1. European Union Innovative Approaches to Cash delivery for the Malawi Social Cash Transfer Programme Information on EU Funding DEVCO/DCI-FOOD/L/ACT/131-101 INFORMATION SESSION 30 March 2011

2. LEGAL NOTICE This presentation is for information only. The legal texts are contained in the published Guidelines for applicants and in the standard grant contracts attached to the Guidelines and available on the webpage of DEVCO European Aid and Development Cooperation http://ec.europa.eu/europeaid/work/procedures/imple mentation/grants/index_en.htm

3. Background EU Funding Food Security Thematic Programme 2007-2010 Component 5: Innovative Approaches Objective: stimulate and capture innovative, locally owned and sustainable solutions to current and future food security challenges Malawi envelope: EUR 3 300 000 (received from 2008 funds)

4. Context for EU Funding Use of funds: Support to Social Cash Transfer Programme in Malawi: innovative, locally owned, sustainable, addressing food security challenges Priority Issues: Proposals must fit within the governments context and must take account of ongoing developments

5. Size of Grant Minimum EU contribution: EUR 2 700 000 Maximum EU contribution: EUR 3 300 000 Number of Grants It is expected that one grant will be awarded Contracting Authority : EU Delegation Malawi

6. Eligibility - actions Duration: between 24-36 months Contribute to financial development within the framework of the existing social cash transfer Location: SCT Sectretariat Lilongwe, districts Mchingi, Machinga and possibly Mangochi Types of action: – Facilitation of the pilot of e-payment technologies – Monitoring and evaluation of the pilot actions Important: Actions must fit within governments context and existing developments (pages 9-11 of the guidelines)

7. Eligibility - applicants Applicants can be : – NGOs – Local authorities, public sector bodies – International Organisations – Private Sector Other criteria : – Be directly responsible for the preparation and management of the action – not acting as an intermediary – Have prior working experience in Malawi – Can be individual organisations but partnerships preferred Applicant acts as lead organisation

8. Partnerships Potential Partners: Financial service providers, i.e. organisations that operate a technology that can transfer money to final beneficiaries Important : Partnerships are encouraged to enhance technical and financial capacity Partner organisations are bound by the same eligibility criteria Non-profit rule: Grants may not have the purpose or effect of producing a profit for the grant beneficiary or its partner (s) (PRAG 6.2.10)

9. EU Contribution Minimum %: 50% of eligible cost Maximum %: 100% of eligible cost Maximum 80% of accepted cost Accepted cost = estimated total eligible costs + taxes, including VAT, where the beneficiary can show it cannot reclaim it

10. % explained in Malawi context 80% accepted cost (the VAT issue): If applicant can show (s)he cannot reclaim Taxes; Taxes can be considered as co-financing in the accepted costs However, so far in Malawi: EU funded projects can reclaim/be exempted from VAT – therefore this option is not applicable to Malawi EU Delegation and NAO can assist in obtaining exemption from MRA

11. % explained in Malawi context 100% of eligible cost: only possible if applicant provides proof that action fits within context of emergency, crisis, violation of fundamental right etc. (art. 253 of Implementing Rules) This option should not apply in the framework of this Call for Proposals Conclusion: Proposals should include a level of co-financing from applicants and/or partners own financial resources

12. Eligibility - costs Eligible costs: Direct costs based on supporting documents Costs necessary for the implementation of the action Budget: Realistic & cost-effective, i.e. reasonable, justified and complying with sound financial management (economy & efficiency) Types of eligible costs: Direct costs (General Conditions, art. 14) Indirect costs

13. Eligibility - costs Direct costs (examples): Cost of staff assigned to the action Travel and subsistence costs Purchase or rental cost of equipment and supplies Consumables Costs deriving from the action, e.g. audit, evaluation, translations, publications etc.

14. Eligibility - costs Indirect cost: A fixed percentage not exceeding 7% of the total amount of direct eligible costs of the Action to cover indirect costs incurred by the beneficiary for the implementation of the Action Ineligible costs (examples, details General Conditions): Debts and debt service charges Provision for losses Interest owed Costs already covered by another action Purchases of land or buildings Currency exchange losses Tax, including VAT Credit to 3 rd parties Salary top ups for public sector workers

15. Eligibility - costs Contingencies: Not exceeding 5% of direct eligible costs It can be used only with prior written consent of the Contracting Authority

16. How to apply: PADOR P otential A pplicant D ata O n-line R egistration Service Prior registration obligatory for applicants and all partners Access to PADOR : http://ec.europa.eu/europeaid/work/onlineservices/pador/ index_en.htm All questions related to PADOR registration should be addressed to the PADOR helpdesk: Europeaid-pador@ec.europa.eu

17. Selection & Award Process The grant will be awarded through a restricted Call for Proposals Step 1: Concept Note Step 2: Full Application Deadline Concept Note submission: 20 May 2011

18. Selection & Award Process Applicant sends only Concept Note Administrative Check (1) Concept Notes Pre- selected All Applicants informed by letter Pre-selected applicants invited to send Full Application Form Evaluation of Full Application Form (3) Call for proposals launched 25 March 2011 Deadline: 20 May 2011, 12.00 noon Evaluation of Concept Note (2) Deadline: 45 days after invitation Full Application Forms Selected Selected applicants invited to send Supporting documents Eligibility Check (4) Contract Award

19. How to apply: CONCEPT NOTE Use the Standard Template!!

20. Concept Note Submission Content (Page 1) Title of the action: Number and title of lot: Location(s) of the action: Name of the applicant: Nationality of the applicant:

21. Concept Note Submission Content (Page 2) EuropeAid ID [1] [1] Ongoing contract/Legal Entity File Lumber (if available) [2] [2] Legal status [3] [3] Partner(s) [4] [4] Name, EuropeAid ID, Nationality and date of establishment and Legal status Estimated total eligible cost of the action (A) Amount requested from the Contracting Authority (B) % of estimated total eligible cost of action (B/Ax100) [EUR/National currency] % Estimated taxes (C) [5] * if applicable [5] Estimated total accepted cost of the action (either A or, if applicable, A+C) % of estimated total accepted cost of action (B/A+Cx100) * if applicable [EUR/National currency] % Total duration of the action :

22. Concept Note Submission Content (Page 2 ctd.) Applicant's contact details for the purpose of this action Postal address: Telephone number: (fixed and mobile) Country code + city code + number Fax number: Country code + city code + number Contact person for this action: Contact person's email: Address: Website of the Organisation:

23. Concept Note Submission Content (Pages 5-7) I.Relevance of the Action II.Description of the Action and its effectiveness III.Sustainability of the Action Only the Concept Note form will be evaluated. Make sure that this document contain ALL relevant information concerning the action. Draft as clearly as possible !

24. Concept Note Submission To be noted No detailed budget needed, only estimated cost BUT Contribution from EU may not vary by more than 20% in full application Contribution from applicant is expected (strengthens viability and sustainability of the action)

25. Concept Note Submission What to send? Concept Note [Pages 1-8 of the Application] Checklist Declaration by the Applicant for Concept Note Instructions: 1 Paper Original, 1 Paper Copy, 1 CD Rom version English Electronic document (handwritten not accepted) Put in a sealed envelope

26. Concept Note Submission How to send? Concept Notes must be submitted by registered mail, private courier or hand-delivery Concept Notes sent by any other means (e.g. fax or e-mail) or delivered to other addresses will be rejected

27. Concept Note Submission: Envelope Call for Proposals Food Security Innovative Approaches Delegation of the European Union to Malawi P.O. Box 30102 [Area 18 Roundabout/Presidential Way] Lilongwe 3 The Republic of Malawi Not to be opened before the opening session Osatsegula kufikira nthawi ya mwambo wotsekulira itakwana EuropeAid/………/L/ACT/MW Organisation P.O. Box XXX Lilongwe Malawi

28. Concept Note Submission Deadline for submission: 20 May 2011 at 12:00 noon Lilongwe time Deadline for Questions: 30 April 2011 E-mail address for questions: Delegation-Malawi-FSTP-Innovative@eeas.europa.eu Deadline Answers EU Delegation: 9 May 2011

29. Administrative Check Assessment of : Respect of deadline Respect of all the criteria specified in points 1-4 of the Checklist

30. Administrative Check Advise : Use the standard template Do not change the template Do not forget to sign the declaration by the applicant

31. Administrative Check Advise : Use the checklist to make sure your concept note is administratively compliant Read carefully the Special and General Conditions of the standard grant contract to familiarise with applicable rules from the design of the action

32. Concept Notes Evaluation Comprises : Eligibility of proposed action Relevance of the action Merits and effectiveness Viability and sustainability

33. Scores 1. Relevance of the actionSub-score30 1.1 How relevant is the proposal to the objectives and priorities of the Call for Proposals? 1.2 How relevant to the particular needs and constraints of the target country(ies) or region(s) is the proposal? 1.3 How clearly defined and strategically chosen are those involved (final beneficiaries, target groups)? Have their needs been clearly defined and does the proposal address them appropriately? 1.4 Does the proposal contain specific added-value elements, such as environmental issues, promotion of gender, equality and equal opportunities, needs of disabled people, rights of minorities and rights of indigenous peoples or innovation and best practices? 5x2 5 5 2. Design of the actionSub-score20 2.1 How coherent is the overall design of the action? In particular does it reflect the analysis of the problem involved, take into account external factors and relevant stakeholders 2.2 Is the action feasible and consistent in relation to the objectives and expected results? 5x2 TOTAL SCORE50 Concept Notes Evaluation Grid ! Minimum 30 points 1 = very poor; 2 = poor; 3 = adequate; 4 = good; 5 = very good

34. Concept Notes Evaluation Finalisation of evaluation : List of proposed eligible actions ranked according to total score Only those with minimum 30 points will be considered for pre-selection List will be reduced to twice the available budget of the Call for Proposals

35. Concept Notes Evaluation Notification of results : All applicants will receive a letter Pre-selected applicants will be invited to submit a full application

36. PRACTICALITIES Call for Proposals: on the web The EU Delegation does not provide printed copies How to access it!

37. INTERNET: http://ec.europa.eu/europeaid/work/funding/index_en.htm

42. Good Luck with your Applications! The floor is open for questions