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Brussels, 12.9.2013 SWD(2013) 326 Final EUROPEAN COMMISSION Brussels, 12.9.2013 SWD(2013) 326 final COMMISSION STAFF WORKING DOCUMENT Background document Accompanying the document Report from the Commission to the European Parliament, the Council and the European Economic and Social Committee 2012 Annual Report on Financial Assistance for Enlargement (IPA, PHARE, CARDS, Turkey Pre-Accession Instrument, Transition Facility) {COM(2013) 625 final} EN EN Table of Contents A. FINANCIAL ASSISTANCE TO THE WESTERN BALKANS, ICELAND AND TURKEY................................................................................................................................... 4 CROATIA .............................................................................................................................. 4 1. SUMMARY ................................................................................................................... 4 2. STRATEGIC PLANNING AND PROGRAMMING ................................................... 4 3. IMPLEMENTATION OF EU FINANCIAL ASSISTANCE IN 2012.......................... 8 4. IMPLEMENTATION AND MONITORING MODALITIES AND STRUCTURES 13 TURKEY.............................................................................................................................. 16 1. SUMMARY ................................................................................................................. 16 2. STRATEGIC PLANNING AND PROGRAMMING ................................................. 16 3. IMPLEMENTATION OF EU FINANCIAL ASSISTANCE IN 2012........................ 20 4. IMPLEMENTATION AND MONITORING MODALITIES AND STRUCTURES 29 ICELAND ............................................................................................................................ 32 1. SUMMARY ................................................................................................................. 32 2. STRATEGIC PLANNING AND PROGRAMMING ................................................. 32 3. IMPLEMENTATION OF EU FINANCIAL ASSISTANCE IN 2012........................ 35 THE FORMER YUGOSLAV REPUBLIC OF MACEDONIA.......................................... 37 1. SUMMARY ................................................................................................................. 37 2. STRATEGIC PLANNING AND PROGRAMMING ................................................. 37 3. IMPLEMENTATION OF EU FINANCIAL ASSISTANCE IN 2012........................ 41 4. IMPLEMENTATION AND MONITORING MODALITIES AND STRUCTURES 45 MONTENEGRO.................................................................................................................. 49 1. SUMMARY ................................................................................................................. 49 2. STRATEGIC PLANNING AND PROGRAMMING ................................................. 49 3. IMPLEMENTATION OF ASSISTANCE................................................................... 54 4. IMPLEMENTATION MODALITIES AND STRUCTURES .................................... 58 ALBANIA............................................................................................................................ 61 1. SUMMARY ................................................................................................................. 61 2. STRATEGIC PLANNING AND PROGRAMMING ................................................. 61 3. IMPLEMENTATION OF EU FINANCIAL ASSISTANCE IN 2012........................ 65 4. IMPLEMENTATION AND MONITORING MODALITIES AND STRUCTURES 74 SERBIA................................................................................................................................ 77 1. SUMMARY ................................................................................................................. 77 2. STRATEGIC PLANNING AND PROGRAMMING ................................................. 77 3. IMPLEMENTATION OF EU FINANCIAL ASSISTANCE IN 2012........................ 80 2 4. IMPLEMENTATION AND MONITORING MOSALITIES AND STRUCTURES. 88 BOSNIA AND HERZEGOVINA........................................................................................ 91 1. SUMMARY ................................................................................................................. 91 2. STRATEGIC PLANNING AND PROGRAMMING ................................................. 91 3. IMPLEMENTATION OF ASSISTANCE................................................................... 96 4. IMPLEMENTATION MODALITIES AND STRUCTURES .................................... 98 KOSOVO1 .......................................................................................................................... 102 1. SUMMARY ............................................................................................................... 102 2. STRATEGIC PLANNING AND PROGRAMMING ............................................... 102 3. IMPLEMENTATION OF EU FINANCIAL ASSISTANCE IN 2012...................... 105 4. IMPLEMENTATIONAND MONITORING MODALITIES AND STRUCTURES110 B. MULTI - BENEFICIARY........................................................................................... 114 1. SUMMARY ............................................................................................................... 114 2. STRATEGIC PLANNING AND PROGRAMMING ............................................... 114 3. IMPLEMENTATION OF ASSISTANCE................................................................. 119 C. Towards a more efficient and effective delivery of assistance: linking assistance more closely to the enlargement policy priorities and the sector approach ................... 122 1. Towards a new Instrument for Pre-accession for 2014-2020 .................................... 122 2. Cooperation with the donor community on aid effectiveness.................................... 122 3. Sector approach.......................................................................................................... 123 4. Lessons learned from Evaluation ............................................................................... 124 5. TAIEX, a demand driven instrument aligned with EU policy priorities ................... 126 D. PHARE, CARDS, TURKEY PRE-ACCESSION AND TRANSITION FACILITYFINANCIAL DATA AT 31ST DECEMBER 2012 : ....................................... 129 1. EU 12 – PHARE and Transition Facility - Decentralised Management.................... 129 2. Candidates and Potential Candidates - CARDS (and PHARE for HR) or Turkey Pre- accession Assistance - FINANCIAL DATA ................................................................. 129 Acronyms and Abbreviations: ............................................................................................ 132 1 This designation is without prejudice to positions on status, and is in line with UNSCR 1244 and the ICJ Opinion on the Kosovo Declaration of Independence. 3 A. FINANCIAL ASSISTANCE TO THE WESTERN BALKANS, ICELAND AND TURKEY CROATIA 1. SUMMARY Following the signature of the Accession Treaty on 9 December 2011, Croatia continued throughout 2012 the implementation of measures to further strengthen its capacity to meet the obligations of membership to the EU. Since 1 July 2013, Croatia is an EU Member State. The National Programme2 for component I adopted in 2012 covers two budgetary years, namely the IPA 2012 Transition Assistance and Institution Building allocation, as well as the 6-month allocation for 2013 (in accordance with the envisaged EU accession of Croatia on 1 July 2013). The total amount of the 2012 and 2013 National Programmes was EUR 46.80 million. The implementation of EU financial assistance in 2012 accompanied these developments by providing further support for completing reforms and building up capacity in the key areas necessary for assuming the obligations of membership, namely in the areas of judiciary and fundamental rights and justice, freedom and security, as well as continuing the efforts of preparing Croatia for the management and implementation of post-accession funds. Furthermore, during 2012 Croatia completed its preparations for the waiver of the ex-ante controls on procurement in order to achieve full decentralisation of the management and implementation of EU financial assistance prior to accession. 2. STRATEGIC PLANNING AND PROGRAMMING 2.1 Multi-annual Indicative Planning Document The Instrument of Pre-accession Assistance (IPA) support for the period 2012-2013 reflects, in accordance with the 2011-2013 MIPD3, the shift to a stronger sector approach to EU financial assistance under the IPA Instrument. A positive effect of this new approach was the more targeted assistance allowing easier identification of the remaining gaps as well as improved donor coordination. The sectors identified as key for EU assistance in Croatia are 1. justice and home affairs and fundamental rights; 2. public administration reform; 3. environment and climate change; 4. transport; 5. private sector development; 6. social development; 7. agriculture and rural development. In line with the Enlargement Strategy and Main Challenges 2011-2012 and the accompanying 2011 Progress Report for Croatia, which identified the need to further consolidate reforms in the fields of rule of law, fight against corruption and reform of the public sector had been identified as key accession priorities, the IPA 2012-2013 National Programmes under Component I mainly focused on the first two sectors of the MIPD. In addition, the priorities identified under the sectors 3 to 7 continued to contribute
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