Regional
Connectivity
Agenda: state of
play and way
forward
Nicholas Cendrowicz
Deputy Head of Unit, D5, Western Balkans Regional Cooperation & Programmes (DG NEAR)
EU Enlargement
Third Meeting on Donor Coordination in the Western Balkans
(March 16th 2017)
1.
WHAT IS CONNECTIVITY?
• Key idea: Connectivity is not necessarily about building new infrastructure
(roads, railways, power and gas transmission lines)
• It's about getting the best use of infrastructure
 Improving the framework in which transport and energy services operate
 Sometimes that involves working on the legal and regulatory framework
 Upgrading existing infrastructure or improving maintenance
 In certain key parts of the network, new infrastructure will be necessary
EU Enlargement
CONNECTIVITY AGENDA
Key elements
1. High-level political driver
2. Regional work to define common priorities
3. National work to put investments in a sound economic
context
4. The link between infrastructure investments and legal
and regulatory reforms
5. EU assistance
EU Enlargement
1. CONNECTIVITY AGENDA
A high-level political driver
• The Berlin Process and the Western Balkans 6
• A framework initiated by the countries themselves, with the support of key
EU Member States
• Last year's summit in Paris, This year’s will take place in Trieste
• Need for push at the
highest level
(i.e. Prime Ministers)
EU Enlargement
2.
CONNECTIVITY AGENDA
Regional work to define common priorities
Transport:
•
•
Defining a ’core transport network'– in road, railways and
inland waterways, according to EU methodology
Defining 3 'transport corridors' in the region
Energy:
•
•


Defining energy priorities in the region: using
the 'Projects of Energy Community Interest' (latest list
adopted in October 2016)
Linked to creation of a regional electricity market
Networks approved by all countries
This allows all parties to focus attention on a
limited number of projects
EU Enlargement
3.
CONNECTIVITY AGENDA
National work to put investments in a sound economic context
•
Investments in energy and transport should be part of national
energy and transport strategies
•
Countries should define a 'single project pipeline': a multiannual programme of important investments to prioritise large
energy and transport projects alongside other investments
(schools, hospitals, water treatment plants, flood defences…)
•
This SPP should be endorsed by a National Investment
Committee
•
Investment projects need to take account of work on countries'
limited fiscal space
EU Enlargement
4.
CONNECTIVITY AGENDA
The link between infrastructure investments and legal and regulatory reforms
•
EU investments should take place in an optimal
policy framework (for construction and operation)
•
Reforms will add value to investments and will also help
attract further investments
•
The reforms are in line with countries' EU obligations
•
Funding decisions linked to progress on these reforms
•
In energy the countries have adopted a Roadmap for
a regional electricity market, based on EU rules.
•
In Paris, confirmation of the Vienna transport reform
measures (linked to rail market opening, road safety,
maintenance plans, border crossings).
Connectivity Reform Measures monitoring
Progress Report
December 2016
EU Enlargement
5.
CONNECTIVITY AGENDA
Funding
 Connectivity exercise: €1 billion in multi-country funding over 6 years
• Projects to be funded through the Western Balkans Investment
Framework: blending financing with the IFIs
• EU funding rate: not limited to 20%
• Projects selected on the basis of their maturity and regional
benefits
• Key criteria for selection: progress on legal and regulatory
reforms
• In Paris: 3 railway projects were selected, no energy
infrastructure projects
• Instead invested in energy efficiency
• Increased focus on project preparation through various
instruments to ensure that we have a steady pipeline of projects
EU Enlargement