Ltter

Commission européenne/Europese Commissie, 1049 Bruxelles/Brussel, BELGIQUE/BELGIË - Tel. +32 22991111

EUROPEAN COMMISSION DIRECTORATE-GENERAL

ECONOMIC AND FINANCIAL AFFAIRS Resources and performance management

Control and evaluation

Brussels, 27 March 2024 ECFIN.R.4/GG/ (2024)2653427

Subject: EPM 'Fact finding missions'

Estonian Recovery and Resilience Plan

Ref.: Engagement No. EE-Q1-2024 FACT FINDING MISSION ON PP/ SA (to

be used in all correspondence)

Your Excellency,

On 20/02/2024 and 21/02/2024, the auditors of Directorate-General for Economic and

Financial Affairs (hereinafter: “ECFIN”) carried out a fact-finding mission in relation to

the Estonian Recovery and Resilience Plan (hereinafter: “RRP”). The legal basis for the

engagement is laid down in the Financial Regulation, namely in its Articles 74(6) and

129(1) and in the Financing Agreement under Articles 11(4) and 12(1).

The objective of this remote mission was to gain assurance that the Estonian authorities

are regularly and effectively verifying compliance with the applicable public procurement

(hereinafter: “PP”) and state aid (hereinafter: “SA”) rules for measures covered by the

Council Implementing Decision. The work included checks on the effectiveness of the

entities’ work done on checking the implementing bodies compliance with state aid and

public procurement rules.

On the basis of its examination, the Commission services have the following observations:

• Audit Authority

- Integrate PP and SA checks in future audits.

- Integrate PP and SA audit reports in the summary of audit

accompanying future payment requests

• Coordinating Body: SSSC

No recommendations for SA and PP verification procedure

• Ministry of Economic Affairs and Communications: KMK

- Develop and use a specific template for the PP checklist

• Information System Authority ISA

2

- Develop and use a specific template for the PP checklist

• Environmental Investment Centre: KIK

No recommendations for SA verification procedure

• Agricultural Registers and Information Board: PRIA

No recommendations for SA verification procedure

Based on the evidence collected and assessed, and to the best of their knowledge, the

ECFIN auditors consider that, for the selected measures, the risk of non-respect by Estonia

to its obligation to regularly check that State aid and public procurement rules are complied

with in the context of 2023 payment is low.

This assessment is without prejudice to any conclusions that the Commission could draw

from any possible further on-the-spot audit work.

Yours faithfully,

Electronically signed

Bernadette FREDERICK

c.c.:

Directorate-General for Economic and Financial Affairs

Mark Schelfhout, Head of Unit, ECFIN R.4

Jakob Wegener Friis, Director ECFIN E

Joern Griesse, Head of Unit, ECFIN E.2

Declan Costello, Deputy Director General, ECFIN E, F,G

James Hinton, Head of Unit, ECFIN.A.2

Recovery and Resilience Task Force

Maria Teresa Fabregas Fernandez, Director, SG.RECOVER.B

Luca Rossi, Head of Unit, SG.RECOVER.B2

Ave Schank-Lukas, SG.RECOVER.B2 – Tallinn

Electronically signed on 27/03/2024 17:40 (UTC+01) in accordance with Article 11 of Commission Decision (EU) 2021/2121

Commission européenne/Europese Commissie, 1049 Bruxelles/Brussel, BELGIQUE/BELGIË - Tel. +32 22991111

EUROPEAN COMMISSION DIRECTORATE-GENERAL

ECONOMIC AND FINANCIAL AFFAIRS Resources and performance management

Control and evaluation

Brussels, 27 March 2024 ECFIN.R.4/GG/ (2024)2653427

Subject: EPM 'Fact finding missions'

Estonian Recovery and Resilience Plan

Ref.: Engagement No. EE-Q1-2024 FACT FINDING MISSION ON PP/ SA (to

be used in all correspondence)

Your Excellency,

On 20/02/2024 and 21/02/2024, the auditors of Directorate-General for Economic and

Financial Affairs (hereinafter: “ECFIN”) carried out a fact-finding mission in relation to

the Estonian Recovery and Resilience Plan (hereinafter: “RRP”). The legal basis for the

engagement is laid down in the Financial Regulation, namely in its Articles 74(6) and

129(1) and in the Financing Agreement under Articles 11(4) and 12(1).

The objective of this remote mission was to gain assurance that the Estonian authorities

are regularly and effectively verifying compliance with the applicable public procurement

(hereinafter: “PP”) and state aid (hereinafter: “SA”) rules for measures covered by the

Council Implementing Decision. The work included checks on the effectiveness of the

entities’ work done on checking the implementing bodies compliance with state aid and

public procurement rules.

On the basis of its examination, the Commission services have the following observations:

• Audit Authority

- Integrate PP and SA checks in future audits.

- Integrate PP and SA audit reports in the summary of audit

accompanying future payment requests

• Coordinating Body: SSSC

No recommendations for SA and PP verification procedure

• Ministry of Economic Affairs and Communications: KMK

- Develop and use a specific template for the PP checklist

• Information System Authority ISA

2

- Develop and use a specific template for the PP checklist

• Environmental Investment Centre: KIK

No recommendations for SA verification procedure

• Agricultural Registers and Information Board: PRIA

No recommendations for SA verification procedure

Based on the evidence collected and assessed, and to the best of their knowledge, the

ECFIN auditors consider that, for the selected measures, the risk of non-respect by Estonia

to its obligation to regularly check that State aid and public procurement rules are complied

with in the context of 2023 payment is low.

This assessment is without prejudice to any conclusions that the Commission could draw

from any possible further on-the-spot audit work.

Yours faithfully,

Electronically signed

Bernadette FREDERICK

c.c.:

Directorate-General for Economic and Financial Affairs

Mark Schelfhout, Head of Unit, ECFIN R.4

Jakob Wegener Friis, Director ECFIN E

Joern Griesse, Head of Unit, ECFIN E.2

Declan Costello, Deputy Director General, ECFIN E, F,G

James Hinton, Head of Unit, ECFIN.A.2

Recovery and Resilience Task Force

Maria Teresa Fabregas Fernandez, Director, SG.RECOVER.B

Luca Rossi, Head of Unit, SG.RECOVER.B2

Ave Schank-Lukas, SG.RECOVER.B2 – Tallinn

Electronically signed on 27/03/2024 17:40 (UTC+01) in accordance with Article 11 of Commission Decision (EU) 2021/2121