ENENRegional Policy

EUROPEAN COMMISSION

Contribution of the Regional Policyto eco-innovation and

environmental technologies

Pierre Godin, European Commission

DG Regional Policy

AER-ARE / ECREIN Conference 1st June 2007, Stuttgart

Contribution of the Regional Policyto eco-innovation and

environmental technologies

Pierre Godin, European Commission

DG Regional Policy

AER-ARE / ECREIN Conference 1st June 2007, Stuttgart

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

22

Reducing the regional disparities

Contributing to the Lisbon strategy (2000), renewed in 2005 (integrated guidelines):

• competitiveness and growth )

• more and better jobs ) …earmarking

Contributing to the Sustainable Development Strategy (Gothenburg 2001), renewed in 2006:

•Climate change, clean energy, sust. transport

•Sustainable production/consumption patterns

•Sustainable management of natural resources

EU Cohesion Policy (CP): objectives and contextEU Cohesion Policy (CP): objectives and context

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

33

Key words for defining eco-innovation (EI):

• innovation = new: products, services, processes, management & business method

• eco = to prevent or reduce the risk for the environment, pollution, other negative impacts,

Examples of environmental technologies (ET):

•Clean and energy efficient in SMEs and others,

•Water, waste water, waste, soil treatment,

•Sustainable energy & transport (climate),

•To prevent & cope natural & technological risks

Eco-innovation? Environmental technologies?Eco-innovation? Environmental technologies?

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

44

Eco-industries: 2.1% of GDP and 3.5 mio jobs EI&ET, a decisive contribution to sust. develop:

• challenge = synergies between 3 pillars of SD

• integrat. economic, social & environmental obj. Cohesion policy focuses on economic and social pillars: growth, competitiveness, jobs and social inclusion

Many priorities of the regional policy address the environmental pillar of SD:

• EI&ET in SMEs and other businesses,

• Water, waste water, waste, soil treatment,

•Sustainable energy & transport / risk prevention

EI&ET and the objectives of the regional policyEI&ET and the objectives of the regional policy

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

55

EI&ET offers economic opportunities for CP by:

making regions more attractive places to invest and work

reducing production costs with clean & energy efficient technologies

improving competitive advantages of a region and its businesses

exporting regional eco-innovationsTo play synergies, it is necessary to reduce the administrative burden on the regions by simplifying the implementation of the environmental legislation.

Turning challenges into opportunitiesTurning challenges into opportunities

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

66

SGC focus on the following priorities:

improving the attractiveness of the regions by increasing accessibility & environmental potential

encouraging entrepreneurship, research and innovation capacities (including ICTs)

creating more and better jobs by attracting more people into employment, improving adaptability of workers & businesses, and increasing investment in human capital

EI&ET are cross-cutting these 3 priorities.

EI&ET in the EU Strategic Guidelines on Cohesion (SGC)

EI&ET in the EU Strategic Guidelines on Cohesion (SGC)

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

77

Strengthening synergies environment / growth:

investments to comply with environmental legislation: water, waste, air, nature

investments related to Kyoto commitments: sustainable energy and transport

risk prevention measures: management of natural resources, targeted research, better use of ICT, innovative public management policies

energy efficiency and low energy intensity development models;

renewable and alternative energies: wind, solar, biomass, Lisbon objective (20% in 2010).

EI&ET under the 1st priority of the SGCEI&ET under the 1st priority of the SGC

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

88

Ensuring full exploitation of European strengths in the area of eco-innovations:

Eco-innovations should be promoted, together with the improvement of SME practices through the introduction of environmental management systems.

By investing in this area now, EU businesses will be in a strong position in the near future when other regions appreciate the necessity of such technologies.

This is an area with a clear link to the Competitiveness and Innovation Framework Programme.

EI&ET under the 2nd priority of the SGCEI&ET under the 2nd priority of the SGC

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

99

The 3rd priority covers, in particular:

adapting education and training systems in response to new competence requirements,

enhancing capacity building in the public sector in the delivery of policies and programmes

Although eco-innovation and environmental technologies are not explicitly mentioned under this priority, they should be taken into consideration.

EI&ET under the 3rd priority of the SGCEI&ET under the 3rd priority of the SGC

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

1010

ERDF shall ensure SD (Art. 2), in particular: Convergence (not earmarked): water supply, waste water & waste treatment, air quality

Convergence & competitiveness : • earmarked: cleaner and innovative technologies in SMEs, sustainable transport, sustainable energy (efficiency, renewable)

•not earmarked: regeneration of contaminated sites, SD of Natura 2000 sites, sustainable tourism, risk prevention

Territorial cooperation: priorities under convergence & competitiveness objectives are priorities issues for cooperation

Funding EI&ET under the European Regional Development Fund (ERDF)

Funding EI&ET under the European Regional Development Fund (ERDF)

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

1111

CF is established for the purpose of strengthening the economic and social cohesion of the Community in the interest of promoting SD (Art.1)

One of the two priorities is the environment, namely: the priorities assigned to the EU environmental protection policyThe priorities related energy efficiency, renewable energy and sustainable transport

Funding EI&ET

under the European Cohesion Fund (CF)

Funding EI&ET

under the European Cohesion Fund (CF)

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

1212

Each Member State (MS) has to prepare a National Strategic Reference Framework (NSRF) and Operational Programmes (OPs) containing thematic and territorial priorities, basis for funding projects

NSRFs and OPs are prepared in partnership with environmental authorities and NGOs

The priorities chosen for an OP have to be justified taking account of the SGC, NSRF and the results of the ex-ante evaluation, incl. an environmental assessment

If the priorities of the OP are not sufficiently justified, the MS will be asked by the Commission to provide additional information and, if necessary, to revise the proposed OP.

In the negotiation process with the Member States, the Commission asks frequently to put more emphasis on innovation and eco-innovation.

EI&ET within the implementing documents of the Member States (NSRFs and OPs)

EI&ET within the implementing documents of the Member States (NSRFs and OPs)

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

1313

Member States (MS) have to apply two Directives adopted under the EU environmental policy to provide a high level of protection of the environment and to contribute to the integration of environmental considerations:

At project level, the EIA Directive,At programme level, the SEA Directive, Both SEA & EIA require a consultation (environmental

authorities / public). Results have to be taken in consideration. Any decision that could damage the environment must be justified and accompanied by appropriate compensatory measures.

EI&ET can reduce the pressure on environment of programmes and projects.

EI&ET in the preparation and implementation of OPs / projects (SEA & EIA)

EI&ET in the preparation and implementation of OPs / projects (SEA & EIA)

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

1414

Figures based on the proposed OPs (not yet adopted) and on the categorisation of Funds assistance:

Direct environmental investments (15%): water, waste, contaminated sites, air and climate change, nature protection and risk prevention

Indirect environmental investments (15%): sustainable transport and energy, promotion of eco-innovations and environmental management systems in SMEs, urban and rural regeneration, sustainable tourism

Necessary to find a balance between all this prioritiesNot easy to calculate allocations of CP to EI&ET:Broad sense: 15 + 15 = 30% (of € 320 billions, EU total)Narrow sense (code 06): assistance to SMEs for the

promotion of clean & innovative technologies = 0.5%

Balancing financial allocations between the different priorities of the Cohesion Policy (CP)

Balancing financial allocations between the different priorities of the Cohesion Policy (CP)

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

1515

Main differences with CIP (Competitiveness and Innovation Programme), FP (Framework Programme for Research (FP-RTD) and LIFE, are:objectives: excellence in a sector (CIP, FP and LIFE) vs. regional integration (ERDF and CF)level of desired impact: EU (CIP, FP and LIFE) vs. regional or national (ERDF and CF),governance: centralised (CIP, FP and LIFE) vs. decentralised (ERDF and CF),selection of projects: EU calls for proposals (CIP, FP and LIFE) vs. regional partnership under the OPs.Consequences on the probability for funding EI&ET: CP: the region is sure to receive the money of the OP,Others: based on results of the EU calls for proposals(?)Authorities responsible for CP, CIP & FP should develop synergies.

Cohesion policy (CP) and other sources of fundingCohesion policy (CP) and other sources of funding

Regional Policy

EUROPEAN COMMISSIONEN

ENEN

1616

Under the Cohesion Policy, the EU has adopted strategic and operational instruments, to be implemented by the Member States, that should ensure that eco-innovation and environmental technologies are taken into consideration in the economic development of the regions.

Of course, it is necessary to ensure a satisfactory implementation, monitoring and evaluation of these instruments.

Thank you for your attention!

As a conclusion…As a conclusion…