The cohesion policy of The cohesion policy of the European Unionthe European Union

Pelle AnitaPelle Anita

University of SzegedUniversity of Szeged

Faculty of Economics and Faculty of Economics and Business AdministrationBusiness Administration

Cohesion policyCohesion policy

the expression has been used for a couple of yearsthe expression has been used for a couple of years earlier: regional policy, structural policyearlier: regional policy, structural policy

this change has this change has some some relevance:relevance: disparities within the EU cannot necessarily only be disparities within the EU cannot necessarily only be

reduced by decreasing the differences in development of reduced by decreasing the differences in development of certain territoriescertain territories

the inner cohesion of the EU has to be strengthened in the inner cohesion of the EU has to be strengthened in order to improve the EU’s position in the global competitionorder to improve the EU’s position in the global competition

the first document that calls this EU policy by the the first document that calls this EU policy by the new name is:new name is: Third Report on Economic and Social Cohesion, February Third Report on Economic and Social Cohesion, February

20042004

PrinciplesPrinciples

hahaveve remained unchanged since 1988 remained unchanged since 1988 programmingprogramming – projects are pipelined into – projects are pipelined into

multiannual programmesmultiannual programmes current period: 2007-2013current period: 2007-2013

concentrationconcentration – primarily of resources, – primarily of resources, implementation of integrated projectsimplementation of integrated projects

partnershippartnership – cooperation between different levels, – cooperation between different levels, among local actorsamong local actors

additionalityadditionality – own resources, national contribution – own resources, national contributionfurthermore:furthermore: subsidiarity subsidiarity – problems have to be handled at the – problems have to be handled at the

lowest level possiblelowest level possible

The cohesion reportThe cohesion report

other aspects outside regional development:other aspects outside regional development: society’s ageing is putting a constantly increasing burden society’s ageing is putting a constantly increasing burden

on active employees and on social security systemson active employees and on social security systems strengthening social cohesion is crucial in the battle strengthening social cohesion is crucial in the battle

against povertyagainst poverty the ability to create new workplaces makes a the ability to create new workplaces makes a

considerable contribution to global competitiveness – and considerable contribution to global competitiveness – and not only in territories and industries that are lagging not only in territories and industries that are lagging behind! behind!

further factors of competitiveness: infrastructure of all further factors of competitiveness: infrastructure of all kind, development of human capital, innovation capacitieskind, development of human capital, innovation capacities

New set of targetsNew set of targets

earlier: reduction of regional/territorial earlier: reduction of regional/territorial disparitiesdisparities

currently: competitiveness – employment – currently: competitiveness – employment – cohesioncohesion

further targets:further targets: building a knowledge-based societybuilding a knowledge-based society social inclusionsocial inclusion sustainable developmentsustainable development completion of the single marketcompletion of the single market

Recommendations of the Recommendations of the cohesion reportcohesion report

three priorities:three priorities: convergence: supporting growth and job creation convergence: supporting growth and job creation

in the least developed regionsin the least developed regions regional competitiveness and employment: regional competitiveness and employment:

anticipating and promoting changeanticipating and promoting change European territorial cooperation: fostering the European territorial cooperation: fostering the

balanced development of the territory of the EUbalanced development of the territory of the EU more expressive application of subsidiarity in more expressive application of subsidiarity in

implementationimplementation greater concentrationgreater concentration

Eligible areasEligible areas

innovation and knowledge-based societyinnovation and knowledge-based society accessibility and services of general economic accessibility and services of general economic

interestinterest not only physical infrastructure but also ICT! not only physical infrastructure but also ICT!

environment and risk preventionenvironment and risk prevention principles: prevention, intervention at sourceprinciples: prevention, intervention at source

education, employment and social support education, employment and social support systemssystems

adaptability of workersadaptability of workers geographical, professional and organisational mobilitygeographical, professional and organisational mobility

human capital and labour supplyhuman capital and labour supply

Support schemesSupport schemes

non-reimbursable grants are given through:non-reimbursable grants are given through: European Regional Development Fund (ERDF)European Regional Development Fund (ERDF)

support to infrastructural (small scale) projectssupport to infrastructural (small scale) projects European Social Fund (ESF)European Social Fund (ESF)

support to human projectssupport to human projects Cohesion Fund (CF)Cohesion Fund (CF)

support to (large scale) environmental and transport support to (large scale) environmental and transport infrastructure projectsinfrastructure projects

favourable credits and loans (low interest favourable credits and loans (low interest rate, long period) are available at:rate, long period) are available at: European Investment Bank (EIB)European Investment Bank (EIB)

Regulation in forceRegulation in force(2007-2013)(2007-2013)

the three priorities of the cohesion report have been the three priorities of the cohesion report have been adoptedadopted

The The Convergence objective Convergence objective is quite close to the previous is quite close to the previous "Objective 1". It aims to help the least-developed Member "Objective 1". It aims to help the least-developed Member States and regions catch up more quickly with the EU States and regions catch up more quickly with the EU average by improving conditions for growth and employment. average by improving conditions for growth and employment. It covers the Member States and regions whose It covers the Member States and regions whose development is lagging behind. The fields of action will be development is lagging behind. The fields of action will be physical and human capital, innovation, knowledge-based physical and human capital, innovation, knowledge-based society, adaptability to change, the environment and society, adaptability to change, the environment and administrative effectiveness. It will be financed by the ERDF, administrative effectiveness. It will be financed by the ERDF, the ESF and the Cohesion Fund. the ESF and the Cohesion Fund.

Regulation in force II.Regulation in force II.(2007-2013)(2007-2013)

The The Regional Competitiveness and Employment Regional Competitiveness and Employment objective objective aims to strengthen the competitiveness, aims to strengthen the competitiveness, employment and attractiveness of regions other than those employment and attractiveness of regions other than those which are the most disadvantaged. It must help to anticipate which are the most disadvantaged. It must help to anticipate economic and social changes, promote innovation, economic and social changes, promote innovation, entrepreneurship, protection of the environment, entrepreneurship, protection of the environment, accessibility, adaptability and the development of inclusive accessibility, adaptability and the development of inclusive labour markets. It will be financed by the ERDF and the ESF.labour markets. It will be financed by the ERDF and the ESF.

Regulation in force III.Regulation in force III.(2007-2013)(2007-2013)

The The European Territorial Cooperation objective European Territorial Cooperation objective aims aims to strengthen cross-border, transnational and inter-to strengthen cross-border, transnational and inter-regional cooperation. It is based on the old INTERREG regional cooperation. It is based on the old INTERREG initiative and will be financed by the ERDF. It aims to initiative and will be financed by the ERDF. It aims to promote common solutions for neighbouring authorities promote common solutions for neighbouring authorities in the fields of urban, rural and coastal development, the in the fields of urban, rural and coastal development, the development of economic relations and the creation of development of economic relations and the creation of networks of small and medium-sized enterprises networks of small and medium-sized enterprises (SMEs). Cooperation will be based around research, (SMEs). Cooperation will be based around research, development, information society, the environment, risk development, information society, the environment, risk prevention and integrated water management.prevention and integrated water management.

Framework for implementation:Framework for implementation:objectives 1 and 2objectives 1 and 2

it is decided at the Member States’ levelit is decided at the Member States’ level the EU regulates the institutional framework, within the EU regulates the institutional framework, within

which the Member States have great freedomwhich the Member States have great freedom defined at the EU level :defined at the EU level :

National Strategic Reference Framework (NSRF)National Strategic Reference Framework (NSRF) to show the relations between EU targets and the national to show the relations between EU targets and the national

reform programmereform programme is in force between January 1, 2007 and December 31, is in force between January 1, 2007 and December 31,

20132013 Operative Programmes (OPOperative Programmes (OPss))

based on the NSRF, related to the whole programming based on the NSRF, related to the whole programming periodperiod

are the basis for the specific calls for proposalsare the basis for the specific calls for proposals

Institutions for implementation:Institutions for implementation:objectives 1 and 2objectives 1 and 2

according to Member States’ decisionaccording to Member States’ decision basic orgranisations at the level of the OPs :basic orgranisations at the level of the OPs :

Managing Authority (MA)Managing Authority (MA) publishing the calls for proposals, contracting, publishing the calls for proposals, contracting,

program level monitoringprogram level monitoring Intermediate Bodies (IBs)Intermediate Bodies (IBs)

take over certain tasks from the MAtake over certain tasks from the MA Paying Authority (PA)Paying Authority (PA)

provides financial assistprovides financial assistaance on account of payment nce on account of payment requests of beneficiariesrequests of beneficiaries

Framework for implementation:Framework for implementation:objective objective 33

has been developed based on the experiences of has been developed based on the experiences of INTERREGINTERREG

three main areas:three main areas:1.1. joint local and regional cross-border initiativesjoint local and regional cross-border initiatives2.2. transnational cooperation to promote integrated spatial transnational cooperation to promote integrated spatial

developmentdevelopment3.3. interregional cooperation and exchange of viewsinterregional cooperation and exchange of views

37.5 per cent of the EU’s population lives in cross-37.5 per cent of the EU’s population lives in cross-border areasborder areas

budgetary proportions:budgetary proportions:1.1. 6,44 billion EUR6,44 billion EUR2.2. 1,83 billion EUR1,83 billion EUR3.3. 445 million EUR445 million EUR

Other support schemes of the Other support schemes of the EU I.EU I.

the European Union provides financial assistance the European Union provides financial assistance through other common policies, in order to achieve through other common policies, in order to achieve the common goalsthe common goals

these, except for agricultural policy, are considerably these, except for agricultural policy, are considerably smaller in volume than cohesion policy supportsmaller in volume than cohesion policy support

relevant areas:relevant areas: agricultural policyagricultural policy environmental policyenvironmental policy research and development policyresearch and development policy enterprise development policyenterprise development policy transport policytransport policy

Other support schemes of the Other support schemes of the EU II.EU II.

these grants are also available through these grants are also available through application for callsapplication for calls many of these schemes are Brussel-centeredmany of these schemes are Brussel-centered the participation of non-EU-countries is limited the participation of non-EU-countries is limited

(e.g. as partners) or not possible(e.g. as partners) or not possible,, and it is also and it is also influenced binfluenced byy the country’s status (e.g. member the country’s status (e.g. member of the European Economic Area, Candidate of the European Economic Area, Candidate Country, has signed a Stability Agreement)Country, has signed a Stability Agreement)

further information for non-EU-countries:further information for non-EU-countries: http://ec.europa.eu/europeaid/index_en.htmhttp://ec.europa.eu/europeaid/index_en.htm

Thank you for your Thank you for your attention!attention!