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Ágnes Molnár: The New Széchenyi Plan, Hope and Momentum for the Economy2011. január 23.

Feedback about the New Széchenyi Plan is extremely positive, hope is back for the ability to create jobs.


Sunday, 23 January 2011, Budapest (MTI) – ‘Feedback about the New Széchenyi Plan is extremely positive, hope is back for the ability to create jobs, increase employment and strengthen small and medium-sized enterprises’, said Ágnes Molnár, State Secretary of the Ministry of National Development (NFM) in an interview to MTI. 

She added that the announcement of the New Széchenyi Plan aroused great anticipation, because the original Széchenyi Plan launched in 2001 gave momentum and hope to the country – Hungarians felt that they could be just as successful as the nations of Western Europe.
According to the State Secretary for Development Policy the New Széchenyi Plan brings new hope, momentum and recovery not only for small and medium-sized enterprises, but for the representatives of the state and the public sector also, while the change in development policy brings a renewal that will result in a new era in which Hungarian citizens will enjoy living in their own country.

Ágnes Molnár emphasized that Hungary can only be successful if individual and community development plans were linked. This philosophy is reflected in the 93 calls for tenders announced as part of the New Széchenyi Plan, in the financial instruments and in the national programmes.

One of the pillars of the renewed development policy represented by the New Széchenyi Plan is that sources have to reach beneficiaries in an uncomplicated, effective and transparent way. ‘To reach this goal NFM implemented radical changes in the regulation of the development policy’, underlined the State Secretary. She explained that the funding of the renewed development policy would be regulated by a single government decree that replaced the former 24 applicable legislations, and it would specify uncomplicated rules for the support process that was coupled with higher guarantees.

As an example the State Secretary cited that parallel structures and inconsistencies were terminated in the system, and security elements were added: among others there would be a possibility to appeal in case of each submitted tender. Appellate jurisdiction regarding the appeals was transferred from the National Development Agency to the Ministry of National Development.

‘The simplification of the tendering system included the re-regulation of the support process, the evaluation period was shortened, faster payment procedures were introduced, priority was given to tenders with automatic assessment, and the complicated and time-consuming two-round tender process was abolished’, said Ágnes Molnár.

She explained that, as an important change, tenderers would have one opportunity to provide corrections in order to shorten the evaluation period. Another simplification is that the useless reporting obligation was abolished and only one report needs to be submitted to the project developer close to the end of the implementation phase. Payment deadline was modified from 60 days to 45 days from the date the invoice was submitted, and the possibility of allowance-based charging was introduced.

The State Secretary highlighted that it was of primary importance to allow the sufficient time for the preparation of tenders to ensure that carefully considered developments were carried out that contributed to sustainability.
Listing the technical simplifications, the State Secretary said that tender proposals could be submitted on CD, which meant there was no obligation to print several hundred pages long tenders. Besides this forms became shorter, the number of data fields was reduced, and the submission of statements was simplified. When the tender is submitted the tenderer only needs to declare that he/she possesses all necessary annexes; annexes only need to be attached when the contract is signed. ‘In the institutional system of the use of sources, at the intermediate bodies, transparency and coordinated operation is implemented, but the creation of a service oriented institution system is a long term project’, Ágnes Molnár noted, and said that Hungary would be successful and became one of the leading countries in the region if the government of national cooperation implemented the revised development policy that leaded to economic growth in line with the strategy of the New Széchenyi Plan, with the appropriate coordination of the development funds.

According to estimations the 93 tender constructions of HUF 1,100 billion opened in the first round of the New Széchenyi Plan will generate money transfers three or four times of this sum in the economy. As a part of this business development sources of HUF 173 billion will be transferred to SMEs. ‘The sector can become the engine of the economy, if a high number of businesses receive the sources’, said the State Secretary.

At the launch of the New Széchenyi Plan the first package of tenders was opened; further sources will be opened in the second half of the year. ‘Negotiations were started with the Hungarian Academy of Sciences to include the goals devised by the scientific community in the next package of tenders, such as further support for the infrastructure of basic research, research networks operating within the Academy and universities, contribution to keeping young researchers, scientists and university students in Hungary, and bringing home young scientists studying and working abroad’, said Ágnes Molnár.

The State Secretary indicated that as  part of source coordination the innovation fund is also administered by the Ministry. In the renewed development policy the innovation fund and EU sources will reinforce one another's impacts in line with the strategy of the New Széchenyi Plan.
The New Széchenyi Plan information points are already operating at the National Development Agency, MAG Zrt, ESZA Social Services Nonprofit Kft, and the regional development agencies. Regularly updated information is also available on the official website of the New Széchenyi Plan. ‘Besides this a national tour is launched with stages in each county to introduce the available new tenders and the simplifications of the system to interested parties’, said Ágnes Molnár.

Source: Sunday, 23 January 2011, 9:31 AM, MTI, NFM