Explanatory Memorandum to COM(2011)842 - Common rules and procedures for the implementation of the Union's instruments for external action - Main contents
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This page contains a limited version of this dossier in the EU Monitor.
| dossier | COM(2011)842 - Common rules and procedures for the implementation of the Union's instruments for external action. |
|---|---|
| source | COM(2011)842  |
| date | 07-12-2011 |
A priority for the Commission within the context of the Multiannual Financial Framework (MFF) is to simplify the regulatory environment and facilitate the availability of Union assistance to partner countries and regions, civil society organisations, SMEs, etc. to the extent that they contribute to the objectives of the Regulation.
In the implementation of the new Instruments, simplified and flexible decision-making procedures would allow a swifter adoption of implementing measures and thus of delivery of EU assistance, in particular for countries in crisis, post-crisis and fragility.
Furthermore, the revision of the Financial Regulation, which is particularly substantial with regard to the special provision on external actions, will facilitate the participation of civil society organisations and small businesses in funding programmes, for example by simplifying rules, reducing the costs of participation and accelerating award procedures. The Commission intends to implement this Regulation using the new flexible procedures provided for in the new Financial Regulation.
Against this background, the Commission proposes a set of simplified and harmonised implementing rules and procedures applicable to four geographic instruments, i.e. the DCI, ENI, IPA, and PI, and to the three thematic instruments IfS, EIDHR, and INSC. In the case of the IPA and ENI, however, the special characteristics of pre-accession and cross-border cooperation will require additional and specific implementing rules and procedures complementing as lex specialis the common set provided by the Common Implementing Regulation.
Both the EDF and the Greenland Decision will remain outside the scope of that Regulation given the specificity of their funding mechanisms.
Contents
The Commission held a public consultation on future funding for EU external action between 26 November 2010 and 31 January 2011. This process was based on an online questionnaire accompanied by a background paper What funding for EU external action after 2013?. In general, the replies did not suggest the need for a substantial change in the current implementing mechanisms, although a significant majority of respondents supported increased flexibility and simplification in implementation.
The Commission performed an internal review of different reports (evaluations, audits, studies, mid-term reviews). The review looked at what worked and what did not work, and drew lessons for the drafting of the financial instruments.
The review showed that the current Instruments contributed to progress towards the MDGs in developing countries. The implementation modalities, such as budget support and the 'sector-wide approach', have allowed deeper cooperation with partner countries and a more efficient division of labour through co-financing between donors.
Nevertheless, the review identified a number of shortcomings. The current implementation process was assessed as too complex and does not allow swift adjustments if required. These shortcomings have been directly addressed in the present Regulation.
Part Five, Title III, Chapter 1 of the Treaty of the Functioning of the European Union, provides the legal framework for cooperation with partner countries and regions. Accordingly, the proposed Common Implementing Regulation is based on Articles 209(1) and 212(2) of the Treaty, and is presented by the Commission in accordance with the procedure laid down in Article 294. Articles 310 to 320 TFEU being applicable to Euratom (see Article 106a Euratom), the proposal can also cover the implementation of financial cooperation under the INSC.
Title I: Implementation – Articles 1 to 3
Article 1 (Subject matter and principles) sets out the objectives of the Regulation which are to provide a harmonised set of implementing rules for Relex Instruments, to protect the financial interests of the Union, and to promote simplification and flexibility in implementing these Instruments.
Article 2 (Adoption of Action Programmes, Individual Measures and Special Measures) provides that financing decisions taken by the Commission are to be in the form of action programmes, based on the multiannual programming documents. Exceptionally, yet in line with the multiannual programming documents, individual measures can be adopted outside the action-programme framework. In the event of unforeseen and duly justified cases, the Commission may adopt special measures not provided for in the multiannual programming documents. The Article includes the comitology rules that need to be followed for the adoption of the mentioned decisions, as well as the possible exceptions thereto.
Article 3 (Support measures) defines the types of expenditure that represent support to the implementation of this Regulation and which may be covered by Union financing (e.g. preparation, follow up, monitoring, audit and evaluation activities, provision of information and communication efforts). These measures can be financed outside the scope of the programming documents.
Title II: Provisions on the financing methods – Articles 4 to 6
Without being exhaustive and on the basis of current practice and identified needs, Articles 4 to 6 cite the types of financing that may be used under this Regulation. The introduced modifications take into account the provisions of the latest Financial Regulation. In particular, Article 4 provides for innovative instruments, such as loans, guarantees, equity and risk-sharing instruments, and describes possible arrangements with respect to taxes, duties and charges. It describes that the measures under this Regulations may be implemented directly by the Commission or indirectly by entrusting budget implementation tasks to any entity or person listed in the Financial Regulation. This provision also defines the type of co-financing (parallel or joint).
Article 7 (Protection of the financial interests of the Union) lays down measures to protect the Union's financial interests, and in particular to enable it (notably the Commission, the Court of Auditors and OLAF) to carry out all the necessary checks on the measures implemented.
Title III: Rules on nationality and origin for public procurement, grant and other award procedures – Articles 8 to 12
Articles 8 to 11 (Rules on nationality and origin for public procurement and grant and other award procedures) lay down the conditions governing access to public procurement and grant awards for the purposes of implementing the Regulation. The proposed provisions are significantly simplified and indicate the objective to work towards untied aid delivery. Nevertheless, the articles introduce in detail the conditions for eligibility of third countries (reciprocity requirement, participation in the implemented programme, non-eligibility of certain countries, etc.) and exceptions thereto (unavailability of products or services provided, extreme urgency, triangular cooperation, etc.).
Article 12 (Evaluation) commits the Commission to regularly evaluate the results of the implemented policies and programmes, sectoral policies and the effectiveness of programming itself. All relevant stakeholders will be associated to the evaluation and the report will be shared with the Council and the European Parliament.
Title IV: Final provision – Articles 13 to 17
Article 13 (Annual report) provides for an annual Commission report on the progress and implementation of this Regulation. The report will be submitted to the European Parliament and to the Council.
Article 14 (Climate action and biodiversity expenditure ) provides for a specific tracking system based on the OECD methodology (‘Rio markers’) .
Article 15 (Committees) describes the involvement of the relevant committees in the implementation of this Regulation, adapted to the new comitology regulation[1].
Article 16 (Review and evaluation of the Instruments) provides that by mid 2018 the Commission shall prepare and submit a report evaluating the implementation of this Regulation to the European Parliament and the Council, and, if appropriate, present a legislative proposal introducing the necessary modifications. Likewise, this report will assess the impact of the measures adopted on the basis of this Regulation.
Article 17 (Entry into force) provides for the entry into force of the Regulation and its application from 1 January 2014, without setting an expiration date.