Review of structural funds in Poland, Slovakia, Lithuania,

Czech Republic

Joint Seminar “Helping municipalities to use Structural Funds for energy projects”

December 7-8, 2004, České Budejovice

Dalia Streimikiene

Lithuanian energy institute

Priorities of Structural Funds in LT

ID 1: Development of social and economic infrastructure;

ID 2: Developmentnt of human resources;

ID 3: Developmentnt of productive sector and services;

ID 4: Rural development and fisheries;

ID 5: Technical assistance.

Priorities of Structural Funds in SK

ID 1: Industry and Services;

ID 2: Human Resources;

ID 3: Agriculture and Rural Development;

ID 4: Basic Infrastructure.

Priorities of Structural Funds in CZ

ID 1: Industry and Enterprise;

ID 2: Infrastructure;

ID 3: Rural Development and Multi-Functional Agriculture;

ID 4: Human Resources Development.

Priorities of Structural Funds in PL

ID 1: Improvement of competitiveness of the economy;

ID 2: Human resources development;

ID 3: Restructuring and modernisation of the food sector and rural development;

ID 4: Fisheries and fish processing;

ID 5: Transport-Maritime Economy;

ID 6: Integrated Regional Operational Programme.

ID 7: Technical assistance

Priorities of Structural Funds in 4 NM

Infrastructure (LT, CZ, SK);

Human resources (4 NM);

Productive Sector (4 NM);

Rural, regional, agricultural development and fisheries (4 NM);

Transport-Maritime Economy (PL);

Technical assistance (LT, PL).

SF and Sustainable Energy in LT

ID 1: InfrastructurePriority ID 1-2.2: Renovation of boilers and biomass or natural gas conversion;Priority ID 1-2.3: Local and Renewable Energy Sources;Priority ID 1-2.4: Increase of Energy Efficiency in Public Sector;ID 3: Productive sectorsPriority ID 3-1.1: Implementation of new technologies;Priority ID 3-1.12: Implementation of environmental measures;ID 4: Rural developmentPriority ID 4-5.3: Investments to improve and rationalise the harvesting and logging of round wood and afforestation;Priority ID 4-3.3: Investments into industries reprocessing agriculture products.

Areas of sustainable energy support in OP and responsible institutions in LT

ID 1 Development of Social and Economic Infrastructure Ministry of Economy

ID 1-2 Ensuring of Energy supply Stability, accessibility and increased efficiencyLithuanian Business Support Agency of the Ministry of Economy Tasks: application screening, preparation of calls, implementation of project

ID 3: Development of productive sector & servicesMinistry of Economy

ID 3-1 Direct Support to BusinessLithuanian Business Support Agency of the Ministry of Economy Tasks: application screening, preparation of calls, implementation of project monitoring

ID 4: Rural Development and FisheriesMinistry of Agriculture

ID 4-5.3: Investments to improve and rationalise the harvesting and logging of round wood ID 4-3.3 Investments into industries reprocessing agriculture products.National paying authorityTasks: application screening, preparation of calls, implementation of project

Project cycle in Lithuania

4

Project applicants: municipalities, SME’s, public enterprises, NGO’s.

IMPLEMENTING BODY

Call for proposals.Project evaluation.Recommendations and remarks to Selection committee.

Signing support contracts with successful applicants.

INTERMIDIATE BODYPreparation of application forms and tender procedures.

Establishment of Selection committee.

Decision on financing (according to the recommendations of Selection committee).

MANAGING AUTHORITY

Participates in the selection committees

PROJECT APLICATION, EVALUATION AND SELECTION

Selection committeeAssessment of projects.

Recommendationsto the intermediate

body on projects to be financed.

SF and Sustainable Energy in SK

ID 1: Industry & servicesPriority ID 1-1.3: Support of business, innovation and applied research;Priority ID 1-1.4: Support for energy saving and use of RES;ID 3: Rural & agriculture developmentPriority ID 3-1: Investment in agricultural holdings;Priority ID 3-2: Improving the processing and marketing of agricultural products;ID 4: Basic InfrastructurePriority ID 4-2.2: Improvement and development of the infrastructure for the air protection;Priority ID 4-3.1: Building and development of civil infrastructure in the regions.

Areas of sustainable energy support in OP and responsible institutions in SK

ID 3 Agriculture and Rural Development Ministry of Agriculture

Priority ID 3-1 Investment in agricultural holdings;Priority ID 3-2 Improving the processing & marketing of agricultural productsAgriculture Paying Agency Sapard;Application screening, preparation of calls, implementation of project monitoring

ID 4 Basic InfrastructureMinistry of Construction & Regional Development

Priority ID 4-2.2 Development of the infrastructure for the air protection

Ministry of Environment

Priority ID 4-3.1 Development of CI in the regions

Ministry of Construction & Regional DevelopmentApplication screening, preparation of calls, implementation of project monitoring

ID 1 Industry & Services Ministry of Economy

ID 1-1.3 Support to business, innovation & researchID 1-1.4 Support of energy saving & RESSlovak Energy Agency Application screening, preparation of calls, implementation of project monitoring

SF and Sustainable Energy in CZ

ID 1: Industry & enterprisesPriority ID 1-7.1: Reducing energy consumption;Priority ID 1-7.2: Higher use of RES.ID 2: InfrastructurePriority ID 2-7.1: Support for the Introduction of Alternative Fuels in transport;Priority ID 2-10: Water Management Infrastructure Improvement;Priority ID 2-11: Air Protection Infrastructure Improvement;ID 4: Rural & agricultural developmentPriority ID 4-1: Investments in agricultural holdings ;Priority ID 4-4: Promoting the adaptation and development of rural areas

Areas of sustainable energy support in OP and responsible institutions in CZ

ID 1 Industry & Enterprises Ministry of Industry & Trade

ID 1-7.1 Reducing energy consumption;

ID 1-7.2 Higher use of RES.Czechlnvest Application screening, preparation of calls, implementation of project monitoring

ID 2 Infrastructure

Ministry of Environment

ID 2-7.1 Support for the Introduction of Alternative Fuels;

Ministry of Transport

ID 2-10 Water Management Infrastructure Improvement;

ID 2-11 Air Protection Infrastructure Improvement;State Environment FundApplication screening, preparation of calls, implementation of project monitoring

ID 4 Rural & Agricultural development

Ministry of Agriculture

ID 4-1 Investments in agricultural holdings ;

ID 4-4 Promoting the adaptation and development of rural areas Application screening, preparation of calls, implementation of project monitoring

SF and Sustainable Energy in PL

ID 1: Competitiveness of economyPriority ID 1-2.4: The Improving of competitive position of the enterprises operating on the European Single Market;ID 6: IROPPriority ID 6-1.2: Upgrade and modernisation of infrastructure aiming at regions’ competitiveness strengthening;Priority ID 6-3.1: Local development

Areas of sustainable energy support in OP and responsible institutions in PL

ID 1 Improvement of competitiveness of economyMinistry of Economy

ID 1-2.4: The Improving of competitive position of the enterprises operating on the European Single Market

Application screening, preparation of calls, implementation of project monitoring

ID 2 Integrated regional operation programmeMinistry of Economy

ID 6-1.2 Upgrade and modernisation of infrastructure aiming at regions’ competitiveness strengthening;

ID 6-3.1 Local development

Application screening, preparation of calls, implementation of project monitoring

Areas of sustainable energy support in OP & responsible institutions 4 NM

Areas of support in OP:Infrastructure;Productive Sector, competitiveness of economy;Rural & agricultural development.

Responsible Institutions:Ministry of Economy (LT, PL, SK);Ministry of Construction & Regional Development (SK); Ministry of Trade & Industry (CZ);Ministry of Agriculture (LT, SK, CZ);Ministry of Environment (CZ).

Implementing Institutions:Business Support Agency (LT); CzechInvest Energy Agency (SK);National or Agriculture Paying Authorities (LT, SK);State Environment Fund (CZ);Ministry of Transport (CZ)

ID 1: INFRASTRUCTURE: LT 1-2: Renovation of boilers and conversion to biomass, natural gas

Main Objective: to ensure stability, reliability, flexibility and accessibility of energy supply, increase of EE and to form a basis for the stable growth of national economy;Particular Subgoals relating to EE or RES: renovation of boilers and switching to other fuels in the combustion plants currently burning less environmentally friendly fuels (especially burning high sulphur content petroleum products);increase the use of RES;increase EE in public sector.

Particular schemes for project submission

Conversion of combustion installations to biomass, natural gas;Adjustment of renovated boilers for CC;Installation of new or adjustment of existing energy generation sources to use RES and municipal waste;Implementation of new technologies including CC, use of RES, municipal waste;Renovation of buildings and heating installations;Maintenance & control of energy use in renovated buildings; Energy audits of buildings & infrastructure;Regional cooperation, R&D related to EE improvements & energy market development in national & region al levels;Feasibility studies, information dissemination, education, consultancy and scientific research in this field.

Eligible projects & eligible applicants

Eligible applicants:State institutions;Municipalities & their institutions;Public bodies;Subjects eligible under the condition of State aid provision: ”Promotion of entrepreneurship, business & investments development”: 1. de minimis support, 2. support to SME, 3. regional aiddetailed eligibility requirement are defined during the call of proposals Eligible projects:Reduction of negative impact on environment;Increase of reliability of energy supply;Use or promotion to use RES;Increase of energy use efficiency;Implementation of advanced technologies

ID 3: PRODUCTIVE SECTORS: LT 3-1: Direct support to business

Main Objective: to increase competitiveness of companies and the level of entrepreneurship, to balance equal opportunities in business; to increase the potential of scientific research in business. Particular Subgoals relating to EE or RES: implementation of new technologies & innovations; implementation of environmental measuresParticular Schemes for projects submission: new products & service development; new technologies & innovations, modernization of production equipment; improvement of production & service processes; R&D for industry; integration of R&D in business; quality management systems; implementation of standards & certification systems; establishment of industry & business collaboration clusters; implementation of cost reduction measures including EE measures;

Eligible applicants: SMEs Eligible projects: creation of high VA products, increase of competitiveness, internalization, impact on RD, cooperation.

ID 4: RURAL & AGRICULTURE: LTID 4-5: ForestryID 4-3: Marketing of agriculture products

Main Objective: develop EES functions of forests, to improve the infrastructure and productivity of private forest holdings, increase the possibility for alternative activity and improve environment;modernize processing and marketing of agricultural products, to improve their competitiveness and to increase the VA.Particular Subgoals relating to EE or RES: improve the harvesting and logging of round wood as well as afforestation of non-agricultural land (use of biomass);investments into industries reprocessing agriculture products (raps conversion to biofuels) Particular Schemes for projects submission: agriculture activities for raps cultivation; diversification of agricultural activities including reprocessing of produced products and marketing.

Eligible applicants: farmers, agriculture companies, cooperatives etc.

ID 1: INDUSTRY AND SERVICES: SK1-1.3 Support of innovation and research1-1.4 Support of EE and use of RES

Main Objective: increase of industry competitiveness through R&D; Support of EE and RES.Particular Subgoals relating to EE or RES: implementation of new technologies & innovations, environmental measures to reduce emissions;the approximation of industrial energy demands to the EU levels through EE and enhanced competitiveness of enterprises. increase use of RES and local fuels by promoting reg. business; Eligible applicants: SME; PBEligible projects: R&D in new EE technologies; support of participation in EU innovation activities; R&D in sectors with low innovative potential, entrepreneurs focussing on innovation of processes, products & management

Particular schemes for project submission

Support of links of R&D & business;certification equipment in the certification process;consulting in documentation development for air quality management process, in implementing EMAS & ISOproduction of prototypes and their testing on the market, designs of new products;identification and elaboration of technical expertise to launch new technology and products & their independent, professional testing;support for the organisation of international seminars, conferences; feasibility studies in relevant area;

improvement of the environment in terms of emissions, safety of WW and solid wastes and radiations;

ID 3: AGRICULTURE & RURAL :SK3-1 Investments in agricultural holdings3-2 Processing of agriculture products

Main Objective: Increase the efficiency of agricultural production and quality of life for the rural populationParticular Subgoals relating to EE or RES: facilities for the use of alternative energy sources for own consumption of energy;construction of technologies for environmental protection (WW); Particular Schemes for projects submission: facilities for use of alternative energy for own needs, reconstruction & construction of WW treatment technologies, reconstruction of farm and forestry facilities to agro-tourism, housing equipments & technologies, Eligible applicants: SMEs, farmers, agriculture companies,

Eligible projects: facilities for use of alternative energy for own needs, modernization of housing equipment for

recreational activities.

ID 4: INFRASTRUCTURE: SK4-2.2 Air protection infrastructure4-3.1 Developing of civil infrastructure

Main Objective: balanced regional development Particular Subgoals relating to EE or RES: switching on fuels with low-emission and RES;installation of technology to reduce air emissions & monitoring;reconstruction of buildings and facilities of educational, health, infrastructure (aimed at the insulation of buildings). Particular Schemes for projects submission: installation of clean combustion technologies and RES, pollution abatement installations, reconstruction and insulation of buildings of educational, health, social and cultural infrastructure; Eligible applicants: SMEs; Public Authorities, Municipalities

Eligible projects: low emission energy combustion sources & RES, pollution abatement technologies & monitoring,

renovation of buildings to increase EE.

ID 1: INDUSTRY & ENTERPRISE: CZ1-7 Increase of EE & use of RES

Main Objective: Reducing energy consumption and higher use of RESParticular Subgoals relating to EE or RES:New technologies, energy savings in industry and industrial services (SMEs) to reach the EU levels and increase the competitiveness.Ensure economical use of energy.Particular Schemes for projects submission:Energy savings programme;RES programmeEligible applicants: SMEs in industry;Eligible projects: implementation new, EE technologies & energy

audits; RES application in industry, CHP burning biomass, SHPPs, geothermal, waste incineration & sludge from WW.

ID 2: INFRASTRUCTURE: CZ 2-7: Introduction of alternative fuels 2-10: Water management improvement 2-11: Air protection infrastructureObjective:

introduction of alternative fuels in transportwater management infrastructure improvement;air protection infrastructure improvementParticular Subgoals relating to EE or RES:increase number of motor vehicles using biofuels (esp. from rape);improvement of the level of WW sludge management;environment-friendly combustion technologies and use of RESParticular Schemes for projects submission:support for the introduction of biofuels;

Construction of facilities for energy use of sludge from WW;Application of clean combustion technologies Eligible projects: R&D in alternative fuels, hydrogen, fuel cells, WW treatment facilities, combustion of Hospital Waste, use of RES

ID 4: RURAL & AGRICULTURE: CZ4-1: Investments In agriculture holdings;4-4: Development of rural areas

Main Objective: further diversification of agricultural activities;development of rural areas.Particular Subgoals relating to EE or RES: production, processing and marketing of biomass made of one’s own agricultural activity investments into use of alternative energy sources (max. 5MW)Particular Schemes for projects submission:Production of biomass from own agriculture activities;Support of investments for using alternative energy sources

Eligible applicants: SME in agriculture, farmers;Eligible projects: production of biomass from agriculture

activities, use of biomass & biogas as alternative sources.

ID 1: ECONOMY: PL1-2.4: Improvement of competitiveness of enterprises;

Main Objective: support for investments aiming at the adjustment of companies to the environmental protection requirements state aid for pro-ecological investments in companies to increase competitiveness;Particular Subgoals relating to EE or RES: reduce of emissions from large power supply plants, generate of energy from RES, achieve environmental standards and the implementation of BAT. Particular Schemes for projects submission: NA

ID 6: INTEGRATED REGIONAL DEVELOPMENT : PL6-1.2: Modernization of Infrastructure6-3.1: Local development

Main Objective: to upgrade and modernise of infrastructure aiming at regions’ competitiveness strengtheningParticular Subgoals relating to EE or RES:sewage and water system management;air protection and waste management, efficient use of energy (including RES),Particular Schemes for projects submission: NA

Main Objective: ES, increase of EE for the stable growth of economy (LT);balanced regional development and modernisation of infrastructure in regions to ensure competitiveness (SK, PL);introduction of alternative fuels and decrease of ecological burden caused by road traffic (CZ);WW management & air protection infrastructure improvement (CZ)Particular Subgoals relating to EE or RES:increase use of RES; EE in public sector (4 NM);air protection (4 NM);increase number of motor vehicles using biofuels (CZ);improvement of WW & sludge management (CZ, PL);

Eligible applicants: SMEs, PB, Municipalities, State institutions

INFRASTRUCTURE DEVELOPMENT in 4 NM

Main Objective: to increase competitiveness of companies and the level of entrepreneurship, to increase the potential of R&D in business (4 NM);Support of EE and RES to increase competitiveness (SK, CZ, PL);Support for investments into implementation of environmental protection requirements to increase enterprise competitiveness (PL).Particular Subgoals relating to EE or RES:new technologies & environmental measures (4 NM);the approximation of industrial energy demands to the EU levels through EE (SK, CZ). increase use of RES and local fuels by promoting reg. business (SK, PL);

Eligible applicants: SMEs, PB, Municipalities

COMPETETIVENES OF PRODUCTIVE SECTORS in 4 NM

Main Objective: modernize processing and marketing of agricultural products, to improve their competitiveness (4 NM);diversification of agricultural activities & development of rural areas (4 NM);improve the productivity of private forest holdings (LT) ;Particular Subgoals relating to EE or RES:improve the harvesting and logging of round wood & biomass (LT);investments into raps conversion to biofuels (LT);financing of ffacilities for the use of alternative energy sources (biomass) for own consumption of energy (SK, CZ, PL);investments into use of alternative energy sources, max. 5MW (CZ)

Eligible applicants: farmers, agriculture companies, cooperatives etc.

REGIONAL & AGRICULTURAL DEVELOPMENT in 4 NM

Lithuania: Priority 1.2: Ensuring of energy supply stability, accessibility & EEThe funds allocated for 2004-2006: 82.76 MEURThe funds distributed for 3 projects (total 7 projects) aiming at EE in public buildings: 1.24 MEUR;Slovakia: Priority 1-1.4: Support of EE & and use of RESThe funds allocated: 33.1 MEURThe funds distributed for 2 projects: (total 13 projects)Czech Republic: Priority 1-7: Reduction of energy consumption and use of RESThe funds allocated : 34.8 MEURThe funds distributed 2 (total 7) projects : 15 thous. – 1 mil. EUR; Poland: Priority 1-2.4: State aid for ecological investments in companies

USE of SDF for Sustainable energy projects in 4NM

EU SF administration in Lithuania

2

SCHEME OF EU SF SUPPORT ADMINISTRATION IN LITHUANIA

Conclusions

There 4 main Sectoral Operation programmes in 4 NM: Infrastructure; Human resources; Productive Sector; Rural, agricultural development and fisheries. They are very similar for Slovakia, Czech Republic and Lithuania, only for LT & PL Technical assistance is available.In Poland the structure of priorities is quite different including separate SOP for maritime transport & separate SOP for fisheries. Poland has also integrated regional OP;The SOP which can be used for support of activities in the area of RES & EE are similar in 4 NM: infrastructure, productive sectors, agricultural & rural development;Though structure of priorities quite similar the similar projects are being finance from different SOP in 4 NM.

Conclusions

The main activities in the area of RES & EE in 4 NM are from SOP ID1 but these SOP have different titles and priorities: in SK & CZ ID1: Industry & Service or Industry & Enterprise:In LT: development of social & economic infrastructure;In PL: Increase of competitiveness of economy;The most similar structure of SOP and measures is in SK CZ;The funds allocated for priority 1.2: Ensuring of energy supply stability, accessibility & EE in Lithuania 2004-2006 : 82.76 MEUR; the funds distributed for 3 projects 1.24 MEUR;The funds allocated for priority Slovakia for priority 1-1.4: Support of EE & and use of RES is 33.1 MEUR. The funds distributed for 2 projects.The funds allocated in CZ for priority 1-7: Reduction of energy consumption and use of RES: 34.8 MEUR. The funds for 2 projects distributed: 15 thous. – 1 mil. EUR.

Conclusions

Particular Subgoals relating to EE or RES in Infrastructure:increase use of RES; EE in public sector (4 NM); air protection (4 NM); increase number of motor vehicles using biofuels (CZ); improvement of WW & sludge management (CZ, PL);Particular Subgoals relating to EE or RES in Productive sectors: new technologies & environmental measures (4 NM);the approximation of industrial energy demands to the EU levels through EE (SK, CZ); increase use of RES and local fuels by promoting reg. business (SK, PL);

Particular Subgoals relating to EE or RES in Agriculture & Regional: improve the harvesting and logging of round wood & biomass (LT); investments into raps conversion to biofuels (LT); financing of ffacilities for the use of alternative energy sources (biomass) for own consumption of energy (SK, CZ, PL); investments into use of alternative energy sources, max. 5MW (CZ).

Thank you for your attention!

Contact: Lithuanian energy instituteName: Dalia StreimikieneE-Mail: dalia@mail.lei.lt