The document provides guidance on preparing project proposals or "project fiches" for funding under the Phare pre-accession instrument in Iceland. It outlines the key elements that should be included in a project fiche, such as objectives, activities, budget, implementation timeline, and risk assessment. The document also describes the process for designing projects, including defining the problem, scope, stakeholders and ensuring lessons from past projects are considered.

1. Sustainable Economic Development of the Sudurnes
region, Iceland
Preparation of Project Proposals
‘The project fiche’
JOSE MATEOS MORENO
Ásbrú, January 2012

2. Contents
1. Preparation of the project
application form
2. Activity and resource planning
2

3. 1. Project Design
3

4. Project Design: definition of a
Project
• Economically indivisible series of activities
for a precise technical function
• Identified outputs and objectives
• Clearly defined beginning and end
• A programme is a heterogeneous group of
measures and projects
4

5. Elements of project design
• Why: the problem or need and wider objectives
• What: activities, results and project purpose
• How: internal and diagonal logic:
- Indicators for monitoring and evaluation
- Risk analysis and assumptions
- Preconditions
- Finance: costs and co-financing
- Implementation schedule
5

6. Project Design: Tasks
Responsibilities of Final Beneficiary:
• Designing of project proposals and submitting them
to IBs
Responsibilities of Lead Ministry (Sectoral
Offices):
• Compliance with the sectoral strategic documents
• Verifies technical quality of the project proposal
• Verifies if the project proposal meets the eligibility
criteria for IPA measures
• Ensures the national financial contribution for the
project
6

7. The project application procedure
should:
• Promote high quality project preparation
• Asess if EU principles are met (horizontal
issues)
• Check for availibility of all necessary
documents (feasibility studies, EIA, permits
etc)
• Show main results of EIA and feasibility/CBA
studies
• The format (project fiche or application form) is
a tool for uniform communication of relevant
key project information
7

8. Elements of a project proposal
‘Project fiche’
1) Basic information
2) Objectives
3) Description
4) Institutional Framework
5) Detailed Budget
6) Implementation Arrangements
7) Implementation Schedule
8) Cross cutting issues
1) Equal Opportunity
2) Environment
9) Rates of Return
10) Investment Criteria
11) Conditionality and Sequencing
Annexes: Logframe, implementation chart, contracting and disbursement
schedule, list of preparation studies, laws, plans.
8

9. Activities in Project Design
A. Information gathering for the problem
analysis and the elements of project design
B. Deciding the scale and scope of the project
C. Assembling the project design elements
D. Filling in the project proposal (fiche)
9

10. A) Information gathering
– Outcome of previous projects / gaps
– Linked or other relevant activities
– Views of potential beneficiaries / recipients
– Monitoring/evaluation recommendations
– OPs and any other government strategies or plans
– Financial information – national funds available
– Statistics available for Indicators of Achievement
– Gender information
– Institutional ‗audit‘ of staffing / capacity / resources
– Environmental Impact Assessment (EIA) / feasibility
studies (CBA)
– Material for Fiche annexes
10

11. B) Deciding the scope and scale
Scope: type of activities to include should
depend on:
- type of needs/problems
- cost/feasibility issues
- dependency of success on specific activities
Size (capacity) of the project should depend
on:
- market demand/need for the services of the
project (feasibility study)
11

12. C) The project design elements and logframe
D) Filling in the project fiche
12

13. The logic of project design
Needs/Problems (t)
Overall objective
Project purpose
Expected results
Input
Activity
13

14. 14

15. 1. Why: Start with problem or need
identification
• Briefly explain the origins of the project
and outline why it is being undertaken
• Problem or need analysis: causes of the
problems and size of the problem
Example: High level of unemployment
because of low economic activity
15

16. 2. Objectives: Overall objective
• The Overall Objective should explain why the
project is important to society, in terms of the
longer-term benefits to beneficiaries and the
wider benefits to other groups.
• The Overall Objective will not be achieved by
the project alone, but will require the impacts of
other programmes and projects (and probably
other actions) as well.
• Example: to improve business environment in a
region
16

17. 2. Objectives: Project Purpose
The single central objective of the project in
terms of sustainable benefits to be
delivered to the project beneficiaries.
• Example: to improve business
infrastructure for new start-ups.
• To improve tourist infrastructure in a
region.
17

18. 3a. Results
The results are what the project management is responsible for
achieving by its completion date.
Results impact and sustainability
What is achieved
what changes
what lasts
18

19. 3b. Activities
• The specific tasks to be undertaken during
a project’s life to obtain results.
Activities should indicate:
• what the person or organisation
responsible for the project should do.
• how the project’s goods and services will
be delivered
19

20. 3c. Indicators
Measurable indicators that will show whether or not
objectives have been achieved at each level of the
logframe hierarchy and at defined times
Indicators provide the basis for designing an
appropriate monitoring (and evaluation) system
Sources of Verification: the means by which the
indicators or milestones will be recorded and made
available to project management or those
evaluating project performance.
20

21. Risks & assumptions and
Pre-conditions
Risks: factors which could affect the progress or
success of the project
In LFA: risks should always be expressed as
assumptions
Risk analysis and risk management strategy for larger
projects
Pre-conditions: constraints that have to be met
before the project starts
21

22. 4. Institutional Arrangements
• Institutional framework within which the project
will operate.
• Identify any constraints or changes that can
have impact on results
• Chain of command
• (a) who will be appointed as the "Engineer―
• (b) who will be the "Employer" — the institution
responsible for providing the site and for
paying the contractor
• (c) who will be or become "Owner" of the asset
after project completion
22

23. 5. Detailed Budget
• Budget: estimation of investment costs
• Clarify the cost estimation
• Maintenance costs are not covered by EU
funds: make reservation in national budget
• Specify co-financing of national budget,
municipalities, loans etc. (column funding
source in resource schedule)
23

24. 6. Implementation arrangements
• Implementing agency of the project
(details)
• Contracting parties
24

25. 7. Implementation schedule
A) Start of tendering/call for proposals
Give date, including when TORs and/or project
specifications will be ready
B) Start of project activity
Expected date of commencement of first contract/grant scheme
C) Project completion
Expected date of last payment under last contract/grant
25

26. Project Fiche – Step by Step
• Following the standard Project Fiche
format – contained in an Annex to the
Phare / Pre-Accession Instrument 2005
Programming Guide
– Note: the format is very similar to Phare
2004
– Fiche format can be found just after blue tab
(Day 1) in the training manual
26

27. Project Fiche
• Introduction - Phare 2005 Project Fiche Format
• Period 2005-07: multi-annual PF for Economic
and Social Cohesion (ESC) investments and for
Institution Building (IB) and associated
investment (if feasible)
• PF can be for:
– Stand-alone projects
– Sectoral / sub-sectoral projects
– Single-year / multi-annual projects
• PF has several annexes including: list of laws, list
of relevant strategic plans and studies
27

28. Project Fiche
• 1 Basic Information (using PF numbering
system)
• 1.1 CRIS Number – allocated after FP
registered
• 1.2 Title – accurate, few words & full meaning!
• 1.3 Sector – to be defined by DG ENLARG
• 1.4 Location
– country/region/city for investment project
– Institutional location for IB project
• 1.5 Duration
28

29. Project Fiche
2 Objectives
2.1 Overall Objective(s)
• Normally only one overall objective
• Take from Logframe
• Overall objective should explain why project is
important to society and refer to longer term
benefits. Remember: the project will only
partially achieve the overall objective.
29

30. Project Fiche
2.2 Project Purpose
• From logframe
• Normally one purpose per project
• Project purpose is the single central objective
of the project.
30

31. Project Fiche
2.3 Accession Partnership (AP) & NPAA Priority
• Need to identify and outline AP/NPAA policy
priority addressed by project
• Include implementing measures from Action
Plan for AP priorities related to strengthening
administrative and judicial capacity
31

32. Project Fiche
2.4 Contribution to NDP (and/or Structural Funds
Dev Plan)
• Normally applies to ESC projects only
• Show relevant parts of NDP/SFDP and
project contribution
2.5 Cross Border Impact
• CBC projects only
• ―Impact‖ = what changes as result of project
• Write ―not applicable‖ if not a CBC project
32

33. Project Fiche
3 Description
• Provide clear picture of the use of funding
sought
3.1 Background and Justification
• Clarify Civil Society involvement and
consultation
• Stand-Alone Project – project origins and
reasons
• Sector Programmes – show link with
government sector strategy & concentrate on
legislative / administrative deficiencies
33

34. Project Fiche
3.2 Sectoral Rationale (sector programmes only)
• Summarise how Govt strategy helps achieve overall
objective
• Describe how EU project will be programmed
3.2.1 Identification of Projects
• Section based on ―Gap Analysis‖
3.2.2 Sequencing
• Projects sequenced into the three funding years
(2005/6/7)
• Key decisions: which project is dependent on earlier
one; and, should any project be split into stages?
34

35. Project Fiche
3.3 Results
• Need following information for each
project
– Starting position (benchmark)
– Project purpose
– Description of activities proposed
– Rational for breakdown of projects into contracts
– Sequencing and timing imposed
• ―Results‖ must correspond with logframe
35

36. Project Fiche
3.4 Activities (including Means)
• Describe activities during life of project (from
logframe) and means (specific contracts /
grants / subsidies – matched with budget
breakdown)
• Means should show starting position (contract
aim) and final position (assets in place &
competencies acquired)
36

37. Project Fiche
3.5 Linked Activities
• Describe earlier EU activities and projects in
this area
• Show connections with each other and to the
project
• Describe relevant current activities by other
parties (government, private sector, donors,
IFIs)
37

38. Project Fiche
3.6 Lessons Learned
• Show that project design incorporates lessons
learned from all relevant sources of
experience
• ―Cast the net widely‖ e.g. look at other
Candidate Countries under Phare pre-
Accession schemes
• The description must be detailed and
convincing!
38

39. Project Fiche
4. Institutional Framework
• Identify project‘s institutional framework & any
constraints
• Will project results lead to change in
institutional framework?
• Describe chain of command to ensure project
implementation (who is responsible for what?)
39

40. Project Fiche
• IB Twinning Projects:
• Show how project fits IB plan
• Identify beneficiary institution and outline project
scope
• Investment Projects:
• Need to identify the ―engineer‖, ―employer‖ and
―owner‖
• Sector Programmes:
• Describe donor coordination and monitoring system
40

41. Project Fiche
5 Detailed Budget
• See budget model in Fiche format
• Make sure figures add up, are consistent with
Section 11 (Investment Criteria) and Annex 3
(Contracting and Disbursement Schedule)
• Quantify co-financing from national sources and
state degree of certainty (also IFI co-financing)
• Investment Projects (ESC): require national public
co-financing. Not IB.
• Twinning: expected budget of twinning covenant
41

42. Project Fiche
6 Implementation Arrangements
6.1 Implementing Agency: Contact details of
CFCU
6.2 Twinning: imp. Arrangements, beneficiary etc.
6.3 Non-Standard Aspects: describe N-SA (e.g.
grant or fund) or confirm PRAG will be followed
6.4 Contracts: expected # and value of contracts
by project / year / phase
42

43. Project Fiche
7 Implementation Schedule
7.1 Start Tendering / Call for Proposals:
• Date (also, when will TOR / Tech Specs be
ready?)
7.2 Start of Project Activity:
• date first contract / grant scheme starts
7.3 Project Completion:
• date of last payment under last contract / grant
43

44. Project Fiche
8 Equal Opportunity
• How will equal opportunity by women and
men be assured and how will women‘s
participation be measured?
• Description should be precise and concrete
44

45. Project Fiche
9 Environment
• Has initial environmental screening or EIA been
carried out? When? Copy available?
• EIA may be required by int. / national law, or be
pre-condition for funding, for project proposals of
a particular type or size
• Directive 85/337/EC requires MS to adopt
legislation to ensure projects likely to have
significant env. impact subject to EIA
• Describe major anticipated environmental effects
of project
45

46. Project Fiche
10 Rates of Return (applies to all ESC projects)
• Need to follow Commission Guide to Cost-
Benefit Analysis of Major Projects
– Economic Rate of Return?
– Financial Rate of Return (where applicable)?
– Pre-Feasibility / Feasibility studies
completed? When? By whom? Copy
available?
46

47. Project Fiche
11 Investment Criteria (applies to all investments)
11.1 Catalytic Effect
• Project must catalyse a priority accession activity
which would not have occurred / been delayed
11.2 Co-financing
• All investment projects (and inv. associated with
IB projects) need co-financing from national
public funds
• EC will fund up to 75% of eligible public
expenditure
47

48. Project Fiche
11.3 Additionality
• EC funds must not displace other funding
(esp from private sector)
• Demonstrate by referring to low rates of
return (as shown in Section 10)
11.4 Project Readiness and Size
• Project ready for contracting - all studies
complete (for year 1 at least)
• EUR 2m EC contribution – minimum inv.
project size
48

49. Project Fiche
11.5 Sustainability
• Investment must be sustainable in long run
• Complies with EU norms and standards and
is in line with the Acquis for relevant sector
• No adverse environmental impact
• Financially sustainable
11.6 Compliance With State Aids Provisions
• Respects state aid provision of Europe
Agreement
49

50. Project Fiche
12 Conditionality and Sequencing
• Must be completed for all projects
• Describe specific and achievable
conditionalities showing what should be done
by when and by whom
• Exclude general conditionalities outside
project control
• Most effective conditionality = action that
must be carried out / approved before project
starts (e.g. institutional restructuring plan)
• Include most important project milestones
50

51. Annexes to Project Fiche
• Logframe
• Detailed implementation chart (year one at least)
• Contracting and disbursement schedule, by quarter,
for project duration
• Studies
– All Projects: list of (pre-) feasibility studies, ex-ante
evaluations, other preparatory work
– Investment Projects: exec. summaries of economic &
financial studies, EIAs etc.
• Reference list of relevant laws and regulations
• Reference list of relevant strategic plans and studies
51

52. 2. Activity and resource schedules
52

53. Activity and resource schedules
(see examples)
• Logframe: broad description of activities
• Operational detail necessary
53

54. Resource schedule
Activities, inputs Cost per
-Equipment planning period
-Salaries etc. Units, cost per unit,
funding source
54

55. Contracting and disbursement schedule
• Show for project period contracting
points
• Show for project period expected
payments in time
55

56. Conclusions
• Good project design starts with a sound
problem analysis (problem tree) and make
use of logframe
• Project design should be logical and have
measurable objectives (logframe)
• The project fiche and logframe can help you
to draft a good proposal
56

57. Exercise: project fiche and activity plan
Trainer will present background information on a
real case Project Fiche
Trainer will lead a group discussion covering:
- problem/need
- overall objective
- project purpose
- results and activities for the project
Trainer will go through PF documentation and comment it
together with WG Members
57