The Fifth Committee (Budgetary and Administrative) heard today how the United Nations had sought to manage the costs of its far-flung peacekeeping missions, for which a budget of $8.25 billion has been proposed for 2016/17, down fractionally from the 2015/16 period.

Atul Khare, Under-Secretary-General for United Nations Field Support, discussed how the Department of Field Support had been building on the foundations laid by the Global Field Support Strategy and following up on the recommendations of the High-Level Independent Panel on Peacekeeping Operations, finding efficiencies in such areas as fuel, facilities and air travel.

Mr. Khare made his comments during a debate in which speakers offered a range of views on cross-cutting peacekeeping issues, as well as on the 2014/15 budget performance and 2016/17 budgets of several peacekeeping operations and the United Nations support account for them.

Introducing the Secretary-General’s reports on those matters, Bettina Tucci Bartsiotas, Assistant Secretary-General and Controller, said that, for 2016/17, $8.25 billion was being proposed for peacekeeping, down 0.3 per cent from a year earlier.  Savings made from significant reductions in operational and civilian personnel costs were being offset by the need for additional resources for military and police personnel in several missions, she told delegates.

Introducing the report of the Board of Auditors, Salhina Mkumba, Chair of the Audit Operations Committee and Director of External Audit, described how assets worth $37.79 million had been left languishing despite a directive calling for such items to be put to use as soon as they were available.  He also told how aircraft had not been utilized for more than 51 per cent of contracted days, and noted an underutilization of unmanned aerial vehicle systems by United Nations missions in Mali and the Democratic Republic of the Congo.

Carlos Ruiz Massieu, Chair of the Advisory Committee on Administrative and Budgetary Questions (ACABQ), presenting that body’s assessment of the Board of Auditors report, said there had been systemic problems in the management of peacekeeping operations, as well as a need to reinforce internal controls.  He said there needed to be greater accountability in peacekeeping operations, particularly in terms of holding senior managers accountable.

Addressing the Fifth Committee for the first time, Heidi Mendoza, Under-Secretary-General for Internal Oversight Services, said the issue of sexual exploitation and abuse had remained one of the Office’s significant areas of concern.  In particular, she said, with a spike in reports of sexual exploitation and abuse in Central African Republic, her Office was working to ensure the appropriate presence of investigation staff on the ground.

Carole Wamuyu Wainaina, Assistant Secretary-General for Human Resources Management, introduced the Secretary-General’s report on Special Measures for Protection from Sexual Exploitation and Sexual Abuse, which provided an update on the Secretary-General’s efforts to implement more than 40 measures to address that issue, including robust new initiatives in the areas of prevention, transparency, accountability, risk management and remedial action.

Also speaking today were representatives of Thailand (on behalf of the “Group of 77” developing countries and China), Russian Federation, Switzerland, Costa Rica, Republic of Korea, Japan, United States, Norway, Egypt, Ethiopia, Cõte d’Ivoire and Serbia, as well as the European Union.

The Committee will reconvene at 10 a.m. on Wednesday, 11 May, to discuss improving the United Nations financial situation.

Board of Auditors Reports and Financial Statements

SALHINA MKUMBA, Chair of the Audit Operations Committee and Director of External Audit, introduced the report of the Board of Auditors on the financial reports and audited financial statements for the 12-month period from 1 July 2014 to 30 June 2015 on United Nations peacekeeping operations (document A/70/5 (Vol. II)).  While the Board noted improvements in some areas highlighted in its previous reports, he said there were still deficiencies in several areas.  There was no significant improvement in the level of variances between appropriation and expenditure across missions in both classes and subclasses of expenditure, he said.  Assets valued at $37.79 million awaited deployment for periods of more than six months, despite a directive that assets be put to use immediately after entering inventory.  Items valued at $4.57 million were not found during physical verification in three field missions.  Fifty-five per cent of items in the strategic deployment stock were more than a year old, including information and communications technology (ICT) worth $3.37 million prone to obsolescence within a short span of time.

Turning to air transportation, he said that aircraft were not utilized for more than 51 per cent of contracted days, with a persistent mismatch between available flight hours and those actually needed or used by missions.  The average utilization of unmanned aerial vehicle systems by the United Nations Multidimensional Integrated Stabilization Mission in Mali (MINUSMA) and the United Nations Organization Stabilization Mission in the Democratic Republic of the Congo (MONUSCO) ranged from 8 to 44 per cent of estimated utilization per month.  With regard to procurement and contracting, he said the Board continued to note instances of deviations from bid requirements or established tending processes, lack of competitive bidding and non-adherence to performance bonds and deficient contract management provisions.

He noted substantial progress in the Global Field Support Strategy in the five years until June 2015, but the end-state vision for each pillar of that Strategy had not been fully achieved.  It should have been possible for the Administration to coordinate priorities and plan its activities more effectively.  Articulating the end-state vision and a plan for implementing the Strategy in the initial stage would have facilitated the vision.  Key elements of human resources, such as workforce planning, succession management, filling vacancies, and a monitoring and accountability framework, had yet to be achieved, and there were delays in taking forward the supply chain management pillar.  While the Administration had stated that implementation of the strategy up to 2013/14 had resulted in net savings of $424.51 million, the Board found that some of the reported figures were only budget-based estimates, not actual realized benefits.

On ICT resources in peacekeeping operations, he said that 31 per cent of ICT assets valued at $243 million had exceeded their life expectancy of seven years, and that a large number of such assets were underutilized or laying idle.  Despite the Board’s recommendations, no market research or cost benefit analysis had been undertaken or documented in respect of any of 15 ICT standards, while Disaster Recovery and Business Continuity Plans scheduled for review in October 2013 had yet to be reviewed or updated.  Four of the six missions reviewed did not know whether cyber security penetration testing had been carried out, while details of ICT security training and awareness programmed in 2014/15 were unavailable.

BETTINA TUCCI BARTSIOTAS, Assistant Secretary-General and Controller of the Office of Programme, Planning, Budget and Accounts of the Department of Management, introduced the Secretary-General’s report on the implementation of recommendations of the Board of Auditors concerning United Nations peacekeeping operations for the financial period ended 30 June 2015 (document A/70/724).  During that 12-month period, high-priority areas included budget formulation and management, asset and inventory management, rotation of deployment stocks, monitoring of travel, right-sizing the air fleet and the review of requirements for unmanned aerial vehicle systems.  In procurement, the Board had recommended strengthening training, oversight and internal controls, and utilizing prompt payment discounts.  For the prior 12-month periods ended in 2013 and 2014, high-priority recommendations had included improvements in write-offs of assets, addressing delays in procurement, strengthening procedures for construction contracts and monitoring quick-impact projects.

She noted that all recommendations had been accepted by the Administration, and each one had been subjected to thorough review and scrutiny.  As of February 2016, 86 recommendations out of 144 had been implemented, and 47 were currently in progress.  The Administration remained confident that its commitment to fully implementing the Board’s recommendations in a timely manner would improve resource management and increase efficiency in the Secretariat.

CARLOS RUIZ MASSIEU, Chair of the Advisory Committee on Administrative and Budgetary Questions (ACABQ), presented the Advisory Committee’s report on the report of the Board of Auditors on the accounts of the United Nations peacekeeping operations and report of the Secretary-General on the implementation of the recommendations of the Board of Auditors concerning United Nations peacekeeping operations for the financial period ended 30 June 2015 (documents A/70/803), saying that, over the past years, the Advisory Committee had repeatedly expressed concern over the Board’s recurring recommendations.  That pointed to systemic problems in the management of peacekeeping operations and a need to reinforce internal controls.  Persistent shortcomings cited by the Board also pointed to the need for greater accountability in peacekeeping operations, particularly in terms of holding senior managers accountable.  The Secretary-General should implement, without delay, specific accountability measures, particularly in relation to budget formulation, air operations, travel management and procurement.  The Advisory Committee’s report took up a number of matters raised by the Board in further detail.

DHISADEE CHAMLONGRASDR (Thailand), speaking on behalf of the “Group of 77” developing countries and China, commended the Board for playing a critical role in ensuring the principles of fair presentation and full disclosure of financial statements of peacekeeping operations.   The Group had taken note that the current financial statements audited by the Board had been prepared and audited in accordance with International Public Sector Accounting Standards (IPSAS).  In that regard, the Group encouraged continued efforts to strengthen IPSAS-based accounting processes and train staff at the field missions.  Drawing attention to the number of recommendations made, he noted that the same areas continued to be the main challenges for the Administration.

The Administration should take practical measures to establish priorities and a timeframe in order to fully implement the Board’s recommendations in a timely manner, he said.  Implementation of some recommendations required substantive and often systematic action.  The Group had examined specific observations, comments and recommendations by the Board related to budget formulation, asset and financial management, strategic deployment stocks and the management of travel and air transportation.  Regarding the Global Field Support Strategy, the Group was concerned that, despite progress, there were shortcomings in its implementation.  Further, some areas, including enterprise risk management, provision of medical services and environmental protection, as well as waste management in the field missions, required urgent improvement.

SERGEY KHALIZOV (Russian Federation) said he was very concerned that tens of millions of dollars had been spent on drones without clear rules on their use or indicators of the results of their use.  Deployment of such technology in Mali and the Democratic Republic of the Congo showed a lack of adequate analysis of real needs and procurement.  The Organization lacked an adequate normative base for registering drone suppliers and the way that contracts for drones were fulfilled.  Such a situation did not correspond with General Assembly resolution 69/307 on cost-cutting issues and peacekeeping.  Hopefully, such an important subject would remain a focus of attention for the Board of Auditors, he said, also encouraging the Secretariat to promptly fulfil the Board’s recommendations.

Cross-Cutting Issues

Ms. TUCCI BARTSIOTAS, Assistant Secretary-General and Controller, introduced the Secretary-General’s overview report on the financing of the United Nations peacekeeping operations (document A/70/749), which contained the budget performance for 2014/2015 and the budget for 2016/2017, as well as the Secretary-General’s note on the proposed budget levels for peacekeeping operations and the budget for the Regional Service Centre at Entebbe for 2016/2017 (document A/70/754).  She said $8.3 billion had been invested in peacekeeping operations in 2014/15, with an overall budget implementation rate of 96.7 per cent.  For 2016/17, $8.25 billion were being proposed for peacekeeping, including the Regional Service Centre at Entebbe, the Global Service Centre and the support account.

Noting that that number represented a decrease of $22.3 million or 0.3 per cent compared to 2015/16, she said it reflected significant reductions in operational costs and civilian personnel costs in line with the reconfiguration and streamlining of operations, as well as downsizing and expected transition of missions.  Those reductions were offset by additional resources for military and police personnel in a number of missions.  Recalling that the General Assembly had, in its resolution 67/261, introduced deductions to the reimbursement of troop costs or non-functional major equipment, she said $163.7 million had so far been deducted for 2014/15 and the first three quarters of 2015/16.  The proposed budget of the Regional Service Centre in Entebbe for 2016/2017 amounted to $42 million, an increase of 18.1 per cent compared to 2015/16. 

CAROLE WAMUYU WAINAINA, Assistant Secretary-General for Human Resources Management, introduced the Secretary-General’s report on Special Measures for Protection from Sexual Exploitation and Sexual Abuse (document A/70/729).  She said the Secretary-General remained deeply distressed and anguished over allegations of sexual exploitation and abuse, particularly against children, by United Nations personnel, as well as by foreign military forces not under the command of the United Nations in the Central African Republic.  The number of new allegations increased last year, to 99 reported allegations for the United Nations system.  The report provided an update on the Secretary-General’s efforts to implement more than 40 measures set out in the last Special Measures report, and put forward robust new initiatives which built on existing efforts in the areas of prevention, transparency, accountability, risk management and remedial action.

Transparency had been strengthened by including in this year’s report country-specific information regarding allegations of sexual exploitation and abuse by uniformed peacekeepers, she said, adding that the Secretariat would also be making such country-specific information available on the website of the Conduct and Discipline Unit of the Department of Field Support.  Regarding remedial action, the Secretary-General had established a trust fund to support specialized services required by victims.  In the area of prevention, improvements had been made on vetting large numbers of uniformed personnel to avoid re-engaging the services of individuals with a history of prior misconduct. 

With regard to accountability, troop-contributing countries were being asked to expand the scope of investigative operations open to the United Nations, and were being encouraged to enter into bilateral agreements with the Office of Internal Oversight Services (OIOS) to carry out investigations on their behalf or in conjunction with them.  Mandatory risk mitigation measures would be implemented for missions considered to be at an increased risk of sexual exploitation and abuse.  The report highlighted 12 recommendations made by the High-Level External Independent Review Panel on Sexual Exploitation and Abuse by International Peacekeeping Forces in the Central African Republic, she concluded, adding that a comprehensive analysis of the recommendations was being conducted, and where possible, recommendations were being implemented. 

Mr. RUIZ MASSIEU introduced the Advisory Committee’s report on budget for the United Nations Interim Security Force for Abyei (UNISFA) for the 2016/17 period (document A/70/742/Add.16); the budget performances for the 2014/15 period and proposed budgets for the 2016/17 period of the United Nations Operation in Côte d’Ivoire (UNOCI) (document A/70/742/Add.13); the United Nations Organization Stabilization Mission in the Democratic Republic of the Congo (MONUSCO) (document A/70/742/Add.5); the United Nations Interim Administration Mission in Kosovo (UNMIK) (document A/70/742/Add.10); the United Nations Mission for the Referendum in Western Sahara (MINURSO) (document A/70/742/Add.3); and the United Nations Support Office in Somalia (UNSOS) (document A/70/742/Add.14).

The Advisory Committee was recommending a reduction of $207,900 to the proposed budget of UNISFA, he said.  While it did not consider it appropriate to make any recommendations on the present budget proposal for UNOCI for the full 2016/17 period, at the present time, the Advisory Committee recommended that the General Assembly authorize the Secretary-General to enter into commitments for an amount equal to half of the proposed budget for that period — $160.35 million — to maintain the mission for the first six months of the financial period.

Turning to MONUSCO, the Advisory Committee recommended a $3.33 million reduction to the proposed 2016/17 budget.  With regard to UNMIK, the Advisory Committee recommended approval of the staffing changes in the proposed budget which comprised a net reduction of 20 civilian positions, including 10 national posts, and recommended the approval of the overall proposed 2016/17 budget.  On MINURSO, the Advisory Committee recommended a reduction of $1.74 million to the proposed 2016/17 budget.  It also noted with concern that mission’s cash deficit and reiterated that the Secretary-General should continue exploring available options to address the issue of late payments of assessed contributions, including engaging more actively with Member States.  Turning to UNSOS’ 2016/17 proposed budget, he said the Advisory Committee recommended a reduction of $5.18 million. 

HEIDI MENDOZA, Under-Secretary-General for Internal Oversight Services, introduced the report on the activities of OIOS for peace operations for the period 1 January to 31 December 2015 (document A/70/318 Part II).  During that period, she said, the Office had issued 162 oversight reports on peace operations, which had included 524 recommendations — 63 of which were classified as critical to the Organization.  Its Internal Audit Division had continued to make use of thematic audits to identify systemic strengths and weakness across peace operations.  The Investigations Division had issued 64 reports, including 22 investigation reports, 19 contingent reports and 23 closure reports.  The highest number of investigation reports had related to personnel issues.

The Inspection and Evaluation Division had issued four reports, including three evaluations — including on enforcement and remedial assistance efforts for sexual exploitation and abuse by United Nations and related personnel in peacekeeping operations — and one review.  Indeed, she said, the issue of sexual exploitation and abuse had remained one of the Office’s significant areas of concern.  In particular, in the wake of the Central African Republic Panel Report and the continued spike in reports of sexual exploitation and abuse in the country, OIOS was working to ensure the appropriate presence of investigation staff on the ground. 

The Chair then drew the Committee’s attention to the note of the Secretary-General on the proposed budgetary levels for peacekeeping operations for the period from 1 July 2016 to 30 June 2017 (document A/C.5/70/22).

SIRITHON WAIRATPANIJ (Thailand) spoke on behalf of the Group of 77, welcoming the improved, streamlined format of the Secretary-General’s overview report, but noted that some reform initiatives had been presented separately or with no specific course of action, making it difficult for Member States to connect the dots and give policy guidance.  Future reports should specify how the reform initiatives were linked and cite specific action for Member States’ consideration, particularly on structural and policy changes.  The Group expressed concern over the continued weakness in excessive redeployment between expenditure groups and classes and substantive variations between appropriation and actual expenditures — a sign of poor budget formulation and implementation, which might negatively impact mandate delivery.  The Secretariat must increase representation of the troop- and police-contributing countries in the Departments of Field Support and Peacekeeping Operations, particularly in senior positions, which were still occupied by just a small number of Member States.

The Group welcomed the substantive progress in advancing the Regional Service Centre in Entebbe, yet it was concerning that none of the four pillars of the Global Field Support Strategy had fully achieved their end-state vision, she said.  The Group sought updates and clarification on implementation of Umoja and support priorities for 2016/17.  Concerning air operations, the Group supported the Secretary-General’s continued efforts to improve management.  In that regard, she asked about the outcomes of initiatives to improve efficiency, flexibility and aviation safety.  Sexual abuse cases must be addressed seriously.  All perpetrators must be held to account and more prevention of such abuses was needed.  The Group sought further details on the Secretariat’s action and use of United Nations mechanisms for predeployment training, preventive measures and remedial action.

FRANCESCO PRESUTTI of the European Union Delegation said the Secretary-General’s overview report on peacekeeping had streamlined key developments, policy changes and management challenges facing the operations.  For its part, the Committee must provide policy guidance to the Secretary-General in carrying out his peacekeeping mandates.  Drawing attention to the proposed budget for the 2016/17 financial period, he noted that the overall resource level was not increasing due to the impact of external cost factors.  “Our goal must remain to deliver real efficiencies through new approaches and a twenty-first century business model,” he said, underscoring the need to ensure that resources were truly needed and used effectively, efficiently and transparently.

The High-Level Independent Panel’s report was a reminder that peacekeeping operations must evolve and change to reflect modern realities.  “We all have the responsibility to question what we could do better to make the United Nations more flexible to deliver its objectives,” he said.  The Strategy had modernized the support side of peacekeeping, yet improvements were needed, particularly in human resources and supply-chain management.  He welcomed the United Nations use of innovative and new technology, which had provided an opportunity to improve the security of troops and to reduce the environmental footprint of the missions.  The Committee should assess the effects of Umoja and other reform initiatives.  He regretted the increase in 2015 of allegation of sexual abuse and exploitation, supported the Secretary-General’s leadership in presenting an ambitious report on the issue and welcomed the information provided on transparency and accountability.

HANNAH BODENMANN (Switzerland) said benefits resulting from the introduction of IPSAS, Umoja and the ICT strategy should not undermine the capacities of peacekeeping operations.  Growing allegations of sexual exploitation and abuse concerned not only the Secretariat, but also Member States, whose domestic legal and policy frameworks too often seemed ill-equipped to address cases involving their nationals abroad.  That issue ought to be examined, she said, welcoming the Security Council resolution requesting the Secretary-General to replace all units of troop-contributing countries that do not investigate cases involving their personnel.

ROLANDO CASTRO CÓRDOBA (Costa Rica) said that, despite a zero-tolerance policy, there were more cases of sexual exploitation and abuse every year.  The eyes of the world were on the United Nations, he said, noting with satisfaction such new strategies to address the issue as online staff training, vetting of personnel and the establishment of a trust fund for victims.  More needed to be done to eradicate sexual exploitation and abuse, and to ensure that perpetrators of such abominable did not go unpunished.  It was imperative to increase prevention capacity by strengthening investigations, imposing discipline where necessary and assisting victims.

KO JAE SIN (Republic of Korea) recognized that the proposed 2016/17 budget for peacekeeping operations was slightly lower than last year despite the increasing needs.  In that regard, he welcomed and encouraged the Secretary-General’s efforts to enhance the efficiency of the United Nations by “doing more with less”.  He stressed the need to carefully examine whether financial resources were appropriately allocated to the relevant mandates.  The Global Field Support Strategy had achieved tangible gains and it had resulted in more effective service delivery during the past five years.  The Secretariat should provide options to develop the Strategy as soon as possible.  He stressed the need to explore how the High-level Independent Panel’s recommendations could be reflected on the policy and supported by appropriate resources.

KATSUHIKO IMADA (Japan) noted that, despite the slight reduction in the 2016/17 overall peacekeeping budget due to the downsizing of some operations, it was still over $8 billion.  Given the severe financial situations of several Member States, the need for the efficient, effective and accountable management of operations could not be overemphasized.  Regarding the presentation of budgets and budget performance, he said the movement of budget classes and groups within a mission budget and between the budgets of different missions make it difficult to understand overall financial requirements and necessary changes.  Furthermore, performance reports did not fully cite the degree to which resources were redeployed between expenditure classes and groups.  Japan wanted to discuss ways to further enhance transparency through better presentation of peacekeeping budgets.  He was greatly concerned that allegations of sexual abuse persisted, notably in the Central African Republic, and looked forward to further explanations and updates from the Secretariat on the matter.

CHERITH NORMAN CHALET (United States), emphasizing the need for consistent and constructively critical reviews to ensure that peacekeeping remained fit for purpose, commended the work of OIOS, saying it had identified several areas of concern including conduct and discipline, waste management, Umoja implementation, fuel management and air operations.  Despite several Secretariat initiatives, there was further opportunity to improve peacekeeping budget formulation, with more transparency in how programmatic funds were reflected in mission budgets.  In some areas, the Global Field Support Strategy had not yet fully delivered, she said, citing a need to improve quality, responsiveness, accountability, transparency, cost effectiveness and efficiency of service delivery.

Noting that Umoja provided unprecedented transparency over transactions, she said her delegation expected that financial regulations and policies, as well as delegations of authority, would be revised accordingly.  The goal of the Regional Service Centre in Entebbe serving as a model for shared service across the Organization seemed quite distant, but with strong implementation, that vision was achievable.  She welcomed efforts taken to reduce the environmental impact of peacekeeping operations, but noted that peacekeeping remained behind the curve in integrating modern technology into its daily operations.  She said her country strongly advocated a capability-driven approach to peacekeeping, with a significant increase in the number of women in field operations.  The alarming increase in allegations of sexual exploitation and abuse showed how there was still a long way to go in addressing that scourge, she said, endorsing efforts to support victims and to enhance transparency and accountability.

HALVOR SÆTRE (Norway) said he was appalled by the never-ending cases of sexual exploitation and abuse involving United Nations personnel and feared that they were the tip of the iceberg.  Such actions could ruin victims’ lives, and undermine the United Nations credibility.  The Independent Review on Sexual Exploitation and Abuse by International Peacekeeping Forces in the Central African Republic had disclosed serious deficiencies in the way the United Nations had handled those cases.  The Organization must seize the opportunity to make major and effective changes.  He welcomed Security Council resolution 2272 (2016) and the request that the Secretary-General replace all units of troop-contributing countries when the concerning country did not take necessary steps to investigate and hold perpetrators accountable.  He supported the Secretary General’s recent decision to establish a trust fund for victims of sexual exploitation and abuse.  Norway would allocate 1 million Norwegian kroner to the fund.

TAMER MOSTAFA (Egypt), welcoming the constructive dialogue, stressed the need for a strong response to sexual exploitation and abuse by United Nations peacekeepers.  “One case is too many,” he said, calling upon all to ensure that perpetrators were brought to justice no matter where they were from.  For its part, Egypt stood ready to improve the Organization’s response to such actions, he said, underscoring the need for the international community to unite behind the victims.  Further, Member States members should initiate negotiations to determine measures to combat sexual exploitation and abuse, and ensure full accountability.  Concluding, he welcomed the decision to establish a trust fund for victims of sexual exploitation and abuse.

ATUL KHARE, Under-Secretary-General for United Nations Field Support, said that the Department of Field Support continued to build on the foundations laid by the Global Field Support Strategy.  Several lessons had been learned, he said, such as shifting focus from individual missions to a global portfolio in order to achieve greater speed, effectiveness, efficiency and compliance.  Changing the Department’s internal culture mattered as much as changing its systems.  Operational demands would sometimes delay investment in change, while shared services represented a complex challenge that should be handled with care.  In addition, strong implementation management and performance control were critical when ideas were being turned into reality.

He described how the Department, in additional to broader United Nations reforms, was focusing on five priority field support initiatives:  supply-chain management; environmental management; conduct and discipline; technology and innovation; and following up on the High-Level Independent Panel on Peacekeeping Operations.  It was working to reduce costs and realize benefits, with the Strategy already having yielded net benefits exceeding $390 million.  Reduced costs represented continuing efforts to achieving sustainable efficiencies in consumption and operations costs, including fuel, spare parts, travel, reduced acquisitions and construction of facilities, and the right-sizing of resourcing requirements for missions that have been reduced in size or were entering a transitional phase.

A decrease of 2,000 budgeted flight hours in 2016/17 would result in approximately $25 million in administrative cost reductions, he said.  Cognizant that air assets required a significant amount of Member State funding, the Department was improving management of air transportation, making regional arrangements for better utilization of those assets.  Now was the appropriate time to establish a separate budget for the Regional Service Centre in Entebbe, which would improve performance and increase transparency while ensuring client engagement.  The Department was working to implement the Board of Auditors’ recommendations, and concerted efforts were being taken to address cross-cutting challenges systematically in all missions.

Support Account for Peacekeeping Operations

Ms. TUCCI BARTSIOTAS then introduced the Secretary-General’s reports on the budget performance of the support account for peacekeeping operations for the period from 1 July 2014 to 30 June 2015 (documents A/70/612 and A/70/612/Add.1) and on the budget for the support account for peacekeeping operations for the period from 1 July 2016 to 30 June 2017 (document A/70/751).  The support account encompassed 14 offices and departments throughout the United Nations Secretariat with approximately 160,000 military, police and civilian personnel in 15 missions.  During the 2014/15 period, the Organization had drawn on the support account to continue strengthening new missions, prepare the second set of IPSAS-compliant financial statements for all active and closed peacekeeping missions, and stabilize Umoja extension 1.  Expenditures for the period totalled $324.2 million, with an implementation rate of 99.4 per cent.

The Chef de Cabinet met with the heads of departments and offices at the start of the budget preparation and addressed key issues, including the strategic needs of the field, organizational priorities and the related level of support to backstop missions, she said.  The proposed 2016/2017 budget reflected more rapid, effective, efficient and responsible support to the field, in the areas of strengthened accountability, agile field support and increased care for field personnel.  Twenty-four additional posts and general temporary assistance positions had been identified in priority areas, among them force generation, prevention of sexual abuse, human rights, medical performance and security.  The Secretary-General had proposed to transfer nine posts from the budget of the Global Service Centre to the support account as part of resource realignment and to abolish 13 posts in order to contain costs.  The current level of the support account was contained at 4 per cent of the $8.2 billion peacekeeping budget, excluding enterprise resource planning.  Such planning and information and system security had decreased from $32.1 million to $17.6 million.

Mr. RUIZ MASSIEU introduced the Advisory Committee’s report on the budget performance for the period from 1 July 2014 to 30 June 2015, financing for the period from 1 July 2015 to 30 June 2016 and proposed budget for the period from 1 July 2016 to 30 June 2017 of the support account for peacekeeping operations (document A/70/837).  Regarding the proposed 2016/17 budget, the Advisory Committee recommended a reduction of $4.76 million.  It noted improvements in how the budget proposals were presented and encouraged further refinement.  Despite the General Assembly’s repeated calls that support functions be scaled to the size and scope of peacekeeping operations, the number of proposed posts and positions continued to increase even as the levels of both uniformed and civilian personnel decreased.  The total number of posts and positions would increase from 1,461 in 2015/16 to 1,481 requested for 2016/2017, and at the D-1 and D-2 levels from 37 for the current period to 43 for 2016/17.  Increasing demands on the Organization should not translate into more high-level posts and greater efforts were needed to review existing functions and structures before such proposals were presented.

He expressed concern that in the five years since the last review of the support account, efficiencies and economies expected from organizational transformation initiatives, such as the Global Field Support Strategy and Umoja, had not had a discernible impact on the support account budget level, which continued to increase.  Current trends must be reviewed to determine underlying factors.  The Advisory Committee encouraged the Secretary-General to continue reducing the dependence on consultants while building in-house capacity.   Turning to the 2014/15 period, the Advisory Committee asked the General Assembly to apply the $1.88 million unencumbered balance and $2.33 million in other income and adjustments to the 2016/17 support account requirements.

Ms. WAIRATPANIJ (Thailand) spoke again for the Group of 77 and China, recalling that the bloc contributed financially to the budgets of United Nations peacekeeping missions and was the largest group of troop- and police-contributors.  She expressed concern about the general upward trend in the resources requested for the support account, and particularly about the “ever-growing” number of posts at the D-1 level and above, which she said had increased by 26.4 per cent in four years.  The Group concurred with the view of the ACABQ that the various reform initiatives undertaken in recent years had not fully led to the efficiencies and economies predicted by the Secretary-General.

Noting with concern the lack of improvement in the representation of troop- and police-contributing countries within the peacekeeping support structure, both in the field and at Headquarters, and in particular at senior levels, she went on to say the Group would closely scrutinize the Secretary-General’s proposals for the establishment, abolishment, reclassification and redeployment of posts.  Furthermore, it would seek additional details on the proposals of the Secretary-General regarding the restructuring of the United Nations Office to the African Union, so as to take an informed decision with respect to the relevant recommendation of the Advisory Committee.  She also expressed interest in learning more about the proposed efficiency gains from the implementation of Umoja at Headquarters.

Financing of Peacekeeping Operations

Ms. TUCCI BARTSIOTAS then introduced the reports of the Secretary-General on the 2014/15 budget performance and 2016/17 proposed budget of the United Nations Interim Security Force for Abyei (documents A/70/574 and A/70/701), United Nations Operation in Côte d’Ivoire (documents A/70/586 and A/70/753), United Nations Organization Stabilization Mission in the Democratic Republic of the Congo (documents A/70/613 and A/70/766), United Nations Interim Administration Mission in Kosovo (documents A/70/566 and A/70/707), and the United Nations Mission for the Referendum in Western Sahara (documents A/70/570 and A/70/696), as well as his report on financing of the activities arising from Security Council resolution 1863 (2009) (documents A/70/587 and A/70/773), which dealt with the United Nations Support Office for the African Union Mission in Somalia (UNSOA) and UNSOS.

With respect to UNISFA, she said the proposed budget for 2016/17 amounted to $268.8 million, an increase of 0.2 per cent over the 2015/16 approved budget.  In the case of UNOCI, the Secretary-General would present a revised budget for consideration by the General Assembly during its seventy-first session, after the Security Council, by its resolution 2284 (2016), endorsed its phased reduction and final renewal of its mandate.

Turning to MONUSCO, he said a budget of $1.26 billion was proposed, down 4.2 per cent, mainly due to a net reduction of 392 posts and lower fuel costs.  With regards to UNMIK, its proposed budget of $36.5 million reflected a decrease of 8.9 per cent through the net reduction of 20 posts and positions, the conversion of 7 international staff posts to national posts and the proposed implementation of solar energy sources.

The proposed budget for MINURSO of $54.3 million, exclusive of budgeted voluntary contributions-in-kind, represented a 6.2 per cent increase, primarily due to increased requirements for civilian personnel and estimated higher contract costs for the Mission’s fleet of aircraft.  Finally, the proposed budget for UNSOS of $583.4 million represented an overall increase of 13.6 per cent after the Security Council, by its resolution 2245 (2015), expanded its mandate.

Mr. RUIZ MASSIEU then presented the Advisory Committee’s corresponding reports on UNISFA (document A/70/742/Add.16), UNOCI (document A/70/742/Add.13), MONUSCO (document A/70/742.Add.10), MINURSO (document A/70/742/Add.3) and UNSOS (document A/70/742.Add.14).

Summarizing those texts, he said the Advisory Committee recommended a reduction of $207,900 to the proposed budget for UNISFA, which could use travel resources more efficiently.  For UNOCI, it recommended that the General Assembly authorized the Secretary-General to enter into commitments for an amount equal to half of the proposed 2016/17 budget, or $160.35 million, in order to maintain the Mission for the first six months of the financial period.

Turning to MONUSCO, he said the Advisory Committee recommended a reduction of $3.33 million to its proposed 2016/17 budget, with reductions in resources proposed for official travel, acquisition of new vehicles and unmanned aircraft systems.  Commending UNMIK for its efforts in renewable energy alternatives and waste management, it recommended approval of staffing changes contained in the proposed budget.

With respect to MINURSO, the Committee recommended a reduction of $1,739,100, with savings to come from official travel, air transportation, other supplies, service and equipment, and post resources.  It noted with concern MINURSO’s cash deficit, reiterating that the Secretary-General should keep exploring options to address the issue of later payment of assessed contributions.  Finally, with regard to UNSOS, the Advisory Committee made recommendations that would reduce its budget by $5,175,300, including one against the establishment of 25 new posts and positions, including one post for an Assistant Secretary-General.

DAWIT YIRGA (Ethiopia) said that, despite political and security difficulties in Abyei, UNISFA had managed to maintain a stable security environment and peaceful and orderly migration and return, while reducing major incidents of intercommunal violence.  It had done so through multifaceted conflict prevention and mitigation strategy, robust day and night patrols, and aerial monitoring.  However, his delegation was perplexed by the decision to deploy two force reserve infantry companies to UNISFA to replace artillery and tank units without assessing the decision’s effect on implementation of UNISFA’s mandate and threat analysis of the situation on the ground.  Although the situation was relatively stable, it was important to understand that there had been no significant improvement, and the dispute between the two parties had not been solved.  On UNSOS, he underscored the need to expedite the deployment of 6 helicopters to the African Union Mission in Somalia (AMISOM).  The European Union’s decision to reduce financial support to AMISOM troops by 20 per cent was a matter of concern, he said, stressing the need to bridge the financial gap.

FLORA CHRISTIANE SEKA-FOUAH (Côte d’Ivoire), associating herself with the African Group statement of 2 May regarding peacekeeping operations, noted the progress made by her country towards long-term peace and stability with the help of UNOCI, among other partners.  Those efforts were recognized by the Security Council through resolutions that ended the sanctions regime and extended UNOCI’s mandate one last time.  During informal consultations, she said, her delegation would want to know more about such residual issues as waste management resulting from UNOCI’s exit.

MARINA NIKODIJEVIC (Serbia) said the presence of UNMIK was of essential for the stability of Kosovo province and for creating conditions that would lead to a lasting solution to the question of Kosovo and Metohija, and it must be maintained.  Serbia appreciated the commitments in the Secretary-General’s UNMIK budget proposal for 2016/17 to continue to facilitate implementation of political and technical agreements reached by officials in Belgrade and Pristina concerning the normalization of relations and other matters.  Strengthening the Mission’s human rights and rule of law sectors, as well as its Mitrovica Regional Office, was particularly important.  Given the existing problems in those areas, it was crucial for the international community to support efforts in promoting greater tolerance and reconciliation among its communities, ensuring the protection of minority rights, and facilitating the return of the displaced.  To achieve those goals, UNMIK needed sufficient staffing and financial resources.  Serbia was very concerned by the steady decrease in the Mission’s budget in the last five years and the proposal to reduce it by another 8.9 per cent for the 2016/17 period.  Serbia also regretted the proposed abolishment of 20 posts and positions, and the conversion of international posts to national post status in order to achieve efficiency gains.  She asked the Secretary-General to explain why such cuts were considered efficiency gains.