ITU and
Egypt sign Host
Country
Agreements to
stage WTDC-14
and WSIS+10
High-Level Event
in Sharm
el-Sheikh
ITU and Egypt
signed two Host
Country
Agreements to
hold the next
World
Telecommunication
Development
Conference
(WTDC-14) in the
Egyptian resort
town of Sharm
el-Sheikh from
31 March to 11
April 2014,
back-to-back
with the
High-Level Event
on the Overall
Review of the
Implementation
of the Outcomes
of the World
Summit on the
Information
Society
(WSIS+10).
The agreements
were signed by
ITU
Secretary-General
Dr Hamadoun I.
Touré and the
Egyptian
Minister of
Communications
and Information
Technology, Atef
Helmy, at
Friday’s session
of the Council
plenary.
Mr Helmy said
Egypt was
honoured to have
been entrusted
with the task of
hosting the two
events and would
do its utmost to
ensure their
success.
Report on
the preparations
for WTDC-14
Prior to the
signing, the
Council took
note of the
report by the
Director of the
Telecommunication
Development
Bureau (BDT) on
the preparations
for WTDC-14
(Document
C13/34(Rev.1).
Presenting the
report, Philippe
Metzger, Deputy
to the Director
of BDT informed
the Council that
at the
secretariat
level, an inter-sectorial
group had been
set up to
coordinate the
preparations.
The group held
its first
meeting in
February 2013,
and continues to
meet on a
regular basis.
Representatives
of all three
Sectors and from
departments of
the General
Secretariat are
working together
to ensure an
efficient and
effective
preparatory
process.
Revised
draft Budget for
2014-2015
The Standing
Committee on
Administration
and Management
(ADM) continued
its discussions
on a revised
draft Budget
(Document
C13/DT/4, draft
version 2),
which
incorporates all
the mandatory
expenses of the
Union as
requested by a
previous plenary
meeting.
Key
points
The total
additional
expenses amount
to CHF 10.567
million and
cover the
estimated cost
of WRC-15 and
RA-15 of about
CHF 5 million,
as well as
staff-related
expenses of CHF 5.567 million.
- These additional costs represent a deficit of CHF 10.567 million as shown in version 2 of the draft budget for 2014-2015.
- Several councillors reiterated their gratitude to the ITU secretariat for preparing the revised draft Budget and for presenting previous drafts in a transparent manner through regular consultations with some Member States. The ITU secretariat’s considerable efforts in achieving savings through efficiency measures was recognized and emphasized.
- Some councillors highlighted the importance of staff as the greatest asset of the Union, adding that staff should not therefore be adversely affected by savings.
- Other main concerns expressed by councillors include the following: savings must be made from all Sectors, WRC-15 should take place as planned, and the implementation of efficiency measures should be continued bearing in mind the priorities of the Union.
- Few councillors are of the opinion that the 2014-2015 budget must be balanced without withdrawal from the Reserve Account.
- The ITU secretariat clarified that CHF 5.567 million, which corresponds to staff-related expenses, could be included in the budget and compensated through savings and efficiency measures. However, following all the serious efforts that it had made in exhausting the possibilities to further reduce the budget, the ITU secretariat will not be able to absorb the cost of WRC-15 in the 2014-2015 budget. It was, therefore, requested that CHF 5 million be withdrawn from the Reserve Account since WRC-15 had not been included in the Financial Plan for 2012-2015.
- The ITU secretariat reminded councillors about Article 27 of the Financial Regulations, which stipulates that withdrawals from the Reserve Account may be made to balance the budget, noting the requirement to maintain the level of the Reserve Account at a minimum of 6 per cent. The Reserve Account balance as of 31 December 2012 amounts to CHF 28.2 million, which represents 16.9 per cent of the 2012 budget. Furthermore, the ITU secretariat confirmed that any unutilized amount withdrawn shall be returned to the Reserve Account as in the past.
- On the basis of these clarifications provided by the ITU secretariat, many Council Member States fully supported the withdrawal of CHF 5 million for WRC-15 from the Reserve Account while recognizing that the secretariat had been taking remarkable efforts to further reduce expenses, and that Member States must share the responsibility with the Union in ensuring that all activities, decisions and resolutions made are implemented accordingly.
Report by
the Chairman of
the Council
Working Group on
Financial and
Human Resources
Bruce Gracie
(Canada),
Chairman of the
Council Working
Group on
Financial and
Human Resources
(CWG-HR),
presented the
group’s report
featuring
deliberations
from its
meetings held on 5 and 6
February 2013
(Document
C13/13).
Key
points
The issues
presented in the
report and the
corresponding
proposed actions
are as follows:
- Ethics function in ITU.
- Amendments to the Financial Regulations and Financial Rules.
- Outcomes of WTSA-12 and WCIT-12 with financial implications.
- Follow-up to the first report of IMAC.
- Review of the recommendations from the External Auditor.
- Consideration of the draft biennial Budget of the Union for 2014-2015 (with two contributions from the Russian Federation).
- Simplification and harmonization of business practices.
- Follow-up on Council discussions and on Plenipotentiary Conference decisions related to Sector membership.
- Report on the implementation of the Human Resources Strategic Plan and Resolution 48.
- Statement from the Staff Council.
Standing
Committee
reaches
agreement on
draft Budget for
2014-2015
Further
discussions on
the revised
draft Budget
continued on
Friday
afternoon. At
the request of
the ADM
Committee during
its morning
meeting, another
version of the
draft Budget was
presented by the
ITU secretariat,
following
extended
consultations
with some
councillors.
Key
points
- The total revised draft Budget amounts to CHF 331.055 million for the biennium, broken down as follows:
- 2014: CHF 166.311 million.
- 2015: CHF 164.744 million.
- WRC-15 and RA-15 are included in the revised draft Budget.
- For the 2014-2015 biennium, the Council is to grant the Secretary-General the necessary flexibility to compensate overspending in categories 1 and 2 (staff costs) from savings in categories 3 to 9 (non-staff costs), and effecting the necessary transfers, if required, in accordance with Financial Rule 6.1.
- The Council is to authorize the Secretary-General to withdraw CHF 4 million from the Reserve Account in accordance with Article 27 of the Financial Regulations to fund, within the budgeted period, the agreed programme of activities which include WRC-15 and RA-15 (not initially in the Financial Plan for 2012-2015).
- No additional withdrawals from the Reserve Account will be authorized during the 2014-2015 biennium.
- The ITU secretariat is encouraged to continue implementing further efficiency measures and any surplus from the biennial regular budget or from the Reserve Account withdrawal shall be transferred to the ASHI Fund.
- The Council is to authorize the Secretary-General to withdraw CHF 4 million from the Reserve Account on 1 January 2014 to set up the ASHI Fund as a first step towards addressing the unfunded long-term liabilities.
- The ITU secretariat and the Council Working Group on Strategic and Financial Plans are encouraged to make every effort to present a balanced budget when developing the plans. Also, the ITU management shall bring to the attention of the membership any of its decisions that may have a financial impact which may likely affect such a balance.
- Many councillors expressed their thanks and applauded the ITU secretariat for its considerable efforts in addressing the various concerns on the draft Budget and at reaching a “compromise” document.
- Other issues highlighted by some councillors include: appreciation for the creation of ASHI funds, the need to incorporate all prioritized activities into future financial plans to avoid encountering a similar situation to what this Council session has faced and continuation of the ITU secretariat’s efforts in applying efficiency measures to increase savings and reduce costs.
Next
step
ADM Committee
will present to
the plenary a
slightly revised
budget document
and a draft
resolution on
the budget for
2014-2015
(Document
C13/DT/8) and
will recommend
their approval.
Not an official
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