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National Environmental Investment Strategy

National Environmental Investment Strategy. Kaja Sukova Head of the Sector for Investments Ministry of Environment and Physical Planning. Overview. NEIS is required by the IPA Environmental Sectors covered by the NEIS: Water Waste Nature Energy. Governmental Instrument.

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National Environmental Investment Strategy

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  1. National Environmental Investment Strategy Kaja Sukova Head of the Sector for Investments Ministry of Environment and Physical Planning

  2. Overview • NEIS is required by the IPA • Environmental Sectors covered by the NEIS: • Water • Waste • Nature • Energy

  3. Governmental Instrument • NEIS is regarded as a tool to integrate the environment in other sectors • Line Ministries in charge of the NEIS implementation: • Ministry of Environment and Physical Planning • Ministry of Transport and Communication • Ministry of Agriculture, Forestry and Water Economy • Ministry of Local Self Government • Ministry of Economy • Ministry of Finance

  4. Project Outcome • Sectoral Lists - Top Down (prioritization / ranking of project ideas using simple and measurable indicators / criteria) and Bottom Up (calls for proposals) • Financing Plan: Specific budget allocations for each sector / sub-sector • Institutional Measures for implementation • Agency for Environmental Investments • Quality Management

  5. Environmental investments • Priority environmental problems are to be addressed through “heavy” investments • Largest projects are identified in the sectors of water and waste; absorb the majority of funds which are required to implement the NEIS • “Polluter pays” principle is the most difficult to enforce and therefore the implementation of environmental investments is often impeded by the “problem owners” • Nature conservation is for the first time treated as an “investment” through a given specific budget allocation • In the Air and Energy sector private investments are foreseen for which the Government will provide a support (not violating the State Aid rules).

  6. NEIS Implementation • Agency on Environmental Investments is seen as a coordinating body, reinforcing the existing institutional set up towards the focusing of funds into the priority environmental investments, and using available budgets of at least two line ministries • Quality Management system is regarded as indispensable to foster the implementation of large projects, addressing the strengthening of the capacities of project beneficiaries and ensuring the sustainability of projects

  7. Selection Method • “Top-down” versus “Bottom-up” • “Top-down” approach involves selection of projects based on prioritization and ranking, wherein the project beneficiaries do not invest in project preparation; mostly “heavy” investments • “Bottom up” approach involves launching of “Calls for proposals”, while the beneficiaries develop project concepts; mostly small size projects • “Benchmarking” versus “Competition” • Applicants are screened continuously by the Funding party (through the Quality Management) during the project implementation cycle, being encouraged to improve either their projects or their performance through the “Benchmarking” • Under the “competition” selection method the applicants are screened through one or two steps only; this approach is envisaged projects where the capacities of project beneficiaries are not of a crucial importance for the success of the project

  8. Sectoral Lists • Water and wastewater • Water supply (top down approach, ranking implemented, extension and/or new water supply systems) • Waste Water (top down approach, ranking implemented, specific approach established addressing the affordability issues) • Unique projects (two big projects-Skopje and Tetovo); phased approach has been taken • Waste Management • National HZW Projects (including Health Care Waste Management System) no ranking-political decision • Regional Integrated Waste Management (8 regions, including closure and reclamation of non-compliant landfills, call for proposals, benchmarking) • Pilot Projects (recycling, recovery, bottom up approach) • Industrial Hotspots (MHK “Zletovo” landfill remediation - Veles)

  9. Ranking Water Supply Environmental Criteria Administrative Criteria

  10. Ranking Wastewater Environmental Criteria Administrative Criteria

  11. Municipal Waste Management • Eligibility: all 8 waste management regions may apply for implementation of integrated concepts • Apart having submitted an application, a region must declare that there is a consent for the site of the regional sanitary landfill and that at lest 50% of the population (minimum 3 municipalities) have signed a Memorandum of understanding • Quality Management Team screens the progress of applicants throughout a benchmarking system, which involves meeting of a number of administrative and financial criteria (establishment of an inter-municipal enterprise, improvement of the fee collection, improvement of the efficiency of the municipal utilities etc.). • Within the period 2009-2013 there is a possibility to finance at least three regions (mostly through IPA), given a proper performance of applicants

  12. Sectoral Lists • Air quality management • Monitoring Equipment & capacity building • Link with the LCPs related activities in the Energy Sector • Energy • Overseeing of the performance of the Agency of Energy (RES and EE) • Soft measures required towards reporting to the UNFCCC

  13. Sectoral Lists • IPPC • Annual Call for proposals; aid intensity being limited - up to 30% of the total investment, (or up to 200,000 Euro) to comply with the State Aid regulations • Companies which obtained either A or B adjustment permit are eligible • Nature • Top down list of ranked projects on habitat restoration in protected areas • Bottom up list of clustered projects (calls for proposals)

  14. Ranking Nature • Endemic or unique associations 5 • Endangered species / associations / habitats 4 • Inclusion in the EU Directives (Excluding the Habitat Directive) 3 • Inclusion in the EU Habitat Directive 4 • Inclusion in international conventions 3 • Presence of recognizable species 2

  15. Structure of financing of the NEIS

  16. Budget allocations * mil. Euro (2008 prices)

  17. Financing of the Water Sector

  18. Financing of the Waste sector

  19. Financing of Air, IPPC and Climate Change related projects

  20. Funding of the nature protection and the Agency of Environmental Investments

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