„EU WATER INFRASTRUCTURE PROJECTS „ Zagreb, May 22, 2018.
Jelena Ambrenac, dipl.ing.građ. Sector for EU Co-financed projects HRVATSKE VODE
1 Summary of Characteristics
Hydrographically, the territory is divided into: the Danube River basin district, and the Adriatic River basin district. Administrative structure: 21 units of regional self-government (555 units of local self-government, 126 cities and 429 municipalities), a total of 6,756 settlements with 4,284,889 inhabitants (2011 Census).
Water supply connection rate: 86% (2015) Wastewater services connection rate: 50% (2015) Drinking water quality: 95% of samples meet criteria Delivered water – 300 million m3 per year Average water price for households - around 15 kn/m3 (or 2 euro/m3)
2 Water sector responsibilities are shared among:
Croatian Parliament with the National Water Council
Government of Croatia - Ministry of Environment and Energy with Water CROATIAN PARLIAMENT NATIONAL WATER COUNCIL Management Directorate
Hrvatske vode as the national agency for GOVERNMENT water management
ADMINISTRATIVE STATE ORGANIZATIONS MINISTRIES
MINISTRY OF ENVIRONMENT AND ENERGY
HRVATSKE VODE
NATIONAL AGENCIES (owned by the Government, public services)
3 HRVATSKE VODE
Government agency Non – profit Non - budgetary fund More than 900 employees, of whom more than 65% with college or university qualifications. Carries out more than 4/5 of its activities in cooperation with the EU on a number of projects.
MISSION: manage waters in the Republic of Croatia in order to: protect human lives, health and assets from adverse effects of water, and to ensure permanent availability of water by optimizing economic and environmental benefits under the principles of sustainable development
4 Public water service providers
Water Act defines water services as public water supply and public wastewater collection and treatment. Public water supply and wastewater collection and treatment are under the authority of local self- government units (towns/municipalities). Water supply and wastewater treatment activities are performed by utility companies (a total of around 156 providers of water services).
5 Strategic objectives defined by
Water Framework Directive (2000/60/EZ) Urban Waste Water Treatment Directive (91/271/EEZ) Drinking Water Directive (98/83/EZ)
Water Management Strategy 2008-2038 (http://www.voda.hr/hr/strategija-upravljanja- vodama) Treaty and negotiations between Croatia and the European Commission under Chapter 27 Environment (2010), IMPLEMENTATION PLAN FOR WATER UTILITY DIRECTIVES (http://www.voda.hr/hr/plan-provedbe-vodnih-direktiva) Long-term program of construction of water and wastewater infrastructure 2014-2023 (http://www.voda.hr/hr/visegodisnji-programi-gradnje) River Basin Management Plan (http://www.voda.hr/hr/plan-upravljanja-vodnim-podrucjima)
6 EU accession treaty & implementation deadlines & transitional period for WATER UTILITY DIRECTIVES
In 2011 Croatia has requested: a transitional period 2018 & until the end of 2018 for the implementation all Chapters closed of provisions concerning microbiological WATER SUPPLY (negotiation ended) 2021(3) parameters, and as a MS, Croatia intends to request a transitional period of additional 3 12 YEARS years for compliance with certain chemical (7+5) parameters, in total until the year 2021 + potentially 3 years Requested Wastewater collection and treatment, transitional periods 2018 treatment of wastewater according to limited 2020 proscribed standards and deadlines (2018, WASTE WATER in terms 2020 & 2023) for different scale of AND time and content 2023 agglomerations and sensitivity (around 300 TREATMENT agglomeration above 2.000 PE). Establishment/definition of sensitive areas were also part of the negotiation process.
7 The complexity of HRV transition
PREDPRISTUPNI STRUKTURNI FONDOVI FONDOVI
IPA 2007-2013 CF 2007-2013 CF 2014-2020 86.844.853 € 112.250.000 € 1.264.340.216 €
2013 2016 IPA 2007-2013
n+3 2013 2016 CF 07-13 199.094.853
2014 2020 2023 CF 2014-2020 n+3
8 Institutional Framework for Absorbing EU Funds
Instrument for Pre-Accession Assistance IPA (2007 – 2013) - Hrvatske vode has been accredited as an Implementing Body of Level 2 and a Contracting Authority.
Structural Funds (since Croatia’s accession to the EU) - Hrvatske vode is defined as an Intermediate Body level 2 (IB2)
The functions of IB2 include, among other: - taking part in the selection of projects; - drafting co-financing agreements for the selected projects; - checking whether expenditure was really incurred related to the project and whether it complies with European and national rules throughout the project implementation and duration period; - checking project expenditure (on-the-spot checks); - checking potential irregularities in project implementation and reporting thereon to other responsible bodies; - monitoring of and reporting on project progress to other bodies.
9 Certifying body Ministry of Finance EU
2014.-2020. 2007.-2013. Ministry of Regional Development Ministry of Environment and EU Funds Managing and Energy authority
Ministry of Environment Intermediate body 1 and Energy Financing (Water Directorate) Beneficiary Decision Public water utility company/ HV /State Directorate for protection and rescue Intermediate body 2 Hrvatske vode Contractor Project overview for OPE OP Environment 2007. – 2013. - results
Draft FINAL Report sent to EC in March 2018. EU allocation: 199,094 mil. EUR - 104,71% of allocation (audits/corrections) 160 projects approved, 149 projects implemented: 13 infrastructure projects – 4 completed 84 infrastructure projects of „small interventions” (small retrospective projects) 52 projects for preparation of study and technical documentation 1 non - functional infrastructure project (Knin) Indicators achieved:
Water supply network Sewer network
433.522 48.810 pop. pop. Capacity WWTP
220.000 ES OPE 2007. – 2013. – completed projects
ČAKOVEC SISAK
DRNIŠ SLAVONSKI BROD OPE 2007.–2013. – phased projects
VIROVITICA RVS OSIJEK
NOVA GRADIŠKA OSIJEK
ŽUPANJA VUKOVAR POREČ
8 projects 1. phase completed 2. phase on going through OP Competitiveness and Cohesion VODICE Operational Programme Competitiveness and Cohesion 2014. – 2020.
OPKK 2014 – 2020 1.264.340.216 €
TEMATSKI CILJ 6 TEMATSKI CILJ 5 1.049.340.216 € 215.000.000 €
5b1 5b1 65.000.000 PRIORITET PRIORITE 150.000.000 6ii1 T 6ii2 € NATIONAL € PROTECTION AND HRVATSKE VODE RESCUE DIRECTORATE
15 Status and compliance
Year Status Number of agglomerations
Completed 6 On going 25 2018 Under the preparation (different 13 stages) Ready for CfP 3 total 47 Completed 6 On going 8 2020 Under the preparation (different 12 stages) Ready for CfP 0 total 26 Completed 19 On going 8 2023 Under the preparation (different 71 stages) Preparation not started 110 total 208 SUBTOTAL 281
16 UPOV UPOV UPOV UPOV Broj Aglomeracija Planirani Rok UPOV UPOV stupanj Broj Aglomeracija Planirani Rok stupanj Broj Aglomeracija Planirani Rok stupanj stupanj stupanj 1 Zagreb 2 3 2018 stupanj 1 Vodice 2 2023 2 Split-Solin P 2 2018 1 Vir 2 2020 2 Crikv enica 2 2023 3 Osijek 3 2018 2 Pula-Sjev er P 2 2020 3 Medulin 2 2023 4 Rijeka P 2 2018 3 Biograd P 2 2020 4 Nov alja 1 2 2023 5 Varaždin 2 3 2018 5 Krk 2 2023 6 Zaprešić 1 3 2018 4 Nin 2 2020 6 Rab 2 2023 7 Karlov ac-Duga Resa 3 3 2018 5 Makarska P 2 2020 7 Omiš P 2 2023 8 Šibenik 1 2 2018 6 Malinska-Njiv ice 2 2020 8 Malostonski zaljev 1 2 2023 9 Pula-Centar P 2 2018 7 Mali Losinj 2 2020 9 Podstrana 2 2023 10 Kaštela-Trogir P 2 2018 10 Kostrena 2 2023 8 Vrsar 1 3 2020 11 Čakov ec 2 3 2018 11 Župa Dubrov ačka 2 2023 12 Zadar 2 2 2018 9 Jelsa-Vrboska 2 2020 12 Baška P 2 2023 13 Slav onski Brod 3 2018 10 Nov igrad Istarski 1 3 2020 13 Betina-Murter 2 2023 14 Bjelov ar 2 3 2018 11 Petrinja 3 2020 14 Punat P 2 2023 15 Kopriv nica 3 3 2018 15 Rabac 2 2023 12 Metkov ić 3 2020 16 Rov inj P 3 2018 16 Lopar P 2 2023 17 Dubrov nik P 2 2018 13 Velešev ec 3 2020 17 Nov i Vinodolski 2 2023 18 Velika Gorica 2 3 2018 14 Labin 2 3 2020 18 Baška Voda 2 2023 19 Sisak 3 2018 15 Slatina 3 2020 19 Hv ar P 2 2023 20 Vinkov ci 2 3 2018 16 Bibinje-Sukošan 2 2020 20 Pag P 1 2023 21 Belišće 2 3 2018 21 Selce 1 2023 22 Poreč-Jug P 3 2018 17 Knin 3 2020 22 Ogulin 3 3 2023 23 Vukov ar 3 2018 18 Pirov ac-Tisno- 2 2020 23 Mandre 1 2023 24 Opatija-Lov ran 1 2 2018 19 Jastrebarsko 3 2020 24 Primošten P 1 2023 25 Samobor 3 2018 20 Iv anec 3 2020 25 Cres 2 2023 26 Umag P 3 2018 26 Orebić P 2 2023 27 Požega 1 3 2018 21 Pleternica 3 2020 27 Pitomača 1 2 2023 28 Djakov o 3 2018 22 Nov ska 3 2020 28 Tučepi 1 2023 29 Poreč-Sjev er 3 2018 23 Glav ničica 3 2020 29 Senj 2 2 2023 30 Zabok 3 2018 24 Mursko Središće 3 2020 30 Supetar 1 2023 31 Virov itica 3 2018 31 Supetarska Draga 1 2023 32 Rugv ica 2 3 2018 25 Krapina 3 2020 32 Ilok 2 2 2023 33 Imotski 2 3 2018 26 Vela Luka 2 2020 33 Korčula 2 2023 34 Daruv ar 2 3 2018 Ukupno 26 do 2020. 34 Ludbreg 2 2023 35 Nov a Gradiška 3 2018 35 Zlatar 2 2023 36 Sinj P 3 2018 36 Gradac 2 2023 37 Lanterna 3 2018 37 Cav tat P 1 2023 38 Kutina 1 3 2018 on going 38 Sv eti Iv an Zelina 2 2 2023 39 Sav udrija P 3 2018 39 Gospić 2 2 2023 40 Županja 3 2018 completed 40 Brela 1 2023 41 Iv anić Grad 1 3 2018 41 Ploče 1 2023 42 Vrbov ec 3 2018 prepared 42 Bedekov čina 2 2023 43 Našice 3 3 2018 43 Rogoznica P 2 2023 44 Križev ci 1 3 2018 in preparation 44 Nov i Marof 3 2023 45 Donja Dubrav a 3 2018 ... Banjole P 2 2023 46 Beli Manastir 2 3 2018 ...... 2 2023 47 Lipik-Pakrac 1 3 2018 208 ...... 2023
Ukupno 47 do 2018. Ukupno 208 do 2023. Projects in preparation
FINAL STAGE OF PREPARATION
Ukupna vrijednost Ukupno prihvatljivi Ukupno EU Ime EU Projekta projekta (s PDV-om) troškovi HRK HRK HRK
1 Karlovac-Duga Resa 333.223.655,00 266.578.924,00 185.849.742,00
2 Zaprešić 575.278.875,00 460.223.100,00 329.197.583,00
3 Sinj 293.556.250,00 234.845.000,00 162.387.000,00
4 Trilj-Otok-Dicmo 201.226.250,00 160.981.000,00 110.271.000,00
5 Kutina 413.138.750,00 330.511.000,00 236.880.000,00
6 Ivanec 161.536.250,00 129.229.000 91.404.000
UKUPNO 1.977.960.030,00 1.582.368.024,00 1.115.989.325,00 Present status and results Allocation 2014-2020: 1.049.340.216,00 EUR € for component 6
NUMBER Total eligible costs CF OF % of allocation (kn) (kn) PROJECTS
CALL FOR PROPOSALS 36 11.536.780.690,25 8.111.758.526,21 101,59
PROJECTS APPROVED 28 7.403.820.439,41 5.221.341.156,53 65,47
TOTAL APPROVED 36 11.536.780.690,25 8.111.758.526,21 101,59 (ESTIMATE)
READY FOR CfP 6 1.582.368.024,00 1.115.989.325,00 13,99
SUBTOTAL APPROVED TILL THE END OF 2018 42 13.119.148.714,25 9.227.747.851,21 115,58 (ESTIMATE)
19 Problems in preparation
Long term preparation of projects (8-10 years)
Environmental issues – „zero tolerance” (resolving the sensitive issue of sludge disposal, implementation of methodology of combined approach (for discharge when basic measures fail to achieve water protection objectives), assessment of impact on water bodies and Natura 2000 sites, through proper implementation of requirements related to environmental protection measures..)
Permits - repeated issuance
Harmonization of project application and tender documentation in line with guidelines, national and EU legislation, by-laws...
Financial sustanibility (final beneficiary and others)
Quality of prepared project (indicators, environmental docs, project elements, gantogram etc.)
Legal property issues Problems in the procurement procedure
"Legal uncertainty" (Final beneficiaries hesitate to initiate public procurement procedures)
„Fear” of the financial corrections in the face of disregarding the rules of EU funds
Complexity of the tender docs
Competence of the Evaluation commetee for the procurement procedure
Numerous appeals on each mistake (even language..)
It requires constant and systematic education and learning about the experiences of others Problems in implementation
Delays of public-law bodies in the procedures of issuing special conditions and permits
No proper record of existing installations (cadaster lines)
Poor quality of project documentation (the projects do not correspond to the real situation on the ground, it happens that the waterway/sewage route goes through the center of the building).
Incompatibility of project documentation with bidding documents
Poor quality of bidding documentation (billboards VS technical specifications)
Contractor's failure to commence work at an appropriate intensity on time.
Lack of qualified labor force on the labor market (outflow of labor on the EU market – underpaying workers, salary delays ...)
Frequent blockade/insolvency of Contractors occurred (slowed down and jeopardized the implementation of the projects) Conclusion
We are behind in the implementation
Possible penalization of the RH (depends of different factors: reporting period, undertaken activities, % of non – compliance, GDP, communication with EC etc.)
The obligation to implement Directives remains
How to ensure national funds for development of water infrastructure projects
Solutions:
Start a dialogue with EC
Possible financing after the transition period ends
Speeding up the implementation of the projects (tender docs,procurement procedures, ...)
Large number of procurement procedures are expected
Constant education and improvement of knowledge
Awareness and work together Thank you [email protected]
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