Trade Facilitation and Institutional Support Project · 2010. 5. 7. · 3 SUMMARY OF THE PROJECT...

TFIS Progress Report I February 2005

---

This project is funded by the European Union

A project implemented by Dornier Consulting & KLC

Consortium

The European Union’s TACIS TRACECA Programme for Armenia, Azerbaijan, Bulgaria, Georgia, Kazakhstan, Kyrgyz Republic, Moldova, Romania,

Tajikistan, Turkey, Turkmenistan, Ukraine, Uzbekistan

Trade Facilitation and

Institutional Support Project

for Armenia, Azerbaijan, Bulgaria, Georgia, Kazakhstan, Kyrgyz Republic, Moldova, Romania, Tajikistan, Turkey, Turkmenistan, Ukraine, Uzbekistan Progress Report III February 2006

TFIS Progress Report III February 2006 2

REPORT COVER PAGE

Project Title Trade Facilitation and Institutional Support

Contract Number 81324

Countries Armenia, Azerbaijan, Bulgaria, Georgia, Kazakhstan, Kyrgyz Republic, Moldova, Romania, Tajikistan, Turkey, Turkmenistan, Ukraine, Uzbekistan. Local operator EC Consultant

Name PS IGC TRACECA Consortium of Dornier Consulting / KLC

Address

AZ 1005, 8/2, Aliyarbekov St. Baku , Azerbaijan AZ 370000

Zeppelin-Werftgelaende 31 Postfach 1307 D-88003 Friedrichshafen Germany

Tel. number +99412 498 27 18 +49 7545 85306

Fax number +99412 498 64 26 +49 7545 85447

E-mail [email protected]; [email protected] [email protected]

Contact Person Mrs. Lyudmila TRENKOVA Dr. Martin BOTH

Signature

------------------------------------------------------------------

------------------------------------------------------------------

Date of report: February 2006 Reporting period: September 2005 – February 2006 Author of report: Dornier Consulting GmbH /KLC TRACECA _________________ _________________ _____________ [Task manager] [name] [signature] [date] EC M & E team _________________ _________________ _____________ [name] [signature] [date] EC Delegation _________________ _________________ _____________ [name] [signature] [date]


TABLE OF CONTENTS LIST OF ABBREVIATIONS AND ACRONYMS:.............................................................................................5

1 PROJECT SYNOPSIS ............................................................................................................................6

2 SUMMARY OF THE PROJECT PROGRESS SINCE THE START.......................................................8

A DEVELOPMENT AND FOLLOW-UP OF THE IMPLEMENTATION OF THE TRACECA VISA AND THE TRACECA FREIGHT DOCUMENTATI...........................................................................................................................................8 B TRACECA HOTLINE (INFORMATION AND HELP DESK) AND ENHANCED COMMUNICATION INITIATIVES..12 C SUPPORT TO THE IGC TRACECA AND THE PERMANENT SECRETARIAT .....................................................15

3 SUMMARY OF THE PROJECT PLANNING FOR THE REMAINDER OF THE PROJECT .....................19

A DEVELOPMENT AND FOLLOW-UP OF THE IMPLEMENTATION OF THE TRACECA VISA AND THE TRACECA FREIGHT DOCUMENTATION....................................................................................................................................19 B TRACECA HOTLINE (INFORMATION AND HELP DESK) AND ENHANCED COMMUNICATION INITIATIVES..19 C SUPPORT TO THE IGC TRACECA AND THE PERMANENT SECRETARIAT .....................................................20

4 PROJECT PROGRESS IN THE REPORTING PERIOD......................................................................22

A DEVELOPMENT AND FOLLOW – UP OF THE TRACECA VISA AND TRACECA FREIGHT DOCUMENTATION22 B TRACECA INFORMATION AND HELP DESK (HOTLINE) AND ENHANCED COMMUNICATION INITIATIVES..23 C SUPPORT OF THE IGC TRACECA AND PERMANENT SECRETARIAT .............................................................24 PROJECT PROGRESS REPORT..............................................................................................................................29 OVERALL OUTPUT PERFORMANCE PLAN (1) .......................................................................................................31 OVERALL OUTPUT PERFORMANCE PLAN (2) .......................................................................................................32 RESOURCE UTILISATION REPORT.........................................................................................................................33

5 PROJECT PLANNING FOR THE NEXT REPORTING PERIOD.........................................................35

A DEVELOPMENT AND FOLLOW-UP OF THE IMPLEMENTATION OF THE TRACECA VISA AND THE TRACECA FREIGHT DOCUMENTATION....................................................................................................................................35 B TRACECA INFORMATION DESK (HOTLINE) AND ENHANCED COMMUNICATION INITIATIVES.....................35 C SUPPORT TO THE IGC TRACECA AND PERMANENT SECRETARIAT..............................................................35 PLAN OF OPERATIONS FOR THE NEXT PERIOD (WORK PROGRAMME)...........................................................37


LIST OF ANNEXES ANNEX I LOGICAL FRAMEWORK MATRIX ANNEX II REPORT ON DEVELOPMENT AND FOLLOW-UP OF THE TRACECA VISA AND ADVANCEMENT OF FREIGHT TRANSPORT LEGISLATION IN THE TRACECA COUNTRIES ANNEX III FINAL DOCUMENTS OF THE KIEV WORKING GROUP MEETINGS, NOVEMBER 2005 ANNEX IV FINAL DOCUMENTS OF THE BUCHAREST WORKING GROUP MEETINGS, FEBRUARY 2006 ANNEX V SCHEDULE OF THE MEETINGS SEPTEMBER 2005 – FEBRUARY 2006 ANNEX VI TRACECA GIS DATABASE – FURTHER DEVELOPMENT AND IMPROVEMENTS


LIST OF ABBREVIATIONS AND ACRONYMS:

ADB CAREC Asian Development Bank Programme on Central Asian Regional Economic Cooperation

ADB Asian Development Bank

CIS Commonwealth of the Independent Countries

CLBTT EU-funded project “Common Legal Basis for Transit Transportation”

CPI Continuous Process Improvement

EC European Commission

EU European Union

FAQ Frequently asked questions

FF Freight Forwarding Operations

FIATA International Federation of Freight Forwarders Associations

GIS Geographic Information System

H.E. His Excellency

HBCP EU-funded project “Harmonisation of Border-Crossing Procedures”

IDB Islamic Development Bank

IFI International Financing Institutions

IGC Intergovernmental Commission TRACECA

IRU International Road Transport Union

LogFrame Logical Framework Matrix

MLA Basic Multilateral Agreement on International Transport for Development of the Corridor Europe-Caucasus-Asia, signed on 8 September 1998 in Baku

NC National Commission(s) of TRACECA

NS National Secretaries (Permanent Representatives of the Permanent Secretariat of the IGC TRACECA)

PR Public Relations

PS Permanent Secretariat of the IGC TRACECA

SG PS IGC TRACECA Secretary General

TA Technical Annexes to the MLA

Tacis Technical Assistance Programme for CIS countries

TFIS EU-financed Trade Facilitation and Institutional Support project

ToR Terms of Reference

TRACECA Transport Corridor Europe Caucasus Asia

UN ECE United Nations Economic Commission for Europe

UN United Nations

UNDP United Nations Development Programme

WB World Bank

WG Working Group Meeting


1 PROJECT SYNOPSIS

Wider Objectives: Promoting the Transport Corridor Europe Caucasus Asia (TRACECA) in order to develop and improve trade within the regions as well as the integration into the international economic structure (access to world market), i.e. to promote TRADE FACILITATION.

Specific Project Objectives:

A Development and follow-up of the implementation of the TRACECA Visa and the TRACECA freight documentation;

B TRACECA Hotline and enhanced communications initiatives;

C Support to IGC TRACECA and Permanent Secretariat.

Outputs:

(A): 1 - The local legislation hindering the implementation of the TRACECA Visa concept analysed and recommendation is provided; 2 - Follow-up of the results achieved by the CLBTT and HBCP projects is ensured; 3 - Pilot scheme for simplified rules for freight movement is designed and implemented; 4 - Dissemination seminars for all TRACECA countries to promote the Pilot project results are implemented; 5 - Action Plan for the TRACECA Visa and freight documents is prepared provided that implementation-conducive environment is observed in the respective TRACECA countries.

(B): 1 - A complete Hot line concept for each country is prepared; 2 - TRACECA web-page is updated and section for Frequently Asked Questions (FAQ) is established; 3 - Feasibility study for the use of webcam systems is prepared given the evaluation of the use of the webcams

returns positive results.

(C): 1 - TRACECA annual meetings are organised; 2 - National Secretaries’ Working Group Meetings are organised and held; 3 - Financial Support to the IGC and the Permanent Secretariat is provided; 4 - TRACECA Traffic Database is updated; 5 - Organisation and management capabilities of the IGC TRACECA PS are strengthened; 6 - Dissemination activities are carried out.

Activities: A Development and Follow-up of the Implementation of the TRACECA Visa and the TRACECA Freight

Documentation

1) In-depth review of documentation and legislation impact concerning international freight in each TRACECA country, including customs and visa agreements;

2) In-depth study of freight and passenger movement legal and legislation processes in each TRACECA country;

3) Assure continuation of outputs from previous and current related projects; 4) Design and implement initial “Freight and Passenger Pilot Schemes” in order to apply a new set of

simplified rules; 5) Organise seminars with all interested parties of TRACECA states in order to plan the expansion of the

initial “Freight and Passenger Pilot Schemes”; 6) Convergence of the implementation of the TRACECA Visa and the TRACECA Freight Documentation; 7) Promote the harmonisation of both procedures and legislation for TRACECA Visa and TRACECA Freight

Documentation through establishing, co-ordinating and agreeing on a time schedule with all MLA states.

B TRACECA Hotline (Information Desk) and Enhanced Communication Initiatives 1) Carry out an initial evaluation of the hotline concept and establish methodology and practical parameters; 2) Review of the current administrative capabilities of the TRACECA structure in relation to the operation

and support of a Hotline and help desk initiatives with web-based application; 3) Elaborate on the total concept incl. cost analysis, development strategy and institutional/administrative

requirements/impacts applicable to TRACECA webpage; 4) Evaluate the current TRACECA web page and develop an outline for an interactive centre for frequently

asked questions (FAQ);


5) Programming and establishing the FAQ centre on TRACECA web page; 6) Deliver technical and financial support for operation and regular up-dates of the FAQ centre during the

project period; 7) Carry out an in-depth research on available experience on the use of web cams at border crossing points

in Europe incl. lessons learned; 8) Carry out an economic and financial feasibility study for the use of web cams at specific border crossings

in the TRACECA transport corridor provided that initial study on webcams in Europe revealed positive results on experiences.

C Support to the IGC TRACECA and the Permanent Secretariat 1) Assist the Permanent Secretariat and the National Commissions in their work in the framework of the

TRACECA Programme; 2) Inform other donors, IFI’s, EU-commercial operators and other interested parties on the TRACECA

activities and co-ordinate activities; 3) Maintain close contacts with IFI’s; 4) Report directly to the Ministries of Transport on all aspects of projects financed by the EC in the frame of

TRACECA; 5) Ensure a continuous financing of the Permanent Secretariat and National Secretaries for the period of 24

month in-line with the budget agreed with the project manager in Europe Aid Co-operation office; 6) Support and supervise the EU financial and technical assistance to the Permanent Secretariat in Baku; 7) Ensure a follow up of on-going and previous projects, including analysis of project outputs, evaluation of

time tables etc. and provide the required co-ordination; 8) Define future project activities in collaboration with the Permanent Secretariat and the National

Commissions; 9) Assist the European Commission in the identification of new projects and give support to the preparation

of Terms of references; 10) Assist the Permanent Secretariat in dissemination activities of TRACECA information; 11) Give technical support and ensure regular up-dating of the TRACECA website; 12) Ensure the regular up-dating of the TRACECA traffic database; 13) Organise the IGC TRACECA Annual Meetings 2005 and 2006; 14) Organise PS IGC TRACECA Working group meetings (one in 2004, one in 2005 and two in 2006); 15) Elaborate recommendations for increased capabilities of the current administration 16) Drafting of Terms of Reference.

Target Group: Transport administrations and stakeholders in all the TRACECA countries

Beneficiaries: Cabinets of Ministers & Ministries of Transport of TRACECA member-states, PS IGC TRACECA, and the National Secretaries

Inputs: Technical Assistance will include as per addendum 2:

International expertise: 420 man/days Team leader; 420 man/days Supervisor to the PS IGC TRACECA; 420 man/days Project Co-ordinator in Central Asia; 191 man/days Short-term International Experts. Local expertise: 1540 man/days long-term senior experts; 186 man/days short-term senior experts. Setting up of the regional project offices (Baku, Almaty and Kiev).

Funding of the PS IGC TRACECA Activities

Project starting date: 27 August, 2004

Project duration: 24 months


2 SUMMARY OF THE PROJECT PROGRESS SINCE THE START

The project implementation in the reporting period described below (August 2004 - February 2006) followed the phases and met the targets outlined in the Overall Plan of Operations, Overall Output Performance Plan and Work Programme set in the Inception Report (December 2004) and in the Terms of Reference. The assumptions concerning the project environment were also taken into account. As some of the risks and assumptions held true and as findings of activities and researches made by the Consultant strongly suggested some adaptations of the Terms of Reference. They were agreed with the Commission with a purpose to utilise project resources and inputs in the most efficient and result-oriented way. The Consultant’s activities were in compliance with the revised Terms of Reference (ToR). Essentially, the implementation of the reporting period followed the course of actions specified in the LogFrame Matrix attached to the present report (see Annex I – Logical Framework Matrix). Right at the beginning of this report, it is worth specifying some external alterations in the project environment that took place and the internal actions taken to adjust the project activity to this changed project environment. One of the general points in the course of the project implementation is the change in the responsibilities at the governmental level in general and at the transport ministerial level in particular, which happen in many Parties to the MLA. Such changes constitute important external factors to impact the Consultant’s activities. Below the Consultant specifies the major dimensions of changes. Since the start of the project changes took place in Georgia, Ukraine, Kyrgyzstan, Uzbekistan and Kazakhstan. New appointments took place in the Ministries of Tajikistan, Turkey, Romania, Bulgaria, Kyrgyzstan, and Kazakhstan. In the countries of Ukraine and Kazakhstan new changes in the TRACECA related contacts occurred, as well. These circumstances had a certain impact on the project environment, affected the direction of some implementation components and imposed considerable additional efforts on the Consultant. Still, as mentioned before such a situation was foreseen in the LogFrame analysis (Annex I). A certain course of action to mitigate its consequences is being carried out. New connections were mainly established with the help of the office network and in cooperation with the National Secretaries, PS and project stakeholders. Furthermore, the Consultant utilised actively the opportunities of the working group meetings and project-team missions. The work of the Consultant was oriented on logistical and technical preparation and implementation of the 4th IGC Annual Meeting in April 2005 and thereafter on efficient implementation of the decisions taken. These decisions and issued recommendations impacted the Consultants activities in terms of support to the IGC TRACECA and the PS (specific objective C), and in terms of all issues concerned TRACECA Visa and freight documentation (specific objective A). On the next pages the project progress since the start of the project is given for each specific project objective. A Development and follow-up of the implementation of the TRACECA Visa and the TRACECA freight documentation Activity A1/2 Starting from the project mobilisation at the Inception Phase the Consultant began to collect and analyse the documentation in the sphere of international freight in the region as formulated within the task A. Using the collected material and legislative recommendations of the previous TRACECA projects, the Consultant analysed the multilateral accords that Basic Agreement’s1 Parties are signatory to; researched international conventions to be recommended to the Parties to promote international transport and trade. The situation analysis has been completed. In addition, the situation with actual implementation of the TRACECA Visa in the member-states was monitored in cooperation with the PS. A detailed Report on Development and Follow-up of the TRACECA Visa and Advancement of Freight Transport Legislation in the TRACECA Countries was prepared, revised and submitted to the comments of the MLA parties (See Annex II). The Consultant received a feedback from the beneficiaries of the project on the implementation of the TRACECA Visa subject and follow up of the results of the previous projects. With an objective to respond to the comments, certain situation was explained already in the previous project progress report.

1 Basic Agreement on International Transport for Development of the Europe – Caucasus – Asia Corridor


As far as the Yerevan protocol was concerned, the Consultant reported that procedure-wise this approach had implications in terms of considerable implementation lag. Amendments and Technical Annexes were to undergo the legal ratification processes in all member states. This is a lengthy and rather complex exercise. As per today only the governments of Azerbaijan and Bulgaria ratified this Protocol on Amendments to the MLA. This situation was confirmed by the representatives of the MLA parties at the Kiev Working group meeting held in November 2005 (See Annex III – Final Documents of the Kiev Working Group Meeting, November 2005). Still, at the Working group in Bucharest in February 2006 (See Annex IV – Final Documents of the Bucharest Working Group Meeting, February 2006), a representative of Armenia informed that this country also endorsed the protocol and that the Depositary of the MLA will be notified accordingly. It should be also noted, that practice of the IGC and PS work is to ensure a follow up and implementation of the IGC decisions. Therefore, the issues once arisen by the IGC are constantly monitored, reported on, and actualised. The same applied to the implementation of the TRACECA Visa provisions. The most actual status relevant to following up of the implementation of this subject is presented in the respective sections of the Consultant’s Progress report II. In accordance with the information received from the member-states the countries of Kyrgyzstan, Moldova, Romania and Tajikistan were going to ratify the protocol. It was reported that Kazakhstan cannot ratify this document because of the Reservations made to the Technical Annex on Railway Transport. In Ukraine the ratification was not necessary, as these provisions were incorporated into the domestic legislation and were already legally bound. The Republic of Turkey is considering its participation in SMGS Agreement, so it is premature to mention the applications of this Protocol of Amendments for this country. No precise conclusions can be drawn for the case of Uzbekistan, due to the uncertainties in the sector management. The changes in the Georgian government do not allow obtaining distinct information of the status of ratification as well. It should be however noted that the new Custom Code adopted in Georgia envisaged the zero VAT rate for railway transportation. The findings of this described monitoring and discussion process as well as the feedback of the beneficiary countries led to a major revision of the first draft report. This revised version was then again forwarded to the beneficiaries via the Working Group Meeting held in February 2006 in Bucharest for a final feedback and clarifications. As there was none, the final version of the “Report on development and follow-up of the TRACECA Visa and advancement of the freight transportation legislation in the TRACECA countries” is attached to this progress report as Annex II. As the report identifies the problems, documents the local legislation and provides recommendations which are coordinated with the beneficiaries, the output is delivered and the respective indicator is achieved. Activity A3 Concerning follow-up of results of CLBTT project, the Consultant reviewed, promoted and forwarded the outputs of this project (mainly Technical Annexes and Amendments to the MLA) to the Working Group Meetings in Baku (Oct. 2004), Istanbul (Feb. 2005) and again Baku (April 2005) in order to find consensus for adoption of the documents at the IGC in Baku (April 2005). Taking into consideration the results of this last working Group Meeting one day prior the IGC Annual Meeting, it was clear, that the issue of adoption of any amendment could not be forwarded to the consideration of the IGC as the consensus between the parties needed was not possible. Beyond this task and the achievement of the respective output and indicator, the Consultant made research on the causes for failure of adoption and initiated a transformation of the documents towards interstate agreements. However, there was no willingness to restart approval procedures on such short notice. Concerning follow-up of results of HBCP project, a close cooperation took place with respective initiatives of UNECE. The UNECE have made considerable efforts for harmonisation of transport and transit documentation. Close collaboration and mutual exchange of views with TRACECA is established. It was agreed to systematically collect all transport and transit documents presently in force in the MLA parties. The next step advised by the Consultant is liaising closely with the UNECE for disseminating this information on a commonly used website. It is recommended to elaborate this idea further together with the UNECE and with the Permanent Representations. A separate section on Customs documents will be assigned for fulfilment of this initiative at the new TRACECA webpage: TRACECA – UNECE Initiative in the chapter on TRACECA corridor. The section will consist of three subsections: About, TRACECA border-crossings Map (clickable) and Links to the UNECE. The PS to launch the initiative will contact the UNECE contact partners. Besides this more transparent information policy intended to be published at the TRACECA web-page soon, the gap between HBCB recommendations made and willingness for implementation in the countries is


bridged by the present design of the pilot scheme (please refer also to next activity A4). Other dimension of activities in this respect is cooperation with other international organisations dealing with trade facilitation. Activity A4/5 The design of the pilot scheme for simplified rules for freight movement was given in detail in the last project progress report. Countries selected for the pilot scheme were Azerbaijan, Georgia and Turkey, border crossings selected were

− Gardobani - Red Bridge (Georgia) – Siniq Kerpu (Azerbaijan);

− Sarpi (Georgia) - Artvin-Sarp (Turkey); and

− Poti Port (Georgia). Intensive consultation with all major stakeholders (border authorities, customs, Ministries of Transport, Port Authorities, Forwarders, Truckers etc.) was undertaken and revealed in principle the viability of the suggested pilot scheme design. The Consultant received firm confirmation of border and customs authorities about their support to the pilot scheme. The Consultant agreed that the pre-arrival information as per tables needed to be sent 24 hours before truck’s arrival to the borders. This information should be sent to border-guards and custom separately. Some technical limitations and physical barriers that may impact the implementation of the pilot scheme have been discovered and were previously reported. The Consultant was also assured is the support of the customs authorities from Azerbaijan, Turkey and Georgia. The Port of Poti is also considered as one of the possible locations for the application of the simplified schemes. The negotiation process for this is progressing. At the later stages Armenia is also envisaged to be involved into the pilot scheme initiative. A research on trucking companies for potential inclusion into the freight pilot scheme was completed. The negotiation process with leading European trucking companies is still underway. The trucking company agreed on the conditions applied for this pilot scheme and supported its further development. Also, the Consultant addressed the NS in Turkey with a request to provide the information on authorised trucking companies, which might be interested in taking part in the pilot initiative. An extensive feedback was received on the subject. The issue was discussed in detail at the PS WG Meeting, in Bucharest in February 2006. However, the implementation of the pilot scheme is behind schedule, as still the outbreaks of the bird flu causes queuing of trucks at the Turkish and Georgian border crossing points because of the disinfection and intensified protection requirements, as the ferry services calling at Poti port are presently not operating and as there were various personnel changes in the responsible authorities requiring additional missions and coordination and mutual acknowledgements. It should be emphasised again that the support of the National Secretaries, as well as the commitment of the border-authorities is essential for successful launching of the pilot scheme now envisaged in the next reporting period. It should be also mentioned that the Consultant during its recent mission to Georgia, and in parallel via the project office in Central Asia, discussed with the officials involved a subject of the container train Poti-Baku-Aktau-Almaty. Some principle practical recommendations on how to make container train services regular and sustainable were given to the authorities. Dissemination of the pilot scheme was mainly carried out during the Working Group Meetings in Istanbul (Feb. 05), Kiev (Nov. 05) and Bucharest (Feb. 06). Thus, indicators are almost achieved. However, a special dissemination seminar is to be foreseen after implementation of the pilot scheme in the next progress period. Activities A6/7

These activities are closely interrelated with activities A1, 2 and 3 (CLBTT part). The consultant took considerable effort in this respect. However, the TFIS team is faced with internal legal procedures and sovereign states and parliaments. Thus, the Consultant does not feel really in the position to give realistic and implementable recommendations taking into account the current unfavourable implementation environment. Such a situation was foreseen in the ToR specifically in the section 3.2 (Risks) and provides for impossibility of achieving agreement on procedures and documentation in regards to the TRACECA Visa subject. The Consultant considered it important that further deliberation of the issue within the Parties is needed and that a clear vision exists at the member-states level. The Consultant carried out pro-active work


on the subject with the support of the Secretary General and encourages the PS to use its Permanent Representations for repeated consideration of the documents in the member-states.

To demonstrate the fulfilment of the indicator A5 – Preparation of the Action Plan for the TRACECA Visa and freight documents as required by ToR, the Consultant had developed an Action Plan given below, which is explained in greater details in the “Report on Development and Follow-up of the TRACECA Visa and Advancement of Freight Transport Legislation in the TRACECA Countries” (See Annex II).

Steps Actions Timeframe Assumptions

Preliminary Step PS to address to the NS at the working group meeting to investigate on the preliminary readiness to support the Interstate agreements mechanism instead of the TA – an item should be included into the agenda of the PS WG

November 2005 - WG

Cooperation of the PS, cooperation of the NS Results of the WG – source of verification – recommendations of the PS

Step 1 Letter of PS to National Secretaries of TRACECA

In case the MLA countries consider such proposal appropriate, PS should send a letter to the NS of TRACECA for confirmation of elaboration of Interstate Agreement on Multimodal transportation and Freight Forwarding Activity

the starting point will be defined after a preliminary step brings positive results – immediately November 2005

will of MLA and cooperation of PS

Step 2 Draft Interstate Agreements on Multimodal Transportation & Freight Forwarding Activity

The PS of IGC and if required, assisted by the Consultant should draft intergovernmental Agreements

• on Multimodal Transportation • on Freight Forwarding Activities

in parallel to the step 1 - 1 month November-December 2005

will of MLA and cooperation of PS

Step 3 Discussions of the National Secretaries

If the PS requests it, the Consultant could assist the PS in the discussions and consultations with the NS for both intergovernmental Agreements

in parallel to the step 1 1 month November-December 2005

NS of TRACECA and PS cooperation Results of NS Working Group

Step 4 Further consultations with MLA Parties

PS shall carry out further consultations and discussions, including written submission of the draft agreements before the next WG proceeding the IGC TRACECA Annual Meeting

1 month December 2005 - January 2006, submission in the end of December 2005 beginning of January 2006

Feed-back of the PS and NS

Step 5 Recommendations of the PS for next IGC

Recommendations of PS to the IGC for the signature of both intergovernmental Agreements by acceding countries – inclusion of the item into the agenda of the WG in February 2006.

February 2006 Recommendations of PS to IGC

Step 6 Next IGC Meeting

Signature of the intergovernmental agreements on multimodal transportation and freight Forwarding Activities

Spring 2006 PS IGC TRACECA

Considering that the Parties failed to adopt by consensus the protocols amending the Basic Agreement during the 4th IGC TRACECA Annual Meeting, the PS addressed to the Parties a proposal to consider the possibility of adoption of the provisions of the Technical Annexes in the format of Interstate Agreements, provided that the PS submitted the relevant drafts. In the course of the discussion, some of the participants had reservations towards this proposal, as these documents had just been recently through the internal


national consideration procedures and were approved subsequently by some governments to be adopted in the format of technical annexes to the MLA. Another format would require starting the procedures from the beginning. In view of this reason it was proposed not to re-approach with a request to consider the same issue for the time being.

Given such an outcome of the preliminary step of the Action Plan, it becomes obvious that the Action Plan developed by the Consultant cannot be applied at the moment. Taking into account sovereign rights of the TRACECA member-states and relying upon the recommendations of the PS, such items will not be followed upon, unless there is a clear willingness of the parties to commit themselves for fulfilment of such initiatives in either form. This was not only communicated with the beneficiaries, but also with the EC and resulted in the redirection of some of the originally envisaged resources for these activities towards other tasks of the Consultant (as fixed in Addendum II of the TFIS project contract).

B TRACECA Hotline (Information and Help Desk) and Enhanced Communication Initiatives Activities B1/2/3 For fulfilling the specific objectives of the project the consultant had completed the following tasks during the project implementation:

- Took steps to evaluate the initial situation of the hotline concept in the member-states, and - established a methodology and practical parameters of the overall technical and administrative

system; In parallel to investigation of the subject in Europe, the Consultant developed a questionnaire (as was already reported previously) to reveal the situation in the TRACECA member-states in regards of possible application of the Hotline. The questionnaire was distributed to the Permanent Representatives in the TRACECA countries with a request to provide a feedback upon discussion of the subject with relevant national authorities. The issue was also discussed with the National Secretaries during working meetings, missions and meetings of the PS. The feedback received on the subject allows concluding that many of TRACECA states are not in favour of spending funds and resources for Hotline Initiative to the real-time information about borders and would not support free transmission of images from borders to the internet.

As the Consultant had already reported, the history of creation of the TRACECA hotline goes back to 2001 when countries of the Central Asian region proposed establishment of a mechanism that could ease border-crossing procedures and help create transparent border-crossing process. Mainly these activities have been aimed at further facilitation to transportation of the humanitarian aid for restoration and rehabilitation of the economy of Afghanistan.

A “hotline” term in the modern communication language is referred to as a call centre reachable by dialling a standard telephone number. This is especially the case with 24-hour-operated non-commercial numbers, which are assigned to deal with persistently existing problem or retroactively to help mitigate the consequences of a specific event. The large budget for the establishment of the call centres and networks that will function for 24 hours a day is not comparable with the low efficiency factor observed so far in its implementation. Findings revealed that this instrument is not applicable for TRACECA in such a format. Thus, a viable and practicable alternative was elaborated, disseminated and coordinated with the beneficiaries and initiated, which is better to be renamed in information and help desk in order to avoid misunderstandings. This new concept was also agreed with the EC fixed in addendum II of the TFIS project contract and is presently under implementation / programming. As the Consultant had already stated in the progress report II, the information and help desk concept was based on the underlying assumptions given below:

− No necessity to establish a dedicated telecommunication network; − Purely humanitarian aid related activities should be avoided; − The National Secretaries should be the contact points for the organisation of the new initiative

(Information and Help Desk); − The transport sector institutions, association and international organisation should be informed; − The TRACECA web page shall serve as a major platform for the Hotline (Information and

Helpdesk).


The information desk can comprise more extensive and customer-minded information. Initially, the information desk will contain the information on contact persons to report any malpractices at the border-crossings in Caucasus. The PS addressed to the National Secretaries in the respective countries with a request to provide the information on the national border-crossing authorities. This information contains the name of the organisation (customs, border guards, and other entities), name of person in charge for a specific border-post and/or central office, contact numbers, contact details, including phone/fax/mobile numbers, e-mail, etc. This activity has been already completed. The National Secretaries will facilitate the support to this initiative at the national level. The PS will assist in this and help establish better publicity. The results and the complete information on the persons to be contacted at borders will be uploaded to the TRACECA web page. A special section will be organised for this purpose under Customer Service and Information section. The information will be further disseminated to the mailing lists that consist of transport sector stakeholders. To make the whole initiative of the Information Desk targeted to the specific needs of transport companies, the Consultant will distribute the contacts to the major international transport related organisations and associations, as IRU and FIATA, for instance. It should be noted that multinational and other big transport companies, willing to receive TRACECA mail alerts, will be notified as well. The distribution list of transport sector stakeholders will be completed. A transport company’s representatives will contact these authorities in case of need. In addition, they are free to contact the National Secretary or the PS to share their experiences, suggest improvements and request the TRACECA structure to deal with specific problems they face at border-crossing in advance. In case of need, they are also grated to opportunity to visit the FAQ Centre at TRACECA web-page. So, the initiative offers additional possibilities for increasing of transparency of the TRACECA structures. The National Secretaries are to monitor the results and discuss the implementation in their respective countries. The Consultant also encourages that the National Secretaries share their experiences among themselves and work for further advancement of the process together with the PS. The whole mechanism envisages unlimited exchange of information between the major participants: the PS, transport associations, transport companies, state border authorities and the National Secretaries. It goes without saying that the TFIS project will provide any support needed, assure initial coordination of the activity and take steps aimed at establishment of sustainability of this mechanism.

THE TRACECA HELP INFORMATION DESK FOR BORDER-CROSSINGS

11

11

National Secretaries in member-states

State border authorities: customs

border-guards other

TRACECA Webpage: WWW.TRACECA-ORG.ORG

Customer Service Section: List of TRACECA Information Desk contacts and authorities

in the Caucasian States

Transport related international organisations, associations

(IRU, FIATA, etc.)

Freight

Forwarders

PS

Transport

Companies

Transport Entities

1 3

4

5

6

7

8

7b

9 2 7b

7a

7c

10

11


Legend: 1- PS assigns the NS to name contacts to serve in case of need as information desk contact points 2 – NS maintain contact management (initial contacts and secure updates) and ensure support of the State Border Authorities 3 – Results are reported to the PS 4 – PS uploads the information on the TRACECA web-pages under News Section in old site 5 – PS introduces mailing list of the major transport sector stakeholders and informs them about the hotline (Information Desk) (among other news) 6 – The information is disseminated among the users of TRACECA corridor 7 – Transport entities use the hotline (Information Desk) and report malpractices / suggestions to: 7a – state border authorities and the PS 7b and 7c – National Secretaries and / or PS or use the FAQ centre 8 – Authorities take actions 9 – National Secretaries monitor the results 10 – Results are reported to the PS 11 – Exchange of information

Thus, the output as well as the indicator is achieved presently involving three countries with further countries intention to participate. Activities B4/5/6 Activities have been carried out and are completed, i.e. the current web-page have been evaluated, an interactive centre for frequently asked questions (FAQ) was developed, programmed and established on the web-page and technical and financial support for operation and regular up-dates not only of the FAQ centre but of other major pages of the TRACECA web page during the project period is delivered. It goes without saying that in the long run it is essential for an international organisation like the PS IGC to possess effective communication and dissemination tools. Currently, the most important mechanism for dissemination and promotion of information about TRACECA is the web page. Thus, the Consultant did go beyond the scope of his tasks and supports a major revision and redesign, which will be finalised in the next project progress period in close cooperation with the Permanent Secretariat. To reiterate: output B2 is delivered and the respective indicator achieved. Activities B7/8 The research on the experiences of the use of web cams at EC border crossings was made and has resulted in the report submitted to the Client in December 2005. The findings were not very encouraging and suggest that surveillance cameras used by the border authorities are not linked to the internet. A transmission to the open internet sources is restricted or prohibited. This is mainly due to increased security at border crossings. In other words findings revealed that there are cameras in closed networks without permitting web-access to its images to the general public. Web-cams installed near the border-crossings and can be accessed via the internet mainly serve for the following purposes:

- Advertising activates for ports and major transport nodes with impressive volume of traffic; - Marketing purposes for such entities; - Providing information for tourists wishing to cross the borders at this particular border-point (weather

conditions, etc.), and others. As there is no experience to use web cams at European Border Crossings at all and as preliminary feedback from beneficiary countries revealed that the use of web-cams is unacceptable and for various legal and security reasons not feasible, further in-depth economic and financial feasibility investigations would have been a waste of scarce project resources. Assumptions require that sufficient numbers of border crossings along the TRACECA corridor can be selected / identified for investigations on the use of web-cams did not materialise, the Terms of Reference (Addendum II to the Contract) were adapted to the findings and the remaining available man-days and funds associated with activity 8 will be redirected towards other activities of the project with prior approval of the Task Manager. It is envisaged to further increase activity levels in Component C of the project.


C Support to the IGC TRACECA and the Permanent Secretariat Activities C1/2/3/4 - Cooperation and Co-ordination with Project Partners, Stakeholders and Beneficiaries These activities require considerable effort of the Consultant, as he is deeply involved in the day-to-day tasks and management of the Permanent Secretariat and its related structures in the countries concerning all matters of the TRACECA programme. The Consultant’s participation is addressed to relevant technical/administrative assistance, informational support, co-ordination among authorities, interregional co-ordination, co-operation with EC Delegations, and liaison with other EC Consultants, donor organisations and representatives of the beneficiary countries. The Consultant co-operates with representatives of the international development partners (UNDP, ADB, ADB CAREC, UNECE, WB, and IDB) in the Caucasus, Central Asia and Ukraine. A preparatory meeting to sign a memorandum of understanding between PS IGC TRACECA and International Road Federation was held. The Consultant also maintained solid foundation for co-operation with the national transport sector authorities. By reporting on a regular basis to the Ministries of Transport or other relevant authorities the Consultant provides adequate information on all aspects of the projects financed by the EC in the framework of TRACECA. This is carried out by means of personal contacts during missions and appointments as well as through participation at conferences, writing and phone conversations from all three TFIS project offices (Baku, Kiev, and Almaty). The schedule of meetings for this reporting period is given in Annex V of this project report for this reporting period. Activity C5/6/15 – Financial and technical Support to the PS, Capacity Building The project supports and supervises the EU financial and technical assistance to the PS. The continuous financing of the PS has been provided without delay and in line with the agreed and approved budget. Furthermore, the Consultant was able to positively influence the decision-making processes towards future self-financing of PS structures from 2006 onwards. In this respect the Consultant elaborated various budget lines, financing models and presentations. The self-financing of the PS structures is the indication that the member-states are taking over the ownership of the IGC TRACECA. It should be noted that with the assistance of the Consultant the joint-financing agreement was drafted, that was consequently concluded by, Azerbaijan, Bulgaria, Georgia, Moldova, Tajikistan, Turkey and Romania at the Forth IGC meeting in Baku, in April 2005. For different reasons, the countries of Kyrgyzstan and Ukraine, Kazakhstan and Uzbekistan as well as Armenia could not sign the agreement already during the conference. Kazakhstan and Armenia will also participate in the Agreement, as the adoption procedures were finalised in these countries. The Consultant is in close contact with those countries to promote accession to the agreement. The Consultant ensures at any time of the project implementation funding within proposed, agreed and approved budget. Furthermore, a bookkeeping system with a clear differentiation of the EC financed parts of the budget from the MLA member states’ contributions to the budget has been established and an effective controlling is installed. The defined targets after the start up of the TFIS project were identified in close cooperation with the Secretary General of the PS IGC TRACECA (output 3 according to the logframe):

− to achieve entire self-financing of the PS institutional structures through MLA parties;

− to set-up IGC budget and audit procedures; and

− to establish an auditable accounting system under PS ownership.

These three targets are achieved.

The consultant had elaborated the budgets for 2005, 2006 for approval by the EC task manager and by the 4th Annual Meeting of the IGC in Baku; and, the revised budget of the PS for 2006 and based on these budgetary propositions a 2007 budget for approval of the IGC was prepared and agreed to be forwarded to the 5th IGC in Sofia. Annual Financial Reports on the Joint Financing and EC budgets were made for the year 2004 approved by the 4th IGC in Baku and for the year 2005 to be approved by the 5th IGC in Sofia in line with the procedures established in the Joint Financing Agreement. It has to be clearly stated, that this task goes far beyond the well-established certified and EC-auditable accounting system of the Consultant and requires considerable resources.


In addition to the financial support described already above, extensive technical support is delivered to the PS. The main tasks, content and direction is outlined in the “Recommendations on capacity and institutional development of existing TRACECA structures” issued July 05 and attached to the last project progress report II. The implementation of recommendations and measures described is on-going. The Consultant activities entail an objective of capacity building for the PS' staff. The Consultant encourages transferring of the superior responsibility to the PS in its actions and activities. The PS staff members are encouraged to take over more accountability and sovereignty in their daily work. Measures are taken to introduce a continuous process improvement (CPI) and quality assurance. These steps are necessary to improve the institutional functioning of the PS as an internationally recognised interstate organisation. Apart from all financial and budgetary matters, the Consultant advised the PS in

- the organisational structure within the PS and with its structures in the Parties to the MLA and its necessary adaptations to changed framework conditions and new challenges (including detailed job descriptions for every position),

- the recruitment process for necessary staff replacements from vacancy announcements to of staff evaluation, structured interviews to labour contract according to relevant legal framework conditions in Azerbaijan,

- in the issuance and further development of internal regulations (security, travel regulations, etc.), - in the organisation of the TRACECA archive and document management system (more details of

this latest activity are given in chapter 4 of this progress report), - in matters related to investment and procurement processes, - templates of standard documents such as minutes of meetings, mission reports etc. were

developed, considered and applied. The Consultant also prepared the PS-specific guidelines for usage of these templates,

- PR, Marketing and Dissemination matters, which ranges from standard presentations, attendance on relevant conferences of third parties, organisation of PS missions, advertisements, web page etc.

The capacity building process is an ongoing challenge and is one of the most time consuming factors for the project team located in Baku.

Activities C7/8/9/16 - Coordination of Other Project Activities, Assistance to EC in Project Identification and Preparation The Consultant assisted the European Commission and the EC Delegations in all TRACECA relevant projects throughout the EC project cycle, i.e. from the identification and preparation of new projects to involvement in project implementation of recent, on-going and future EC supported projects. The Consultant ensures close and regular contact with previously finalised, on going and newly established projects, advises on relevant contacts and often acts as intermediary and trouble-shooter. Projects for the TRACECA AP 2005 and 2006 as well as for the Central Asian regional budget lines for 2005 and 2006 were identified in close cooperation with the beneficiaries and project partners in the countries and agreed upon by the EC. The documentation of the Working Group Meetings manifests those efforts. Altogether, since the start of the project, project identification fiches for 5 projects, project fiches for 14 projects and Terms of Reference for nine projects have been drafted. It has to be noted, that during the course of TFIS project implementation, several alterations in EC internal rules and templates took place and imposed a considerable higher workload on the Consultant as expected in the proposal stage of the project. The Consultant was involved in the preparation of the EC AIDCO2 and EC Delegations officials meetings and missions in Central Asia as well as in the Caucasian and Black Sea Countries. Activities C10/11 – dissemination and web-site TRACECA dissemination materials produced earlier were largely distributed in the region among interested stakeholders and beneficiaries. With the help of the Consultant the TRACECA web site is widely used for posting of new information about the EU Programme and activities of the PS. The web site allows for ample dissemination of the TRACECA materials among interested parties, involves improved presentation and easy access to the information. However, as the present design and layout of the TRACECA web site does


not allow to meet latest developments, most modern web applications and information needs, a major revision of the web site has been initiated and is presently being designed and programmed under the auspices of the Consultant in close cooperation with the beneficiary PS. During various regional events TRACECA institutions and projects were presented to a broader audience, e.g. during the UN-Conference on the “Role of International, Regional and Sub-regional Organisations for the Implementation of the Almaty Programme of Action”, OSCE Conference on Role of Transport Development in Enhancing Regional Economic Cooperation and Stability to name just a view of them. The Consultant also assisted the Secretary General in preparation of a presentation on TRACECA at the High-Level Working Group meeting in Kiev, in December 2005 and on other events. Thus, TRACECA was widely presented at major relevant transport events of key players acting in the region. Activity C12 – Up-dating TRACECA traffic data base As the TRACECA traffic data base did not meat minimum requirements as a modern planning and information tool for comprehensive transport sector data in the TRACECA regions, the traffic data base was not only up-dated as requested, but a major revision is underway. A first detailed report on activities in this respect was given in the last project progress report. A further description is attached to this report as Annex VI “TRACECA GIS Database – further development and improvements”. Basic activities were:

- Review of existing data and outlining new traffic data concept; - Specification and purchase of suitable software (data base and GIS); - Creation of new data collection tables and data collection process; - Programming, up-dating and standard reporting formats; - Transfer of existing traffic data to new traffic data base; - Insertion of new data to database.

The development of the database subject was constantly reported to the member-states in the framework of the PS working group meetings. The database subject was discussed at every PS event and was closely followed up with the National Secretaries during the course of the project implementation. Activities C13/14 – TRACECA Meetings and Events Since the project start, the Consultant organised the following TRACECA Meetings:

- Working Group Meeting of the PS IGC TRACECA in Baku 6. - 8. October 2004 - Working Group Meeting of the PS IGC TRACECA in Istanbul 17/18 February 2005 - Working Group Meeting of the PS IGC TRACECA in Baku 20. April 2005 - 4th Annual Meeting of IGC TRACECA in Baku 21/22 April 2005 - TRACECA Strategy Meeting in Istanbul, 26./27. September 2005 - Working Group Meeting of the PS IGC TRACECA in Kiev 15./16. November 2005 - Legal Working Group Meeting in Kiev 15./16. November 2005 - Working Group Meeting of the PS IGC TRACECA in Bucharest, 8./9. February 2006 - Legal Working Group Meeting in Bucharest, 8./9. February 2006

For the meetings of this reporting period, the final documents are attached as Annex III – Final Documents of the Kiev Meeting, November 2005 and Annex IV – Final Documents of the Bucharest Working Group Meeting, February 2006. Preparatory works for the 5th Annual Meeting of the IGC TRACECA in Sofia and the preceding working group meeting of the PS IGC TRACECA scheduled for 1 – 3 May 2006 have started already in this reporting period. For all those meetings main tasks of the Consultant comprised:

- logistical arrangements, i.e. travel arrangements such as flights and hotels, conference facilities and equipment, translations, catering, accrediting, side events, conference designs etc.

- financial arrangements (budgeting, tendering of deliveries, price and contract negotiations, payments, accounting and financial reporting)


- technical preparations of documents starting from the agenda, programme, list of participants to elaboration of or assistance in the production of relevant technical documents to be included in conference folders

- delivering presentations, adaptation of documents, minutes of meetings, drafting of final resolutions, decisions, recommendations during the meetings

- meeting documentation and distribution of final documents to the participants of the meeting - follow-up of decisions, recommendations, and resolutions made during the meetings (throughout

the year). Of course all these tasks were carried out in close cooperation and day-to-day meetings with the PS management and experts. The only exception of these exhaustive tasks was the TRACECA Strategy meeting where major payments, price negotiations and financial reporting were delivered via a framework contract. It was possible to hold more then the amount of meetings foreseen in the terms of reference (4 Working Group Meetings and two IGC Meetings) because of high engagement of the staff of the Consultant and because some of the meetings were combined in one venue which led to considerable savings and due to tight cost management of the Consultant overall budgetary limits (targeted for the original number of meetings) could be met.


3 SUMMARY OF THE PROJECT PLANNING FOR THE REMAINDER OF THE PROJECT

The project planning outlined below covers the period from the month 19 (March 2006) through the month 24 (August 2006) of the project implementation. The summary is in compliance with the Overall Plan of Operations, Overall Output Performance Plan, Work Programme and LogFrame Matrix. The planning activity takes into account the provisions of the Contract Addendum. Remaining tasks for the last reporting period are envisaged as described in the following. A Development and follow-up of the implementation of the TRACECA Visa and the TRACECA freight documentation As no new information was received from the member-states on the subject - still only Azerbaijan and Bulgaria have ratified the decisions – and based on the provisions of the Contract Addendum, in case that the situation related to the ratification process of simplified rules applicable to transport and transit initiated by previous TRACECA projects is not completed in the respective countries, the consultant redirects the available remaining man-days from this activity to the other activities of the project, mainly for activities described in C. Concerning the pilot scheme for simplified rules for freight movement this will be further developed and completed according to the procedure already agreed with the national border authorities (border guards, customs authorities, emigration officers, etc.) in Azerbaijan, Georgia, and Turkey. Trial runs will be carried out as soon as the situation with bird flu outbreaks is normalised, and the corresponding protection and disinfection provisions will not be any longer required at the border-crossings points. Also, the Consultant addressed the NS in Turkey with a request to provide the information on authorises trucking companies, which might be interested in taking part in the pilot initiative. An extensive feedback was received on the subject. The negotiation process with the trucking companies is currently underway. The trial drives with pre-information system is envisaged to be carried out in the beginning of the next reporting period. The experiences made will be disseminated among the National Secretaries in a dissemination seminar scheduled for the second part of the next reporting period. The success of this initiative is only possible when the project partners and beneficiaries demonstrate continuous commitment and involvement in the process. Focus will be given in the forthcoming period to the problems of sanitary certificates in Georgia and transit permissions. As already stated in chapter 2, a close collaboration and mutual exchange of views between TRACECA and UNECE will be followed up. The PS is recommended to systematically collect all transport and transit documents presently in force in the MLA parties. The next step is to liaise closely with the UNECE for disseminating this information on a commonly used webpage. The Consultant will be involved in elaboration of this idea further together with the UNECE and with the Permanent Representations. B TRACECA Hotline (Information and Help Desk) and Enhanced Communication Initiatives Concerning the TRACECA Hotline/Information Desk, based on the conceptual model presented in the last progress report an information desk initiative will be implemented, enhanced and adjusted to the market requirements. It was decided to start application of the concept on a regional basis. Initially, the information related to Caucasian region will be published. It is already obtained with the assistance of the National Secretaries and will be posted firstly within the old structure of the TRACECA database, and afterwards will be incorporated into the new design and structure webpage. There will be a separate section, specifically designed for the users of the TRACECA corridor. In parallel to this a list of transport sector stakeholders was prepared. They were informed about the relevant updates and included into the list of subscribers. The implementation possibilities will be discussed with the National Secretaries of each country with the involvement of the PS. The initiative will be implemented taking into account practical problems, progressive strategy, as well as the impact on and the solutions for the local administrations.


In addition, there is one task left to be done in this project component, which is the finalisation of the renewed TRACECA web site to incorporate the various information and communication initiatives started. Internet, as an information environment requires regular updates, and only those initiatives that demonstrate the development trend win visitors’ interest and return positive results. The official site is a mirror of organisation’s potential and capacity, without updates and dynamics the positive corporate image will become rather vague. The updates and information management will be needed to provide the users with most important information, to demonstrate the novelty of ideas and real time response.

The specific attention will be given to user-friendliness of the website. The new design of the website will meet the requirements of TRACECA corporate identity. It will be done in a business style, but without monotony attached to the majority of similar sites. The website geometry rests upon ergonomic requirements to utilise a browser window keeping in balance graphical and textual contents. This allows correct download of materials for users with various types of screen resolution and system requirements. The site content is divided into the semantic sections that make the understanding of the material easier. The illustrations used match the presented thematic and serve for additional visual support to the user. In order to diversify the front page several changing thematic illustrations were used. The special attention is given to the three major components of the TRACECA: EC TRACECA Programme, TRACECA Institutions and Legislations, and TRACECA Corridor / Networks Information. All these components will be presented in maximally convenient and user-friendly manner. A special section on TRACECA today will be also assigned to provide information on the general manner related to the essence of TRACECA. A technical panel will be also available for the users to be able:

- to be guided through the site; - to receive technical support; - to subscribe for news and mailing alerts; - to contact the TRACECA structures; - to search through the site; - to be directed to the links, and - to study relevant terms used on the webpage in the TRACECA glossary.

The website will be organised in English and Russian languages mainly in parallel, but the English version will be ready for upload earlier. It is envisaged to present the renewed website at the next IGC meeting in Sofia in May 2006.

C Support to the IGC TRACECA and the Permanent Secretariat

The main tasks of this last reporting period concerning project component C will be the organisation and implementation of the 5th Annual IGC Meeting, its follow-up process and the further strengthening of PS capabilities and hand-over to the new PS management and the PS experts.

Other tasks as assistance/reporting to the beneficiaries, coordination with other donors, supervision of the EC financial/technical assistance, follow-up of the EC projects, assistance to the EC in project identification related activity, dissemination of the TRACECA information, the new web page will be developed. The financial support to the IGC TRACECA will be continued. The 5th IGC meeting and further Working Group meetings of the National Secretaries will be organised as scheduled in the course of the project implementation. The financial support and supervision of the PS will be continued. At the same time, the PS will be trained and encouraged to take over this process. The coordination with other projects and assistance to the EC with ToR preparation will be assured at the necessary degree. As the Tacis programme will cease to exist, there are no identification, programming and identification fiches and project fiches to be delivered. However, major work-load will be imposed by delivering further ToR. The updates of TRACECA traffic database will be made. The demonstration of the database design and practical application will be carried out during the 5th Annual IGC meeting. It is essential that the member-states actually see the results produced from the data collected. This is a crucial factor to inspire the support of the member-states to data collection and continuation of this process in the future.


As it was already reported a new system for data processing was purchased and installed. The next steps will be to obtain additional software that offers multi-user possibilities and web application. The Consultant’s activities will follow the recommendations made in the proposal for a revision of data base structure. The new traffic database will enable the PS to provide the planning and information services to MLA parties, interested donors and investors and other stakeholders in a user-friendly environment. It will enable the PS also to generate additional income by providing information to third parties ready to pay for the information. Thus, it is recommended as soon as the new traffic database system is successfully set-up in parallel to elaborate and decide on a dissemination plan, including access allowances and fee levels for database users.

In general the recommendations on increase of the organisational set-up, improve administrative and financial matters, develop human resources, advance marketing/dissemination tools and form a TRACECA corporate identity were done in the frame of the component C of the ToR aimed at further increase of the PS capabilities and capacities. The majority of these recommendations not yet implemented will be carried out with the assistance of the Consultant during the project period if the time frame envisaged for each action permits. It is also recommended that the PS follow up these matters in the future and continue their implementation.


4 PROJECT PROGRESS IN THE REPORTING PERIOD

A Development and Follow – up of the TRACECA Visa and TRACECA Freight Documentation

Activities A 1/2/3/6/7 - Development and Follow – Up of the TRACECA Visa As already described in the chapter 2 the situation with actual implementation of the TRACECA Visa in the MLA member-states was just monitored together with the PS as ratification processes in every country lays out of the influence of TFIS Consultants. The TRACECA Visa related documents are so far only ratified by Azerbaijan and Bulgaria. As the activities for the “TRACECA Visa” are based on an expected humanitarian catastrophe in Afghanistan in the beginning of 2002, it seems now not advisable to strongly push parliamentarians and governments on this subject. Thus, the Consultant strived for a common understanding of the subject and although the indicator on this subject could be achieved already with the forwarding and promoting of the respective documents to the IGC, the Consultant will further strive for the implementation of the ideas following other ways such as the creation of corresponding interstate agreements. Still, the countries, represented by the NS at the Working Group meeting in Kiev, in November 2005, did not support this idea. The working group proposed to postpone any activity in this respect till an unspecified period of time. This autonomous right of the member-states cannot be overruled and it is the position of the Consultant to recommend only those procedures or actions that fit under certain conditions. The willingness of adoption and implementation finally stays with the Parties and the PS, taking into account formation of the greater sense of ownership of the Parties over the TRACECA corridor. Therefore, as per addendum of the contract, any pushing in this respect is not longer adequate and even counterproductive. The Consultant prepared in the first year of project implementation a comprehensive review of documentation and legislation relevant for international freight in each TRACECA country and an in-depth study of freight and passenger movement legal and legislation processes. Based on those reviews and findings, a report was elaborated and advanced during discussions with stakeholders in this reporting period. These activities resulted in the delivering of a final draft report on Development and Follow-up of the TRACECA Visa and Advancement of the International Freight Transportation in the TRACECA Countries. This final draft report was submitted to the consideration of the NS WG in Bucharest in February 2006 and the findings of the report were presented by the Consultant. The Parties were requested to provide their remarks and comments on the subject. The final version is now attached to the present progress report as Annex II. Activities A 4/5 - Simplified Freight Pilot Schemes Having studied the recommendation of the Harmonisation of Border Crossing Procedures project and taken into account the vast experience of the Consultant, a pilot scheme was designed, that is readily to be implemented as it does not necessitate a change of laws in the respective countries. This design for the first time envisages increased partnership between customs and border guards of the involved countries but even more important between the “Clients”, i.e. the business community interested in international transport and border authorities. The design was discussed intensively during two missions with relevant stakeholders in the selected countries Turkey, Georgia and Azerbaijan such as the border control, immigration, Customs, Sanitary and Veterinary Inspections, Ministries of Transport, Forwarder Associations and Representative of Truckers and loaders. It was clear, that the better practices at borders will increase the positive image of the TRACECA corridor and may consequently be applied on the regular basis to increase the willingness of transport companies to use the TRACECA routes. The project activity was complicated by outbursts of the bird flu and extreme weather conditions at the border-crossings in the mountainous regions as well as major changes in the responsibilities especially in Georgia. Thus, in this reporting period another mission to Georgia was necessary to re-discuss and obtain again mutual understanding and ownership. In further negotiations with representatives of Azerbaijan, Georgia and Turkey the Consultant re-confirmed the readiness of the border crossing stakeholders for application of the pilot scheme and for the trial runs. The information tables developed in the last reporting period were further disseminated and as reported the further mission to the selected countries, border crossings and authorities lead to wide acceptance. The Consultant was able to overcome concerns and objections of the various involved entities. Thus, this information tables will be used during the trials foreseen in the next reporting period.


Furthermore, the Consultant has also followed up on the subject of the overdue release of certifications for the trucking industry by the veterinary authorities in the Port of Poti and advanced the interest and willingness of the involved industry. They are now stand-by for the test runs. This was done as an additional component of pilot scheme implementation. The final preparatory activities for the trial run are in progress. Also the Consultant provided the advisory services to the authorities involved in the launching of the pilot container train Poti-Baku-Aktau-Almaty. The consultations were carried out in Caucasus and in Kazakhstan with the support of the NS. During this time our office in Almaty was approached by interested shippers with the request to provide more information about the pilot scheme with a special view on rail transportation. B TRACECA Information and Help Desk (Hotline) and Enhanced Communication Initiatives Activities B 1/2/3 - TRACECA Information and Help Desk The design of the hotline, now Information and Help Desk, was specified in greater detail in the chapter 2 B and the overall concept was presented. Having analysed various options for hotline implementation the Consultant recommended that the originally envisaged hotline is transferred into a web-based information and help desk. This approach was presented during the Kiev Working Group Meeting in Nov. 2005 and appreciated by the participants. During further consultations three countries were selected for the start up. We followed the logic of the transport corridor and the related this initiative to the currently implemented pilot scheme. In this reporting period major steps were taken to realise this new initiative, i.e. the programming of the web-page has started, the selected countries are approached to deliver the necessary information for this page, the necessary information was gathered and connection to the TRACECA web-site is now possible right at the beginning of the next reporting period. Simultaneously, the dissemination to all stakeholders was prepared. The hotline initiative (Information and Help Desk) will cover several aspects of the TRACECA enhancement: improving cooperation with international organisations, increased responsiveness to malpractice signals, advanced activity of the National Secretaries, promotion of TRACECA web-page, and client orientation. This all constitutes the part of the process to transform the PS IGC TRACECA into an internationally recognised and proactive organisation. Activities B 4/5/6 - TRACECA Web Site As the current web-site and its regularly up-dating with latest information was not any more perceived to be sufficient and adequate to address latest developments of TRACECA, major efforts of this reporting period were to initiate a complete renewal of the site. Thus, the market for web-programmers and designers was researched, the specifications were elaborated, tenders were undertaken, negotiations and contracting of a designer and of a programmer did take place. The structure of the web-site was drafted and discussed among the project team and with the beneficiary. The structure mainly foresees the following three main components:

- TRACECA programme and projects, - TRACECA institutions and legislation, - TRACECA corridor and network information for customers.

This is perceived to address more adequate the information and research needs of web-site visitors. Furthermore, the TRACECA website will be available not only in one but in both TRACECA languages. In total there are more then 100 basic web-pages to be designed prepared text-wise and programmed not talking about the various necessary links and download information. An example of the redesigned front page is illustrated below.


Activities 7/8 - Web Cams As research and findings of the preceding reporting phases showed that the concept is not feasible and goes in contradiction with national security and even may hinder commercial interests, no further activities were justifiable in this period. The signed contract addendum II allows for reallocation of originally planned resources and inputs originally envisaged for more detailed study. C Support of the IGC TRACECA and Permanent Secretariat Activities C1/2/3/4 - Cooperation and Co-ordination with Project Partners, Stakeholders and Beneficiaries The Consultant was and is involved in the everyday operation of the PS. In this respect technical, administrative and information assistance, informational support, co-ordination among authorities, interregional co-ordination, co-operation with EC Delegations, and liaison with other EC Consultants and donor organisations are rendered to the PS. The Consultant collaborated with the international development partners in the TRACECA regions. The Consultant maintained close co-operation with the national transport sector authorities. By reporting to them on a regular basis the Consultant supplied adequate information on the projects financed by EC in the framework of TRACECA. The Consultant provided co-ordination and consultation to ensure the follow-up of the on going and completed projects. In this reporting period stress was laid on Central Asian Countries and the Consultant accompanied the Secretary General in a mission comprising all Central Asian MLA Parties. Furthermore, there were pre-discussions for a Memorandum of Understanding with two international associations/organisations. Please refer for further details in this respect to Annex V Schedule of Meetings. An additional work-load was imposed on the Consultant in relation with the elaboration of the final version of the IGC strategy requested by the fourth Annual IGC Meeting and to be submitted for adoption to the 5th Annual Meeting of the IGC. Various contacts and coordination efforts were required and the main activities of the Consultant in this respect were:

- review and research on strategies of similar institutions / corridor developments - research of strategies of MLA parties


- assisted in the proposal of the PS - discussion on the proposal and the basic contents with EC and other stakeholders; - participation in the preparation of further drafts - moderating the Strategy Meeting in Istanbul Sept. 05 and all further meetings (Kiev Nov. 05 and

Bucharest Feb. 06) with a view to elaborate a commonly accepted version; (concerning the meetings please refer also to

- involved in follow-up of decisions of meetings, incorporation of numerous change requests and comments after negotiation and mutual consultations

- cared for a proper and commonly accepted translation - made cross-reading, proof-reading and quality checks of the final draft version to be submitted to

the IGC in the next reporting period. Activity C5/6/15 – Financial and technical Support to the PS, Capacity Building The project supports and supervises the EU financial and technical assistance to the PS. The continuous financing of the PS has been provided in time and in line with the proposed, agreed and approved budget. The main activities in this respect in this reporting period were:

- budgeting the working group meetings for Strategy meeting in Istanbul, for the Kiev and Bucharest - revision of the PS budget for 2006 and - budget proposal for 2007 - supervising the accounting procedures and quality and plausibility checks - cash flow forecasts and budget (expenditure and income controlling) - year end accounting/balancing for the fiscal year 2005 - drafting of the financial report of the SG for the year 2005 - presentation of budgetary information on working group meetings in Kiev and Bucharest and

drafting respective recommendations and decisions. - Advising in investment, tendering and procurements of the PS such as new server, new software,

office furniture, car, major emergency renovations of TRACECA premises decisions and drafting of service, works and supply contracts.

- Follow-up of further accessions to the Joint Financing Agreement - Issuing the financial contributions of the parties of Kyrgyzstan and Tajikistan

As part of the technical support the Consultant initiated the process of bringing the TRACECA technical archive in a good order. Basically, the full-fledged archive has been established: all library units (books, field publications, EC project reports, relevant reports of the international donor community, conference materials, materials of the TRACECA working groups and IGC meetings, various EC publications, etc) were collected, sorted out by selected attribute, registered in the electronic catalogue, assigned a unique unit number, put on shelves, and thus made available for reference of the interested readers. In total more then 2500 units were registered. Now, with this effort, for the first time this immense know-how gathered and elaborated in the various EC projects and other programmes is readily available and accessible. First users (PS experts and Consultants) have already profited from this activities. The effort of the professional archive organisation was an additional workload for the Consultant, as a part of the document management system introduction suggested in the Capability report elaborated in the last reporting period. A catalogue designed is now suitable for conversion into any database/document management system type of software to be purchased at a later stage. Still, currently, extensive search possibilities and options are available: via project type, document type, date of issue, language of publication, publisher, general topic of publication, region covered, countries covered, etc. Below a typical content page of the catalogue is presented:


Two pictures might illustrate the immense effort undertaken

TRACECA Archive Before TRACECA Archive After

Further measures/actions to increase the capability of the current administration recommended by the Consultant (the report was attached to the last progress report) are continuously under implementation. Main features are, that travel regulations were developed and put in force as well as staff incentive schemes and a revision of the salary scheme. The organisational structure of the PS and its entities in the Parties was revised to give rise to latest developments and to be able to address the new challenges imposed on the know-how needs within the PS by the IGC strategy. The restructuring recommendations were initially presented and discussed in Kiev Meeting in Nov. 05 and then followed-up in Bucharest Working Group meeting in Feb. 06. The ideas commonly developed there are now being further processed and were taken into account when suggesting the revised budgets for 2006 and the budget for 2007. The sub-sequent recruitment process started with interviewing, selection and nomination of the International and Public Relations Expert. Further replacements took place when the Secretary Administrative, the Legal Expert and the Road Expert of their own accord terminated their respective contracts with the PS. The


vacancies left room for the realisation of the revised organisational structure and consequent vacancy announcements were issued for the positions of the Legal and Institutional Expert, Land transport expert and Traffic Planner. These job announcements were posted on the TRACECA webpage. The introduction of the latter position is governed by unprecedented necessity to develop and maintain the TRACECA Traffic GIS Database. Simultaneously, the Consultant recommended to the PS to notify the National Secretaries on the subject and ask for the assistance in recruiting process. The National Secretaries were particularly requested to publish the vacancy announcements in the local mass media of their respective countries and to advertise the positions to the potentially interested parties. The Consultant assisted in the evaluation process of applicants, drafted and implemented structured interviews, elaborated new labour contracts and revised job descriptions fitting into the new structure. To the time of the progress report issue a decision on recruiting of highly qualified and experienced Legal and Institutional Expert and Land Transport Expert and the Secretary Administrative has been made. Candidates for the position of the Transport Planner are still under consideration. Activities C7/8/9/16 - Coordination of Other Project Activities, Assistance to EC in Project Identification and Preparation The Consultant assisted the European Commission and the EC Delegations in the identification of new projects and is deeply involved in project discussions with beneficiaries. These activities were carried out in close coordination with beneficiaries, the PS IGC TRACECA and the EC. The Consultant continued drafting Project Identification Fiches, Project Fiches including log-frames and rough budgetary calculations as well as Terms of References for EU-funded projects. During the reporting period the following Fiches and Terms of References have been drafted and modified:

All Identification Fiches and project fiches for AP 2006 and CA AP 2005 and 2006 (altogether 11 identification fiches respectively fiches), and ToR for CA Harmonisation of Transport Policy, Perishable Goods, Aktau Port, Aviation Training (started).

It has to be pointed out that the de-concentration process of the EC has increased the workload of the consultant especially in Central Asia where the Delegation of the European Commission needs much more assistance then estimated be

Trade Facilitation and Institutional Support Project · 2010. 5. 7. · 3 SUMMARY OF THE PROJECT...

Documents

Transcript of Trade Facilitation and Institutional Support Project · 2010. 5. 7. · 3 SUMMARY OF THE PROJECT...