EUROPEAN FUNDS FOR CROATIAN PROJECTS EUROPEAN FUNDS FOR CROATIAN This publication has been produced with the assistance of the European Union, PHARE 2005-0707-010101, Capacity Building and Project Preparation Facility in Croatia The present Handbook provides an overview of the EU financial instruments available to Croatia. THE HANDBOOK: • Presents the pre-accession instruments, • Contains an overview of European Community Programmes, • Presents the Structural and Cohesion Funds, European funds for Rural Development and Fisheries, • Explains the different types of management of EU financial instruments and procurement procedures for awarding grants and public contracts, • Describes “step by step” transformation of an idea into the project proposal using logical framework approach and other project cycle management tools, • Guides on how to develop successfully a European project and provides tips for project management, monitoring and evaluation. ISBN 978-953-7443-09-2 Central Office for Development Strategy and Coordination of EU Funds EUROPEAN FUNDS FOR CROATIAN PROJECTS Radnička cesta 80/V 10000 Zagreb, Croatia A HANDBOOK ON FINANCIAL COOPERATION AND EUROPEAN UNION Tel.: (385 1) 4569 179 SUPPORTED PROGRAMMES IN CROATIA Fax: ( 385 1) 4569 150 This publication has been E-mail: [email protected] produced with the assistance http://www.strategija.hr of the European Union EUROPEAN FUNDS FOR CROATIAN PROJECTS A Handbook on Financial Cooperation and European Union Supported Programmes in Croatia This publication has been produced with the assistance of the European Union PHARE 2005-0707-010101, Capacity Building and Project Preparation Facility in Croatia The overall objective of PHARE 2005-0707-010101, Capacity Building and Project Preparation Facility in Croatia has been to improve planning, programming and implementation of the Instrument for Pre - accession Assistance (IPA) funds in Croatia and to accelerate the implementation of the acquis communautaire. The Central State Offi ce for Development Strategy and Coordination of EU Funds has been the main benefi ciary of the project. The project has been implemented through three interrelated components: □ Under Component I, the main focus of the activities has been the drafting and publication of this Handbook, which will serve as a major reference for all those involved or interested in the EU accession process, containing relevant information sources and internet addresses; □ Component II has been focused on capacity building assistance and provision of help-desk services for a broad group of benefi ciaries in two main areas: programming of IPA 2008 and procurement. □ Component III has been focused on training. The training activities were also divided along the lines of programming, project development and management, on the one hand, and procurement issues, on the other. Capacity Building and Project Preparation Facility in Croatia has been implemented by metis GmbH in association with GTZ GmbH. The duration of the project has been 13 months, January 2008 – February 2009. Disclaimer: This publication is intended as an additional aid to provide general information on fi nancial cooperation and EC supported programmes in Croatia. The information contained does not replace or amend any offi cial contract, agreement, document or report. The contents of this publication are the sole responsibility of the authors and can in no way be taken to refl ect the views of the European Union. Copyright note: © Central Offi ce for Development Strategy and Coordination of EU Funds, 2009 Unless specifi cally stated otherwise, reproduction for personal use (i.e. for educational purposes, research, private study or internet circulation within an organization) or for further non-commercial dissemination to end users is authorized subject to the condition that appropriate acknowledgement be given to the Central Offi ce for Development Strategy and Coordination of EU Funds and to the source. EUROPEAN FUNDS FOR CROATIAN PROJECTS A Handbook on Financial Cooperation and European Union Supported Programmes in Croatia Zagreb, 2009 Authors: Slađana Novota, Ivana Vlašić, Rumiana Velinova, Kiril Geratliev, Olga Borissova Editorial Board: Hrvoje Dolenec State Secretary, Central Offi ce for Development Strategy and Coordination of EU Funds Zvonimir Savić Deputy State Secretary, Central Offi ce for Development Strategy and Coordination of EU Funds Tomislav Belovari Central Offi ce for Development Strategy and Coordination of EU Funds Iva Frkić Central Offi ce for Development Strategy and Coordination of EU Funds Nikša Tkalec Central Offi ce for Development Strategy and Coordination of EU Funds Borislav Bogunović Central Finance and Contracting Agency Maja Čakarun Central Finance and Contracting Agency Tatjana Čorlija Ministry of Foreign Affairs and European Integration Ivana Buršić Ministry of Foreign Affairs and European Integration Suzana Grizelj Central State Offi ce for Administration A CIP catalogue record for this book is available from the National and University Library in Zagreb under 684336 ISBN 978-953-7443-09-2 Central Offi ce for Development Strategy and Coordination of EU Funds Radnička cesta 80/V 10000 Zagreb, Croatia Tel.: (+ 385 1) 4569 179 Fax: ( + 385 1) 4569 150 E-mail: [email protected] https://www.strategija.hr Foreword by CODEF 7 Foreword by CFCA 9 Chapter I. Financial Cooperation between European Union and Croatia – 11 OBNOVA, CARDS, PHARE, ISPA and SAPARD Chapter II. IPA – the new pre-accession fi nancial instrument 39 Chapter III. Community Programmes in Croatia 77 Chapter IV. EU funding opportunities for Croatia after accession 113 Chapter V. How to benefi t from the EU assistance 141 Chapter VI. How to develop a project proposal 157 Chapter VII. How to manage a project successfully 185 Annex 1. About CODEF 197 Annex 2. List of tables, fi gures and maps 198 Annex 3. List of abbreviations 200 Annex 4. References, further reading and useful links 202 Annex 5. Glossary of Terms 206 FOREWORD BY CODEF Dear Reader, YouY have in your hands the fi rst edition of the Handbook “European Funds for Croatian Projects”,P which presents fi nancial cooperation and European Union supported programmesp in Croatia. This publication has been produced with the assistance of thet European Union and aims to give you an understanding and insight into the way EuropeanE funds are allocated and planned, how these funds operate and how they couldc support your idea, your project, your community or organisation. TheT Central Offi ce for Development Strategy and Coordination of EU Funds (CODEF) isis in charge of the coordination of EU funds for Croatia, and the generation of a nationaln development strategy. It is the lead institution in the Republic of Croatia forfof EU funds programming and monitoring. It is also a key interlocutor between the CroatianC Government and the European Commission, together with the National AuthorisingA Offi cer and the National Fund within the Ministry of Finance for the fi nancial managementm of EU funds. While the Ministry of Finance has to ensure that EU funds area spent correctly and in a fi nancially sound manner, CODEF’s broader mandate is to monitor that EU funds are spent effectively; that Croatia has the programmes and projects in place to ensure absorption, and makes the best use of EU and national resources. For several decades now the European Union has been one of the principal actors in international co-operation and the biggest donor of development assistance in the world. In order to support its external assistance policy the EU has developed a wide range of fi nancial instruments, which most people call EU assistance programmes or European funds. Some of these instruments have been tailored to the specifi c development priorities of the benefi ciary states. Others have been designed ad hoc to target the immediate needs of partner countries and regions. In Croatia this process of fi nancial support started with independence of the country. At each stage the European Union tailored its support to the needs of the country. Now, the European Union renders pre-accession assistance to Croatia to support political, economic and institutional reforms, cross-border cooperation, regional competitiveness, regional development, development of human resources, and support for agriculture and fi sheries. In this way the European Union helps Croatia meet European standards and prepares the institutions, administrations, businesses, and civil society for membership. The Handbook also presents the fi nancial opportunities that currently exist for Croatia and which will open up further in the future, once the country becomes a Member State of the European Union. In this Handbook you will fi nd: ● What are pre-accession instruments and how they can be used; ● An overview of European Community Programmes, which are an additional opportunity for financing in relation to different European policies; ● What are Structural and Cohesion Funds, European funds for Rural Development and Fisheries, and how they will operate for Croatia; ● An explanation of the different types of procurement procedures for the awarding of grants and public contracts under European funds; ● Recommendations on how, “step by step”, to transform an idea into a project proposal using a logical framework approach and other project cycle management tools, ● Guidance on how to successfully develop a European project and tips for project management, monitoring and evaluation. We do believe that this Handbook will be useful reading