Structural Funds Annual Report 1996 - Focus on RTD
The European Commission has adopted the 8th Annual Report on the Structural Funds (1996). Halfway through the 1994-1999 programming period, the report shows that half of the Community grants available for measures proposed by the Member States have now been committed and one-third paid out. Over 500 programmes are currently in the process of being implemented. The Union's structural policy is implemented through precisely defined priority Objectives: - The economic adjustment of regions whose development is lagging behind (Objective 1); - The economic conversion of declining industrial areas (Objective 2); - Combating long-term unemployment and the integration of young people into working life (Objective 3); - The adaptation of workers to industrial change (Objective 4); - The adjustment of agricultural and fisheries structures and the economic diversification of fragile rural areas (Objectives 5(a) and (b)); - The development of areas with an extremely low population density (Objective 6). In 1996, expenditure on these Objectives totalled ECU 20.5 billion, of which 72% went to Objective 1. The first phase of Objective 2 (1994-1996) was completed by an evaluation which resulted in the programmes for 1997-1999 being adjusted to reflect central concerns such as job creation and the competitiveness of the areas concerned. Objectives 3 and 4 made good progress, with efforts concentrating on measures for the most disadvantaged groups, the conversion of "pathways of integration" into specific projects and the promotion of on-going training for workers. The situation as regards the economic diversification of rural areas is less satisfactory. Some Member States are lagging behind and projects are making slow progress. There is a clear need for better information and publicity for potential beneficiaries. During 1996, the Commission divided among the Community Initiatives the financial reserve of some ECU 1.7 billion which was established when the initial allocation for these Initiatives was made for 1994-99. The priorities guiding this new allocation were combating unemployment and social exclusion, equal opportunities for men and women, the environment, the information society and the territorial aspect of structural policies. Following the highlighting of the environment in the 1995 Report, the 1996 Report concentrated on research and technological development (RTD). Disparities in this area are a major structural handicap for the less advanced Member States and regions and also prevent full development of Europe's technological potential at a time when the current expansion of new technologies is creating new needs. This explains the importance given in the programmes part-financed by the Structural Funds to innovative measures (particularly non-material investment by the firms, especially small firms, themselves), a balance between the supply of and demand for technology (especially at regional level), technology transfers which extend research activities and, increasingly, the arrival of the Information Society. The Report contains many examples of such cases. In quantitative terms, aid from the Structural Funds to RTD has risen from ECU 3.5 billion in the previous programming period to ECU 7.5 billion so that it now accounts for about 7% of total funding. The Commission, acting in partnership with the Member States, is continuing to monitor assistance carefully. Interim assessments, especially those for the Objective 1 programmes, are contributing to the revision of programmes at the mid-term point. This careful monitoring is accompanied by the development of policy guidelines, which devote particular attention to the creation of jobs. In 1996 the Commission decided to support the establishment of Territorial Pacts for Employment in an effort to engage all those involved in a particular area in innovative projects to create jobs.