Community programme (EEC) for the development of certain less-favoured regions of the Community by exploiting endogenous energy potential (VALOREN), 1986-1991

Council Regulation (EEC) No 1787/84 of 19 June 1984 (Official Journal No L 169 of 28.6.1984) on the European Regional Development Fund (ERDF) provides for participation by the Fund in Community programmes which are designed to help solve serious problems affecting the socio-economic situation in one or more regions and to provide a better link between the Community's objectives for structural development or conversion of regions and the objectives of other Community policies.

Analogous measures in the past have helped to secure the energy supply in certain Community regions through new techniques for hydro-electric power and alternative energy sources.

By means of regional assistance programmes, VALOREN is expected not only to make a substantial contribution to improving the energy situation in the regions concerned but also to permit a general strengthening of their socio- economic position.

The programme is related to the energy demonstration scheme (ENDEMO C).
To initiate a series of consistent multiannual measures aimed at the exploitation of local energy resources and the efficient use of energy, having regard to the Community's environmental policy, with a view to strengthening the socio-economic basis of the regions concerned, fostering the creation of jobs and raising technological standards.
Three types of measures:

- Economic exploitation of local energy sources:
Alternative and renewable energies, small deposits of peat and lignite;

- Rational use of energy:
Energy saving and oil substitution;

- Promotion measures involving analysis and programming at regional and local level, advisory services and technical assistance to SMEs, and the dissemination of information.
The programme is financed jointly by the Member States concerned and the Community. All or part of the aid granted by the Community may be in the form of a capital grant or an interest subsidy.

The European Regional Development Fund (ERDF) may participate in certain operations of the programme up to 55% of the total public expenditure involved. Eligible for ERDF assistance are public authorities, local and regional authorities and other bodies, businesses, cooperatives or individuals.

The investment projects in this programme are not eligible for aid under the energy demonstration scheme, while aid granted under this programme may not be combined with aid provided for elsewhere in the Fund Regulation or ERDF Regulations in respect of energy potential.