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Annual Implementation Report 2014 Estonia – Latvia Programme 2007-2013 Cross-Border Co-operation Programme under the European Territorial Co-operation Objective CCI No 2007 CB 163 PO 050 ANNUAL IMPLEMENTATION REPORT 2014 March 2015 1 Table of Contents 1. IDENTIFICATION ...................................................................................................................................................... 3 2. OVERVIEW OF THE IMPLEMENTATION OF THE OPERATIONAL PROGRAMME ......................... 6 2.1. Achievement and analysis of the progress ............................................................................ 6 2.1.1. Information on the physical progress of the operational programme .............. 6 2.1.2 Financial information as of 1 January 2007 – 31 December 2014 in EUR* ...... 8 2.1.3 Information about the breakdown of the use of the Funds .................................... 9 2.1.4 Assistance by target groups ............................................................................................... 9 2.1.5 Assistance repaid or re-used .......................................................................................... 12 2.1.6 Qualitative Analysis ........................................................................................................... 12 2.2 Information about compliance with Community Law ................................................... 15 2.3 Significant problems encountered and measures taken to overcome them ......... 16 2.4 Changes in the context of operational programme implementation ....................... 16 2.5 Substantial modification pursuant to Article 57 of Regulation (EC) No 1083/200617 2.6 Complementarity with other instruments ......................................................................... 17 2.7 Monitoring and evaluation ...................................................................................................... 18 2.8 EU Strategy for the Baltic Sea Region ................................................................................... 19 3 IMPLEMENTATION BY PRIORITY .................................................................................................................. 21 3.1 Priority 1 Increased cohesion of the Programme area .................................................. 22 3.1.1 Achievement of targets and analysis of the progress ............................................ 22 3.1.2 Significant problems encountered and measures taken to overcome them 25 3.2 Priority 2 Higher competitiveness of the Programme area ................................ 25 3.2.1 Achievement of targets and analysis of the progress ............................................ 25 3.2.2 Significant problems encountered and measures taken to overcome them 28 3.3 Priority 3 Active, sustainable and integrated communities ........................................ 28 3.3.1 Achievement of targets and analysis of the progress ............................................ 28 3.3.2 Significant problems encountered and measures taken to overcome them 30 4 MAJOR PROJECTS ................................................................................................................................................. 30 5 TECHNICAL ASSISTANCE................................................................................................................................... 31 6 INFORMATION AND PUBLICITY ..................................................................................................................... 33 6.1 Information and publicity activities ..................................................................................... 33 6.2 Media monitoring ........................................................................................................................ 36 7 CHALLENGES FOR 2015 ..................................................................................................................................... 37 2 1. IDENTIFICATION OPERATIONAL Objective concerned European Territorial PROGRAMME Cooperation Eligible area concerned Estonia (Lõuna-Eesti, Lääne- Eesti) and Latvia (Kurzeme, Pierīga, Rīga, Vidzeme) Programming period 2007-2013 Programme number (CCI No) 2007 CB 163 PO 050 Programme title Estonia - Latvia Programme 2007-2013 ANNUAL Reporting year 2014 IMPLEMENTATION REPORT Date of approval of the annual report by the Monitoring Committee The Annual Implementation Report of the Estonia - Latvia Programme 2007-2013 (hereinafter also referred to as the “Programme”) has been prepared in accordance with Article 67 of the Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions of the European Regional Development Fund, the European Social Fund and the Cohesion Fund as well as the model provided in Annex VI of the Commission Regulation (EC) No 846/2009 of 1 September 2009 amending Regulation (EC) No 1828/2006 setting out rules for the implementation of Council Regulation (EC) No 1083/2006. The Commission Regulation (EC) 1828/2006 was further amended by Commission Regulation (EC) 832/2010 of 17 September 2010. Annex I of this Regulation replaces point 2.1.2 Financial information of Annex XVIII of the Commission Regulation (EC) No 1828/2006. The Estonia - Latvia Programme 2007-2013 is a cross-border cooperation programme including the NUTS III regions from Estonia (Lõuna-Eesti, Lääne-Eesti) and Latvia (Kurzeme, Pierīga, Rīga, Vidzeme). The Operational Programme (hereinafter also referred to as the “OP”) for the Estonia - Latvia Programme 2007-2013 was approved by the European Commission on 21 December 2007. The Amendment to the Operational Programme was approved by the EC in 2012. 3 The Agreement between the Estonian Ministry of the Interior, the Republic of Estonia and the Republic of Latvia on the management and administration of the Estonia - Latvia Programme 2007-2013 came into effect in March 2009. The agreement stipulates the structure, as well as the rights and obligations of the Programme institutions and the main principles of the Programme implementation and management. According to the Agreement the Estonian, Ministry of the Interior hosts the Managing Authority (hereinafter also the MA), the Certifying Authority (hereinafter also the CA) and the Audit Authority (hereinafter also the AA) of the Programme. In Latvia, initially the partner organisation was the Ministry of Regional Development and Local Governments of Latvia, after restructuring, the Ministry of the Environmental Protection and Regional Development became the responsible institution for the Programme as of 1 January 2011. As of 1 August 2014, the MA moved from the European territorial cooperation bureau into the new unit, the Cross-border programmes’ implementation bureau established within the Regional Development Department of the Estonian Ministry of the Estonia. This move was undertaken to have clearer separation of functions between MA and NRAs of other ETC programmes and in the future, the new bureau should serve also as the MA for the Estonia - Russia Programme. In order to simplify the Programme implementation and to align the management structures for the 2007-2013 and 2014-2020 period, the MA decided to initiate the procedure for incorporating the functions of the CA into the MA as allowed by the Articles 123 (3) and 152 (3) of the Regulation 1303/2013 of the European Parliament and the Council of 17 December 2013. To go forward with the procedure, firstly the Description of the Management and Control System (hereinafter also as “the DMCS”) had to be amended and approved by the MC, and the approval was received on 25 July 2014. Following this, the AA carried out the assessment of the amended DMCS. The audit opinion was received on 21 August 2014 stating that the management and control system presented complete information concerning the tasks of the Certifying Authority mandated by the European Union legislation and other legislation, as carried out by the Managing Authority. The auditors were able to express sufficient assurance that the functions of the Certifying Authority would be fulfilled adequately by the Managing Authority without adverse effects to the original functions of either one. Following these developments, a request to approve the change where the MA fulfils the functions of the CA was sent to the EC on 01 September 2013. The approval was received from the EC on 05 November 2014. Throughout the programme period, the operations of the MA have been supported by the Joint Technical Secretariat (hereinafter also as the JTS) located in Estonia, in Tartu. The JTS is established as a separate legal entity within Enterprise Estonia (hereinafter also as the EAS) and 4 has acted as the main contact point for the applicants and beneficiaries as well as carried out many other activities relevant for the Programme. During the previous years, the JTS had the Info-point in Riga. However, as there was no practical need for the info-point anymore because all the funds had been committed by the end of 2012 and there were no more calls for proposals to come, the decision was taken by the MC to close down the office space of the Riga info-point as of 1 January 2013. As of 1 January 2014 the Information Point is fully closed down based on the host agreement signed between EAS and the State Regional Development Agency in Riga. The relations between the Programme authorities and the JTS as well as the JTS’ activities and obligations are regulated by the Administration Contract between the Estonian Ministry of the Interior and the EAS. The Programme
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