Progress on the implementation of the rdcs

1. Progress on the implementation of the rdcs SWG for Regional Development Meeting

2. The three main challenges • Implementing the Regional Development Cross-cutting Strategy • Preparing for the future management of Component 3 (Regional Development) of IPA • Initial steps towards achieving the Acquis Communautaire

3. Implementing the RDCS – actions to date • The RDCS has been approved • A draft Law on Regional Development has been drafted and widely consulted • Options for establishing a National Agency for Regional Development have been proposed and are being considered • An index of qark level of Socio-economic Development has been defined and widely consulted

4. Preparing for the Regional Development Component of IPA: actions to date • IPA Component 3 (Regional Development) will become available to Albania when it becomes a candidate country • Regional development in this context has a wider meaning addressing all aspects addressed by the ERDF and the Cohesion Fund: Regional Competitiveness, Transport and the Environment. • METE working to ensure adequate awareness of roles of key ministries and future NARD capacity to manage regional competitiveness.

5. Preparing for the Acquis Communautaire: actions to date • Initial steps to improve the collection of sub-national GDP/capita in conjunction with INSTAT • Planning for IPA Component 3 will ensure appropriate structures for future management of ERDF resources for regional development

6. Implementing the RDCS – planned actions at national level • Promulgating the Law on Regional Development and accompanying secondary legislation in 2009 • Establishing the National Agency for Regional Development and the National Partnership Council for Regional Development • Identifying the root causes of regional disparity and designing a programme to alleviate these

7. Implementing the RDCS – planned actions at qark level • Piloting the preparation of Qark Development Strategies in selected sectors and qarks • Formalising the establishment of Qark Development Agencies and Qark Development Councils • Maintain flexibility to address future actions on local government decentralisation

8. Preparing for the Regional Development Component of IPA: planned actions • Improving knowledge and understanding of the role of METE and other key Ministries (European Integration; Interior; Finance; Environment, Forests and Water Management; Public Works, Transport and Telecommunications) on the future management of IPA Component 3 • Develop the capacity of NARD to manage the regional competitiveness component • Start actions to develop a sub-national project pipeline to absorb IPA funds

9. Preparing for the Acquis Communautaire: planned actions • INSTAT collect GDP/capita data at NUTS 3 level • Scenario development as to what NUTS 2 sub-division will respect EC regulation, maximise SF benefit for Albania and link with MoI’s plans for decentralisation

11. Gaps in the matrix where Government would welcome donor involvement • Study of the root causes of regional disparity and the design of programmes of support to alleviate disparity • Ongoing support to planning and institutional capacity development at sub-national level: with regular feedback to METE to feed into the final version of the Law on Regional Development • Support to the development of sub-national project pipelines • Support to the improvement of the collection of sub-national statistics

12. Maintaining contact • Need for ongoing exchange of information on actions and progress between METE and donors – both through the SWG and more regular informal contacts • Donor feedback on practical experience will lead to steady upgrading of the Law and government policies/programmes or regional development • Until NARD takes on the role METE will maintain the database of donor actions and seek to provide leadership and guidance for donors