Irish Regions Office Website

April 06, 2010

Regional spending efficiency - Ireland scores highly

Almost three quarters of the EUR347 billion worth of EU regional funding remains unspent halfway into the current programming period according to a report released by the European Commission on 31 March. The 'Cohesion Policy: Strategic Reort 2010 on the implementation of the programmes 2007-2013' assesses, for the first time, the rate of progress of each country on delivering agreed EU objectives by allocating part of their Structural Funding packages to specific projects and schemes. This is part of the EU's drive for results-orientated policy.

Ireland is among the very best performing Member States with the Managing Authorities of its two Regional Programmes, the national Human Capital Investment Programme and the various Interreg programmes having already determined how 51.8% of its total allocation is to be spent on particular activities (with much of this having already been spent by the ultimate beneficiaries) up to the end of 2009. By contrast the Greek rate stands at just 11.9% - possibly exposing that country among others to the spectre of having to hand back significant amounts of funding over the coming years.

The report, based on 27 national reports supplied over recent months, serves as a monitoring instrument, identifying the investment areas where the Structural Funds have the potential to accelerate economic recovery if properly and efficiently applied. Despite the worrying figures the Commission is claiming that the practice of earmarking - targeting funds towards achieving specific goals under the EU Growth and Jobs strategy - is working reasonably well in improving the quality and focus of programming at regional level. Actions on research and development, innovation, lifelong learning and active labour market policies are cited as performing well, although concern is expressed with the need for speedier progress and better Member State prioritisation of key investments in support of energy and environment, the digital economy, social inclusion and institutional capacity building.

Ireland's contribution to the overall document - the National Strategic Report - acts as an update, in the light of the economic crisis, on the underlying factors and priorities (workforce upskilling; labour market participation; regional innovation, knowledge, and entrepreneurship; regional competitiveness, attractiveness and connectivity; environmental and sustainable development) which framed the negotiation with the Commission of the terms of the various Structural Fund programmes back in summer 2007. It includes separate chapters dealing with each of the Operational Programmes including outputs to date, challenges including the public expenditure review, plus details of any renegotiation of priorities agreed in 2009 due to the changed socio-economic circumstances.

A number of best practice ongoing Structural Funds initiatives are commended in the Irish report
* University of Limerick Incubation Centre (Southern & Eastern Regional Operational Programme);
* Gateways and Hubs Investment Scheme (shared by both BMW & S&E Regional Operational Programmes)
* National Broadband Scheme (as above);
* Development of a Centre of Excellence for training in the Biopharmaceutical and Pharmaceutical Sector (Human Capital Investment Operational Programme);
* Third Level Access Activity (as above);
* Supporting equality mainstreaming within the Irish Hospitality Sector (as above);
* The Celtic Wave project on fuel-efficient cruise itineraries involving Dublin Port and the Ports of Waterford and Cork ( Interreg 4A Ireland-Wales programme );
* An Taisce's Green Communities project (as above);
* Irish Society for Autism's 'Developing Skills for Employment and Educational Integration' project (as above).

Strategic Report

Cohesion policy: Strategic report 2010 - Ireland

Posted by iroronan at April 6, 2010 11:03 AM