june 2000 inforegio - european...

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Commission Guidelines forRegional DevelopmentProgrammes 2000-2006The European Commission has adopted guidelines* for Structural Fund operations in theupcoming programming period, 2000-2006. These guidelines have been drawn up to assistdevelopment specialists in public administration as well as operators in the private and thirdsectors who participate in regional development programmes. The Guidelines have grownout of both accumulated experience of regional development in Europe and evolvingCommunity policies that affect this key area.

The aim of the Guidelines is to ensure the best possible use of Community resources leadingto coherent regional development and it is the responsibility of the Commission to ensurethat the priorities are implemented appropriately at each stage of the project process. Thisdocument gives a comprehensive summary of the Guidelines which should assist in theprocess of creating effective development strategies for the regions within a Europe-widecontext.

The Guidelines identify three strategic priorities:I. Regional competitivenessII. The European Employment StrategyIII. Balanced urban and rural development

This document follows the structure of the Commission's Communication and explains eachof these strategic priorities in order. There are also some project examples to illustrate thatarea of action more clearly.

In addition to the individual priorities, there are certain broad programming themes whichalso need to be considered in implementing Structural Fund actions. Partnership continues tobe emphasised as an important factor in the success of Structural Fund projects. Meanwhilethe Guidelines identify Sustainable Development and Equal Opportunities as fundamentalprinciples in the new programming period. As such the Commission expects that these con-cerns will be integrated into regional development programmes in a consistent way.

* Commission Communication concerning the Structural Funds and their coordination with the Cohesion Fund -guidelines for programmes in the period 2000-2006, OJ C 1999/267, 22 September 1999.

inforegioJune 2000

Commission Guidelines for Regional Development Programmes 2000-20062

The Structural FundsThe European Union aims toreduce economic disparitiesbetween Europe’s regions -known as Economic andSocial Cohesion. This isachieved in part throughchannelling financialassistance towards thedisadvantaged regions ofEurope. This finance comesin the form of four inter-related 'Structural Funds':

- The European RegionalDevelopment Fund (ERDF),which is limited to the mostdisadvantaged regions of theEU and concentratesprimarily on productiveinvestment, infrastructure,local development and thedevelopment of SMEs

- The European Social Fund(ESF), which concentrates onvocational training andrecruitment aid;

- The Guidance Section ofthe European AgriculturalGuarantee and GuidanceFund (EAGGF), whichsupports agriculturalstructures and ruraldevelopment

- The Financial Instrumentfor Fisheries Guidance (FIFG),which assists the adjustmentof the fisheries sector.

I. Regional CompetitivenessConditions for growth and employment

As key factors in social and economic cohesion,the Community has identified the urgent, twin-objectives of sharpening regional competiti-veness and ensuring a positive impact onemployment. In order to meet these objectives,Europe's regions need to establish the conditionswhich allow entrepreneurial activity. TheGuidelines underline that the economy musthave full access to a range of basicinfrastructures - physical infrastructure such astransport and telecommunications as well assupporting mechanisms such as informationtechnology, research, technological developmentand innovation. These are all areas in which theStructural and Cohesion Funds are particularlyactive.

The main conclusions under each of the areascovered in the guidelines are listed below.

Transport

Efficient transport networks and systems are afundamental factor in economic development.Business needs reliable, cost-effective access tomarkets, and individuals need good publictransport for easy access to jobs, training,shopping and leisure.

Significant progress has already been made.However, future regional developmentprogrammes should seek to improve transportsystems by reducing costs, congestion andtravel times, improving network capacity,performance and service quality, withoutneglecting safety. Transportation is also an areain which co-ordination between the StructuralFunds and the Cohesion Fund is particularlyimportant.

The Commission transport guidelines highlightfour priorities:

Efficiency: Efficiency still needs to be improvedthrough infrastructure modernisation, andbetter management through IntelligentTransport Systems, inter-operability andharmonisation of technical standards. A keyobjective is the integration of different modesof transport into coherent systems.

Modal balance: Currently, most transportinvestment from the Structural and CohesionFunds is concentrated on road systems.Between 2000 and 2006 there is scope for abetter balance in funding between differentmodes of transport as well as between majorprojects and smaller-scale local improvements.In general, priority should be given to thedevelopment of coherent inter-modal andcombined transport systems, including thedevelopment of transfer nodes.

Accessibility: Whilst the completion of trans-European transport networks (TENs) in eligibleregions is important, secondary connectionswithin these networks should not beneglected. Access needs of people withreduced mobility should also be taken intoaccount.

Sustainability: Community funding shouldsupport Member States’ strategies forachieving sustainable transport systems. Thisinvolves reducing the negative environmentalimpact of transport and encouraging a shifttowards more sustainable forms of transport.

THE RÍAS BAJAS EXPRESS ROUTE

IN GALICIA (SPAIN)

Commission Guidelines for Regional Development Programmes 2000-2006 3

The polluter-paysprincipleThe principle that the'polluter-pays' should applyacross all Community policy,and the reform of theStructural Funds and therevision of the CohesionFund have includedprovisions to ensure that thisis respected. At present, thepolluter-pays principle isunevenly enforced acrossMember States and, withouta coherent Community-wideframework, there is a dangerof unequal treatment inCommunity funding.

In response, the Commissionis soon to present a technicalframework, separate fromthe Guidelines, for theapplication of the polluter-pays principle. This willoperate mainly through thedifferentiation of rates ofassistance depending on thetype of infrastructurefinanced by the Structuraland Cohesion Funds. In othersectors supported by theFunds, such as industry andagriculture, and where thereare negative environmentalimpacts, the principle mustalso be applied.

As a priority, the Commissionis also developing a commonframework for theapplication of the polluter-pays principle across theimplementation of all otherCommunity policies.

Energy

Sustainable regional development depends onan efficient, diversified and competitive energysector.

In the less developed regions, the Commissionrecommends that Structural Fund investmentsshould be used primarily to support:

• diversified energy sources reducingdependency on single external suppliersand combating the effects of isolation -particularly in the most remote regions

• completing interconnections (TransEuropean Energy Networks - TENs),improving electricity grids and thecompletion and improvement of gastransmission and distribution networks

• sustainable energy - the production ofenergy-efficient equipment for SMEs, fordomestic use and in public buildings

• investment in renewable energy sources.

Telecommunications

While investment in telecommunicationscomes mostly from the private sector, publicauthorities may also have a role to play -principally through implementing a coherentpolicy that exploits the benefits of theinformation revolution. Structural Fundsupport should concentrate on maximising thebusiness potential for commercialorganisations – especially SMEs - whilstencouraging the public to exploit newinformation networks. Actions should include:

• stimulating new services and innovativeapplications such as electronic commerceand the use of the Internet as a businesstool

• promoting of the benefits oftelecommunications applications for publicauthorities

• extending the skills base to maximise thebenefits of the information society -particularly through tele-education anddistance learning.

Infrastructure for the environment

Throughout most of the EU important stepshave already been taken to reduce emissionsand improve the quality of the environment.However, much remains to be doneparticularly with regard to water, air and soilquality. The Structural and Cohesion Fundscan play a role in this by upgradingenvironmental infrastructure, particularly inthe less developed regions.

As for the Structural Funds, they should assistin meeting Community environmentalstandards - particularly in water and wastemanagement. Development priorities are:

• ensuring the supply of adequate amountsof quality drinking water with minimalwaste as well as efficient systems for thecollection, treatment and discharge ofurban waste water

• developing a pricing structure whichreflects the true value of water as aresource and applying the polluter-paysprinciple in the operation of the Funds (seemargin)

• maximum recovery and recycling and safedisposal of solid urban, industrial andhazardous waste

• territory-wide waste management plansand clean-up operations of contaminatedsites.

GERA WATER TREATMENT WORKS (GERMANY)


Research and technological development (RTD)

It is beyond question that high levels ofresearch and technological development (RTD)and a strategic, integrated approach toinnovation are important features in thecompetitiveness of regional economies. Forthis reason, the Funds are placing increasingemphasis on boosting RTD and innovationparticularly in the less developed regions.

The Commission guidelines highlight:

• innovation in enterprises such as newforms of financing (venture capital),technology transfer and related services,and better exploitation of informationtechnologies

• promoting networking and industrial co-operation between firms ensuringtechnology transfer and the disseminationof new techniques

• assistance for SMEs, in particular to accessthe skills needed to promote growth and tostrengthen industrial and commercialclusters and supply chains

• support for education and trainingincluding lifelong learning and thecontinuous upgrading of skills

• consolidating RTD and innovative actionsthrough effective policy management, e.g.by introducing performance-orientedschemes designed to increase the efficiencyand quality of RTD and innovativeassistance.

E X A M P L E S

Networking for technologicaldevelopment

A network of eight technology centres inthe Basque Country has, since 1992, beensupported by the ERDF and the ESF for thepurchase of equipment and for researchprojects. Activities relate to:manufacturing; information /telecommunications; materials technology;environment/recycling; industrialbiotechnology; and energy. The networkannually involves 1100 researchers (ofwhom about one fifth are grant-aided) and450 research projects, with employment inassociated enterprises amounting to some1700 jobs.

Innovation audit

The Regional Innovation Strategy (RIS) inWales involved 350 companies in an‘innovation’ audit that was assisted bybusiness services in the region. Over 600organisations were involved in this processand as a result nearly 70 new projectswere identified. The South Wales Objective2 programme for 1997-99 now includesup to EUR 56 million for innovation relatedprojects.

FLIGHT SIMULATOR CANADAIR REGIONAL JETS

IN MORLAIX (FRANCE)


SMEs in regionaldevelopment SMEs play a major role inemployment creation andthe development of laggingregions. The number of SMEsis highest in the southernMember States (this is partlydue to certain nationaleconomic characteristics)although they tend to beconcentrated in the morefavoured regions of thesecountries such as capitalcities, while the poorestregions have comparativelyfew. Tackling suchimbalances must be part ofan integrated approach toregional development whichalso takes account of thesectoral distribution of SMEsand the extent of theirpresence in the moredynamic sectors. Recentresearch suggests that thepotential contribution ofSMEs to developmentdepends on other conditions,such as the availability ofsupport services and on theirlinks with large firms and/orthe networks between them.

Successful businessescreating jobs

A healthy and dynamic business environmentis key to creating sustainable jobs. While allsources of employment are important, it isnoted that the service sector has beenresponsible for most of the net employmentgrowth in the Union in recent years. Thisneeds to be reflected in Communityprogrammes.

Meanwhile, care needs to be taken thatfinancial or other assistance for commercialactivities is made in conformity withCommunity competition rules.

Support for enterprise

Small and medium-sized enterprises (SMEs) inthe productive sector are vital to economicwell-being and the Structural Funds shouldaim to support this sector. This needs to bedone without neglecting the needs of largercompanies and mindful of the close linkbetween smaller and larger firms. As part ofthe increased rigour applied to Communitysupport for business, repayment of all or partof the grant aid should be required if theconditions for support are not met. Inaddition, Community funds in general shouldnot be used to relocate production or otherfacilities to another part of the Union.

Priorities include:

• Shifting the emphasis from capital grantstowards alternative financing mechanisms -reimbursable advances, venture capital,loan capital and revolving funds, mutualguarantee schemes (see margin). In thiscontext, duplication of aid schemes is to beavoided.

• Developing clear and targeted supportpackages for SMEs including measures suchas easier access to finance, businesssupport services, and training measurestailored to the needs of SMEs at thedifferent stages of their life-cycle (start-up,growth or transfer). This may involve theintegration of ESF and ERDF measures.

• Supporting priority areas with growingemployment potential such as services andthe information society. Commerce can alsoprovide a valuable outlet for localproduction and so benefit local economies.

• Facilitating the interdependence of smalland larger businesses notably throughenterprise networks, in particular SMEs.Strategies for the development of humanresources should target increased efficiencyof such networks.

• Creating business support strategiesformulated in partnership with privatecompanies and business serviceorganisations.

Business support services

Business support services are important foreconomic growth, increasing competitivenessand identifying new markets. Structural Fundmeasures should include: assistance fortechnology transfer, marketing andinternationalisation (excluding direct aid linkedto exports); innovation in organisation andmanagement; and assistance for the creationand development of financial instruments suchas start-up capital or mutual guaranteecompanies. Private business services are also asignificant source of employment in their ownright. Community support can make suchprivate services more widely available acrossthe Union outside the more prosperous andcentral regions.

The 2000-2006 priorities are:

• identifying the needs of companies andhow to meet them

• improving synergy between service centres,technology transfer centres, science parks,universities and research centres whichoften operate in an uncoordinated manner

• promoting international co-operationbetween firms to develop the Europeanand international dimensions of theirbusinesses.


Developing growth areas

Certain sectors with particular potential foremployment creation have been under-exploited and this should be remedied in thenew programming period. These include:

The Environment: Environmental quality hasshown itself to be a major factor in thepotential for regional development andeconomic competitiveness. Therefore,environmental considerations need to beintegrated into investment strategy toenhance performance and to create jobs. Inaddition, environment-related products andprocesses themselves offer opportunities as apotential source of new employment. In thecountries eligible for Cohesion Fund assistanceit is a major concern that Cohesion andStructural Fund actions should be conductedin a co-ordinated way.

Community support should promotesustainable developments such as wasteminimisation or re-use, development ofbrownfields, innovative and environmentally-sound products and services, cleantechnologies, use of environmental servicessuch as eco-audits and training inenvironment-related areas.

Tourism: Tourism is a leading growth industryworld-wide, both in output and inemployment creation. Sustainable tourismshould be supported through themodernisation of tourism-relatedinfrastructure - upgrading skills, encouragingbusiness-to-business partnerships, public-private co-operation and networking throughthe “tourism chain”.

Culture: Culture is closely linked todevelopment in general as cultural lifecontributes to local or regional identity andattracts visitors and investors. Culture is alsoan increasingly important part of the privatesector economy in its own right, withpotential for growth and job creation. Moreuse could be made of the employmentpotential of innovative and creative culturalproducts in, for example, culture-relatedonline services, media and the informationsociety or design. Flexible training in thecultural professions is needed for thefunctioning of the sector itself, for thepreservation or modernisation of traditionalactivities, and for the establishment of entirely

new skills, linked for example to theinformation society.

Social economy: Not all economic activityfalls clearly within the public or private sectors.It is estimated that 5 % of EU employmentderives from the social economy - includingco-operatives, mutual organisations,associations and foundations. These groupsmay be created for specific social needs butthey also make an important contribution toemployment and have a clear potential forgrowth. The overall aim of assistance from theStructural Funds is to confirm and strengthenthe contribution of partnership betweenactors in the social economy and regional andlocal authorities.

Priority areas in this sector will include supportsuch as information and counselling. Financialand technical assistance for potential orexisting service providers in new areas ofactivity may be accompanied by prolonged,but gradually decreasing, assistance in areaslike management support and training.

Financial engineering The new Structural FundsRegulations stress the needto achieve the best possibleleverage from theCommunity budget byfavouring, as far as possible,private sources of financing,notably risk and venturecapital and Public-PrivatePartnerships (PPPs). The aimis to increase the resourcesavailable for investment andto ensure that Communityfunded schemes benefit fromprivate sector expertise.

Venture capital Member States areencouraged to monitorperformance very closely. Theaim is to assess precisely thecontribution made toregional development byfinancial engineeringschemes: from private sectorparticipation ensuringproject sustainability; thevalue of independent projectmanagement and rigorousproject selection criteria; andthe effectiveness for SMEs oflinking financial assistance toa statutory provision ofadvisory support and accessto other financialinstruments providing on-going flexibility andsustained assistance. In somecases, the support of theEuropean Investment Fundmay be requested.

Public PrivatePartnerships (PPPs)Private sector involvementimpacts directly on thelikelihood of long-termproject sustainability and soprivate sector operatorsshould be involved at theearliest possible date. Thismay require: participation atthe planning stage forinfrastructure projects;realistic analysis of projectrisk reflected in PPPcontracts; public consultationprior to scheme design;appropriate protection ofthe public interest bycontract or legislation;respect of EU publicprocurement andcompetition requirements;and investment schedulingthat reconciles the strict timeframe in which ERDFresources are availableagainst public/privatecounterpart funding whichmay extend well beyond thisperiod.

E X A M P L E

Tourism integrated into a localeconomy

Tourism development supported by theStructural Funds in Piedmont focused onfour strategic zones with a high tourismpotential – Lake Maggiore, the Val di Susaskiing district, the city of Turin and theCanavese castles circuit. The tourismdevelopment projects adopted anintegrated approach by financing a mix ofinfrastructure improving localattractiveness, aid schemes to small andmedium-sized tourism businesses andtourism promotion programmes. Value wasadded both by the good partnershipbetween local and regionaladministrations, and the greater impactachieved through concentration ofactivities in limited areas.


The EuropeanEmploymentStrategy The Amsterdam Treaty,signed in October 1997, wasa decisive turning point inthe development of theEuropean EmploymentStrategy. The threefundamental objectives ofthe strategy are:

- convergence towardshigher levels of employment

- multi-annual monitoring ofprogress

- management by objectives,based on quantifiable andverifiable performancecriteria.

The responsibility foremployment policy continuesto lie primarily with theMember States, but theTreaty recognises (inparticular through its Title onEmployment) that one of thefundamental objectives ofthe European Union is toachieve high levels ofemployment. At Europeanlevel, the Amsterdamagreement creates thenecessary framework tomonitor employment policiesacross the Union and toadopt annual employmentguidelines for the MemberStates.

The annual employmentguidelines are based on thefollowing four pillars:

- Entrepreneurship: creatingan entrepreneurial spirit inEurope

- Employability: bridging theskills gap in Europe

- Adaptability: boosting theability of workers to copesuccessfully with changes inthe labour market

- Equal opportunities:facilitating the entry of morewomen into the labourmarket.

These four pillars constitutea clear shift towards a moreactive and preventivestrategy for the reintegrationof the unemployed. Theguidelines set out a numberof specific targets forMember States to achieve intheir employment policieswhich are incorporated intothe National EmploymentAction Plans (NAPs).

The European Employment Strategydemonstrates Community commitment tointegrated and concerted action inemployment issues across Europe (seemargin). The European Social Fund (ESF) asthe main source of Community financialsupport for human resource development,clearly has a key role to play in the success ofthe European Strategy, and in assistingMember States to implement the employmentguidelines adopted by the Commission withinthis framework.

More and better jobs -Objective 3 as a model forhuman resourcedevelopment

Objective 3 actions, with finance from the ESF,support the adaptation and modernisation ofeducation, training, and employment policiesand systems. It is able to do this throughoutthe whole Community except in Objective 1areas. The Commission intends that Objective3 actions should act as a frame of referencefor all human resource measures; leading theway in which Member States use theStructural Funds to contribute to employmentgrowth and to economic and social cohesion.

Meanwhile, the Member States are allresponsible for devising strategies foremployment growth known as NationalAction Plans (NAPs), into which areincorporated the specific employment targetsestablished by the Commission in the annualemployment guidelines. The Commission'saim is to achieve total coherence between theemployment strategy of the NAP and theactions supported by the ESF.

In linking National Strategies and EuropeanSocial Fund support, three main elementshave been identified:

• a mainstreaming approach for equalopportunities between men and women

• harnessing the employment potential ofthe information society

• the contribution of the European SocialFund to promoting local development, forexample via the territorial employmentpacts.

II. The EuropeanEmployment Strategy

THE PORTO WINE ANALYSIS LABORATORY IN

THE BIOTECHNOLOGY SCHOOL OF THE

UNIVERSITY OF PORTO (PORTUGAL)


The ESF Regulation sets out five main policyareas in which Member States should takeaction to help them achieve the employmenttargets established by the Commission:

I. Active labour market policies topromote employment

Active targeting of individuals at risk of long-term unemployment is increasingly important.This could combine for example diagnosticinterviews, training tied to a personal actionplan, career counselling and job searchassistance, as well as work trials. In the sameway, in order to avoid long-termunemployment amongst the young it isessential to equip them with the ability toadapt easily to technological and economicchange with skills relevant to the labourmarket.

To do this, ESF measures may need to respondwith more innovative approaches such as pre-training, counselling, community employment,job search assistance, job support andemployment aids - all combined in a flexiblecomprehensive approach.

As part of this active approach, regional andlocal employment services have a key role toplay in preventing skills shortages byproactively auditing the skills base and thelevels of professional qualifications for theyoung, as well as the training and re-trainingneeds for both the employed and the jobless.

II. An inclusive society, open to all

The European Employment Strategy makes thepromotion of an open labour market a majorpriority. Thus, special attention needs to bepaid to integrating the disabled, ethnicminorities and other disadvantaged groupsinto the labour market. But the (re-)integration of such vulnerable groups oftenrequires overcoming other forms of exclusionderiving from a number of causes. Thisrequires an integrated and comprehensiveapproach in which NGOs and local groups willdoubtless have an important role to play.

III. Education and training

The quality of education and training isfundamental to young people's capacity toenter the labour market. Action in this areashould broaden access to the acquisition ofskills, support the diversification and

reinforcement of training opportunities, andimprove the quality of education and trainingsystems. Particular attention should be givento young people with learning difficulties.

In this respect, opportunities for lifelonglearning, particularly in information andcommunication technologies, should beimproved. Attention should be paid to thedevelopment of nationally recognisedcertification schemes permitting flexibility infurther study.

IV. Adaptability and entrepreneurship

ESF action should focus on helping individuals,particularly employees who risk becomingunemployed, to adjust to changes in newtechnologies and in new market conditions.The anticipation of skills needs is crucial, as isthe supply of training activities and advisoryservices to employees of SMEs. Such actionsimply the strengthening of partnership andthe full involvement and co-operation of thesocial partners, as well as developing newways of distributing working time amongoccupational groups and reconciling workingand family life.

In order to promote entrepreneurship, acombination of demand-side measures(support for individuals becoming self-employed or business start ups) and supply-side measures (targeted information, trainingand tutoring) should be taken.

V. Positive action for women

Structural Funds actions all contain a genderperspective but additional positive action isrequired nonetheless. To promote equalopportunities for women, programmes andmeasures should be designed to counterobstacles to equal access. A balancedparticipation of women and men in decision-making structures should be ensured. Thiscould be done through measures to improvewomen’s career progression to higher levelpositions, to draw more women intooccupations where they are under-representedand to increase the level of entrepreneurialactivity among women.

Equal OpportunitiesArticle 3 of the AmsterdamTreaty specifically identifiesthe elimination of inequalitybetween men and womenand the promotion ofequality in all of the EU’sactivities as among itsfundamental aims. As such, itlegally and institutionallyformalises the Europeancommitment tomainstreaming equalitymeasures.

The European EmploymentStrategy is perhaps one ofthe clearest examples ofwhat mainstreaming equalitywill mean in practice forpolicy formulation. Theessential principle ofmainstreaming is that genderassessment is applied to allareas of policy formulation,including development co-operation, youth, educationand training, research anddevelopment. Within thecontext of Structural Fundreform, emphasis is placedon the dual strategy ofcombining mainstreamingwith specific actions forwomen. Equally important isachieving a balancedparticipation of women andmen in decision-makingprocesses.


The Structural Fundsin OperationStructural Fund actions willfocus on three 'Objectives'for the 2000-2006programming period:

Objective 1: promoting thedevelopment and structuraladjustment of regions whosedevelopment is laggingbehind.

Objective 2: supporting theeconomic and socialconversion of areas facingstructural difficulties

Objective 3: supporting theadaptation andmodernisation of education,training and employmentpolicies and systems.

Objectives 1 and 2 benefitspecific regions; Objective 3covers the whole Union.

These Objectives areimplemented throughregional developmentprogrammes proposed by theMember States and adoptedby the Commission in theform of a CommunitySupport Framework (CSF) orSingle ProgrammingDocument (SPD). Followingadoption of the CSFs andSPDs, the Member States orthe regions responsible mustadopt complementaryprogramming documents foreach programme, whichprimarily indicate thebeneficiaries and financialallocations for the measuresproposed.

The Community also financesother programmes onsubjects proposed by theEuropean Commission. Theseare know as CommunityInitiatives. There will be fourCommunity Initiatives in the2000-2006 period: INTERREG(cross-border cooperation),URBAN (economic and socialconversion of towns, citiesand urban areas in crisis),LEADER + (ruraldevelopment) and EQUAL(promoting equalopportunities on the labourmarket).

Action in Objective 1 and 2 regions

The European Employment Strategy is notsolely implemented through national policybut also through local and regional authorities- giving wide scope for a regional dimensionincluding through measures under regionalObjective 2 programmes.

The main characteristics of such programmingin employment and human resources are:

• a response to local or regional needassessment resulting from bottom-upprogramming

• integration with activities supported byother Structural Funds

• avoidance of double financing underObjective 3.

Identification of training and skills needs inObjective 2 regions should be linked withother Structural Fund support for thedevelopment or conversion of businesses.Providing they complement the measuresunder Objective 3, this may include:

• training and integration initiativesresponding to the evolving needs of localand regional business

• stimulating and responding to Objective 2business training requirements (aid to firmsto train young people or provide workerswith new skills, whilst developing newactivities such as new products orprocesses)

• supporting local and regional authorities inidentifying business training needs and infacilitating the adjustment of training andemployment systems to meet local andregional needs.

Such a bottom up approach may also beincluded in actions in Objective 1 regions.

E X A M P L E

Strengthening employability andentrepreneurship among women

In Spain, the Ayuntamiento of SantaPerpétua de Magoda and the Associationof Employers set up a programme using anintegrated approach to help womenidentify career opportunities and to findwork: linking both the needs of womenand the needs of local businesses in theregion. The first step was to provideinformation on career options available,followed by a series of individualconsultations and group sessions. This wasfollowed by the training itself: from 400 to500 hours including both practice andtheory in areas such as community servicesor administration.

TRAINING IN NEW TECHNOLOGIES AND

MANAGEMENT SYSTEMS AT THE ADELPHI

CENTRE (GLASGOW, UNITED KINGDOM)


The Structural Funds are designed toencourage integrated and balanced urban andrural development. The overall aim is a moreevenly distributed pattern of developmentacross the whole Union as the development ofeach region progressively encourages theemergence of increasing numbers of areas ofcomplementary activity surrounding it.

Urban development

Urban areas play a vital role in the Europeaneconomy. They are centres of communication,commerce, creativity, innovation and culturalheritage, they consume more than their fairshare of energy and non-renewable naturalresources, and they produce disproportionateamounts of waste and pollution. Medium-sized towns in particular exert a powerfulinfluence on rural areas.

The Commission’s recent communication:“Sustainable urban development in theEuropean Union: a framework for action”(COM 98/605) sets the context for StructuralFund actions in urban areas. As part of theintegrated strategy for regional development,these actions should aim at fourinterdependent goals:

• greater prosperity and employment inurban areas by enhancing the role of townsand cities as regional growth poles

• support for social integration, fairness andthe regeneration of urban areas

• the protection and improvement of theurban environment to improve the qualityof life, protecting human health andsafeguarding local and global ecosystems(including sustainable transport systems,renewable energy sources and rationalenergy management)

• contributing to systems for sound urbanand local management.

In both Objective 1 and 2 areas, this approachshould mean that the various Structural Fundprogramming documents include integratedurban development measures. Specifically, therestoration of disadvantaged urban areascould receive special support through anintegrated territorial approach similar to thatdeveloped by the Urban Community Initiative.

Furthermore, measures supported by the ESFunder Objective 3 should have a major impactin terms of social cohesion even in areas notcovered by Objectives 1 and 2.

Sustainable urbandevelopment Despite their diversity, citiesand towns across Europe allface the challenge ofsustainable urbandevelopment, which somecities are addressing moresuccessfully than others.

To help regions respond tothe challenge, theCommission adopted thecommunication “SustainableUrban Development in theEuropean Union: AFramework for Action” (COM98/605) on 28 October 1998.This document is the follow-up to the 1997communication “Towards anUrban Agenda in theEuropean Union” (COM97/197), and sets out therationale behind Communityaction in urban policy,emphasising that cities arecentral to ensuring Europeancompetitiveness and thattheir strengths andweaknesses directly influenceEU regional disparities.

The Framework is structuredaround four closely linkedpolicy objectives, for each ofwhich a series of actions isproposed. All measures aredesigned to promote anintegrated and more co-ordinated approach tosustainable urbandevelopment. They arelargely based on adaptingand improving theapplication of existing EUpolicies and instruments,most notably the StructuralFunds, the Fifth FrameworkProgramme for Research andDevelopment, and EUeducation and trainingprogrammes.

It is proposed that theStructural Funds in particularbe used to finance explicitlyan integrated package ofmeasures addressing a widerange of urban problems,with priority accorded tomeasures targetingunemployment and socialexclusion. Other actionsproposed include innovativemeasures to promote theexchange of best practiceand bench-marking, thedevelopment of know-how,opportunities for improvednetworking between thoseresponsible for urban issuesand improved policy co-ordination between variouslevels of administration.

III. Balanced urban and ruraldevelopment

E X A M P L E

The renovation of an urban area in difficulty

Public and private assistance has beenoffered to Aulnay-sous-Bois in the Île deFrance region which has 5 000 councildwellings, with a range of attendant socialand economic difficulties. This is a majorurban project including renovation andcomplementary measures supported by theUrban Community Initiative, one of whichseeks to reduce insecurity while offeringnew services to the inhabitants in the formof branch centres providing staff, mobileservices and offices for local associations.There is also an initiative to collect bulkyobjects and recyclable waste.

LORE PROJECT

(LOCAL AND REGIONAL PLANNING OBSERVATORIES NETWORK) IN RAGUSA (ITALY)


Synergies If the European Union is toenjoy the best possibleconditions for growth, thenStructural Fund programmesin urban and rural areasshould be used to fosterintegrated territorialdevelopment. They shouldtherefore encourage a multi-centred approach, whichfacilitates access by ruralareas to the specialistservices that only urbancentres can offer, andprovides city dwellers withthe food supplies andnatural, tourism andrecreational activities whichrural areas can provide. Inthis way, the Funds can alsocontribute to the quest forgreater sustainabledevelopment by preventingduplication of effort.

However, Structural Fundsprogrammes cannot work inisolation. In order toheighten their effectivenessthey should becomplemented by nationalschemes to develop networksbetween urban centres andto improve links betweentowns and rural areas. TheInterreg III CommunityInitiative should completethis process by supportingtrans-European, andparticularly cross-border, co-operation to achieve abalanced development of theterritory of the Union.

Rural Development

While some of the most dynamic regions ofthe Union have a rural character, there aremany other rural areas experiencing acutesocio-economic problems. These are reflectedin weak demographic structures, insufficientjob opportunities and an under-provision ofkey services. Many of these difficulties are aresult of deep change stretching over severaldecades, notably the decline of agriculture interms of its contribution to regional incomeand employment. Today, around three-quarters of Europe’s farmers are part-time,requiring supplementary sources of income. Atthe same time, rural areas still account forsome four-fifths of EU territory, whileagriculture is the largest user of rural land andremains a key economic sector in manyregions.

In the most severely affected areas (Objectives1 and 2) the Structural Funds and the EAGGFGuarantee Section should support thediversification of the rural economy based onnew activities through integratedprogrammes. Priorities include:

• A stronger agricultural sector throughinvestment in modernisation, processingand marketing of agricultural and forestryproducts, reducing costs and improvingproduct quality, increasing the value addedby agriculture and maintaining agriculturalholdings and the rural environment.

• Improving the competitiveness of ruralareas by improving access to andpromoting diversification into new activitiesand employment creation. This includes thedevelopment of tourism and small business,most of which produce virtually uniquehigh-quality products.

• Maintenance of the environment andEurope’s rural heritage: environmentalprotection must be a major priority for ruralpolicy, including the preservation of thecountryside and natural resources,traditional rural areas, the promotion ofagricultural tourism and the renovation ofvillages.

Mainstream rural development strategiesalone cannot address all the problemsconfronting rural areas, especially in view oftheir scale. The new Community Initiative forrural areas will support actions conceived andcarried out by local partnerships and soprovide an opportunity for actionscomplementary to mainstream programmes.

The contribution of the Structural Funds tointegrated territorial development must bebacked by other types of support. This mayinclude networks between urban centres, andimproved links between towns and rural areasdesigned to prevent duplication of effort andto promote an efficient land use model basedon sustainable development (see margin –synergies).

E X A M P L E

New agricultural activities innorthern Italy

In the Val Bormida, in northern Italy,inhabitants faced declining incomes fromtraditional agriculture and yet the area hadpotential as an important supplier ofmedicinal plants. With the assistance of EUrural development programmes, two newprojects were supported, involving thepurchase of equipment allowingautomated processing and packaging ofdried plant material, research into theintroduction of new varieties, andimproved quality control.

By the mid-1990s, production of essentialoils reached 1500 kg compared to 120 kgsome 10 years earlier while the qualitycertification “organic produce” wasobtained guaranteeing a superior marketposition and a higher rate of return. As aresult, a new agricultural outlet has beendeveloped in the region, creating 7 newjobs. It has also contributed to themaintenance of the natural landscape in amountainous environment, bringing a totalof 100 hectares of less fertile land underuseful cultivation.


Responsible editor: Thierry Daman, CEC, Regional Policy DG, Unit 0-01. The texts of this publication do not bind the Commission.For further information, contact L Nigri. Fax: +32 2 296 60 03. Electronic address of the Regional Policy DG on the Internet: <http://inforegio. cec.eu.int>. Orders for publications: <[email protected]> - This newsletter is published in all eleven official languages of the European Union.Printed on recycled paper.

KN-28-00-212-EN-C

European Commission Directorate-General for Regional Policy

Measures for fisheries areas

The Common Fisheries Policy seeks to guideand accelerate sectoral restructuring throughthe rationalisation and modernisation ofproduction.

With regard to fleets, programmes must takeaccount of the following priorities:

• implementing the multi-annual guidanceprogrammes, which remain the referencefor fisheries capacity;

• avoiding undesirable effects such as, on theone hand, the ageing of the fleet, or onthe other hand, rapid technical progresswhich risks offsetting reductions incapacity;

• prioritising the use of more selective fishinggear and methods, improving the quality ofthe fish taken and preserved on board andon improving working conditions andsafety.

Structural policy in the fisheries sector is also acomponent of cohesion policy. It is essential toensure synergies between the differentStructural Funds in order to guarantee results.

Further informationFurther information can beobtained from the followingEuropean Commission websites:

Directorate-General forAgriculture:http://www.europa.eu.int/comm/dg06/index_en.htm

Directorate-General forEmployment and SocialAffairs:http://www.europa.eu.int/comm/dg05/index_en.htm

Directorate-General forFisheries:http://www.europa.eu.int/comm/dg14/index_en.htm

European EmploymentStrategy:http://www.europa.eu.int/comm/dg05/empl&esf/ees_en.htm

Sustainable UrbanDevelopment in theEuropean Union: AFramework for Action:http://inforegio.cec.eu.int/urban/forum/src/paper03.htm

The new Structural Fundsregulations for the nextprogramming period, 2000-2006, and other relateddocuments can be accessedfrom the Inforegio web site:http://inforegio.cec.eu.int

MARINE RESEARCH PROJECT CELTIC VOYAGER IN IRELAND

june 2000 inforegio - european...

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