© OECD

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUDeveloping performance auditing in

Supreme Audit Institutions

PERFORMANCE AUDITOF THE FRENCH NATIONAL AGENCY FOR WATER AND

AQUATIC ENVIRONMENTS - ONEMA

Hélène Gadriot-RenardCour des comptes – FRANCE

(based on Court of Audit work by Mr. P.Dedryver)

Beirut 28th and 29th June 2016

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EU

OVERVIEWElements on the water policy of FranceFacts about the ONEMAAudit methodology

Identification of risks Focus points

FindingsRecommendationsAudit outcomes In short

2

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EU

Principles of the water policy in France

Decentralization: the water district is the cornerstone of water policy

Participation of stakeholders is its keystone« Water pays for water »

Users pay Polluters pay

3

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUMap of the water districts

4

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUA complex multi level organisation

The central governement Monitoring by the Water and biodiversity department of

the Ministry of ecology Regulation by the French national agency for water and

aquatic environments (ONEMA)Local water agencies

Implementation of water policy Collection and redistribution of user fees

Local decision makers (local authorities, farmers, manufacturers) Organisation of water and sanitation services Investments

5

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUTHE ONEMA

Created in 2006 (Law on water and aquatic environments) Operates under the supervision of the Ministry of Ecology 9 regional offices, multiple local offices, and a staff of 917 people Annual budget: 150 M€ (from water fees collected by water

agencies) 4 major missions

Manage the French water system: set priorities for water management policies and report to EU Commission (to comply with EU framework directive on water)

Protect aquatic environments (enforce regulations, report offenses) Provide technical support for territorial management of water and

restoration of quality environments Encourage research on sustainable management of water resources

and aquatic ecosystems Activity

200 databases, 7200 technical advice given each year 8600 inspections per year 6

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUAudit Methodology

Check recent former audits in same field (Law on water and aquatic environments)

Identify risksFocus on specific areas

7

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EU

WHICH RISKS CAN YOU IDENTIFY IN TERMS OF

Responsability

Accountability

Effectiveness

Efficiency

8

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EURisks

Responsibility Product of data and report to EC on quality of

water Pledge to restore good quality of water and

aquatic environmentsAccountability: poor quality of inspections

meant to improve water quality and preserve resources

Cost efficiency and effectiveness: low in case of perfunctory inspections

9

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EU

ON WHICH POINTS WOULD YOU FOCUS YOUR PERFORMANCE AUDIT ?

10

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUKey audit focus areas

Governance Power of the supervising authorities ? Organisation suited or not for given missions ?

Working methods and means: need for indicators to appraise effectiveness, efficiency and impact of the action

HR Pay levels Distribution between administrative and on the field jobs Actual working hours, vacations, absenteeism….

Budget and finance Proportion of subsidies / fees collected Cost of missions and of technical maintenance

Procurement and public contracts

11

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUMain findings

Governance flaw: Confusion between roles of chairman of the board of directors and of the regulatory authority

Effectiveness and efficiency: working methods and means inadequacies Too many different missions for ill managed human and financial

resources Bad coordination between bureaux in charge of inspections

because lack of a shared tool to follow up offences reports Delays in implementing project for water information system (WIS-

F) necessary to gather proper information Efficiency and effectiveness of inspections difficult to appreciate in

the absence of appropriate indicators Budget and finance weaknesses:

Serious shortcomings of accounting and financial management Unsatisfactory follow-up of subsidies (overlaps and duplication of

funds have been overlooked) Procurement and public contracts deficiencies: weak procedures, no

management control 12

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EURecommendations

Governance flaw: clearly define and separate roles of chairman of the board of directors and of the regulatory authority

Effectiveness and efficiency: working methods and means inadequacies Improve human resources management (clear definition of tasks,

transparent rules for wages and allowances, etc…) Reorganise local branches and encourage cooperation with other

public services Define objectives and introduce a rigorous follow-up of projects Significantly increase the number of inspections (specifically in

endangered areas) and select the right indicators to assess their efficiency

Budget and finance weaknesses: ensure reliability of accounts through appropriate procedures

Procurement and public contracts deficiencies: improve management control

13

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUAudit outcomes

Internal consequences Approval by the board of directors of a new six-year contract of

objectives based on all the recommendations made by the Court of Audit

Reform of the governance of the Agency Monitoring of execution of all missions Reinforcement of internal procedures and assessments when

finance, accounting, procurement and HR are concerned. External impact

Supervising authorities’ response: evaluation of water policy, audit of water data production, reinforcement of monitoring on expenses

Significant media attention Increased public awareness, and stakeholders’ demand for

transparency on water data, its costs and uses

14

A jo

int

initi

ativ

e of

the

OEC

D a

nd th

e Eu

rope

an U

nion

,pr

inci

pally

fina

nced

by

the

EUIN SHORT

Challenges Better knowledge on water quality for reports to EC Pledge to improve water quality Need for better cost effectiveness and efficiency

Methodology: the need for a multimodal approach A legal approach : assessment of compliance with the EU framework

directive on water A thematic approach: water inspections and the identification of

instruments for a sustainable water management An institutional approach: the ONEMA, water agencies and satellite bodies

Obstacles to be overcome (focus points for future audits) The difficulty of identifying who is actually in charge because of the

multiplicity of organisations involved The complexity of tracing financial flows The lack of transparency and of management control The need to link water policy with other public policies (ie agriculture,

energy)

15