EXECUTIVE COUNCIL Eighteenth Ordinary Session January 2011 Addis Ababa, ETHIOPIA

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1 AFRICAN UNION UNION AFRICAINE UNIÃO AFRICANA Addis Ababa, Ethiopia P. O. Box 3243 Telephone: Fax: Website: www. Africa-union.org EXECUTIVE COUNCIL Eighteenth Ordinary Session January 2011 Addis Ababa, ETHIOPIA REPORT OF THE CHAIRPERSON ON THE ACTIVITIES OF THE COMMISSION COVERING THE PERIOD JULY TO DECEMBER 2010

2 EX. CL/621 (XVIII) Page- a TABLE OF CONTENT FOREWORD I. EXECUTIVE SUMMARY II. PEACE AND SECURITY Page i 1 8 III. REGIONAL INTEGRATION, DEVELOPMENT AND COOPERATION 36 III.1 Integration and Human Capital Development Education Science & Technology and ICT Health and Sanitation Human and Social Welfare Children, Youth and Sport 42 III.2 Integration and Development of Interconnectivity Transport and Tourism Energy Telecommunications, Posts and ICT Programme for Infrastructure Development in Africa 49 (PIDA) 5. Institutional Architecture for Infrastructure Development in 49 Africa (IAIDA) 6. European Union Africa Infrastructure Partnership 50 III.3 Integration and Climate Change and Sustainable Management of Natural Resources Agriculture and the Climate Change Challenge in Africa Environment and Natural Resources 52 III.4 Integration and Development of Financial Market and Assets Economic and Financial Crisis 54 III.5 Integration and Development of production capacities Agriculture (CAADP, Food crisis) Industrial and Mining Development 60

3 EX. CL/621 (XVIII) Page- b III.6 Integration and Trade capacity building 62 Page 1. The Development of Intra-African Trade Multilateral Trade Rules Negotiations (EPA,WTO) 64 III.7 Partnership and Relations with the World On-going Partnerships Representational Offices 71 IV. SHARED VALUES 92 IV. 1 Democracy, Elections and Governance 92 IV. 2 Human Rights 97 IV. 3 Humanitarian Affairs, Refugees and Displaced Persons 99 IV. 4 Gender and Development 101 IV. 5 Culture 103 IV. 6 Legal Matters (Legal architecture of the Union) 104 IV. 7 Communication and Information 110 V. STRENGTHENING THE INSTITUTIONS 111 V.1 The Commission: Institutional Strengthening: The AUC Institutional Capacity Building Programme 111 V.2 The Financial Institutions The advent of Financial Institutions: Lack of assertive political will delays the process 2. The absolute need to endow the AU with a statistics structure commensurate with its ambitions 3. Africa is under the obligation to identify innovative sources of financing to boost its economic and political integration process VI. CONCLUSION 119

4 Page i FOREWORD I am pleased to submit to the Executive Council and the Assembly my report covering the period July to December 2010, which is the sixth in the series since I took office at the helm of the African Union Commission. This report is intended to give a comprehensive account of the important activities carried out by the Commission since the last session of the Assembly held in Kampala, Uganda in July Since the July 2010 session of the Assembly, the Commission has continued to implement the programmes contained in the Strategic Plan , adopted in Sirte in July 2009, which is articulated around the following four pillars: Peace and Security; Integration, Development and Cooperation; Shared Values; and Strengthening the Institutions. The Commission wishes to note with particular appreciation, the cooperation it obtained from other relevant organs such as the Permanent Representatives Committee, which in Addis Ababa, always ensures that Member States lend their contribution to the monumental task of building the African Union. During the period under review, the Commission focused attention on activities for the consolidation of peace and security in the Continent, as evidenced by the sustained mobilization of the Peace and Security Council, which is an effective instrument of the Union for the prevention, management and resolution of conflicts and crises, that unfortunately, continue to plunge many African families into mourning and jeopardize the much needed development process in Africa. The Commission also made tremendous efforts to accompany the democratization process in Member States through its support to electoral processes and the fielding of observation missions to seven Member States since July I wish in particular to commend Guinea for being able to organize a presidential election in all transparency, at the end of which President Alpha Condé was declared the winner. I welcome him and once again extend to him my sincere congratulations. I also wish to commend the exemplary attitude of his opponent, Mr. Cellou Dalein Diallo, who magnanimously accepted the results declared by the country s competent organs. I hail the Guinean people who were able to freely and democratically express their will, after fifty-two years of democratic deficit since the country gained independence in I wish President Alpha Condé every success in the socio-economic development of Guinea. As we are all aware, the International Community, and in particular, the African Union, actively supported the electoral process in Côte d Ivoire, and even though Mr. Alassane Ouattara has been recognized the winner of the elections by the international community, the results were not accepted by all the parties, and hence the current stalemate. During the same period, the Commission worked above all towards the acceleration of studies on regional integration, particularly through the flagship projects for interconnectivity in infrastructure and energy, contained in the Programme for Infrastructure Development in Africa (PIDA), with sustained cooperation from the Regional Economic Communities (RECs) and with the support of our international partners. In the last few months, many initiatives and activities were also undertaken to promote

5 Page ii programmes relating to education, health, culture, science and technology, the promotion of trade and industrialization, and the continuation of negotiation of international agreements within the framework of Economic Partnership Agreements (EPAs), the World Trade Organization (WTO) and the African Growth and Opportunity Act (AGOA), as well as strengthening different partnerships with international partners and organizations. To mention but a few, the activities included the Pan-African University project which is progressing satisfactorily, the process for the establishment of centres of excellence and the promotion of academic mobility in the different regions, the promotion of maternal, infant and child health, the launch of the African Women s Decade ( ) with a roadmap, the promotion of the role of youths in the development process and many others. I would also like to highlight in particular the initiatives taken to promote the Comprehensive Africa Agriculture Development Programme (CAADP), which is an indispensable tool of the Union to develop agriculture and ensure food security in the Continent, with the objective of reducing hunger and poverty by half by the year 2015 as recommended by Goal No.1 of the Millennium Development Goals. In this regard, I wish to commend the 22 Member States that have already signed CAADP Compact and strongly urge all the others to do so as soon as possible in order to enjoy all the benefits of the Programme. I also welcome the unexpected, although still modest results of the last Cancun Summit. I am gratified by the first-rate preparation by African negotiators, brilliantly led, on behalf of Africa, by His Excellency Meles Zenawi, Prime Minister of the Federal Democratic Republic of Ethiopia. The Commission will do all that is possible to actively monitor the translation of these results into concrete action. The Commission invested significant efforts in the preparation of the theme of the present Assembly session, which is Towards Greater Unity and Integration through Shared Values. I am pleased to present the results of intensive reflections and consultations carried out mainly with experts from Member States, civil society, women s and youth organizations so that all our Member States can carry out in-depth consultations on the values that we share, and which should become the reference in our relations as well as in our interaction with the outside world. In recent months, the Commission actively prepared for and facilitated Africa s participation in major continental and international meetings on issues of crucial importance to the Continent such as the 2 nd Afro-Arab Summit held in Sirte, Libya, in October 2010, the G20 Summit in Seoul, South Korea in November 2010 and the 3 rd Africa-European Union Summit in Tripoli, Libya, in November The Summits provided opportunities for the Continent to express its willingness to promote partnerships with other continents in a spirit of openness and cooperation with all friends of Africa. In this regard, I wish to express our appreciation to the Great Socialist People s Libyan Arab Jamahiriya for hosting those two important Summits. I also thank South Korea for facilitating our participation and I fervently hope that France, which has assumed the helm of the G20, will further enable Africa to play its role and take its rightful place in this Forum. In conclusion, I wish to reiterate the total commitment of the Commission to promote internal good governance and constant improvement of our performance. Furthermore, we are committed to continuing to work closely with all Member States, the Union s Organs, the RECs as well as other stakeholders and our partners to ensure that the

6 Page iii objectives of the Union are attained under the best possible conditions, in conformity with the relevant decisions of its leadership. I have no doubt that I can count on the usual support of all our Member States, who will not relent in accompanying our efforts in this direction, through their multifarious contributions and in close coordination with all the other organs and actors on the ground. Jean Ping Chairperson of the African Union Commission

7 Page 1 REPORT OF THE CHAIRPERSON ON THE ACTIVITIES OF THE COMMISSION COVERING THE PERIOD JULY TO DECEMBER 2010 I. EXECUTIVE SUMMARY INTRODUCTION 1. This report covers activities carried out by the Commission during the period from July to December During that period, the Commission continued to execute relevant decisions on the continental integration programme and pursued the consolidation of peace and security on the continent, drawing inspiration from guidelines of the Strategic Plan adopted by the Assembly in July As we know, this Plan covers the following 4 strategic pillars: i) peace and security; ii) integration, development and cooperation; iii) shared values; and, iv) strengthening the institutions. In a bid to boost our efforts towards achieving set objectives, we greatly count on the full support of all Member States to mobilise sufficient budgetary resources for proper execution of these programmes. It is worth emphasising here the importance of Member States paying their contributions in due time, of mobilising extra-budgetary resources and above all of finding alternative sources of financing, in line with the Decision of the Assembly session in Kampala last July. 2. As I underscored in my last report, it is crucial for the Organisation to endow itself with predictable and substantial resources for attaining the objectives of its Strategic Plan. In fact, experience has shown that our Member States possess limited capacity in respect of fully financing programmes of the Union. Besides, it is implausible that most programmes of the Union are financed by external partners. The last Conference of Ministers of Finance held in Yaoundé in December adopted recommendations that deserve close attention so as to resolve, once and for all, this recurrent challenge of the Organisation. I hope that an appropriate solution will be found thereto. 3. The current Summit selected as theme: Shared Values: strengthening unity and integration in Africa. This subject is of great importance to our conception of how to build the African Union, in that our continent should perfectly master the common values that bind us together. In that regard, the Commission has undertaken intensive consultations to put together all relevant aspects on the subject. The outcomes of these consultations and reflections have been submitted to Union authorities for consideration and guidance during the Union s Assembly debate on 30 January 2011 on this theme.. 4. This report gives an overview, as detailed as possible, of the activities carried out as well as the outcomes and challenges faced with respect to the four pillars of the Plan mentioned above, namely: Peace and Security; Integration, development and cooperation; Shared values; Strengthening the institutions of the Union

8 Page 2 Peace and Security 5. During the period under review, a number of activities were organised within the context of the Year of Peace and Security, as well as of the follow-up and implementation of relevant decisions of competent AU institutions, in particular, those of the ordinary session of the Assembly of the Union in Kampala and of the Peace and Security Council (PSC). Laudable efforts and tangible results somewhat bolstered the strong trend towards implementing African solutions to African problems, while the conflicts map continues to present a mixed picture. 6. One of the highlights of the Year of Peace and Security was 21 September 2010, the International Day of Peace, proclaimed by resolution of the United Nations. I am pleased by the fact that most of our Member States took action in ownership of this initiative and mobilised available resources to that end. 7. The Commission took several other initiatives within the framework of the overall objective of Africa living in peace with itself and with the rest of the world. Among these initiatives, the following are worth mentioning: the AMANI AFRICA exercise and elaboration of an AU-RECs/Regional Mechanisms roadmap to complete the operational set-up of the Continental Peace and Security Architecture, with support from international partners, particularly the EU and United Nations; the 1 st Conference of State Parties to the Pelindaba Treaty on a nuclear-weapons-free zone in Africa; measures taken within the framework of combating terrorism, including finalisation of a model law intended to facilitate application, at national level, of relevant African and international instruments; and pursuit of AU Border Programme implementation. Similarly, the Commission spared no effort in resolving crises and conflicts which the continent faced and in consolidating peace where this was achieved. It also continued to work towards strengthening relations with international partners. 8. Concerning the African Peace and Security Architecture, considerable efforts were made by Organs established to facilitate its operationalization at various levels, including the Peace and Security Council, the African Standby Force and especially the AMANI AFRICA exercise, the continental early warning system with enhanced coordination between the Commission and regional mechanisms in RECs, and pursuant to the Memorandum of Understanding of 2008, the Panel of the Wise. In this same framework, and through joint efforts with Regional Mechanisms of RECs, an evaluation was conducted in Zanzibar last November and the results will guide the APSA implementation process. The report also mentions significant activities by the Commission in respect of preventing and combating terrorism, particularly with the appointment of a Special Representative for cooperation between Member States in efforts to counter terrorism on the continent, the elaboration of a model law for reference and the planned convening of a regional conference to harmonise means for combating this scourge that is a threat to various regions of the continent. During this same period, I commend the holding of the first Conference of State Parties to the Pelindaba Treaty in November 2010, which elected members of the African Commission on Nuclear Energy and selected South Africa as the headquarters of this institution.

9 Page 3 9. The report also underscores advances recorded in the area of social security reform under the leadership of the United Nations and with close involvement of regional organisations including the AU. Furthermore, this report gives an account of the follow-up by the Commission of recommendations of the Prodi Report on UN assistance to peace operations of the African Union, bearing in mind the vision of a strategic relationship between the UN and the AU. 10. Concerning activities to assist peace processes and conflict zones in Africa, the Commission continued its efforts, in close collaboration with actors in the Member States concerned. The report gives a full account of developments in the Comoros, Madagascar, Burundi, the Democratic Republic of Congo, Central African Republic, Niger, Cote d Ivoire, Liberia, Guinea Bissau, Guinea and Western Sahara. Furthermore, it analyses developments in the Horn of Africa and particularly in Somalia, the Sudan, as well as within the peace processes between Eritrea and Ethiopia and between Djibouti and Eritrea, by examining, in a general manner, the situation in the Horn of Africa and giving priority to the regional approach to promoting peace, security, cooperation and development in the region. Integration, development and cooperation 11. Under this pillar composed of three important aspects, namely integration, development and cooperation, the Commission took many initiatives during the period under review, emphasising on human capital in the development process in which education and culture constitute essential dimensions. In that regard, the Commission pursued actions inherent to the Plan of Action of the Second Decade of Education for Africa ( ), whose programmes for the harmonisation of higher education in Africa and the promotion of the Pan-African University flagship project which witnessed significant progress following decisions taken at the Kampala Summit concerning allocation of various faculties to regions. In the same vein, the Mwalimu Nyerere African Union Scholarship Scheme made significant progress with the submission of 100 applications for scholarships in African Universities with European Union financing, and scholarships in Indian Universities to be financed by India, for Master s and Doctoral level studies. This scheme places various university institutions in Africa in competition and enables greater academic mobility, which promotes integration through education. 12. The Commission, in coordination with RECs, continued with the programme on awards to deserving scientists and will organise, at this Summit, an award ceremony for scientists on a continental level. The goal, as stated in the report, is to promote competition in research on the continent as a crucial element for development. 13. The efforts of the Commission in the Health and Sanitation sectors continued with a sustained Campaign on Accelerated Reduction of Maternal Mortality in Africa (CARMMA). By the end of December 2010, 25 Member States had already launched the campaign at the national level. I commend this outcome and call upon all the Member States who have not yet done so to launch their campaign so as to put the actions agreed upon at the Kampala Assembly last July into practice.

10 Page The report also gives an overview of the actions taken to promote the welfare of the most vulnerable groups, such as old people and persons with disability, as part of the implementation of the Social Policy Framework adopted in Windhoek in October 2008 by the competent Ministers, as well as with regard to drug control and cross-border crime prevention, promoting labour and employment policies, migration and combating human trafficking, with particular emphasis on efforts towards the youth in conflict-emerging countries. The Commission is actively getting down to preparing the Theme of the June/July 2011 Assembly which is centred on the Youth. I seize the opportunity to call upon all the Member States to sign and ratify the African Youth Charter and take measures for its implementation. 15. In the fields of Infrastructure and Energy, the report gives an account of the Commission s efforts to implement, with Africa s partners, the Programme for Infrastructure Development in Africa (PIDA) and the Institutional Architecture for Infrastructure Development in Africa (IAIDA), while diagnosing the institutional arrangements for the existing infrastructure and focusing on the search for a common position on infrastructure priorities and the robust mobilisation of relevant resources so as to build a sound foundation for the implementation of PIDA. This search for consensus covers not only road, rail, maritime and air transport but also feasibility studies for the already identified transport corridors. 16. As regards to Energy, the report sets out the efforts made to enable access to energy, the security and efficiency of the energy infrastructures, the exploitation of renewable energies. It also gives an account of the main outcomes of the Conference of Energy Ministers of Africa held in Maputo in November. The recommendations of the Conference have been submitted to the decision-making bodies. 17. The report in addition gives an account of the harmonisation, under study, of the policies and regulations in the field of telecommunications and Information and Communication Technologies, and the outcome of the Conference of the Ministers in charge of the sector that was held in Abuja last August and which is being submitted to this session of the Assembly. The Conference particularly requested that a feasibility study be launched on the creation of an African Space Agency and the Commission has already taken steps to select a consultancy firm on the matter. Similarly, the Commission continues to support RASCOM and the Pan-African Postal Union (PAPU). 18. Furthermore, the report describes all the preparations carried out by the Commission for the Cancun Summit, in close collaboration with the Conference of African Heads of State and Government on Climate Change (CAHOSCC), under the dynamic drive of its Chairperson, Meles Zenawi, Prime Minister of Ethiopia. The results of Cancun will be submitted to the Assembly by the CAHOSCC. The Commission will endeavour to closely monitor the implementation of the Cancun decisions in the coming days. The report also highlights the activities carried out by the Commission for disaster reduction and water resource management, as well as the activities carried out in relation to the Great Green Wall project and cross-border forest management.

11 Page The report sets forth the debates of the G20 Summit held in Seoul in November 2010 and analyses their results in light of Africa s expectations. The Summit took important decisions contained in the Seoul Action Plan and dealt with the necessary reform of the international financial institutions, the need to fight against protectionism, to promote trade and investments. However, Africa must continue to demand an enhanced role and a fair place, worthy of its potential in the management of world affairs. 20. With regard to agriculture and the environment, the report describes the progress made in the implementation of the CAADP, the programme that should greatly contribute towards the realisation of MDG 1, that is, the cutting of famine and poverty in Africa by half by In this connection, I commend the 22 Member States that have already signed their CAADP Compacts and once more urge all those who have yet to do so, to sign them. 21. The report also points out the efforts carried out by the Commission for the implementation of the vision on the development of mining resources in Africa, as adopted by the first Conference of Ministers in charge of the sector in October It also describes the actions undertaken to implement the Declaration of the January 2008 Assembly on the industrial development of Africa. 22. In the field of trade, the report highlights the initiatives and actions undertaken for the development of intra-african trade, particularly the One Stop Border Post initiative to facilitate the trade flows among the various countries with the aim of combating corruption practices. The initiative is coupled with the drawing up of a model outline for the transit of goods, which also involves the development of regional infrastructures and the harmonisation of transit procedures, giving rise to a greater commitment from all the private sector stakeholders. The Conference of Trade Ministers that was held in Kigali, last October, considered in addition, all the crucial issues in the field, from EPA negotiations with the European Union to WTO negotiations. The report discusses the considerable efforts deployed by the Commission to facilitate the negotiations, through intense consultations with the Member States, the RECs and all the partners concerned. With regard to the EPAs, the strong cooperation between the Commission and the RECs is to be emphasised, which enabled a common negotiating position to be worked out through coordination meetings in Abuja and Lusaka over the past months, a position that was ratified by the Trade Ministers in Kigali. 23. As regards partnerships, the Commission continued to deploy efforts to strengthen existing partnership ties with the rest of the world, pursuant to the relevant decisions of the Assembly. The report gives an account of the activities undertaken during the past months, in the Africa-India, Africa-South America, Africa-South Korea partnerships, the Africa- China Forum, TICAD, AGOA, as well as the favourable results of the Africa-Arab and Africa-European Union Summits held in the Libyan Arab Jamahiriya in October and November, respectively. The report also describes the activities of the African Union representative offices in the major capitals of the world as well as the fruitful cooperation relations with the other international Organisations and Civil Society and Diaspora organisations.

12 Page 6 Shared Values 24. During the period under review, the Commission worked towards the preparation of the theme of this session of the Assembly, which is «Towards Greater Unity and Integration through Shared Values». In this regard, the Commission initiated fruitful meetings with the different components of African society, including Member States through their experts, the Civil Society, women, youth, with the participation of different organs of the Union such as PAP, ECOSOCC and the PRC. 25. At the same time, the Commission continued its efforts aimed at promoting the Union s architecture on democratic governance. In that connection and as the report indicates, measures were taken to promote the signing and ratification of the African Charter on Democracy, Elections and Governance in Member States, and in the RECs, as well as with other stakeholders in the drive to obtain the requisite number of ratifications for its entry into force with effect from January I call once again on all Member States to take the necessary steps in this direction, for, to date, only 30 Member States have signed and 7 have ratified the Charter. The Commission has also continued to promote the Draft Public Service Charter, which highlights the principles and values of public service and effective public administration. I am gratified that after painstaking preparations, this Draft is now submitted for the consideration and adoption of the present session of the Assembly. 26. As highlighted in the report, other activities were carried out in electoral process observation and monitoring in several Member States, in close collaboration with the RECs, namely in Rwanda, Sao Tome and Principé, Guinea, Côte d Ivoire, Burkina Faso, Tanzania and The Comoros. In the same context, the report reviews the orientation courses that the Commission continued to organize for African Union election observers with a view to strengthening their efficiency and harmonizing observation procedures and methods. At the same time and in collaboration with the RECs, programmes were continued in order to provide support and technical assistance to Election Management Bodies in Member States. 27. In addition, the Commission pursued action in support of national human rights protection institutions, in close coordination with the African Commission on Human and Peoples Rights (ACHPR). It should be noted that within the framework of coordination of efforts in this area, an African Human Rights Strategy was proposed by a technical meeting held in Banjul, The Gambia in August 2010, bringing together the actors concerned. The Strategy will be submitted as soon as possible to the organs of the Union for consideration, after appropriate consultations with Member States. 28. With regard to humanitarian affairs, the Commission continued its efforts to promote the ratification of the African Union Convention for the Protection and Assistance of Internally Displaced Persons. It should be noted that unfortunately, to date, only 29 signatures and 2 ratifications have been obtained. At this juncture, I urge all Member States concerned to do so as soon as possible.

13 Page On this same issue, the report provides an updated status of the ratification of about 40 treaties adopted by the OAU/AU. It reveals that to date, only 25 of these treaties have entered into force, which makes it incumbent on all Member States to take appropriate measures to implement their commitments relating to the legal instruments adopted by the Assembly of the Union. It should be pointed out once again that there is a need to harmonize ratification procedures in order to ensure that the treaties adopted by the Assembly can be ratified within reasonable timeframes and actually implemented, thus strengthening the Union s credibility. 30. During the period under review, special mention should be made of the official launching of the African Women s Decade ( ) in Nairobi, Kenya on 15 October It was an extremely colourful ceremony with a number of related activities such as the Conference of Ministers in charge of Gender, the commemoration of the 10 th Anniversary of United Nations Security Council Resolution 1325, the popularization of the Protocol to the African Charter on Human and Peoples Rights on the Rights of Women in Africa, as well as other side events. 31. In the area of promotion of culture, it should be noted that the 3 rd Conference of African Ministers of Culture was held in Abuja, Nigeria in October 2010, on which occasion the African Cultural Renaissance Campaign was officially launched and the need for the return to Africa of the cultural goods looted in the course of its history was emphasized. Strengthening the Institutions of the Union 32. This report relates efforts invested in the last few months to strengthen the capacities of the Commission to address its ever-increasing missions. In this regard, as described in the last part of the report, the institutional transformation continues, with particular emphasis on the reforms carried out in diverse areas such as: strategic planning and budgeting, human resource management, proposed structural reform, financial management and budget performance, as well as the improvement of conference and audit services. 33. All these activities are intended to promote good governance within the organization, through the establishment of management mechanisms and tools that guarantee transparency, effective human and financial resource management and accountability. The Commission continues to review, on a regular basis, the implementation status of the programmes adopted and the activities undertaken by the Union at its weekly Tuesday meetings. On such occasions, the Commission issues directives, as appropriate, to all its internal structures on the way forward. 34. Reforms under the management and audit systems improvement programme, such as the IMIS and AMERT projects, continue and will help in the assessment of the output of the various structures, and thus contribute greatly to reassuring all the Union s partners so that they may be able to provide direct budget support to our programmes rather than the current one-off contributions to projects or specific activities. The Partners Pooled Fund Arrangement is at an advanced stage of negotiation, and can be concluded soon between the partners and the Commission. I seize this opportunity to once again express our most

14 Page 8 profound gratitude to all Member States and our partners who have accompanied us in the execution of several programmes, thus contributing to the harmonious and coherent implementation of the Strategic Plan. On our part, we are ever committed to the transparent and efficient management of the funds made available to us. 35. I am also pleased with progress in the construction of the New Conference Centre and Office Complex Project, completion of which is slated for the end of 2011, thanks to the generous donation of China, to whom we reiterate our profound gratitude. We hope that this large complex will be inaugurated at the 18 th Ordinary Session of the Assembly in January Furthermore, the project for the construction of a building at the Headquarters of the Commission to house the Peace and Security Department, generously financed by the Government of Germany, to whom I once again express our profound gratitude, will start sometime this month. I would also like to report that the Five Star Hotel project on the site is progressing at a satisfactory pace. 36. Lastly, the report highlights the thorny issue of the search for alternative sources of financing. The Ministers of Finance met in an extraordinary session in Yaoundé, Cameroon last December, and once again made recommendations for consideration by the supreme organs of the Union. I again invite Member States to give serious consideration to this issue so as to find credible and sustainable resources for the Union, whose responsibilities continue to increase while the resources placed at its disposal to discharge them are extremely limited. II. PEACE AND SECURITY INTRODUCTION 37. The period under review was marked by a number of activities undertaken in the context of the Year of Peace and Security, and by the monitoring and implementation of the relevant decisions of the competent organs of the AU, particularly those of the Ordinary Session of the Assembly of the Union held in Kampala, and the Peace and Security Council (PSC). The strong tendency to implement African solutions to African problems was somehow reinforced thanks to the commendable efforts deployed and the tangible results achieved, even though the scenario of conflicts continues to project a contrasted landscape. 38. With regard to the Year of Peace and Security, a retreat was organised in Cairo, Egypt, from 30 to 31 August 2010, with the participation of senior officials, as well as Special Envoys and Representatives of the AU, Regional Economic Communities (RECs)/Regional Mechanisms (RMs), for Conflict Prevention, Management and Resolution the United Nations, the League of Arab States, the European Union (EU), the International Organisation of the Francophonie (OIF) and other AU partners. The retreat offered a unique opportunity not only to reflect on the challenges faced in everyday actions to achieve peace on the continent, but also to agree on the modalities of closer collaboration among all the concerned stakeholders, at both strategic and operational levels. I would like to express my sincere thanks to the Egyptian Government for all the facilities offered

15 Page 9 for the smooth running of the retreat, the second edition of which will also be held in Cairo. The efforts undertaken in furtherance of the Year of Peace climaxed on 21 September, with the celebration of the International Day of Peace. 39. Many other initiatives were undertaken by the Commission in pursuance of the overall objective of an Africa at peace with itself and with the rest of the world. It is important to mention, inter-alia, the conduct of the Amani Africa Exercise and the drawing up of the AU-REC/RMs roadmap to complete the operational establishment of the Continental Peace and Security Architecture, with the support of international partners, particularly the EU and the United Nations; the holding of the 1 st Conference of States Parties to the Pelindaba Treaty on the African Nuclear Weapon-Free Zone; the measures taken to combat terrorism, including the finalisation of the model law intended to facilitate the application, at national level, of the relevant African and international instruments; and the continued implementation of the AU Border Programme. Similarly, the Commission spared no effort to resolve the crises and conflicts in the continent and consolidate peace where it has been achieved. It also continued to work towards the strengthening of relations with the international partners. 40. Advances have undeniably been made in the consolidation of the normative and institutional framework of the AU and also in the operational action for conflict prevention and resolution, as illustrated in the following paragraphs. A lot however remains to be done, since Africa has continued to be faced with the scourge of conflicts and several other related problems, resolution of which will determine the long-term stability of the continent and the success of the socio-economic development initiatives. 1. OPERATIONALIZATION OF THE AFRICAN PEACE AND SECURITY ARCHITECTURE (APSA) 41. The operationalization of the African Peace and Security Architecture (APSA) has continued to be one of the main priorities of the Commission. A number of steps have been taken in this respect. a) Peace and Security Council (PSC) 42. The Peace and Security Council, which has been operating since March 2004, plays a central role in the overall efforts to promote peace, security and stability on the continent. During the period under review, the PSC convened eighteen (18) meetings, addressing a variety of issues. The PSC also undertook a field visit to the Sudan, to assess the situation on the ground ahead of the self-determination referendum scheduled in January 2011 and to reiterate AU s support to the ongoing processes in that country. Furthermore, the PSC convened its 3 rd annual consultative meeting with the United Nations Security Council, in New York, in July 2010, with the EU Peace and Security Committee, in Brussels, on 18 October 2010, and held its inaugural meeting with the Arab League Peace and Security Council in Cairo, on 18 and 19 December A separate report on the Activities of the PSC and the State of Peace and Security in Africa is submitted to the Assembly of the Union.

16 Page 10 b) African Standby Force (ASF) 43. Efforts have also continued with respect to the operationalization of the ASF. In this respect, it is worth mentioning the successful conduct of the EXERCISE AMANI AFRICA, in Addis Ababa, from 13 to 29 October The objective was to test the procedures related to the deployment of the ASF and the capacity of the Commission to undertake multi-dimensional operations. The Ministers of Defense and Security and Safety also held their 4 th meeting in Addis Ababa, on 7 December The meeting was preceded by the 7 th meeting of the African Chief of Defense Staff and Heads of Security and Safety Services. A separate report on the outcomes of these meetings is submitted to Council. c) Continental Early Warning System (CEWS) 44. Steps have been taken towards the full operationalization of the Continental Early Warning System (CEWS). As part of the Peace and Security Partnership of the Africa-EU Strategy and Plan of Action, the Commission has continued to benefit from the technical support of the European Commission Joint Research Centre (JRC), in Ispra, Italy, with which a license agreement was signed to allow the AU to use and modify IT modules in the development of data collection and analysis software. The JRC support will run until Furthermore, the 6 th and 7 th technical meetings between the AU and the Early Warning Systems of the RECs/Regional Mechanisms (RMs) took place in Gaborone, Botswana, and Tunis, Tunisia, from 1 to 2 August and 1 to 3 December 2010, respectively. These meetings, which were hosted by SADC and CEN-SAD, are part of the overall efforts to enhance coordination and collaboration between the AU and the RECs/RMs towards the full operationalization of the CEWS. d) Panel of the Wise 45. At its session in Kampala, the Assembly endorsed the proposals made by the Commission regarding the appointment of new members of the Panel of the Wise, as the mandate of those elected in January 2007 was coming to an end in December 2010, as well as the recommendations for the strengthening of the capacity of the Panel through the establishment of a Group of Friends of the Panel. From 12 to 14 December 2010, the Panel convened its 9 th meeting in Algiers, during which it reviewed and adopted its strategic plan for the period , as well as its report on justice, reconciliation and impunity. A separate report on the activities of the Panel is attached to the Report of the PSC on its Activities and the State of Peace and Security in Africa. The meeting in Algiers was also an opportunity to inaugurate the newly appointed Panel and the Friends of the Panel, all of whom were in attendance, along with myself and the Commissioner for Peace and Security, as well as a number of other senior officials and experts. e) Memorandum of Understanding between the AU and the RECs/RMs 46. Progress has continued to be made in the implementation of the Memorandum of Understanding (MoU) on Cooperation in the Area of Peace and Security between the AU and the RECs/RMs, signed in Addis Ababa on 28 January The MoU provides for the

17 Page 11 establishment of Liaison Offices to facilitate coordination and cooperation between the parties. NARC is in the process of establishing its Liaison Office, which will bring to eight the number of RECs/RMs Liaison Offices to the AU. On its part, the Commission launched, from May to August 2010, a study to inform the establishment of AU s Liaison Offices within the RECs/RMs. The Commission expects to commence the process of setting up these Offices in April 2011, once the required funding has been mobilized from the Africa Peace Facility (APF). f) Assessment of the African Peace and Security Architecture (APSA) 47. During the consultative meeting held in Akosombo, Ghana, on 10 and 11 December 2009, between the AU, RECs/RMs and the EU, it was agreed that the AU and the RECs/RMs would conduct an assessment of progress achieved in the operationalization of APSA and the challenges ahead, with a view to identifying further APSA-related priorities and capacity needs. The assessment was undertaken from July to October The final report of the assessment was submitted to the meeting of Chief Executives of the AU, RECs/RMs and senior officials of the EU, held in Zanzibar, from 4 to 8 November The findings of the assessment were used as a basis to prepare an Indicative Roadmap that will provide strategic guidance for the full operationalization of the APSA and serve as a reference document for future support by AU partners, including under the second APF. 2. IMPLEMENTATION OF THE AU BORDER PROGRAMME (AUBP) 48. Council will recall that, at its Kampala Session, it endorsed the Declaration on the AU Border Programme (AUBP) and the Modalities for the Pursuit and Acceleration of its Implementation, as adopted by the 2 nd Conference of African Ministers in charge of Border Issues, held in Addis Ababa on 25 March In that Declaration, Council, inter alia, requested the Commission, on the basis of the responses from Member States on the status of their borders and other relevant factors, to make, at the latest in January 2011, recommendations on the extension of the 2012 deadline or on the granting of individual exemptions for the completion of the delimitation/demarcation of African borders. It should be pointed out that, in the Memorandum of Understanding on the Conference on Security, Stability, Development and Cooperation in Africa (CSSDCA), adopted in Durban, South Africa, in July 2002, Member States committed themselves to complete the delimitation/demarcation of their borders where such an exercise has not yet taken place, by During the period under review, the Commission has continued to urge the Member States that have not yet done so to respond to the questionnaire on the status of their borders. So far, only twenty-four countries have provided the required information. I would like, once again, to call on the Member States that have not yet done so, to respond to the questionnaire, for without this information, it would be impossible for the Commission to have a precise view of the progress made in the delimitation/demarcation of African borders and identify and mobilize the requisite financial and technical resources needed to delimit and demarcate African boundaries. Against this background, the Commission will submit its recommendations on the postponment or otherwise of the 2012 deadline in June

18 Page , in the hope that by then it would have obtained the required information from Member States. 50. In the meantime, the Commission has carried out a number of activities in pursuance of the AUBP Declaration. It has developed a detailed work plan and budget to cover the period Additionally, it continued with its sensitisation campaign by participating in a photo exhibition in New York in August 2010 to popularise its work at the international level. It also accelerated its efforts to establish the AU Boundary Information System (AUBIS) and went on joint AUBP-GTZ missions to assess progress in delimitation and demarcation exercises in pilot countries in West, Southern and East Africa. Furthermore, preparations are underway for the convening, in early 2011, of a special Conference of Ministers in charge of Border Issues to adopt the draft Convention on Cross-border Cooperation, which was reviewed at a meeting of experts held in Bamako in November POST-CONFLICT RECONSTRUCTION AND DEVELOPMENT 51. The Commission has continued to work on post-conflict reconstruction and development, through assessment missions to countries emerging from conflicts, sensitization of partners and Member States for them to provide the required support, and exchange of experiences. As part of these efforts, the Commission organized a workshop on the lessons learnt from Liberia s Governance, Economic and Management Assistance Programme (GEMAP), in Freetown, Sierra Leone, from 16 to 19 August The workshop, which brought together a number of African countries emerging from conflicts and partner institutions, provided a platform for the countries concerned to examine the relevance of GEMAP to their own situations, as well as lessons to be learned from the Liberian context. 4. REVIEW OF INTERNATIONAL CIVILIAN CAPACITIES 52. On 8 December 2010, the Commission and the United Nations Secretariat organized, in Addis Ababa, a regional consultation on the Review of International Civilian Capacities. The consultation was organized as part of the Review launched by the UN Secretary-General to improve the international response to countries emerging from conflict. It is built on the premise that sustainable peace-building requires national ownership, the development of national capacities and the empowerment of people affected by conflict. Significantly, today s peace operations involve civilian experts to address the host country s immediate needs and longer term capacity development requirements. One example of this is the development of the civilian dimension of the ASF. To guide this process, the Secretary-General has appointed a Senior Advisory Group chaired by former Under Secretary-General for Peacekeeping Operations Jean-Marie Guehénno. 53. The meeting, which was addressed by the Commissioner for Peace and Security, provided an opportunity to discuss the needs and challenges of countries emerging from

19 Page 13 conflict and the way in which civilian capacity is generated to address these needs. The ideas generated will feed into the Review and help shape the recommendations of this important undertaking, to improve the international response to countries emerging from conflict. I welcome and support this process, which will tremendously assist the AU in the development of the civilian dimension of the ASF and the provision of support to countries emerging from conflict. 5. PREVENTION AND COMBATING TERRORISM 54. At its Kampala Session, the Assembly of the Union, in Decision Assembly/AU/ Dec.311(XV) on the Prevention and Combating of Terrorism, expressed serious concern over the worsening of the scourge of terrorism and the threat posed by this situation. The Assembly underscored the need for renewed efforts and increased mobilization and, in this respect, requested the Commission to expeditiously submit to the PSC concrete recommendations aimed at strengthening the effectiveness of Africa s action in the prevention and combating of terrorism. 55. As a follow-up, the Commission submitted a report to the 249 th meeting of the PSC, on 22 November 2010, outlining a number of recommendations based on relevant AU and international instruments, including the July 1999 Convention on the Prevention and Combating of Terrorism and its 2004 Protocol, as well as on the 2002 Algiers Plan of Action. The Commission also seized the opportunity to update the PSC on the initiatives it has taken to further the fight against terrorism. In this respect, I would like to highlight the appointment, in October 2010, of Mr. Francisco Madeira, formerly the AU Special Envoy in the Comoros, as the AU Special Representative for Counter-Terrorism Cooperation and the new Director of the African Centre on Research and Study on Terrorism (ACRST). Furthermore, the Commission took a number of steps to follow-up on the decisions of the AU regarding the prohibition of the payment of ransom to terrorist groups, endeavoring to mobilize the broadest support possible from AU partners, for the United Nations to initiate steps for the elaboration of an internationally-binding legal instrument on this subject, as part of the overall efforts to cut-off the sources of funding of terrorism. Finally, and as part of the implementation of the 2002 Plan of Action, the Commission elaborated an African Model Law on the Prevention and Combating of Terrorism, which was presented to, and discussed by, a meeting of experts from Member States, held in Algiers, on 15 and 16 December On its part, the PSC welcomed the various measures taken by the Commission to enhance the effectiveness of Africa s response to the scourge of terrorism, and encouraged the Commission to pursue and intensify its efforts, including the elaboration of an African arrest warrant for persons charged with or convicted of terrorist acts. The PSC requested the Commission to convene, in the course of 2011, regional conferences aimed at better assessing the threat of terrorism in the different regions of the continent, further sensitizing Member States on the AU and international instruments on terrorism, and articulating comprehensive regional action plans. The PSC also called on Member States that have not yet done so to urgently take the steps required to become parties to the 1999 Convention and its 2004 Supplementary Protocol, as well as to relevant international