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General introduction to EC Development Cooperation

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1 General introduction to EC Development Cooperation
Aprodev working group on EC Funding General introduction to EC Development Cooperation APRODEV training workshop on EC funding and project management Johannesburg March 2007 (updated in July 2008) Organised by Christian Aid (UK), EED-Church Development Service (G), Bread for the World (G), Church of Sweden (Sw), ICCO (Nl), Danchurchaid (Dk)

2 The European Union 27 Member States and more than 490 million citizens
A Treaty establishing principles, competences, institutions and their functioning Full political competence on Development cooperation and international trade agreements Increasing political competences on Foreign and Security Policies and Defence Policies 3 main institutions: Commission, Council and Parliament An Annual Budget of around 100 billion euros or 1% of total EU GNI out of which around 10% is allocated to external actions

3 EU institutions Council of Ministers: 27 Foreign Affairs ministers meeting every month. Two times a year special focus on Development Policy. Co-decision with EP on legislation and annual EU Budget. Decision on CFSP and EDF. European Parliament: 785 members elected directly by citizens of 27 MS. Co-decision with Council on development legislation and on the annual EU Budget. Main role in ex-post budgetary control. European Commission: executive body with a right of initiative on policies and legislation 25 Commissioners and civil servants 23 Directorates General with Policy responsibilities

4 The European Commission
6 Directorate General and 4 Commissioners are involved in EU relations with third countries: DG Development, DG External relations, DG Trade, DG Enlargement, AIDCO and ECHO Trade negotiations with ACP countries are under responsibility of DG Trade DG Development is only responsible for the EDF and for thematic development programmes DG Relex is responsible for cooperation with non ACP countries and for Human Rights and CFSP related issues

5 How is the EC organised to deliver Development and Humanitarian Aid in Africa
Commissioner External Relations Commissioner Dev & Hum Aid Policy and Programming DG RELEX Human rights Conflict prevention Security DG Development ACP Development thematics ECHO Policy and Implementation AIDCO Implementing body Implementation Brussels Field EC Delegations ECHO Field Offices

6 Role of Delegations There are 118 Delegations in third countries with the role of: presenting, explaining and implementing EU policy; analysing and reporting on the policies and developments of the countries to which they are accredited ; and conducting negotiations in accordance with a given mandate. Delegations also play a key role in implementation of external assistance: Leading the aid programming process in consultation with third countries governments Managing official aid to third countries governments (NIPs) Managing country specific NGO and CS projects Launching and managing local calls for proposals Coordinating with other Official Aid donors present in the Country

7 EU Development Policies
European Consensus on Development: Policy statement adopted by the 3 EU institutions Applicable to all developing countries, defines development principles and priorities of the Member States and the EC. Open the door for more coordination between MS and EC Cotonou Agreement between African, Pacific and Caribbean countries and the EU: Development cooperation and trade agreement Political dialogue Joint ACP-EU institutions (Council, JPA) Agreement for 20 years reviewed every five years (until 2020)

8 EC Development and Humanitarian Aid
Total EC ODA in 2007 = 8.5 billion euros European Development Fund (5 years) - EDF Inter-governmental Fund, financial arm of the Cotonou Agreement – contribution from 25 MS In 2007, EDF = 2.8 billion euro = 33% of EC ODA Annual EC Budget for External Actions In 2007: 67 % of EC ODA Cover EC cooperation with all third countries, not limited to DC Geographic budget lines for Asia, Latin America, Mediterranean, Eastern Europe, the Balkans …..all third countries except ACP Thematic budget lines for action in all countries (including ACP)


10 How is aid delivered? EDF is delivered through national and regional indicative programmes (CSPs, RSPs) and intra-ACP funding (facilities and programmes for all ACP or Africa) Thematic programmes are delivered through multi-annual strategies translated into annual work programmes In both cases actors and projects for implementation are identified through calls for proposals or calls for tender. Direct aid to governments is provided through budget support, SWAPs and/or projects with ministries EC is not an implementing body and resorts a lot to technical assistance and consultancy

11 Place of CSOs/NGOs in EC aid
50%* of EC aid from the annual budget is channelled indirectly through NSA (NGOs, other CSOs, International organisations, trade unions, employers associations,…) Partners number 1 for indirect aid are the international organisations (48%), followed by NGOs (39 %) and by other NSA actors (13%) IO (UN + others) are a main partner for all aid instruments while NGOs are main partners for TBL and Humanitarian Aid mainly Examples exist of EC aid to CSOs managed by UN agencies: Sudan 50 million package for CS managed by UNDP – World Food programme In general limited direct access to EC aid for CSOs from Developing countries (* Based on 2003 data, no recent detailed information available)

12 The Future Instruments
10th EDF 2008 – 2013 € billion Development Co-operation Instrument DCI Developing countries not other than EDF, ENPI, PAI + thematic programmes € 17 billion European Neighbourhood & Partnership Instrument ENPI East Europe, Caucasus, Mediterranean countries € 11 billion Pre-Accession Instrument PAI Turkey and the Balkans € 11.5 billion Co-operation with industralised countries € 172 million Human Rights and Democracy € 1.1 billion Instrument for Stability € 2 billion Horizontal Instruments Humanitarian Aid € 5.6 billion Macro-Financial Assistance € 0.7 billion


14 Future thematic programmes
Investing in People – Human and Social Development: reproductive health, HIV/AIDS, education, gender, children rights,… Non-state Actors and Local Authorities in Development: focus on civil society actors and actions, replace co-financing – open to wider range of actors in N and S Environment and Sustainable Management of Natural Resources including Energy Food Security. Advancing the Food Security Agenda to Achieve the MDGs - Food Aid will be included in humanitarian aid Promotion of Democracy and Human Rights Worldwide Cooperation with Third Countries in the Areas of Migration and Asylum

15 EC Funding Architecture
2006 2006 9th EDF BUDGET LINES in EU BUDGET 2008 2007 2007 10th EDF DC Instrument. Stab. Instr Hum. Aid Instr. NIPs RIPs Facilities Thematic Programmes ? FPA CFTender local CFP TA Brussels CFP or Local CFP AFRICA SADC Zambia

16 Actions by Civil Society organisations in developing countries
The funding relations: : Humanitarian aid : Development aid EU public AIDCO ECHO Global calls NSA programme Thematic programmes HRDI FPA EU NGOs Brussels Field ECHO field Offices EC Delegations EU NGOs field offices Local calls NIPs TBL HRDI Actions by Civil Society organisations in developing countries

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