Council of Ministers of Bosnia and Herzegovina Holds Its 42nd Session

JOINT AND CENTRALISED PUBLIC PROCUREMENT HARMONISED WITH EU ACQUIS 

 

The Council of Ministers of BIH took the Public Procurement Agency-proposed Rulebook on implementation of joint procurement, centralised procurement, and establishment of central procurement body with an “EI” mark, as appropriate certification of harmonisation with the relevant EU legislative.

The Rulebook defines ways and conditions of joint procurement for two or more contracting parties, centalised procurement and conditions for establishment of a central procurement body for needs of several contracting parties.

The Rulebook introduces an obligation of use of IT system for centralised procurement (ISCN) only with central procurement bodies and belonging contracting parties, as a system integrated with public procurement portal. Introduction of the ISCN, run by the BIH Public Procurement Agency and its use enables faster, mor effective and high-quality planning, implementation and realisation of central procurement, positive effects of which will be for citizens and economic entities.

It also defines more precisely a difference between joint and centralised procurement, and it explains additionally rights and obligations of joint procurement subjects in accordance with relevant the EU standards.

The Rulebook follows the best European standards and creates special preconditions for establishment and implementation of centralised procurement, along with establishment of central procurement bodies, which is responsibility of other levels of authority.

HARMONISATIONOF LAW ON BIH COURT

The Council of Ministers of BIH took note of activities by the Minister of Justice and a work group concerning harmonisation of a Proposal Law on Count of Bosnia and Herzegovina, expected to be finalised in the next seven days.

The Council of Minister of BIH will reflect on a new text Proposal Law on Court of BIH at its session, scheduled for March 19, 2024.

EU PROGRAMME FOR DANUBE REGION: PROPOSAL FINANCE AGREEMENT

The Council of Ministers of BIH defined a Proposal Finance Agreement for Interreg IV-B IPA 2021-2027 Danube Region Programme between the European Union, represented by the European Commission and Hungary, represented by the Office of Prime Minister of Hungary, and Bosnia and Herzegovina, represented by the Council of Ministers Directorate for European Integrations.

The Agreement defines the Programme financing and implementation conditions in BIH, with a financial support by the European Fund for Regional Development, Instrument for Pre-Accession Assistance (IPA III) and Global Europe - Instrument for Neighbourhood, Development and International Cooperation, in addition to a national co-financing.

The Programme total budget is EUR 268,809,822, and total financial contribution by the European Union is EUR 215,047,857, while EUR 53,761,965 will be co-financed by participant counties.

The programme will secure additional support to countries beneficiaries in adoption and implementation of political, institutional, legal, administrative, social and economic reforms in a process of alignment with values of the European Union and gradual harmonisation with the EU rules and standards, policy and practice, to the end of acquiring the EU membership.

The implementation of the Agreement will be made by signing of separate finance agreements.

The Ministry of Finance and Treasury will provide the Proposal Agreement with a Platform for its conclusion to the BIH Presidency for further procedure, with a proposal for the Director of the Directorate for European Integrations for the BIH signatory thereof.

BIH AND SERBIA TO BOOST COOPERATION IN RAILWAY TRANSPORT

The session defined a Proposal Basics for negotiations on a Cooperation Agreement on Joint Implementation of the Ruma-Šamac-Loznica (Republic of Serbia) – Zvrnik-Tuzla-Doboj (Bosnia and Herzegovina) Railway Reconstruction and Modernisation Project between the Council of Ministers of Bosnia and Herzegovina and Government of the Republic of Serbia, for the aim of strengthening of good neighbourly relations.

An initiative for the Agreement came as a result of talks between the Minister of Communications and Transport of BIH and Minister of Civil Construction, Transport and Infrastructure of the Republic of Serbia on improvement of railway transport conditions.

The aim of the Project is to increase quality and speed of railway transport, with better service provision for passengers, cargo, and inter-modal transport, decrease time of transport and increase activity of railway transport for passengers and economy.

The two states confirm their intention to realise jointly one more project of railway reconstruction of Ruma-Šabac-Loznica (the Republic of Serbia) – Zvornik – Tuzla – Doboj (Bosnia and Herzegovina) route, and to coordinate all project activities and apply jointly for finances, including from IFIs.

TO INCREASE GRANT FOR GRADAČAC WATER SUPPLY PROJECT

The Council of Ministers defined a Proposal Contract on Amendments and Supplements No.1 to Oct. 26, 2020 Grant Contract in connection the Western Balkans Joint Fund Investment Grant for “Gradačac Water Supply Project” between Bosnia and Herzegovina and the European Bank for Reconstruction and Development.

Under the Contract, EUR 465.000 grant together with an earlier provided EUR 1,992,500 grant total EUR 2,457,500.

The grant funds are intended for reconstruction and replacement of the existing water pipelines and improvement of water supply system featured by insufficient capacity and old pipeline system in the central urban area of Gradačac.

The funds will be allocated to the Federation of BIH, Municipality of Gradačac, i.e. Gradačac Public Utility Company.

The earlier approved Project is financed under EBRD loan of EUR 6,000,000, investment grant worth EUR 1,400,000 from SIDA-EBRD Environment and Climate Programme Fund, as well as a technical support of EUR 600,000 secured by the European Bank for Reconstruction and Development, along with EUR 2,457,500 total grant funds.

The Proposal Contract with Platform for its conclusion will be provided to the BIH Presidency, and the Minister of Finance and Treasury will be the BIH signatory thereof.

SUPPORT TO LAND ADMINISTRATION IMPROVEMENT PROJECT

The Council of Ministers of BIH adopted an Initiative by the Ministry of Finance and Treasury and designated a delegation for negotiations on a Loan Agreement (Improvement of Geospatial Infrastructure and Real Estate Assessment in BIH Project) between Bosnia and Herzegovina and the International Bank for Reconstruction and Development, worth EUR 31,840,000.

The Project development aims are directed to improvement of punctuality and availability of information on land administration in the Federation of Bosnia and Herzegovina.

Practically, this improves real estate market transparency, which in turn facilitates tax collection.

The EUR 31,840,000 loan proceeds will be allocated to the Federation of BIH, i.e. the Federal Administration for Geodetic and Property-Legal Relations.

It is a flexible loan, the term and conditions of which are to be negotiated, and its maximum term is 32 years, including a seven-year grace period.

Following completed negotiations, the Ministry of Finance and Treasury will provide the Proposal Agreement with a Platform for its conclusion to the Council of Ministers of BIH, in accordance with the Law on Borrowing, Debt and Guarantees of BIH.

STENGTHENING OF REGIONAL COOPERATION AND PROTECTION FROM CATASTROPHES

The Council of Ministers of BIH took a decision to appoint Bosnia and Herzegovina representatives to a Standing Joint Committee for implementation of assignments defined under agreements between the Council of Ministers of Bosnia and Herzegovina and Governments of the Republic Croatia, Republic of North Macedonia, Montenegro, Republic of Slovenia, and Republic of Serbia on cooperation in protection from natural and man-made disasters.

The Committee has eight members, representatives from State Ministries of Security and Defence, Entity Civil Protection Administrations, the Brčko District of BIH Public Security Division. The Committee Chair will be Ministry of Security Protection and Rescue Sector Assistant Minister Samir Agić.

The Committee will plan and implement tasks defined by bilateral agreements between the Council of Ministers o BIH and Governments of Croatia, North Macedonia, Montenegro, Slovenia and Serbia on cooperation in protection from natural and man-made catastrophes.

The Committee will report annually to the Council of Ministers of BIH.

84% ACTIVIITES FROM COMMUNICATIONS STRATEGY ACTION PLAN REALISED

The Council of Ministers of BIH adopted a piece of information by the Directorate for European Integrations of Bosnia and Herzegovina on realisation of the Council of Ministers 2023 BIH Institutions Communications Strategy Action Plan for implementation of Bosnia and Herzegovina accession process to the European Union – from candidate status to membership.

Realised were 58 out of total 69 (84%) activities from the Action Plan in six areas: publishing, on-line communication, research, advertisement and competitions, events and promotion material. Realisation of two activities is still on-going, while nine activities were not realised.

Seven institutions under the Council of Ministers of BIH take part in the Action Plan implementation.

IMPROVED PROCEDURES FOR AFRICAN SWINE PLAGUE MONITORING

The Council of Ministers of BIH took the Ministry of Foreign Trade and Economic Relations-proposed Rulebook on amendments and Supplements to the Rulebook for monitoring of swine plague.

The aim is to promote procedures and more clearly regulate dealing with pigs and poultry in case of African swine plague in Bosnia and Herzegovina.

Amendments and supplements to the Rulebook enable competent bodies in Entities and the Brčko District of BIH to define more clearly actions for application of measures in contaminated area, in accordance with risk assessed. Also, a legal grounds are created for prolongation of a defined 40-day deadline for introduction of pigs into farms, after procedures undertaken of cleaning, disinfection and delousing at farms where the African swine plague was detected, with mandatory reporting to competent bodies.

ROUTE FEES

The Council of Ministers took the Ministry of Communications and Transport-proposed Decision on defining planned revenue amount based on service provision in air navigation (route fees) in air space of Bosnia and Herzegovina for year 204, in total amount of KM 86,860,342.

The Air Navigation Service Agency of Bosnia and Herzegovina (BHANSA) should get KM 77,806,139, including Eurocontrol costs in amount of KM 3,178.859, Directorate for Civil Aviation of BIH (BHDCA) should get KM 2,558,822, and reh agency for service provision agency beyond Bosnia and Herzegovina – Croatia Air Navigation Control (CCL)  - should get KM 6,495,392.

In accordance with regulations concerning joint policy of route fees collection, defined planned amounts of base costs are subject to adjustment mechanism to secure a final return of only realised costs of services, depending on a volume of air space traffic in 2024.

POLICE EQUIPMENT GRANT

The Council of Ministers of BIH took the Ministry of Security-proposed decision on transfer of right to property over the basic resources, thereby enabling the Directorate for Police Bodies Coordination of Bosnia and Herzegovina to grant certain police equipment to the Ministry of Interior of the Bosansko-Podrinjski Canton – Goražde.

It is about 90 high gun holsters not used by the Direction of Police Bodies Coordination any more, since it is in a process of procurement of gun holsters with a smaller dimension belt, and a free-of-charge the transfer of equipment was allowed to the Bosansko-Podrinjski Canton  -Goražde Ministry of Interior.

PIROTECTION OF BIH PROPERTY INTERESTS IN DISPUTE WITH GAVI

The session adopted a piece of information on action by the BIH Chief Attorney’s Office as to realisation of the Council of Ministers of BIH conclusion from its 30^th session of November 27, 2023, for protection of property and property interests of Bosnia and Herzegovina in negotiations with representatives of GAVI (Global Alliance for Vaccines and Immunisation).

According to the piece of information, GAVI sent back USD 7,464,586 to Bosnia and Herzegovina, in early 2023, keeping USD 1,615,120, thus fulfilling only partially its obligations from September 18,2020 contract concluded with Bosnia and Herzegovina - Arrangement on Mandatory Vaccines Procurement for Covid-19.

GAVI delivered only 32,640 vaccines to Bosnia and Herzegovina, out of ordered 1,232,000 vaccines.

The Council of Ministers of BIH gave certain assignments to the Chief Attorney’s Office of BIH for the purpose drafting a previous case assessment in connection with a dispute of Bosnia and Herzegvina and GAVI, arisen after termination of September 19, 2020 Contract on Assuming Obligations -Arrangement of Mandatory Purchase of Vaccines for Covid-19.

The Chief Attorney’s Office will report implementation of relevant activities to the Council of Ministers of BIH and propose appropriate decision-taking as to the dispute.

ARBITRAGE PROCEDURE PRAMOD MITTAL AND OTHERS AGAINST BIH

The Council of Ministers of BIH adopted the BIH Chief Attorney’s Office piece of information on an international investment dispute procedure in a case of claimants Pramod Mittal, Agneeta Mittal, Vratika Mittal, Shrist Mittal and Divyesh Mittal against claimed Bosnia and Herzegovina.

The BIH Chief Attorney’s Office will prepare a proposal decision on financing and amount of finances for international investment arbitrage procedure, and will provide a detailed report to the Council of Ministers of BIH upon the end of the procedure.

A series of activities were undertaken over the past period of time for as high quality as possible representation of Bosnia and Herzegovina, including a selectin of arbiter before BIH and law office to represent Bosnia and Hercegovina, together with the BIH Chief Attorney’s Office.

The arbitrage procedure by claimant Pramod Mittal and others against Bosnia and Herzegovina concerning investment into Global Ispat Cox Industry (GIKIL), ltd. Lukavac, was initiated in accordance with arbitrage rules of the UN Committee for International Trade Law (UNCITRAL Rules).

The Council of Ministers approved earlier KM 800,000 for the procedure, of which KM 465,000 has ben spend this far.

WORK TIME CHANGE IN COUNCIL OF MINISTERS OF BIH

The Ministry of Civil Affairs-proposed decision was taken on defining work time in the Council of Ministers of Bosnia and Herzegovina, Ministries of Bosnia and Herzegovina and other bodies under the Council of Ministers of Bosnia and Herzegovina, in accordance with earlier conclusion by the Council of Ministers on a need for change of the work time.

The decision defines work time from 8.00 am to 4.00 pm.

The exception is the Agency for Schooling and Expert Up-Grading of BIH Staff, Mine Action Centre of BIH and Indirect Taxation Administration of BIH, which will, due to specificity of their operations, adjust their work time to needs of their institutions and service users, based on internal regulations.

The Decision will apply staring on July 1, 2024, when earlier decision ceases to be valid.

APPOINTMENTS

The Council of Ministers of BIH appointed Marko Kurbatija for Acting Director of the Foreign Investments Promotion Agency (FIPA) until the end of relevant job vacancy procedure, for three months at longest, starting from March 11, 2024.

The Council of Ministers of BIH adopted a report on a job vacancy ad implemented for selection of a Manager of the Anti-Doping Control Agency of Bosnia and Herzegovina.

Based on a list of best ranked candidates for Manager of the Anti-Doping Control Agency of Bosnia and Herzegovina, appointed was Nikola Čiča for a four-year term.

The Council of Ministers of BiH annulled a  decision on appointment of dr.sci. Samir Sabiljica for Acting Deputy Coordinator for Public Administration Reform, who refused appointment to the position.

Amira Mašović was appointed Acting Deputy Coordinator for Public Administration Reform until the end of relevant job vacancy procedure, for a three month time at longest. (end)

Ling to Photo:

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