10.12.2025 at 06.45
Performance audit

Funding base for security of supply

Sustainable security of supply requires coordination of funding with security of supply objectives and optimisation of the costs of material preparedness. Security of supply can also be promoted alongside the main objectives when decisions on grants and purchases are made.

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Download report: NAOF's conclusions and recommendations: Funding base for security of supply PDF 143 KB

Scope of the audit

Basic funding for the security of supply system based on the strategic stockpile fee
Management of the assets of the National Emergency Supply Fund and the administrative model of the National Emergency Supply Agency
Management of the costs of material preparedness
Monitoring and coordination of security of supply measures
Prerequisites for a security of supply system based on built-in preparedness

Key findings

The National Emergency Supply Fund has less leeway than in the past
The objectives of security of supply are not coordinated with the resources allocated to the purpose
The organisation and administrative model of the National Emergency Supply Agency have been enhanced in recent years, but there is still work to be done
The absence of ownership strategies has weakened the transparency of the National Emergency Supply Fund’s corporate assets
Resilience and preparedness aspects arising from different projects must be taken into account in advance

Briefly

Security of supply means ensuring the critical functions of society during serious incidents. Security of supply is jointly maintained by the authorities, business operators and the public. The National Emergency Supply Agency uses the National Emergency Supply Fund to cover centralised expenditure. Ministries and government agencies are responsible for preparedness in their own sectors and for maintaining the security of supply associated with it. The purpose of the audit was to ensure that the funding for the security of supply system can guarantee the prerequisites for managing critical economic functions and technical arrangements in all circumstances. According to the audit, it is essential to ensure a sustainable level of funding for security of supply, to reconcile the funding with the objectives and to optimise costs of material preparedness. Objectives of the security of supply can also be promoted alongside the main objectives when decisions on grants and purchases are made. In order to safeguard Parliament’s budgetary power, the key security of supply objectives must be specified in the rationale for the budgetary appropriation.

The funding for security of supply must be coordinated with the objectives of security of supply.

The figure shows a cube the faces of which are divided into nine squares. The squares are coloured green, yellow, and red. The three edges of the cube are: probability of the event, impacts of the event and duration of the impacts. — Material preparedness assessment model

31 December 2024

€2.1 billion

Balance sheet of the National Emergency Supply Fund

Recommendations of the National Audit Office

The Ministry of Economic Affairs and Employment should steer the budgeting of the National Emergency Supply Agency by describing the suitable uses of the National Emergency Supply Fund’s

The National Emergency Supply Agency should specify the internal control and risk management of its administrative model so that the implementation, monitoring and oversight responsibilities are appropriately separated.

The Ministry of Economic Affairs and Employment should ensure that in its company-specific ownership strategies, the National Emergency Supply Agency has set business and return targets for the companies and identified the material risks arising from them.

The Ministry of Finance should direct ministries to take into account the impacts of the grants on security of supply if they are considered as material.

The Ministry of Finance should direct ministries to present the key security of supply objectives in the explanation and context section of the appropriation item.