Finland proposes to change direction of EU innovation policy

The Finnish Presidency invites the EU-25 ministers to discuss a change in the direction and content of EU innovation policy and wants to guide the way towards demand-led innovation policies.

Finland’s EU Presidency is set to “strive to bring Europe’s economy and entrepreneurship back on track”, said the Finnish Minister of Trade and Industry, Mauri Pekkarinen. One of the methods to do this will be the adoption of a new approach to innovation policy.

For this purpose, the Finnish Presidency has prepared a background discussion paper for the Competitiveness council ministerial meeting taking place on 10-11 July 2006. This informal meeting focusing on innovation will aim to “initiate a broad discussion on the direction and substance of European innovation policy”. 

The ministers will discuss the role of market forces in launching new innovations and ways to integrate customers and consumers as part of innovation policy. The main question is thus about the need to shift the current EU innovation policy more towards demand-led innovation policies

With this regard, the Aho report on Creating an innovative Europe (January 2006) has already highlighted the role of public procurement as a driver for innovative goods. The need to create demand and lead markets for technology intensive goods and services was emphasised also by the EU business leaders in the European Business Summit in March 2006.

On 10-11 July, the Finnish Presidency will also invite the ministers to “roll up their sleeves” and to participate, in workshops on different topics related to innovation: 

  • competition and innovation-friendly regulation,
  • public services as drivers for innovation,
  • adaptability of research systems, 
  • entrepreneurs’ role in bringing innovation to the markets.

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A small expert group chaired by the former Finnish prime minister, Esko Aho, was appointed by the October 2005 Hampton Court European Council, to consider what new efforts are needed in the field of research and innovation to achieve the Lisbon goals. The group's final report, Creating an innovative Europe, was published in January 2006.

One of the report’s main points is the creation of an innovation-friendly market in which businesses can launch new products and services. The report considers e-health, pharmaceuticals, energy, environment, transport and logistics, security and digital content as the top sectors in which the market needs to be urgently created, with public procurement driving the demand.

  • The Finnish Presidency will provide for a summary of the informal Competitiveness Council's results soon after 11 July, 2006. 
  • The Commission will publish a Communication on Innovation in September 2006.
  • The December 2006 Competitiveness Council is set to discuss "concrete deliverables and suggestions for practical policy improvements that might be taken up by the forthcoming German Presidency".

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