This note provides a brief update on the status of implementation of the 11^th EDF programme, as at 15^th March 2017. It provides an opportunity to appreciate the strategic focus, allocated funds, commitments to date, pipeline projects and activities, and the balance funds that have not yet been committed from the EU development support, under this programme.

Since 2014, the National Authorising Officer (NAO), in collaboration with the European Union Delegation (EUD), has been undertaking the identification, programming and implementing of the 11^th EDF. A detailed plan for the 11^th EDF is contained in the National Indicative Plan (NIP) for Zambia. Of the total amount of Euro 484 million, Euro 224 million has been committed while approximately Euro 260 million be committed by the end of 2018.

Zambia is a beneficiary of development support from the European Union (EU). This support is provided in form of grants, through the European Development Fund (EDF) framework, established and regulated by the EU-African, Caribbean and Pacific (ACP) partnership agreement.

The EU is currently one of the largest providers of development assistance to Zambia. EU development cooperation with Zambia dates back to 1975, and is currently provided within the framework of the EU-ACP[1] Partnership Agreement (also referred to as the Cotonou Agreement). This cooperation is aimed at supporting the country’s development agenda, and is therefore aligned to national development priorities and programmes.

EU development assistance to Zambia is provided and managed through a series of EDF support programmes, which are aligned to national development programmes. From 2014, Zambia has been implementing the 11^th EDF National Indicative Programme (NIP), programmed for the period 2014 to 2021. The total commitment of the 11 EDF NIP is Euro 484 million, allocated to three main focal areas, that is 50.4% to Agriculture, 22.7% to Energy,  20.7%  to Governance, and 6.2% allocated to Support measures, which includes Support to the NAO’s office and the Technical Cooperation Facility (TCF).

Implementation and coordination of this support is governed by the Cotonou Agreement, which empowers the Governments of ACP countries to appoint their National Authorising Officers (NAOs), to represent their respective governments, as the contracting authorities at national level. In Zambia the role of NAO has been assigned to the Secretary to the Treasury (ST), in the Ministry of Finance.

To help Zambia chart a course of equitable and sustainable growth, anchored in the principles of good governance, through three mutually reinforcing objectives, enshrined in Zambia’s Vision 2030, and consistent with the Cotonou Agreement, the European Consensus on Development and Agenda for Change.

The specific objectives include:

• To help Zambia further “refine, advance and consolidate” its democratic experience;
• To help Zambia on a growth pathway that is economically sustained and environmentally sustainable;
• To help Zambia translate its economic growth into development gains for ordinary citizens and realize its goals of bringing its income inequality (Gini) coefficient to 40% or less, and its overall poverty headcount to less than 20%. Rural and female-headed households should in particular be the focus of poverty reduction efforts.

Improved access to “clean, reliable and affordable energy”:

• Distribution network upgraded and expanded Infrastructure by rehabilitating the Kariba Dam; and
• Capacity Development, studies in alternative energy (Solar).

The following projects have already been initiated, while others are still at formulation stage:

1. Rehabilitation of Kariba Dam €64 million

To assist the Zambezi River Authority in securing the long-term safety and reliability of the Kariba Dam Hydro-Electric Scheme. The purpose is to stabilize the Plunge Pool from further erosion and to refurbish the spillway equipment to allow using the spillway to its full capacity.

1. Lusaka Transmission and Distribution Rehabilitation- (Last Mile- Grid extension) to be Co-financed by GRZ likely with a loan from EIB – Euro 15 million; while €65 million is a grant.

To meet the increased demand to electricity services by reinforcing and upgrading the power transmission and distribution infrastructure in Lusaka from 2013 to 2018. This will contribute greatly to overall objective of providing access to electricity services by connecting 65,000 households per annum and an additional 360,000 customers per annum between 2010 and 2016.

1. Support to the Zambia Energy Sector: increased access to electricity and Renewable Energy production; the total cost of the programme is Euro 65 million to be financed by a grant of €40 million from the EU while the balance of Euro 25 million is to be sourced from other financiers such as the European Development Bank (EIB). The overall objective of this project is to improve access to clean, reliable and affordable energy and stimulate the renewable energy production in Zambia. The associated purposes are:
2. Strengthening policy, legal and institutional arrangements for the planning and development of renewable energy generation, distribution and promotion of energy efficiency;
3. Capacity Building for public-private project development with emphasis on renewable energy applications, both at technical and organisational levels;

• Supporting GRZ in developing and implementing financially sustainable renewable energy projects leading to increased number of people having access to electricity, especially in rural areas.

The objective is to have ‘’Reduced rural poverty and improved livelihoods’’ through:

• Rural development through conservation agriculture, livestock and nutrition
• Improved agriculture services through private sector participation
• Better agriculture and nutrition policies and performance; Capacity strengthening, vaccine production, fisheries, conservation farming.

The following projects have already been initiated:

1. Support to the Agriculture Service Centres Project – EUR 14 million
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   • To support the Government of Zambia’s policy objective of transitioning from low productivity, subsistence-based agriculture to more commercial production systems by promoting increased access to services and input and commodity markets for small-scale holders who make up over 70% of the country’s farming population.
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2. Performance Enhancement Programme for the Ministry of Agriculture and Livestock for Better Service Delivery to Farmers (PEP-II); EUR 10million.

• To support the Government of Zambia’s policy objective to reduce rural poverty and enhance food and nutrition security.
• The Support to Aquaculture is at feasibility stage

Advanced democratic governance, accountability and state effectiveness for all:

• Improved access to justice for all by creating a stronger enabling environment for effective delivery of access to justice for all;
• Reducing congestion of the justice system and human rights protected through enhanced efficiency and effectiveness of key institutions;
• Enhanced credibility and robustness of the electoral system;
• Increased public participation in the electoral processes, particularly for women and youth;
• Enhanced transparency, accountability and effectiveness in resources management. This Public Finance Management (PFM) programme will follow on to 10th EDF –PFM; and
• Civil Aviation: to build on current support of EUR 5.6 million, for strengthening sector operations and capacity building enhancement.

The following projects have already been initiated, while others are still at formulation stage:

1. Programme for Legal Empowerment and Enhanced Justice Delivery. EUR 7 million.

• Overall objective: Advance democratic governance, accountability and state effectiveness for all.
• Specific objective: Improved justice delivery for all, and enhanced respect for and protection and fulfillment of human rights.

1. Support to the Electoral Commission of Zambia (ECZ) towards hosting of the 2016 Presidential, Parliamentary and General Elections. EUR 10 million.

• Overall objective: Strengthen democracy.
• Purpose: To ensure that the citizens of Zambia take part in credible elections that meet international standards and that there is greater participation underrepresented sectors of society in the electoral process.