European development fund july 2015

Page 1

19th July 2015

The European Development Fund, 2010 to 2013 The European Development Fund (EDF) was created in 1959 and its 10th incarnation ended in 2013. Managed by the EU Commission’s Directorate-General for Development and Cooperation – EuropeAid, the EDF sits outside the EU budget. Instead, it is funded by voluntary contributions totalling €22.68 billion and reserves topped up by decommitments from earlier EDFs. The sunset clause associated with the 10th EDF led to “every effort [being] made… to commit the maximum of the funds available from the 10th EDF”.1 The EDF is focussed on the development of two groups of countries: the Africa, Caribbean and the Pacific (ACP) countries group and the Overseas Countries and Territories (OCT) group. The former group is defined by the Cotonou Agreement, the latter is made up of overseas territories of EU member states. For those which relate to the UK, the EDF is their only source of outside funding aside from the UK government.2 EDF funding is subject to the European Court of Auditors, who estimate a likely payment error rate of 3.4 per cent. Of the 165 payments which were scrutinised by the court, 45 were affected by error. Of the errors identified:   

51 per cent were attributed to “non-compliance by the beneficiary with procurement rules” 19 per cent due to “absence of supporting documents to justify expenditure” 17 per cent due to “ineligible expenditure”.

This leads to the conclusion that “EDF payment transactions were affected by material error”.3 This research note shows the organisations and nations who are the beneficiaries of 10th EDF Commitments between 2010 and 2013. It looks at UK-based beneficiaries and those across the world which received the largest commitments. There is a complete list of 10th EDF commitments in 2013 and for reference, it details the 1

Annual Accounts of the 8th, 9th and 10th European Development Funds – Financial Year 2013, page 39, accessed June 2015, http://ec.europa.eu/budget/library/biblio/documents/FED/FED_2013_en.pdf 2 Multilateral Aid Review: Assessment of the European Development Fund (EDF), 2011, accessed June 2015, https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/67631/edf.pdf 3 Annual Report on the Activities funded by the 8th, 9th and 10th European Development Funds, 2014, accessed June 2015,

http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52014TA1112(02)&from=EN


commitments made by EU member states in 2013, and provides a breakdown of the funding allocations by country.

Key Findings 

Belgium-based organisations received 565 commitments from 2010 to 2013 – 281 more than organisations based in any other nation – with a total value of €109 million.

France-based organisations received 243 commitments from 2010 to 2013 with a total value of €170 million.

Spain-based organisations received 159 commitments from 2010 to 2013 with a total value of €31 million.

UK-based organisations received 284 commitments with a total value of €137 million from the 10th EDF from 2010 to 2013. 

Moore Stephens LLP received 85 commitments from the 10th EDF in this period with a total value of €3.9 million.

HTSPE Ltd received 34 commitments from the 10th EDF in this period with a total value of €3.8 million.

Landell Mills Ltd received 22 commitments from the 10th EDF in this period with a total value of €10.2 million.

 Oxfam GB LBG received €15 million from the 10th EDF in this period the greatest amount of funding received by a single UK-based organisation.

 Plan International UK LBG received €12.7 million from the 10th EDF in this period - the second greatest amount of funding received by a single UK-based organisation.

 Programmes funded by 10th EDF commitments to non-UK-based organisations in 2013 include: 

The Sounds of Tomorrow: Developing Capacities of Musicians and Music Related Professionals in Tanzania – Music Mayday Tanzania Company Limited LBG - €250,000 – Tanzania

Community Art Space (CAS) - A Tool for Local Development – United Nations Educational Scientific and Cultural Organization €249,987 – France

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EU Flight Services to Somalia – Airtraffic LTD - €13,204,525 – Kenya

Culture Fund - EU Partnership for Arts and Culture Development – The Culture Fund Zimbabwe Trust - €500,000 – 2013 – Zimbabwe

Nafasi Art Space: Creating Opportunities for Professional Visual Arts in Tanzania – Nafasi Art Space NGO - €245,837 – Tanzania

Moving Tanzania – Kilimanjiro Film Institute Limited LBG €240,000 – Tanzania

Contemporary Dance for Empowerment and Social Change – Muda Africa Limited - €237,951 – Tanzania

Professionalizing Theatre Practices in Tanzania – Parapanda Theatre lab trust - €232,681 – Tanzania

Fit for Life: Educating Vulnerable Youngsters in the Arts and Creative Industries in Dar es Salaam – Goethe-Institut EV €215,972 – Germany

Air Travel and Related Services for GoS Visit to Brussels – Highlight Travel Limited - €28,216 - Kenya

The Views of the Youth – Restless Development Trust - €26,900 – Zimbabwe – two identical commitments

 The Republic of Malawi received €206 million in four commitments – the most of any single nation.

 The largest single commitment was to the Federal Democratic Republic of Ethiopia who received €135 million in 2010.

 Programmes funded by 10th EDF commitments to UK-based organisations include: 

Skills for Creative Industry Support Services – The British Council Royal Charter - €248,056 - 2013

Short Term Technical Assistance to Ministry of Roads – Claims Evaluation – Parsons Brinckerhoff LTD - €153,782 - 2013

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Development of Forest Sector Financing Mechanisms – Landell Mills Limited - €94,663 - 2013

Preparation and Organization of the 3rd Meeting of the ACP Ministers of Culture – CFBT Education Trust LBG - €114,288 – 2012

Technical Assistance to ACP Secretariat for Grants Management Under Culture Programmes – CFBT Education Trust LBG - €118,591 – 2011

 Other commitments to non-UK organisations include: 

Support to the Organisation of the Zimbabwe Pavillion at the Venice Art Exhibition - Zimbabwe National gallery – National Gallery of Zimbabwe - £25,000 – Zimbabwe - 2011

Media and Communication support for the EU Delegation in Jamaica – Danish Management AS - £184,975 – Denmark - 2012

Technical Assistance for the Establishment of a Wildlife Section and Policy in the Ministry of Tourism and Environmental Affairs, Swaziland – Euronet Consulting GEIE £176,276 – Belgium - 2012

PARTICIPATION OF OCT REPRESENTATIVES TO THE ARUBA CONFERENCE ON RENEWABLE ENERGIES – LDK Consultants Engineers & Planners SA - £107,340.52 – Greece – 2012

In 2011 Confidential commitments were made to organisations in: 

Belgium - £198,464

Belgium - £86,680

Spain – £45,873

Belgium - £45,873

Uganda - £9,580

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Sources and Methodology 

Commitment data is from the European Commission’s Financial Transparency System (FTS). 

Only commitments that are explicitly within the 10th EDF have been included in this research note (see notes).

Issues 

The FTS only details commitments from the EDF not the amounts paid out. This accounts for the difference in the aid outturn in the annual accounts and the details on the FTS.

There are a large number of unclassified commitments in 2013 (see notes).

Procurement contracts of under €15,000 are not recorded in the FTS.

Some commitments are shared between numerous organisations but the value is not split between the parties. In these cases each organisation will show a commitment of the total value. This may cause discrepancies in the total commitment numbers where it causes double-counting.

Table Guide Table 1: 10th EDF Commitments detailed in the FTS. Table 2: Total commitments made by the 10th EDF for the years 2010 to 2013 by country. Table 3: Total commitments made to UK-based organisations for the years 2010 to 2013 by number of commitments. Table 4: 10th EDF capital called up in 2013 by country.

For full research including all commitments made by the 10th EDF in 2013, and all commitments made to UK-based organisations from 2010-2013, please click here

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To arrange broadcast interviews please contact: Andy Silvester, Campaign Director Andy.Silvester@taxpayersalliance.com 07891 059 567 To discuss the research, please contact: Harry Fairhead, Policy Analyst Harry.Fairhead@taxpayersalliance.com 07807 885 200

Financial support for this research paper was provided by the Politics and Economics Research Trust (charity number 1121849). Any views expressed in this paper are those of the author and not those of the research trust or of its trustees.

Table 1: 10th EDF commitments detailed in the FTS. Year

2010

FTS Tenth EDF Commitments (â‚Ź)

1,445,384,044

2011

2012

1,067,622,612

2013

1,241,649,974

262,172,768

Table 2: Total commitments made by the 10th EDF for the years 2010 to 2013 by country. Country

Commitments (no.)

Total commitments (â‚Ź)

Anguilla

1

11,700,000

Antigua and Barbuda

1

9,000,000

Aruba

1

8,400,000

Australia

1

10,000

Austria

9

38,964,515

565

109,488,535

Belize

2

9,567,888

Benin

16

130,297,187

5

94,720,000

13

89,643,201

5

57,460,000

11

12,285,175

1

19,000

Belgium

Botswana Burkina Faso Burundi Cameroon Canada

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Country

Commitments (no.)

Total commitments (â‚Ź)

Cape Verde

2

9,009,990

Central African Republic

3

23,700,000

Chad

2

49,537

Comoros

1

2,283,000

Congo

4

3,841,102

Congo (Democratic Republic of)

3

50,118,000

Denmark

66

61,330,062

Dominica

3

13,270,000

17

156,724,592

Eritrea

2

3,350

Ethiopia

4

147,452,968

Fiji

4

8,065,716

Finland

2

260,000

France

243

169,509,245

Gabon

8

75,358,798

111

102,438,945

Ghana

6

102,600,939

Greece

50

6,455,820

Grenada

3

10,700,000

Guinea

3

2,617,716

Guyana

4

22,245,451

Haiti

9

71,243,518

Ireland

13

15,032,589

Italy

84

135,218,001

5

119,335,952

Jamaica

19

28,517,828

Kenya

23

40,956,158

Lesotho

13

84,150,000

Liberia

6

86,420,000

Luxembourg

11

30,182,125

Madagascar

1

1,031,000

Malawi

6

208,258,870

15

50,539,048

5

4,910,111

12

47,424,952

Micronesia

1

1,875,000

Montserrat

1

15,390,000

Dominican Republic

Germany

Ivory coast

Mali Mauritania Mauritius

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Country

Commitments (no.)

Total commitments (â‚Ź)

Mozambique

8

65,676,750

Namibia

7

72,539,266

83

95,311,129

New Caledonia

1

19,810,000

New Zealand

1

8,000

13

172,955,497

Nigeria

3

41,152,834

Norway

2

1,645,744

Papua New Guinea

2

36,274

Poland

2

125,965

Portugal

11

27,951,948

Rwanda

15

202,281,842

Saint Helena

1

16,400,000

Saint Pierre and Miquelon

1

20,600,000

Samoa

4

24,500,000

Sao Tome and PrĂ­ncipe

4

495,860

Senegal

6

47,006,271

Seychelles

2

10,200,000

Sierra Leone

6

25,635,713

Solomon Islands

3

15,013,674

South Africa

2

2,026,575

159

30,782,319

5

3,496,910

Switzerland

19

51,393,939

Tanzania

17

120,812,287

Togo

7

19,545,735

Tonga

1

5,500,000

Trinidad and Tobago

5

14,216,095

Turks and Caicos Islands

1

4,165,000

Tuvalu

1

1,500,000

Uganda

34

148,607,315

284

136,984,628

29

66,634,703

Vanuatu

3

12,443

Zambia

1

69,300,000

Zimbabwe

7

2,428,800

2,146

4,016,829,398

Netherlands

Niger

Spain Sweden

United Kingdom United States

Total

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Table 3: Total Commitments made to UK-based organisations for the years 2010 to 2013 by number of commitments. Organisation

10th EDF Commitments; 2010 to 2013 (no.)

10th EDF Commitments; 2010 to 2013 (€)

Notes

MOORE STEPHENS LLP*

85

3,924,123

An accounting and consulting network Now trading as DAI - an international development company

HTSPE LIMITED*

34

3,800,644

LANDELL MILLS LIMITED*

22

10,226,749

CARDNO EMERGING MARKETS (UK) LTD*

19

2,008,544

OVE ARUP & PARTNERS INTERNATIONAL LTD*OAPIL

18

2,396,925

PARSONS BRINCKERHOFF LTD*PB

18

2,149,568

CAMBRIDGE EDUCATION LIMITED*

10

939,114

THE SAVE THE CHILDREN FUND LBG*

8

10,903,352

INTERNATIONAL RESCUE COMMITTEE UK*

7

7,533,112

PLAN INTERNATIONAL UK LIMITED BY GUARANTEE*

7

12,664,018

CFBT EDUCATION TRUST LBG*

6

667,721

An international development organisation A global provider of education services and consultancy

OXFAM GB LBG*

6

14,950,872

An aid and development charity

CHRISTIAN AID LBG*

3

1,670,000

An international development charity

MERCY CORPS SCOTLAND LBG*

3

4,888,042

An international development organisation

An international development consultancy A development consultancy and technical assistant A global firm of consulting engineers A planning, engineering, and program and construction management organization An education and international development consultancy A humanitarian and aid organisation A humanitarian and post-conflict development organisation

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Organisation

NATURAL PERSON ; PERSONNE PRIVÉE ; PRIVATPERSON - Art. 21(2) RAP

10th EDF Commitments; 2010 to 2013 (no.)

10th EDF Commitments; 2010 to 2013 (€)

Notes

3

464,000

WATERAID LBG* MEDICAL EMERGENCY RELIEF INTERNATIONAL CHARITABLE TRUST*MERLIN

3

6,483,188

N/A An international charity which improves access to water, hygiene and sanitation

2

2,800,000

An international health charity

THE MINES ADVISORY GROUP LBG*MAG

2

1,699,412

WORLD VISION UK*

2

2,639,635

A post-conflict landmine clearing charity A humanitariand aid, development and advocacy organisation

AFRICA EDUCATIONAL TRUST*AET A E T

1

2,000,000

An education promotion organisation in Africa

CARE INTERNATIONAL UK LBG*CIUK CATHOLIC AGENCY FOR OVERSEAS DEVELOPMENT TRUST* CHARTERED INSTITUTE OF PUBLIC FINANCE AND ACCOUNTANCY ROYAL CHARTER*CIPFA

1

2,500,000

An international humanitarian agency

1

1,740,000

An international aid agency

1

28,500

CONCERN UNIVERSAL LBG*CU

1

1,639,322

A professional body for people in public finance An international development and international relief organisation

Confidential ; Confidentiel ; Vertraulich DELIVERY OF ADVANCED NETWORK TECHNOLOGY TO EUROPE LIMTED* FOOD AND AGRICULTURAL RESEARCH MANAGEMENT LBG*FARM-AFRICA

1

49,518

1

11,800,000

1

1,609,917

GARDNER GREENWICH UNIVERSITY ENTERPRISES LIMITED*GUE LTD

1

19,999

1

52,000

GRM INTERNATIONAL LIMITED*

1

5,140,000

N/A (DANTE) A network building non-profit organisation A food poverty and agricultural development organisation

A global development management firm

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Organisation

10th EDF Commitments; 2010 to 2013 (no.)

10th EDF Commitments; 2010 to 2013 (€)

Notes

HEALTH LIMITED*HEALTH POVERTY ACTION

1

1,097,952

An international development organisation

INTERNATIONAL MEDICAL CORPS UK LBG*IMC

1

1,253,756

An emergency relief provider

ISLAMIC RELIEF WORLDWIDE*

1

2,000,000

An international humanitarian organisation

MINORITY RIGHTS GROUP LBG*MRG

1

357,972

MOTT MACDONALD LIMITED*

1

470,000

An international human rights organisation A management, engineering and development consultancy

NEDLEY

1

18,872

An international development consultancy

PRACTICAL ACTION LBG*

1

2,494,253

An international development charity

PRINT

1

18,000

SAFERWORLD LBG*

1

2,150,000

A conflict prevention and reduction organisation

SELF HELP AFRICA (UK) LBG*

1

1,199,288

An international development agency

TEARFUND LBG*

1

1,788,205

A relief and development charity

THE BRITISH COUNCIL ROYAL CHARTER* UNITED KINGDOM OF GREAT BRITAIN ANDNORTHERN IRELAND*

1

248,056

A charitable organisation for cultural promotion

1

4,500,000

DFID Ghana programme

282

136,984,629

Total

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Table 4: 10th EDF capital called up in 2013 by country. Contributions

Total EDF Commitment %

Uncalled 10th EDF 31-12-2012 (€m)

Called Up in 2013 (€m)

Uncalled 10th EDF 31-12-2013 (€m)

Austria

2.4

-388

71

-317

Belgium

3.5

-569

104

-465

Bulgaria

0.1

-23

4

-18

Cyprus

0.1

-15

3

-12

Czech Republic

0.5

-82

15

-67

Denmark

2.0

-322

59

-263

Estonia

0.1

-8

1

-7

Finland

1.5

-237

43

-193

France

19.6

-3,150

577

-2,573

Germany

20.5

-3,303

605

-2,698

Greece

1.5

-237

43

-193

Hungary

0.6

-89

16

-72

Ireland

0.9

-147

27

-120

12.9

-2,072

379

-1,693

Latvia

0.1

-11

2

-9

Lithuania

0.1

-19

4

-16

Luxemburg

0.3

-44

8

-36

Malta

0.0

-5

1

-4

Netherlands

4.9

-781

143

-638

Poland

1.3

-209

38

-171

Portugal

1.2

-185

34

-151

Romania

0.4

-60

11

-49

Slovakia

0.2

-34

6

-28

Slovenia

0.2

-29

5

-24

Spain

7.9

-1,265

232

-1,033

Sweden

2.7

-441

81

-361

United Kingdom

14.8

-2,388

437

-1,951

TOTAL

100

-16,112

2,950

-13,162

Italy

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Notes The FTS does return details on total EDF commitments which initially seems higher than the totals noted in Table 1 (see picture 1). However, in 2013, this includes 13 9th EDF commitments, 481 unclassified commitments and one Agriculture and Rural Development commitment (see picture 2). This is also the case in 2012 (see picture 3). For consistency, any commitment which is not explicitrly labelled as from the 10th EDF has been omitted from this research note. Picture 1

Picture 2

Picture 3

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