Transcript EUROPEAN FUNDS IN HALF-TIME NEW CHALLENGES Jack Engwegen Head of the Czech Unit European Commission, Directorate General for Regional Policy Prague, 23 June 2011

EUROPEAN FUNDS IN HALF-TIME
NEW CHALLENGES
Jack Engwegen
Head of the Czech Unit
European Commission, Directorate General for Regional Policy
Prague, 23 June 2011
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EU Funds in the Czech Republic 2007-2013:
What has been achieved so far? (1)
• EU Funds make major financial contribution to the
development of national public policies:
– Transport: reconstruction of 138 km TEN-T railways
– Environment: 627 km of new or reconstructed waster water pipes
and 584 km2 of regenerated sites
– Enterprise: over 8 000 new jobs created
– R&D: share of R&D expenditure on the overall GDP increased from
1.42 % to1.53%
…And for regional development:
– 1.3 billion paid so far from ERDF to 9 regional OPs to finance
regional transport, cultural and educational infrastructure
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EU Funds in the Czech Republic 2007-2013:
Achievements and challenges (1)
Issue
Strategy building
and planning
Achievements
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Early launch of the
preparation for the future
cohesion policy involving
partners at national and
regional level
Development of the
transport strategy with the
EC and Jaspers
Draft Competitiveness
strategy
National Reform
programme agreed
Good progress made on
strategy building in a
number of regions
Challenges
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Limited strategic vision in most policy areas
Ensuring coherency and coordination between
thematic and regional strategies
Regional strategies to find the right balance
between regional specificities and EU 2020
Ensuring an operational link with the priorities
of the National Reform Programme
Ensuring networking to connect more advanced
regions with lagging regions
Creating an academic/public/private
partnership in support of competitiveness and
Innovation
Ensuring a stronger involvement of the private
sector
Ensuring sufficient attention for the needs of
marginalised groups in the society
Stricter concentration of SF on activities with a
measurable added value inn terms of agreed
objectives
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EU Funds in the Czech Republic 2007-2013:
Achievements and challenges (2)
Issue
Overall
coordination /
OP management
Achievement
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Creation of evaluation culture
Improved monitoring
Good practices in financial
management
Financial progress in a number
of programmes
Open communication structure
between MA and REGIO
Monitoring of OP
implementation risks
Functioning of partnership in a
number of programmes
Improvement in forecasting of
expenditure
Challenge
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Increasing coordination and cooperation
between regional and thematic OP (overlaps)
Complex implementation methods in most OP
OP modifications should not be driven by
absorption problems only
Compliance with public procurement
Role and functioning of the audit authority and
delegated audit bodies
Balanced representation of partners at MC
OP with a complex management structure,
including several IB
Independence of MA
Medium to long-term sustainability of projects
ERDF co-financed
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EU Funds in the Czech Republic 2007-2013:
Achievements and challenges (3)
Issue
Capacity
building
Achievements
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Developing of expertise and
knowledge in the bodies
implementing the SF
Quality schemes under TA
Guidance on the selection
and remuneration of staff
Challenges
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High fluctuation of staff, vulnerable to political
changes
Introduction of a public services code for staff
responsible for SF implementation
Extensive outsourcing of tasks parallel to
capacity building
Insufficient Administrative Capacity at the
level of final beneficiaries
Proper need analysis of human capacity under
the different programmes
Strengthen the "learning from the past" process
at all levels
Strengthen "learn from each other", exchange
of experience within CZ Rep and from other
MS
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EU Funds in the Czech Republic 2007-2013:
Achievements and challenges (4)
Issue
Major
projects
Achievements
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Better quality of projects
thanks to close-co-operation
with Jaspers
Development of common CBA
methods (rail ,water, R&D)
Challenges
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Publicity
issues/TA
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More awareness about the EU
Funds and EU in general
A number of good practice
publicity measures
implemented
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High unit costs of infrastructure projects
Compliance with public procurement rules
Added value of financing of already
completed projects
Preparation of a pipeline of quality MP for
next programming period
Quality control mechanism ex-ante
submission
Risk of financing projects with limited added
value
Stricter application of the "sound financial
management" principle in the use of TA
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Points for reflection on the future (1)
• Ensuring more complementarities and synergies between OP
• More performing delivery systems
• More standardized procedures/templates for submission of
project applications
• Risk management to become an integral part of SF preparation
and implementation
• More effective role of monitoring committees in the policy
debates, more active involvement of partnership
• Ex-ante programme evaluation to include an economic,
environmental and social impact assessment
• Strengthen the role of the audit authority and to ensure a
better coordination of audit activities between the different
organisations concerned
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Points for reflection on the future (2)
• More transparency, political independence and stability of
staff working on the Funds/ SF staff code
• Stronger coordination role for the NCA with more authority
and responsibility
• Outsourcing of administrative tasks should not oppose the
development of administrative capacity
• Creating an environment in terms of legal, administrative
and financial structure/rules and procedures that enables
an efficient and effective use of SF resources
• Appropriate strategy building as a prerequisite for
successful implementation of OP
• Make better use of past experience and strengthen
exchange of experience
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Thank you for your attention !
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