october 27 and 28, 2011 panama city, panama daniel cameron codi chairman codi report to the xli...
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October 27 and 28, 2011Panama City, PANAMA
Daniel CameronCODI CHAIRMAN
CODI REPORT TO THE XLI COUNCIL OF EXPERTS AND
XLII MEETING OF MINISTERS
PAÍS MIEMBRO CODI Nº72 CODI Nº73 CODI Nº74Quito, Ecuador17-18/Mar/2011
Quito, Ecuador7-8/Jul/2011
Panama, Panama26-27/Oct/2011
Argentina
Barbados *
Brazil
Cuba
El Salvador
Mexico
Nicaragua
Panama
Peru
Dominican Republic
Trinidad & Tobago
Venezuela
CODI NO MEMBER COUNTRIES
Chile, Ecuador, Paraguay Ecuador
Barbados, Bolivia, Chile, Colombia, Costa Rica, Ecuador, Paraguay,
Uruguay
TOTAL PARTICIPANTS 13 9 18
CODI MEETING- 2011
* Barbados envío comunicación informando sobre la imposibilidad de participar en el CODI
MINISTERIAL DECISION
SUBJECT
XXXVIII/D/463 OLACDE
XLI/D/471: DECISION OF HAVANA (SOUTH – SOUTH COOPERATION ACTION PLAN )
XLI/D/472: BELIZE’s ADHERENCE TO OLADE
XLI/D/473: AMENDMENTS TO BYLAWS
XLI/D/474: HAITI SHARES CONDONATION
XLI/D/475: SELECTION OF AUDIT FIRM
XLI/D/476: 2011 BUDGET
XLI/D/477: NO THE ECONOMIC EMBARGO AGAINST CUBA
FOLLOW UP TO MINISTERIAL DECISIONS AND DECLARATIONS
SUBJECT
Declaration of Managua Security of supply, universal access to energy and sustainable development
MINISTERIAL DECLARATION
REUNIONES DEL CODI - 2011
CODI RESOLUTION COMPLIANCE
R72/46/11CANADA: The Permanent Secretariat is in contact with the Embassy of Canada in this country to define its inclusion as a participating country. The organization received a proposal to postpone the decision for budgetary reasons.
R72/47/11PARTICIPATION OF BARBADOS AS A CODI MEMBER COUNTRY : Barbados notification was received, informing their inability to participate in the CODI.
R72/48/11
MEASURES FOR ACHIEVING FINANCIAL BALANCE: Measures as of 2011 reflect improvements in the financial situation but continues to be negative. Proposed Restructuring of the Permanent Secretariat. Reduction of prompt payment discount to 0% since 2012.
R72/49/11
PROJECT DATA SHEET: This data sheet presents each of the projects (37), which contains: agencies and countries involved, objectives, outputs, costs, schedule, level of progress, sources of funding. These data sheets will help the CODI to make decisions about prioritization of projects and proper monitoring.Sheets available on OLADE's web page http://www.olade.org/en/directive-committee-meeting-n-74
CODI RESOLUTION
REUNIONES DEL CODI - 2011
CODI RESOLUTION COMPLIANCE
R73/50/11
FUNDING ALTERNATIVES AND DIVERSIFICATION: Partnerships and new agreements with other international organizations and agencies (IDB, CAF, ECLAC, UNIDO, UNEP, UNASUR, Government of Spain). Portfolio of new projects.
R73/51/11
FINANCIAL OUTLOOK: The financial situation, as of 2013, is not only solved by the recommended measures. The CODI instructed the Permanent Secretariat to submit a proposal, which could include increasing the quotas of the Member Countries obviously respecting individual cases, to achieve financial balance of the Organization since 2013. Brazil and Panama cooperated with the preliminary study.
R73/52/11MINISTERIAL DECLARATION OF PANAMA: Panama and the Permanent Secretariat presented a proposal that received comments by the Member Countries.
CODI RESOLUTION
TRIENNIAL PLAN 2011-2013 COORDINATION WITH INTERNATIONAL ORGANIZATIONS
Monitoring and approval ANNUAL WORK PROGRAM
Follow up participating country (CANADA AND SPAIN)
Approval of Official Missions
Restructuring of plant staff of the Permanent SecretariatHRvacancies
FOLLOW UP
PETROCARIBE
ECLAC
UNIDO
UNASUR
PROJECTS BYLAWS AND REGULATIONS
Renewable Energy Observatory– LAC
Energy Integration Observatory– LAC
Training of Member Countries
Energy Efficiency- PALCEE
Regional Energy Information System
Vulnerability of Hydropower Production Systems - Central America
Budget recommendation 2012
Ministerial Debate XLII Meeting of Ministers
Proposed agenda for the XLI Council of Experts and XLII Meeting of Ministers
EVENTS 2011 VENUE/DATE PARTICIPANTS
I Latin American and the Caribbean Oil and Gas Seminar
Quito, Ecuador12-13/Jul/2011 219 / 19 MC
IV Latin American and the Caribbean Energy Efficiency Seminar
Santo Domingo, Dominican Republic
3-4/Augst/2011190 / 25 MC
8 No Member Countries
VI Latin American and the Caribbean Carbon Forum
San Jose, Costa Rica27-29/Sep/2011 900 / 24 MC
22 No Member Countries
VI Regional Energy Integration Forum
Panama, Panama24-25/Oct/2011 167 / 20 MC
4 No Member Countries
FOLLOW UP EVENTS2011
EVENTS 2012 VENUE/DATE PARTICIPANTS
VI Latin American and the Caribbean Biofuel Seminar
Mexico1st Quarter
V Latin American and the Caribbean Energy Efficiency Seminar
Port Spain, Trinidad and Tobago
14-15/May/2012(in principle)
II Latin American and the Caribbean Electricity Forum
Central America and Mexico2nd Quarter
VII Latin American and the Caribbean Forum South America 3rd Quarter
II Latin American and the Caribbean Oil and gas Seminar
To be defined 3rd Quarter
VII Regional Energy Integration Forum (FIER 2011)
To be defined 4th Quarter
FOLLOW UP EVENTS 2012
OLADE AND ENERGY EFFICIENCY
Studies / Programs Training Events
Latin America n and the Caribbean Energy Efficiency Program -PALCEE (El Salvador, Grenada, Jamaica and Nicaragua)
Status and prospects of energy efficiency in Latin America and the Caribbean
Practical Energy Guide in Latin America and the Caribbean: efficient consumption and environmental responsibility
Latin American and the Caribbean Energy Efficiency Network– RED-LAC-EE
Technical Assistance to Ecuador, Guatemala, Nicaragua, Paraguay
28 Conferences have been taight in and out of the Region
Eight virtual training courses involving more than 1600 officials
Energy Efficiency Seminar(4):530 representatives25 MC and 7 No Member Countries
Ministerial Decision presented in side event of COP 16, November 2010, Cancun, Mexico
POLITICAL DECISIONS:Follow up to the Ministerial Declarations and Decisions of Medellin, Argentina and Cuba, which states:
MAKING ENERGY EFFICIENCY A SUSTAINABLE RESOURCE IN LATIN AMERICAAND THE CARIBBEAN
OLADE FINANCIAL STATEMENT
HISTORICALYEAR COMPARISON 2007 - 2010
INCOMES 2007 2008 2009 2010
Countries fees 1,272,661.00 1,271,991.00 1,277,329.74
1,300,641.17
Arrears 460,690.63 443,874.63 327,142.00 318,228.56
Other incomes 160,010.61 97,356.44 84,972.55 71,737.85
PP Discount 15% -144,272.40 -171,912.42 -132,912.90 -143,954.85
Total Income 1,749,089.84 1,641,309.65 1,556,531.39
1,546,652.73
EXPENSES
Human Resources / Installation and Repatriation 895,230.76 1,323,035.80 1,389,235.16
1,542,296.19
Official Missions / Meetings / Public Relations 85,966.07 101,746.82 98,410.52 80,764.95
Communication / Documentation 37,765.44 36,474.16 34,554.62 34,918.80
Maintenance 58,391.34 49,696.37 59,232.27 74,581.80Audit 10,000.00 10,041.02 15,000.00 6,160.00Internal Training / Quality Management System 280.00 4,941.77 3,346.74 9,774.08
Capital goods 1,674.97 27,652.75 12,452.57 1,444.77
Cooperation Projects 86,809.43 64,169.31 113,966.59 115,163.26
Total Expenses 1,176,118.01 1,617,758.00 1,726,198.47
1,865,103.85
RESULTS FOR THE YEAR 572,971.83 23,551.65 -169,667.08 -318,451.12
Source: External Audit Reports (2007, 2008, 2009 and 2010)
Note: Total revenue is net income after 15% prompt payment discount , in the first half of the year.
OLADE FINANCIAL STATEMENT
Source: External Audit Reports (1996-2010)
-0.800
-0.600
-0.400
-0.200
0.000
0.200
0.400
0.600
Resultado del Ejercicio sobre Total de IngresosAños 1996 a 2010
sub-title
S-D/Ingresos N
Años
Va
ria
ció
n
Financial results over Net income totalFunctional programsYears 1996 to 2010
Incomes
Val
idat
ion
Years
OLADE FINANCIAL STATEMENT
19961997
19981999
20002001
20022003
20042005
20062007
20082009
2010
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
1.60
1.80
INGRESOS ANUALES RELATIVOS DE OLADE (Año Base 1996)RELACIÓN ANUAL DE GASTOS/INGRESOS
INGRESOS RELATIVOS DE OLADE (Sin pago adicional Argentina- Años base 1996)
INGRESOS /ING. 1996
GASTOS / INGRESOS (anuales)
INGRESOS/ING. 1996 (Sin pago adicional Argentina)
Años
Ind
ica
do
res
Re
lativ
os
NOTE: The additional payment of Argentina fulfills a payment plan of arrears from previous years that began in 2006 and ends in 2011.
NCOME / ING. 1996 (without additional payment from Argentina)
Annual relative income of OLADE (Base Year 1996)ANNUAL RELATION OF EXPENSE / INCOMEOLADE RELATIVE INCOME (No additional payment Argentina - base year 1996)
INCOMES 1996EXPENDITURES/INCOMES (YEARLY)INCOMES 1996 (No additional Argentina’s payment)
Rel
ativ
e I
ndic
ato
rs
Years
OLADE FINANCIAL STATEMENT
19961997
19981999
20002001
20022003
20042005
20062007
20082009
2010
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
1.60
IPC de EEUU, ECUADOR (Índices Relativos)Ingresos y gastos anuales relativos de OLADE
Año base 1996
Inflación EEUU
Inflación Ecuador
Ingresos relativos
Egresos relativos
Años
Índ
ice
s re
lativ
os
Notes: CPI is considered in Ecuador since 2002 (in the period 1996-1999 there was hyperinflation of local currency, Sucre; since 2000 the country adopted the dollar and there was an adaptation period of 2 years)
Sources: Central Bank of Ecuador, U.S. Bureau of Labor Statistics .
USA, ECUADOR CPI ( Relative Indexes) Relative annual income and expenses of OLADE
Base year 1996
USA InflationEcuador InflationRelative IncomeRelative Expenditures
Rel
ativ
e I
ndic
ato
rs
Years
OLADE FINANCIAL STATEMENT
INCOME Current Structure Proposed Structure
Countries Fees (1) 1,482,318.00 1,482,318.00
Arrears (2) 132,000.00 132,000.00
Other Income (3) 146,982.00 146,982.00
Events (4) 62,000.00 62,000.00
total Income 1,823,300.00 1,823,300.00
Discount 15% (5) -120,000.00 -120,000.00
Net Income 1,703,300.00 1,703,300.00
EXPENSES
Human Resources. International Category staff officials (6) 1,073,202.00 867,429.00
Human Resources. Local staff officials (6) 610,798.00 696,571.00
Installation, and Repatriation 28,000.00 28,000.00
Official Missions/Meetings/Public Relations 64,300.00 64,300.00
Communications/ Documentation 50,000.00 50,000.00
Maintenance 42,000.00 42,000.00
Audit 10,000.00 10,000.00
Internal Training/ Quality Management System 10,000.00 10,000.00
Capital goods 5,000.00 5,000.00
Cooperation Projects 50,000.00 50,000.00
total expenses 1,943,300.00 1,823,300.00
RESULTS FOR THE YEAR -240,000.00 -120,000.00
EXPLANATORY NOTES:
(1) The contributions of Member Countries, is contemplated100% of payments..
(2) In 2011 arrears from Argentina will be canceled and US$ 132.000 is expected to be recovered outstanding debts by 2012.
(3) Recovery of VAT, sales of products and services of OLADE, recovery of project costs
(4) Events must be fully funded by sponsorships. Sponsorships are considered to exceed the costs of logistics and transportation.
5) 15% discount for prompt payment. Has been kept.
(6) Human Resources: existing structure, includes 2 Directors, 9 International Coordinators and 23 local offices.The proposed structure includes: 2 Directors, 6 International Coordinators, 1 GAF, 24 local officers
PROJECTED INCOME AND EXPENSESYear 2012 (With cash discount of 0%)
OLADE FINANCIAL STATEMENT
PROJECTED INCOME AND EXPENSESYear 2012 (With cash discount of 0%)
INCOME Current Structure Proposed Structure
Countries Fees (1) 1,482,318.00 1,482,318.00
Arrears (2) 132,000.00 132,000.00
Other Income (3) 146,982.00 146,982.00
Events (4) 62,000.00 62,000.00
total Income 1,823,300.00 1,823,300.00
Discount 15% (5)
Net Income 1,823,300.00 1,82,300.00
EXPENSESHuman Resources. International Category staff officials (6)
1,073,202.00 867,429.00
Human Resources. Local staff officials (6) 610,798.00 696,571.00
Installation, and Repatriation 28,000.00 28,000.00
Official Missions/Meetings/Public Relations 64,300.00 64,300.00
Communications/ Documentation 50,000.00 50,000.00
Maintenance 42,000.00 42,000.00
Audit 10,000.00 10,000.00
Internal Training/ Quality Management System 10,000.00 10,000.00
Capital goods 5,000.00 5,000.00
Cooperation Projects 50,000.00 50,000.00
total expenses 1,943,300.00 1,823,300.00
RESULTS FOR THE YEAR -120,000.00 0.00
EXPLANATORY NOTES:
(1) The contributions of Member Countries, is contemplated100% of payments...
(2) ) In 2011 arrears from Argentina will be canceled and US$ 132.000 is expected to be recovered outstanding debts by 2012.
(3) Recovery of VAT, sales of products and services of OLADE, recovery of project costs
(4) Events must be fully funded by sponsorships. Sponsorships are considered to exceed the costs of logistics and transportation.
5) It is considered the 0% discount for early payment..
(6) Human Resources: existing structure, includes 2 Directors, 9 International Coordinators and 23 local offices.The proposed structure includes: 2 Directors, 6 International Coordinators, 1 GAF, 24 local offices
OLADE FINANCIAL STATEMENT
PROJECTED INCOME AND EXPENSES WITH THE NEWSTRUCTURE OF THE PERMANENT SECRETARIAT SINCE 2012
Years 2012 - 2013
INCOME 2012 2013
Countries Fees (1) 1,482,318.00 1,482,318.00
Arrears (2) 132,000.00 70,000.00
Other Income 146,982.00 120,000.00
Events 62,000.00 60,000.00
total Income 1,823,300.00 1,732,318.00
Discount 15% (3) .00 .00
Net Income 1,823,300.00 1,732,318.00
EXPENSES
Human Resources. (International Category staff officials) (4) 867,429.00 867,429.00
Human Resources. Local staff officials 696,571.00 696,571.00
Installation, and Repatriation 28,000.00 28,000.00
Official Missions/Meetings/Public Relations 64,300.00 67,000.00
Communications/ Documentation 50,000.00 50,000.00
Maintenance 42,000.00 42,000.00
Audit 10,000.00 9,000.00
Capital goods 5,000.00 5,000.00
Cooperation Projects 50,000.00 50,000.00
total expenses 1,823,300.00 1,825,000.00
RESULTS FOR THE YEAR .00 -92,682.00
(1) In the years 2012 and 2013 is considered the payment of 100% of the contributions of Member Countries
(2) Since 2012 Argentina will no longer make additional payment for arrears of previous years, balances paid in 2011. It provides an important effort to recover outstanding arrears.
(3) It is considered a prompt payment discount of 0%.
(4) In 2011 the figure is less to what it corresponds due to the current structure, since the plant staff is not complete
OLADE FINANCIAL STATEMENT
PROJECTED INCOME AND EXPENSES WITH THE NEWSTRUCTURE OF THE PERMANENT SECRETARIAT
Years 2014 – 2015 - 2016
EXPENSES 2014 2015 2016
Human Resources. (International Category staff officials) (1) 889,114.73 911,342.59 934,126.16
Human Resources. Local staff officials (1) 713,985.28 731,834.91 750,130.78
Installation, and Repatriation(2) 95,000.00 16,000.00 28,000.00
Official Missions/(3) 40,000.00 41,200.00 42,436.00
Communications(4) 31,050.00 32,100.00 33,200.00
Documentation 18,630.00 19,280.00 19,950.00
Maintenance 41,400.00 42,900.00 44,350.00
Meetings/ 23,800.00 24,600.00 25,500.00
Audit 9,000.00 8,000.00 8,300.00
Public Relations 2,580.00 2,670.00 2,770.00
Internal Training 5,000.00 5,000.00 5,000.00
Capital Goods 5,000.00 5,000.00 5,000.00
Quality Management System 5,000.00 5,000.00 5,000.00
Cooperation Projects 75,000.00 85,000.00 85,000.00
Total Expenses 1,954,560.00 1,929,927.50 1,988,762.94
(1Human Resources is composed of complete plant approved since October 2011 with an annual increase of 2.5% (partial recovery of the local inflation)
(2) Instalation and repatriation includes new international plant staff in the new administration of 2014.
(3= An increase of 3% in official missions since 2015.
(4) Communications and other local costs, includes an increase of 3.5% for estimated inflation in Ecuador and leveling of prices.
OLADE FINANCIAL STATEMENT
CONCLUSIONS
After analyzing the financial situation of the Organization, we have deemed appropriate to look to the past, present and future, to see not only the current situation, but the trend into the future and understand the magnitude of the situation.
While the proposed deficit has been growing in recent years, administrative decisions of reorganization without loss of ability to execute solve in part the situation.
In addition to the above, the elimination of prompt payment discount balances the situation until the end of 2012.
In 2013 we will be facing a deficit of just over U $ 90.000, and during 2014 to 2016, when reasonably projecting the variables, the deficit would be between $ 170,000 and $ 230,000 annually.
PROPOSALS
I believe that the organization, in order to optimize its operation in time, in a prudent and reasonable basis, it should resolve in this XLII Meeting of Ministers the financial situation until 2012 included, such a question would be achieved as follows: a) Approving the draft of the Ministerial Decision XLII / D / 482 of Amendments to the Bylaws (restructuring of the Permanent Secretariat), this decision does not omit implementation capacity; b) Sharing and accepting the proposal of the Directive Committee (RT4/54/11)of eventually taking the prompt payment discount to zero.
Additionally we recommend to the XLII Meeting of Ministers to instruct the CODI to prepare, for April 2012, the alternative solutions to the deficits evaluated as likely to be present in 2013 to 2016, preferably analyzing the way of obtaining resources from services supplied to third parties and / or by defining a benefit for the organization of the events performed throughout the year.
DECLARATION AND MINISTERIAL DECISIONS PROPOSAL TO BE CONSIDERED AT THE XLII
MEETING OF MINISTEERS
MINISTERIAL DECLARATION
SUBJECT
MINISTERIAL DECLARATION
SUBJECT
Declaration of Panama Integration and Energy Security
XLII/D/479: 2012 BUDGET
XLII/D/480: SELECTION OF AUDIT FIRM
XLII/D/481:RATIFICATION SUPPORT TO CUBA AGAINST ITS ECONOMIC EMBARGO
XLII/D/482:AMENDMENTS TO BYLAWS RESTRUCTURINGPERMANENT SECRETARIAT)
XLII/D/483:COOPERATION TO HAITI’s ENERGY SECTOR.
INSTRUCTION
Preparation of alternativesolutions to the deficits evaluated as likely to be present in 2013 to 2016,
“preferably” analyzing the way of obtaining resources from services supplied to third
parties and / or by defining a benefit for the organization of
events held by the Organization throughout the
year.