European Union Structural Funds Programme for Malta
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The Stakeholders


Managing Authority (MA)

The Planning and Priorities Coordination Division (PPCD)

The Planning and Priorities Co-ordination Division (PPCD) within the Office of the Prime Minister has been designated as the Managing Authority.

The main function of the Managing Authority is to act as the counterpart of the European Commission in Malta for issues pertaining to the programming and management of Structural Funds.

In terms of programming, the Managing Authority prepared a strategic document known as the Single Programming Document, which encompasses the strategic priority sectors in which Malta should focus the use of Structural Funds. The Single Programming Document has been drawn up following widespread consultation with the social and economic partners and stakeholders and is approved by the European Commission.

In terms of management, the Managing Authority is responsible for the implementation of the whole Structural Funds Programme, starting from the launching of the call for applications for project proposals, the project selection process, the monitoring of the individual projects and the monitoring of the Structural Funds Programme as well as closure of the projects which will subsequently lead to the closure of the Structural Funds Programme 2004 -2006.

In order to fulfill its tasks, the Managing Authority liaises on a daily basis with all the relevant stakeholders involved in the implementation of Structural Funds projects. The Managing Authority also provides the secretariat to the Monitoring Committee for Structural Funds.

It acts as Government’s central contact/information point for issues concerning the Structural Funds and establishes a central information system to gather financial and statistical information on the status of implementation of the Structural Funds programme and projects. The Managing Authority also ensures that the relevant data is forwarded to the European Commission in line with the requirements of relevant EU Regulations.

The Paying Authority (PA)

The Ministry of Finance (MFIN)

The Paying Authority for Structural Funds has been set up within the Ministry of Finance.

As the name implies, this Authority is responsible for the financial aspects of the Structural Funds Programme whereby the Paying Authority will certify the expenditure incurred for the individual projects and will then submit a request to the European Commission to reimburse the funds for the expenditure incurred.

Subsequently, the Paying Authority receives and accounts for funds transferred by the European Commission.

Intermediate Body ( IB)

The Ministry for the Family and Social Solidarity (MFSS)
ESF Intermediate Body

The Ministry for Rural Affairs and the Environment
EAGGF (Guidance) and FIFG Intermediate Body

There are two Intermediate Bodies for the EU Structural Funds Programme for Malta 2004 – 2006. The Ministry for the Family and Social Solidarity (MFSS) is the Intermediate Body for the European Social Fund (ESF) and the Ministry for Rural Affairs and the Environment is the Intermediate Body for the European Agricultural Guidance and Guarantee Fund (EAGGF Guidance) and Financial Instrument for Fisheries Guidance (FIFG).

What exactly is the function of the Intermediate Body? The latter acts as the primary focal point for information pertaining to the specific fund and projects that are co-financed under the specific fund.
Amongst others, the Intermediate Body ensures that projects are implemented in accordance with EU Regulations. It also acts as the first point of reference for the final beneficiaries and is also responsible for the dissemination of information pertaining to the projects co-financed through the specific fund as delegated and agreed upon by the Managing Authority.

The Intermediate Body receives project applications, carries out the day-to-day monitoring of project implementation and is involved in the verification process.

The Department of Contracts (DoC)

The Department of Contracts (DoC) within the Ministry of Finance is responsible for the administration of the procurement procedures as laid down in the Public Contracts Regulations.

The Department of Contracts must ensure that the relevant tenders are launched and published in accordance with the above mentioned regulations and that contracts are awarded in conformity with the principles of free access, fair competition and transparency.

The Department of Contracts provides advice and guidance to Final Beneficiaries regarding all issues pertaining to public contracts.

General Contracts Committee (GCC)

The Director General of the Department of Contracts is assisted in his work by the General Contracts Committee which also gives advice on all matters relating to public contracts and procurement. It also opens tenders and evaluates definite recommendations made by the Final Beneficiaries for the award of tenders.

Special Contracts Committee (SCC)

The adjudication of certain tenders might require special expertise and skills. In such cases the Prime Minister appoints the Special Contracts Committee (SCC) which remains in operation throughout the adjudication process until the tender is awarded or until the Director General of Contracts declares that the adjudication of the public contract is withdrawn.

Public Contracts Appeal Board (PCAB)

Complaints lodged by aggrieved bidders on all tenders issued by the Department of Contracts, public authorities and/or public undertakings, are heard and decided upon by the Public Contracts Appeal Board (PCAB). This is an independent and autonomous board (composed of the Chairman and two members) appointed by the Prime Minister for a period of three years.

The Treasury

Accountant General

The Accountant General is also referred to as the Director (Treasury) and heads the Treasury Department under the Ministry of Finance.

The Treasury ensures that sound accounting policies and procedures are applied at all levels. It also effects payments through the Central Bank of Malta to third parties (e.g to contractors who have been awarded tenders) in respect to approved projects. The Treasury instructs the Central Bank to transfer funds to a contractor as payment for expenditure incurred for the relevant projects financed under the Structural Funds programme. Another important task is that of managing the Public Bank Account and accounting for the Consolidated Fund and the EU Funds that are transferred by the Director EU Paying Authority.

Central Bank of Malta (CBM)

The Central Bank of Malta (CBM) is the official banker of the Government of Malta. Thus it maintains and operates accounts regarding funds advanced by the EU to finance programmes/projects as instructed by the Director EU Paying Authority.

In the case of payments for projects co-financed through EU funds, the Central Bank of Malta transfers funds into the contractor’s bank account once it receives instructions from the Treasury.

Budget Office (MFIN)

The Budget Office within the Ministry of Finance is responsible for ensuring that Malta respects all its national co-financing obligations and its commitments under the principle of additionality in accordance with EU Regulations. At a management level, in view of the fact that the Structutral Funds projects are co-financed through EU funds and national funds, the Budget Office is assisted by the Managing Authority and the Paying Authority to manage the national co-financing element of these projects.

The Internal Audit and Investigations Directorate (IAID)

It is to be expected that the highest level of transparency and accuracy is maintained where public funds are concerned. The same applies to EU Structural Funds.

This is where the Internal Audit and Investigations Directorate (IAID) comes in. This Directorate is responsible for the certification to the EU on the adequacy of financial control, procurement and operational management structures and systems utilised for the implementation of the EU Structural Funds Programme. It performs “a priori” audits, examining internal systems, procedures and controls, carries out “ex-post” performance audits which can also include responsibilities for performing joint-audits with EU services. In addition, the IAID also undertakes mandatory audits on individual projects financed through Structural Funds and issues a winding up declaration upon closure of the Programme.

National Audit Office (NAO)

The National Audit Office (NAO) is the external auditor of the Government of Malta and is wholly independent of the executive arm of Government and responsible to Parliament where the Auditor General’s reports are debated by the Public Accounts Committee (PAC).

Since projects co-financed by the Structural Funds are considered to be financed by public funds, the NAO may carry out audits as the external auditor of Government.

Line Ministry EU Affairs Director

The EU Affairs Director is present within each Line Ministry. The EU Affairs Director is responsible for the co-ordination of the implementation of approved projects falling under the responsibility of the Director’s line ministry.

The EU Affairs Director ensures that projects are implemented in line with the relevant EU and national regulations and procedures particularly those pertaining to procurement, financial control and reporting.

Accounting Officer

The Accounting Officer in the Line Ministry ensures that the payments related to the EU funded project are made from the correct Budget Lines and liases with Treasury to ensure that payments are processed efficiently and correctly.

Final Beneficiary

The Final Beneficiaries are the bodies, public and/or private organizations, that are responsible for the implementation of the individual projects. In the case of aid schemes and aid granted by bodies appointed by the Member States, the Final Beneficiary is the body that grants and manages the aid.

Once a project is selected for financing through the Structural Funds, the Managing Authority, the Final Beneficiary and the Permanent Secretary sign a Letter of Offer which sets out the terms and conditions on which the project is being financed through the Structural Funds. The Final Beneficiaries are bound to adhere to the terms and conditions set out in this Letter of Offer and to fulfil the requirements of EU Regulations as indicated in the Letter of Offer such as regulations regarding publicity and information with respect to the individual project, compliance with the Public Contracts Regulations and with Community policies on environment, equal opportunities, fair competition and state aid.

The Final Beneficiary is responsible for the day-to-day implementation and management of the individual projects, must initiate the payment process for contractors to be paid for work undertaken in relation to the respective project and must also report regularly to the Line Ministry, the Managing Authority and the Intermediate Body on the progress achieved amongst other tasks.


The contractor is the provider of works, supplies or services that has been awarded a contract following the launch of a tender/call for applications/requests for quotations in line with Public Contracts Regulations.

Monitoring Committee for Structural Funds (MC)

The Monitoring Committee (MC) is chaired by the Principal Permanent Secretary, Office of the Prime Minister, and is comprised of Government representatives, social and economic partners, representatives of fisheries and agricultural sector, NGOs a representative of the EU Paying Authority, representatives of the European Commission and the European Investment Bank.

The Monitoring Committee approves the selection criteria for the selection of projects as set out in the Programme Complement. The Committee monitors the implementation of the Single Programming Document for Malta. It carries out this monitoring function by reviewing progress made towards achieving the targets set out in the Single Programming Document, approves the annual implementation report prior to submission to the European Commission as well as the final implementation report. In addition the Monitoring Committee approves any amendments required to the Programme Complement and ensures compliance with Community policies.

Through the Monitoring Committee, all relevant stakeholders are kept informed on the implementation of the Structural Funds Programme.

The Secretariat to the Monitoring Committee is provided by the Managing Authority.

Sectoral Monitoring Sub-Committees (SMSC)

Sectoral Monitoring Sub-Committees (SMSC) monitor the implementation of projects selected for EU funding under the Single Programming Document on a sectoral basis and also monitor the impact that these projects have on the specific sector. There are five Sectoral Monitoring Sub-Committees covering the following sectors:

  • Agriculture & Fisheries
  • Enterprise & Tourism
  • Human Resources Development & Employment
  • Environment
  • Transport

Regional Project Committee (Gozo)

The Regional Project Committee (Gozo) {RPC} is responsible for following up the implementation by the relevant final beneficiaries for projects falling under Measure 4.1 and 4.2 of Priority 4 and other Gozo projects falling under other Priorities of the Programme Complement. This committee is composed of Government representatives, Social partners, Corporations and NGOs.

Project Selection Committee (PSC)

As one would expect, the number of projects submitted far exceeds the available funding and careful selection of projects is therefore essential. This very important task is carried out by the Project Selection Committee (PSC) which is chaired by the Managing Authority.

The Project Selection Committee evaluates projects in terms of eligibility. It also ranks the eligible projects in terms of the selection criteria of the Programme Complement and eventually selects projects and make recommendations on such a selection to Cabinet.

State Aid Monitoring Board (SAMB)

The State Aid Monitoring Board (SAMB) provides advice and guidance with respect to State Aid in order to ensure that the EU funded projects are in line with Community State Aid regulations. Upon request of the Final Beneficiary, the State Aid Monitoring Board assesses any State Aid implications on each project proposal. The State Aid Monitoring Board can carry out audits on individual projects on issues related to state aid once project implementation is underway.

Malta Environment & Planning Authority (MEPA)

The Malta Environment and Planning Authority (MEPA) is the national body responsible for the regulation of environment and land use planning in Malta.

Prior to submission of a project proposal for EU Structural Funds assistance, an applicant must seek the guidance of MEPA to ensure that the project proposal is compliant with national environmental and land use planning regulations.
MEPA provides guidance on the potential environmental and planning impacts of the proposal, on the legislative implications, as well as on the processing time required for relevant permits to be determined. Once projects are selected for funding under the Structural Funds Programme, MEPA ensures that these projects are being implemented in compliance with environmental and planning regulations. MEPA also monitors the impact that the EU Structural Funds Programme has on the environment.

National Commission for the Promotion of Equality for Men and Women

Equal Opportunities is one of the key horizontal themes. The Commission for the Promotion of Equality for Men and Women provides guidance and advice to all stakeholders, including the Final Beneficiary, on issues related to equal opportunities.

Department of VAT

The Department of VAT provides assistance to Final Beneficiaries to settle the payment of the VAT component for each contract that the Final Beneficiary launches and signs.

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Structural Funds Programme for Malta 2004-2006.
Project part-financed by the European Union - European Regional Development Fund.
Co-financing rate: 75% EU:25% Government of Malta.
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