ANNUAL PERFORMANCE GOAL 3 — Secure and Stable Financial and Energy Markets.
I/P: Secure Energy Supplies
INDICATOR: World Emergency Oil Stocks
Output
JUSTIFICATION: Oil is the major energy import for the U.S. and an adequate supply is key for the U.S. and global economies. Increasing world oil stocks increases ability to withstand possible oil shocks.
FY 2006 PERFORMANCE
Target
International Energy Agency (IEA) and non-IEA Emergency oil stocks at or above FY 2005 stock levels equivalent to 114 days of imports.
Results
115 days of import coverage.
Rating
On Target
Impact
Healthy oil stock allowed for a robust response to oil supply disruptions caused by Hurricane Katrina, calming markets ensuring continued supplies of oil.
PERFORMANCE DATA
Data Source
International Energy Agency data.
Data Quality
(Verification)
International Energy Agency data are publicly available and reviewed annually by economics officers with the Department of State’s Bureau of Economic and Business Affairs.
PAST PERFORMANCE
2005
International Energy Agency members held stocks of 114 days of imports, prior to emergency release of stocks to counter supply disruptions of Hurricane Katrina.
2004
IEA members held stocks of 113 days of imports.
2003
IEA stocks were 116 days of imports. China (a non-IEA member) actively engaged with the IEA, APEC, and the United States to create emergency oil stock reserves and has formulated a plan for holding significant stocks.
INDICATOR: Energy Sector Management Capacity
Output
JUSTIFICATION: This indicator examines whether countries are capable of managing the energy sector to achieve greater energy efficiency.
FY 2006 PERFORMANCE
Target
357 energy institutions with improved capacity to reform and manage their sector.
95 energy policy reforms (e.g. decrees, policies, laws, technical standards etc.) drafted as a result of USAID programs.
58 energy policy reforms adopted as a result of USAID programs.
15 energy policy reforms implemented as a result of USAID programs.
Results
357 energy institutions with improved capacity to reform and manage their sector.
74 energy policy reforms drafted as a result of USAID programs.
29 energy policy reforms adopted as a result of USAID programs.
31 energy policy reforms implemented as a result of USAID programs.
Rating
On Target
Impact
Sound energy policies and efficient, capable energy institutions are crucial structural elements for development.
PERFORMANCE DATA
Data Source
Preliminary result data from USAID operating units.
Data Quality
(Verification)
The Agency’s performance data are verified using Data Quality Assessments (DQA), and must meet five data quality standards of validity, integrity, precision, reliability and timeliness. The methodology used for conducting the DQAs must be well documented by each operating unit. (For details, refer to USAID’s Automated Directive System [ADS] Chapter 203.3.5, http://www.usaid.gov/policy/ads/200/203.pdf).
PAST PERFORMANCE
2005
Energy institutions with improved capacity to reform and manage their sector: 337.
Energy policy reforms drafted as a result of USAID programs: 87.
Energy policy reforms adopted as a result of USAID programs: 53.
Energy policy reforms implemented as a result of USAID programs: 11.
The indicator was changed effective 2005 in order to more specifically measure impact, as the previous wording of “interventions” was judged to be too general. This explains the decrease in numbers between the 2004 baseline and 2005.
2004
Baseline:
Energy institutions with improved capacity to reform and manage their sector: 216.
New energy policy interventions accomplished as a result of USAID programs: 183.
2003
N/A.
I/P: Stable Financial Markets
INDICATOR: Percentage of Debt Crisis Countries on International Monetary Fund (IMF)
Programs Successfully Reforming
Outcome
JUSTIFICATION: Successful completion of reform programs is key to nations achieving long-term financial stability.
FY 2006 PERFORMANCE
Target
60% of countries facing financial crisis that have sought and received Paris Club sponsored debt relief are successfully implementing economic reforms that will promote long-term financial stability.
Results
A total of 84% of countries receiving help from the United States and the international community to overcome financial crises are successfully implementing economic reforms that promote long-term financial stability.
As of September 30, 2006, 69 countries facing financial crises had active Paris Club agreements. Of these, 36 countries were successfully implementing an IMF-sponsored reform program and an additional 22 countries had completed their reform programs. A total of 11 countries had abandoned their IMF program and were not pursuing sound macroeconomic policies. This result can be explained, in part, by the benign global economic environment that has helped to improve macroeconomic performance, reducing the risk of financial crises and generally making it easier to comply with IMF program goals.
Rating
On Target
Impact
U.S. Government debt relief program has provided effective leverage to encourage countries in financial crisis to adopt solid fiscal and monetary policies that have resulted in individual country and international financial stability.
PERFORMANCE DATA
Data Source
International Monetary Fund and Paris Club.
Data Quality
(Verification)
Information is publicly available and is validated by economics officers with the Department of State’s Bureau of Economic and Business Affairs. Results are based on the percentage of countries which have a) active agreements with the “Paris Club” of major creditor nations, and b) an active International Monetary Fund economic reform program or have successfully graduated from one.
PAST PERFORMANCE
2005
83% of countries facing financial crisis that sought and received Paris Club sponsored debt relief are effectively following or have successfully completed an IMF program. (Based on IMF and Paris Club status as of September 30, 2005).
2004
78% of 69 countries with an active Paris Club agreement were successfully reforming.
2003
74% of 73 countries with an active Paris Club agreement were successfully reforming.
