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Regional and innovation chiefs pledge to end duplication

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Published 17 March 2010, updated 22 March 2010

The EU commissioners for innovation and regional policy, meeting in Spain this week, have called for an end to duplication and misuse of EU funding between their vast policy machines and pledged to work better together.

Research and Innovation Commissioner Máire Geoghegan-Quinn and Regional Policy Commissioner Johannes Hahn outlined ways their departments could work together to improve the innovation output of Europe's regions and reduce overlap between their services.

Speaking at the launch of the Week of Innovative Regions in Europe (WIRE), held in Granada as part of the Spanish EU Presidency, they stressed that more "synergies" were required "to avoid any further multiplication and fragmentation of Community funding".

Big money is at stake, with regional funding accounting for a third of the EU budget, while the amount of Brussels money pumped into innovation and research has increased significantly in the past decade.

However, with the expiration of the EU's flagship Lisbon Strategy for growth and jobs – which ran from 2000-2010 and by common consensus failed in its goal of radically improving European innovation – the pressure is on to produce better results with the 'Europe 2020' strategy, the European Commission's latest long-term policy blueprint.

The commissioners highlighted the need to find improved methods of cooperation between the bodies responsible for EU funding programmes, many of which fall under their remits.

Improving contact between managing authorities for structural fund programmes, national contact points for research projects (FP7) and the Enterprise Europe Network for the Competitiveness and Innovation Programme (CIP) should help start to eliminate overlaps.

Ann Mettler, executive director of the Brussels-based Lisbon Council think-tank, told EurActiv that "we must urgently weed out potential duplication between research and regional projects, so greater coordination between these two areas is in order. In these times of crisis and budget constraints, EU funds must be used to maximum effect".

Regional money for innovation ideas?

While removing overlaps will be a key step, it was also suggested that the Commission's research directorate could pinpoint certain valuable projects which DG REGIO could then fund from the regional budget.

They also noted that they are preparing a joint communication – expected in the second half of 2010 – to "better align cohesion policy with the Europe 2020 strategy" for creating a knowledge-based economy.

"Business as usual is not an option and the closer cooperation between Commissioners Hahn and Geoghegan-Quinn is to be welcomed," Mettler concluded.

Positions: 

Spanish Science and Innovation Minister Cristina Garmendia said the bulk of European resources spent on promoting science and innovation are managed by member states and their regions, and that consequently, European science policy "cannot progress without the involvement of regional and local governments". 

Ann Mettler, executive director of Brussels-based think-tank the Lisbon Council, told EurActiv that "it not only makes sense but is long overdue to link regional policy more closely with the EU's modernisation strategy (Lisbon Agenda / Europe 2020). Regions are crucial in building the policy infrastructure for a green, smart and inclusive economy, so of course the bulk of the funds allocated by the EU must go towards this end".

"In addition, conditionality should be deployed, meaning that regions that perform better in reaching their goals should receive a 'carrot' in the form of additional payments or at the very least greater recognition by the responsible EU authorities. It is time to use regional funds to incentivise and reward excellence and progress," she said.

Regional Policy Commissioner Johannes Hahn argued that "we have to recognise the fact that research is an important source of innovation, but does not necessarily lead to innovation".

"Thus, for innovation to happen it needs to take into account other factors, in particular the availability of finance, creative and well-educated human resources, an innovation-friendly market and most importantly entrepreneurial spirit".

Additionally, he added, "innovation often happens in interactions with other innovation players, such as competing companies, suppliers or people from totally different sectors like designers, service providers, etc. Contrary to research, these interactions depend on geographic proximity and an eco-system that allows new ideas to emerge".

He concluded that "for a significant improvement of innovation we will have to find the best level of implementation. And as innovation needs geographic proximity, cohesion policy offers the right multi-level political framework for it. Moreover, cohesion policy would ensure a coherent approach to innovation policy".

"Of course," he added, "this will need adequate financial means, and as we all know financial means are limited. So, we will also need to look into the priorities for our funding. In this context, cohesion policy should provide consultancy to regions to identify their existing strength and how to make best use of the region's comparative advantage in a global competition".

Regional Policy Commissioner Johannes Hahn
Background: 

The EU's new strategy for sustainable growth and jobs, called 'Europe 2020', comes in the midst of the worst economic crisis in decades (EurActiv 14/03/10).

The new strategy replaces the Lisbon Agenda, adopted in 2000, which largely failed to turn the EU into "the world's most dynamic knowledge-based economy by 2010".

The new agenda puts innovation and green growth at the heart of its blueprint for competitiveness and proposes tighter monitoring of national reform programmes, one of the greatest weaknesses of the Lisbon Strategy.

According to the European Commission, regional policy is a proven development policy capable of supporting key investments in regions in line with the economic agenda of the EU.

One Commission communication argues that "cohesion policy is a key instrument for delivering the Europe 2020 strategy. It has much to offer: a multi-level system of governance that involves all levels, authorities and stakeholders, an integrated approach linking economic, social and environmental spheres and a stable source of financing for smart investment".

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