Presentation on theme: "The new European Union Strategy for Rural Development"— Presentation transcript:
1 The new European Union Strategy for Rural Development AER Rural Development Conference October 2005, Exeter, Devon (UK)The new European Union Strategy for Rural DevelopmentJB. BenhaiemEuropean CommissionCo-ordinator for UK Rural Programmes
2 Current EU Rural Development Policy (2000-06) THE AGENDAContextCurrent EU Rural Development Policy ( )Rural Development and Lisbon objectivesNew EU Rural Development Policy ( )Conclusion
3 RURAL AREAS: PROBLEMS AND CHALLENGES 56 % population of EU-25 in rural areas92% of the EU territory53 % of the EU employmentLower :income (1/3)higher educationICT broadband access, etcLack of :business opportunitiescontacts (remoteness, peripherality)training infrastructureRural areas face challenges re. : growth, jobs and sustainabilityBut high potential for : growth in new sectors, rural amenities, tourism, place to live and work, natural resources and highly value added landscapes
4 COMMON AGRICULTURE POLICY TO-DATE 1st pillarSupport to marketfinanced by EAGGF-Guarantee2003 reformDecoupling (from production)Conditionnality (cross-compliance)Modulation (money transfer to 2nd pillar)2nd pillarRural developmentEAGGF-Guarantee + Guidance2003 reformPrinciples unchangedReinforcement (modulation)New measures (quality, animal welfare)
5 RURAL DEVELOPMENT COVERAGE (2000-06) LandManagementEnvironmentLFAAfforestationInfrastructureBasicServicesPhysicalCapitalInvestmentHumanTraining(ESF)(EAAGF-Guarantee and Guidance)ModernisationRestructuringEconomicDiversification(ERDF)EmploymentUrban/ RuralLinkageRuralEconomySocial FundAgricultural FundRegional FundLandManagementEnvironmentLFAAfforestationInfrastructureBasicServicesPhysicalCapitalInvestmentHumanTraining(ESF)(EAAGF-Guarantee and Guidance)ModernisationRestructuringEconomicDiversification(ERDF)EmploymentUrban/ RuralLinkageRuralEconomySocial FundAgricultural FundRegional FundLEADER APPROACH
6 BREAKDOWN OF RD EU FUNDING FOR EU-15 (2000-06) EU funding : bn € 52.5National funding : bn € 52.5Total RD budget: bn € 105
7 CURRENT RD AND COMMUNITY PRIORITIES Agriculture (incl. RD)largest user of rural landkey determinant factor for the quality of the countryside, the environmentimportance and relevance of the EU CAPGöteborg agenda and Rural DevelopmentRD relevant to sustainable developmentPromotion of high quality products, organic production, renewable raw marerial, biodiversityLisbon agenda and RDRD is central to the Lisbon processRD is a key tool for diversification, restructuration and innovation in rural areasRD help promote competitiveness in agri-food processing (ICT, R&D)environment and associated tourism as a major source of income and jobs
8 RURAL DEVELOPMENT POLICY 2007-2013 New regulation ( )“tool kit” (approved Sept )new strategic approach for rural development with clear focus on EUpriorities (Community Strategic Guidelines)new “European Agriculture Fund for Rural Development (EAFRD)strengthened “bottom-up” approachbut, budget still under discussionBroader scopeaddresses innovation and restructuring needs in farming and forestryimproves environmental protectionshould create more jobs and opportunities in rural areasSimpler implementationone fundone programming instrumentResponding better to citizens’ concernsfood safety and qualityrural amenities
9 For all rural areas in the EU RURAL DEVELOPMENT POLICYSimplificationin future:today:Sources of finance (funds)systems for financial management and controls5 types of programming1 fund1 system for financial management and controls1 programming systemFor all rural areas in the EU9
10 Three core objectives: RURAL DEVELOPMENT POLICYThree core objectives:Improving the competitiveness of the farm and forestry sector through support for restructuring, modernisation/innovation and quality productionEnhancing the environment and the countryside through support for land managementImproving the quality of life in rural areas and promoting diversification of economic activity10
11 RURAL DEVELOPMENT POLICY 2007-2013 4 axes to implement the objectives:To each core objective corresponds a thematic axis in the rural development programmeThe three thematic axes are complemented by a « methodological » axis dedicated to the LEADER approach (LEADER axis)A minimum funding for each axis is required to ensure some overall balance in the programme (10% - 25% - 10% - 5%)As building blocks for each thematic axis a range of pre-defined measures is available11
12 « LEADER » Axis Rural Development 2007-2013 Axis 1 Competi-tiveness Axis 2 Environment + Land ManagementAxis 2 Environment + Land ManagementAxis 3 Economic Divers. + Quality of LifeAxis 3 Economic Divers. + Quality of LifeSingle set of programming, financing, monitoring, auditing rulesSingle Rural Development Fund
13 Axis 1: Increasing Competitiveness RURAL DEVELOPMENT POLICYAxis 1: Increasing CompetitivenessMeasures aiming at improving human potential: vocational training/information; setting up of young farmers; early retirement; management, relief and advisory servicesMeasures aiming at restructuring physical potential: investments to improve production, processing and marketing structuresMeasures aiming at improving the quality of agricultural production and products: adaptation to new EU-standards; participation in food quality schemes; promotion for quality productsTransitional measures for the new Member States (until 2013): semi-subsistence farms; setting up of producer groups13
14 Axis 2: Land management RURAL DEVELOPMENT POLICY 2007-2013 Measures targeting the sustainable use of agricultural land: mountain areas and other areas with handicaps (LFA); Natura areas; agri-environment; animal welfare; ...Measures targeting the sustainable use of forestry land: first afforestation; first establishment of agro-forestry systems; Natura areas; forest-environment; restoring forestry production potential and introducing prevention actions; ...Note: Agri-environment measures are compulsory for each programme14
15 RURAL DEVELOPMENT POLICY 2007-2013 Axis 2: Land management/environmentLess favoured areas:Designation of areas; max. amounts; calculation of allowanceCurrent regime continued until 2010Report and proposal by the Commission in 2008Council decision in 2009New regime to enter into force in 2010
16 RURAL DEVELOPMENT POLICY 2007-2013 Axis 3: Diversification of the rural economy and quality of life in rural areasMeasures aiming at the diversification of the rural economy: on farm diversification to non-agricultural activities; support for micro-enterprises; rural tourismMeasures aiming at the improvement of the quality of life: Basic services; village renewal; conservation and upgrading of the rural heritage (natural and cultural)Training and capacity building16
17 RURAL DEVELOPMENT POLICY 2007-2013 “LEADER” AxisImplementation of local development strategies through a LEADER approach to contribute to the achievement of the objectives of one or several of the three thematic axesInter-territorial and trans-national cooperationCapacity building and working of Local Action Groups17
18 Programming Steps RURAL DEVELOPMENT POLICY 2007-2013 Community Strategy Guidelines setting out the EU priorities for the three thematic axesNational strategy plans translation the EU priorities to the national situation and ensuring complementarity with other policies (Cohesion policy – ESF/ERDF)National or regional rural development programmes articulating the four axes
19 Regulation and Guidelines RURAL DEVELOPMENT POLICYRegulation and GuidelinesRural Development Regulation=> purpose and scope of assistance from the RD fundCommunity Strategy Guidelines=> EU level priorities within the RDR framework, in particular focus on sustainability (Göteborg) and growth and jobs (Lisbon)
20 The Community Strategy Guidelines will help to: RURAL DEVELOPMENT POLICYThe Community Strategy Guidelines will help to:identify and agree the areas where the use of EU support for rural development will create the most value added at EU level;make the link with the main EU priorities (Lisbon, Göteborg) and translate them into RD policy;ensure consistency with other EU policies, in particular in the field of cohesion and environment;accompany the implementation of the new market oriented Common Agricultural Policy and the necessary restructuring that it will entail in the old and the new Member States.
21 RURAL DEVELOPMENT POLICY 2007-2013 Community guidelinesAxis 1 priorities: knowledge transfer and innovation in the food chain and focus on priority sectors for investment in physical and human capital.Axis 2 three EU level priority areas: biodiversity and preservation of high nature value farming and forestry systems, water, and climate change.Axis 3 the overarching priority of the creation of employment opportunities in the fields of diversification and quality of life.
22 RURAL DEVELOPMENT POLICY 2007-2013 Community GuidelinesAxis 4 (Leader)priority: improving governance and mobilising the endogenous development potential of rural areas.Horizontal: Member States should ensure that synergies between and within the axes are maximised and potential contradictions avoided. They will also wish to reflect on how other EU level strategies can be taken into account.Horizontal: The synergy between structural, employment and rural development policies needs to be encouraged.
23 MEETING THE LISBON STRATEGY THROUGH NEW RD: EXAMPLES ICT take up by farms and food processing farmsExtension of broadband coverage to promote new way of sellingFacilitating on-farm tourism through ICT use (booking, promotion and links)Facilitating innovation in the supply chainTargeted investment in equipment, process and trainingInnovation initiatives for quality productCo-operation in Research & DevelopmentNetworking between R&D centres, food industry and farmersTake up of new technologies and processesPublic-Private partnershipLeader approachLocal services designed by local peopleIncreasing competitivenessEntrepreneurshipProduct quality and promotionQuality schemes and « niche » productsJob creation and rural diversificationTourism, craft and rural amenitiesMicro businesses (training, coaching, etc.)Child care facilitiesCo-operation activities on high quality farms and local products
24 The timetable RURAL DEVELOPMENT POLICY 2007-2013 Legislative framework: Council regulation & Implementing Rules in place by end of 2005Community Strategic Guidelines: adoption Autumn 2005National strategy plans: end of 2005/beginning 2006RD programmes: submission 1st half 2006, approval 2nd half 2006
25 At the level of the axis as share of total eligible public expenditure COMMUNITY FINANCING RATESAt the level of the axis as share of total eligible public expenditureFor axis 1 and 3 a maximum cofinancing rate of 50% (75% in Convergence regions)For axis 2 and 4 a maximum cofinancing rate of 55% (80% in Convergence regions)
26 SUPPORT AND NETWORKSTechnical assistance at programme level for preparation, management, monitoring, evaluation, information and control activities (up to 4% of programme funding)A national rural network supporting and bringing together the organisations and administrations active in rural development (financed from the technical assistance at programme level)A European rural development network to interface with the national networks and administrations (financed from the technical assistance at Commission initiative, 0.25% of RD funding)
27 CONCLUSIONEU Rural development policy :takes into account the needs of European rural areas and faces their challengescomplements national/regional/local policiesis an important element of the Lisbon process, in particular for rural economiesshould create more jobs and opportunities in rural areasRD programmes are just now being designed in synergy with the “cohesion” programmes at national and regional levelThe challenge for all of the stakeholders in rural economies is to take part somehow in the process (planning, development, implementation) and in the rural networks.