EU external assistance in the Neighbourhood: ENPI (and other instruments) Jyrki Torni EuropeAid Cooperation Office

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EU external assistancein the NeighbourhoodENP
I(and other instruments)Jyrki Torni
EuropeAid Cooperation Office
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Presentations

• Introduction on EC cooperation, the European
  Neighbourhood Policy and the ENPI
• 1. EC cooperation since 2007 main
  characteristics
• 2. European Neighbourhood and Partnership
  Instrument (ENPI), Cooperation issues
• 3. Anticipating and answering to funding
  opportunities

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• EC Cooperation (since 2007)
• Key characteristics

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EU and EC aid implementation

• EU the largest donor in the world
• 27 1 donors together responsible for 60 of all
  official development aid (2007 46,1 billion)
• USA provides 21
• European Commission on its own
• Second largest donor of humanitarian aid
• Third largest donor of development aid (11,3,
  after USA and Germany)
• Present in more than 150 countries

Based on OECD/DAC figures 2008
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The EU the biggest donor in the worldDonor
landscape 2007
EU Donor Atlas 2006, OECD/DAC
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The EC and the external aid budget 2008
External aid 12.3 bn(9)
EuropeAid EDF fund 4.7 bn (38)
Non-EuropeAid Budget 3.2 bn(26)
Commission budget inside EU 128 bn (91)
EuropeAid Budget 4.4 bn (36)
EuropeAid implements external assistance. This
excludes pre-accession aid, humanitarian aid,
Common Foreign and Security Policy (CFSP) aid,
and aid for trade. EC total budget includes
European Development Fund (EDF). NB 2008
provisional figures (Jan 09)
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Political Framework of EU development
cooperation

• UN Millennium Development Goals (2000)
• OECD Paris Declaration on Aid Effectiveness
  (2005)
• Accra Agenda for Action (2008)
• Cotonou Agreement (2000)
• Monterrey commitments (2002)
• Doha Declaration on Financing for Development
  (2008)
• European Consensus on Development (2005)
• Backbone Strategy (2008)

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Millennium Development Goals (2000)
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Paris Declaration on Aid Effectiveness (2005)
http//www.oecd.org/dataoecd/11/41/34428351.pdf
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Paris Declaration on Aid Effectiveness (2005)

• EU Response commitment to four targets in
  addition to the Paris Declaration
• Provide all capacity building assistance through
  co-ordinated programmes with an increasing use
  of multi-donor arrangements
• Channel 50 of government-to-government
  assistance through country systems, including by
  increasing the percentage of our assistance
  provided through budget support or sector-wide
  approaches
• Avoid the establishment of any new Project
  Implementation Units (PIUs)
• Reduce number of un-coordinated missions by 50

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Accra Agenda for Action (2008)

• Ministers of developing and donor countries
  responsible for promoting development and Heads
  of multilateral and bilateral development
  institutions endorsed the Accra Agenda for Action
  in Ghana, on 4 September 2008 to accelerate and
  deepen implementation of the Paris Declaration on
  Aid Effectiveness.

http//endpoverty2015.org/files/ACCRA_4_SEPTEMBER.
pdf
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Accra Agenda in a nutshell (1)

• Strengthening Country Ownership over Development
• Broaden country-level policy dialogue on
  development
• Developing countries will strengthen their
  capacity tolead and manage development
• Building More Effective and Inclusive
  Partnerships for Development
• Reduce costly fragmentation of aid
• Increase aids value for money
• Welcome and work with all development actors
• Deepen the engagement with civil society
  organisations
• Adapt aid policies for countries in fragile
  situations

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Accra Agenda in a nutshell (2)

• Delivering and Accounting for Development Results
• Focus on delivering results
• More accountability and transparency to publics
  for results
• Continue to change the nature of conditionality
  to support ownership
• Increase the medium-term predictability of aid

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The European Consensus on Development (2005)

• Objective Eradication of poverty in the context
  of sustainable development including pursuit of
  MDGs
• Wider peace and stability addressing global
  challenges
• More effective aid range of modalities based on
  needs and performance where conditions are right
  use budget support
• Reaffirm increased EU aid 0.56 of GNI by 2010
  reaching 0.7 by 2015 (March 2002 Council
  Meeting, followed by May 2005 Council Meeting)
• http//ec.europa.eu/development/icenter/repository
  /eu_consensus_en.pdf

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Doha Declaration on Financing for
Development(2008)

• Member States adopted by consensus the Doha
  Declaration on Financing for Development at the
  closing of the Follow-up International Conference
  on Financing for Development to Review the
  Implementation of the Monterrey Consensus (Doha,
  Qatar, 29 November - 2 December 2008).
• The declaration reaffirms the Monterrey Consensus
  and calls for a United Nations Conference at the
  highest level to examine the impact of the world
  financial and economic crisis on development.
  Officials from more than 160 countries, including
  nearly 40 Heads of State or Government, attended
  the four day conference
• http//daccessdds.un.org/doc/UNDOC/GEN/N08/630/55/
  PDF/N0863055.pdf?OpenElement

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Responding to the call for simplification

• Simplification More than 35 instruments,
  replaced by 10
• Harmonisation same rules for all financing
  instruments regarding eligibility, financing
  mechanisms, procedures
• Updating of the rules according to EU
  commitments MDGs, untied aid, alignment, etc.
• More flexible regarding the types of
  beneficiaries, the actions to be funded and the
  co-financing rules.
• Financing budget support, SWAP, twinning, debt
  cancellation, pool funding, operational costs
• More implication of the European Parliament
  democratic control, right of scrutiny

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New Financial Instruments 2007
2007 - 2013
Policy driven instruments ? Instrument for
Pre-Accession Assistance (IPA) ? European
Neighbourhood and Partnership Instrument
(ENPI) ? Development Cooperation Instrument
(DCI) ? European Development Fund (EDF) ?
Instrument for Nuclear Safety Cooperation
(INSC) ? Human Rights Instrument (EIDHR) ?
Instrument for Stability
Before 2007
More than 30 instruments for delivering external
relations assistance
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Geographic and Thematic Programmes the legal
bases
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Geographic and Thematic Programmes differences
Geographic cooperation Thematic cooperation
Main focus Geographic location Theme
Main partners States Civil Society Organisations
Main forms (Sector) budget support Projects
Means Direct negotiations Calls for proposals
Approx. share 80 of EC cooperationENPI More than 12 billion for the period from 2007-13 20 of EC cooperation
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Complementarity between geographic and thematic
instruments (a)

• The New Financial Perspective 2007-2013, provides
  a rationalization of the various geographic and
  thematic instruments

Greater Ownership Budget Support Sector Policy
Support
the geographic instruments provide the major
mechanism for partnerships with recipient country
governments, and focus on the development
priorities of the country or region.
SHIFT
COMPLEMENTARITY
In addition to geographic instrument, the
thematic instruments are meant to support actions
in areas of work which are not included in an
AAP.
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Complementarity between geographic and thematic
programmes (b)

• Play on specific added value of instruments
• ?Them. programmes to be mobilised around
  governance components in the NIPs
• Geographic programmes should aim at enhancing
  dialogue between State and civil society on
  rather consensual issues
• ?Egypt, Promotion and Protection of Human Rights
  and Civil Society in Egypt, 2008. Institutional
  support intertwined with support to civil society
  (HR, gender, children, environment).
• Possibility for thematic programmes to address
  sensitive/more specific issues, in principle not
  requiring government consent.
• ?Egypt EIDHR call, enforcing women and
  childrens rights

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DG External Relations and EuropeAid Programming

Project
Budget of the European Commission
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The programming process
?annual ? describe projects
identified for financing ?
define the budget per project
?lead to EC decision
commitments of funds
? Analysis of the situation ? Response
strategy ? Priority sectors ? 7 years ? revised
at mid-term
?normally attached to Strategy Papers
? set indicative allocations (global per
priority) ? cover 3 4 years
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Programmation documents
A financial instrument is a policy description
with resources attached, and with very specific
rules which describe how, where, when and for
what the money can be spent. AAPs set out the
respective amounts of funding for each country or
each thematic priority and give details about the
initiatives to be financed with those funds. They
can be consulted on EuropeAid's website
(http//ec.europa.eu/europeaid/work/ap/index_en.ht
m). "Annual" in this respect refers to the budget
year.
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? http//ec.europa.eu/europeaid/work/ap/index_en.h
tm
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Programming Actors
Strategy Papers

DG RELEX
Indicative Programs

DG EuropeAid
Annual Action Programmes

Delegations DG EuropeAid
Tenders Projects
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2

• European Neighbourhood and Partnership Instrument
  (ENPI)
• Cooperation issues

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ENP partner states
ENPI ENP partner states Russia
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Financial Instruments / Neighbourhood region

• European Neighbourhood and Partnership Instrument
  (ENPI)
• Instrument for Development Co-operation (DCI
  only the 5 thematic programmes)
• European Instrument for Democracy Human Rights
  (EIDHR)
• Instrument for Stability (IfS)
• Nuclear Safety Co-operation Instrument (NSCI)

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Thematic Programmes (part of DCI)

• Investing in peopleHuman and social
  development
• Protection of the environment and sustainable
  planning / cultivation of natural resources,
  including energy
• Non-state actors and local authorities in the
  process of development
• Food security
• Migration and asylum policies

? http//ec.europa.eu/europeaid/where/worldwide/in
dex_en.htm
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ENPI
E uropean N eighbourhood and P artnership I
nstrument
http//ec.europa.eu/europeaid/where/neighbourhood/
overview/index_en.htm
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ENPI
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ENPI

• Goals
• Common space of stability, security and
  prosperity
• Avoid new dividing lines in Europe
• Increase efficiency of external assistance
• Greater coherence through unified instruments
• Simplified programming and administration

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ENPI

• Stimulating cooperation and economic integration
  of ENPI partners with EU member states
• in order to support the achievement of
• Partnership- and cooperation agreements (East)
• Association agreements (South)
• and other agreements (ENP Action Plans)

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ENPI

• 2007-2013
• European Neighbourhood Partnership Instrument
• Almost 12bn (32 increase in real terms)
• Much more flexible, policy-driven instrument
• Supporting priorities agreed in the ENP Action
  Plans and Four Common Spaces (Russia)
• Other features cross-border co-operation,
  technical assistance
• Plus increased EIB lending mandate 12.4 bn (for
  Mediterranean/Eastern Europe / Southern Caucasus
  / Russia)

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ENPI allocations 2007 2013 11.2 bn ENPI
0.8 bn on Thematic programmes and HR instrument
Country and multi-country programmes Min. 95.0
(gt 10.6 bn)
CBC programmes Up to 5.0 (/- 550 million
additional /- 600 million from ERDF)
Earmarked funds under DCI and EIDHR EIDHR 321.3
million and DCI 464.3 million (earmarked for
ENP countries and Russia under five thematic
programmes)
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ENPI

• adapted to individual countries
• 17 country programmes
• 3 regional programmes (East, South, interregional)

? http//ec.europa.eu/europeaid/work/ap/index_en.h
tm
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Priorities 2007-2008
ENPI

• Armenia Vocational Education and Training (VET),
  Justice Reform
• Azerbaijan Energy, Justice
• Belarus Energy, Environment
• Georgia Public Finance, Justice, IDPs
• Moldova Social Assistance, Public Health
• Russia Higher Education, CBC
• Ukraine Energy

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ENPI

• INTERREGIONAL PROGRAM (2007-10)
• Promoting reforms through consultations and
  experts (TAIEX, SIGMA)
• Promoting higher education and student
  mobility(TEMPUS, Erasmus Mundus II)
• Promoting cooperation between local actors from
  partner countries and the EU (CIUDAD)
• Support in realizing the European Neighbourhood
  Policies and the strategic partnership with
  Russia
• Promoting Investment projects in ENP Partner
  Countries (NIF)
• More info
• http//ec.europa.eu/europeaid/where/neighbourhood/
  regional-cooperation/index_en.htm

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ENPI

• REGIONAL PROGRAM EAST (2007-10)
• Priority 1 Establishment of networks (25-35)
• Sub-priority 1 Transport
• Sub-priority 2 Energy
• Sub-priority 3 Regional cooperation SME
• Priority 2 Environmental protection and forestry
  (25-35)
• Priority 3 Border security, migration, fight
  against international crime as well as customs
  (20-30)
• Priority 4 Civil society contacts, information
  and development actions
• (10-15 )
• Priority 5 Landmine cleansing, not exploded war
  relics, small arms and light arms (5-10)

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ENPI

• REGIONAL PROGRAM SOUTH (2007-10)
• Priority Nr. 1
• COOPERATION IN THE AREAS OF POLITICS, JUSTICE,
  SECURITY AND MIGRATION
• Priority Nr. 2
• SUSTAINABLE ECONOMIC DEVELOPMENT
• Priority Nr. 3
• SOCIAL DEVELOPMENT AND CULTURAL EXCHANGE

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ENPI

• Governance Facilityadditional financial support
  for partner countries with strongest development
  potential for the realization of leadership
  priorities of the respective action plan
• Neighbourhood Investment Facility (for the
  enrichment of IFI-loans in partner countries
  grants, to support the loan activities of such
  institutions in conjunction with the priorities
  of the EU)
• ? 450m 2007-10 to foster the areas of
  Governance and Investments

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Cross-Border Cooperation Programs for land
borders (9) and sea crossings (3)
http//ec.europa.eu/europeaid/where/neighbourhood/
regional-cooperation/enpi-cross-border/index_en.ht
m
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CBC Sea Basin Programs (3)
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3

• Anticipating and answering to funding
  opportunities

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Grant Contract
If you are looking for money to fund your project, then you will be interested in a grant. If you are looking for opportunities to sell your services or goods, then you will compete for a public contract.
A grant is a direct payment of a non-commercial nature by the Contracting Authority (e.g. the EC) to a specific beneficiary to implement an action (or in some cases to finance part of its budget) in order to promote an EC policy aim. Grants, as a general rule, require co-financing by the grant beneficiary. The EU receives the product or service it needs in return for payment.
Grants are concluded following calls for proposals. However, some grants are exceptionally awarded directly to certain beneficiaries without a call for proposals. This may be due to their specific competences or characteristics which meant that they are the sole beneficiaries for certain actions (situations of monopoly), or to the emergency nature of the action (humanitarian aid in particular). Procurement procedures are governed by specific rules which vary depending on the nature of the contract (supply of goods, implementation of works or provision of services) and its amount. These public contracts are concluded following calls for tender. The purpose of competitive tendering is twofold to ensure the transparency of operations and to obtain the desired quality of services, supplies or works at the best possible price.
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Key characteristics and trends of thematic calls
for proposals

• Competitive which tendencies ?
• Right to initiative
• Procedural obligations in order to maximise
  equality of chances of all applicants and
  transparency
• Budget obligations no core financing, but
  activity related financing obligation of
  co-financing
• Technicalities are important HQ or local calls?
  Amounts? Eligibility?
• Pooling of funds

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Good to keep in mind

• Experience
• Added value
• Partnership - In many cases it makes sense to
  build a consortium. A potential applicant may
  thus want to involve suitable partners (also from
  other countries) and discuss plans with them. It
  can also be useful to involve local partners,
  depending on the kind of action one is aiming
  for. It is always an advantage to start building
  a consortium as early as possible, meet the
  partners in person and distribute the
  responsibilities as clearly as possible.
• Sustainability
• Impact/multiplier effect

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NSA definition in DCIHow broad is the concept

• The non-State, non-profit making actors eligible
  for financial
• support under this Regulation operating on an
  independent
• and accountable basis include non governmental
  organisations,
• organisations representing indigenous peoples,
  organisations
• representing national and/or ethnic minorities,
  local traders'
• associations and citizens' groups, cooperatives,
  trade unions,
• organisations representing economic and social
  interests, organisations fighting corruption and
  fraud and promoting good
• governance, civil rights organisations and
  organisations
• combating discrimination, local organisations
  (including
• networks) involved in decentralised regional
  cooperation and
• integration, consumer organisations, women's and
  youth organisations, teaching, cultural, research
  and scientific organisations, universities,
  churches and religious associations and
  communities, the media and any non governmental
  associations and independent foundations,
  including independent political foundations,
  likely to contribute to the implementation of the
  objectives of this Regulation.

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Evaluation full proposal

• Financial Operational Capacity (20 points
  pass threshold 12)?
• Relevance (25 points pass threshold 20)?
• Methodology (25 points)?
• Sustainability (15 points)?
• Budget cost-effectiveness (15 points)?

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Steps

• Register in PADOR Potential Applicant Data
  Online Registration system
• Check the main features of the Call priorities?
  Eligibility criteria (nature of the applicant,
  nationality, experience)? deadlines? partnership
  requirements (number, nationality)?
• Prepare application description of activities,
  including a working plan and a presentation of
  partners, logical framework and budget
• Evaluation, selection and contracting criteria
  in the Guidelines. Open and restricted Calls.
  Timeline.
• Action implementation
• Reporting and final payment

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• Checklist
• Get an idea of the types of actions the European
  Commission funds by browsing EuropeAid's website
  (http//ec.europa.eu/europeaid/where/neighbourhood
  ) and the websites of the EC Delegations
• Consult the lists of those who have already
  received a grant or contract with the EU
  (http//ec.europa.eu/europeaid/work/funding/benefi
  ciaries_en.htm)
• Check funding priorities in the multiannual and
  annual programmes of each instrument. The annual
  programmes and appropriate action fiches provide
  a good indication of upcoming funding
  opportunities (http//ec.europa.eu/europeaid/work/
  ap/index_en.htm)
• Check the appropriate European Commission website
  which publishes all calls for proposals and calls
  for tender (http//ec.europa.eu/europeaid/work/fun
  ding/index_en.htm) and the websites of the
  European Commission's Delegations in the
  countries of your interest
• International calls for tenders are
  simultaneously published in the supplement S of
  the Official Journal of the European Communities
  available from the TED (Tenders Electronic Daily)
  at http//ted.europa.eu/
• Learn about the European Commission's external
  assistance procedures (http//ec.europa.eu/europea
  id/work/procedures/index_en.htm)
• - Check the annual work programmes for grants
  which are published by 31 March each year
  (http//ec.europa.eu/europeaid/work/awp/index_en.h
  tm)

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Evaluation full proposal

• Financial Operational Capacity (20 points
  pass threshold 12)?
• Relevance (25 points pass threshold 20)?
• Methodology (25 points)?
• Sustainability (15 points)?
• Budget cost-effectiveness (15 points)?

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Open call for proposals steps

• 1. Publicity
• 2. Receipt and registration
• 3. Opening and administrative check
• 4. Assessment of the quality of the concept notes
• 5. Assessment of the technical and financial
  quality of the proposal
• 6. Eligibility
• 7. Committees recommendations
• 8. Approval of the Evaluation Report with list
• 9. Contract preparation
• 10. Publicity

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KEY reference links and documents

• Guidelines of the Call priorities, eligibility
  criteria and contacts to ask questions on a
  specific call http//ec.europa.eu/europeaid/work/f
  unding/index_en.htm
• Practical Guide all the procedures
  http//ec.europa.eu/europeaid/work/procedures/impl
  ementation/practical_guide/index_en.htm
• The European Commission's "Practical Guide"
  explains the contracting procedures applying to
  all EC external assistance contracts (grants and
  public procurement contracts) financed from the
  European Communities general budget and the
  European Development Fund (EDF).
• 2009, launching of the Civil Society Helpdesk
  (CISOCH) interactive platform based on a Wiki
  software for Delegations Civil Society
  Organisations.

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How to award a grant?

• Call for Proposals
• Open or restricted
• International or local
• Exceptions where direct award may be allowed
• urgency or crisis situation
• de jure or de facto monopoly
• mention in basic act
• actions with specific technical characteristics
  requiring a specific entity
• joint management with an international
  organisation
• grants of low amount (less than 10 000) in
  decentralised management
• PRAG 6.3

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? EuropeAid website
http//ec.europa.eu/europeaid
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? http//ec.europa.eu/europeaid/work/funding/index
_en.htm
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(No Transcript)
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KEY reference links and documents

• Calls for proposals and calls for tenders
  http//ec.europa.eu/europeaid/work/funding/index_e
  n.htm
• Programmation documents Instrument (Regulation),
  Strategy, Annual Action Programme
• http//ec.europa.eu/europeaid/work/ap/index_en.htm
  
• Stakeholder meetings (DCI)

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Thank you!EU external assistancein the
Neighbourhood EuropeAid Cooperation Office
http//ec.europa.eu/europeaid
Jyrki Torni Geographical coordination and
supervision for Europe jyrki.torni_at_ec.europa.eu

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Abbreviations
AAP Annual Action Programme
CBC Cross-Border Cooperation
CFSP Common Foreign and Security Policy
DCI Instrument for Development Cooperation
EC European Community
EDF European Development Fund
EIDHR European Instrument for Democracy and Human Rights
ENP European Neighbourhood Policy
ENPI European Neighbourhood and Partnership Instrument
EU European Union
IBPP Institution Building Partnership Programme
MDG Millennium Development Goals
NIP National Indicative Programme
NSA Non-state Actors
NSA-LA Non-State Actors and Local Authorities
ODA Official Development Aid
SC Civil Society
SCO Civil Society Organisations
SWAP Sector-wide approach