Experience of Accessing EU Experience of Accessing EU Financial Support inFinancial Support in

Lithuania Lithuania

4th PG Funding Meeting4th PG Funding Meeting

2007-04-19, Paris2007-04-19, Paris

EU Community Funding Programs EU Community Funding Programs in the Lithuanian Road Sectorin the Lithuanian Road Sector

To To develop the Lithuanian road network develop the Lithuanian road network EU ISPA (2000-2004), ERDF and EU ISPA (2000-2004), ERDF and Cohesion Fund (since 2004) haCohesion Fund (since 2004) haveve been been used.used.

These funds haThese funds haveve been used for trans- been used for trans-European transport network (TEN-T), main European transport network (TEN-T), main and local roads development.and local roads development.

EU support EU support for Lithuania in 2004-2006for Lithuania in 2004-2006 and and 2007-20132007-2013

In 2000-2006In 2000-2006,, the total EU funds the total EU funds sum of support for the sum of support for the development of the Lithuanian development of the Lithuanian road sector was approximately road sector was approximately 194,9 MEUR.194,9 MEUR.

In 2007–2013, Lithuania expects In 2007–2013, Lithuania expects about 590,2 MEUR from EU funds.about 590,2 MEUR from EU funds.

Similarities and differences among EU Cohesion, Regional Similarities and differences among EU Cohesion, Regional DevelopmentDevelopment and other Funds for development of the roadand other Funds for development of the road

networknetwork

CF can be used only for the main roads CF can be used only for the main roads belonging to the trans-European transport belonging to the trans-European transport network.network.

CF project cost must be over 10 MEURCF project cost must be over 10 MEUR CF project must be approved by EC.CF project must be approved by EC. ERDF program has been implemented for main ERDF program has been implemented for main

roads.roads. There are differences in financial, monitoring There are differences in financial, monitoring

and reporting systems and eligibility criteria.and reporting systems and eligibility criteria. The overall project management and supervision The overall project management and supervision

are similar.are similar.

Main principles of preparation for Main principles of preparation for financing with EU supportfinancing with EU support (1) (1)

IIn Lithuania transport projects n Lithuania transport projects to beto be proposed for financing under the proposed for financing under the Cohesion Fund regulations Cohesion Fund regulations are are identified and selected according to the identified and selected according to the Single Programming Document (SPD). Single Programming Document (SPD).

Main principles of preparation for Main principles of preparation for financing with EU supportfinancing with EU support (2) (2)

In selection of projects, In selection of projects, LithuaniaLithuania will give will give priority priority to to the measures facilitating: the measures facilitating:

Development of connections with EU countries;Development of connections with EU countries; Projects included in the future TEN-T network;Projects included in the future TEN-T network; Connections along the Pan-European Transport Connections along the Pan-European Transport

Corridors;Corridors; Remove bottlenecks along the network;Remove bottlenecks along the network; Connections to the future TEN-T network in certain Connections to the future TEN-T network in certain

justified cases;justified cases; Projects to be co-financed from ERDF should seek Projects to be co-financed from ERDF should seek

to improve access to regional centres, improve to improve access to regional centres, improve safety and environmental situation in transport safety and environmental situation in transport sector.sector.

SPD implementation problemsSPD implementation problems

Insufficient rate of contracting has resulted Insufficient rate of contracting has resulted from time-consuming SPD administration from time-consuming SPD administration stages: stages:

1) preparation and approval of the 1) preparation and approval of the documentation for the calls for proposals; documentation for the calls for proposals;

2) evaluation and selection of applications. 2) evaluation and selection of applications.

ReasonsReasons

The main reasons delaying the above-The main reasons delaying the above-mentioned SPD administration stages:mentioned SPD administration stages: insufficient human resources in the institutions insufficient human resources in the institutions

in charge of the SPD administration in charge of the SPD administration (Implementing Agencies, Intermediate Bodies (Implementing Agencies, Intermediate Bodies and the Managing Authority); and the Managing Authority);

lack of experience; lack of experience; insufficient quality of the submitted insufficient quality of the submitted

applications. applications.

Insufficient rate of absorption has Insufficient rate of absorption has resulted from:resulted from:

objective project implementation objective project implementation reasonsreasons;;

deficiencies of the national legal deficiencies of the national legal basebase;;

time-consuming declaration time-consuming declaration procedureprocedure..

Problem solution optionsProblem solution options

The SPD Managing Authority has made steps The SPD Managing Authority has made steps leading to a successful solution of the above-leading to a successful solution of the above-mentioned SPD implementation problems: mentioned SPD implementation problems: it has been allowed to the SPD administration it has been allowed to the SPD administration

institutions to recruit staff and experts, organise staff institutions to recruit staff and experts, organise staff training as well as training of the applicants and training as well as training of the applicants and project operators by using the Technical Assistance project operators by using the Technical Assistance resources;resources;

the SPD Administration and Financing Rules have the SPD Administration and Financing Rules have been revised;been revised;

meetings of the SPD Monitoring Committee have meetings of the SPD Monitoring Committee have been organised to make decisions concerning been organised to make decisions concerning reallocation of funds between the SPD measures; reallocation of funds between the SPD measures;

Problem solution options (Problem solution options (2)2)

amendments to Resolution of the Government amendments to Resolution of the Government of the Republic of Lithuania on maximum of the Republic of Lithuania on maximum commitments that could be made by the commitments that could be made by the appropriation managers by entering into grant appropriation managers by entering into grant agreements have been initiated;agreements have been initiated;

the SPD and the SPD Complement have the SPD and the SPD Complement have been amended affecting efficiency and rate of been amended affecting efficiency and rate of absorption;absorption;

replies to the enquiries of the SPD replies to the enquiries of the SPD administration institutions were being administration institutions were being provided. provided.

ConclusionConclusion

The main problems relating to the SPD The main problems relating to the SPD implementation in 2005 were: implementation in 2005 were: insufficient rate of contracting insufficient rate of contracting absorption of support.absorption of support.

It may be partly explained by the fact that It may be partly explained by the fact that Lithuania has just started using the Lithuania has just started using the support of the EU Structural Funds and support of the EU Structural Funds and has had no such experience before. has had no such experience before.

PostscriptPostscript

To our knowledge, all countries which To our knowledge, all countries which joined EU in 2004 face the same joined EU in 2004 face the same problems. problems.

However, we do not have enough However, we do not have enough information about other countries, information about other countries, especially the more experienced ones. especially the more experienced ones.

Thank You for Your AttentionThank You for Your AttentionVytautas LINGAITISVytautas LINGAITIS

2007-04-192007-04-19