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MINISTRY OF EUROPEAN AFFAIRS Managing Authority for Operational Programme Technical Assistance. MINISTRY OF EUROPEAN AFFAIRS Authority for Coordination of Structural Instruments Coordination of expertise to be received from International Financial Institutions (IFI s ) - PowerPoint PPT Presentation
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MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
MINISTRY OF EUROPEAN AFFAIRSMINISTRY OF EUROPEAN AFFAIRSAuthority for Coordination of Structural Authority for Coordination of Structural
InstrumentsInstruments
Coordination of expertise to be received from Coordination of expertise to be received from
International Financial Institutions International Financial Institutions (IFIs)
1313thth of July 2012 of July 2012
Objective of using the IFIs’expertise
To improve the implementation of Structural Funds and
preparing the next programming period 2014-2020, based on
EC’s recommendation, on October 26th, 2011, the Romanian
Government adopted a Memorandum containing proposals to
use the expertise of the international financial institutions: – European Investment Bank – European Bank for Reconstruction and Development – World Bank,
for areas covering all seven operational programs financed by
the SI, the costs will be financed from: – OPTA for horizontal needs – TA Priority Axes for sectoral needs
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Framework of implementation
For designing the framework for implementation of IFIs’expertise, it was decided to conclude Memoranda of Understanding with each IFI, the progress on June 30th, 2012, of negotiations of these documents being the following:•Memoranda of Understanding with EIB and World Bank were signed on January 26th, 2012 and entered into force on April 26th and April 30th, 2012. •Memorandum of Understanding with EBRD is under negotiation (the first version was submitted by EBRD on April 6th, and MoEA sent two rounds of comments on April 25th and June 5th - feedback from EBRD is still awaited).
Projects will be implemented through service agreements, which will be concluded under the framework of the Memoranda of Understanding, and a coordination mechanism for expertise IFIs was put in place.
3MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Coordination mechanism
• Biannual high-level coordination meetings, in the framework of the Inter-ministerial Group for monitoring SI absorption, to which the management of the IFIs will be invited.
• If necessary, ad hoc meetings can be organized on specific issues arising in the implementation of the Memoranda.
4
Level 1. High-level coordination between the minister of European affairs and the management of the IFIs
Level 2. Operational coordination between MoEA, MAs and IFIs
• Given the reimbursement of the expertise from OPTA or TA Priority Axes, operational coordination of IFIs’ expertise will be achieved by ACIS through the Technical Assistance Coordination Committee which meets quarterly – the representatives of the IFIs will be invited to these meetings.
• In addition, ACIS will continue to request monthly update of the status on each task.MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Using IFIs’ expertise at horizontal level
•The horizontal needs have been identified by ACIS after analyzing horizontal problems encountered in SI implementation. In this process, ACIS took into account those recommendations of the functional reviews that have an impact on SI absorption.
•Addressing the horizontal needs requires involvement of several institutions with responsibilities in different areas.
•It is absolutely necessary to identify the beneficiary of expertise willing to undertake implementation of the tasks.
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Horizontal needs– World Bank’s expertise (I)
TasksBeneficiar
yStatus
Analyse the national framework on investment in terms of impact on preparation and implementation of projects financed from Structural and Cohesion Funds
ACIS
Service agreement signed on June 27th, 2012
Upgrading the land registration system ANCPIToRs under development
Elaboration of a strategy and action plan for implementing the INSPIRE directive
ANCPI
Project will be developed in a second stage
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Horizontal needs– World Bank’s expertise (II)
Tasks Beneficiary Status
Rationalization of public investmentTo be
identified
The measure will be proposed to the new Government
Building capacity for economic analysis to support policy design
GSGToRs under development
Enhance spatial planning as a precondition for urban development
Ministry of Regional
Development
ToRs under development
Support for elaboration of a National Action Plan for the National Climate Change Strategy and a study on Green Growth and Efficient Transition Process to a Low Carbon Economy for Romania.
Ministry of Environment
ToRs under development
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Horizontal needs requiring further discussion for clarification
Tasks IFI which has expertise
Identify areas in which financial engineering mechanisms can be applied to and defining those mechanisms, including achieving the energy efficiency objective
EIB/EBRD
District heating area EIB/EBRD/WB
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Needs for IFIs’ expertise - ROP
• MA for ROP was very active in clarifying the needs for expertise thus the areas of collaboration which each IFI have been identified.
• Discussions with the World Bank are quite advanced on the terms of reference for projects related growth poles, project selection models, facilitate collaboration between Managing Authorities and Intermediate Bodies, develop a strategy for less developed areas and disadvantaged communities. The next steps are finalizing the terms of reference and drafting and signing the service agreements (the feedback from WB is awaiting from May 7th, 2012).
• The areas of cooperation with EBRD have been agreed: elaboration of a strategy for financing and management of the urban public transport and of a strategy regarding the co-financing from structural funds of energy efficiency investments in the public sector 2014-2020. No further development of the cooperation on these tasks has been achieved. It is necessary to start developing the terms of reference.
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Needs for IFIs’ expertise – Environment SOP
• Cooperation with EIB to support MA for Environment SOP relating to
procedures, capacity assessment or training and project
implementation support (which must be requested jointly by the
Managing Authority and Final Beneficiary) - the development of the
terms of reference are quite advanced and the signature of the
assignment is foreseen for July 2012.
• Cooperation with EBRD was established for support to Intercommunity
Development Associations and Regional Operating Companies – waste
and water areas. The details relating the expected activities have been
submitted by MA for Environment SOP to EBRD and a meeting is
planned for the week 2 to 6 July in order to further discuss them.
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Needs for IFIs’ expertise – Transport SOP
• Cooperation with EIB for the following tasks:
– Managerial support to the MA for Transport SOP, mainly by
focusing on reviewing the management system and the
internal organization - final version of the service agreement
is expected from EIB and its signing is foreseen for July 2012.
– Management support to the Road Agency for solving
bottlenecks in project implementation and coordinating
technical assistance procured at project level - terms of
reference to be presented to the new general director of the
agency.
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Needs for IFIs’ expertise – IEC SOP
• Cooperation with JASPERS on : – Strengthening the capacity of IB SMEs and exploring different modes of management for the
implementation of the programmes for the SMEs sector– Build up monitoring capacity of the MA for ELI project – Identifying strategic opportunities for financing from Structural Instruments on certain economic
areas according to the objectives of the Europe 2020 Strategy and to the future cohesion policy– Assistance to identifying national priorities as regards smart specialization in the next national
strategy for Research Development and Innovation 2014-2020Some tasks needs to be clarified:
– Propose future project selection models in order to better target sectoral strategies, objectives and indicators
– Build up monitoring capacity of the MA for Broadband project– Support the development of competitiveness poles
• Cooperation with World Bank on: – Identification of industrial areas with competitiveness advantages at international level – key
issues for an industrial policy paper of Romania for 2012-2020
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Needs for IFIs’ expertise – HRD SOP
• Needs for World Bank’s expertise are still under clarification at the level of
MA for HRD SOP. The needs aims at developing strategies and analysis in the
following areas: state of education in Romania, combating poverty and
unemployment, the Roma community, supporting youth and education system.
• A proposal was submitted to WB by IB Education for “Analyzing the education
system and defining the strategy of development/modernization of education
system with Structural Instruments’ support during the period 2012-2020”
• All actions aimed at preparing the next programming period, not any task for
the current period being agreed by the EC.
• It is necessary to clarify the urgent needs and propose them to the World
Bank.
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Needs for IFIs’ expertise – ADC OP
• Needs for World Bank’s expertise have been identified for elaboration of two studies, namely: – Situation of civil servants and contract staff operating
in the central and local government, – State of play of competencies' transfer between central
and local levels of government - the effects of decentralization/ restructuring of public authorities.
• The development of the terms of reference are quite advanced.
• All actions aimed at preparing the next programming
period, not any task for the current period being agreed by
the EC.MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Problems encountered – MoU
• Rigid internal procedures of IFIs that caused delays in their responses to the comments of the Romanian side (the response of the Romanian authorities was quicker even if there are a lot of institutions involved in this exercise).
• Certain sensitive issues such as: Memorandum signed with the Romanian Government and not with Romania, provisions for audit /verification of documents related to projects, subcontracting of services, arbitration, liability, etc.
• Lengthy procedure for the entry into force of the Memoranda (endorsement of the Memoranda by the Government, official translation of the documents, publishing in the Romanian Official Journal and notification to the other counterpart through diplomatic channels).
• In case of EBRD, very late submission of a draft MoU – April 6th (EBRD did not want to take into consideration the format used by WB or EIB, given the specific internal procedures).
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
Problems encountered – Service agreements
• An issue that has led to delays in starting the project implementation
was the difficulty to agree on a standard format for the service
agreement, mainly because of the inflexibility of IFIs to the rigors of
the EU and national regulations (e.g. the negotiation with the World
Bank took 7 months, a first draft for service agreement is still
expected from EBRD).
• Regarding the clarification of the needs for expertise/deciding which
IFI will provide expertise - major delays have been encountered
mainly for HRD SOPs and two horizontal needs (rationalization of
public investment and district heating area).
• As for the delays registered in elaborating/finalisation of the ToRs -
delays have been registered mainly due to the delayed response either
from IFIs or from the Romanian authorities, on a case by case basis.
MINISTRY OF EUROPEAN AFFAIRSManaging Authority for Operational Programme Technical Assistance
ConclusionsIt is necessary to continue discussion to clarify the needs identified, to finalise the elaboration of the terms of reference, to sign the service agreements and to start implementation of the expertise – for this MoEA has put in place a mechanism of coordination of IFIs’ expertise.
IFI
Phase I (signing and
entering into force of MoU)
Phase II (signing of subsequent service agreements)
EIB Completed on 26 April 2012
No service agreement was concluded. The most advanced tasks are related to support to MAs for Transport and Environment SOP (signature expected for July 2012).
WB Completed on 30 April 2012
First service agreement was signed on June 27th, 2012, for ACIS’ task. The most other advanced tasks are (signature is expected for July 2012): upgrading the land registration system, building capacity for economic analysis to support policy design, enhancing spatial planning as a precondition for urban development, developing integration strategies for poverty areas and less favored communities.
EBRD Estimated for quarter III or IV 2012
Depend on the finalisation of the phase I (quarter IV, 2012 or quarter I , 2013).
Thank you!
Livia Chirita
Director
Managing Authority for Operational Programme Technical Assistance
www.poat.ro
Autoritatea de Management Programul Operaţional Asistenţă Tehnică