1. IPA – European pre-accession funds
THE INFRASTRUCTURE SECTOR IN SERBIA: OPPORTUNITIES AND LEGAL FRAMEWORK Financial Instruments and Support to Investment Projects
IPA – European pre-accession funds
Martin Kern, Head of Operations
Delegation of the European Union to the Republic of Serbia
15 April 2013
Seminar organised by Confindustria, Italy
Belgrade, Hotel Falkensteiner

2. EU assistance to Serbia
Goal: improve the efficiency of the Community's External Aid
Instrument of Pre-accession - new framework for programming and delivery of assistance, constituting one of the general instruments directly supporting European External Aid policies.
The overall objective of EU financial assistance to Serbia is to support the country's reform efforts and its movement towards compliance with the EU acquis, so that it becomes capable of taking on the obligations of European Union membership.
Assistance for candidate countries as well as for potential candidate countries to support them in their efforts to strengthen democratic institutions and the rule of law, reform public administration, carry out economic reforms, respect human as well as minority rights, promote gender equality, support the development of civil society and advance regional cooperation as well as reconciliation and reconstruction, and contribute to sustainable development and poverty reduction in these countries, and it should therefore be targeted at supporting a wide range of institution-building measures.
Assistance for candidate countries: focus on the adoption and implementation of the full acquis, and in particular prepare candidate countries for the implementation of the Community's agricultural and cohesion policy.

3. EU assistance to Serbia IPA 2007-2013
Assistance is programmed and implemented according to the following components:
Transition Assistance and Institution Building;
Cross-Border Cooperation;
Regional Development;
Human Resources Development;
Rural Development.
Only components 1 and 2 are now open for Serbia
IPA II will be 2014 – 2020: sector approach

4. EU assistance funds
: CARDS managed by the European Agency for Reconstruction
2007 to 2012: IPA implemented by EU Delegation
2013 – onwards: national authorities
Since 2000, Serbia received a total of €2 billion from IPA and CARDs
Programming:
European Partnership (2008) by the European Council
Multi-Annual Indicative Programme by the European Commission
Annual programme: drafted by Serbian Authorities, adopted by the European Commission
Financing Agreement signed by both
€ 653 million contracts ongoing (number of contracts: 673)
€ 300 million tenders ongoing or about to be launched tendering procedures (IPA )
€ 953 million in total

6. The Sector approach - MIPD sectors
The Multi-annual Indicative Planning Document (MIPD) is to set out the EU's priorities for assistance to Serbia for the programming period
Based on the needs identified in the European Partnership of the country as well as the latest Enlargement Strategy and Progress Report (adopted on 9 November 2010)
The Government of Serbia, local stakeholders, EU Member States and other donors have all been consulted in the design of this MIPD.
Set to increase the impact of IPA and to place a greater focus on achievable results, the Commission has decided to concentrate its efforts on targeted sectors.
A sector approach facilitates cooperation among donors and beneficiaries, where possible under the lead of the national authorities, eliminating duplication of efforts and leading to greater efficiency and effectiveness.
This in turn allows all stakeholders to focus more on the impact of our combined efforts.

9. Some sectors financed by IPA 2011 and 2012
Transport: € 13.8 million
Modernisation of railways € 8.3 million
Access roads to the Zezelj bridge € 5.5 million
Environment, Climate Change and Energy: € million
Construction of wastewater treatment facilities: € 15 million
Municipal environment grant loan investment programme: € 19.1 million
Law enforcement in the field of industrial pollution control, prevention on chemical accidents and establishing the EMAS System: € 3 million
Capacity building for the Energy Agency: € 1.5 million
Support to Environmental Protection and Climate Change: € million
Support to improvement of energy efficiency: € 2.0 million
Private Sector Development (Competitiveness): € million
Socio-economic development in the Danube region € 18.5 million
Support to SME development € 6.18 million

10. Decentralized Management Implementation
The Government of Serbia is developing its administrative and technical capacities in relation to the management of the Instrument for the Pre-Accession (IPA) under a Decentralised Implementation System (DIS).
Preparation for the accreditation for Decentralized Management Implementation
Key institutional roles are allocated: CAO, NIPAC, NAO, PAO, SPOs
Accreditation Packages were submitted in June
DIS structures and mainly National Fund, CFCU and NIPAC continue to receive extensive training
There are several issues, which have to be tackled before the conferral of management can be granted:
The Audit Authority has to become operational as it has a critical role in the accreditation process and start up of DIS.
Preparations of a new IPA Regulation is under way for the next Multiannual Financial Framework

11. Key on-going (recently completed) EU projects along Corridor VII (Danube)
€11 M: RIVER INFORMATION SERVICES
€6.4 M: UXO IN DANUBE: SURVEY, SEARCH & REMOVAL
€2.2 M: PREPARATION OF DOCUMENTATION FOR RIVER TRAINING AND DREDGING WORKS IN THE DANUBE
REHABILITATION OF ŽEŽELJ BRIDGE ACROSS THE DANUBE RIVER IN NOVI SAD (€28.1 M, INCL. SUPERVISION ) – PARALLEL CO-FINANCING WITH SERBIAN GOV’T (€19 M)

12. DESTROYED/FUTURE ZEZELJ BRIDGE

13. RIS - OUTLINE 50 GOVERNEMENTAL VESSELS EQUIPPED WITH RIS MODULES
AIS NETWORK: COVERAGE - 100% OF THE SERBIAN DANUBE
160 COMMERCIAL VESSELS EQUIPPED WITH RIS MODULES

14. Lessons learned: infrastructure projects
Strategic selection of projects pipeline
Quality of feasibility study
Clear institutional responsibility and coordination
Financial engineering
Financial sustainability

15. IPA 2013
IPA 2014 – 2020
STATE OF PLAY

16. Thank you for your attention! Dečanska 1 11000 Belgrade, Serbia
For more information:
EU Info Centre
Dečanska Belgrade, Serbia