1. Supporting Cities and Regions through Projects and Programmes
Gianni Carbonaro
Policy Support Department
European Investment Bank
The presentation will be an opportunity to stimulate discussion and an exchange of experiences on how the instruments of cost-benefit analysis and programme evaluation can be usefully employed in the context of the European structural policies, and more specifically to improve the quality of structural expenditures.
Themes addressed in the presentation will be the following:
Projects and programmes - the risk of going from projects without strategy to strategies without projects: to what extent can the logic of structural programmes be reconciled with selection and assessment tools for project-based instruments, such as the Cohesion Fund, ISPA and the like?
Striking a difficult balance - challenges in project design, assessment and control:
-          sector vs. multi-sector operations;
-          the appropriate spatial level (e.g. Regional Operational Programmes vs. URBAN);
-          conflict between speed of absorption (compliance with the N+2 rule) vs. securing investment quality;
-          delegation vs. centralisation in decision and control processes;
-          standardisation vs. flexibility in evaluation methods and parameters;
-          specific issues in PPP structures.
EIB experience in the current programming period – use of CBA tools, co-operation with the Commission in project appraisal, combining loans and grants; some illustrations.
EIB in the coming programming period:
-          reinforced emphasis on project preparation, sound evaluation, promoting best practice and quality;
-          new initiatives to reinforce co-operation between the EIB, the Commission and Member States – JASPERS (Joint Assistance in Supporting Projects in European Regions) and JEREMIE (Joint European Resources to Micro and Medium Enterprises).
12/10/2018
EPC Policy Dialogue 28 September 2006

2. EIB and SF working together …
How to combine in the best way market instruments and community grants
Important to achieve maximum leverage
The broad principle is incorporated in SF…
… but the devil is in the details …
… which often requires early involvement …
… and may clash with political feasibility constraints
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EPC Policy Dialogue 28 September 2006

3. Co-operation with structural actions 2000-06
Systematic co-op within programme
The 2000 agreement with the Commission:
Intensify participation in the preparation phase
Consultation on co-financed projects
Paid technical services for large projects
(as requested by DG-Regio even without co-financing)
Continue with well-established forms of cooperation
On a project-by project basis
Focus on certain sectors (transport, water cycle…)
Cohesion Fund, ISPA, PHARE …
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EPC Policy Dialogue 28 September 2006

4. EPC Policy Dialogue 28 September 2006
3 Pillars of Value Added
Adopted from 2004 as the result of a period of internal consultation
Each operation must be judged on the basis of:
Pillar 1
Policy coherence (EU objectives)
Pillar 2
Investment quality
Pillar 3
Banking value
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EPC Policy Dialogue 28 September 2006

5. EPC Policy Dialogue 28 September 2006
EIB –
What’s new
The three J’s
PPP Centre of Expertise
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EPC Policy Dialogue 28 September 2006

6. EPC Policy Dialogue 28 September 2006
JASPERS - the problem…
Enlargement has greatly added to the requirement to prepare projects
One third of budget for Cohesion Fund
Greatly enlarged resources for new MS
REGIO country desks identified (early 2006) 525 large projects that require preparation in the coming years
Problems with quality of projects remain
12/10/2018
EPC Policy Dialogue 28 September 2006

7. EPC Policy Dialogue 28 September 2006
JASPERS Joint Assistance to Support Projects in European Regions ( + s)
A technical assistance partnership to prepare major projects between DG REGIO, EIB and EBRD
JASPERS is an additional technical assistance resource for the MS and for DG REGIO
value added:
experience and expertise of EIB / EBRD in a more structured and coordinated way than in the past
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EPC Policy Dialogue 28 September 2006

8. EPC Policy Dialogue 28 September 2006
Aims of JASPERS
technical assistance from early stages of a project through to the final application for Grant Support
to cover the technical, economic and financial aspects and any other preparatory work required to deliver a mature project
objective is to ensure a flow of high quality project applications for rapid approval of Grant Support by the Commission
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EPC Policy Dialogue 28 September 2006

9. EPC Policy Dialogue 28 September 2006
JASPERS
Managing Authority acts as central coordinator for each country
Project preparation: the Managing Authority in the MS can request assistance directly from JASPERS in Luxembourg or to the regional offices of JASPERS (being established)
Project appraisal: when an application for assistance has been received, DG REGIO can request assistance from JASPERS in Luxembourg
12/10/2018
EPC Policy Dialogue 28 September 2006

10. EPC Policy Dialogue 28 September 2006
JEREMIE Joint European Resources for Micro to Medium Enterprises JESSICA Joint European Support for Sustainable Investment in City Areas
Financial engineering instruments (based on Investment Funds) for:
Microfinance and SME’s
Urban development
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EPC Policy Dialogue 28 September 2006

11. EPC Policy Dialogue 28 September 2006
JEREMIE / JESSICA
Design-to-Operation cycle through Investment Funds different from grant giving / lending, but :
quality and evaluation remain central
CBA classical ex-ante approach not enough
have to include institutional building, long-term management capability
which need to feed durably into:
micro-enterprise and SME business plans
strategic framework for sustainable urban developmen
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EPC Policy Dialogue 28 September 2006

12. EPC Policy Dialogue 28 September 2006
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EPC Policy Dialogue 28 September 2006

13. EPC Policy Dialogue 28 September 2006
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EPC Policy Dialogue 28 September 2006

14. EPC Policy Dialogue 28 September 2006
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EPC Policy Dialogue 28 September 2006

15. EPEC European PPP Expertise Centre
Recently completed consultation on the proposal to establish EPEC
PPP units in Member States, Commission and EBRD
Questions: need for EPEC, its mandate and services, resources
General objective is to capitalise on EIB and other partners’ skills to support high-quality PPP proposals of European interest.
12/10/2018
EPC Policy Dialogue 28 September 2006