1. Tension session I Role of governance at European/national/regional level Six Countries Programme on Innovation Kismarton-Ödenburg Conference Crossing Borders – Venturing into the European Research Area Eisenstadt/Sopron, 30-31/10/03 Rapporteur: Georg Panholzer Austrian Federal Ministry for Economic Affairs and Labour Division for International Technology and Innovation

2. Tension session I - contributors Stefan Kuhlmann, Fraunhofer Institute for Systems and Innovation Research (ISI), Karlsruhe, Germany Patries Boekholt, Technopolis BV, Amsterdam, Netherlands Chris Caswill, Economic and Social Research Council, UK

3. Tension session I – Kuhlmann Potential futures Scenario I: concentration and integration of European innovation policies in transnational arenas (major doubt: states not prepared to give away the lion´s share of public investment in innovation and research) Scenario II: decentralisation and regionalisation of innovation policy arenas (most likely if existing centralized EU policy-making are overcharged, and lead to a system´s collapse!) Scenario III: centrally mediated mixture of competition and cooperation in integrated multilevel innovation policy arenas (=co-evolution of regional, national and European policy arenas towards an integration in multi-actor systems - co-ordination without giving away the lion´s share of power – probability depends on the policy learning capabilities of major actors in the European innovation policy arena)

4. Tension session I – Kuhlmann There are positive signs that policy learning and co- operative evolution can take place, for example: Vivid debate on European Research Council as a sign, that scenario III is not too unrealisitc (evolutionary aspect: 2 years ago not even allowed to speak about; now: actor-driven approach (not primarily policy driven)

5. Tension session I - Boekholt Title: The governance of ERA (functions of governance: agenda setting – prioization, referee, horizontal co-ordination – vertical steering, co-ordination of knowledge production) ERA: so far successful as platform launching ideas and opening debate (including introduction of new governance mechanisms; ERA-Net, Benchmarking etc.) Key role to play for member states (success?) Co-ordination is key but how and by whom? responsibility for research policy mainly at MS level regions more dissemination-oriented linkages between ERA and Structural Funds hampered by many governance obstacles Regions will have a bigger role to play if the European Innovation Area to be targeted

6. Tension session I – Caswill border crossings – knowing where the frontiers are ERA in flux (national reorganizations, FP6, ERC-debate, enlargement, etc.) what does it mean to cross the borders and what price has to be paid? Borders have a purpose/can create problems Where are the borders (between nations, cultures, sciences, institutions, science/society-democracy aspect) Cónclusions for newcomers: get good maps&guides, learn from travellers/travel agents, look for opportunities for influence Democratic govenance of borders is most important

7. Tension session I discussion/results Centralism vs. National independence Particular value of ERA: idea of partnership (commission as a partner of MS) Democracy aspect is very important ! Evolution towards ERA not unlikely, but perhaps even response/necessity (growing pull of globalization – corporations are relativizing relationships with national research/innovation policies; innovation system/S&T- system has to respond - EUREKA as an important forerunne, but governed by national interests – partnership element too less developed MS ready for ERA if national systems are not developed convincingly ?!

8. Tension session I – discussion/results – II Situations which foster the reshaping of governance (severe crisis or big carrot) Policy co-ordination is a long term process (trust building needs time, strong political support necessary, WIN- WIN-Situations) Evolution: no dictate possible – but softly-softly-waiting- approach might be not enough Reward systems/incentives?? (maybe even Maastricht+?) Many things that are now happening have been unthinkable a couple of ys. ago Are we simply too impatient?