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					  European Union
  Regional Policy – Employment, Social Affairs and Inclusion




The new architecture for cohesion policy
               post-2013



          High-Level Meeting on the Future Cohesion Policy
                      Budapest, 1 April 2011


                                  Nicholas Martyn
                             Deputy Director-General
                      Directorate-General for Regional Policy
                                                                1
  European Union
  Regional Policy – Employment, Social Affairs and Inclusion




            Principles for the EU budget


The EU Budget Review of 19 October 2010:


• Delivering key EU priorities
• European added value
• Results-driven budget
• Mutual benefits through solidarity



                                                               2
  European Union
  Regional Policy – Employment, Social Affairs and Inclusion




Main drivers of cohesion policy post-2013


 The Fifth Cohesion Report of 9 November 2010


 • Enhancing the European added value of
   cohesion policy
 • Strengthening governance
 • A streamlined and simplified delivery system




                                                               3
  European Union
  Regional Policy – Employment, Social Affairs and Inclusion




   Key components of effectiveness in
           cohesion policy


• Alignment of cohesion policy with Europe 2020
• Reinforced strategic programming
• Thematic concentration
• Stronger focus on results
• Conditionality
• Streamlined delivery system


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    European Union
    Regional Policy – Employment, Social Affairs and Inclusion




 Reinforced strategic programming I

• Common Strategic Framework
  – Sets a comprehensive investment strategy for cohesion
    policy at EU level
  – Translates the targets and objectives of Europe 2020 into
    investment priorities for Member States and regions
  – Covers cohesion, rural development and fisheries
    policies and coordination with other EU instruments


                                                                 5
     European Union
     Regional Policy – Employment, Social Affairs and Inclusion




      Reinforced strategic programming II

• Development and investment partnership contract
   – Results from negotiation between the Commission and Member State on:
       • Thematic objectives to address the priorities/targets established in Europe 2020
       • Specific objectives and corresponding indicators that translate Europe 2020
         priorities in a national and/or regional context
       • Commitments for fulfilment of conditionalities
       • Coordination with other EU funds
       • Covers cohesion policy but could be extended to other policies and instruments

• Programmes (either thematic or regional)
   – Translates agreement on contract into concrete investment priorities
     accompanied by clear and measurable targets
                                                                                          6
     European Union
     Regional Policy – Employment, Social Affairs and Inclusion




              Thematic concentration
• Member States and regions will be required to concentrate EU
  and national resources on a limited number of thematic
  objectives linked to Europe 2020 strategy

   – Regulation will establish a menu of thematic objectives directly
     linked to Europe 2020 strategy
   – Differentiation between more developed and less developed
     Member States and regions. Less developed Member States and
     regions may focus on a larger number of priorities
   – Ceiling for maximum number of priorities will be applied at
     programming level (i.e. national or regional)

                                                                        7
  European Union
  Regional Policy – Employment, Social Affairs and Inclusion




          A Stronger Focus on Results:
                  Monitoring
OUTPUTS
• Obligatory common output indicators
• Customised indicators where necessary
• Annual Reporting

RESULTS
• Policy decision on intended change for each thematic objective
• Result (outcome) indicator for each thematic objective reflecting
  the intended change, with baseline situation
• Regular monitoring of evolution of result indicator

                                                                      8
    European Union
    Regional Policy – Employment, Social Affairs and Inclusion




            A Stronger Focus on Results:
                    Evaluation

Change in Result Indicator = effect of intervention + effect of other factors


• Ex-ante evaluation:
    – Contribution to EU2020 & consistency of indicators, targets & financial
      allocations
    – Basis for later evaluation of impact
• Evaluation Plan:
    – More evaluation of the effects of interventions (impact)
    – Implementation evaluations when necessary
    – Synthesis evaluation towards end of programming period
• Ex-post evaluation by the Commission                                          9
  European Union
  Regional Policy – Employment, Social Affairs and Inclusion




                Performance Incentives


• Annual political debate – peer review
• Performance framework in Partnership Contract
• Performance reserve




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   European Union
   Regional Policy – Employment, Social Affairs and Inclusion




                   Ex-ante conditionality

• Aim is to ensure preconditions for effective support
• Four types of ex-ante conditionality:
   - Regulatory (water pricing, small business regulation)
   - Strategic (innovation, research, climate change)
   - Project planning capacity (transport, energy
     interconnectors)
   - Institutional (budget planning, public procurement

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     European Union
     Regional Policy – Employment, Social Affairs and Inclusion




    Application of ex-ante conditionality

Regulation: Thematic and horizontal ex-ante conditionality set out in the Regulation


Preparation of programming documents: Self-assessment by Member States and/or
   regions whether conditionality met. Results included in draft programmes and
                 commitments synthesised in Partnership Contract

Conditionality fulfilled:            Partially fulfilled:             Not fulfilled:
   Draft programmes                Draft programmes lay           Draft programmes lay
 describe that no further          down commitments for           down commitments for
  action needs to taken                  fulfilment                     fulfilment


  Negotiation and agreement on commitments: The commitments are laid
    down in the programmes and synthesised in the Partnership Contract
                                                                                         12
    European Union
    Regional Policy – Employment, Social Affairs and Inclusion




         Streamlined delivery system I.


•   Strengthening financial management and
    control
•   Simplifying financial discipline
•   Greater proportionality and differentiation
•   Developing e-Governance in cohesion policy




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     European Union
     Regional Policy – Employment, Social Affairs and Inclusion




        Streamlined delivery system II.

Review of eligibility rules:
•   More extensive use of simplified reimbursement options
•   More harmonisation in areas such as:
        -    Eligibility of overheads and personnel costs
        -    The treatment of in kind contributions
        -    Consistency and compliance with other EU policies and
             legislation
        -    Eligibility of VAT and other indirect taxes
        -    Rules applied to financial instruments

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   European Union
   Regional Policy – Employment, Social Affairs and Inclusion




                         Challenges ahead

We have to create a regulatory framework based on
these principles which will achieve the goals of:

 • A policy which visibly and measurably contributes to
   Europe 2020
 • Programming which produces quantifiable results and
   impact
 • Streamlined access to investment funds by beneficiaries


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posted:9/20/2011
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