Time for major projects are knocking on the door of HRDH

The revision of the founding law of the Hellenic Republic Asset Development Fund (HRADF) is coming up during the week so that it can undertake the preparation and maturation of large projects. But what is the role of StrategicProjectsPipeline and the Government Committee for Coordination of Strategic Contracts?

Within the week, the necessary legislative regulation is expected to go to Parliament, which will institutionally enable the HRADF to house the new Project Preparation Facility (PPF). The first step was already taken with the creation of the Development Program of Public Procurement of Strategic Significance, which will be a “reservoir” for large projects that can be placed under the umbrella of PPF.

The aim of the new project preparation and maturation unit, and in order to make use of the Fund’s significant experience in preparing large projects, is for the country to increase its absorption of European funds, which will now also flow from the Recovery Fund.

The name of Mr. Panos Stampoulidis, Secretary General of Commerce and Consumer Protection of the Ministry of Development and Investment, has already been announced for the position of head of the new Project Preparation Mechanism, while changes in the Fund’s management are expected immediately. The six-month extension provided for the term of the Board of Directors, which expired last November, leaves no other leeway. The changes, however, are likely to be broader than previously thought.

What does it mean to create a Strategic Projects Pipeline?

With a regulation brought to Parliament last week, the Ministry of Infrastructure and Transport, created for the first time the institutional framework for the preparation, approval, coordination, management, evaluation, control and review of the Development Program of Public Procurement of Strategic Significance. In essence, the program, also known as the Strategic Projects Pipeline, will “run” major projects in the country under the constant monitoring and coordination of the Government Committee for the Coordination of Strategic Contracts, which will be chaired by the Prime Minister.

The projects that can be included in the Program include those that have a budget of more than 50 million euros and in exceptional cases emblematic projects for the national or local economy and contracts with a smaller budget or contracts financed by NSRF funds, with a budget of over 30 million. euros, while all the projects of the Recovery Fund are included without exception.

At the same time, it was possible for the HRADF to be defined as an alternative body for contract maturation. This means that the beneficiaries will remain the owners of the projects and will proceed with the tender procedures for the projects that will be implemented either as concession contracts or as PPPs. Beneficiaries of the Program can be Ministries, Regions, Municipalities, companies of the portfolio of the Hellenic Holdings and Property Company SA , the well-known Superfund, but also any other body designated by a decision of the Government Committee.

In order for the preparation of the projects to pass to the HRADF, a decision of the Government Committee of Strategic Contracts is required, following a relevant request of the beneficiary of the Program. Also, the decision can be taken by the beneficiary himself, but a relevant decision of acceptance of the request by the Board of HRADF is required.

As a first step, with the decision of the Government Committee, the stages and the content of the maturation process undertaken by the Fund are specified after a proposal of the HRADF and the beneficiary. This may include design maturation, acceleration of licensing and preparation of tender documents.