Annex Ii Tofinancing Agreement N DCI-FOOD/2013/24922

annex ii tofinancing agreement n° DCI-FOOD/2013/24922

technical and administrative provisions

TABLE OF CONTENT

1. DESCRIPTION

1.1 Objectives

1.2 Expected results

1.3 Activities and implementation timetable

2. LOCATION AND DURATION

2.1 Location

2.2 Duration

3. IMPLEMENTATION

3.1 Degree of decentralisation

3.2.Exceptions to the conclusion of contracts by the Beneficiary

3.3.Organisational set up and responsibilities

3.3.1. Direct implementation

3.3.2.Delegation of residual tasks by the Commission

3.3.3. Reporting

3.4 Budget

4. MONITORING, EVALUATION AND AUDIT

4.1 Monitoring

4.2 Evaluation

4.3 Audit

5. Appendices

1. Description

The project will support the Ministry of Natural Resources and Environment to update the cadastre and make it widely accessible and utilised. This will form the basis of defining the 385 chiefdom boundaries in Swaziland. At the same time, two Tinkhundla (administrative and political territorial subdivision)will be selected to pilot a system of formalised documenting of land allocation that will improve the security of tenure for the land holder. Finally, the project will look to create awareness and acceptance of the role that the Land Management Board will play in a streamlined sustainable land management system.

1.1.Objectives

The overall objective of the project is to improve the security of tenure and access to land for the rural poor, thereby improving food security.

The purpose of the project is to provide tools and capacities for sustainable land administration and management at national, regional and chiefdoms level.

Good governance of land and securingrural poor'srights to access and use land for their essential livelihoods is the main aim of the project.In the current system of customary administration, the King entrustshis chiefs with the day-to-day administration of Swazi Nation Land (SNL)[1].In the absence of an administrative act and dedicated resources, the details of a chief’s land administration are left to his own interpretation of the unwritten provisions of customary lawand are subject to chieftaincy disputes over boundaries and lengthy process for chief succession leaving power gaps. This implies a low security of tenure affecting all aspects of livelihood including subsistence and commercial farming. Banks are for instance deterred from investing into agricultural activities.

Land allocation and administration are also not adequate to deal appropriately with the physical development planning of the country. There starts to be an increasing pressure on land resources, driven by a growing population and the demand for more land, including for irrigated agriculture, industrial forestry, livestock grazing, biodiversity conservation, urban development and related infrastructure. Land degradation and soil erosion are recognised as very serious problems. By providing a system that provides information on utilisation and records utilisation, the project will pave the way for a better administration taking into consideration environmental sustainability and needs of the vulnerable as women and child headed households.

1.2.Expected results

The project is expected to lead to the following three results:

Result 1:Tools are developed and used for more efficient Land Administration of SNL at the National and Inkhundla level

This result of the project is directly in line with "R2) Land administration systems and tools are developed and used effectively for both the formal and customary land structures"of the overall Action Fiche of the AAP.

Result 2:Relevant stakeholders are capacitated to use the cadastre and manage SNL more efficiently and sustainably

This result of the project is directly in line with "R4) Public Administration’s legal, administrative and technical capacities are strengthened to implement land governance policies and to meet the demand for land rights formalization"of the overall Action Fiche of the AAP.

Result 3:Institutional arrangements for non title deed land / SNL are endorsed by stakeholders

This result of the project is directly in line with "R1) Legal, institutional and administrative framework for responsible land governance implemented at different levels"of the overall Action Fiche of the AAP.

1.3.Activities and implementation timetable

Result 1:Tools are developed and used for more efficient Land Administration of SNL at the National and Inkhundla level

Cadastre

The project will organise an aerial survey of the country which will enable the Surveyor General to update the cadastre with orthophoto maps. The Chiefdom boundaries will then be identified on the ground with GPS technology, which will be the basis for formalisation.

The project will train potential users on how to read and interpret the maps and enable wider access to maps for the general public and relevant institutions.

SustainableLand Management Recording system

The project will develop a system of land identification and registration that can then be piloted in two Tinkhundla. It will also include development of an acceptable arbitration system in case land is in dispute.

All components will be under the management and supervision of the administration assisted by a technical assistance (TA) contract. This component will in particular draw on the staff of the Surveyor General'sDepartment under the Ministry of Natural Resources and Energy (MNRE) as well as the TA Team Leader, technical staff and incidental expenditures (for workshops, etc.). It will also be implemented through a service contract for the aerial survey and the procurement of information technology (computers, specialised printers, servers, etc.) and global positioning system (GPS) technology.

Result 2:Relevant stakeholders are capacitated to use the cadastre and manage SNL more efficiently and sustainably

Two Tinkhundla - one periurban and one rural - with 5 or 6 chiefdoms will be selected to pilot the system of land registration.

The first step will be to gain the acceptance of the pilot Tinkhundla and their respective chiefdoms to participate. They will need to be sensitised on constitutional provisions.The project will then identify the right people to train and manage the system of data recording at the chiefdom and Inkhundla level.

Persons to be arbitrators will as well be identified and trained to adjudicate in the event of disputed ownership. This system will work from the chief up to the Regional Administratorsand the Land Management Board (LMB)[2].

This component will be implemented with the provisions (staff, incidental expenditures) of the TA contract in coordination with the chiefdoms, Tinkhundla, regional administrators and Surveyor General's Department.

Result 3:Institutional arrangements for non title deed land / SNL are endorsed by stakeholders

The project will seek to fully operationalise the LMB and help define its role in a streamlined system of land administration.

A stock taking exercise will be carried out to update the progress on rationalisation in institutional management of land governance. A plan will then be drafted for harmonising the various institutions and help strengthen the LMB.This will be done through developing a series of position papers, meetings and workshops with stakeholders. A final draft will be presented at a national stakeholder workshop and the relevant national, regional and local structures will be strengthened as per the final recommendations presented by participants.

This component will mainly be implemented with the provisions (staff, incidental expenditures) of the TA contract with intensive consultation with all stakeholders.

2. Location and duration

2.1.Location

The project will take place in Swaziland. The Tinkhundla and chiefdoms for the pilot implementation will be selected by the administration in view of their likely commitment to the project.

The TA will in general be based in the Ministry of Natural Resources and Energy possibly the Surveyor General'sDepartment. TA staff involved with the roll out of the pilot might have to be based in the relevant Tinkhundla.

2.2.Duration

The execution period of the Agreement will be as specified in Article 5 of the Special Conditions.

3. Implementation

3.1 Degree of decentralisation

The project will be implemented by partially decentralised management.

The contracts shall be concluded by the Beneficiary except for the cases specified under section 3.2. The Commissioncontrols ex ante all the procurement and grant procedures.

All contracts implementing the project must be awarded and implemented in accordance with the procedures and standard documents laid down and published by the Commission for the implementation of external operations, in force at the time of the launch of the procedure in question.

All payments are made by the Commissionon behalf of the Beneficiary.

3.2. Exceptions to the conclusion of contracts by the Beneficiary

Contracts relating to monitoring, external evaluation and audit shall be concluded by the Commissionon behalf of the Beneficiary.

3.3 Organisational set-up and responsibilities

3.3.1. Direct implementation

(a) The contracting authority for the project shall be the Principal Secretary of the Ministry of Economic Planning and Development (MEPD) who is the relevant representative of the beneficiary country and the National Authorising Officer.

A steering committee shall be set up to oversee and validate the overall direction and policy of the project as well as to monitor progress. The project steering committee shall meet at least quarterly.

The project steering committee shall be made up of:

-Principal Secretary of Ministry of Natural Resources and Energy or senior representative – Chairperson

-The National Authorising Officer, Principal Secretary of the Ministry of Economic Planning and Development or senior representative

-Principal Secretary of the Ministry of Agriculture or senior representative

-Principal Secretary of the Ministry of Tinkhundla Administration and Development or senior representative

-The Surveyor General or senior representative

-The Director of the Swaziland Environment Authority (SEA)

-The Director of Swaziland National Trust Commission (SNTC)

-Representatives of NSAs and civil society (to be decided by the Steering Committee)

-Representative of the EU (observer)

-Representatives of other Development Partners where appropriate (observer)

Any other representative viewed relevant by the project steering committee may sit on the steering committee.

(b) A Technical Assistance Team (TAT) will assist the Beneficiary in the implementation of the project, including the provision of:

1.Technical expertise tasks, including indicatively: 1) institutional support at national, regional, Tinkhundla and chiefdom level (training, sensitisation, etc.); 2) technical expertise on cadastre, land tenure, customary systems, Information and GPS technology, procurement, etc.

2.Administrative, preparatory and ancillary tasks relating to planning, monitoring, reporting on project components, procurement, and financial management.

These tasks will involve neither the exercise of public authority nor the use of discretionary powers of judgement.

The TAT will work under terms of reference agreed by both the Executing Authority and the Commission, and will indicatively consist of36 months of Technical assistance with a Team Leader/Institutional expert, a Surveyor, trainers and short-term expertise.

3.3.2. Delegation of residual tasksby the Commission

N/A

3.3.3Reporting

The Commission reserves the right to request the Beneficiary to submit specific reports.

3.4 Budget

The total project cost is estimated at EUR 1.8 million, all of which shall be financed from the Annual Action Programme 2012 (part 2) for Food Security - Strategic Priority area 2: Strengthen governance approaches for food security.

The budget sets out as follows:

* The EU contribution to the "Contingencies" heading may be used only with prior agreement of the Commission.

4.MONITORING,EVALUATION AND AUDIT

4.1 Monitoring

(a)Continuous technical and financial monitoring is the Beneficiary's responsibility. The Beneficiary shall establish a technical and financial, monitoring system to the project, which will generate progress reports and safeguard internal control.

(b)The Commission may carry out Results Oriented Monitoring (ROM) via independent consultants, starting from the sixth month of project activities, which will be finalised at the latest 6 months before the end of the operational implementation phase.

4.2 Evaluation

(a)The Commission may carry out external evaluations via independent consultants, as follows:

• a final evaluation, at the beginning of the closing phase;

(b)The Commission shall inform the Beneficiary at least 10 days in advance of the dates foreseen for the external missions. The Beneficiary shall collaborate efficiently and effectively with the monitoring and/or evaluation experts, and inter alia provide them with all necessary information and documentation, as well as access to the project premises and activities.

4.3 Audit

A final audit will be undertaken during the closure phase of the project. In this regard, the Commission shall appoint, in accordance with EU procurement rules, an internationally recognised external auditor. The auditor's role shall include monitoring the project’s expenditure.

In the case where the audits carried out identify non-eligible expenditure, the following procedure is applicable:

• The Commission shall send the Beneficiary a report concerning the non-eligible expenses;
• The Beneficiary shall submit its comments to the Commission within one month following its reception of the report;
• The Commission will communicate its final decision concerning the non-eligible expenses to the Beneficiary;
• The Beneficiary shall transfer the non-eligible amount to the project account within 45 days following communication of the Commission's final decision. In the case that this deadline is not respected, the Commission may withhold this amount from future payments to the project account

5.Appendices

Appendix 1 – Logicalframework

Appendix 2 – Indicative operational timetable

1

[1]As in other countries of the Southern African region, colonial interventions in Swaziland resulted in a dual system of land law and two tenurial categories known as Swazi-Nation Land (SNL) and Title-Deed Land (TDL). SNL represents the majority of land (75%) and is the customary land tenure system whereby grazing and non-arable land are communal while cropland and land allocated to homesteads are individually held although the landholder merely enjoys usufruct rights

[2] The Land Management Board (LMB) is the highest land institution. It is housed within the Ministry of Natural Resources and Energy and reports to the King. It was established to comply with the Constitution.