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ISPA Environment Programme Implementation in ROMANIA Bucharest, 07 October 2004

Ministry of Environment and Water Management. ISPA Environment Programme Implementation in ROMANIA Bucharest, 07 October 2004. Summary. ISPA Environment Programme in Romania - Overview ISPA Environment Strategy ISPA Environment - Current Status and Future Aspects.

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ISPA Environment Programme Implementation in ROMANIA Bucharest, 07 October 2004

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  1. Ministry of Environment and Water Management • ISPA Environment Programme Implementation in • ROMANIA • Bucharest,07 October 2004

  2. Summary • ISPA Environment Programme in Romania - Overview • ISPA Environment Strategy • ISPA Environment - Current Status and Future Aspects

  3. ISPA Environment Programme- General Information - • Instrument for Structural Policies for pre-Accession, set up by EC Regulation no. 1267/1999 of 21st June 1999 • Non-reimbursable financial instrument to assist the candidate countries in implementation of the EU “heavy” Directives • Sectors benefiting from ISPA funds: • Environmental protection • Transportation • Hybrid nature - transition from PHARE (candidate countries) to Cohesion Funds (member states) • Complementary with other EU programmes

  4. ISPA Environment Programme- General Information - • Beneficiary countries: 10 accession candidate countries (Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia, Slovenia) • Duration: 7 years, between 2000-2006 • ISPA Budget for Romania: 208-270 MEuro annual(20-26% of total ISPA funding) • Romania - second largest recipient

  5. Main EU Financial Instruments

  6. ISPA-Environment • Copenhagen European Council Decision: increase of financial pre-accession support 20% - 2004 30% - 2005 40% - 2006

  7. ISPA Goals • Prepare applicant countries for accession • Familiarize applicants with Union policies and procedures • Meeting environmental acquis • Extending and giving access to the transeuropean transport Network

  8. Funds Accession - basic conditions • ISPA Strategy (for each sector - transportation and environment) elaborated and approved • ISPA Applications (and supporting documents) according to EU Standards submitted to Bruxelles • Set up adequate mechanisms for co-financing guarantee • Set up and/or develop Institutional Framework for ISPA Programme Implementation as per Memorandum of Understanding Romania - EU

  9. ISPA Environment - Objectives • Comply with EU principles and environmental policies • Contribute to a gradual social-economical cohesion • Comply with the provisions of the National Plan for the Adoption of the Acquis Communitaire • Maintain, protect and improve environmental factors • Protect human health • High level of protection of sensitive environmental areas • Enforce environmental pollution at source • Apply “polluter pays” principle

  10. Environment – Other Programs • SAPARD – water infrastructure in rural area • SAMTID – Water infrastructure in small and medium towns

  11. Institutions Involved in ISPA-Environment EUROPEANCOMMISSION MINISTRY OF EUROPEAN INTEGRATION (MEi) National ISPA Coordinator MINISTRY OF WATERS AND ENVIRONMENTAL PROTECTION (MWEP) ISPA Environment Authority MINISTRY OF PUBLIC FINANCE (MPF) National Fund • CENTRAL FINANCE AND CONTRACTING UNIT (CFCU) • Central Finance and Contracting Unit LOCAL BENEFICIARIES

  12. Key Stages in ISPA Project Cycle • Application for assistance • Appraisal of project • Management Committee • Financing Memorandum • Implementation - physical/financial • Monitoring and control • Ex-post evaluation

  13. Programming - ISPA Application BENEFICIARY -Elaboration- MoE -Endorsement- FN -Endorsement- MIE -Submitting- CE (via DCE) -Approval-

  14. ISPA Environment Strategy • Reference Documents • Pre-accession Partenership • National Plan for the Adoption of the Acquis Communitaire • National Programs (strategies/action plans) for the environmental sector • Sectoral Strategies of ISPA fields • Elaborated in June 2000, updated in 2003

  15. Eligibility - General Criteria • Significant impact on environment and people’s health • Beneficiary population • Urban public utilities sector • Minimum value of a project – 5 mil. Euro • Availability of co-financing • ISPA grant represents 50-75% of the eligible cost of the project, while difference is to be covered by local beneficiaries • Project to be in one of the ISPA priority fields

  16. Priority fields in ISPA Environment • Improvement of Water Infrastructure • Water supply and sewerage networks • Water and Wastewater treatment • Waste management • New controlled landfills (old, un-compliant ones to be gradually closed) • Selective collection systems for domestic waste • Waste recycling • Air quality protection • Reduction of pollutant emisions • increase of energetic efficiency

  17. Water sector – top priority • Experienceacquiredin previous internationally financed projects • Local, regional and river basins structures - well defined • Legislation in place • Focus on higher environmental problems instead of spreading away resources on small-scale projects

  18. Selection of Projects in Water Sector - Other considerations - • River basin approach – according to the provisions of the WFD; balanced investments on basins • Regional development according to the National Plan for Development, taking into account a uniform distribution on regions of development

  19. Solid Waste Projects • Waste Management Plan • Regional focus • Integrated waste management (minimization, recycling, disposal) • Realistic about recycling targets • Impact on size and design • Composition of waste stream • Include public awareness campaign

  20. Approved ISPA Measures 28 on-going projectsin total value of912.6 MEuro (ISPA Grant – 683.5 MEuro) • 23 investment projects - different stages of implementation 19 projects in water and wastewater field 4 projects in waste field • 5 projects of technical assistance -2 projects on TA to prepare investment projects in water management field for 6 cities 11 more projects submitted to Bruxelles, to be approved: in total value of483.2 MEuro(ISPA Grant – 348.2 MEuro)

  21. Co-financing of ISPA-Environment projects • ISPA Grant - for approved projects - between 68-75% • Intervention rate determined on the basis of the financial analysis • Co-financing is ensured by final (local) beneficiaries through: • loan from IFI (EIB or EBRD) for most of the projects • local budget • state budget • donors • Co-financing is required (how and who) before submission of ISPA Application

  22. Project pipeline • For 2004-2006, 15 ISPA Applications to be prepared in the framework of TA (78% ISPA Grant + 22% MoE) • 10 projects in water/wastewater sector • 5 projects in solid waste management • 8 projects under preparation from other sources • For 2007 and up, a number of large-scale projects are identified to be promoted in ISPA/CF

  23. Main EU Financial Instruments Financing Prospects after Accession MEURO EU Budget for Romania 2007 2008 Structural Funds 1,399 1,972 Cohesion Funds 466 657

  24. ON GOING PROJECTS PROJECTS SUBMITTED (TO BE APPROVED) • Water Water • Waste Waste ISPA Projects in Romania

  25. ISPA - Forthcoming Issues • Absorption of increased funds to be allocated to Romania in 2004-2006 - preparation of new ISPA projects (300 mil. Euro) • Further project pipeline to be prepared for CF • Increase institutional capacity for project implementation • Higher involvement of central and local authorities in public information and consultation (EIA Directive) • Development of projects at basin level and regional level; uniform distribution considered • Balance projects in water – waste fields • Identify projects in air field

  26. Opportunities of cooperation within ISPA Programme • Participation at international tenders for services and works under ISPA • Set up common programmes for: • financial assistance for ISPA Applications • technical assistance for institutions involved in ISPA/CF programme.

  27. Web sites • www.europa.eu.int • ISPA Application Form • ISPA Regulation • ISPA Manual • Practical Guide for PHARE, ISPA and SAPARD • Information regarding the approved projects and tenders • www.infoeuropa.ro • Information regarding EU Financial Instruments in Romania • www.mie.ro • Accession Partenership • National Plan for the Adoption of the Acquis Communitaire • www.mappm.ro • National Strategy for Environmental Protection • National Action Plan for Environmental Protection • ISPA Strategy

  28. ISPA Environment in ROMANIA Bucharest,07 October 2004

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