MISSION REPORT OF GIANCARLO CANZANELLI IN ALBANIA October 2011

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1 1 International Link and Services for Local Economic Development Agencies for a fair, human, sustainable and inclusive development Objectives MISSION REPORT OF GIANCARLO CANZANELLI IN ALBANIA October To revise progress in the LEDAs path towards the new perspective of territorial integrated agency and recommend future actions. 2. To support AGA2 in assisting the national government for a national policy for the LEDAs. 3. To coordinate with the Italian Cooperation possible synergies in relation to future Italian programs. Agenda 17 October Arrival, Meeting with Luigi Cafiero (CTA AGA2 program) 18 October Meeting with Mr Poni, deputy ministry Internal Affaires Meeting with Aldo Sicignano and the Italian Cooperation equip 19 October Preparation documentation for Mr. Poni /European models for LEDAs Departure for Vlora 20 October Meeting with Mirela Koci (Auleda Director) Meeting with Auleda management board Meeting with Auleda technical equip 21 October Meeting with UNDP Kosovo and ART Initiative Hub October Preparation documentation for the meeting with Mr. Poni (draft proposal for a national policy for strengthening regional councils) 24 October Meeting with Teuleda director 25 October Meeting with Mr Poni Meeting with the Italian Cooperation Team 26 October Departure Results 1. The progress of the two LEDAs in pursuing the initial objective (becoming integrated agency) measured and a plan of action agreed (with Auleda) and recommended (with Teuleda). 2. Main guidelines for a national policy for strengthening the regional councils shared with the Deputy Ministry of Interior. A draft proposal submitted. 3. Main guidelines for the documentation regarding the Italian Cooperation programs for a comprehensive assistance to SMEs shared with the Italian Cooperation team.

2 2 Activities 1. Progress of the two LEDAs in becoming integrated agency. The plan of transformation of the LEDAs were approved by the management boards of Auleda (18 January 2011) and Teuleda (4 march 2011). The plan registered delays due to the electoral competition, the election of the new local administrations and the regional councils. Only since mid October it was possible to convey he new boards. Another element that is influencing this evolution is the interest of the Ministry of Internal Affairs about a national policy for Regional Integrated Development Agencies that should provide a new regulatory framework to the existing ones. This is the reason why, for instance, the component of the plan of action regarding the LEDA strategy has been postponed until this framework is clarified. 1.1 AULEDA The progress is indicated in table 1. Auleda is respecting the improvement program, and it achieved significant results, including the obtainment of the Eurada-Ils LEDA sunflower label. Strengths of this path are the registration of the new statute, the elaboration of the Management handbook, the identification of the new organization. Weakness is represented by the delay in organizing the civil society, and in particular the producers. The plan of action shared with the Management Board mainly foresees a) approval of the final version of the Management Handbook, and the organization b) new management board capacity building c) organization of the producers and the civil society for reinforcing possibilities of participating to the Auleda life and decisions d) preparation of the next March general assembly, through elaboration of the documentation (reports, scenarios, 2012 plan of activity), sensitization and visibility plan.

3 3 1.2 TEULEDA Teuleda has realised very little progress. The needed Statute modifications have not been discussed by the management board, as well as the new management handbook, and the updating of the organization. Significant progress were achieved in organizing honey, fruit and milk producers, but it is still not clear how to involve them in the LEDA life and decisions. There is then a lot to do and it was recommended to accelerate the actions. Hopefully, as it was declared by the Director, it will be realized in the next months. This is very much recommendable for avoiding the risk Teuleda is excluded by the possible future national framework regarding the new regional integrated development agencies, or maintaining its legitimacy towards national and international organisms. 2. Main guidelines for a national policy for strengthening the regional councils. Following a meeting held in Seville, in the occasion of the 1 st Forum of Local development agencies, two meetings were held in Tirana at request of Mr. Poni, Albanian Deputy Ministry of Interior, concerning a road map for a regulatory framework on strengthening the regional councils. In the first meeting the key elements of this road map were drafted. A draft proposal was then elaborate and submitted to the Deputy Ministry in the second meeting (see annex) The Deputy Ministry will analyse the proposal, discuss it with his collaborators and reference institutions, and make comments and revisions. The main elements of this agenda are illustrated in the following box. Furthermore a short review on RDA models in Europe and in the world was delivered to the ministry ( pdf).

4 4 STATE OF THE PROGRESS FOR THE AULEDA DEVELOPMENT PROCESS (OCTOBER 2011) AND PLAN OF ACTION Institutional Framework Task % PROGRESS 1. Strengthening public-private partnership, including new members 2. Updating criteria for including new members electing the board. 3. Strengthening the role of Auleda as reference institution 4. Updating the role and the relationship between the members, rights and duties Updating the statute Promoting new associations or reinforcing existing association New Membership Assembly Plan of actions (October March 2012) Done Promoting associations for the identified priority value chain: medicinal herbs, fishermen, tourism, milk, olive oil, etc, Include new ready members: fishermen and olive oil associations, etc. Prepare next March 2012 assembly Update management board UNDP ART NEEDED SUPPORT Resource person for carrying on the action Support to the elaboration of the preparatory documents: 2011 activity report, 2012 action plan, 2012 financial plan, business plan Management/Administration Task % PROGRESS Plan of actions (October 2011-March 2012) UNDP ART NEEDED SUPPORT 1. Updating the mechanisms and criteria for taking decisions 2. Updating the operational procedures 3. Updating the organisation 4. Updating the administrative rules and procedures, mainly according to accountability and transparency Updating the Operational Manual Updating the organisational chart Building operational flexible networks of competence Approval by the next management board Approval by the next management board Complete the composition of the Board Committees and the departmental roaster support experts Services % PROGRESS Plan of actions (October 2011-March 2012) UNDP ART NEEDED SUPPORT 1. Updating the service/users matrix: what services for whom 2. Updating priorities Matrix service/clients Links with national and international networks Capacity building- Strengthening technical staff Update the matrix according to the national Strengthening the relationships with national networks (associations of entrepreneurs, farmers, LEDAs network, etc.) Increase the staff and train Support in the creation of a national LEDA network Staff capacity building : Strategic plan % PROGRESS Plan of actions (October 2011-March 2012) UNDP ART NEEDED SUPPORT 1. Short Period: organisational departmentalization (business services, project services) 2. Medium Period: increasing the number of services (such as for innovation and social inclusion) Elaboration of the strategic plan document Relationships with National Government, UNDP, etc Elaboration in accordance with the national Update in accordance with the national Support in the elaboration of the plan according to the new national regulatory framework

5 STATE OF THE PROGRESS FOR THE TEULEDA DEVELOPMENT PROCESS (OCTOBER 2011) AND PLAN OF ACTION Plan of actions (October UNDP ART NEEDED Institutional Framework Task % PROGRESS March 2012) SUPPORT 5. Strengthening public-private partnership, including new members 6. Updating criteria for including new members electing the board. 7. Strengthening the role of Auleda as reference institution 8. Updating the role and the relationship between the members, rights and duties Updating the statute Promoting new associations or reinforcing existing association New Membership Assembly Discussion in the next new board meeting, according to the Auleda experience Consolidating and formalising the identified associations honey, milk, fruits, etc. Include new ready members: Prepare next March 2012 assembly Update management board 5 Technical and legal assistance Training Management Board and Study tour Support to the elaboration of the preparatory documents: 2011 activity report, 2012 action plan, 2012 financial plan, business plan Management/Administration Task % PROGRESS Plan of actions (October 2011-March 2012) UND ART NEEDED SUPPORT 5. Updating the mechanisms and criteria for taking decisions 6. Updating the operational procedures 7. Updating the organisation 8. Updating the administrative rules and procedures, mainly according to accountability and transparency Updating the Operational Manual Updating the organisational chart Building operational flexible networks of competence Discussion starting from the next management board and plan of action approved ibidem ibidem Technical assistance Services % PROGRESS Plan of actions (October 2011-March 2012) UNDP ART NEEDED SUPPORT 3. Updating the service/users matrix: what services for whom 4. Updating priorities Matrix service/clients Links with national and international networks Capacity building- Strengthening technical staff Update the matrix according to the national Strengthening the relationships with national networks (associations of entrepreneurs, farmers, LEDAs network, etc.) Increase the staff and train Support in the creation of a national LEDA network Staff capacity building : Strategic plan % PROGRESS Plan of actions (October 2011-March 2012) UNDP ART NEEDED SUPPORT 3. Short Period: organisational departmentalization (business services, project services) 4. Medium Period: increasing the number of services (such as for innovation and social inclusion) Elaboration of the strategic plan document Relationships with National Government, UNDP, etc Elaboration in accordance with the national Update in accordance with the national Support in the elaboration of the plan according to the new national regulatory framework

6 6 AGENDA FOR ELABORATING A REGULATORY FRAMEWORK FOR STRENGTHENING REGIONAL COUNCILS 1. Regional Planning i The role of the Regional Council: the Regional Planning Office (RPO) towards municipal plans. ii The ART GOLD Experience. 2. Regional Integrated Development Agencies (RIDA), as instruments for facilitating quick impact of the regional plans, internal and external visibility of the regions, regional councils consensus building vis-a-vis municipalities, other public institutions and civil society. i RIDA in Europe and in the world ii The Albanian way to RIDA iii Role of the RIDA towards the regional councils: instrument of quick plan implementation (contribution to implement projects, to build services company systems, to improve outsourced services to citizens, to support municipalities); visibility (for better positioning the regions in the national and international context through defining the proper regional personality and profile, or marketing the region in a dynamic way (it means updating future possible national and international scenarios, and preventing shocks), and last but not least- favouring social cohesion towards the maintenance and development of the local resources and excellencies, through internal marketing actions); and consensus building (for convoying in a integrated way the regional human, economic, and institutional resources towards the prioritised actions, and to facilitate its executive coordination). iv Role of the Regional Council towards RIDA and inter-relationships v RIDAs and the national policy vi The RIDA short-medium/long term sustainability vii Success factors for a RIDA 3. National policy for strengthening Regional Councils i Main objectives, geographic articulation, and strategy of the regional policies ii Guidelines for the elaboration of the regional and municipal development plans Support to the RIDAs iii About national programme for regional development iv About proper institutions for coordinating decisions about the national strategy and program v About financing regional development projects and measures for financially incentivising regional development vi Establish a evaluation and monitoring system 3. Main guidelines for the documentation regarding the Italian Cooperation programs for a comprehensive assistance to SMEs shared with the Italian Cooperation team. Recommendations were provided for taking into account the ART and ILS LEDA experience in matter of local economic development and the strategies for habilitating SMEs to maintain sustainability in the long term (use of the guarantee fund mechanism, valorisation of local resources, environmental protection, territorial participatory strategic framework, value chain approach, use of local development agencies etc.,)

7 7 Recommendations Follow up of the mission results shall be provided. In particular: 1. Facilitating the promotion and the organisation of the civil society and producers associations, through a specific resource person in support to Auleda. 2. Monitoring and verifying Auleda respect the shared plan of action: approval of the Management hand-book and the new organisation, preparation of the documentation for the new assembly. 3. Insisting and monitoring Teuleda call the management board and establish a plan of action for modifying the statute, elaborate the management handbook, and prepare the next assembly with many others new members, including civil society representatives. Provide legal assistance. 4. Follow up the Deputy Ministry of the Internal Affairs provides comments and recommendations on the draft proposal for the regulatory framework for strengthening regional councils. 5. Follow up the Italian Cooperation finalisation of the documentation about the program for assisting SME.