Programming for the Utilisation of European Structural and Investment

Funds in 2014-2020 in Cyprus

Cyprus Project Management SocietySeminar

Nicosia, 23 October 2013Planning Bureau

Adonis Constantinides, Senior Planning Officer

Presentation Outline

ESI Funds and Allocation of financial resources for Cyprus in 2014- 2020 period

Basic “rules” of ESI Funds Programming Framework 2014-2020

Programming and Economic Crisis in Cyprus

Proposed Priorities For Cyprus

EU Funds Vs “Community Programmes”

EU Multiannual Financial Framework-7 year planning- Policies- Funds - Programmes

Annual EU BudgetEU Funds: Development Funds Allocation

of resources per member State and region – “Shared Management”

“Community Programmes”- Instruments Under different EU Policies – Mainly No Allocation per Member State- “Direct Management by the Commission- Different “buzz” names(Horizon, Life etc)

“European Structural and Investment Funds” Which are these Funds?

Cohesion Policy Structural Funds: European Regional

Development Fund (ERDF), European Social Fund (ESF) Cohesion Fund

Common Agricultural Policy European Agricultural Fund for Rural Development

(EAFRD)Common Fisheries Policy

European Maritime and Fisheries Fund (EMFF)

MULTIANNUAL FINANCIAL FRAMEWORK (MFF) EU 2014-2020

Allocation from the European Structural and Investment Funds

* The final allocation for Fisheries will be formulated after the agreement on the Proposed Regulation for the European Maritime and Fisheries Fund between the Council and the European Parliament

Estimated Allocation for Cyprus€ mln

(2011 prices )

Cohesion Policy (Structural Funds & Cohesion Fund)

526

Rural Development (EAFRD) 118

Fisheries (EMFF) 30 +*

Additional allocation for 2014-2015 (subject to final decision)

200

COHESION POLICY 2014-2020

Allocation for CyprusFund / Initiative € mln

(2011 prices)

Cohesion Fund 285

Investment on Growth and Employment (ERDF & ESF)

201+200(2014/15)

European Transnational Cooperation (ETC – ERDF) 29

Youth Employment Initiative (additional allocation from ESF and EC)

11

Total Allocation for Cohesion Policy

526(726)

│ 7

EU Cohesion Policy invests in …

Infrastructure

Sustainable Development

Researchand innovation

Employment & Training

Cooperationbetween regions

Energy efficiency

Supportfor SMEs

PROGRAMMING PERIOD 2014-2020

Basic Provisions of the Regulatory Framework

Focus on EU2020 Strategy targets

Synergies between Cohesion,

Agricultural and Fisheries

Policies Supporting integrated territorial

development

Focus on Results

Enhancing Territorial Cohesion

Enhancing the efficient use of funds

Thematic Concentration

of Funds

Coordination in

implementation and

monitoring

Common Strategic

Framework

Ex an

te

Condi

tion

aliti

es

Performan

ce

Framew

ork

COHESION POLICY 2014-2020

THEMATIC OBJECTIVES

1. Research, technological development and

innovation

2. Information and Communication Technologies

(ICT)

3. Competitiveness of SMEs

4. Low Carbon Economy (Energy efficiency and

RES)

5. Climate change adaptation and risk prevention

and management

6. Protection of the Environment and resource

efficiency

7. Sustainable transport and key network

infrastructure

8. Employment and labour mobility

9. Social Inclusion and combating poverty

10.Education, skills building and life long learning

11.Institutional capacity and efficient public

administration

EU

202

0In

clu

sive

Su

stai

nab

leS

mar

t

ERDF - 50% (from 80%) to at least 2 of the thematic objectives from:

Research and innovation, ICT, SMEs

competitiveness, Shift towards a low-carbon

economy - at least 12% (from 20%) - At least 5% to integrated actions promoting

Sustainable Urban Development

ESF 20% to Promoting Social Inclusion and

combating poverty, 80% to at least 4 Investment Priorities

All Funds 20% to actions contributing to Climate

Change

COHESION POLICY 2014-2020

Thematic Concentration

Strategic Frameworks, acquis

communautaire etc

General: horizontal principles related to the

implementation / effectiveness of Programmes

Thematic: related to specific intervention areas/

thematic objectives

COHESION POLICY 2014-2020

Ex-ante Conditionalities

PROGRAMMING PERIOD 2014-2020

PROGRAMMING FRAMEWORK

Project Selection

EU level

National LevelStrategy

National LevelProgramming

REGULATIONSCommon Strategic FrameworkERDF, CF, ESF, EAFRD, EMFF

PARTNERSHIP AGREEMENTERDF, CF, ESF, EAFRD, EMFF

OP FA

EMFF

OP RD

EAFRD

PROGRAMMES COHESION POLICY

ERDF, CF, ESF

Key Factorso EU Framework

EU 2020 Strategy – Thematic Objectives Regulatory Framework – Thematic

Concentration, Ex -ante Conditionalities, Performance Framework

EC Recommendations - Position Papero National Framework

National Strategy – Vision, development needs/challenges, objectives and priorities

Economic Crisis – new realities/ prioritisation for the use of funds aiming at the “Restarting” of the economy

PROGRAMMING PERIOD 2014-2020

PROGRAMMING EXERCISE

Economic Crisis and Programming of Funds In

CyprusNew realities – expected impact on

economic sectorsStrategy - short term and medium term

Objectives – Crisis - «New Development Model»

Limited Financial ResourcesThematic concentration and development

needsIntegrated approach Vs “Shopping List of

Projects”Financial instruments / access to finance /

liquidity Infrastructure / support to the private

sector Sustainable DevelopmentCoordination- Cooperation

Programming Period 2014-2020

Consultation Procedures

• Comments /Proposals by all Partners ( Social

and Economic Partners, Ministries/Departments.

Local Authorities, NGOs etc. • Policy/Strategy on sectoral/area basis • Consultation with European Commission• Presentation of draft text to partners for

Comments• Meetings /Seminars/Workshops • “Smart Specialisation Strategy” process –

Bottom Up• Public Consultation

Proposed Strategy in the Partnership Agreement

Proposed Strategic Objective: Restructuring of the economy, retaining and creating new jobs under social cohesion conditions

Funding Priorities

PRIORITY 1:

Restructuring and enhancing the competitiveness of

Cyprus economy

PRIORITY 2:

Upgrading human resources and promoting employment

PRIORITY 3:

Protection and efficient use of resources

PRIORITY 4:

Social and territorial cohesion

PRELIMINARY PROPOSED FUNDING PRIORITIES (1)

PRELIMINARY PROPOSED FUNDING PRIORITIES (2)

Funding Priority 1 – Restructuring and enhancing the competitiveness of Cyprus economyEnhancing the competitiveness of SMEs –

Production and supply of high value added products and services

Information and Communication Technologies Adaptation of the agro-food, fisheries and

aquaculture sectorsEnhancing the research and innovation activity Modernisation and improvement of the efficiency

of the public sectorCompleting Trans-European Network

Funding Priority 2 – Upgrading human resources and promoting employment Development of human resources Increase in employment, improvement of the

employability of human capital and combating unemployment

Funding Priority 3 - Protection and efficient use of resourcesEnriching the energy balance and promoting energy

efficiencyEfficient management and protection of natural and

cultural resources

Funding Priority 4 – Social and territorial cohesionSocial inclusion and combating poverty Rural and Urban Development

PRELIMINARY PROPOSED FUNDING PRIORITIES (3)

Topics for DiscussionWhich are the main challenges / potentials –

Economic crisis?“Out of Box” thinking?Which are the ¨comparative advantages¨ -

competitive advantagesWhich should be our development vision -

objectivesWhat types of interventions should we

promote“Project Management “ in the Public and

Private sectorsDesired synergiesManagement of Funds: lessons Learned“Cooperation Models” for Enterprises /

organisations

For further information visit our website:

http://www.structuralfunds.org.cy/

programming_period_2014_2020