EUROPEAN COMMISSION
Brussels, 12.10.2011
COM(2011) 641 final
COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN
PARLIAMENT AND THE COUNCIL
INSTRUMENT FOR PRE-ACCESSION ASSISTANCE (IPA)
REVISED MULTI-ANNUAL INDICATIVE FINANCIAL FRAMEWORK FOR 2012-
2013
Introduction
The Multi-Annual Indicative Financial Framework (MIFF) for the Instrument of Pre-
Accession Assistance (IPA) is designed to provide information on the indicative breakdown
of the overall IPA envelope proposed by the Commission in accordance with Article 5 of the
IPA Regulation (EC) 1085/2006. It acts as the link between the political framework within the
enlargement package and the budgetary process. The Multi-Annual Indicative Planning
Documents (MIPD) established for each beneficiary country and for the multi-beneficiary
programme, through which pre-accession aid is delivered, take into account the indicative
breakdown proposed in the MIFF.
The MIFF is based on a rolling three-year programming cycle. Under normal circumstances, a
MIFF for years N, N+1 and N+2 will be presented in the last quarter of year N-2 as part of the
enlargement package, representing a proposed financial translation of the political priorities
set out within the package itself, taking into consideration the Financial Framework. As 2013
represents the last budgetary year of IPA, this MIFF covers only changes foreseen in the two
last years of the current multiannual financial framework, i.e. 2012-2013. It indicates the
allocation of the envelope for pre-accession assistance by country and by component for these
years, and also gives an indication of the multi-beneficiary programme envelope and support
expenditure.
As in previous years, the MIFF is published based on the current status of the countries
concerned and thus does not at this stage pre-empt any decision by the Council on the
Opinions presented with the enlargement package or a likely date of accession for any
candidate country. As such, it reflects the change of status of Montenegro which became a
candidate country in December 20101, as well as the anticipated date of accession of Croatia
on 1 July 2013. If any significant amendment to this MIFF would be needed before the next
annual revision of the MIFF in autumn 2012, the Commission would publish an amended
version at the appropriate time.
The overall political priorities for pre-accession are set out in the Accession and European
Partnerships, the annual progress reports and the enlargement strategy paper contained in the
enlargement package presented to the European Parliament and the Council each year.
Strategic Financial Programming
1.
ALLOCATION OF FUNDS BETWEEN COUNTRIES
The starting point for allocations in 2007 was a commitment by the Commission to ensure
that no beneficiary country would receive less in 2007 than they did in 2006 and furthermore
that Bosnia and Herzegovina and Albania should receive no less than the annual average of
the funding each received between 2004 and 2006. This latter point reflected the fact that the
funding for these countries was frontloaded in 2004.
1
Opening of components III, IV and V for Montenegro is subject to the adoption by the Council and
European Parliament of the amendment to Regulation No 1085/2006 as proposed by the Commission
(COM(2011)446 of 20 July 2011).
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The figures for 2008 onwards have been calculated on the basis of per-capita allocations
which have been quoted in the past as a proxy for needs and impact. Against this measure, the
per capita levels for each of the potential candidates of the Western Balkans increased during
the course of the current financial framework to above the 2004-2006 per capita average of
€23 (in 2004 prices) received under CARDS. The global breakdown of funds between
countries has been respected with the exception of Kosovo2 which received increased IPA
funding. In 2008, €60 million were granted by the budget authority as part of a wider
mobilisation of new funds to support the stability and development of Kosovo. This was
supplemented by a transfer of a further €60 million from unused macro-financial assistance
(MFA) appropriations. In 2009, an additional €40 million was committed as a follow up of
the Donors' Conference which took place in July 2008.
For Croatia and the former Yugoslav Republic of Macedonia, as candidate countries, a level
of over €30 per capita (in 2004 prices) is allocated. This level is maintained across the period
for Croatia. Given the expected accession date of Croatia on 1 July 2013, the allocation for
Croatia under IPA will be reduced to half the amounts originally foreseen, except for rural
development where the full 2013 allocation will be maintained at the level originally
envisaged for 2013. The Commission will present a proposal for a revision of the financial
framework for 2013 as soon as the Accession Treaty is signed, pursuant to point 29 of the
Interinstitutional Agreement of 17 May 2006 on budgetary discipline and sound financial
management. For the former Yugoslav Republic of Macedonia, the funding in per capita
terms continues to increase, reflecting a minimum level of funding needed for building
adequate administrations, irrespective of the size of the country.
For Montenegro, the per capita levels of funding are higher than for the potential candidate
countries, reflecting a minimum level of funding needed for adequate administrations,
irrespective of the size of the country.
For Turkey, taking into account the size and absorption capacity of the country, there is a
gradual increase in per capita levels of assistance over the period 2007-2013.
As for Iceland, the
degree of its alignment with EU legislation through the European
Economic Area Agreement and its level of economic and social development make the
country an exception among candidate countries. For this reason it was agreed that the
country will receive IPA assistance exclusively under Component I, managed by the
Commission. The funding covers three years and began in 2011.
2.
ALLOCATIONS BETWEEN COMPONENTS
IPA is delivered through the following five components: I – Transition and Institution
Building; II – Cross-border cooperation; III – Regional Development; IV – Human Resources
Development; and V – Rural Development.
Component I, Transition Assistance and Institution Building, covers all institution-building
actions and the investments related to the
acquis; it helps beneficiary countries build up
administrative and judicial capacity and addresses, according to priority, cooperation
measures not expressly covered by other components.
2
Under United Nations Security Council Resolution 1244/99
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Component II, Cross-Border Cooperation, supports cross-border activities among beneficiary
countries and between beneficiary countries and Member States; it also covers the
participation of IPA beneficiaries in ERDF trans-national co–operation programmes and in
ENPI sea-basin programmes, as appropriate.
Components III to V are accessible only to candidate countries and aim to prepare these
countries for the programming, implementation and management of Structural, Cohesion and
Rural Developments Funds upon accession by approximating, to the greatest extent possible
under External Aid rules, the implementation methods of these funds. Specifically,
component III, Regional Development, emulates to the greatest extent possible the ERDF and
Cohesion Fund. Component IV, Human Resources Development prepares candidate countries
for the European Social fund, in the framework of the European Employment Strategy.
Component V, Rural Development, helps the candidate countries prepare for post-accession
EU-funded rural development programmes by implementing pre-accession assistance through
systems which are as similar as possible to those required post accession.
In determining the allocations between components, due account has been taken of the
readiness of the decentralised management systems necessary for the implementation of
components III, IV and V in the current candidate countries as well as the need for component
II funding as it relates to cross-border cooperation with Member States to match that of the
equivalent ERDF funding from heading 1b.
3.
OTHER ALLOCATIONS
Support expenditure
This envelope covers the administrative costs directly linked to the implementation of IPA.
Multi-beneficiary programme allocations
The multi-beneficiary programmes under component I are designed to complement the
national programmes and to strengthen multilateral relations in the Western Balkans and
Turkey. The strategy focuses on areas identified as crucial for European integration and
stability in the region and issues on which the countries need to cooperate. Programmes with a
regional impact, and / or those which can benefit from economies of scale or scope if
implemented horizontally across a number of beneficiary countries, are funded under this
envelope.
Multi-beneficiary programmes support, inter alia the Regional School for Public
Administration, the Central European Free Trade Agreement (CEFTA), the Regional
Cooperation Council (RCC), fight against organised crime, ERASMUS scholarships and
higher education. They also provide a basis for the Civil Society Facility which combines
support from both the national and multi-beneficiary IPA programmes. Institution-building
for the Western Balkans, Turkey and Iceland is supported via the TAIEX instrument, and
allocations are made for audits and evaluation of regional and national programmes, as well as
for information and communication activities. Investment needs for SMEs, energy efficiency
and infrastructure development, delivered in close collaboration with the European
Investment Bank and other International Financial Institutions (IFIs), will continue to be
supported with a substantial part of the regional and horizontal allocation. This support will
be coordinated under the Western Balkan Investment Framework, set up at the end of 2009 to
enhance coordination and cooperation among donors and IFIs actively engaged in the
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Western Balkans. From 2010, part of component II, namely the participation of countries in
ERDF trans-national programmes " Mediterranean" and "South-East Europe" is also
implemented on a multi-beneficiary basis for ease of implementation.
Presentation of the figures
The following table provides the above figures in
current prices and in
Euro. It shows the
allocations by country and by component, as well as for the multi-beneficiary programme and
support expenditure. The final commitment figures for previous years as well as updated
figures for 2011 are included for ease of reference.
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Revised Multi-Annual Indicative Financial Framework: Breakdown of the Instrument for Pre-Accession Assistance envelope for 2012-2013 into allocations by country and component
Component
2007 2008 2009 2010 2011 2012 2013
Candidate countries
CROATIA
Transition Assistance and
49,611,775 45,374,274
45,601,430
39,483,458 39,959,128
39,969,161
19,256,943
Institution Building
Cross-border Co-operation
9,688,225 14,725,726
15,898,570
15,601,136 15,869,158
16,442,542
8,499,192
Regional Development
45,050,000 47,600,000
49,700,000
56,800,000 58,200,000
57,578,127
31,000,000
Human Resources
11,377,000 12,700,000
14,200,000
15,700,000 16,000,000
16,040,000
9,000,000
Development
Rural Development
25,500,000 25,600,000
25,800,000
26,000,000 26,500,000
26,151,182
27,700,000
TOTAL
141,227,000 146,000,000
151,200,000
153,584,594 156,528,286
156,181,012
95,456,1353
FORMER YUGOSLAV REPUBLIC OF MACEDONIA
Transition Assistance and
41,641,613 41,122,001
39,310,500 36,917,068 28,803,410
27,209,161
27,941,228
Institution Building
Cross-border Co-operation
4,158,387 4,077,999
4,371,501
4,467,526 5,124,876
5,033,373
5,243,041
Regional Development
7,400,000 12,300,000
20,800,000
29,400,000 39,300,000
41038532
51,800,000
Human Resources
3,200,000 6,000,000
7,100,000
8,400,000 8,800,000
10,380,000
11,200,000
Development
Rural Development
2,100,000 6,700,000
10,200,000
12,500,000
16,000,000
18,221,815
21,028,000
TOTAL
58,500,000 70,200,000
81,782,001 91,684,594 98,028,286
101,882,881
117,212,269
3
50% of the initial 2013 allocation for Components I to IV and 100% of the initial allocation for Component V
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Component
2007 2008 2009 2010 2011 2012 2013
ICELAND
Transition Assistance and
12,000,000
12,000,000
6,000,000
Institution Building
TOTAL
12,000,000
12,000,000
6,000,000
MONTENEGRO
Transition Assistance and
27,490,504 28,112,552
29,832,1794 29,838,823 29,843,599
16,346,471
5,238,958
Institution Building
Cross-border Co-operation
3,909,496 4,487,448
4,667,821
3,682,690 4,310,344
4,588,551
4,418,687
Regional Development
8,000,000
15,200,000
Human Resources
2,800,000
2,957,077
Development
Rural Development
3,300,000
7,600,000
TOTAL
31,400,000 32,600,000
34,500,000 33,521,513 34,153,943
35,035,022
35,414,722
TURKEY
Transition Assistance and
256,702,720 256,125,297
239,550,810
217,809,826 231,268,023
227,499,161
246,281,891
Institution Building
4
Includes €1.2 million additional funds recovered from previous programmes.
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Cross-border Co-operation
2,097,280 2,874,709
3,049,190
3,090,174 5,131,977
2,174,617
2,218,109
Regional Development
167,500,000 173,800,000
182,700,000
238,100,000 293,400,000
356,836,341
378,000,000
Human Resources
50,200,000 52,900,000
55,600,000
63,400,000 77,600,000
83,930,000
96,000,000
Development
Rural Development
20,700,000 53,000,000
85,500,000
131,300,000
172,500,000
189,785,003
213,000,000
TOTAL
497,200,000 538,700,006
566,400,000
653,700,000 779,900,000
860,225,122
935,500,000
Potential candidates
ALBANIA
Transition Assistance and
54,318,790 65,237,7565
71,360,000 84,200,0006 84,301,650
84,290,995
87,446,037
Institution Building
Cross-border Co-operation
6,681,210 8,582,244
9,822,921
9,973,173
10,126,636
10,283,169
10,666,232
TOTAL 61,000,000
73,820,000
81,182,921
94,173,173
94,428,286
94,574,164
98,112,269
BOSNIA AND HERZEGOVINA
Transition Assistance and
58,136,394 69,854,783
83,900,000 100,688,099
102,681,861
102,670,995
106,870,228
Institution Building
5
Includes €3.12 million additional funds recovered from previous programmes.
6
Includes €1.5 million additional funds recovered from previous programmes.
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Cross-border Co-operation
3,963,606 4,945,217
5,207,746
4,696,495 4,746,425
5,197,353
4,942,041
TOTAL 62,100,000
74,800,000
89,107,746
105,384,594
107,428,286
107,868,348
111,812,269
SERBIA
Transition Assistance and
181,496,352 179,441,314
182,551,643
186,206,679 190,556,810
190,000,995
203,101,005
Institution Building
Cross-border Co-operation
8,203,648 11,458,686
12,248,357
11,751,753 11,322,790
12,097,244
11,630,694
TOTAL
189,700,000 190,900,000
194,800,000
197,958,432 201,879,600
202,098,239
214,731,699
KOSOVO
Transition Assistance and
68,300,000 184,700,000
106,100,000
66,100,000
66,900,000
65,870,995
70,712,269
Institution Building
Cross-border Co-operation
0 0
0
1,200,000
1,800,000
2,929,148
2,987,731
TOTAL
68,300,000 184,700,000
106,100,000
67,300,000 68,700,000
68,800,143
73,700,000
Component
2007 2008 2009 2010 2011 2012 2013
TOTAL COUNTRY PROGRAMMES
1,109,427,000 1,311,720,006
1,305,072,668
1,397,306,900 1,553,046,687
1,638,664,931
1,687,939,363
MULTI-BENEFICIARY PROGRAMMES
Transition Assistance and
1295710007 137,736,6448 188,867,5369 141,706,55110 186,269,100 176,246,613 177,845,477
Institution Building
7
Includes €20.6 million additional funds recovered from previous programmes.
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Cross-border Co-operation
0 0
0
4,921,679
5,293,313
5,672,378
6,059,026
SUPPORT EXPENDITURE
44,793,000 51,950,000
47,648,000
47,393,000 52,183,900 55,410,600
84,500,000
GRAND TOTAL
1,263,200,000 1,501,406,650
1,541,588,204
1,591,328,130 1,796,793,000
1,875,994,522
1,956,343,866
Figures are in Euro at current prices
8
Includes €2.0 million additional funds recovered from previous programmes.
9
Includes €22.8 million additional funds recovered from previous programmes.
10
This includes a reduction of €29 million for the food security facility which will be paid back in 2011 (€14 million), 2012 (€6 million) and 2013 (€9 million). The funds paid
back in these years will be used for the allocation to Iceland. The figure also includes €2.7 million additional funds recovered from previous programmes.
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