1. APPLICATION PROCESS FOR APEC-FUNDED PROJECTS Chen-Sheng Ho, Ph.D. Associate Research Fellow Chinese Taipei APEC Study Center Taiwan Institute of Economic Research 1

2. OVERVIEW OF APEC PROJECTS Ministers' and Leaders' policy directions are transformed into actions. Most projects focus on transferring knowledge and skills between members and building capacity for achieving the Bogor Goals. APEC contributes funding to around 100-150 projects each year. APEC has committed a total value of over US$23 million to projects in 2010-2011. Since 1993, over 1600 projects have been implemented, when APEC began project work. In addition to one-year projects, APEC created the multi-year project initiative (3-5 years) in 2011. Source: www.apec.orgwww.apec.org 2

3. PROJECT FUNDING SOURCES (1) Trade and Investment Liberalization and Facilitation Account: Voluntary member contributions; TILF projects Operational Account: Annual membership contributions; ECOTECH projects APEC Support Fund: Voluntary member contributions; capacity building projects for developing economies General Fund: ECOTECH projects Sub-Fund: Human Security Sub-Fund: Health and Emergency Preparedness Sub-Fund: APEC Second Trade Facilitation Action Plan Sub-Fund: Science & Technology Development Sub-Fund: Energy Efficiency Sub-Fund: APEC New Strategy on Structural Reform (ANSSR) Source: www.apec.org 3

4. PROJECT FUNDING SOURCES (2) Comments and Suggestions: Generally, APEC Support Fund (ASF) is preferable over Operational Account, as ASF is larger. Develop projects related to the sub-funds, as there are fewer projects seeking funding. The reason for fewer projects is that the sub- funds target particular issues that are covered by specific APEC fora. 4

5. PROJECT SESSIONS IN 2013 (1) Session 1, 2013 Standard Projects’ Concept Notes: By Feb. 15 to APEC Secretariat. Multi-Year Projects’ (MYPs) Concept Notes: By Feb. 5 to APEC Secretariat. Session 2, 2013 Standard Projects’ Concept Notes: By May 31 to APEC Secretariat. Session 3, 2013 Standard Projects’ Concept Notes: By Sept. 18 to APEC Secretariat. NOTE: Application of funding for MYPs will be suspended after Session 1, 2013 and will start after the MYP midterm review is finished in August 2013. 5

6. PROJECT SESSIONS IN 2013 (2) Comments and Suggestions: Kindly follow the deadline set by your forum’s Program Director which is before the Secretariat’s deadline. Since only one session may be available for MYP application, there might be more applications for MYPs. The early deadline for MYP application in Session 1 (Feb. 5) may discourage application. There is usually automatic acceptance for 3 MYPs per session. 6

7. DOCUMENT: “FUNDING CRITERIA FOR ALL APEC-FUNDED PROJECTS IN 2013” (1) Rank 1: Projects promoting regional economic integration Including projects relating to: Strengthening the multilateral trading system Promoting SMEs development… Enhancing supply chain connectivity… APEC environmental goods and services program… Next generation trade and investment issues Investment Services Standards and conformity assessment… Trade and travel facilitation Ease of doing business Information technology and digital economy APEC New Strategy for Structural Reform (ANSSR) 7

8. DOCUMENT: “FUNDING CRITERIA FOR ALL APEC-FUNDED PROJECTS IN 2013” (2) Rank 2: Projects supporting the APEC Leaders’ Growth Strategy Including projects relating to: Balanced growth: financial markets; financial inclusion Inclusive growth: human resources development; women and the economy Sustainable growth: energy efficiency; oceans and marine resources; conservation Secure growth: food security; health system and infectious diseases; emergency preparedness; counter terrorism; and fighting corruption Innovative growth: education; innovation policy 8

9. DOCUMENT: “FUNDING CRITERIA FOR ALL APEC-FUNDED PROJECTS IN 2013” (3) Comments and Suggestions Rank 1 supports projects in a wide range of issues but they must be linked to the REI agenda through promoting free and open trade and investment. The coverage of Rank 2 is also broad. There may be more projects seeking APEC funding in 2013. It is necessary to develop well-designed projects and well-written concept notes, given the possibility of many projects seeking funding. 9

10. OVERVIEW OF APEC PROJECT FUNDING PROCESS FOR STANDARD PROJECTS (1) Step 1: Project Overseer (PO) discusses project with forum and Program Director. Step 2: PO submits a three-page concept note that lists at least two co-sponsors. Step 3: Forum endorses and prioritizes concept notes. Step 4: Committees/SFOM use the APEC Funding Criteria to rank and prioritize concept notes. Step 5: Concept notes are approved for funding starting with highest priority/category until available funds are depleted. Step 6: PO expands concept note into full proposal and works with Secretariat until satisfactory. Step 7: Proposals are recommended to BMC or SOM for approval. Source: “Guidebook on APEC Projects (8 th Edition)” 10

11. OVERVIEW OF APEC PROJECT FUNDING PROCESS FOR STANDARD PROJECTS (2) Comments and Suggestions Please see Chapter 4 of the “Guidebook on APEC Projects (8 th Edition)” for detailed description. A forum’s Program Director should be consulted with regard to questions. The three-page limit for a concept note should be followed. It is suggested that the co-sponsors include the host economy, a developed economy and a developing economy. A project should seek support from the relevant forum’s members and be related to Rank 1 or Rank 2 of APEC Funding Criteria. A concept note and proposal should be clearly written and also be understood by non-experts. 11

12. QUALITY CRITERIA FOR ASSESSING APEC PROJECTS (1) Relevance: Support priorities and objectives of the forum and APEC. Effectiveness: Able to achieve objectives. Efficiency: Offer value for money. Impact: Generate positive impacts on key stakeholders. Address gender equity. - Sustainability: Ensure continuity of activities and a project’s benefits. Source: “Guidebook on APEC Projects (8 th Edition)” 12

13. QUALITY CRITERIA FOR ASSESSING APEC PROJECTS (2) Comments and Suggestions The concept note focuses on the Relevance criterion. The APEC Project Proposal form focuses on all the criteria. The APEC Project Quality Assessment Framework (QAF) focuses on the criteria and is the peer review process, since at least two QAFs are needed. The Project Management Unit (PMU) of the APEC Secretariat will also do a Quality Assessment using the criteria. From the initial development of a project, the five criteria must be kept in mind. 13

14. APEC MULTI-YEAR PROJECTS (1) APEC will provide funding for a maximum of US$500,000. The fund will be given out over a maximum of five years. It is only the SOM, Committees or SFOM that can propose MYPs. APEC sub-fora must apply through their relevant committees. A proposing economy will lead the MYP and will nominate a project overseer, as well as will report to the relevant APEC fora. The project overseer will be from the proposing economy. A project must receive co-sponsorship from at least half of APEC members. Developed economies must provide a minimum co-funding level of 50% and developing economies must offer 20% for all Operational Account and APEC Support Fund projects. The current requirements for co-funding will be applied for TILF projects. A minimum of two APEC fora must cooperate together in developing and implementing a MYP. A MYP should involve relevant external stakeholders, such as ABAC and others. 14

15. APEC MULTI-YEAR PROJECTS’ (2) Comments and Suggestions The Project Overseer (PO) will consult with the Program Director. The PO will seek support from the forum. The forum’s Program Director will then work with the relevant committee’s Program Director to seek the committee’s endorsement. Each funding session will support 3 MYPs, as long as funding is available. 15

16. OVERALL COMMENTS AND SUGGESTIONS The concept note and proposal must be clear and understandable by non-experts. It is necessary to answer precisely the questions in the concept note and proposal. Kindly keep in constant contact with a forum’s Program Director. The “Guidebook on APEC Projects (8 th Edition)” should be consulted. Finally, the Chinese Taipei APEC Study Center is always available to answer your questions. 16

17. Thank You 17