1. Tbilisi, 5 March 2015 Implementation of LEADER approach in Bulgaria Ministry of Agriculture and Food of Bulgaria 1

2. Historical overview of LEADER implementation in Bulgaria 2 2006 – 11 pilot Local Action Groups financed by Swiss Agency for Development and Cooperation (SDC) 2007 – Bulgaria joins the European Union 2008 – start of the implementation of preparatory activities intended to build administrative capacity and inform the people at local level about LEADER approach 2011 – start of implementation of Local Development Strategies of the Local Action Groups 2013, 2014 – preparation and submission to the EC of the Community Led Local Development fiche for the period 2014 - 2020

3. General information about the structure of LEADER in Bulgaria 3 Managing Authority – Ministry of Agriculture and Food/Rural Development Directorate Main responsibilities: Developing the legal framework related to the implementation of measures under Axis 4 LEADER of the RDP; approval of the Local Development Strategies and Local Action Groups; control and monitoring of implementation of Axis 4. Paying Agency – State Fund Agriculture Main responsibilities: Approval and authorization of all payments under Axis 4 of RDP. Local Action Groups Main responsibilities: Development and implementation of Local Development Strategies; pre-selection of the projects for funding from the LDS; implementation of the promotional activities, publicity, support beneficiaries, etc.

4. General information about the structure of LEADER in Bulgaria 4 Total budget allocated for LADER approach in Bulgaria – 77 mln. € Budget breakdown by measures in MEUR

5. Implementation of sub-measure 431-2 5 With the purpose of popularizing of the axis 4 LEADER of the Rural Development Program within the period 2008-2011 in Bulgaria was implemented Sub-measure 431-2 “Acquiring skills and achievement of social activity on the territory of potential local action groups”. The Sub-measure was programmed and intended to achieve: - Increasing the activity and the awareness of the local population for the possibilities, which the LEADER approach provides; - Increasing the local administrative capacity for the preparation and implementation of the Strategies for local development; - Preparation of well-trained experts to participate in the process of the evaluation, selection, supervision and control of the projects to be approved under the Strategies for local development.

6. Implementation of sub-measure 431-2 6 In total for the two calls for submission of applications under the sub-measure 431-2, were submitted 136 applications. Out of them were signed 102 contracts with a total amount (European Agricultural Fund for Rural Development and the National Budget) of approximately 8,4 MEUR. - First call (June 2009) - 70 contracts/total amount approx. 6 MEUR. - Second call (December 2009) - 32 contracts/total amount approx. 2,4 MEUR. Due to different reasons (lack of financing from the beneficiaries, failure of implementation of the contracted activities, etc.) during the period of the implementation of sub-measure 431-2 12 of the contracts with total amount of 1,1 MEUR were cancelled. 90 projects were successfully implemented with total amount paid by the PA 4,8 MEUR.

7. Results from Sub-measure 431-2 7 Social aspects of the implementation of Sub-measure 431-2: Number of participants that successfully ended a training activity: 11 446 Men: 6 535 Women: 4 911 Trained participants under 25 years of age: 2 992 Men: 1 521 Women: 1 401

8. Results from Sub-measure 431-2 8 Interest in implementation of Sub-measure 431-2: Number of applications received: 136 Number of Municipalities in the Rural Areas included in the potential LAGs submitted the applications: 181 (78% of the Municipalities in the Rural Areas) Number of Municipalities in the Rural Areas included in the approved potential LAGs: 158 (68% of the Municipalities in the Rural Areas) Number of Municipalities in the Rural Areas successfully implemented their projects: 138 (60% of the Municipalities in the Rural Areas) Total covered area: > 64 000 sq. km. Total covered population > 2.2 mln. people

9. Achievement of the indicators in the RDP 2007 - 2013 9 Achievement of the indicator – 150%

10. Achievement of the indicators in the RDP 2007 - 2013 10 Achievement of the indicator – 229%

11. Lessons learned, Sub-measure 431-2 11 At the beginning: - Difficulties with persuasion of the local people in LEADER positive effect; - Lack of administrative capacity in local communities to implement LEADER. During the implementation: - Successful implementation of LEADER depends on the smooth interaction between all organizations included: Managing Authority, Paying Agency, Local Action Groups, Local people. Any fluctuation in the cooperation between the stakeholders has negative effect on the overall implementation. - Too complicated administrative procedures are inconsistent with the LEADER spirit. Conclusion: - LEADER aroused great interest amongst the local communities and they recognized it as an instrument for development of their territories.

12. Preparatory support 12 WHY? - Preparatory support is essential for the actual implementation of LEADER in a streamlined and optimized manner (bottlenecks, weak points, risks, etc. could be detected at early stage and overcame) - Preparatory support activities encourage and motivate local communities - Preparatory support allows all communities (even those not familiar with LEADER) to benefit from LEADER

13. Implementation of Measure 41 and Sub-measure 431-1 13 First call for submission of applications for financing under Measure 41 “Implementation of the Strategies for local development” and Sub-measure 431-1 “ Administration of the LAG, acquirement of skills and receiving social activity” - deadline 30 August 2010. - 55 applications were received, 50 out of them were submitted by beneficiaries under sub-measure 431-2.

14. Implementation of Measure 41 and Sub-measure 431-1 14 First call for submission of applications for financing under measure 41 “Implementation of the Strategies for local development” and sub- measure 431-1 “ Administration of the LAG, acquirement of skills and receiving social activity” - 16 LAGs were approved with a total budget of 31,5 MEUR. - 14 LAGs were beneficiaries of sub-measure 431-2.

15. 15 Second call for submission of applications for financing under Measure 41 and Sub- measure 431-1 - 14 October 2011 - 7 November 2011. - 71 applications were received, 68 out of them were submitted by beneficiaries under sub-measure 431-2. Implementation of Measure 41 and Sub-measure 431-1

16. 16 Second call for submission of applications for financing under Measure 41 and Sub- measure 431-1. - 19 LAGs were approved with a total budget of 34,2 MEUR. - All the 19 approved LAGs have been beneficiaries under sub- measure 431-2. Implementation of Measure 41 and Sub-measure 431-1

17. 17 Резултати първата покана за избор по мерки 41 и 431-1 Implementation of Measure 41 and Sub-measure 431-1 1. Total approved LAGs – 35; 2. Total amount of the contracted and absorbed budget – 70 MEUR (98 % from the budgets of the measures 41 and 431); 3. Total covered area by the LEADER approach – 25 800 square km. – 23% of the country and 29% of the rural areas; 4. Total population covered by LEADER approach – 801 688 people; 5. Total number of municipalities – 57.

18. 18 Резултати първата покана за избор по мерки 41 и 431-1 Implementation of Measure 41 and Sub-measure 431-1 1. Projects submitted from beneficiaries to LAGs – 1908 with subsidy amount of 74,3 MEUR (140% of the contracted budget); 2. Projects submitted to the PA – 1670; 3. Projects approved by PA – 1399, with subsidy amount of 50 MEUR (94% of the contracted budget); 4. Projects rejected by PA – 228; 5. Projects withdrawn by beneficiaries – 43; 6. Contracts – 1334, with subsidy amount of 47,8 MEUR (90% of the contracted budget); 7. Implemented projects – 335, with subsidy amount of 9 MEUR (17% of the contracted budget).

19. 19 Резултати първата покана за избор по мерки 41 и 431-1 Map of LAGs 2007 - 2013

20. Measure 421 “Internal territorial and transnational cooperation” 20 First call for proposals: 21 projects received estimated at 1,36 MEUR Second call: 5 projects received estimated at 0,46 MEUR Third call: 8 projects received estimated at 0,66 MEUR Signed contracts: 14 contracts estimated at 0,86 MEUR International partners from: Austria, Greece, Italy, France …

21. General conclusions from LEADER implementation in Bulgaria 2007 - 2013 21 Positive effects: - Increased awareness about LEADER; - High level of interest in LEADER implementation; - Proposed by Bulgaria 20% advanced payments under M 431 was approved by the EC and was vital for the operation of the LAGs at EU level; - Established operating offices communicating with the people; - Recognition of “bottom-up” approach as valuable instrument of for the development of the local communities.

22. General conclusions from LEADER implementation in Bulgaria 2007 - 2013 22 Negative experience: - Bottleneck effect: relatively small area covered by M 41 and SM 431-1 of LEADER; - Disappointment of the population in areas initially covered by SM 431-2 and subsequently not covered by M 41 and SM 431-1 of LEADER; - Loss of administrative capacity on the territories implemented preparatory measure and not selected for implementation of Local Development Strategies; - Financial problems of 12 of the potential LAGs under SM 431-2 caused cancellation of their projects; - LAGs are formed mainly by one municipality (18 LAGs) or two municipalities (12 LAGs).

23. LEADER in the programming period 2014 – 2020 23 Partnership Agreement between Bulgaria and EU – signed on 7 August 2014 Rural Development Program sent to EC in February 2015

24. LEADER in the next programming period 2014 – 2020 24 Community Led Local Development/LEADER According to Regulation 1303/2013, art. 32, par. 1: Community-led local development shall be supported by the EAFRD, which shall be designated as LEADER local development and may be supported by the ERDF, ESF or EMFF. Bulgaria is one of the fewest countries in EU decided to implement funding of CLLD by all available funds: European Regional Development Fund, European Social Fund and European Maritime and Fisheries Fund.

25. LEADER in the next programming period 2014 – 2020 25 Community Led Local Development/LEADER – Measure 19 of the Rural Development Program Sub-measure 19.1 Preparatory support Sub-measure 19.2 Implementation of operations under the community- led local development strategy Sub-measure 19.3 Preparation and implementation of the local action group's cooperation activities Sub-measure 19.4 Running costs and promoting the Community-Led Local Development strategy

26. LEADER in the next programming period 2014 – 2020 26 Community Led Local Development - goals: Main goal is prevention from experiencing the bottleneck effect from the previous period: Increased territory of CLLD implementation - Increased budget for implementation of CLLD; - Encouraging LAGs to include more than 1 municipality. Sustainability of the administrative capacity - During 2014 – 2020 period LAGs not selected to receive support for LDS will be able to implement one or several pilot projects beneficial for the local community with maximum budget of 15 000 EUR. Horizontal goal: Simplification of procedures.

27. LEADER in the next programming period 2014 – 2020 27 Community Led Local Development - priorities to be achieved: - Promotion of social inclusion, reduction of poverty and economic development in the rural areas; - Integrated approach towards the environment, through enhancing the capacity of local communities and encouraging activities related to nature protection and achieving eco-priorities; - Use of the potential of cultural heritage of the territories where the approach is implemented; - Focus on innovation through support for its and introduction in practice is a key priority for all EU funds in the period 2014-2020. In the area of rural development innovation is among the three intersectoral and horizontal objectives.

28. Funds available for LDSs of the LAGs under CLLD 2014 – 2020 28 EAFRD ERDF ESF EMFF Local Action Group 1,33 MEUR/0 - 15 000 inhabitants 2 MEUR/ > 15 000 inhabitants OPIC OPE OPSESG OPHR 0,5 MEUR/0 - 15 000 inhabitants 1 MEUR/15 000 – 45 000 inhabitants 1,5 MEUR/>45 000 inhabitants 0,5 MEUR 60EUR/Ha 0,76 MEUR 2,25 MEUR

29. 29 SM 19.2 SM 19.4 SM 19.3 SM 19.1 2015 2016 2017 2018 2019 2020 Timetable of implementation of CLLD 2014 – 2020

30. LEADER in the next programming period 2014 – 2020 30 WHY BULGARIA? Similar conditions Traditionally good relations between the two countries Bulgaria has unique experience in preparatory phase for introduction of LEADER as no other EU MS The most fresh experience in setting up of LEADER structure High qualified experts participated in the whole process of LEADER establishment Willingness not to teach but to share the experience Possibility to avoid mistakes in LEADER establishment

31. RURAL DEVELOPMENT DIRECTORATE 31 THANK YOU FOR YOUR ATTENTION! Stefan Spasov Rural Development Directorate SSpasov@mzh.government.bg