Article 102
In the case of indirect decentralised operations the contracting authority referred to in Article 92(1)(a) shall conclude a delegation agreement when entrusting implementation tasks to a body governed by public laws of the ACP States concerned or by private law with a public service mission. It shall conclude a service contract when entrusting those tasks to a body governed by private law. The Commission shall ensure that the delegation agreement or service contract sets out: (a) adequate provisions for scrutiny of the use of EDF resources by the Commission, OLAF, the national or regional authorising officer, the Court of Auditors and the national audit bodies of the ACP States concerned; (b) a clear definition and precise delimitation of the powers delegated to the body concerned and the powers retained by the national or regional authorising officer; (c) the procedures to be followed in exercising the powers so delegated, such as the selection of actions to be financed, the award of contracts or the supervision of works; (d) the possibility of ex post review and financial penalties where the granting of funds or award of contracts by the body concerned does not correspond to the procedures laid down in point (c); (e) an effective and efficient internal control system for the management of operations, which includes effective segregation of the duties of authorising officer and accounting officer; (f) an accounting system that enables the correct use of EDF resources to be verified and the use of funds to be reflected in the EDF accounts.