Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on the Instrument for Pre-accession Assistance (IPA II)
Date: 2011-12-07
Institutions: European Commission
Subjects: Community budget, EU financial instrument, European integration, foreign aid, pre-accession aid, sustainable development

EUROPEAN COMMISSION 

Brussels, 7.12.2011 
COM(2011) 838 final 

2011/0404 (COD) 

Proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

on the Instrument for Pre-accession Assistance (IPA II) 

{SEC(2011) 1462 final} 
{SEC(2011) 1463 final} 

 
 
  
 
EXPLANATORY MEMORANDUM  

1. 

CONTEXT OF THE PROPOSAL 

This  proposal  should  be  viewed  in  the  context  of  all  proposed  financial  instruments  for  the 
financial  perspective  2014-2020  as  outlined  in  the  Communication  'A  Budget  for  Europe 
2020'1. The Communication sets the budgetary framework for EU external action instruments 
under the Heading 4 (Global Europe), including the Instrument for Pre-accession Assistance 
(IPA).  On  this  basis,  the  Commission  is  presenting  a  draft  regulation  laying  down  the 
legislative  framework  for  the  new  IPA,  together  with  an  assessment  of  the  impact  of 
alternative scenarios for the instrument.  

Article 49 of the Treaty on European Union provides that any European State which respects 
the EU values referred to in Article 2 of the Treaty and is committed to promoting them may 
apply to become a member of the Union.  

For  the  past  50  years  the  EU  has  simultaneously  pursued  integration  and  enlargement, 
increasing  from  6  to  the  present  27  Member  States  and  from  a  population  of  less  than  200 
million to more than 500 million people. A review2, five years after the fifth enlargement of 
the EU in 2004, concluded that: the latest enlargements had brought greater prosperity for all 
EU  citizens  and  made  Europe  a  stronger  player  in  the  world  economy;  the  institutional  and 
legal frameworks and the common policies of the EU played a vital role in ensuring success; 
entrepreneurs  and  citizens  experienced  clear  benefits;  and  the  enlarged  EU  was  better 
prepared to address current and future challenges.  

The rationale for continuing with the enlargement of the EU was recalled most recently in the 
Council  conclusions  of  14  December  2010:  'Enlargement  reinforces  peace,  democracy  and 
stability in Europe, serves the EU’s strategic interests, and helps the EU to better achieve its 
policy  objectives  in  important  areas  which  are  key  to  economic  recovery  and  sustainable 
growth'.  The  Council  conclusions  reiterated  that  with  the  Lisbon  Treaty  entering  into  force, 
the  EU  can  at  the  same  time  pursue  its  enlargement  agenda  and  maintain  the  impetus  of 
deeper integration.  

Currently, the EU is dealing with 5 candidate countries3 and 4 potential candidates4. By 2014, 
only  Croatia  is  foreseen  to  become  a  Member  State.  Socio-economic  indicators  show  that, 
with the exception of Iceland, enlargement countries are still well below the EU average and 
even  below  the  level  of  the  weakest  Member  States.  This  low  level  of  socio-economic 
development calls for substantial investments to bring these countries closer to EU standards 
and  allow  them  to  take  on  board  the  obligations  of  membership  and  to  withstand  the 
competitive pressures of the single market. Furthermore, these countries need to be prepared 
to  withstand  global  challenges  such  as  climate  change  and  to  align  with  the  EU's  efforts  to 

1 

2 

3 
4 

Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions  A  Budget  for  Europe  2020, 
COM(2011)500 final, 29.6.2011 
“Five years of an enlarged EU – economic achievements and challenges” - Communication from the 
Commission to the Council, Parliament, European Economic and Social Committee, Committee of the 
Regions and the ECB, 20 February 2009  
Croatia, the former Yugoslav Republic of Macedonia, Iceland, Montenegro and Turkey  
Albania, Bosnia and Herzegovina, Serbia as well as Kosovo under UNSCR 1244/99 

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address  this  complex  issue.  The  EU  2020  Strategy  for  smart,  sustainable,  and  inclusive 
growth includes addressing climate change and renewable energy targets among its 5 headline 
objectives. The EU has confidence in the low-carbon growth model and this must be projected 
externally, also in the process of enlargement.  

In addition, the countries in the Western Balkans are still relatively young states formed after 
the  disintegration  of  the  former  Yugoslavia.  Political  stability,  the  full  establishment  of  the 
principles  of  democracy  and  respect  for  human  rights  and  good  governance  —  all 
fundamental values of the EU — still need to be strengthened.  

These countries cannot sustain alone all the efforts and cost of meeting the criteria for joining 
the EU. Most lack the capacity to finance by themselves the institutional reforms and public 
investments  necessary  to  stabilise  their  societies  and  economies  and  put  them  onto  a 
sustainable development path.  

Technical  and  financial  assistance  to  the  Enlargement  countries  is  currently  provided 
through the Instrument for Pre-accession Assistance (IPA)5. This instrument will expire 
at  the  end  of  2013.  With  a  view  to  future  accessions,  the  EU  should  continue  to  offer 
candidate  countries  and  potential  candidates  technical  and  financial  assistance  to 
overcome their difficult situation and develop sustainably.  

The new pre-accession instrument should continue to focus on delivering on the Enlargement 
Policy,  which  is  one  of  the  core  priorities  of  EU  External  Action,  thus  helping  to  promote 
stability, security and prosperity in Europe. To that end, the new instrument should continue 
to  pursue  the  general  policy  objective  of  supporting  candidate  countries  and  potential 
candidates  in  their  preparations  for  EU  membership  and  the  progressive  alignment  of  their 
institutions and economies with the standards and policies of the European Union, according 
to their specific needs and adapted to their individual enlargement agendas. In doing so, the 
coherence  between  the  financial  assistance  and  the  overall  progress  made  in  the 
implementation of the pre-accession strategy should be strengthened. 

In  addition,  future  pre-accession  assistance  needs  to  be  even  more  strategic,  efficient  and 
better targeted than has been the case so far, aiming for more sustainable results in improving 
the readiness of these countries for membership. The new instrument needs to operate more 
flexibly  and  to  leverage  more  funds  from  other  donors  or  the  private  sector  by  using 
innovative  financing  instruments,  while  pursuing  simplification  and  reduction  of  the 
administrative burden linked to managing the financial assistance. 

Consistency with other policies 

The enlargement process extends the internal policies of the EU to the beneficiary countries. 
It contributes to expansion of the internal market, the European Area of Justice and Freedom, 
the  trans-European  energy  and  transport  networks,  the  enhancement  of  employment 
opportunities,  skills  development,  education  and  social  inclusion,  poverty  reduction, 
protection  of  the  environment  and  reduction  of  trans-boundary  air  and  water  pollution, 
alignment with the Common Agricultural Policy and the Common Fisheries Policy, the efforts 
to diversify energy sources6, achieve resource efficiency, improve disaster resilience and risk 

5 
6 

Council Regulation 1085/2006 of 17 July 2006 
On security of energy supply and international co-operation - "The EU Energy Policy: Engaging with 
Partners beyond our borders".COM(2011) 539 of 7.09.2011 

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prevention and management, and attain a more integrated and strategic approach to maritime 
policies,  scientific  excellence  and  the  digital  agenda,  among  other  things.  In  addition, 
convergence with the EU's climate policy and legislation will bring significant benefits to the 
beneficiary  countries  through  low-carbon  development  and  greener  jobs  in  a  region  highly 
vulnerable to the impact of climate change. 

Through  its  Stabilisation  and  Association  Agreements  and  other  agreements  with  candidate 
countries  and  potential  candidates,  the  EU  actively  encourages  enlargement  countries  to 
establish  competition  regimes.  Future  pre-accession  assistance  will  also  be  devoted  to 
strengthening  research  and  innovation  capacity  as  well  as  information  and  communications 
technologies (ICTs), which in turn will facilitate realisation of the Innovation Union, underpin 
the  other  Europe  2020  strategy  objectives  and  support  compliance  with  EU  technical 
requirements and standards in many other policies (e.g. public health, food security, climate 
action and the environment, including biodiversity and eco-systems). 

Making  Europe  a  safer  place  is  high  on  the  EU's  agenda  as  defined  in  the  Stockholm 
Programme. The improved strategic orientation of financial assistance for pre-accession will 
help support enlargement countries in preventing and tackling organised crime and corruption 
and  in  strengthening  their  law  enforcement,  border  management  and  migration  control 
capabilities.  

Enlargement gives the EU greater weight and strengthens its voice in international fora. With 
the entry into force of the Lisbon Treaty, the EU now has the means to pull its weight on the 
global scene. The EU’s role in adopting the UN General Assembly Resolution on Kosovo is 
an example of this potential. The fifth enlargement gave a new impetus to the EU’s relations 
with its eastern and southern neighbours and led it to explore ways of developing initiatives in 
the  Baltic  and  Black  Sea  regions.  The  accession  process  with  countries  in  the  Western 
Balkans  and Turkey gives the EU  a still greater interest and influence  in the Mediterranean 
and Black Sea regions and in the Danube basin. Provided that Turkey’s role in its own region 
is developed as a complement to its accession process and in coordination with the EU, it can 
add  to  the  weight  of  both  parties  in  world  affairs,  not  least  in  the  Middle  East  and  the 
Southern  Caucasus.  By  acting  together,  the  EU  and  Turkey  can  strengthen  energy  security, 
address  regional  conflicts,  and  prevent  divisions  developing  along  ethnic  or  religious  lines, 
and improve cooperation on maritime issues especially in the Black Sea. Iceland and the EU 
can  together  play  an  important  role  in  addressing  energy,  environmental,  climate  change, 
maritime and security issues in the Arctic.  

2. 

RESULTS OF CONSULTATIONS WITH THE INTERESTED PARTIES AND 
IMPACT ASSESSMENTS 

Stakeholders consultation on future pre-accession assistance 

The  proposal  for  the  new  Instrument  for  Pre-accession  Assistance  is  based  on  extensive 
consultation  with  stakeholders  which  started  at  the  conference  on  'IPA:  sustainable  results 
and impact', organised by the Commission in Brussels on 6 and 7 December 2010. This was 
followed  by  a  series  of  consultations  with  stakeholders  throughout  the  first  part  of  2011, 
which  provided  input  to  an  ex-ante  evaluation  in  preparation  of  the  future  pre-accession 
assistance instrument. Those consultations included:  

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• 

• 

• 

• 

An  online  survey,  obtaining  338  responses  from:  Member  State  representatives; 
public  administrations  and  non-public  stakeholders  of  candidate  countries  and 
potential  candidates  benefiting  from  IPA  assistance;  Commission  staff;  donors  and 
international 
international  organisations;  non-
governmental organisations (NGOs), researchers, experts and interest groups. 

institutions;  other 

financing 

A  series  of  focus  groups,  in  particular:  one  high-level  working  group;  four  mixed 
groups  comprising  Commission  officials  and  external  stakeholders;  three  special 
focus groups on IPA assistance for cross-border cooperation, regional development, 
human  resources  development  and  rural  development;  two  meetings  with  Member 
State  representatives  in  the  technical  committee  that  assists  the  Commission  in 
implementing  pre-accession  assistance;  and  a  meeting  with  authorities  of  the 
Western Balkans focussing on options for future cross-border cooperation at borders 
within the Western Balkans.  

Consultations  with:  individual  Commission  officials  at  headquarters  and  EU 
Delegations  in  beneficiary  countries;  structures  providing  technical  assistance  or 
policy support to the beneficiary countries; offices of the National IPA Coordinators 
of  the  beneficiary  countries;  multilateral  and  bilateral  donors;  international  and 
regional  organisations  (United  Nations  agencies,  Regional  Cooperation  Council, 
OSCE,  etc);  and,  NGOs  (European  Stability  Initiative,  International  Crisis  Group, 
Open Society Foundation etc) at EU level. 

A  working-level  meeting  organised  by  the  Commission  in  cooperation  with  the 
Hungarian  Presidency  of  the  EU  in  Zagreb  on  10-11  May,  where  the  preliminary 
results of the consultation were presented and discussed with all IPA stakeholders.  

Analysis of the positions emerging from the stakeholder consultation showed support for:  

– 

– 

– 

– 

– 

– 

Continuing  with  the  instrument  with  similar  levels  of  resources  covering  both 
institutional development and socio-economic development; 

Tailoring assistance to the needs and characteristics of each country; 

Strengthening  the  sector  approach,  with  a  more  coherent  longer-term  planning 
process  resulting  in  a  strategic  instrument  for  donor  coordination  and  for  steering 
private-sector investment; 

Introducing multi-annual planning to cover the duration of the next multi-annual 
financial framework, with a mid-term review, and developing further multi-annual 
programming also for transition assistance and institution-building actions, together 
with  better  beneficiary  involvement  in  programming,  led  by  stronger  national 
authorities in charge of IPA coordination; 

Rewarding  good  performance  based  on  absorption  and  on  achieving  strategic 
targets;  using  conditionalities  in  a  more  strict  and  systematic  way  at  country, 
sector strategy and project level; 

Making  access  to  the  various  types  of  assistance  no  longer  subject  to  status  as 
candidate/potential  candidate,  but  dependent  on  readiness  to  implement,  combined 
with a phased approach to decentralising the management of assistance;  

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– 

– 

– 

Re-examining  the  current  component  structure,  including  better  coordination 
between policy areas;  

Continuing cooperation with IFIs and leveraging IFI and other donor funds; 

Adopting a three-tier approach to monitoring and evaluation, assessing progress 
relative to i) the path to accession; ii) national strategies and iii) achieving results at 
the level of programmes, sectors and measures.  

Internal consultation on future pre-accession assistance 

Within  the  Commission,  preparations  for  the  new  IPA  post-2013  involved  extensive 
discussions within and between the four services involved in managing the assistance, i.e. the 
Directorates-General  for:  Enlargement;  Regional  Policy;  Employment,  Social  Affairs  and 
Inclusion;  and  Agriculture  and  Rural  Development,  as  well  as  with  the  EU  Delegations  or 
Liaison Office in Iceland, the Western Balkans and Turkey. 

Public consultation on all external action instruments 

The future of pre-accession assistance was also the subject of a broader public consultation on 
future  funding  for  EU  external  action  held by  the  Commission  between  26  November  2010 
and 31 January 2011. The consultation was based on an online questionnaire accompanied by 
a  background  paper  ‘What  funding  for  EU  external  action  after  2013?’  prepared  by  the 
Commission  and  the  EEAS  services  involved.  The  220  contributions  received  reflect  the 
broad and diverse structures and views of the external action community.  

Among the responses more specifically covering development assistance, the following were 
also relevant for pre-accession assistance:  

• 

• 

• 

A  majority  of  respondents  confirmed  that  EU  intervention  provides  a  substantial 
added value in the main policy areas supported through the financial instruments for 
external  action7.  The  EU  added  value  was  mentioned  by  many  respondents  as  the 
main driver for the future: the EU should exploit its comparative advantage linked to 
its global field presence, its wide-ranging expertise, its supranational nature, its role 
as facilitator of coordination, and economies of scale. 

Nearly  all  respondents  supported  a  more  differentiated  approach,  tailored  to  the 
situation  of  the  beneficiary  countries,  based  on  sound  criteria  and  efficient  data 
collection, as a way to increase the impact of EU financial instruments. 

Regarding  the  simplification  of  instruments,  as  concerns  the  balance  between 
geographic and thematic instruments, opinions were mixed regarding a review of EU 
thematic  programmes  and  a  possible  reduction  in  number.  Increasing  the 
geographic  flexibility  of  the  EU  instruments  was  supported  by  a  significant 
majority of respondents as a way to respond to inter-regional challenges. 

Use of expertise 

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i.e.  peace  and  security,  poverty  reduction,  humanitarian  aid,  investing  in  stability  and  growth  in 
enlargement and neighbourhood countries, tackling global challenges, promoting EU and international 
standards and values, and supporting growth and competitiveness abroad 

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Two expert studies were commissioned by DG Enlargement to assess the intervention logic 
and  draw  lessons  from  the  current  IPA  programme  (IPA  meta-evaluation),  as  well  as  to 
prepare  an  ex-ante  evaluation  of  future  pre-accession  assistance  post-2013.  Both  studies  are 
available 
address: 
http://ec.europa.eu/enlargement/how-does-it-work/financial-
assistance/phare/evaluation/interim_en.htm  

Enlargement  website 

the  DG 

following 

the 

on 

at 

Impact assessment 

As  part  of  the  preparation  of  the  proposal  for  the  new  pre-accession  instrument,  the 
Commission carried out an impact assessment considering the following options:  

Option 1 - ‘No change’.  

Option 2 - ‘Amend the existing Regulation’, with the following alternatives: 

– 

– 

– 

Sub-option  2.1  -  ‘Reduce  scope  and  keep  implementation  arrangements’, 
focusing on the necessary legal and institutional changes needed to comply with the 
accession criteria, without committing any significant funds for co-financing public 
investment for socio-economic development.  

Sub-option  2.2  -  ‘Keep  the  component  structure  and  add  more  focus  on 
investments’  in  order  to  increase  the  socio-economic  impact  in  the  beneficiary 
countries  and  to  speed  up  their  preparation  for  managing  structural,  cohesion  and 
rural development funds.  

Sub-option 2.3: ‘Maintain the scope and adjust implementation arrangements’, 
covering both compliance with the accession criteria and support for socio-economic 
development.  In  addition,  adjust  aspects  of 
the  current  IPA  set-up  and 
implementation modalities.  

Option 3: ‘Design a new instrument’. This option was not analysed in detail. 

The economic impact of the various options was assessed in terms of the likelihood that the 
options would: i) delay or accelerate enlargement and therefore the positive economic impact 
of the expansion of the internal market; ii) maintain or reduce costs to the EU and Member 
States  in  terms  of  security  measures  and  risks,  border  controls  and  irregular  migration;  iii) 
constrain or improve the possibilities for better economic integration, e.g. through improved 
integration  with  the  Trans-European  Networks;  iv)  affect  positively  or  negatively  the 
confidence of donors and investors in the beneficiary countries.  

The social impact of the various options was assessed in terms of the likely effect on poverty 
and  exclusion  in  the  enlargement  countries  linked  to  progress  towards  accession  and  the 
creation  of  conditions  for  improved  economic  performance  and  policy  measures  that  could 
address these issues. Likely effects in terms of risks that rights in the area of justice and the 
rule of law could be jeopardised in the beneficiary countries as a consequence of delays in and 
risks to accession were also considered.  

The  environmental  impact  of  the  options  was  assessed  in  terms  of  the  likelihood  that 
environmental  costs  would  accrue  if  enlargement  was  delayed  or  put  at  risk,  due  to  lower 
environmental  standards  being  used  to  obtain  competitive  advantage  in  the  beneficiary 

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countries  and/or  due  to  delays  in  implementing  the  expensive  investments  needed  to  align 
with the EU environmental acquis. 

Option  2.1  was  assessed  to  have  likely  negative  impacts  on  all  aspects.  Positive  impacts 
compared to option 1 were expected to accrue from options 2.2 and 2.3, with different scores 
for the individual aspects. The improved modalities for delivering assistance under option 2.3, 
by increasing its focus, efficiency, effectiveness, leverage and impact, were assessed as likely 
to  have  overall  a  more  positive  impacts  than  the  increased  investments  in  socio-economic 
development under option 2.2.  

3. 

LEGAL ELEMENTS OF THE PROPOSAL 

Enlargement policy is based on Article 21 of the Treaty on European Union, which provides 
that  ‘the  Union’s  action  on  the  international  scene  shall  be  guided  by  the  principles  which 
have inspired its own creation, development and enlargement, and which it seeks to advance 
in the wider world: democracy, the rule of law, the universality  and indivisibility of human 
rights  and  fundamental  freedoms,  respect  for  human  dignity,  the  principles  of  equality  and 
solidarity, and respect for the principles of the United Nations Charter and international law’.  

The legal base for financial assistance for pre-accession is Article 212(2) of the Treaty on the 
Functioning of the European Union.  

The proposal for the new Instrument for Pre-accession Assistance is in line with the principles 
of subsidiarity and proportionality under Article 5 of the Treaty on European Union. 

In terms of subsidiarity, action at EU level brings crucial added value, linked to a number of 
factors: 

– 

– 

– 

The  successive  enlargement  of  the  EU  is  by  its  very  nature  a common  task  which 
can be pursued only at EU level. Only the Member States acting together can decide 
on  accession  requests  by  new  candidates.  The  pre-accession  assistance  provided 
through  the  EU  budget  is  designed  to  help  candidate  countries  and  potential 
candidates  prepare  for  future  membership:  the  IPA  is  designed  to  give  countries  a 
‘test run’ of the obligations of membership before accession (such as putting in place 
institutions  for  managing  post-accession  EU  funds,  and/or  adopting  the  acquis  and 
EU  standards).  No  other  multilateral  or  bilateral  instrument  can  provide  such  a 
comprehensive  toolbox,  and  in  any  case  only  the  EU  can  define  what  kind  of 
assistance is needed to prepare for taking over the acquis. 

With 27 Member States acting within common policies and strategies, the EU alone 
has  the  critical  weight  to  respond  to  global  challenges.  The  action  of  individual 
Member States can be limited and fragmented, with projects often too small to make 
a sustainable difference in the field. Streamlining the work of Member States through 
the EU enables better coordination and makes EU work more effective.  

In  recent  years  EU  Member  States  have  been  reducing  the  level  of  their  bilateral 
assistance  to  candidate  countries  and  potential  candidates,  acknowledging  that 
coordinated action at EU level is more effective. About half of the overall financial 
assistance of the EU to the enlargement countries in 2009 came from the EU budget. 
Multilateral donor organisations have largely phased out their support and those that 
remain have now aligned their programmes with the EU priorities. Working with the 

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EU  is  also  cheaper.  Administrative  costs  are  lower  than  the  average  administrative 
costs of the principal donors of bilateral aid. 

Pre-accession  assistance  is  an  investment  in  the  future  of  the  EU,  supporting  the 
stability and prosperity of neighbouring countries and ensuring the effective capacity 
of candidate countries to implement the acquis upon accession, including to manage 
the  structural,  cohesion,  agricultural  and  rural  development,  maritime  and  fisheries 
funds  and  policies  of  the  Union.  Technical  and  financial  assistance  speeds  up  the 
process  of  preparation  and  creates  incentives  for  the  necessary  transformation  of 
society, the legal system and the economy. Such assistance helps meet the objectives 
of  the  internal  policies  of  the  EU,  creates  opportunities  for  EU  businesses  and 
provides tangible return on investment. Without the intensive involvement and closer 
partnership  embodied  in  pre-accession  assistance  the  EU  would  certainly  have  to 
spend more on combating illegal migration, securing the external borders of the EU, 
ensuring  the  security  of  energy  supplies  and  safe  and  hygienic  food  imports  for  its 
citizens, and combating climate change and pollution.  

In line with the principle of proportionality, the proposed Regulation does not go beyond what 
is necessary to achieve its objectives. 

4. 

BUDGETARY IMPLICATION  

In its Communication of June 2011 ‘A Budget for Europe 2020’ the European Commission 
proposed to allocate an amount of EUR 14 110 100 000 (current prices) to the new Instrument 
for Pre-accession Assistance for the period 2014-2020. 

The  detailed  estimated  financial  impact  of  the  proposal  is  presented  in  the  Legislative 
Financial Statement enclosed with this proposal. The indicative yearly budget commitments* 
are given in the table below.  

Instrument for Pre-
Accession  

2014 

2015 

2016 

2017 

2018 

2019 

2020 

2014-
2020 

1898.0  1935.9 1974.6 2014.1 2054.4 2095.5  2137.4  14110.1 

*Current prices in million €  

To  ensure  its  predictability,  funding  for  higher  education  activities  in  third  countries  in  the 
context  of  "Erasmus  for  All"  programme  will  be  made  available,  in  line  with  EU  external 
action  objectives,  through  2  multi  annual  allocations  only  covering  the  first  4  years  and  the 
remaining  3  years  respectively.  This  funding  will  be  reflected  in  the  multiannual  indicative 
strategy  papers  of  the  IPA,  in  line  with  the  identified  needs  and  priorities  of  the  countries 
concerned.  The  allocations  can  be  revised  in  case  of  major  unforeseen  circumstances  or 
important  political  changes  in  line  with  the  EU  external  priorities.  The  provisions  of  the 
"Erasmus  for  All"  Regulation  (EU)  No  [--]  of  the  European  Parliament  and  of  the  Council 
establishing "Erasmus for All"8 will apply to the use of those funds. 

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Financial assistance to the Turkish Cypriot community will continue to be provided until the 
adjustment  foreseen  in  the  second  paragraph  of  article  11  of  the  Council  Regulation  laying 
down  the  multiannual  financial  framework  for  the  years  2014-2020  has  taken  place.  Such 
financial  assistance  shall  continue  to  be  governed  by  the  provisions  of  Regulation  (EC)  No 
389/2006 of 27 February 2006 establishing an instrument of financial support for encouraging 
the economic development of the Turkish Cypriot community. Financial needs for the support 
to the Turkish Cypriot community will be covered from the overall envelope allocated to the 
Instrument for Pre-accession Assistance. 

5. 

OPTIONAL ELEMENTS  

Simplification 

A  priority  for  the  Commission  in  this  new  Regulation,  as  in  other  programmes  under  the 
Multiannual  Financial  Framework  (MFF),  is  to  simplify  the  regulatory  environment  and 
facilitate  Union  assistance  to  beneficiary  countries  and  regions,  civil  society  organisations, 
SMEs, etc.  

This  proposal  pursues  simplification  primarily  by  streamlining  the  component  structure 
around principal policy areas. This translates into simplification of the legislative framework 
for the instrument and the future implementing rules, with streamlined provisions. Linked to 
the streamlining of the components structure, undifferentiated access to assistance under each 
policy area means that beneficiary countries will no longer need to be identified separately in 
the legal basis of the instrument. As a result, it will no longer be necessary to go through a 
cumbersome  procedure  to  reflect  a  beneficiary’s  change  of  status,  thus  reducing  the  gap 
between  the  political  decisions  on  financial  assistance  and  implementation  on  the  ground. 
Similarly,  should  a  new  country  become  a  potential  candidate  for  EU  accession,  the 
procedural  requirements  for  including  that  country  among  the  beneficiaries  of  assistance 
would be considerably simplified.  

Different  Commission  services  will  remain  responsible  for  managing  and  implementing  the 
assistance  in  the  different  policy  areas.  However,  coordination,  communication  and 
implementation on the ground will be further improved through simplification of a number of 
aspects, including closer joint monitoring of the progress of implementation in the beneficiary 
countries  and  fewer  processes  for  accreditation  and  conferral  of  management  powers. 
Increasing  the  coherence  of  action  by  the  Commission  should  also  substantially  reduce  the 
cost and burden of coordination incurred by beneficiary countries, on account of the different 
communication channels and procedures used by the Commission. 

The proposal also envisages that strategic decisions on the allocation of assistance are made 
through comprehensive country and multi-country strategy papers covering the full period of 
the  new  financial  framework  (2014-2020)  and  reviewed  once  at  mid-term,  replacing  the 
current  system  of  three-year  rolling  indicative  planning  documents  revised  each  year.  This 
will  reduce,  for  all  stakeholders  involved,  the  administrative  burden  related  to  the  yearly 
review of each document and possible ensuing revisions. Similarly, less administration for all 
and quicker delivery of assistance will follow from introducing multi-annual programming for 
transition and capacity-building assistance as well.  

More simplification should also result from introducing, where the relevant conditions are in 
place, a sector-based approach to the allocation of assistance for those sectors. In addition to 

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improving the effectiveness and impact of the assistance, this approach could translate into a 
lower  number  of  projects/contracts,  thus  reducing  the  administrative  burden  related  to 
project/contract  management.  If  conditions  allow,  the  sector  approach  could  also  entail  the 
use of budget support, again reducing the administrative burden compared to project support.  

Detailed  provisions  on  joint  monitoring  and  the  accreditation  processes  will  be  set  out  in 
separate  implementing  rules.  These  rules  will  pursue  further  simplification  in  cross-border 
cooperation  between  candidate  countries  and  potential  candidates,  by  further  aligning 
programming and implementation with the Structural Funds approach.  

Simplification  and  flexible  procedures  in  the  implementation  of  the  new  Regulation,  will 
allow swifter adoption of implementing measures and delivery of EU assistance. Furthermore, 
the  revision  of  the  Financial  Regulation,  in  particular  the  special  provision  for  external 
actions, will help 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. In implementing this Regulation, the Commission will use 
the simplified procedures provided for in the new Financial Regulation.  

Detailed explanation of specific provisions of the proposal 

Overall, the current proposal and future implementing rules envisage the following revisions 
to  the  design  of  the  instrument  and  its  implementation  modalities  (in  addition  to  the 
simplification already mentioned above):  

1. 

• 

• 

• 

• 

The delivery of assistance will be made more coherent, strategic and result-oriented, 
by: 

Addressing  policy  areas  through  comprehensive  multi-annual  country  (and 
multi-beneficiary)  strategy  papers  reflecting  the  political  priorities  of  the 
Enlargement  Strategy  and  covering,  for  each  policy  area,  all  necessary  institution 
building,  acquis  compliance  and  investment  actions.  The  scope  will  be  based  on  a 
needs assessment and will be adapted to the country context.  

Reinforcing  (co-)financing  of  agreed  sector  strategies  contributing  to  the  policy 
objectives, as opposed  to  individual projects, thus moving away from purely grant-
financed  projects  and  increasing  the  share  of  assistance  funded  through  support  at 
sector  level  (including  sector  budget  support  for  selected  policy  areas  based  on 
effectively  targeted  conditionalities).  Nevertheless,  support  for  acquis  compliance  will 
remain  available  through  project  support  or  other  implementation  modalities  such  as 
dedicated facilities, when not covered by overarching sector strategies.  

More systematic multi-annual programming also for policy objectives pursued by 
transition  and  institution-building  assistance  (e.g.  public  administration  reform; 
reform  of  justice  systems,  etc.),  supporting  effective  implementation  of  the  related 
sector strategies and ultimately attainment of the related objectives. 

Making financial assistance more directly conditional on improved governance and 
growing  ownership  by  the  beneficiary  countries.  Elements  of  flexibility  will  be 
introduced to cater for emerging needs and give incentives to improve performance.  

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2. 

• 

• 

• 

• 

3. 

• 

• 

• 

• 

The delivery of assistance will be made more flexible and tailored to address needs, 
by: 

Allowing  un-differentiated  access  to  assistance  (irrespective  of  candidate  or 
potential candidate status), albeit with a different scope or intensity, on the basis of 
needs  and  technical  and  administrative  capacity.  The  needs  of  the  beneficiary 
countries  would  be  the  starting  point  for  determining  the  sectors/policy  areas  for 
assistance.  

Envisaging a more progressive, phased approach to the management of financial 
assistance, whereby management would be by the Commission or by the beneficiary 
country, with or without ex-ante controls by the Commission, depending on accession 
status/perspective,  sector/policy  area  of  assistance,  and  administrative,  technical  and 
management  capacity.  The  creation  of  management  structures  and  procedures 
mirroring those that need to be in place post-accession would continue to be the aim 
in relevant sectors in preparation for accession.  

Linking  progress  along  different  management  phases  to  political  priorities,  as 
reflected in progress reports, the achievement of negotiation benchmarks or the track 
record in implementing the Association Agreements. 

Increasing  flexibility  between  priorities  for  a  more  result-oriented  delivery  of  the 
assistance,  allowing  allocations  to  be  transferred  between  policy  areas,  with  the 
possibility  to  carry  over  funds  from  one  year  to  another,  where  allowed  by  the 
new Financial Regulation. 

The deployment of assistance will be made more efficient and effective by:  

Pursuing further the identification and use of innovative financial instruments that 
could  leverage  more  private  funds  and  looking  into  the  possibility  to  exploit 
synergies  with  innovative  financial  instruments  developed  for  internal  policies,  on 
the basis of a coordinated approach to and coordinated rules for using the EU budget 
in such instruments.  

Also  as  part  of  the  move  towards  greater  sector-level  support,  increasing 
cooperation with other donors and International and other financial institutions 
at strategic level, agreeing on policy priorities and on a clearer division of labour;  

Continuing  to  support  regional  programmes/projects  that  bring  added  value  by 
encouraging  knowledge  and  experience  sharing,  harmonisation  of  policies, 
agreement on joint priorities and building of mutual trust. Regional programmes also 
have the potential to enhance the effectiveness of policies, e.g. in transport, energy, 
environment,  climate  change,  statistics,  the  fight  against  organised  crime  and 
migration issues.  

Streamlining  the  rules  for  the  procurement  of  twinning  assistance  and 
introducing  mechanisms  to  ensure  the  suitability  of  recruited  experts,  while  also 
adding  a  possibility  to  draw  funds  from  a  dedicated  facility  to  respond  to  needs  as 
they arise.  

Delegated acts 

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Considering that the discretionary policy decisions on the status of applicant countries should 
be  taken  at  another  level,  it  is  proposed  that  amendments  made  to  the  list  of  beneficiary 
countries in Annex to the proposed Regulation to reflect such decisions should be adopted by 
way of a delegated act in accordance with Article 290 of the Treaty on the Functioning of the 
European Union, since such amendments will not actually affect an essential element of the 
Regulation. 

It  is  also  proposed  that  the  Commission  should  be  conferred  delegated  powers  to  adopt 
detailed rules establishing uniform conditions for  implementing the  proposed Regulation, in 
particular  as  regards  management  structures  and  procedures.  Such  rules  are  needed  to 
complement  the  common  rules  and  procedures  for  the  implementation  of  the  Union's 
instruments  for  external  action  established  by  the  Common  Implementing  Regulation.  They 
should take into account the lessons learnt from the management and implementation of past 
pre-accession  assistance  and  be  adapted  to  the  evolution  of  the  situation  in  the  beneficiary 
countries. 

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2011/0404 (COD) 

Proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

on the Instrument for Pre-accession Assistance (IPA II) 

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article 212(2) thereof, 

Having regard to the proposal from the European Commission, 

After transmission of the draft legislative act to the national Parliaments, 

Having regard to the opinion of the European Economic and Social Committee1,  

Having regard to the opinion of the Committee of the Regions2,  

Acting in accordance with the ordinary legislative procedure, 

Whereas: 

(1) 

(2) 

In the Communication from the Commission to the European Parliament, the Council, 
the European Economic and Social Committee and the Committee of the Regions “A 
Budget  for  Europe  2020”3,  the  Commission  sets  the  budgetary  framework  for  the 
external  action  instruments  of  the  Union,  including  the  Instrument  for  Pre-accession 
Assistance (IPA).  

As Council Regulation (EC) No 1085/2006 of 17 July 2006 establishing an Instrument 
for  Pre-Accession  Assistance  (IPA)4  expires  on  31  December  2013  and  in  order  to 
make the external action of the Union more effective, a framework for planning and 
delivering  external  assistance  should  be  maintained  for  the  period  2014–2020.  The 
enlargement  policy  of  the  Union  should  continue  to  be  supported  by  a  specific 
financial  instrument.  The  Instrument  for  Pre-accession  Assistance  (IPA)  should 
therefore be renewed. 

1 
2 
3 

4 

OJ C , , p. . 
OJ C , , p. . 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions  A  Budget  for  Europe  2020, 
COM(2011)500 final, 29.6.2011. 
OJ L 210, 31.7.2006, p. 82. 

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(3) 

(4) 

(5) 

(6) 

(7) 

(8) 

Article 49 of the Treaty on European Union provides that any European State which 
endorses  the  values  of  respect  for  human  dignity,  freedom,  democracy,  equality,  the 
rule of law and respect for human rights may apply to become a member of the Union. 

A  European  State  which  has  applied  to  join  the  Union  can  become  a  member  only 
when  it  has  been  confirmed  that  it  meets  the  membership  criteria  agreed  at  the 
Copenhagen European Council in June 1993 and provided that the accession does not 
overstretch  the  capacity  of  the  Union  to  integrate  the  new  member.  These  criteria 
relate to the stability of institutions guaranteeing democracy, the rule of law, respect of 
human  rights  and  respect  for,  and  protection  of,  minorities,  the  development  of  the 
economy that must be sufficient to withstand the competitive pressure in the internal 
market, and the ability to assume not only the rights but also the obligations under the 
Treaties.  

The accession process is based on objective criteria and the application of the principle 
of  equal  treatment  of  all  applicant  countries.  Progression  towards  accession  depends 
on the capacity of the applicant country to undertake the necessary reforms to align its 
political,  institutional,  legal,  administrative  and  economic  systems  with  the  rules, 
standards, policies and practices in the Union. 

The  European  Council  has  granted  the  status  of  candidate  country  to  Iceland, 
Montenegro,  the  former  Yugoslav  Republic  of  Macedonia  and  Turkey.  It  has 
confirmed  the  European  perspective  for  Albania,  Bosnia  and  Herzegovina,  Serbia  as 
well as Kosovo5, which are considered potential candidates. 

Financial  assistance  under  this  Regulation  should  be  granted  to  both  candidate 
countries and potential candidates (the ‘beneficiary countries’) listed in the Annex to 
this Regulation, irrespective of their status.  

Assistance  under  this  Regulation  should  be  provided  in  accordance  with  the 
enlargement  policy  framework  defined  by  the  Union  for  each  beneficiary  country 
reflected  in  the  annual  enlargement  package  of  the  Commission,  which  includes  the 
Progress  Reports  and  the  Enlargement  Strategy,  in  the  Stabilisation  and  Association 
agreements and in the European or Accession Partnerships. Assistance should mainly 
focus  on  a  limited  number  of  policy  areas  that  will  help  beneficiary  countries 
strengthen democratic institutions and the rule of law, reform the judiciary and public 
administration,  respect  fundamental  rights  and  promote  gender  equality  and  non-
discrimination.  It  should  also  enhance  their  economic  and  social  development, 
underpinning a smart, sustainable and inclusive growth agenda in line with the Europe 
2020 strategy and to align progressively with the Copenhagen criteria. The coherence 
between the financial assistance and the overall progress made in the implementation 
of the pre-accession strategy should be strengthened. 

(9) 

Candidate  countries  and  potential  candidates  need  to  be  better  prepared  to  withstand 
global challenges, such as sustainable development and climate change, and align with 
the  Union’s  efforts  to  address  these  issues.  Union  assistance  under  this  Regulation 
should  also  contribute  to  the  goal  of  raising  the  climate-related  proportion  of  the 
Union budget to at least 20 %. 

5 

Under UNSCR No 1244/1999 

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(10)  The  Commission  and  the  Member  States  should  ensure  the  compliance,  coherence, 
and  complementarity  of  their  assistance,  in  particular  through  regular  consultations 
and  frequent  exchanges  of  information  during  the  different  phases  of  the  assistance 
cycle. 

(11) 

In  order  to  ensure  coherence  between  the  accession  process  and  the  financial  and 
technical assistance provided under this Regulation and achieve the objectives of the 
accession  agenda,  a  common  strategic  framework  for  using  the  Instrument  for  Pre-
Accession  Assistance  should  be  established  by  the  Commission.  This  framework 
should  define,  inter  alia,  the  list  of  key  actions  which  may  be  supported  under  this 
Regulation  and  the  criteria  for  the  allocation  of  funds.  The  common  strategic 
framework  should  constitute  the  reference  framework  for  the  country  and  multi-
country strategy papers. 

(12)  The  objectives  of  the  assistance  should  be  defined  in  indicative  country  and  multi–
country strategy papers established by the Commission for the duration of the Union’s 
Multi-annual Financial Framework in partnership with the beneficiary countries, based 
on  their  specific  needs  and  enlargement  agenda.  The  strategy  papers  should  identify 
the  policy  areas  for  assistance  and,  without  prejudice  to  the  prerogatives  of  the 
budgetary  authority,  lay  down  the  indicative  allocations  of  funds  per  policy  area, 
broken down per year, including an estimate of climate related expenditure. Sufficient 
flexibility  should  be  built  in  to  cater  for  emerging  needs  and  to  give  incentives  to 
improve  performance.  The  strategy  papers  should  ensure  coherence  and  consistency 
with  the  efforts  of  beneficiary  countries  as  reflected  in  their  national  budgets  and 
should  take  into  account  the  support  provided  by  other  donors.  In  order  to  take  into 
account internal and external developments, the multiannual indicative strategy papers 
should be revised as appropriate. 

(13) 

It  is  in  the  Union’s  interest  to  assist  beneficiary  countries  in  their  efforts  to  reform 
their systems in order to align them to those of the Union. Since the objective of this 
Regulation  cannot  be  sufficiently  achieved  by  the  Member  States  and  can  be  better 
achieved  at  Union’s  level,  the  Union  may  adopt  measures  in  accordance  with  the 
principle  of  subsidiarity  as  set  out  in  Article  5  of  the  Treaty  on  European  Union.  In 
accordance  with  the  principle  of  proportionality  as  set  out  in  that  Article,  this 
Regulation does not go beyond what is necessary in order to achieve this objective. 

(14) 

In  order  for  this  Regulation  to  be  able  to  reflect  swiftly  the  results  of  political 
decisions made by the Council, the power to adopt acts in accordance with Article 290 
of  the  Treaty  on  the  Functioning  of  the  European  Union  should  be  delegated  to  the 
Commission  for  updating  the  list  of  beneficiary  countries  in  the  Annex  to  this 
Regulation. 

(15)  While  Regulation  (EU)  No  …/…of  the  European  Parliament  and  of  the  Council  of 
….6 (hereinafter "the Common Implementing Regulation") establishes common rules 
and procedures for the implementation of the Union's instruments for external action, 
delegated  powers  to  adopt  more  detailed  rules  establishing  uniform  conditions  for 
implementing  this  Regulation,  in  particular  as  regards  management  structures  and 
procedures, should also be conferred on the Commission. Such rules should take into 

6 

OJ L ….. 

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16 

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account  the  lessons  learnt  from  the  management  and  implementation  of  past  pre-
accession assistance and be adapted to the evolution of the situation in the beneficiary 
countries.  

(16)  With regard to these delegated acts, it is of particular importance that the Commission 
should  carry  out  appropriate  consultations  during  its  preparatory  work,  including  at 
expert level. The Commission, when preparing and drawing up delegated acts, should 
further  ensure  a  simultaneous,  timely  and  appropriate  transmission  of  relevant 
documents to the European Parliament and Council. 

(17)  Assistance  should  continue  to  make  use  of  the  structures  and  instruments  that  have 
proved  their  worth  in  the  pre-accession  process.  The  transition  from  direct 
management of pre-accession funds by the Commission to decentralised management 
delegated  to  the  beneficiary  countries  should  be  progressive  and  in  line  with  each 
beneficiary country’s capacities. 

(18)  The  implementing  powers  relating  to  the  IPA  common  strategic  framework  and  the 
strategy papers should be exercised in accordance with Regulation (EU) No 182/2011 
of  the  European  Parliament  and  of  the  Council  laying  down  the  rules  and  general 
principles concerning mechanisms for control by Member States of the Commission’s 
exercise  of  implementing  powers7.  Taking  into  account  the  nature  of  those 
implementing  acts,  in  particular  their  policy  orientation  nature  or  their  financial 
implications, the examination procedure should in principle be used for their adoption, 
except for technical implementing measures of a small financial scale. 

(19)  The  committees  established  under  this  Regulation  should  be  also  competent  for  acts 
relating  to  the  implementation  of  the  previous  Instrument  for  Pre-Accession 
Assistance,  as  well  as  for  the  implementation  of  financial  assistance  to  the  Turkish 
Cypriot community. 

(20)  Where a beneficiary country violates the principles on which the Union is founded, or 
fails to respect the commitments contained in the relevant agreements concluded with 
the  Union,  or  makes  insufficient  progress  with  respect  to  the  accession  criteria,  the 
Council,  on  a  proposal  from  the  Commission,  should  be  able  to  take  appropriate 
measures to redress the situation.  

(21)  Given the objectives  and  scope  of  the assistance provided under this Regulation, the 
European Economic and Social Committee and the Committee of the Regions should 
be consulted before its adoption, 

HAVE ADOPTED THIS REGULATION: 

TITLE I 

GENERAL PROVISIONS 

7 

OJ L 55, 28.2.2011, p. 13. 

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17 

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Article 1 

General objective 

The Instrument for Pre–accession Assistance (‘IPA’) aims to support candidate countries and 
potential  candidates  (‘beneficiary  countries’)  listed  in  the  Annex  in  implementing  the 
political, institutional, legal, administrative, social and economic reforms required to bring the 
countries closer to Union values and to progressively align to Union rules, standards, policies 
and practices with a view to Union membership. 

Article 2 

Specific objectives 

1. 

Assistance  under  this  Regulation  shall  pursue  the  following  specific  objectives 
according to the needs of each beneficiary country and their individual enlargement 
agenda: 

(a) 

Support for political reforms, inter alia:  

(i). 

strengthening of democratic institutions and the rule of law, including its 
implementation; 

(ii).  promotion  and  protection  of  human  rights  and  fundamental  freedoms, 
enhanced respect for minority rights, promotion of gender equality, non-
discrimination  and  freedom  of  the  press,  and  promotion  of  good 
neighbourly relations; 

(iii).  the fight against corruption and organised crime; 

(iv).  public administration reform and good governance; 

(v). 

the development of civil society and social dialogue; 

(vi).  reconciliation, peace building and confidence building measures. 

(b) 

Support  for  economic,  social  and  territorial  development,  with  a  view  to  a  smart, 
sustainable and inclusive growth, inter alia through:  

(i). 

(ii) 

the  achievement  of  Union  standards  in  the  economy  and  economic 
governance; 

economic  reforms  necessary  to  cope  with  competitive  pressure  and 
market  forces  within  the  Union,  while  pursuing  economic,  social  and 
environmental goals; 

(iii).  fostering employment and developing human capital; 

(iv).  social and economic inclusion, in particular of minorities and vulnerable 

groups; 

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(c) 

(d) 

2. 

(v).  development  of  physical  capital,  the  improvement  of  connections  with 

Union and regional networks. 

Strengthening  of  the  ability  of  beneficiary  countries  to  fulfil  the  obligations 
stemming from membership by supporting progressive alignment with and adoption, 
implementation and enforcement of the acquis communautaire, structural, cohesion, 
agricultural and rural development funds and policies of the Union. 

Regional  integration  and  territorial  cooperation  involving  beneficiary  countries, 
Member  States  and,  where  appropriate,  third  countries  within  the  scope  of 
Regulation (EU) No […] establishing a European Neighbourhood Instrument8. 

Progress towards achievement of the specific objectives set out in paragraph 1 shall 
be assessed through indicators that cover inter alia: 

– 

– 

– 

– 

Progress in the areas of democracy, the rule of law, the respect of human rights 
and  fundamental  freedoms,  the  justice  system  and  the  level  of  administrative 
capacity; 

Progress  in  economic  reforms;  the  soundness  and  effectiveness  of  social  and 
economic  development  strategies,  progress  towards  smart,  sustainable  and 
inclusive growth, including through public investments supported by IPA; 

The  body  of  legislation  aligned  with  the  acquis;  progress  in  Union-related 
institutional  reform,  including  transition  to  decentralised  management  of  the 
assistance provided under this Regulation;  

The  relevance  of  regional  and  territorial  cooperation  initiatives  and  the 
evolution of trade flows. 

The indicators shall be used for monitoring, evaluation and review of performance, 
as appropriate. 

Article 3 

Policy areas 

1. 

Assistance under this Regulation shall mainly address the following policy areas: 

(a) 

the transition process towards Union membership and capacity building;  

(b) 

regional development; 

(c) 

employment, social policies and human resources development; 

(d) 

agriculture and rural development; 

(e) 

regional and territorial cooperation.  

8 

OJ L…  

EN 

19 

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2. 

3. 

4. 

1. 

2. 

3. 

Assistance  under  the  policy  areas  referred  to  in  paragraph  1  shall  support  the 
beneficiary  countries  in  attaining  the  general  and  specific  objectives  set  out  in 
Articles 1 and 2. 

Assistance under the policy areas referred to in points (b) to (d) of paragraph 1 may 
include inter alia financing of the type of actions provided for under Regulation (EU) 
XXXX/201X of the European Parliament and of the Council of MM/DD/YYYY on 
specific  provisions  concerning  the  European  Regional  Development  Fund  and  the 
Investment  for  growth  and  jobs  goal9,  Regulation  (EU)  XXXX/201X  of  the 
European Parliament and of the Council of DD/MM/YYYY on the Cohesion Fund10, 
Regulation  (EU)  XXXX/201X  of  the  European  Parliament  and  of  the  Council  of 
MM/DD/YYYY  on  the  European  Social  Fund11,  Regulation  (EU)  XXXX/201X  of 
the  European  Parliament  and  of  the  Council  of  DD/MM/YYYY  on  specific 
provisions  for  the  support  from  the  European  Regional  Development  Fund  to  the 
European  territorial  cooperation  goal12  and  Regulation  (EU)  XXXX/201X  of  the 
European  Parliament  and  of  the  Council  of  DD/MM/YYYY  on  support  for  rural 
development by the European Agricultural Fund for Rural Development (EAFRD)13. 

Assistance  under  the  policy  area  referred  to  in  point  (e)  of  paragraph  1,  may  in 
particular  finance  multi-country  or  horizontal  actions  as  well  as  cross-border, 
transnational and interregional cooperation actions. 

Article 4 

Compliance, coherence and complementarity 

Financial assistance under this Regulation shall be consistent with Union policies. It 
shall  comply  with  the  agreements  concluded  by  the  Union  with  the  beneficiary 
countries  and  respect  commitments  under  multilateral  agreements  to  which  the 
Union is a party. 

The Commission, the Member States and the European Investment Bank shall ensure 
coherence  between  assistance  provided  under  this  Regulation  and  other  assistance 
provided by the Union, the Member States and the European Investment Bank.  

The Commission and the Member States shall ensure coordination of their respective 
assistance  programmes  to  increase  effectiveness  and  efficiency  in  the  delivery  of 
assistance  and  to  prevent  double  funding  in  line  with  the  established  principles  for 
strengthening operational coordination in the field of external assistance, and for the 
harmonisation  of  policies  and  procedures.  Coordination  shall  involve  regular 
consultations  and  frequent  exchanges  of  information  during  the  different  phases  of 
the assistance cycle, in particular at field level and shall constitute a key step in the 
programming processes of the Member States and the Union.  

9 
10 
11 
12 
13 

OJ L …. 
OJ L …. 
OJ L …. 
OJ L …. 
OJ L …. 

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4. 

5. 

1. 

In  order  to  increase  effectiveness  and  efficiency  in  the  delivery  of  assistance  and  to 
prevent  double  funding,  the  Commission  shall,  in  liaison  with  the  Member  States, 
take  the  necessary  steps  to  ensure  better  coordination  and  complementarity  with 
multilateral  and  regional  organisations  and  entities,  such  as  international  financial 
institutions, United Nations agencies, funds and programmes, and non-Union donors.  

When preparing, implementing and monitoring assistance under this Regulation, the 
Commission shall in principle act in partnership with the beneficiary countries. The 
partnership  shall  involve,  as  appropriate,  competent  national,  regional  and  local 
authorities, economic and social partners, civil society and non-state actors. 

TITLE II 

STRATEGIC PLANNING 

Article 5 

IPA Common Strategic Framework 

The Commission shall establish a Common Strategic Framework for the Instrument 
for Pre-accession Assistance. The IPA Common Strategic Framework shall translate 
the political priorities of the enlargement policy into key actions which can receive 
assistance under this Regulation. 

2. 

The IPA Common Strategic Framework shall inter alia include: 

(a) 

the  criteria  to  be  used  for  the  allocation  of  funds  to  beneficiary  countries  as 
well as to multi-country and territorial cooperation actions; 

(b) 

the types of actions which can be financed by the IPA; 

(c) 

the common guidelines for management and implementation of the IPA. 

The  Commission  shall  approve  the  IPA  Common  Strategic  Framework  and  any 
revision thereof in accordance with the examination procedure referred to in Article 
15(3) of the Common Implementing Regulation.  

Article 6 

Strategy Papers 

Assistance under this Regulation shall be provided on the basis of country or multi-
country indicative strategy papers (hereinafter "strategy papers"), established for the 
duration  of  the  Union’s  Multi-annual  Financial  Framework,  by  the  Commission  in 
partnership with the beneficiary country or countries concerned.  

The strategy papers shall specify the appropriate mix of policy areas as referred to in 
Article  3  which  will  receive  financial  assistance  under  this  Regulation  to  reflect 
needs  and priorities  in  accordance  with the objectives  referred to  in Article 2, with 

3. 

1. 

2. 

EN 

21 

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3. 

4. 

5. 

the IPA Common Strategic Framework referred to in Article 5, and with the national 
strategies, as appropriate.  

The strategy papers shall include the indicative allocation of Union funds per policy 
area,  as  applicable,  broken  down  per  year,  in  line  with  the  criteria  set  in  the  IPA 
Common  Strategic Framework referred to in Article 5. The indicative allocation of 
funds  shall  duly  take  account  of  the  needs,  absorption  capacity  and  administrative 
capacity  of  the  beneficiary  countries.  It  shall  also  allow  for  addressing  emerging 
needs and include incentives to enhance the performance of the beneficiary countries 
with regard to the objectives set in the multi-annual indicative strategies. 

The strategy papers shall be reviewed at mid-term and revised as appropriate. They 
may be revised at any time at the initiative of the Commission. 

The  Commission  shall  adopt  the  strategy  papers  and  any  revision  thereof  in 
accordance  with  the  examination  procedure  referred  to  in  Article  15(3)  of  the 
Common Implementing Regulation. 

TITLE III 

IMPLEMENTATION 

Article 7 

General Framework 

Union  assistance  under  this  Regulation  shall  be  implemented  through  programmes  and 
measures as referred to in Articles 2 and 3 of the Common Implementing Regulation and in 
accordance with specific rules establishing uniform conditions for implementing the present 
Regulation,  in  particular  as  regards  management  structures  and  procedures,  which  the 
Commission  shall  adopt  in  accordance  with  Articles  10  and  11  of  the  present  Regulation. 
Implementation  shall,  as  a  rule,  take  the  form  of  annual  or  multiannual,  country  specific  or 
multi-country  programmes  established  in  accordance  with  the  strategy  papers  referred  to  in 
Article 6 and drawn up by the beneficiary countries and/or the Commission, as appropriate.  

Article 8 

Framework and subsidiary agreements 

1. 

2. 

The Commission and the beneficiary countries shall conclude framework agreements 
on the implementation of assistance. 

Subsidiary  agreements  concerning  the  implementation  of  assistance  may  be 
concluded between the Commission and the beneficiary country or its implementing 
authorities, as required. 

EN 

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Article 9 

Cross-instrument provisions 

1. 

2. 

3. 

4. 

In duly justified circumstances and in order to ensure the coherence and effectiveness 
of Union financing or to foster regional cooperation, the Commission may decide to 
extend  the  eligibility  of  programmes  and  measures  referred  to  in  Article  7  to 
countries, territories and regions which otherwise would not be eligible for financing 
pursuant  to  Article  1,  where  the  programme  or  measure  to  be  implemented  is  of  a 
global, regional or cross border nature. 

The  European  Regional  Development  Fund  shall  contribute  to  programmes  or 
measures  established  under  this  regulation  for  cross–border  cooperation  between 
beneficiary  countries  and  Member  States.  The  amount  of  the  contribution  from  the 
European Regional Development Fund shall be determined pursuant to Article 4 of 
Regulation  (EU)  No  …of  the  European  Parliament  and  of  the  Council  of  …  on 
specific provisions for the support from the European Regional Development Fund to 
the  European  territorial  cooperation  goal.  The  provisions  of  the  present  Regulation 
shall apply to the use of this contribution. 

Where  appropriate,  the  IPA  may  contribute  to  transnational  and  interregional 
cooperation programmes or measures that are established and implemented under the 
provisions of the Regulation (EU) No … [on specific provisions for the support from 
the  European  Regional  Development  Fund  to  the  European  territorial  cooperation 
goal] and in which IPA beneficiary countries participate.  

Where appropriate, the IPA may contribute to cross-border cooperation programmes 
or measures that are established and implemented under the Regulation (EU) No … 
of  the  European  Parliament  and  of  the  Council  of  …  establishing  a  European 
Neighbourhood Instrument and in which IPA beneficiary countries participate.  

TITLE IV 

FINAL PROVISIONS 

Article 10 

Delegation of powers to the Commission 

The Commission shall be empowered to adopt delegated acts in accordance with Article 11 to 
amend  the  Annex  to  this  Regulation  and  to  complement  the  Common  Implementing 
Regulation  with  specific  rules  establishing  uniform  conditions  for  implementing  this 
Regulation. 

Article11 

Exercise of the powers delegated to the Commission 

1. 

The  power  to  adopt  delegated  acts  is  conferred  on  the  Commission  subject  to  the 
conditions laid down in this Article. 

EN 

23 

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2. 

3. 

4. 

5. 

1. 

2. 

3. 

14 
15 

The  delegation  of  powers  shall  be  conferred  on  the  Commission  for  the  period  of 
validity of this Regulation.  

The delegation of powers may be revoked at any time by the European Parliament or 
by  the  Council.  A  decision  of  revocation  shall  put  an  end  to  the  delegation  of  the 
power  specified  in  that  decision.  It  shall  take  effect  on  the  day  following  the 
publication of the decision in the Official Journal of the European Union or at a later 
date specified therein. It shall not affect the validity of any delegated acts already in 
force. 

As soon as it adopts a delegated act, the Commission shall notify it simultaneously to 
the European Parliament and to the Council.  

A delegated act shall enter into force only if no objection has been expressed either 
by  the  European  Parliament  or  by  the  Council  within  a  period  of  2  months  of 
notification of that act to the European Parliament and the Council or if, before the 
expiry of that period, the European Parliament and the Council have both informed 
the Commission that they will not object. That period shall be extended by 2 months 
at the initiative of the European Parliament or the Council.  

Article 12 

Committee 

The Commission shall be assisted by the IPA Committee. This committee shall be a 
committee within the meaning of Regulation (EU) No 182/2011.  

For  programmes  addressing  the  policy  areas  referred  to  in  points  (b)  and  (c)  of 
Article  3  and  implemented  indirectly  by  the  beneficiary  countries,  the  Commission 
shall be assisted by the Coordination Committee of the Funds referred to in Article 
143 of Regulation (EU) No [….] of the European Parliament and of the Council of 
…  laying  down  common  provisions  on the  European  Regional Development Fund, 
the  European  Social  Fund,  the  Cohesion  Fund,  the  European  Agricultural  Fund  for 
Rural  Development  and  the  European  Maritime  and  Fisheries  Fund  covered  by  the 
Common Strategic Framework and laying down general provisions on the European 
Regional Development Fund, the European Social Fund and the Cohesion Fund and 
repealing  Regulation  (EC)  No  1083/200614.  For  programmes  addressing  the  policy 
area  referred  to  in  point  (d)  of  Article  3  and  implemented  indirectly  by  the 
beneficiary  countries,  the  Commission  shall  be  assisted  by  the  Rural  Development 
Committee  referred  to  in  Article  91  of  Regulation  (EU)  No  [….]  of  the  European 
Parliament  and  of  the  Council  of  …  on  support  for  rural  development  by  the 
European  Agricultural  Fund  for  Rural  Development  (EAFRD)15.  In  such  cases,  the 
IPA committee shall be informed without delay of the opinion delivered by the other 
committee(s). 

The  committees  referred  to  under  paragraphs  1  and  2  shall  be  competent  for  legal 
acts  and  commitments  under  Regulation  (EC)  No  1085/2006  of  17  July  2006 

OJ L… 
OJ L… 

EN 

24 

   EN 

 
 
                                                 
establishing  an  Instrument  for  Pre-Accession  Assistance16.  In  addition,  the  IPA 
committee shall also be competent for the implementation of Article 3 of Regulation 
(EC)  No  389/2006  of  27  February  2006  establishing  an  instrument  of  financial 
support  for  encouraging  the  economic  development  of  the  Turkish  Cypriot 
community and amending Council Regulation (EC) No 2667/2000 on the European 
Agency for Reconstruction17.  

Article 13 

Suspension of Union support 

Without  prejudice  to  the  provisions  on  suspension  of  aid  in  partnership  and  cooperation 
agreements with partner countries and regions, where a beneficiary country fails to respect the 
principles  of  democracy,  the  rule  of  law,  human  rights,  minority  rights  and  fundamental 
freedoms,  or  the  commitments  contained  in  the  relevant  agreements  concluded  with  the 
Union, or where progress towards fulfilment of the accession criteria is insufficient, the Union 
shall  invite  the  beneficiary  country  to  hold  consultations  with  a  view  to  finding  a  solution 
acceptable  to  both  parties,  except  in  cases  of  special  urgency.  Where  consultations  with  the 
beneficiary country do not lead to a solution acceptable to both parties, or if consultations are 
refused  or  in  cases  of  special  urgency,  the  Council  may  take  appropriate  measures  in 
accordance  with  Article  215(1)  of  the  Treaty  on  the  Functioning  of  the  European  Union, 
which  may  include  full  or  partial  suspension  of  Union  assistance.  The  European  Parliament 
shall be fully and immediately informed of any decisions taken in this respect. 

Article 14 

Financial reference amount 

1. 

2. 

3. 

The  financial  reference  amount  for  the  implementation  of  this  Regulation  for  the 
period from 2014 to 2020 shall be EUR 14 110 100 000 (current prices). Up to 3% of 
the  financial  reference  amount  shall  be  allocated  to  cross-border  cooperation 
programmes between beneficiary countries and EU Member States. 

The annual appropriations shall be authorised by the budgetary authority within the 
limits of the Union Multi-annual Financial Framework. 

As  referred  to  in  Article  13,  paragraph  2  of  the  "Erasmus  for  All"  Regulation,  in 
order  to  promote  the  international  dimension  of  higher  education,  an  indicative 
amount of EUR 1 812 100 000 from the different external instruments (Development 
Cooperation  Instrument,  European  Neighbourhood  Instrument,  Instrument  for  Pre-
accession Assistance, Partnership Instrument and the European Development Fund), 
will be allocated to actions of learning mobility to or from non EU countries and to 
cooperation and policy dialogue with authorities/institutions/organisations from these 
countries. The provisions of the "Erasmus for All" Regulation will apply to the use of 
those funds. 

16 
17 

OJ L 210, 31.7.2006, p. 82-93 
OJ L 65, 7.3.2006, p. 5 

EN 

25 

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The funding will be made available through 2 multiannual allocations only covering 
the first 4 years and the remaining 3 years respectively. This funding will be reflected 
in  the  multiannual  indicative  programming  of  these  instruments,  in  line  with  the 
identified  needs  and  priorities  of  the  countries  concerned.  The  allocations  can  be 
revised in case of major unforeseen circumstances or important political changes in 
line with the EU external priorities. 

Article 15 

Entry into force 

This Regulation shall enter into force on the third day following that of its publication in the 
Official Journal of the European Union. 

It shall apply from 1 January 2014. 

This Regulation shall be binding in its entirety and directly applicable in all Member States. 

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

EN 

26 

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ANNEX 

Albania 

Bosnia and Herzegovina 

Iceland 

Kosovo* 

Montenegro 

Serbia 

Turkey 

The former Yugoslav Republic of Macedonia 

– 

– 

– 

– 

– 

– 

– 

– 

*Under UNSCR 1244/1999 

EN 

27 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
LEGISLATIVE FINANCIAL STATEMENT FOR PROPOSALS 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE  

1.1.  Title of the proposal/initiative  

1.2.  Policy area(s) concerned in the ABM/ABB structure 

1.3.  Nature of the proposal/initiative  

1.4.  Objective(s)  

1.5.  Grounds for the proposal/initiative  

1.6.  Duration and financial impact  

1.7.  Management method(s) envisaged  

2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and reporting rules  

2.2.  Management and control system  

2.3.  Measures to prevent fraud and irregularities  

3. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

3.1.  Heading(s)  of  the  multiannual  financial  framework  and  expenditure  budget  line(s) 
affected  

3.2.  Estimated impact on expenditure  

3.2.1. Summary of estimated impact on expenditure  

3.2.2. Estimated impact on operational appropriations  

3.2.3. Estimated impact on appropriations of an administrative nature 

3.2.4. Compatibility with the current multiannual financial framework 

3.2.5. Third-party participation in financing  

3.3.  Estimated impact on revenue

EN 

28 

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LEGISLATIVE FINANCIAL STATEMENT FOR PROPOSALS 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE 

1.1. 

Title of the proposal/initiative 

Instrument for Pre-accession Assistance (IPA) 

1.2. 

Policy area(s) concerned in the ABM/ABB structure26  

Enlargement 

1.3. 

Nature of the proposal/initiative  

⌧ The proposal/initiative relates to a new action  

(cid:133)  The  proposal/initiative  relates  to  a  new  action  following  a  pilot  project/preparatory 
action27  

(cid:133) The proposal/initiative relates to the extension of an existing action  

(cid:133) The proposal/initiative relates to an action redirected towards a new action  

1.4. 

Objectives 

1.4.1.  The Commission's multiannual strategic objective(s) targeted by the proposal/initiative  

The  general  objective  of  the  enlargement  policy  is  to  implement  Article  49  of  the  Treaty  on  the 
European  Union,  which  offers  a  European  perspective  to  all  European  countries  that  respect  the 
fundamental values of the EU and are committed to promoting them. 

The enlargement policy promotes stability, security and prosperity in Europe and increases the weight 
of the EU on the international scene. 

The  enlargement  policy  helps  to  consolidate  democracy  and  the  rule  of  law  in  Europe.  It  enhances 
economic  opportunities  and  increases  the  weight  of  the  EU  in  tackling  global  challenges  such  as 
climate change, competitiveness and the regulation and supervision of financial markets, and helps to 
mobilise for the common effort to address the goals of Europe 2020. The accession process provides 
strong encouragement for political and economic reform. 

Closer  integration  through  the  enlargement  process  also  helps  the  EU  to  achieve  its  objectives  in  a 
number  of  areas  which  are  key  to  social  and  economic  reform  for  smart,  sustainable  and  inclusive 
growth, including energy, transport, the protection of the environment, disaster resilience and efforts to 
address  climate  change.  New  applications  for  membership  demonstrate  the  EU’s  power  of  attraction 
and its role in promoting stability, security and prosperity. 

26 
27 

ABM: Activity-Based Management – ABB: Activity-Based Budgeting. 
As referred to in Article 49(6)(a) or (b) of the Financial Regulation. 

EN 

29 

   EN 

 
                                                 
The EU’s enlargement policy allows for a carefully managed process where candidates and potential 
candidates  approach  the  EU  in  line  with  the  pace  of  their  political  and  economic  reforms  as  well  as 
their capacity to assume the obligations of membership in accordance with the Copenhagen criteria. In 
the  Western  Balkans,  regional  cooperation  remains  key  and  constitutes  a  central  element  of  the 
Stabilisation and Association Process. 

Once the Council has decided to open accession negotiations with an applicant country, the progress of 
the  applicant  country  towards  meeting  European  standards  is  reflected  in  the  chapters  of  the  acquis 
opened and closed. 

Over the last five years, the enlarged EU has demonstrated its capacity to work together to address the 
important challenges it faces. Over this period, progress with reforms in the enlargement countries has 
allowed them to move through successive stages in the accession process. 

The EU's enlargement process is moving forward at a pace which is largely determined by the capacity 
of  the  aspirant  countries  to  take  on  the  obligations  of  membership.  This  requires  durable  reforms  as 
well  as  legislative  and  institutional  adaptations  which  are  credible  and  convincing.  As  the  countries 
concerned meet the standards which have been set, including notably those linked to democracy, the 
rule  of  law  and  fundamental  rights  and  freedoms,  the  EU  is  committed  to  working  with  them  to 
advance to the next steps in the process. 

A  single  integrated  pre-accession  instrument  is  proposed  as  the  financial  pillar  of  the  Enlargement 
Strategy, encompassing all dimensions of internal policies and thematic issues. 

The  aim  will  be  to  ensure  that  candidate  countries  and  potential  candidates  are  fully  prepared  for 
eventual accession. Emphasis will be put on good governance, administrate capacity, socio-economic 
development, regional cooperation, adopting and implementing the acquis, and preparing for managing 
through  national/multi-beneficiary 
internal  policies  upon  accession.  It  will  be 
programmes agreed with the beneficiaries and will also mirror the Structural Funds, the Cohesion Fund 
and  the  European  Agricultural  Fund  for  Rural  Development  (EAFRD),  including  their  refocusing  on 
delivering public goods. 

implemented 

In  addition,  political  and  financial  crisis-related  instruments  (Macro  Financial  Assistance,  Instrument 
for Stability) will continue to be available for use in enlargement countries, when needed. 

1.4.2. 

Specific objective(s) and ABM/ABB activity(ies) concerned initiative  

Specific objective No. 

(a) 

(b) 

(c) 

Support to political reforms 

Support to economic, social and territorial development and reforms, aiming at a sustainable, 
smart and inclusive growth 

Increase beneficiary countries' ability to assume the obligation of membership by supporting 
progressive  alignment  with,  adoption,  implementation  and  enforcement  of  the  acquis 
communautaire  including  preparation  for  the  implementation  and  management  of  EU 
structural, cohesion, agricultural and rural development funds. 

(d) 

Regional integration and territorial cooperation 

EN 

30 

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ABM/ABB activity(ies) concerned 

04.06 Instrument for Pre-Accession Assistance (IPA) — Human resources development 

05.05 Pre-accession measures in the field of agriculture and rural development 

13.05 Pre-accession operations related to the structural policies 

22.02 Enlargement process and strategy 

22.04.02 Information and communication programmes for non-member countries 

1.4.3.  Expected result(s) and impact 

Specify  the  effects  which  the  proposal/initiative  should  have  on  the  beneficiaries/groups 
targeted. 

The new pre-accession instrument will continue to focus on delivering on the Enlargement Policy that 
is one of the core priorities of the EU External Action, thus contributing to promote stability, security 
and prosperity in Europe. To that end, the new instrument will pursue the general policy objective of 
supporting candidate countries and potential candidates in their preparations  for  EU  membership  and 
the  progressive  alignment  of  their  national  systems/economies  with  the  standards  and  policies  of  the 
European Union, according to their specific needs and adapted to their individual enlargement agenda.  

In  terms  of  results  and  impacts  to  be  achieved,  the  new  instrument  will  address  i)  the  development 
gap/challenges  in  the  beneficiary  countries,  ii)  the  limited  capacity  to  overcome  these  from  own 
resources and the weak public institutions and/or administrative capacity in the beneficiary countries, 
and iii) reduce disparities among beneficiary countries, through achieving: 

better  functioning  democratic  institutions,  in  particular  for  ensuring  the  respect  of  the  rule  of 
(i) 
law,  and  human  rights,  and  the  inclusion  of  minorities;  reduction  of  corruption  and  organized  crime; 
reformed and modernised the public administration ;  

EU standards in the economy and economic governance; improved capacity to compete within 
(ii) 
the market forces in the Union; improved employment rates, increasingly skilled human resources and 
reduced social disparities; increased research and innovation capacity 

laws  progressively  aligned  with  the  EU  acquis,  adopted  and  enforced;  improved  capacity  to 
(iii) 
implement and manage EU structural, agricultural and rural development funds; increased participation 
in selected EU programmes and agencies. 

(iv) 
increased  economic  integration  in  the  region,  including  through  cross-border  energy  and 
transport  infrastructure,  closer  and  reinforced  neighbourly  relations  among  the  beneficiary  countries 
and with the EU. 

Making  progress  in  these  specific  policy  objectives  will  also  contribute  to  the  implementation  of 
broader EU policy frameworks such as the Europe 2020 strategy, the EU Climate and Energy Package 
and the Innovation Union. 

1.4.4. 

Indicators of results and impact 

Specify the indicators for monitoring implementation of the proposal/initiative. 

EN 

31 

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Progress  towards  the  specific  objectives  of  the  new  instrument  can  be  assessed  through  three  main 
macro-indicators:  

• 

• 

• 

Progress toward meeting the accession benchmarks (chapters opened/closed) or positive track 
record  in  implementing  the  Association  Agreements  as  reflected  i.a.  by  positive  Progress 
Reports, survey-based indices compiled by reputable international organisations for areas such 
as government effectiveness; political stability and absence of violence; the rule of law;  

Socio-economic  evolution,  as  measured  by  impact  indicators  such  as  the  UNDP's  human 
development  index  as  a  general  measure  of  prosperity;  unemployment  rates;  foreign  direct 
investment inflows; trade balances; 

Regional  cooperation  and  integration,  as  measured  by  survey-based  indices  reflecting 
perceptions  on  the  level  (trend)  of  security  and  stability;  political,  economic  and  cultural 
interactions. 

Relevant targets and milestones related to these macro-indicators may include, inter alia, the following: 
receipt of the application for EU membership, adoption by the Commission of a positive opinion on the 
application or recommendation to grant candidate country status, recommendations to open accession 
negotiations,  opening  or  provisional  closure  of  negotiation  chapters,  overall  closure  of  accession 
negotiations, degree of compliance with the Copenhagen criteria, entry into force of visa liberalisation 
and readmission agreement, conferral of management powers of the IPA assistance, waiver of ex-ante 
controls on management of IPA assistance, entry into force of customs/trade agreement and removal of 
obstacles/technical barriers to trade, participation in regional  initiatives, resolution of bilateral issues, 
progress in the integration of Trans European Networks. 

At operational level, progress could be measured in relation to operational objectives corresponding to 
the specific objectives i. to iv. identified for the future pre-accession instrument. Operational objectives 
include:  

(a) 

(b) 

to improve perceptions of democracy and the justice system and with respect to human rights 
and non-discrimination; reduce outstanding court caseload and the number of infringements of 
fundamental  rights;  increase  capacities  for  law  enforcement  and  generally  administrative 
capacity, reduce staff turnover.  

to develop sound and effective social and economic development strategies; to improve skills 
and qualification levels and strengthen labour market services; to support public investment; 
establish  management  structures  for  EU  structural,  cohesion  and  rural  development  funds 
upon accession, achieving accreditation and conferral of management; 

(c) 

to improve the legislative framework; align legislation with the acquis, create and strengthen 
institutions and enforcement structures; join and deepen participation to EU programmes. 

(d) 

to encourage deeper cooperation. 

Operational objectives will need to be customized to the situation in each beneficiary and would be set 
in the programming documents based on the identified challenges.  

The  ex-ante  evaluation  has  also  highlighted  the  need  to  provide  detailed  guidance  and  to  build 
capacities in the beneficiary countries to systematically collect the requisite data that will be needed to 
assess  progress  at  the  operational  level.  Previous  enlargements  have  led  to  increased  priority  being 

EN 

32 

   EN 

 
given  to  programme  level  monitoring  and  evaluation  and  ‘evidence  based’  policy  making  in  new 
Member  States.  Shifts  towards  resource  allocations  based  on  performance  and  meeting  conditions  as 
well  as  needs  should  also  encourage  a  similar  tendency  amongst  candidate  countries  and  potential 
candidates.  

With  relation  to  climate  mainstreaming,  a  tracking  system  will  be  put  in  place  to  identify  where 
programmes promote climate action or energy efficiency so that the EU would be able to set out clearly 
how much of its spending relates to such issues. Clear benchmarks, monitoring and reporting rules will 
be  established.  Tracking  of  climate-related  expenditure  will  be  performed  based  on  the  established 
OECD  methodology  (‘Rio  markers’).  In  line  with  the  Commission's  broader commitment  to 
mainstreaming, the OECD DAC marker will also be applied for tracking progress on biodiversity and 
desertification mainstreaming". 

Future  monitoring  and  evaluations  will  have  to  take  into  account  that  results  and  impacts  will  vary 
across beneficiary countries, given their differences and the varying needs and positions on the ‘path to 
accession. As the instrument will continue to operate alongside the political negotiation process and 
other  interventions  with  a  bearing  on  accession,  it  will  be  difficult  to  identify  progress  resulting 
exclusively from the instrument, except at the level of specific activities. Many of the ‘results’ of the 
future  programme  –  such  as  progress  in  meeting  the  political  criteria  for  accession  -  will  be  by their 
nature difficult to measure: to some extent the objectives of the instrument may be achieved through 
the status conferred on the beneficiary as much as through the results of the EU financial interventions.  

1.5. 

Grounds for the proposal/initiative  

1.5.1.  Requirement(s) to be met in the short or long term 

Beneficiaries of the assistance are candidate countries and potential candidates for EU membership in 
the Western Balkans, Iceland and Turkey.  

In 1999, the EC set out a vision for relations between the EU and the Western Balkans, moving from its 
previous  Regional  Approach  to  a  new  tool,  the  Stabilisation  and  Association  Process  (SAP).  Apart 
from  aiming  for  political  and  economic  stability  and  regional  cooperation,  SAP  has  gradually 
incorporated  enlargement  instruments  to  bring  the  countries  of  the  region  closer  to  the  values  and 
standards of the EU. 

The Feira European Council in June 2000 acknowledged that Western Balkan countries participating in 
the SAP were 'potential candidates' for EU membership. The European perspective of these countries 
was  further  confirmed  by  the  Thessaloniki  European  Council  in  June  2003  which  endorsed  the 
"Thessaloniki Agenda for the Western Balkans”. This agenda remains the cornerstone of the EU policy 
towards the region. At the Sarajevo EU-Western Balkans ministerial meeting on 2 June 2010, the EU 
reiterated  its  commitment  to  the  European  perspective  of  the  Western  Balkans  and  stressed  that  the 
future of these countries lies in the EU.  

Of  those  countries  that  initially  came  under  the  SAP,  Croatia,  the  former  Yugoslav  Republic  of 
Macedonia and recently Montenegro gained candidate status, while Albania, Bosnia and Herzegovina, 
Kosovo28  and  Serbia  are  potential  candidates.  Other  countries  that  were  given  an  EU  accession 
perspective include Turkey, which applied already in 1987 and which was granted applicant status in 
1999; and Iceland, which applied in 2009 and was granted candidate status in 2010. 

28 

Under UNSCR 1244/1999 

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The  three  key  requirements  for  accession  are  set  out  in  the  conclusions  of  the  European  Council  in 
Copenhagen in 1993 (the so-called “Copenhagen criteria”). These are: 

(i) Stability of institutions guaranteeing democracy, the rule of law, human rights and respect for and 
protection of minorities; 

(ii) The existence of a functioning market economy, as well as the capacity to cope with competitive 
pressure and market forces within the Union; and 

(iii) The ability to take on the obligations of membership including adherence to the aims of political, 
economic and monetary union)  

Also, the Madrid European Council in December 1995 referred to the need "to create the conditions for 
the gradual, harmonious integration of [the applicant] countries, particularly through the development 
of  the  market  economy,  the  adjustment  of  their  administrative  structures  and  the  creation  of  a  stable 
economic and monetary environment". 

Prospective members have to meet the Copenhagen criteria before membership negotiations can begin. 
The alignment of beneficiaries with accession criteria requires considerable efforts in terms of public 
investment  and  access  to  in-depth  knowledge  and  expertise.  The  EU  support  is  designed  to  assist 
candidates in order to help them meet these criteria.  

1.5.2.  Added value of EU involvement 

Enlargement policy is part of the external action and contributes to meeting the common objectives in 
terms of global challenges, global response and global leadership.  

The successive enlargement of the EU is by its very nature a common task which can be pursued only 
at  EU  level.  Only  the  Member  States  acting  together  can  decide  on  the  accession  requests  by  new 
candidates. The pre-accession assistance provided through the EU budget is designed to help candidate 
countries/potential candidates prepare for future membership: IPA is built to give countries a “test run” 
of  obligations  of  membership  before  accession  (such  as  put  in  place  institutions  for  managing  post-
accession  EU funds,  and/or adopting the acquis and EU standards). No other multilateral or bilateral 
instrument  can  provide  such  a  comprehensive  toolbox,  and  in  any  case  only  the  EU  can  define  what 
kind of assistance is needed to prepare for taking over the acquis. 

Pre-accession assistance is an investment in the future of the EU, supporting the stability and prosperity 
of neighbouring countries and ensuring the effective capacity of candidate countries to implement the 
acquis  upon  accession.  Technical  and  financial  assistance  speeds  up  the  process  of  preparation  and 
creates incentives for the necessary transformation of the society, the legal systems and the economy. 
Such assistance helps meet the objectives of the internal policies of the EU, creates opportunities for 
EU  businesses  and  provides  tangible  return  on  investment.  Without  the  intensive  involvement  and 
closer partnership embodied in pre-accession assistance the EU would certainly have to spend more on 
combating  illegal  migration,  securing  the  external  borders  of  the  EU,  ensuring  security  of  energy 
supply  as  well  as  safe  and  hygienic  food  imports  for  its  citizens,  combating  climate  change  and 
pollution, addressing cross-border effects of disasters and providing EU solidarity to countries with low 
level disaster resilience. 

In recent years EU Member States have been reducing the level of their bilateral assistance to candidate 
countries  and  potential  candidates,  acknowledging  that  coordinated  action  at  EU  level  is  more 
effective. About half of the overall financial assistance of the EU to the enlargement countries in 2009 

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came from the EU budget. Multilateral donor organisations have largely phased out their support and 
those  that  remain  have  now  aligned  their  programmes  to  the  EU  priorities.  It  should  be  noted  that, 
given  its  specific  development  objectives  and  impact,  pre-accession  assistance  is  also  accounted  as 
official development aid of the EU (ODA). 

1.5.3.  Lessons learned from similar experiences in the past  

A  mid-term  meta  evaluation  of  IPA,  completed  in  February  2011  and  focused  mainly  on  the  IPA 
strategic  framework  (MIPDs)  and  programming  (mainly  technical  assistance  and  institution  building 
component), assessed the intervention logic and the performance (actual or expected) of the assistance, 
particularly as regards its relevance, efficiency, effectiveness, impact and sustainability.  

Regarding  the  intervention  logic  (i.e.  how  assistance  is  planned  and  programmed),  the  evaluation 
concluded that the MIPDs are key programming documents which provide essential direction and focus 
to the programming process and are clearly better than the equivalent programming documents for past 
pre-accession  assistance  programmes.  The  evaluation  found  also  that  the  quality  of  objectives  and 
indicators  in  the  MIPDs  and  the  programming  documents  had  improved  over  time.  Nevertheless, 
further improvements were recommended.  

The evaluation found that IPA produced good and meaningful results. Effectiveness was found to be 
strongest  in  acquis  related  areas,  while  some  horizontal  areas,  such  as  public  administration  reform, 
were  found  to  be  particularly  challenging.  The  beneficiary  countries'  financial  needs,  particularly  for 
infrastructure, clearly exceed available IPA (and other donors') funding. Therefore, a key challenge for 
the  future  was  to  use  IPA  funds  efficiently  and  continue  to  play  a  leverage  role  for  other  financing 
sources. It was also found that projects were generally well targeted on EU accession requirements, but 
focusing  institution  building  assistance  on  a  more  limited  number  of  priority  sectors  could  further 
enhance  effectiveness  and  impact.  The  evaluation  found  that  the  mechanisms  for  donor  coordination 
and  harmonisation  of  assistance  were  well  established  and  that  a  determining  factor  in  terms  of 
achieving impact and sustainability was the beneficiary countries' ownership of the reform agenda and 
the capacity of their administration, which need to be strengthened.  
The  evaluation  concluded  that  adopting  a  multi-annual/Sector  Based  Approach  (SBA)29  for  planning 
and programming should facilitate prioritisation and sequencing of assistance, donor coordination and 
enhance beneficiary countries' ownership.  

A  two–phase  interim  evaluation  of  the  first  eight  IPA  Cross  Border  Cooperation  programmes  at 
intra-Western  Balkans  borders  was  completed  in  May  2011.  The  evaluation  concluded  that 
stakeholders perceive improved neighbourly relations as a consequence of the programme and view it 
as fundamental for future cooperation, and that conditions were mature for increased cooperation. The 
evaluation recommended that the socio-economic analysis should be strengthened with a more updated 
statistical basis, a better explanation of criteria used as well as better alignment with statistical areas. It 
also recommended that the application package and the evaluation procedure should be streamlined and 
simplified. 

Ex-ante  evaluations  of  operational  programmes  for  regional,  human  resources  and  rural 
development were conducted to support and streamline the programming process. Recommendations to 
strengthen  the  analysis  underpinning  the  programmes  orientation  as  well  as  to  improve  further  the 
output, results and impact indicators were common to all programmes. Interim evaluations are ongoing. 

29 

A sector approach to planning and programming of the assistance is based on country sector strategies, combines 
resources from different donors and aims to achieve broader policy objectives 

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An  ex-ante  evaluation  of  the  pre-accession  financial  instruments  post-2013  concluded  that  there  is 
strong rationale for continuing financial assistance at EU-level in support for the enlargement process. 
The  need  to  ensure  continuity  with  the  current  instrument  emerged  clearly,  since  structures  and 
systems  necessary  to  manage  EU  assistance  are  already  being  set  up.  However,  in  light  of  the 
differences amongst beneficiary countries (in socio-economic terms, with regard to the development of 
their  institutions  and  public  administration  and  their  accession  perspective),  the  consultation 
recommended  a  more  tailor-made  approach,  simplified  implementing  rules,  more  flexibility  and 
enhanced  strategic  orientation  in  the  allocation  of  assistance,  and  a  more  systematic  use  of 
multiannual programming. 

1.5.4.  Coherence and possible synergy with other relevant instruments 

The  proposal  maintains  a  dedicated  and  integrated  instrument  for  pre-accession  assistance  as  the 
financial  pillar  of  the  Enlargement  Strategy  that  encompasses  all  dimensions  of  internal  policies  and 
thematic issues. This is because the Enlargement policy is primarily about helping partners to gradually 
take  over  the  acquis  and  EU  relations  with  candidate  countries  and  potential  candidates  cover 
practically  all  thematic  issues  (prosperity,  security,  trade,  human  rights,  etc.).  For  the  sake  of 
coherence, efficiency, effectiveness and impact, internal policies and thematic issues should therefore 
be  mainstreamed  in  coherent  country  strategies  and  achieved  through  country,  multi-beneficiary  or 
cross-border programmes agreed with the beneficiary countries. In line with the EU Policy Coherence 
for Development agenda, the fact that IPA covers all internal policies allows to better take into account 
the external impacts of internal policies on pre-accession countries, where EU development objectives 
are concerned. This is important notably in areas such as trade, climate change, migration or energy. 

However, where the nature of the action warrants (i.e. technical, global reach, as opposed to primarily 
accession  focus),  where  fundamental  European  values  (such  as  respect  of  human  rights)  are  not 
complied  with  by  a  beneficiary  country,  or  where  an  internal  policy  instrument  has  a  particularly 
important  external  dimension,  other  instruments  could  intervene  in  the  enlargement  region  (e.g. 
European  Instrument  for  Democracy  and  Human  Rights,  the  Instrument  for  Nuclear  Safety 
Cooperation, the Instrument for Stability and Macro-financial Assistance, Connecting Europe Facility, 
…).  

1.6. 

Duration and financial impact  

⌧ Proposal/initiative of limited duration  

⌧ 

Proposal/initiative in effect from 01/01/2014 

⌧ 

Financial impact from 01/01/2014 to 31/12/2020  

(cid:133) Proposal/initiative of unlimited duration 

– 

– 

Implementation with a start-up period from YYYY to YYYY, 

followed by full-scale operation. 

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1.7.  Management mode(s) envisaged30  

(cid:58) Centralised direct management by the Commission  

(cid:58) Centralised indirect management with the delegation of implementation tasks to: 

–  (cid:58) 

executive agencies  

–  (cid:133) 

bodies set up by the Communities31  

–  (cid:58) 

national public-sector bodies/bodies with public-service mission  

–  (cid:133) 

persons entrusted with the implementation of specific actions pursuant to Title V 
of  the  Treaty  on  European  Union  and  identified  in  the  relevant  basic  act  within  the 
meaning of Article 49 of the Financial Regulation  

(cid:58)  Shared  management  with  the  Member  States:  cross  border  cooperation  programmes 
between EU Member States and IPA beneficiary countries will be implemented by managing 
authorities from EU Member States under shared management. 

(cid:58) Decentralised management with third countries  

(cid:58)  Joint  management  with  international  organisations:  joint  management  will  essentially 
involve international financial institutions (such as EIB, EBRD, World Bank, CoEDB) s well 
as specialised UN agencies as the case may be. 

If  more  than  one  management  mode  is  indicated,  please  provide  details  in  the  "Comments" 
section. 

Comments  

The  ultimate  aim  of  the  regulation  is  that  assistance  is  managed  under  the  full  responsibility  of 
beneficiary countries, under decentralised management. However, this objective will be implemented 
progressively, as the administrative capacity of the beneficiary countries evolves, and the conditions for 
conferring  management  powers  are  met.  During  the  initial  phases,  the  Commission  will  retain 
management  control,  and/or  entrust  implementation  to  specialised  bodies  under  indirect  or  joint 
management as the case may be. Centralised management will also be the primary method for multi-
country programmes. 

Joint management will also be used for actions with international and European financial institutions, 
with  a  view  to  leverage  additional  funding,  essentially  for  investment  in  the  necessary  social  or 
economic infrastructure. 

Finally, shared management will continue to be used for territorial cooperation objectives involving EU 
member states.  

30 

31 

Details  of  management  modes  and  references  to  the  Financial  Regulation  may  be  found  on  the  BudgWeb  site: 
http://www.cc.cec/budg/man/budgmanag/budgmanag_en.html 
As referred to in Article 185 of the Financial Regulation. 

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2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and evaluation arrangements  

Specify frequency and conditions. 

Monitoring and evaluation arrangements will be reinforced in comparison to the current situation, with 
an improved focus on results. They will provide for the definition of specific, measurable, achievable 
objectives as well as for appropriate indicators.  

The European Commission's Monitoring and Evaluation systems are already increasingly focussed on 
results. They involve internal staff as well as external expertise. Task managers in EU Delegations and 
at Headquarters continuously monitor the implementation of projects and programmes in various ways, 
including  wherever  possible  through  field  visits.  Monitoring  provides  valuable  information  on 
progress,  it  helps  managers  to  identify  actual  and  potential  bottlenecks  and  to  take  timely  corrective 
action where appropriate. 

In  addition,  external,  independent  experts  are  contracted  to  assess  the  performance  of  EU  external 
actions through various complementary systems. These assessments contribute to accountability and to 
the  improvement  of  ongoing  interventions;  they  also  draw  lessons  from  past  experience  to  inform 
future  policies  and  actions.  The  tools  used  are  in  line  with  internationally-recognised  OECD-DAC 
evaluation criteria including (potential) impact. 

The  Commission  also  supports  beneficiary  countries  to  build  their  own  capacity  to  monitor  and 
evaluate  spending.  Under  the  new  instrument,  responsibility  on  monitoring  and  evaluation  will  be 
further delegated to beneficiary countries. In particular, where the Commission manages the assistance 
on  behalf  of  the  beneficiary,  the  Commission  will  retain  primary  responsibility  for  monitoring  and 
evaluation.  On  the  other  hand,  where  beneficiary  countries  manage  the  assistance  under  their  own 
responsibility (decentralised management) the Commission will have a mainly supervisory role (apart 
from ex-ante and ex-post evaluations), and primary responsibility will rest with the beneficiary. 

Project  level  monitoring  reports  on  the  progress  against  plans,  particularly  concerning:  (i) 
contracting/grant awards and (ii) delivery of outputs. Task managers are also supported by the Results 
Oriented Monitoring (ROM) system which provides a focused snapshot of the quality of a sample of 
interventions. Using a highly structured, standardised methodology, independent ROM experts attribute 
grades which highlight the strengths and weaknesses of the project and give recommendations on how 
to improve effectiveness.  

In addition to monitoring, project-level evaluations may also be undertaken under the management of 
EU  Delegation  or  the  operational  services  in  charge  of  the  project.  Project  level  evaluations  are 
intended  to  complement  existing  monitoring  systems  and  should  provide  a  more  detailed  in  depth 
analysis. They should also help project managers to improve ongoing interventions or to confirm their 
results and sustainability.  

At  sector  and  programme  level,  monitoring  committees  co-chaired  by  beneficiary  countries  and  the 
Commission provide the structure to assess progress against plans. These committees are supported by 
the  findings  of  both  monitoring  reports  and  evaluations.  Under  the  new  instrument,  the  role  of 
monitoring  committees  will  be  strengthened  for  both  candidate  countries  and  potential  candidates,  to 
ensure that the implementation of the financial assistance properly feeds into the policy dialogue and 
that  committees'  conclusions  and  recommendations  are  more  systematically  complied  with  and 
followed up.  

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Evaluations  at  a  level  higher  than  project  (sector,  programme,  strategic,  thematic,  etc)  are  mostly 
managed by the Commission services. Some evaluations, in particular interim evaluations intended to 
support the decision making process, are progressively delegated to beneficiary countries for ownership 
and capacity building purposes.  

The results of evaluations or summary findings are regularly communicated to the IPA Committee, to 
the Council and the European Parliament as part of the IPA Annual Report, and are published on the 
Commission's website. 

2.2.  Management and control system  

2.2.1.  Risk(s) identified 

The  operational  environment  of  IPA  is  characterised  by  the  following  risks  to  achieving  the 
instrument's objectives: 

– 

– 

– 

– 

– 

– 

– 

– 

IPA is primarily designed to run under a decentralised management mode, as an integral part 
of  preparations  for  EU  membership.  This  implies  a  higher  inherent  risk,  as  the  ultimate 
manager  (the  Commission)  has  no  direct  authority  over  the  decentralised  manager’s 
implementation structure; 

regular changes to the implementation environment which are inherent in accession processes, 
e.g.  from  centralised  management  to  decentralised,  then  waiver  of  ex  ante  controls,  put 
unusually  high  demands  on  organisational  coordination,  as  well  as  on  staff  adaptability, 
training,  and  judgment,  as  they  in  turn  require  regular  changes  to  the  internal  control  and 
organisational setup on the Commission side;  

diversity of potential beneficiaries with their diverse internal control structures and capacities 
can  fragment  and  therefore  reduce  the  Commission's  available  resources  to  support  and 
monitor implementation; 

deficiencies of the institutional and administrative capacity in beneficiary countries may lead 
to long drawn out decentralisation processes compromising the timely use of committed funds 
and / or to difficulties and delays in the design and implementation of individual interventions;  

poor quality and quantity of available data on the outcomes and impact of pre-accession aid in 
beneficiary  countries  may  hamper  the  Commission's  ability  to  report  on  and  be  accountable 
for results; 

economic/political  difficulties  may  lead  to  difficulties  and  delays  in  the  design  and 
implementation  of  interventions,  particularly  in  beneficiary  countries  where  institutions  are 
still young and fragile;  

unresolved  constitutional,  institutional,  and  border  issues  within  and  between  beneficiary 
countries  can  block  the  implementation  of  key  assistance  projects  and  lead  to  the  loss  of 
significant funds; 

a  lack  of  administrative  credits  may  lead  to  insufficient  resources  to  properly  manage  the 
instrument. 

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2.2.2.  Control method(s) envisaged  

The  internal  control  /  management  process  of  the  DG's  involved  in  IPA  are  designed  to  provide 
reasonable  assurance  regarding  the  achievement  of  objectives  in  the  effectiveness,  efficiency  and 
economy  of  its  operations,  the  reliability  of  its  financial  reporting  and  compliance  with  the  relevant 
legislative and procedural framework. 

To ensure the effectiveness, efficiency, and economy of its operations (and to mitigate the high level of 
risk in its pre-accession environment), in addition to all the elements of the Commission wide Strategic 
Policy  and  Planning  process,  internal  audit  environment  and  other  requirements  of  the  Commission's 
Internal  Control  Standards,  DG  ELARG  (other  IPA  DGs  use  similar  or  slightly  modified  control 
arrangements optimised for the transition to the control framework for EU structural and agricultural 
funds) will continue to have a tailored financial assistance management framework in operation under 
all its instruments, which is enshrined in a regularly updated Internal Control Strategy document. This 
will include: 

– 

– 

– 

– 

– 

– 

– 

– 

– 

Decentralised  management  by  national  implementing  agencies  upon  which  management 
powers are conferred by the Commission after a careful process of setting strict management 
standards and assessing them through i.a. comprehensive systems audits. 

Ex ante controls by EU delegations in the field on all assistance files approved by the national 
implementing  systems  until  these  systems  are  assessed  ready  and  mature  for  such  ex  ante 
controls  to  be  waived  safely.  This  assessment  of  the  national  systems’  track  record  involves 
i.a. the file rejection rate trends.  

Clear lines of financial and results accountability from national implementing systems to the 
Commission Authorising Officer (Director) sub-delegated by the AOD, including irregularity 
reporting, an annual statement of assurance by national authorising officers and audit opinions 
by the national audit authorities;  

A programme  of  sub-systems  audits  carried out by  Commission auditors to check continued 
compliance with management standards following conferral of management; 

Defined  clearance  of  accounts  procedures  including  additional  verifications  and  a  structured 
policy  for  financial  correction  of  transaction  and  systemic  errors  detected  by  national  and 
Commission auditors; 

Devolved  management  of  the  bulk  of  pre-accession  aid  by  EU  delegations  in  the  field  until 
management powers can be conferred upon national implementing agencies. 

Clear  lines  of  financial  accountability  for  management  devolved  to  EU  delegations  via  sub-
delegation  from  the  Sub-delegated  Authorising  Officer  (Director)  at  HQ  to  the  Head  of 
Delegation; 

Establishment  and  annual  update  of  assurance  strategies  by  EU  Delegations  to  their  sub-
delegating officers (Directors) including detailed, risk assessed control and audit plans;  

Regular  reporting  from  EU  Delegations  to  HQ  (AOSD  /  Management  Reports)  on  the 
implementation of the assistance and the assurance strategies, including an annual Statement 
of Assurance by the sub-delegated AOSDs / Heads of Delegation; 

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– 

– 

– 

– 

– 

– 

– 

– 

Regular 
implementation and devolved delegations; 

internal  audits  of  delegations,  both  delegations  supervising  decentralised 

Ex  post  controls  of  finalised  programmes  to  ascertain  that  all  levels  of  the  management  and 
control systems meet the standards required; 

Provision of a substantial programme of training for staff both at HQ and in delegations, 

Significant HQ/Delegation support and guidance (including via internet); 

A project and programme cycle management methodology including:  

Quality  support  tools  for  the  design  of  the  intervention,  its  delivery  method,  financing 
mechanism, management system, assessment and selection of any implementing partners etc. 

Programme  and  project  management,  monitoring  and  reporting 
implementation including regular external on-the-spot monitoring of projects. 

tools  for  effective 

Significant evaluation and audit components. 

DG  ELARG  will  continue  to  pursue  the  highest  standards  of  accounting  and  financial  reporting  to 
ensure  a  continued  unqualified  opinion  from  its  external  auditors  (the  European  Court  of  Auditors) 
using  the  Commission's  accruals  based  accounting  system  (ABAC)  as  well  as  external  aid  specific 
tools such as the Common Relex Information System (CRIS).  

In relation to compliance with the relevant legislative and procedural framework, control methods are 
set out in section 1.3 (measures to prevent fraud and irregularities) 

2.2.3.  Costs and Benefits of Envisaged Controls 

2.2.3.1.  Costs of Control 

The  control  setup  proposed  for  the  new  IPA  instrument  does  not  differ  significantly  from  the  one 
applying  under  the  current  instrument.  Its  cost  structure  will  therefore  be  similar.  Nevertheless,  the 
redesign  of  the  instrument  is  expected  to  reduce  to  some  appreciable  extent  the  likelihood  of 
compliance errors. Aspects such as more flexible programming allowing for optimised project selection 
and the broader use of innovative financing instruments (e.g. leveraging IFIs and other donors) should 
contribute to this. 

Expected  costs  of  controls  presented  below  are  current  price-based  and  based  on  following 
assumptions: 

– 

– 

– 

Current staffing levels in the IPA DGs stable over the period 

Average cost of civil servant = €127, 000 (doubled for EU Delegation postings) 

Average cost of contract agent = €64,000 

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Costs incurred by national systems in countries implementing IPA under decentralised management are 
not included. It should be noted that a significant share of the investment and training costs incurred to 
set up such systems is financed by IPA operational expenditure.  

Overall  IPA  management  and  control  costs  per  year  (Staff:  allocated  to 
Programme or Budgetary management and anti-fraud) 
Fixed costs (at current and planned levels of operational expenditure) 
Officials in DG ELARG HQ  
Contract agents in DG ELARG HQ 
Officials in EU Delegations 
Contract Agents in EU Delegations 
Costs  of  Local  Agents,  local  costs  for  Contract  Agents,  and  other  costs  of 
running Delegations 
Officials and Contract Agents in other IPA DGs 
External staff from other IPA DGs in EU Delegations 
Variable costs (estimate of current overall annual cost) 
Contracted audit and ex post control costs 
Contracted evaluation costs 
Contracted monitoring costs (ROM) 
Audit certificates (contracted by beneficiaries) 
On-the-spot  controls  and  other  contracted  additional  controls  part  of  financial 
circuit checks   

Total control costs (IPA) per annum 

M€ 

11.2 
7.3 
9.4 
6.5 
28.5 

2.0 
6.0 

1.0 
3.0 
2.0 
2.0 
0.8 

79.7 

The costs presented in the table are management and control costs, and amount to approx. €80 million, 
or  approx.  4%  of  annual  expenditure  planned  for  2014-2020.  They  include  the  whole  management 
structure  for  the  instrument,  from  planning  to  programming  to  implementation.  By  a  narrower 
definition  of  control  including  only  the  cost  of  checks  directly  impacting  on  the  regularity  of 
transactions, total costs would be reduced by ca. €30 million, i.e., would amount to approximately €50 
million (approx. 2.5% of annual expenditure planned for 2014-2020). 

The  final  five  rows  are  variable  costs.  Their  annual  value  will  depend  on  the  intensity  of  controls 
decided by AOSDs in their assurance strategies. That intensity is based on a thorough risk assessment 
of  all  outstanding  contracts,  taking  into  account  available  budgetary  resources.  The  annual  values 
indicated in the table are based on current practice. 

For  variable  costs,  the  following  approximate  average  unitary  costs  of  individual  contracted  control 
actions apply: 

Audit certificates: 

Approximate average cost of audit per grant: 0.2% of contract value 

Approximate average cost of audit per service contract: 0.1% of contract value 

Ex Post Controls: 

EN 

42 

   EN 

 
 
 
 
 
 
 
 
 
 
Average cost of ex post control covering on average €22 million of underlying transactions (€17 

million EU financed): €50,000 (= €2,300 / €3,000 per audited million) 

On the Spot Controls: 

Average contract cost for a coverage of €175 million worth of underl ying transactions: €75,000 

(€430 per checked million). 

2.2.3.2.  Benefits of Control 

The control setup used for pre-IPA and IPA programmes has consistently yielded error rates below 2% 
of expenditure. By end 2010, accumulated recoveries from finalised programmes under decentralised 
management added up to €29 million out a total audited amount of €3,500 million (0.82%).  

One possible method to estimate the benefit of the control setup in place in the case of decentralised 
management is to use the values and trends of the rejection rate indicator. As national systems mature 
and can be considered for a waiver of ex ante controls on procurement files, the rate of files rejected by 
the EU Delegation in such ex ante controls should decrease to a very low level. 

In a country now coming close to accession (Croatia), rejection rates have in 2010 decreased to levels 
between  14%  and  20%  (depending  on  type  of  file).  In  a  country  still  with  some  way  to  go  before 
waiver of ex ante controls can be considered (Turkey), rates vary between 19% and over 60%. 

Files  can  be  rejected  on  a  number  of  grounds,  frequently,  but  not  always,  on  legality  and  regularity 
issues. Assuming half the rejections are regularity-based, it can reasonably be inferred from experience 
that the ex ante control on procurement-based setup allows reducing the level  of  error from between 
10% to 30% to below 2%. This does not take into account differences which might arise if file values 
rather  than  file  numbers were used in the analysis. Nevertheless, it is safe to assume that the current 
control  setup  in  decentralised  management  is  approximately  correctly  balanced  to  keep  errors  within 
the Commission’s internal control objective of no more than 2% error. 

Even though IPA is  designed to evolve to decentralised  management as soon as possible, centralised 
management may represent a significant share of total IPA expenditure if conferral of management is 
simultaneously delayed in a number of countries. This was the case in 2010/11, and is likely to remain 
so until 2013.  

In  2010,  350  corrections  (deductions  or  recoveries)  were  made  to  payments  in  centralised  and  joint 
management in DG ELARG, for a value of approx. €6  million. This is approx. 1% of total centralised 
payments in 2010, and may be used as a rough indicator of the benefit accrued from additional checks 
within and on top of the basic financial circuit checks. 

Similarly  to  decentralised  management,  this  is  consistent  with  the  notion  that  the  control  setup 
currently used for IPA is approximately balanced for the set internal control objective. 

2.2.3.3.  Expected level of Non Compliance with Applicable Rules 

Until 2006, pre-accession transactions were consistently rated by the Court of Auditors as unaffected 
by  material  error  (below  2%  of  error),  bearing  out  management’s  views  of  the  effectiveness  of  the 
control setup used. 

EN 

43 

   EN 

 
 
 
From  2007,  pre-accession  transactions  ceased  to  be  audited  by  the  Court  to  a  separate,  fully 
representative sample. The Court’s assessment has since merged the pre-accession population with that 
of all other external aid instruments. No statistical extrapolation has therefore been possible specifically 
for the pre-accession policy area and control setup since.  

Overall the Court has found overall errors in the range of 2 to 5% for the external aid instruments in the 
years since. 

Taking into account the elements reported in 2.2.3.2 above, it is therefore reasonable to expect that the 
control setup used for the pre-accession instrument strikes a correct balance between costs and benefits 
of  controls  and  should  ensure  that  the  internal  control  objective  of  less  than  2%  errors  on  overall 
expenditure can be consistently met in the future. 

Furthermore,  the  elements  of  simplification  and  added  flexibility  proposed  for  the  new  instrument 
should strengthen this assumption, as they reduce the likelihood of compliance errors.  

Conversely, new risks will arise as countries with relatively weak administrative capacity come in line 
for conferral of management in the next years. 

Even  if  it  is  difficult  to  quantify  the  combined  impact  of  both  the  enhancements  to  the  instrument’s 
design  and  the  added  risks,  it  is  plausible  to  assume  a  target  range  for  the  overall  internal  control 
objective similar to current results. 

In conclusion, the control setup seems finely balanced. Through finely tuned control plans expressed in 
managers’ risk-based annual assurance strategies, it allows for increases or decreases in variable costs 
as required by the evolving risk landscape, ensuring a steady cost-benefit balance. 

But  the  overall  control  setup  is  likely  to  be  very  sensitive  to  negative  variations  in  the  fixed  control 
costs, especially as these are not proposed to increase in line with overall expenditure.  

2.3.  Measures to prevent fraud and irregularities 

Specify existing or envisaged prevention and protection measures. 

Given  the  risk  environment  in  which  DG  ELARG  operates,  its  systems  need  to  anticipate  the 
occurrence  of  potential  compliance  error  in  transactions  and  build  in  prevention,  detection  and 
correction controls as early as possible in the procurement and payment process. This means in practice 
that  DG  ELARG’s  compliance  controls  will  place  most  reliance  on  significant  ex-ante  checks  by 
Commission staff on procurement transactions, as well as on systematic systems audits of decentralised 
payment  systems  (while  still  executing  some  ex-post  audits  and  checks),  going  well  beyond  the 
financial safeguards required by the Financial Regulation. DG ELARG compliance framework is made 
up of the following significant components: 

- Preventive measures 

- Compulsory core training covering fraud issues for aid management staff; 

- Provision of guidance (including via internet) including the Practical Guide to Contracts, and 

the management instructions provided under the Control Strategy framework of DG ELARG; 

EN 

44 

   EN 

 
 
 
-  Ex-ante  audit  of  national  implementing  authorities  prior  to  conferral  of  management, 
including an assessment to ensure that appropriate anti-fraud measures to prevent and detect fraud in 
the management of EU funds are in place in the authorities managing the relevant funds, 

- Ex-ante screening of the anti-fraud mechanisms available in the beneficiary country as part of 
the assessment of the  eligibility criterion of public finance management for receiving budget support 
(i.e. active commitment to fight fraud and corruption, adequate inspection authorities, sufficient judicial 
capacity and efficient response and sanction mechanisms), 

-  Ex-ante  controls  of  all  nationally  procured  contracts;  waived  after  national  systems  meet 

stringent management and control benchmarks; 

- Detective and corrective measures 

- Ex-ante transaction checks performed by Commission staff; 

- Internal and external audits and verifications, including by the European Court of Auditors; 

- Retrospective checks and recoveries. 

In addition where irregularity is suspected to be intentional (fraud) DG ELARG has other measures as 
its disposal including: 

- Suspension of time-limit for payments and notification to the entity; 

- Specific audits (ad hoc/forensic audit); 

- Early Warning System & reinforced monitoring of contracts; 

- Suspension/termination of contract; 

- Exclusion procedure. 

- Suspension of servicing requests for funds by national funds; 

- Suspension or removal of conferral of management 

DG  ELARG  will  further  devise  its  anti-fraud  strategy  in  line  with  the  Commission's  new  anti-fraud 
strategy (CAFS) adopted on 24 June 2011. 

EN 

45 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
3. 

3.1. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

Heading(s)  of  the  multiannual  financial  framework  and  expenditure  budget  line(s) 
affected  

– 

Existing expenditure budget lines  

In order of multiannual financial framework headings and budget lines. 

Budget line 

Type of 
expenditu
re 

Contribution  

Heading 
of 
multiann
ual 
financial 
framewor
k 

Number  
[Description] 

Heading 
4 

04 01 04 13 
Instrument for Pre-Accession Assistance 
(IPA) - Human resources component - 
Expenditure on administrative management 

Heading 
4 

04 06 01 
Instrument for Pre-Accession Assistance 
(IPA) - Human resources development 

Heading 
4 

05 01 04 03 
Pre-accession assistance in the field of 
Agriculture and Rural Development (IPARD) 
— Expenditure on administrative management 

Heading 
4 

05 05 02 
Instrument for Pre-accession Assistance for 
Rural Development (IPARD) 

Heading 
4 

13 01 04 02 
Instrument for Pre-Accession Assistance 
(IPA) - Regional development component – 
Expenditure on administrative management 

Heading 
4 

13 05 02 
Instrument for Pre-Accession Assistance 
(IPA) - Regional development component 

DA/NDA
(32) 

from 
EFTA33 
countrie
s 

from 
candidate 
countries
34 

from 
third 
countries 

within the 
meaning of 
Article 
18(1)(aa) of 
the Financial 
Regulation  

NDA 

NO 

NO 

NO 

NO 

DA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

DA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

DA 

NO 

NO 

NO 

NO 

NO 

Heading  13 05 03 01 

Cross-border cooperation (CBC) - 

DA 

NO 

NO 

NO 

32 
33 
34 

DA= Differentiated appropriations / DNA= Non-Differentiated Appropriations 
EFTA: European Free Trade Association.  
Candidate countries and, where applicable, potential candidate countries from the Western Balkans. 

EN 

46 

   EN 

 
 
                                                 
4 

Contribution from Subheading 1-b 

Heading 
4 

13 05 03 02 
Cross-border cooperation (CBC) and 
participation of candidate and potential 
candidate countries in Structural Funds’ 
transnational and interregional cooperation 
programmes — Contribution from Heading 4 

Heading 
4 

22 01 04 01 
Pre-accession assistance — Expenditure on 
administrative management 

Heading 
4 

22 01 04 04 
Technical Assistance and Information 
Exchange (TAIEX) facility for pre-accession 
— Expenditure on administrative management 

Heading 
4 

22 01 04 30 
Education, Audiovisual and Culture Executive 
Agency — Contribution from programmes 
under heading 4 in the Enlargement’ policy 
area 

Heading 
4 

22 02 01 
Transition and institution building 
assistance to candidate countries 

Heading 
4 

22 02 02 
Transition and institution building 
assistance to potential candidate countries 

Heading 
4 

22 02 03 
Interim civilian administrations in the 
western Balkans 

Heading 
4 

22 02 04 01 
Cross-border cooperation (CBC) between IPA 
countries and participation in ERDF 
transnational/ interregional programmes and 
ENPI sea basins programmes 

Heading 
4 

22 02 04 02 
Cross-border cooperation (CBC) with 
Member States 

Heading 
4 

22 02 06 
Technical Assistance and Information 
Exchange (TAIEX) facility for pre-accession 

Heading 
4 

Heading 
4 

Heading 

22 02 07 01 
Regional and horizontal programmes 

22 02 07 02 
Evaluation of results of Union aid, follow-up 
and audit measures 
22 02 10 02 
Information and communication for third 
countries 

DA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

YES 

NDA 

NO 

NO 

NO 

YES 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

EN 

47 

   EN 

 
4 

Heading 
4 

22 02 07 03 
Financial support for encouraging the 
economic development of the Turkish Cypriot 
community 

Heading 
4 

32 04 11 
Energy Community 

NDA 

NO 

NO 

NO 

NO 

NDA 

NO 

NO 

NO 

NO 

– 

New budget lines requested  

In order of multiannual financial framework headings and budget lines. 

The budget for IPA II will be organised according to article 41 of the Financial Regulation. While the 
total allocation for this legal instrument serves the enlargement policy, the management of the relevant 
activities  is  shared  between  DG  ELARG,  DG  REGIO,  DG  EMPL  and  DG  AGRI.  Each  of  these 
services is to assume responsibility for their respective policy area(s), without prejudice to the overall 
coordination role of DG ELARG. 

To that purpose, the total IPA II allocations will be shared out between the policy areas, ensuring an 
appropriate policy mix, in line with the needs of the beneficiary countries and in common agreement 
between  the  four  DG's.  Where  necessary  for  ensuring  efficient  implementation  of  the  strategic 
documents  and  of  the  budget,  transfers  between  policy  areas  will  be  possible,  in  agreement  with  the 
service(s) responsible for the policy area(s) concerned. 

A seamless transition from IPA to IPA II for an effective and efficient completion of assistance under 
IPA will be ensured. 

Details  on  the  budget  structure  to  ensure  consistency  with  the  activity-based  budgeting  and 
management principles will be proposed in the draft budget 2014. 

EN 

48 

   EN 

 
 
3.2. 

Estimated impact on expenditure  

3.2.1. 

Summary of estimated impact on expenditure 

Heading of multiannual financial 
framework:  

4 

Global Europe 

EUR million (to 3 decimal places) 

DG: AGRI/ELARG/EMPL/REGIO 

2014 

2015 

2016 

2017 

2018 

2019 

2020 

TOTAL 

(cid:121) Operational appropriations  

22  02  Financial  assistance  to  candidate 
countries/potential candidates 
04 06 01 Human resources 
05 05 02 Rural development 
13 05 02 Regional development 
13 05 03 CBC 
32 04 11Energy community 

22 02 07 03 Financial support for encouraging 
the economic development of the Turkish 
Cypriot community36 

Appropriations 
of 
 from the envelope of specific programs37  

an 

administrative 

Commitments 

(1) 

1842,5 

1879,4 

1917,0 

1955,3 

1994,4 

2034,3 

2075,6 

13698,6 

Payments35 

(2) 

368,5 

1112,9 

1872,2 

1909,6 

1947,8 

1986,8 

2026,6 

11224,4 

Commitments 

(1a) 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

Payments 

(2a) 

nature 

financed 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

35 
36 

EN 

Payments related to the new IPA instrument only 
Until the adjustment foreseen in the second paragraph of article 11 of the Council Regulation laying down the multiannual financial framework for the years 
2014-2020  has  taken  place,  financial  needs  for  the  support  to  the  Turkish  Cypriot  community  will  be  covered  from  the  overall  envelope  allocated  to  the 
Instrument for Pre-accession Assistance. 

49 

E

 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
22 01 04 01/04/30 
04 01 04 13 
05 01 04 03 
13 01 04 02 

(3) 

55,4 

56,5 

57,7 

58,8 

60,0 

61,2 

61,8 

411,4 

TOTAL appropriations 
for DG ELARG/AGRI/EMPL/REGIO 

Commitments 

Payments 

=1+1
a +3 

=2+2
a 

+3 

1898,0 

1935,9 

1974,6 

2014,1 

2054,4 

2095,5 

2137,4 

14110,1 

423,9 

1169,4 

1929,8 

1968,4 

2007,8 

2048,0 

2088,5 

11635,8 

Commitments 

(4) 

1842,5 

1879,4 

1917,0 

1955,3 

1994,4 

2034,3 

2075,6 

13698,6 

(cid:121) TOTAL operational appropriations  

Payments 

(cid:121)  TOTAL  appropriations  of  an  administrative  nature  financed 
from the envelop of specific programs  

TOTAL appropriations  
under HEADING 4 
of the multiannual financial framework 

Commitments 

Payments 

(5) 

(6) 

=4+ 
6 

=5+ 
6 

368,5 

1112,9 

1872,2 

1909,6 

1947,8 

1986,8 

2026,6 

11224,4 

55,4 

56,5 

57,7 

58,8 

60,0 

61,2 

61,8 

411,4 

1898,0  1935,9  1974,6  2014,1  2054,4  2095,5  2137,4 

14110,1 

423,9 

1169,4 

1929,8 

1968,4 

2007,8 

2048,0 

2088,5 

11635,8 

37 

EN 

Technical and/or administrative assistance and expenditure in support of the implementation of EU programmes and/or actions (former "BA" lines), indirect 
research, direct research. 

50 

E

 
  
 
 
 
 
 
                                                                                                                                                                                                                                   
Heading of multiannual financial 
framework:  

5 

ADMINISTRATIVE EXPENDITURE 

2014 

2015 

2016 

2017 

2018 

2019 

2020 

TOTAL 

EUR million (to 3 decimal places) 

DG: ELARG/AGRI/REGIO/EMPL 

(cid:121) Human resources  

27,0 

26,1 

25,7 

25,7 

25,7 

25,7 

25,7 

(cid:121) Other administrative expenditure  

0,8 

0,8 

0,8 

0,8 

0,8 

0,8 

0,8 

181,5 

5,3 

TOTAL DG ELARG/ 
AGRI/REGIO/EMPL 

27,7 

26,8 

26,5 

26,4 

26,4 

26,4 

26,4 

186,8 

TOTAL appropriations 
under HEADING 5 
of the multiannual financial framework  

(Total 
= Total payments) 

commitments 

27,7 

26,8 

26,5 

26,4 

26,4 

26,4 

26,4 

186,8 

EUR million (to 3 decimal places) 

2014 

2015 

2016 

2017 

2018 

2019 

2020 

TOTAL 

TOTAL appropriations  
under HEADINGS 1 to 5 
of the multiannual financial framework  

Commitments 

1925,7 

1962,7 

2001,1 

2040,6 

2080,9 

2122,0 

2163,9 

14296,8 

Payments 

451,7 

1196,2 

1956,3 

1994,9 

2034,2 

2074,4 

2114,9 

11822,6 

EN 

51 

E

 
  
 
 
 
 
 
 
 
 
 
 
3.2.2.  Estimated impact on operational appropriations  

Costs are at this stage uncertain or variable, due to  the upcoming stage  of programming, of 
which we can not prejudge the results. Therefore, estimation of unit costs cannot be provided 
at this stage. Outputs cannot be quantified in purely numeric terms, as progress is measured 
related to the progress of the countries in their path for EU accession. Estimates of costs and 
unit  costs  will  be  provided  based  on  a  needs  assessment  once  country  and  multi-country 
strategy documents are prepared and approved. 

(cid:133) 

(cid:58) 

The proposal/initiative does not require the use of operational appropriations  

The proposal/initiative requires the use of operational appropriations 

3.2.3.  Estimated impact on appropriations of an administrative nature 

3.2.3.1.  Summary  

The  proposal/initiative  does  not 

(cid:133) 
appropriations  

require 

the  use  of  administrative 

⌧  The  proposal/initiative  requires  the  use  of  administrative  appropriations,  as 
explained below: 

To  be  noted:  Figures  for  Heading  5  include  data  regarding  DG  ELARG  and  EU 
Delegations  and  DG  AGRI/REGIO/EMPL.  Figures  for  Heading  4  include  data 
regarding DG ELARG/EMPL/AGRI/REGIO.  

EUR million (to 3 decimal places) 

2014 

2015 

2016 

2017 

2018 

2019 

2020 

TOTAL

HEADING 5 
of the multiannual 
financial framework 

Human resources  

27,0 

26,1 

25,7 

25,7 

25,7 

25,7 

25,7 

181,5 

0,8 

0,8 

0,8 

0,8 

0,8 

0,8 

0,8 

5,3 

27,7 

26,8 

26,5 

26,4 

26,4 

26,4 

26,4 

186,8 

Other administrative 
expenditure  

Subtotal HEADING 
5 
of the multiannual 
financial framework  

Outside 
HEADING 538 
of the multiannual 

38 

Technical  and/or  administrative  assistance  and  expenditure  in  support  of  the  implementation  of  EU 
programmes and/or actions (former "BA" lines), indirect research, direct research. 

EN 

52 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
financial framework  

Human resources  

49,9 

50,9 

52,0 

53,0 

54,1 

55,1 

55,7 

370,6 

Other expenditure  
of an administrative 
nature 

Subtotal  
outside HEADING 
5 
of the multiannual 
financial framework  

5,5 

5,6 

5,7 

5,8 

5,9 

6,1 

6,2 

40,8 

55,4 

56,5 

57,7 

58,8 

60,0 

61,2 

61,8 

411,4 

TOTAL 

83,2 

83,3 

84,1 

85,3 

86,4 

87,6 

88,3 

598,2 

EN 

53 

   EN 

 
 
 
3.2.3.2.  Estimated requirements of human resources  

(cid:133) 

(cid:58) 

The proposal/initiative does not require the use of human resources  

The proposal/initiative requires the use of human resources, as explained below: 

To be noted: Numbers of Heading 5 staff include data regarding DG ELARG and EU Delegations, DG AGRI/EMPL/REGIO headquarters 
and also include the reduction of posts related to the Phasing out of the Croatia delegations. ]. 

Numbers of Heading 4 staff include data regarding DG ELARG/EMPL/AGRI/REGIO  

Estimate to be expressed in full amounts (or at most to one decimal place) 

2014 

2015 

2016 

2017 

2018 

2019 

2020 

(cid:121) Establishment plan posts (officials and temporary agents) 

108,0 

107,0 

105,0 

105,0 

105,0 

105,0 

105,0 

10,9 

10,9 

10,5 

10,5 

10,5 

10,5 

10,5 

9 

13 

9 

13 

9 

13 

9 

13 

9 

13 

9 

13 

9 

13 

22 01 01 01 
(Headquarters and 
Commission’s 
Representation Offices) 

04 01 01 01 
(Headquarters and 
Commission’s 
Representation Offices) 

05 01 01 01 
(Headquarters and 
Commission’s 
Representation Offices) 

13 01 01 01 
(Headquarters and 
Commission’s 
Representation Offices) 

EN 

54 

EN 

 
  
 
 
22 01 01 02 
(Delegations)39 

22 01 05 01 (Indirect 
research) 

10 01 05 01 (Direct 
research) 

22 01 02 01 (CA, INT, 
SNE from the "global 
envelope") 

04 01 02 01 (CA, INT, 
SNE from the "global 
envelope") 

05 01 02 01 (CA, INT, 
SNE from the "global 
envelope") 

13 01 02 01 (CA, INT, 
SNE from the "global 
envelope") 

22 01 02 02 (CA, INT, 
JED, LA and SNE in the 
delegations) 

22 01 
04 

- at 
Headquarters42 

46,0 

40,0 

na 

na 

na 

na 

40,0 

na 

na 

40,0 

na 

na 

40,0 

na 

na 

40,0 

na 

na 

40,0 

na 

na 

(cid:121) External personnel (in Full Time Equivalent unit: FTE)40 

18,6 

18,5 

18,3 

18,1 

18,1 

18,1 

18,1 

- 

2,9 

3.5 

- 

2,9 

3.5 

- 

2,9 

3.5 

- 

2,9 

3.5 

17,7 

17,5 

17,3 

17,2 

102,3 

100,1 

98 

96 

- 

2,9 

3.5 

17,2 

93,9 

- 

2,9 

3.5 

17,2 

91,9 

- 

2,9 

3.5 

17,2 

90 

39 
40 

EN 

Including 5 FTE for the completion and monitoring of IPA assistance in Croatia in 2014. 
CA= Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune Expert en Délégation" (Young Experts in Delegations); LA= Local Agent; SNE= Seconded National 
Expert;  

55 

EN 

 
  
                                                 
01/04 
41 

- in delegations 

399,5 

400,6 

401,7 

402,8 

403,9 

404,9 

405,9 

04 01 04 13 in delegations 

13,2 

05 01 04 03 in delegations 

5 

13 01 04 02 in delegations 

39,7 

22 01 05 02 (CA, INT, 
SNE - Indirect research) 

10 01 05 02 (CA, INT, 
SNE - Direct research) 

Other budget lines 
(specify) 

na 

na 

na 

13,3 

5 

39,8 

na 

na 

na 

13,3 

5 

39,9 

na 

na 

na 

13,3 

5 

40,0 

na 

na 

na 

13,4 

5 

40,1 

na 

na 

na 

13,4 

5 

40,2 

na 

na 

na 

13,4 

5 

40,3 

na 

na 

na 

TOTAL 

789,3 

781 

777,3 

776,2 

775,3 

774,5 

773,7 

The human resources required will be met by staff from the DG who are already assigned to management of the action and/or have been redeployed 
within the DG, together if necessary with any additional allocation which may be granted to the managing DG under the annual allocation procedure 
and in the light of budgetary constraints. 

Description of tasks to be carried out: 

Officials and temporary agents  Planning,  programming,  management  and  monitoring  of  financial 

41 

42 

EN 

Under the ceiling for external personnel from operational appropriations (former "BA" lines). 
This budget line also includes a provision of 22 FTE for the implementation, monitoring and phasing out of assistance to the Turkish Cypriot community. This provision 
will be discontinued and transferred to the relevant title of the budget once the adjustment foreseen in the second paragraph of article 11 of the Council Regulation laying 
down the multiannual financial framework for the years 2014-2020 has taken place. 
Essentially for Structural Funds, European Agricultural Fund for Rural Development (EAFRD) and European Fisheries Fund (EFF). 

56 

EN 

 
  
 
                                                                                                                                                                                                                                                    
 
assistance 

External personnel 

Planning,  programming,  management  and  monitoring  of  financial 
assistance 

EN 

57 

EN 

 
  
3.2.4.  Compatibility with the multiannual financial framework 2014-2020  

(cid:58) 

Proposal/initiative is compatible the multiannual financial framework 2014-2020. 

Proposal/initiative will entail reprogramming of the relevant heading in the multiannual 

(cid:133) 
financial framework. 

Explain  what  reprogramming  is  required,  specifying  the  budget  lines  concerned  and  the 
corresponding amounts. 

Proposal/initiative  requires  application  of  the  flexibility  instrument  or  revision  of  the 

(cid:133) 
multiannual financial framework43. 

Explain  what  is  required,  specifying  the  headings  and  budget  lines  concerned  and  the 
corresponding amounts. 

3.2.5.  Third-party contributions  

(cid:58) 

(cid:133) 

The proposal/initiative does not provide for co-financing by third parties  

The proposal/initiative provides for the co-financing estimated below: 

Appropriations in EUR million (to 3 decimal places) 

Year 
N 

Year 
N+1 

Year 
N+2 

Year 
N+3 

… enter as many years as 
necessary to show the 
duration of the impact (see 
point 1.6) 

Total 

Specify the co-
financing body  

TOTAL 
appropriations 
cofinanced  

43 

See points 19 and 24 of the Interinstitutional Agreement. 

EN 

58 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.3. 

Estimated impact on revenue  

(cid:58) 

(cid:133) 

(cid:133) 

(cid:133) 

Proposal/initiative has no financial impact on revenue. 

Proposal/initiative has the following financial impact: 

on own resources  

on miscellaneous revenue  

Appropriat
ions 
available 
for the 
ongoing 
budget 
exercise 

Budget revenue 
line: 

Article …………. 

EUR million (to 3 decimal places) 

Impact of the proposal/initiative44 

Year 
N 

Year 
N+1 

Year 
N+2 

Year 
N+3 

… insert as many columns as 
necessary in order to reflect the 
duration of the impact (see 
point 1.6) 

For miscellaneous assigned revenue, specify the budget expenditure line(s) affected. 

Specify the method for calculating the impact on revenue. 

44 

As regards traditional own resources (customs duties, sugar levies), the amounts indicated must be net amounts, i.e. 
gross amounts after deduction of 25% for collection costs. 

EN 

59 

   EN