Follow-up to INOGATE Support Group (98/99.06)

Project Description

The Follow-up to INOGATE Support Group project provides the input required for INOGATE Programme to meet its main challenge - to transform the Programme to a real catalyst for the establishment of successful, concrete projects in regions where investment has been deterred by legal, technical, economic and even political insecurity.

The project aims to build on the experience gained from the previous project, specifically by:

• Focusing on communication activities targeted to the attraction of foreign investment of oil and gas projects. The concentration of communication activities that is implemented and is targeted for the purposes of investment attraction
• Encouraging inter-state co-operation by identifying common projects of interest for the three main geographical areas: Central and Eastern Europe, Caucasus and Central Asia
• Extending the scope of work of the INOGATE Officers with a greater focus on investment attraction and inter-state co-operation
• Undertaking more direct contact and communication with the target groups in each country, either through the INOGATE Officers or meetings with the INOGATE Support Group

Project Objective

To support the achievement of the INOGATE Programme`s objectives: to improve the security of Europe`s energy supply by promoting the regional integration of the oil and gas pipeline systems and facilitating their transport both within the region and towards the export markets of Europe, while acting as a catalyst for attracting private investors and international financial institutions to these pipeline projects.

Specific Objectives

Objective No. 1
To provide communication and promotional activities for supporting the achievement of the INOGATE Programme`s specific objectives and specifically facilitate co-operation with producer, transit and consumer countries in view of the secure and safe transport of oil and gas via existing and potential new infrastructures.

Objective No. 2
To support to the EU-Ukraine Joint Working Group of Experts for the reform of the Russian gas transit.

Expected Results

• Increased awareness and transparency on the activities and results of the INOGATE Programme to programme stakeholders (for Objective 1 - Institutional Communication)
• Increased awareness, interest and involvement of International Financial Institutions in supporting the development of new and existing oil and gas transport and transmission systems which aim towards securing the region`s and Europe`s energy supply (for Objective 1 - Investment Promotion Campaign)
• Fully elaborated reform options for the gas transit system in the Ukraine developed in compatibility with national laws, policies, regional orientations, and with the interests of all potential stakeholders at large (for objective 2).

Foreseen activities:

• For objective 1:
  • Set up communication mechanism
  • Review of previous project communication activities - promotion material and activities
  • Develop and implement the strategic communication programme in two parts:
    • Institutional Communication of INOGATE Programme
    • Investment Attraction Campaign
• For objective 2:
  • Commence, manage and implement activities of the JEWG
  • Define Terms of Reference for the JEWG, Phase III
  • Organise final report presentation

Conclusions and summaries:

The Project met the planned objectives. The following results were achieved during the project implementation:

• For Objective 1, Part I and II:

  In terms of co-ordination and promotion of the INOGATE Programme, the INOGATE Support Group / INOGATE Secretariat provided communication support for the realization of:

  • Publications - development and printing of all INOGATE materials - brochures, leaflets, maps, directories, give-aways, etc.
  • Multimedia - INOGATE multimedia presentation and Documentary Video
  • Website - updating and maintaining www.inogate.org
  • Events - organizing the full-range of events from high-level political conferences to working group meetings as well as participation in oil and gas exhibitions
  • Libraries/Databases - maintaining physical and electronic libraries of all studies and reports resulting from INOGATE Projects since the inception of the programme
  • Info Centre - maintaining and updating library and reference material for interested visitors (including internet access) at the INOGATE Secretariat
  • Media activities - issuing regular press releases on INOGATE activities, undertaking special coverage (TV / press) for specific occasions.
  • News Reports - producing energy news bulletin every month on the specific developments in the INOGATE Countries regarding the pipeline projects of strategic interest
  • Dissemination - regular dissemination of new INOGATE material
  • Ad hoc assistance - to the European Commission in terms of INOGATE project identification and, in some cases, development of specific terms of reference
  • INOGATE "Steering Group" meetings - organising meetings of the INOGATE Participating Countries at various levels - technical and ministerial - for the co-ordination and endorsement of INOGATE activities.
  • INOGATE Officers network - introducing and managing the network of INOGATE Officers which has involved having a Country Officer in each of the 10 Tacis Participating Countries. In this way, stronger ties have been established with these NIS Participating Countries.

  In terms of investment attraction activities, the INOGATE Support Group, via the INOGATE Secretariat, has commenced a new series of investment attraction initiatives as follows:

  • Organization of the INOGATE Investment Attraction Campaign 2003-2004. This resulted in the Investment Round-table of 31 March 2004 where 12 projects were presented to international financial institutions and potential private investors. Follow-up actions have shown that there is a keen interest by IFIs/private financiers in 5 of the projects presented.
  • Development of Reform Options for the Gas Transit of Ukraine through the EU-Ukraine Joint Expert Working Group. The results of this work will be used by the Naftogaz and the Ukraine Government to decide which investment options will be more appropriate for the rehabilitation of this strategic asset.
  • Organization of Industrial Conference on "Odessa-Brody-Plock Oil Transportation Project: Enhancing European Union Energy Security and Integrity" on 27 May 2003 which officially launched this pipeline project as a project of pan-European interest. Significant support to the follow-up of this event has been undertaken.
  • Fact-finding missions were jointly organised with IFI representatives for facilitating project identification and investment attraction - the first of these was carried out successfully in Moldova.
  • Development of new concepts for reorienting future INOGATE support towards facilitating investment attraction as well as the establishment of key partnership with EBRD.
  The INOGATE Support Group`s projects helped to pave the way for the Action Programme 2004-2006 in terms of reorienting the work towards investment attraction activities and support for the INOGATE Participating Countries.
   
• For Objective 2:
  • The activity of the second phase of the EU-Ukraine Joint Expert Working Group (JEWG) the elaboration of "Gas Transit and Transmission Network Option Study for Ukraine" was completed, officially presented on July 25, 2003 and the Final Report was submitted to the Beneficiary, NJSC "Naftogaz of Ukraine".