Programme Cooperation Agreement 2012 – 2013

11.2.1 Actual funding versus budget Table 3 shows GRID-Arendal´s actual funding 2012-13 versus budget. It must be noted that planned and actual funding varies as larger programmes can develop slower or faster than expected.

Table 3: Overview of GRID-Arendal´s actual funding 2012-13 versus budget (MNOK)

11.2.2 Expenditures Table 4 below reveals that project-related expenditures in 2012-13 totaled MNOK 104.7, inclusive of project activities not covered by the Programme Cooperation Agreement 2012-13 between MFA and GRID-Arendal. Figure 3 graphically displays expenditure categories. The most significant is personnel costs, which represent 59% of the total (or MNOK 61.8) and are generated from time bookings of employees and long-term consultants against projects, inclusive of a mark-up to cover overheads. Expenditures related to subcontracted services, travel and associated project expenses (‘Other’) are based on actual costs plus the 13% mark up to cover overheads. It should be noted that, while these costs are charged at standard rates, actual expenditures might differ slightly (i.e. over- heads may not consistently equal 13%) generating a sur- plus in the financial accounts. External auditor KPMG has carried out an audit of the 2012-13 project expenditures.

The actual funding versus planned funding for the bien- nium varies negatively with MNOK 11.5 for UNEP fund- ing and MNOK 11.2 for other external funding. The major portion of this variance is related to delayed approval and start up on the GEF related projects in the Marine and the Capacity Building and Assessment Division. In the Africa Programme there were challenges to raise ex- ternal funding. On the other side, the promising develop- ment of the activities related to the Environmental Crime Programme has partly compensated for this shortfall in funding. The MNOK 3.5 negative funding variances in Communica- tions and Outreach are partly due to not UNEP covered overspending on the GEO 5 production and the cancella- tion in respect of the DTIE contract for the International Resource Panel. And as the Communication and Out- reach’s main task is to support the 3 other Programmes, larger projects from 2012 onwards were not placed in Communications and Outreach.

PROJECT EXPENDITURES 2012-13 (FIGURES IN KNOK)

TOTAL EXPENDI- TURES

PERSONNEL

DIRECT COSTS

12 184 13 791 2 830 15 817 13 866 3 296 61 784

4 572 9 122 1 517

16 757 22 913 4 348 26 680 26 223

Marine: UNEP Shelf (A)

Management of the Marine Environment (B)

Green Economy and Natural Resources (C)

10 864 12 357 4 504 42 937

Polar and Cryoshpere

Capacity Building and Assessment

7 800

Communications and Outreach

104 721

TOTAL

Table 4: Overview of GRID-Arendal´s total Work programme Expenditures 2012-13 (KNOK)

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