MA SOP Environment SECTORAL OPERATIONAL PROGRAMME ENVIRONMENT 2007-2013 in ROMANIA Water & Waste Water Sector Dutch delegation – 22.10.2012 Florian Burnar Programming Director
GENERAL OBJECTIVE General Objective – protection and improvement of living standards of the population and of environmental standards aiming, first of all, the compliance with the environmental community acquis. General Strategy - to answer to the following 3 main strategic directions: • Improving access to public utilities in Romania and supporting the economic development conditions in regions • Improving environmental protection as a mandatory condition for sustainable development • Strengthening institutional and governmental capacity as a key-priority, aiming the development of an efficient management structure for environmental services
SOP ENVIRONMENT- PRIORITY AXES General Objective of SOP ENV– improvement of living standards of the population
and of environmental standards, aiming, mainly, the compliance with the environmental communaitaire aquis
Specific Objective 1 Improvement of quality and access to the water/wastewater infrastructure
Priority Axis 1 Extension and modernization of water and wastewater infrastructure
3,14 Billion Euro
Specific Objective 2 Development of sustainable waste management systems
Specific Objective 3 Specific Objective 4 Specific Objective 5 Reduction of the Protection and improvement Reduction of the incidence negative environmental of biodiversity and of natural disasters impact caused by natural heritage affecting the population urban heating plants
Priority Axis 2 Priority Axis 3 Development of Rehabilitation of Integrated waste management systems municipal district heating systems and rehabilitation of historically contaminated sites 1,11 Billion Euro
0,38 billion Euro
Priority Axis 5 Priority Axis 4 Development of Implementation of adequate management adequate infrastructure for natural risks systems for prevention nature protection
0,19 billion Euro
Priority Axis 6 Technical Assistance 0,14 billion Euro
0,31 billion Euro
Breakdown of total financial contribution by priority axis (EUR billion)
0,14 0,19
0,31
0,38
3,14 1,11
SOP - key aspects SOP Financial Allocation: TOTAL: 5,3 billion Euro - EU Contribution (CF): 4,5 billion Euro - National Contribution: 0,8 billion Euro
Decentralized management: MA/ IBs/ Beneficiaries Major Beneficiaries: regional operators / local authorities / intercommunity development associations (IDAs)
Funding strategy: regional projects Principles: solidarity, polluter pays, affordability Contribution to meeting the commitments of the Accession Treaty
SOP ACHIEVEMENTS TO DATE – relevant figures 352 projects approved, in total value of 7.262.024.530 Euro, out of which 5.453.508.027 Euro eligible value Commitment rate of SOP funds – 102,73% Total payments made up to date: 816.760.802 Euro, out of which: Pre-financing – 390.499.767 Euro Reimbursements – 426.261.036 Euro Payments made by the EC: 277.047.163 Euro Rate of absorbtion: 6,14%
Priority Axis 1 – Water & wastewater sector ACHIEVEMENTS TO DATE – relevant figures 41 projects approved, in total value of 5.422.077.255 Euro, out of which 4.033.706.913 Euro eligible value Commitment rate of SOP funds – 128,08% Total payments made up to date: 558.547.576 Euro, out of which: Pre-financing – 279.609.287 Euro Reimbursements – 278.938.289 Euro Rate of absorbtion: 18,38%
Project Status - Axis SOP 1 - Water sector - 41 Approved Projects (1 non-major project) BOTOŞANI SATU MARE
- 3 Proiects Approval in 2012
MARAMUREŞ SUCEAVA SĂLAJ
BISTRIŢA NĂSĂUD
IAŞI
BIHOR
NEAMŢ CLUJ MUREŞ
VASLUI HARGHITA
ARAD
BACĂU
ALBA COVASNA TIMIŞ
HUNEDOARA
CARAŞ SEVERIN
SIBIU
VRANCEA
BRAŞOV
BUZĂU
VÂLCEA GORJ
GALAŢI
ARGEŞ
PRAHOVA DÂMBOVIŢA
BRĂILA
TULCEA
IALOMIŢĂ MEHEDINŢI
ILFOV
OLT
CĂLĂRAŞI
DOLJ
GIURGIU TELEORMAN
CONSTANŢA
Institutional requirements – water sector 3 pillars at the basis of the regionalization process… Intercommunity Development Association in each county (IDA) – joining together the administrative territorial units in specific area Regional Operating Company – running the water & wastewater infrastructure Service Delegation Contract – between IDA and the ROC Regionalization process has been successfully implemented. Ex: Constanta, Cluj regional operators expanded their area of service across more counties; Perspectives for further mergers between regional operators.
Water & Wastewater projects – sludge strategy
National strategy for sludge management has identified regional options for sludge management, including potential uses and costs. Sustainable sludge-disposal strategy is a priority! All the identified options are accepted practice in the EU (Agricultural Reuse; Forestry; Co-incineration/ Incineration; Land filling)
Where feasible - use of treated sludge on agricultural land is the least cost option and brings economic and environmental benefits Where agricultural use is not feasible – energy from waste options (mono- or co-incineration, cement kilns) can provide an alternative Key considerations in implementation will be cost and affordability (operators and customers), timescale and ability to develop effective sludge use or disposal outlets
Sludge Strategy Conclusions upon disposal alternatives Most regions, but not all counties, have sufficient agricultural land potentially suitable for sustainable use of sludge. Forestry and land reclamation could provide periodic opportunities to use large quantities of sludge. Cement factories are potentially significant outlets for combustion of sludge, but viability depends on transport distance, sludge moisture content and gate fee. Landfill disposal (provided that the solid sludge to be at least 35% and not more than 10% of the landfill storage capacity) will be required in the short-term to provide transition to sludge use options but will become increasing costly. Sludge incinerators may be necessary where use on land and in cement factories does not provide sufficient capacity.
Perspectives for 2012 and onwards... Approval of the projects remained in the portfolio (3 projects) Speeding up the spending of money allocated to the approved water projects Launching the preparation of the project pipeline for 20142020 in the water & waste water sector Starting the preparatory activities to elaborate the strategic documents for the 2014-2020 programming period (water & wastewater a major priority for Romania).
Project pipeline for 2014-2020 water & waste water sector Using the same approach Beneficiaries-> Regional Operators Regional Projects Financing priority investments needed to comply with obligations under the Treaty of Accession New approach Increased ownership of the project – beneficiaries “hire” the consultants to prepare the projects Estimated investment: 80 mil. Euro / project MoEF - coordinating role: design guides, approve the lists of priority investment, approval of funding applications etc. Investments which promote and contribute to climate change mitigation and adaptation measures, and components for efficient water and sewerage systems
Considerations for 2014-2020 period water & waste water sector
Continue & consolidate the regionalization process Tariff adjustment: sine qua non for ensuring sustainability of investments Awareness IDA role in the design of regional projects and in monitoring delegation contracts Public awareness: connecting to services - at the time of investment Strengthening of institutional capacity
Conclusions SOP Environment is an operational program with experienced beneficiaries which implemented successfully similar projects in the past: MUDP, SAMTID, ISPA, PHARE; The last 2 years experienced a major increase in terms of commitment of funds in the water sector. Year 2013 is decisive for contracting all components included in projects funded by SOP Environment. Market response is essential! Efforts to achieve full compliance with the European Directives should continue in the programming period 2014 – 2020!
MINISTRY OF ENVIRONMENT AND FORESTS MANAGING AUTHORITY FOR SOP ENVIRONMENT 2007 - 2013
30-32 Calea Serban Voda, sector 4, Bucharest, Romania Tel: +4021/335 35 65; Fax: +4021/316 07 78 www.posmediu.ro www.mmediu.ro