EuropeAid INTRODUCING STANDARD INDICATORS IN EUROPEAN COMMISSION FUNDED PROJECTS FOR THE AGGREGATION OF AID EFFECTS Guy Doucet Operations Quality Support,

EuropeAid

INTRODUCING STANDARD INDICATORS IN EUROPEAN COMMISSION FUNDED PROJECTS

FOR THE AGGREGATION OF AID EFFECTS

Guy Doucet Operations Quality Support, DG EuropeAid, European

Commission

OECD World Forum on Measuring and fostering the progress of societies

Session on use and abuse of indicators, 9 -10.30 am, Thursday 28th of June 2007

EuropeAidObjective of the presentation

1. To introduce the process of promoting a more systematic use of indicators in EuropeAid

2. To highlight the perceived risks

3. Provide lessons learnt

EuropeAidStandard Indicators - Needs

Indicators used now are project specific

Standard Indicators are introduced:

• to enhance accountability to citizens and Parliament

• to obtain a quantified general overview of the effects of aid in a given sector, country or region

• to appraise trends over a given period of time

• to follow the recommendations of thematic evaluations requesting standard indicators

EuropeAidStandard Indicators – Context

• The increase of EU development aid

• The commitment to enhance accountability (Paris Declaration)

• The importance of progress indicators and regular evaluation (European Consensus on Development)

• The requirement of annual reports detailing implementation and results (Development Cooperation Instrument regulation)

• The new possibilities of co-financing between Member States, other donors and the European Commission (revised Financial Regulation)

EuropeAidStandard Indicators - Approach

• To go beyond measuring input (financial data: commitments, payments)

• To achieve this, we had options for the way forwardo Drop the idea – too complicatedo Wait – international consensuso Learning-by-doing

• The chosen approach is a pilot phase witho A limited number of sectorso An open dialogue o An evaluation after one yearo Inform others – open approach

EuropeAidPilot Phase - Coverage

• Pilot Phase for projects starting from September 2007 in the following sectors:

- Human Development

- Good governance

- Security, Migration and Asylum

- Food Security, Rural Development and Environment

- Infrastructure

Indicators are all associated to one or more OECD DAC Purpose Codes

EuropeAidPilot Phase – Criteria used for selection

• Relevance to the objective

• Practices of key donors

• Coherent with other indicators (MDG-related…)

• Aggregation

• Measurable Values with/without project

• Applicable to all projects in a given sector

• Easily available data sources

EuropeAidPilot Phase – some examples

• Road Transport• Rural access• % of road network in good or fair condition• Number of Km maintained, rehabilitated, constructed

• Water and Sanitation• % of Population with access to improved water sources• % of Population with access to improved sanitation

• Health• Proportion of births attended by skilled health personnel• Proportion of 1-year-old-children immunised against measles

EuropeAidPilot Phase – Introduction of indicators in project cycle

o Project Identification• Indicators: confirmation of selection (by DAC codes

for the project)

o Project Formulation• Indicators: Baseline values and values of expected

effects calculated

• Will initially only cover Ex-ante effects

EuropeAidPerceived risks – misleading reporting?

Risk:Indicators might give an incomplete picture of the real

effect of aid• Small number of indicators & limited sector coverage• Indicators are mainly on output and outcome level• Country/regional context should be taken into account

Solution: Not meant to replace indicators at country or project level Need to be accompanied by explanations and definitions

EuropeAidPerceived risks – Affecting Policies?

Risk:Distorting priorities of partner countries policies• Concerns that standard indicators will encourage

development of programmes to fit indicators

Solution:Country Strategy Papers are developed in line with partner

countries’ strategies Evaluation will assess the impact of indicators

EuropeAidPerceived risks – Additional burden?

Risk:Obliging partner countries to set up new monitoring systems

Solution: The majority of the indicators are basic An evaluation will be done of the compatibility of the

standard indicators with the partner countries’ monitoring system

EuropeAidLessons Learnt

• Important to begin with a needs analysis and to make the process of selecting the indicators as openly as possible

• It is a complex issue – still a lot of scepticism and resistance to change

• Never underestimate the time it takes to introduce new schemes

• Overlaps with other data collection instruments should be considered

• An evolving approach as not everything can be solved before the start of the pilot phase

For further information contact:[email protected]

EuropeAidKey concepts – calculating the values

• Project A in Ghana in Health Sector

Indicator: =

20082007 2009 2011

ΔA1=200

12001300

1500

Without Project A

With Project A

No. of assisted

deliveries

Time 20082007 2009 2011

2000

2100

With Project A =Without Proj.A

Total No. of Deliveries

Time

DA2 = 2100

%5,92100

200

2100

1300

2100

1500

2

1

A

AA Di

No. of assisted deliveries (Δ)

Total No. of deliveriesIncrease in % of assisted deliveries due to project

EuropeAidKey concepts: aggregation

• Project A in Ghana (decided in 2008)• Project B in Togo (same decision year 2008)

Time20082007 2009 2011 2013

ΔA1 = 20012001300

1500

Without Pr. A

With Project A

No. of Assisted Deliveries

18001900

2500

ΔB1= 600With Project B

Without Pr. B

Time20082007 2009 2011 2013

2 000

2 100

Total No. of Deliveries

With Project A = Without Pr. A

DA2 = 2100

%5,92100

200

2

1

A

AA Di

%1.173500

600

2

1

B

BB Di

%3.145600

800

21003500

600200

22

11

2

1

BA

BAB

A

B

Aaggregated DDDiAggregation

3 500

DB2 = 3500

With Project B = Without Proj..B3 000