Structural Funds dedicated to Romanian agriculture – a premises for economical and social cohesion between UE member states | SIVECO Romania

Structural Funds dedicated to Romanian agriculture – a premises for economical and social cohesion between UE member states

Monday, November 27, 2006

Bucharest, 27th of November 2006 – Recently, the company SIVECO Romania participated as official partner at the conference “Structural Funds for Romanian Agriculture in The Post Admission Period".

The conference focused on the theme of global politics regarding the Romanian agriculture, the complementarities between the agricultural and rural development objectives and the cohesion policy, aiming to present in details the circumstances for the accession of European funds dedicated to the development of Romanian agriculture in the post accession period.

SIVECO Romania is a developer and implementer of IT solutions dedicated to the agricultural sector and one of the most important references of the company in this area, a project also presented at the conference, is represented by the administration and control integrated system for agriculture (IACS), implemented together with the company ABG Ster - Projekt from Poland at The Payment and Intervention Agency for Agriculture (APIA).

The system will assure compatibility between the national support programs for farmers and the European Union support programs, such as:

  • A database of the farmers, farms and agricultural holdings;
  • Payments calculation and authorization for each farm, including the control activities of the quality and audit;
  • The payments made to the farmers;
  • The accounting of the payments – standard accounting procedures based on income and expenses accounts.

"We are aware of the responsibility involved by this project, including of the importance of communication regarding its stage of implementation. SIVECO references in the eGovernment projects are exceptionally good and are certified inclusive through the top international awards received (such as the European Commission “Best Practice” award or the eEurope Award.). As it is known, large and complex projects like the eGovernment ones can be developed only by large companies, which have well-trained and experienced professionals in the management of such large projects. Besides, the best signal regarding our performances in the eGovernment projects is the interest of ministry’s from several countries for the withdrawal of our eLearning and eHealth projects”, declares Irina Socol, General Manager SIVECO Romania.

Together with the accession to the European Union, Romania will be able to access the financing programs dedicate to the agriculture, through the 2 funds that come as a continuation of SAPARD program – The European Agricultural Guarantee Fund (FEGA) and European Agricultural Fund of Rural Development (FEADR). The financial package for this sector is around 12 billion Euro for the period between 2007 and 2013 and will be dedicated for the improving of the competitivity of the agricultural and forestry sector, for the management of the agricultural and forest lands, the improvement of life in the rural environment and for the sustenance of the market mechanisms, all this having as strategic objective the decrease of the differences between the stages of development of the UE member States.

The administration of the funds money, FEGA and FEADR, constituted as part of the Common Agricultural Policy, will be made through the agricultural payment agencies which have the meaning to facilitate the access of the farmers to financial support, internal or external and the step by step compliance of the engagements taken with the UE: The Payment and Intervention Agency for Agriculture (APIA), which manages the funds of FEGA and The Paying Agency for Rural development and Fishery (ADPRP), which manages the FEADR and FEP (European Fisheries Fund) funds.

The European Agricultural Guarantee Fund is part of the general budget of the European Community, its total volume dedicated to the support of agriculture, including other funds, is about half of the UE general budget.

In these conditions it becomes necessary to assure the credibility of PAC and the implementation of adequate systems that can secure correct and transparent funds spending. In this context, each member state must implement adequate IT systems that can assure the management and control of the financial support grated to the farmers.

By the implementation of the Integrated Administration and Control System IACS, The Payment and Intervention Agency for Agriculture will hold all the material elements for the accreditation as payment agency. Thus, will be completely competent in implementing the stipulations of Common Agricultural Policy regarding the correct use of FEGA funds.

The implementation and the finalization of the integrated administration and control systems (IACS) for the Romanian agriculture at the specified time, by the development of the information components represents an important stage in the process of Romania’s accession to the UE, a permanent preoccupation for the Ministry of Agriculture, Forests and Rural Development and The Payment and Intervention Agency for Agriculture. With the accreditation of APIA as paying agency, the stipulations of Common Agricultural Policy of the European Union will allow the granting of the support funds for the farmers (direct payments) in a correct and transparent manner.

About APIA and IACS

The Payment and Intervention Agency for Agriculture was established in 2005 as a consequence of the necessities for the management of the funds dedicated to the development of agriculture and as direct responsible for the implementation of an Integrated Administration and Control System that would administrate the budget of the Common Agricultural Policy allocate to Romania after the accession. In this moment, IACS remains the main instrument for the administration and control of payments for farms.

The Integrated Administration and Control System (IACS) developed by SIVECO Romania, in collaboration with ABG Ster - Projekt is the main system for the evidence and control of direct payments and rural development of the agency and is comprising a database of the financial assistance requests, a systems for the identification of the agricultural parcels, a register of the farms and a control system (administrative, crisscrossed, at the site, by remote sensing).

Through the information system will be established and monitored the control actions on the field and the crisscross and conformity verification actions. The selection of the areas, of the agricultural holdings and the farmers that will be controlled will be made based on multiple criteria, among which random selection in proportion of 20 % and the deviations previously registered.

In the firsts three years the payments will be made based on a relatively simple scheme, unique payment per parcel - SAPS Single Area Payment System. Payments for the farmers, the administrators of agricultural holdings parcels are based on the financial assistance requests for the agricultural parcel and the farmers must accomplish a series of specific criteria before they receive the money. 

Also, will become operational a function for permanent monitoring of the status of each financial assistance requests, that has reduced response time and maximum precision – in this way will be known how much money were paid to each farmer, what is the date of request, what are the eligibility criteria for each financial assistance addressee and what is the efficiency of the allocated funds.