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Regional Policy under Europeanization: Europe of Regions Dr. Péter Szegvári

Regional Policy under Europeanization: Europe of Regions Dr. Péter Szegvári Government Reform Expert T. Univ. Associate Professor Director of Regional Development Holding, Hungary CANADA-UKRAINE REGIONAL GOVERNANCE AND DEVELOPMENT PROJECT. Contents of the Presentation.

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Regional Policy under Europeanization: Europe of Regions Dr. Péter Szegvári

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  1. Regional Policy under Europeanization: Europe of Regions Dr. Péter Szegvári Government Reform Expert T. Univ. Associate Professor Director of Regional Development Holding, Hungary CANADA-UKRAINE REGIONAL GOVERNANCE AND DEVELOPMENT PROJECT

  2. Contents of the Presentation • Stages of forming Regional Policy in EU and inCEE countries, regarding to the accession process to EU • Evaluation on legislative support of Regional Policy in EU countries • Institutional Framework of Regional Policy in EU countries • Financial support for Regional Policyin EU countriesand in Hungary • Correlation between Regional Policy and Regional Governance in the practice of European countries • Recommendations: lessons learned

  3. ‘If the EU could have a religion, it would be called: regionalism.' Michael Lake

  4. The Regional Roles and Functions in the European Union • Planning – development programming – statistical Regional Policy  Regionalisation 2. Administrative – Political Regional Democracy  Regionalism

  5. The main objectives of the regional policy • Strengthening the capacity of the local communities and the regional governments to integrate into the global market • Innovation • Additionally • Complexity • Reducing the differences between the regions and the communities • Cohesion • Solidarity • Integration

  6. Stages of forming Regional Policy in EU and inCEE countries, regarding to the accession process to EU • Bureaucratic period - Unsystematic approach by the State and lack of activity by the Local Governments • Transition period - Building a new type of Regional Policy, regarding the accession to the EU • Democratic period • Implementation of European Regional Policy • Integrated regional approach by the State • Decentralization and partnership in the Regional Governance

  7. Evaluation on legislative support of Regional Policy in EU countries-I.

  8. Evaluation on legislative support of Regional Policy in EU countries-II. • Necessary a complex regulation on the Regional Policy concerning on the principles of European Regional Policy • Effective implementation of Regional Policy needs a long-term National Strategy on Regional Policy regarding the European Planning and Programming Periods • Have to create a Territorial Statistic System relating to the N.U.T.S. of EU • Regional Policy requires a correlation with Spatial Planning Policy

  9. Key objectives of Structural Operations 2007-2013 Objective 1: Cohesion Objective 2: Competitiveness Objective 3: Co-operation - Interregional co-operation - New Partnership and Neighbourhood Policy

  10. N.U.T.S. system in EU Mandatory • Level 3.000.000 - 7.000.000 • Level 800.000 - 3.000.000 • Level 150.000 - 800.000 Voluntary • Level sub-regions/micro-regions • Level settlements/cities and villages Types: Administrative / Non-administrative

  11. The pillars of European Spatial Planning Policy - ESDP

  12. Institutional Framework of Regional Policy in EU countries The Regional Policy requires effective andefficient system of management at national and regional levels.

  13. Euro-regions: European Grouping of Territorial Co-operation / EGTC The EGTC is a new European legal instrument enabling regional and local authorities from different Member States to set up cooperation groupings with legal personality. It was established by REGULATION (EC) No 1082/2006 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 5 July 2006 on a European grouping of territorial cooperation (EGTC).

  14. Partnership for RSP in the experience of EU Since 1988 the ‘vertical and horizontal partnership’ is one of the main principles of Structural Policy of European Union 1260/1999/EC Resolution „The partnership means a close co-operation between European Commission and national, regional, local and other authorities of Member States, included the certain social and economic partners of Member States in the implementation of European Structural Policy… …The partnership principle should be implemented in the preparation, financing, monitoring and evaluation of funding.”

  15. The pillars of the successful regional and local development Capital Knowledge Information Trust Communication

  16. Financial support for Regional Policyin EU countries-I.

  17. Financial support for Regional Policyin EU countries-II. Special financial supports for Regional Policy • Coordinated budgetary process and tools for Regional Policy • Special financial tools for supporting industrial restructuring, rural development, public-private-partnership, investment attraction, equalization regional and local disparities • Coordination of domestic and additional international sources for Regional Policy • Monitoring and Controlling System

  18. Financial tools for Regional Strategic Plan in Hungary • Direct regional sources - decentralized • Regional Development Fund /TFC/ • Territorial Balancing Fund /TEKI/ • Special Decentralized State Subsidy /CÉDE/ • Indirect regional sources - centralized • European Sources • Pre-Accession Funds / PHARE, ISPA, SAPARD/ till 2006 • Structural Operations /Structural and Cohesion Funds/ since 2004 • Community Initiative Programme Sources /URBAN, New Neighbourhood Instrument/ since 2007

  19. Main objectives of the absorption capacity building in Hungary • Administrative absorption capacity building • Leadership • Managerial knowledge and skills • Institution building • Planning and programming • Financial absorption capacity building • Preparation Fund for Application of Local Governments • Infrastructure building • Hungarian Development Bank & Regional Development Holding Ltd. • Credit and loan for the investments • Venture capital

  20. Correlation between Regional Policy and Regional Governance in the practice of EU countries

  21. The „middle-tier” administrative territory The elected body Legal autonomy and independent authority Economical autonomy / Fiscal decentralization Requirements of the European Regional Charter

  22. Challenges of regional governance in CEE countries In the regional governance: >Decentralization > De-concentration/ Re-centralization In the local governance: >Integration and Association > Amalgamation

  23. Recommendations: lessons learnedfrom CEE experience -I. • Transition from ‘State-led Growth’ to ‘Market-led Growth’ requires an effective and efficient Regional Policy • The following of the principles and requirements of European Regional Policy could be a ‘driving force’ for domestic regional policy • The Regional Policy would be more successful coherently the Public Administrative Reform process regarding to decentralized Regional Governance

  24. Recommendations: lessons learnedfrom CEE experience -II. • The effective and efficient Regional Policy needs a complex regulatory support, concerning on the principles of European Regional Policy • The Regional Policy requires effective and efficient system of management at national and regional levels. • The Regional Policy needs financial supports, regarding the special tools, financial coordination and fiscal decentralization.

  25. Thank you four your kind attention! Dr. Péter Szegvári Government Reform Expert T. Univ. Associate Professor Director of Regional Development Holding, Hungary szegvari.peter@rfh-rt.hu

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