State of play in preparations for implementation 2
3 IPA framework I. Transition Assistance and Institution Building II. Cross-Border Cooperation Candidate and potential candidate countries III. Regional Development IV. Human Resources Development V. Rural Development (IPARD) Only candidate countries 3
4 IPA framework Main IPA objectives Progressive alignment with the standards and policies of the EU: Cohesion policy, Common Agricultural Policy Prepare countries to implement and manage Community funds: European Regional Development Fund and Cohesion Fund, European Social Fund European Agricultural Fund for Rural Development Strengthening public management capacities 4
5 IPA framework IPA side effect - Strengthening gpublic management capacities Guiding countries in creating modern public management structures, based on the principles of good governance: Openness (transparency) Participation (partnership) Accountability Effectiveness Coherence 5
6 IPA framework Structures and authorities to be in place: National IPA Co-ordinator [NIPAC] (CI-V) Strategic co-ordinator (CIII-IV) Competent Accrediting Officer [CAO] (CI-V) National Authorising Officer [NAO] (CI-V) A National Fund [NF] (CI-V) An Operating Structure [OS] (for each Component/Programme) Audit Authority [AA](CI-V) End recipients (CIII-V) line ministry; water, rail or road company; regional waste operator; municipality; SME; farmer 6
7 Example - IPARD structures European Commission IPA Monitoring Committee National IPA Coordinator Competent Accrediting Officer Audit Authority IPARD Monitoring Committee Managing Authority National Authorising Officer National Fund IPARD Agency reporting audit, control management and control system (MCS) Delegated Bodies Internal Audit Regional Offices FINAL BENEFICIARIES E I I E Technical lbodies 7
8 Multi-annual programmes should be established: Example - Component III+IV Strategic Framework Pre-accession Partnership (Political Framework) Multi-annual Indicative Financial Framework Community Strategic Guidelines for Cohesion Relevant Community policies National development plans and programmes (national development priorities) Relevant National Sectoral Strategies Multi-annual Indicative Planning Document (all IPA components) Strategic Coherence Framework (IPA Regional Development and Human Resources Development components) Multi-annual Operational Programmes
9 Main steps to implementation of IPA CIII-V Receiving of a "Candidate Country" status Adoption of Multi-annual Programmes Framework (and Sectoral) Agreements National accreditation ti of operating structures t Accreditation and conferral of management decision Multi-annual Financing Agreement
10 Preparation takes from 2 to 3.5 years Conferral granted Programme implementation starts Starting preparation 16 Months Becoming a candidate country Years
11 IPA framework: Structures and programming for Components III, IV and V Essentials for the progress to be achieved How to ensure a good absorption of funds State t of play in preparations for implementation ti 11
12 Essentials for the progress Strategic aspects: Clear and shared political vision for the sectors concerned, reflecting consensus on where the country wants to be within a set time horizon Clear and approved strategy for getting there (environment; water sector; transport infrastructure; re; rural ral development) elopment) Identification of investments needed to implement the strategy Overall - ownership of programming, g preparation p and implementation by beneficiary country 12
13 Essentials for the progress Institutional aspects: Commitment by all at all time during planning and implementation Central coordination and leadership Institution building at central level (staffing, relevant competencies, training, i internal procedures) and ownership in core and line ministries Partnership with relevant stakeholders: administration bodies, regions, municipalities, economic and social partners, NGOs 13
14 Essentials for the progress In summary - to make a good progress: National legal and institutional structures must be in place More importantly - political back-up and commitment Which leads to allocation of appropriate human and financial resources 14
15 Essentials for the progress With the political backing and commitment: Strategic decisions on the programming would be taken more easily and effectively Sufficient resources would be allocated Countries would take less time to set-up the necessary legal and institutional i i lframework kfor implementation i of IPA CIII-V Hence, upon gaining a status of a Candidate Country would experience lesser delays in absorption of the funds 15
16 IPA framework: Structures and programming for Components III, IV and V Essentials for the progress to be achieved How to ensure a good absorption of funds State of play in preparations for implementation 16
17 Absorption of funds Well defined programmes, well functioning structures, trained staff in place Early start of project preparation Strong awareness of stakeholders and beneficiaries Availability of co-financing 17
18 Absorption of funds Strong awareness of stakeholders and beneficiaries: Early involvement of relevant stakeholders - raising their interest and keeping them informed from the very beginning Strong project preparation is essential - hands-on advice to the prospective beneficiaries from the early stages of preparation; on how to prepare projects; how to make projects which h would be accepted! 18
19 Absorption of funds Availability of co-financing: i Timely setting aside of financial resources in the budgets of public bodies Good credit system, loan accessibility. State guarantee fund? To involve the financial sector from early stages. Close interaction between the Government and a banking sector 19
20 IPA framework: Structures and programming for Components III, IV and V Essentials for the progress to be achieved How to ensure a good absorption of funds State of play in preparations for implementation 20
21 State of play Candidate Countries HR III Programmes Conferral of Management Financing Agreements Absorption IV V MK III IV V TR III IV V
22 State of play Albania, Bosnia and Herzegovina, Montenegro, Serbia, and Kosovo (under UN Security Council Resolution 1244) Applications for EU accession received from Albania and Montenegro. Serbia expected shortly IPA kick-off meetings held in BiH, Montenegro and Serbia Strategies and timeframes for preparation Institutional and management capacity building to start implementation of IPARD IPA Component I 22
23 Closing remarks Involvement of donors in successful preparation and absorption of assistance for IPA Components III, IV and V: Facilitate programming? Institutional building? Capacity building of stakeholders and prospective beneficiaries? Developing credit systems? 23
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