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EUROPEAN REGIONAL DEVELOPMENT.

·FUND

Tenth annual report (1984)

COM(8§) 516

4 October 1985

Blank pages:

32, 74, 82, 104

COMMISSION

OF THE EUROPEAN COMMUNITIES

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ISBN

92-825-5872-X

92-825-5873-8

92-825-5874-6

92-825-5876-2

92-825-5877-0

92-825-5878-9

Cataloguing data can be found at the end of this publication

Luxembourg: Office for Official Publications of the European Communities,

1986

ISBN: 92-825-5875-4

Catalogue number: CB-45-85-195-EN-C

Articles and texts appearing in this document may be reproduced freely in

whole or in part providing their source is mentioned.

Printed in Belgium

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Commission of the European Communities

EUROPEAN REGIONAL DEVELOPMENT FUND

Tenth Annual Report (1984)

Document

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This document has been prepared for use within the Commission.

necessarily represent the Commission's official position.

It does not

Manuscript finished in May 1985

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TABLE OF CONTENTS

1.0 Chapter I : Introduction

• • • • • • • . •

1.1

eventful year for European regional policy

1.1.1 Analysing the situation in the regions

1.1.2 Coordinating Member States' regional policies

. 1.1.3 Providing financial assistance in the regions

2.0 Chapter II : After the first decade

ERDF operations.

new

era begzns

• . • • . • . . • • • . • . . . • • • • . . .

2.1 Review of the first ten years (1975-1984)

..... .

2.1.1 Increased resources

. . . . . .

. ..•..

2.1.2 Analysis of grants by country

...•..

2.1.3 Marked geographical concentration in the less-favoured

regions

....•......................

2.1.4 Nearly 9 500 million ECU went to infrastructure projects

2.1.5 An estimated 640 000 jobs directly created or maintained in

the productive sector since 1975

2.1.6 Infrastructure projects also create jobs

2.1.7 One hundred studies financed

.....

2.1.8 A more active year for specific Community measures

2.1.9 Financial management of the ERDF: maximum use of resources

2. 2 Reform of Community regional policy

2;2.1 A new ERDF from 1985

2.2.2 Content of the Regulation

3.0 Chapter III : Community action in support

regional policy

measures by the Member States

• • • .

• • . . .

3 . 1 Submission of applications

. . . . .

3.1.1 Grant applications for just under 6 000 projects

3.1.2 Project selection

....

3.2 Consultation of the ERDF Committee

3.3 Nearly 4 400 projects approved

3.4 Concentration of aid in five Member States

3.5 85% of aid goes to infrastructure projects

3.5.1 A lower average rate of contribution

3.5.2 Proportion of aid going to small projects continues to grow 24

3.5.3 Transport regains the lead

..... .

3.6 Productive investment up and more jobs created or maintained

3. 6.1 Capital goods 'predominate

. . . . . . . . . . . . . . .

3.7 The share of aid allocated to studies has increased fourfold

3.8 99.8% of commitment appropriations used in 1984

3.9 97% of payment appropriations used

3. 10 Controls · . . . . . . . . . . .

3.11 Information on ERDF activities

3.11.1 The European citizen's right to know

. 40

3.11.2 Press information in 1984: more detailed coverage

. '40

3.11.3 Signboards: tangible evidence of the ERDF

3.11.4 Publication in the Official Journal: still too little

information

. . . . . . . . . . . . . . .

3.11.5 Letters to investors

...... .

4.0

4.1

4.2

4.3

4.4

Chapter IV : Specific community regional development measures

New type of measures

. . . . . . . .

A second series of measures launched in 1984

Commitments: distinct increase

1984

Payments: almost half of commitments

Inspections

. . . . . . . . . . . .. .

iii

Table of Contents

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4.6 Information

. . . . . . . . . . . . . . .

4.6.1 Publication in the Official Journal

4.6.2 Information activity by the Member States and the

' Commission

. . . . . . . . . . . . . . .

4.7 Proposal to supplement the second series of measures

.0 Chapter V : Location

ERDF assistance

• . . • •

5.1 The eight most assisted regions received half of the grants

5.2 Location ·of assistance in the Member States

5.2.1 Belgium

. . . . . . . . .

5.2.2 Denmark

. . . . . . . . .

5.2.3 Federal Republic of Germany

5.2.4 Greece

5.2.5 France

5.2.6

Ireland

5.2.7 Italy

5.2.8 Luxembourg

5.2.9 Netherlands

5.2.10 United Kingdom

6.0

Chapter VI : Regional development programmes

{RDP)

73.

7.0

Chapter VII : Integrated operations under the Community's

structural Funds

• . . . . • • . • • • • • . • . . . • . • • • .

7.1 Integrated regional development operations

. . . . .

7.1.1 TWo pilot schemes in progress in Belfast and Naples

.1.1. 1 Belfast

. . . . . . . . . . . . . . . .

7.1.1.2 The integrated operation in Naples

. . . . .

7.1.2 Preparatory studies for integrated operations

7.2 Integrated development programmes (IDP)

. . . . . . .

7.2.1 The Western Isles Integrated Development Programme

7.2.2

The Lozere Integrated Development Programme

7.2.3 The South East of Belgium Integrated Development

Progr~mme

7.3 Preparation of the Integrated Mediterranean Programme (IMPs)

A.O

B.O

B.1

Annex A: Statistical data 1984 and 1975-1984

Annex B: Bibliography ( 1984 Publications)

European Regional Development Fund

ERDF: Specific Community regional development measures

Regional Policy

. . . . . . . . .

Integrated mediterranean programmes

Regional aid

. . . . . . . . . .

Annex C: Symbols and abbreviations used

B.2

B.3

B.4

B.S

List

101

102

103

tables

maps

graphs

105

106

ERDF

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FOR.i!.JVORD

by Mr. Grigoris VARFIS,

Member of the Commission of the European Communities, in charge

of regional policy and relations with the European Parliament

TOWARDS A MORE COORDINATED AND MORE INCISIVE REGIONAL

POLICY

The adoption of the new ERDF Regulation

on 19 June 1984 marks a

significant step towards a more coordinated and more incisive regional

policy. The new Regulation is the culmination of nearly three years of

discussions within the Council, with the Commission having considerably

amended its proposal in November 1983 in response to the instructions

given to it by the Stuttgart European Council in June 1983 to increase the

effectiveness of the Community's structural Funds.

Although the Commission's proposals were not adopted in full, the improved

provisions of the new Regulation go a long way towards meeting its main

concerns. The new ERDF is designed to contribute to the correction of the

principal regional imbalances within the Community by participating in

the development and structural adjustment of regions whose development. is

lagging behind and in the conversion of declining regions. Details of the

new provisions are set out later on in this report. The most noteworthy

features are greater coordination of Member States' regional policies,

the replacement of national quotas by a system of ranges, an increase in

aid rates, possibilities of assisting small and medium-sized businesses

in the context of measures to exploit the potential for internally

generated development of regions, growing use of programme financing and

recognition of the integrated development approach. The latter two

measures enhance the effectiveness of Community assistance by promoting

coherent, multiannual operations and by using the ERDF in co-ordination

with the other Community financing instruments along with national and

local resources.

important to emphasize that all the new avenues which have been

opened up will not be effectively used unless all those concerned (the

Commission, Member States and regional and local authorities) respond

fully to the need for a serious political dialogue.

The new ERDF Regulation will allow the regional and local authorities to

participate more actively in drawing up programmes, that is as from the

preparation stage and not simply when plans are finalized. For this

purpose, the Commission will provide logistical and technical support to

national and local authorities requesting it.

In 1985, the Commission pursued four priority regional policy objectives:

J.D.

169 du 28.6.1984

Foreword

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• emphasizing the regional dimension of the Community's other policies by

taking account of the effects which they may have at regional level;

• continuing its efforts to improve the link-up between the measures

coming under its own responsibility and those introduced by the Member

States;

• making use of the full range of financial support instruments available

to promote development measures

the Community's disadvantaged

regions;

• increasing the effectiveness of the structural financial instruments,

which means greater coordination both of the instruments themselves and

of assessment methods.

The findings of the second periodic report on the situation in the

regions are disturbing. Regional disparities within the Community have

not narrowed in recent years and will widen significantly in the enlarged

Community. It is up to the Community institutions, particularly the

Commission, in collaboration with the Member States and regional and local

authorities, to take effective advantage of the new possibilities

provided by the revised ERDF Regulation so as to help in correcting the

main regional imbalances within the Community.

ERDF

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NOTICE TO THE READER

A· KEY TO SOME ERDF TERMS AND CONCEPTS

Anyone not dealing with the ERDF on a regular basis may be somewhat

perplexed by some of the terms and concepts used, such as support

measures, specific measures,. geographical concentration, integrated

operation, structural funds and regional development programmes (RDP).

It was therefore felt that this notice could usefully provide some

· definitions of the principles underlying the ERDF' s day-to-day

activities.

• The ERDF, one of the Community's structural Funds

2 ,

was set up in 1975

to help correct the principal regional imbalances within the Community.

ERDF aid

accordingly granted in areas and regions suffering from

imbalances

resulting in particular from the predominance of

agriculture, industrial change and structural under-employment. Such

regions are generally the areas covered by national regional aid

schemes, these areas being approved by the Commission in accordance with

Articles 92 and 94 of the Treaty establishing the European Economic

Community. The ERDF provides assistance by making grants which support

and supplement national regional development efforts. It was not until

1979 that the Cmmunity began to initiate specific Community regional

development measures not directly linked to national regional policy

measures.

• What does the ERDF finance? Infrastructure investments: industrial

estates, roads, dams, power stations, etc ... , and directly productive

investment in industrial, craft industry and service activities to

create or maintain jobs and assistance in providing firms with access to

advice on management and innovation.

• The ERDF makes grants. In the report, the reader will frequently come

across references to grant decisions, amounts granted or appropriations

committed; these terms are all different aspects of the same thing.

Commitment appropriations and payment appropriations are, however,

different, which means that the ERDF can make an expenditure commitment

one year and make the payments in several instalments in the following

years as the project is carried out.

• In 1984, the ERDF was divided into two sections:

The first section accounts for 95% of the Fund's resources. It

covers Community measures in support of regional policy measures

adopted by Member States.

used to be known as the "quota"

section, because resources were distributed among Member States on

the basis of national quotas. However, the relevant Article has not

been in force since 1982, and the term "support measures" is used

throughout this report instead of "quota" measures.

The other section is for specific Community repional development

measures and can draw on up to

of the Funds resources. This

section used to be known as the nnon-quotan section, because

There are two other Community structural Funds: the European Social

Fund and the EAGGF Guidance Section

vii

Notice to the reader

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resources were not distributed between Member States on the basis of

any predetermined allocation system. The term "specific Community

measures

is used throughout this report instead of "non-quota

measures

11 •

For the specific Community measures, each Member State

presents a special implementing programme specifying the nature of

the operations to which the Fund may contribute.

• These definitions should assist the general reader in understanding

some of the key concepts used in this tenth report on the Fund's

activities.

• The Council Regulation establishing a European Regional Development

Fund

provides as follows:

Before 1 October each year the Commission shall present a report to

the Council, the European Parliament and the Economic and Social

Committee on the implementation of this Regulation during the

p,receding year" .

'This report shall also cover the financial management of the Fund

and the conclusions drawn by the Commission from the checks made on

the Fund's operations".

The obligation to present

annual report is further reinforced, where

specific Community measures are concerned, by Article 6 paragraphs

and

of the Council Regulations instituting such measures.

keeping with these regulations, the lOth report of the activities of

the ERDF relates to the year 1984. For this reason, it does not cover

the adoption of the regulation relating to Integrated Mediterranean

Programmes, which dates from

June 1985, nor to the strengthening of

Community structural activities in favour of steel restructuring areas,

of which the principle was established by the Commission on 16th July

1985. These aspects will be developed in the 11th report of the

activities of the ERDF relating to the year 1985. While waiting for its

publication, readers will find

i t

useful to refer ·to the Commissions

periodic publications (monthly bulletins and general reports of

activities) to follow the latest changes in these matters. ·

Article 21, paragraphs

and

2 ..

ERDF

viii

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1 .0

CHAPTER I : INTRODUCTION

1,1

AN EVENTFUL YEAR

FOR

EUROPEAN REGIONAL POLICY

A turning point in European regional policy was reached in 1984. Iri

June, following a conciliation meeting with Parliament, the Council

adopted the new ERDF Regulation which represents an important reform of

regional policy as a whole, the ERDF being the only Community instrument

set up with the sole and specific purpose of helping to reduce regional

imbalances in the Community.

The Fund was set up in 1975, just when the economic

cr~s~s

was taking hold

within the Community. Its resources are too small for it to remedy, on its

own, the structural underdevelopment problems of the most disadvantaged

regions and the more recent problems of industrial decline in regions

which used to be prosperous. The ERDF's annual budget allocation - 2 140

million ECU in 1984, i.e. 7.3% of the Community budget- is equivalent to

only 0.08% of the Community's GOP: Even so, ERDF assistance can represent

up to 20% and sometimes more of total public and private sector investment

in some regions and can therefore be ·an important element in regional

development.

1 .1 .1

Analysing the situation in the regions

In March 1984, the Commission approved the second periodic report on

the situation in the regions of the Community in the early 1980s and on

their social and economic development since the first oil crisis. The

report shows that, during the last ten years, regional disparities in

output and productivity have not lessened but remain very substantial.

Regional labour market disequilibria are characterized by a relative

increase in disparities in unemployment rates. The essential conclusion

is that the serious situation of the regions with a development lag has

been exacerbated in the present crisis situation, while at the same time

new problems are emerging affecting the more

ind~strialised

core regions.

The most serious problems are often those being experienced in regions on

the periphery of the Community (Italian Mezzogiorno, most of the Greek

regions, Corsica, Ireland, Northern Ireland and the French Overseas

Departments). To these must be added regions in the North and West of the

United Kingdom, in central Italy and in Belgium. These regions together

have over 50 million inhabitants, nearly one fifth of the Community's

total population.

The enlargement of the Community to include Spain and Portugal will

virtually double the population of the regions with a per capita GDP of

less than 60% of the Community's average GDP. Whereas in 1980 less than

10% of the Community's population (24 million) lived in such less

developed regions, the proportion in a Community of Twelve will be 20% (50

million).

Regional impact assessment of Community policies is used as the basis

for either modifying policy in response .to regional needs or devising

back-up measures to counteract any harmful effects these policies may have

on the regions. On the question of the impact of enlargement, the

Commission's second periodic report on the social and economic situation

Chapter· I

Introduction

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and development of the regions of the Community included a regional

assessment which showed the need for the Community's Mediterranean

regions to adapt to the new situation that will be created by enlargement,

especially as far as agriculture is concerned.

The report also provides an analysis of the regional effects of the common

agricultural policy and a brief analysis of the regional impact of new

information technologies. In the light of the latter analysis, the

Commission has announced that, within the framework of the reorganized

ERDF, a Community programme will be drawn up to develop advanced

telecommunications in the disadvantaged regions.

The Commission is also working on a strategy to exploit the potential of

new energy resources of the disadvantaged regions which have a high level

of energy dependence.

Other studies in progress or completed relate to the regional impact of

industrial decline in the Community and of the Community's external trade

policy.

1.1.2

Coordinatinq Member States' regional policies

Reducing disparities between the regions requires, amongst other

things, the coordination of Member States' regional policies, notably

through their regional development programmes. These

se~ve

as the

reference framework for ERDF assistance and as basic instruments for

coordination. On 19 June the Commission delivered an opinion on the

second generation regional development programmes (covering the period

1981-85), and stated its intention of conducting with each Member State an

annual examination of projects and programmes that could be cofinanced by

the Community in line with the priorities drawn up in the framework of the

regional development programmes·. The importance of such regional policy

coordination has been further underscored by the inclusion of a section on

coordination in the new ERDF Regulation.

5. The Regional Policy Committee, which is the key forum for regional

policy coordination, held four meetings in 1984. The Committee advised the

Commission during the preparation of the second periodic report on the

social and economic situation and development of the regions and itself

adopted a statement on the report; it examined the regional development

programmes for France and Italy (Friuli-Venezia Giulia), and discussed

the links between the Community's competition policy and national

regional aid policies. It also delivered 131 opinions on major

infrastructure projects prior to their examination by the ERDF Committee.

It elected a new chairman, Mr. S. Miedema, and a new vice-chairman, Mrs.

Andreasen.

1.1.3

Providing financial assistance in the regions

6. The Community's most tangible contribution to regional policy is of

course the financial assistance it provides, in the form of loans or

grants.

Apart from the ERDF, a very large proportion of assistance from the

European Social Fund goes to projects located in regions eligible for

Regional Fund Assistance.

Most (57%) of European Investment Bank loans go to investment projects

situated in less-developed areas or areas with serious problems of

industrial decline. Such regions also receive the bulk of ECSC social aid

and industrial conversion loans. In 1984 the Commission made available 13

ERDF

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million ECU in interest subsidies on ECSC loans previously granted and

decided to grant new loans totalling 293 million ECU, with provision for

million ECU in interest subsidies. These operations involve a total of

19 000 jobs. Continuing its activities to promote industrial conversion,

the Commission provided assistance in 1984 to facilitate the setting up

and extension of business and innovation centres that will provide a full

range of services for new and innovatory firms. Drawing on the pilot

projects launched in 1983, notably in Liege, the Commission helped to set

up eight new centres in industrial conversion regions in 1984 and was

instrumental in the establishment of a European association of some 40

centres.

Regional assistance is also provided through the Guidance Section of the

EAGGF, loans granted under the New Community Instrument (NCI) and the

exceptional Community measure to promote urban renewal in Northern

Ireland.

So as to achieve greater cohesion between Community and national

financial assistance, the Commission has for some time been trying out an

integrated development approach. The aim is, through constant dialogue

between the local, regional, national and Community authorities, to

concentrate and coordinate available financial resources within a given

area so as to increase their effectiveness .. For this purpose, two

integrated operations are currently being tried out in Belfast and Naples.

A number of others are being prepared, pointing to wider use of this

approach in the years ahead.

In 1983 the Commission proposed the introduction of integrated

Mediterranean programmes to deal with the problems which enlargement of

the Conlmunity to include Spain and Portugal would create for certain

regions in Italy, southern France and Greece. On 6 September 1984, in the

light of the opinions delivered by Parliament and the Economic and Social

Committee, the Commission amended its proposal for a Regulation

instituting the integrated Mediterranean programmes.

,,,

On 27 March 1984, the European Council meeting in Brussels reached the

following conclusions, confirmed by the Fountainebleau European Council,

on this question:

"An

attempt will be made to coordinate the activities of

the various Funds, for example in the form of integrated programmes. With

this in mind, integrated Mediterranean programmes will be launched in

favour of the southern regions of the present Community so as to be

operational in 1985. Designed to be of limited duration such programmes

will have as their aim improvement of the economic structures of those

regions to enable them to adjust under the best conditions possible to the

new situation created by enlargement. They will also cover problems raised

in the Greek Memorandum. The financial resources allocated to aid from the

Funds, having regard to the IMPs, will be significantly increased in real

terms within the limits of financing possibilities".

In view of this agreement, the Council resumed its examination of the

Regulation in September, on the basis of the Commission's amended

proposal. Its findings were discussed by the European Council in Dublin

in December 1984.

Pending adoption of the Integrated Mediterranean programmes, the

Commission adopted a number of decisions in December 1984 continuing the

pilot projects in preparation for the programmes.

9. As regards specific Community regional development measures under the

ERDF, 1984 was an important year with the Council adopting in January six

Regulations to back up existing measures and introduce one new measure. In

December the Commission adopted four new proposals for Regulations to

supplement this second series of measures.

10.

The new ERDF Regulation, adopted by the Council on 19 June, enters

into force on 1 January 1985. Accordingly, as last year, the Commission

had no legal basis for the national quotas, since Article 2 paragraph 3 of

Chapter I : Introduction

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the revised 1975 Regulation, which laid down the quotas, was no longer in

force. Acting in its capacity as manager of the Fund, the Commission

therefore committed the appropriations available according to the

applications submitted by the Member States, accepted after thorough

examination. It was guided by the scheme of allocation provisionally

authorized by the Council for 1981, and also took account of the future

impact of implementation of Article

of the new ERDF Regulation. ERDF

assistance was concentrated mainly on those regions whose per capita

GDP

is below the Community average.

ERDF

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2.0

CHAPTER II : AFTER THE FIRST DECADE OF ERDF

OPERATIONS·, A NEW ERA BEGINS

2.1

REVIEW OF THE FIRST TEN YEARS (1975-1984)

With the entry into force of the new ERDF Regulation on 1 January 1985,

the year 1984 marks the end of the first decade of ERDF operations. Those

operations are briefly reviewed below.

2.1.1

Increased resources

11.

Since 1975, the ERDF has helped to finance almost 26 000 investment

projects, of which 19 000 have been infrastructure projects and 6 500

industrial projects. The total number of projects financed in 1984 was

4 400, an increase of 700 on the previous year. The average ERDF grant

per project was 450 000 ECU.

Total grant made stands at more than 11 700 million ECU for the period

1975-84 (current prices), equivalent to 14% of the cost of the investment

projects assisted (more than 80 000 million ECU).

12.

In 1984, the Fund's budget allocation of commitment appropriations

was 2 140 million ECU or 7.3% of the Community budget. Part of the 115

million ECU allocated to specific Community measures was transferred at

the end of the year to be used for support measures.

In nominal terms, the Fund's allocation in 1984 was 6. 5% up on the

previous year. With inflation at 5.6%

there was a very slight growth in

real terms in the Fund's resources (0.9%).

Table 1 shows just how much the resources available to the ERDF have

grown, its budget allocation having increased more than eightfold ever ten

years.

The total allocation of payment appropriations was fixed at 1 413 million

ECU for 1984, of which 100 million ECU was for specific Community

measures. The total allocation was 12% up on 1983.

GDP deflator. Commission departments. Economic forecasts 1984-1985

(January-February 1985)

Chapter II : After the first decade of ERDF operations, a new era

begins

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TABLE ·1

ERDF ALLOCATIONS 1975-1984

TOTAL FUNDS

(Mio ECU)

Commitment appropriations

Year

1975

1976

1977

1978

1979

1980

1981

1982

1983

1984

Support

measures

Specific

measures

TOTAL

257 .6*

394.3*

378.5*

581.0

945.0

165.0

540.0

759.5

010.0

140.0

Annual

increase (%)

Share in

Community

budget (%)

4.8

5.6

4.9

4.6

6.1

6.7

7.3

7.6

7.3

900.0

106.8

463.0

669.0

909.5

025.0

45.0

58.2

77.0

90.5

100.5

115.0

66.6

0.0

53.5

62.7

23.3

32.2

14.3

14.2

6.5

1975: 300 million u.a., 1976: 500 million u.a.

1977: 500 million u.a., converted into ECU at the January 1978 rate.

2 .1.2

Analysis

grants by country

The analysis of total ERDF grants in the Community over the last ten

years shows a very high concentration in five Member States (Italy, the

United Kingdom, France, Greece and Ireland), which between them received

more than nine tenths of Fund assistance in those ten years. Italy

received the largest share (37.7%), with more than 4 400 million ECU. Next

came the United Kingdom, with more than 2 800 million ECU (24.1%). These

percentages are calculated from the complete figures given in Table 2 and

illustrated

Map 1.

This ranking, based on absolute amounts of assistance, does not take

account of population differences between the ten Member States. A

different method of calculation is to relate total Fund grants to the

population in the areas eligible for Fund aid

each Member State.

Ireland then heads the list with 207 ECU per inhabitant, followed closely

by Italy (190 ECU), Greece

(171 ECU), Denmark (165 ECU) and the United

Kingdom (133 ECU). The second group, made up of France (73 ECU), the

Netherlands (66 ECU), Luxembourg (33 ECU), Belgium (33 ECU) and the

Federal Republic of Germany (24 ECU) received well below the Community

average of 109 ECU per inhabitant. This method of calculation brings out

more clearly the level of intensity of Community assistance in certain

countries.

13.

14.

15.

As regards the use of ERDF grants by Member States, progress has been

achieved in getting Fund resources shown separately in national budgets.

Such budgetary transparency makes it easier to apply the principle of

additionality. The particularly complex character of additionality must

be borne in mind.

Greece did not become a member of the Community until 1981.

Calculating the period 1981-1984, Greece heads the list with 171 ECU

per inhabitant ahead of Ireland (142 ECU).

ERDF

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Determining whether,

the various Member States, ERDF resources are in

fact combined with national financial resources, supplementing the total

budget allocations for regional development, would require an assessment

to be made of what the situation would have been without the ERDF

resources. The qualitative as well as the quantitative aspects of

additionality must also be taken into account, i.e. the knock-on effects

of ERDF assistance and the lead which it gives. That being said, however,

it may cautiously be affirmed that general additionality applied in·all

the Member States. Even with strictly limited budgetary resources, the

level of support for productive and infrastructure investment seems to be

holding steady, and indeed actually rising, which can only imply that ERDF

resources are complementing national resources.

2.1 .3

Marked geographical concentration in the less-favoured regions

In order for the Fund to have a significant impact on the economic

development of the regions, the overall effect of interventions, that is

geographical concentration, is one of its ·explicit aims. Since 1975, the

ten most -aided regions, which account for 13% of the Community's

population, have received more than half of ERDF assistance. More

broadly, two thirds-of ERDF assistance goes to 20% of the regions.

17.

The regions with priority status for Community regional policy

purposes, i.e. the Mezzogiorno, Greenland, Ireland, Northern Ireland, the

French Overseas Departments and Greece (except for Athens), have received

more that 57% of ERDF assistance since 1975 (see Taple 3). In per capita

terms, Greenland is by far the largest beneficiary with· ·1 960 ECU per

person, followed by French Guiana with 581 ECU per person. These large

amounts are mainly due to the low population figures in these regions,

both of which have fewer than 100 000 inhabitants. Most of the priority

regions have as a rule received between 150 and 500 ECU per resident in an

ERDF-assisted area.

16.

TABLE 2

TOTAL EROF GRANTS IN 1984 AND FROM 1975 TO 1964

TOTAL FUNDS

( Mio ECU)

Member

State

Support

measures

33., 8

24.6D

109.34

261.47

267.66

159. 12

605.38

'-1.73

35.59

619.84

2 320.9'-1

1984

Specific

measures

ERDF

total

33. 18

24.60

110. 24

268.20

277.63

163.27

823.06

'-1.73

35.82

6'-10.98

2 381.93

Support

measures

, 1'-1.'-11

131.86

5'-1'-1.79

091.70

683.51

713.4'-1

368.73

11.97

156. 18

782.01

1975-198'-1

Specific

measures

1981-198'-1

0.98

6.73

38.38

11.72

38.85

0.23

'-12,36

1'-10. 15

ERDF

total

115. 39

131.86

5'-15.69

096.'-13

721.89

725.16

'-107.58

11.97

156.'-11

82'-1.37

IRL

6.73

10.15

'-1. 15

17.68

0.23

21. 1'-1

60.99

0.90

'-1

EUR 10

11 598.63

11 738.78

Chapter II

begins

After the first decade of ERDF operations, a new era

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MAP 1

REGIONAL DISTRIBUTION OF ERDF GRANTS FROM 1975 TO 1984,

LEVEL III REGIONS (MIO ECU)

0.0

1.5

5.8

21.0

659.2.

•

II'

••

•

ill

~Ea

ERDF

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2 .1.4

Nearly

500 million ECU went to infrastructure projects

18.

Since the Fund was set up, four fifths of assistance has been

allocated to infrastructure projects. The Federal Republic of Germany is

the only one of the ten Member States to have used more than half of its

allocation to assist projects in industry, while Ireland, Belgium and the

United Kingdom are not far from the 30% of grant aid to be allocated to

industrial investment projects pursuant to Article 4.1. b of the revised

1975 Regulation. The other Member States, particularly Greece and Italy,

have given priority to infrastructure projects. The year 1984 has seen a

slight upturn in industrial investment projects assisted by the ERDF,

since they accounted for 14% of grants, compared with 10.9% the previous

year.

19.

Once again transport infrastructure - in particular roads and highway

structures - received most from the ERDF: more than 3 300 million ECU,

equivalent to more than a third of grants to infrastructure projects.

Water engineering projects took second place with a quarter of grants,

followed by energy projects (17%). The marked shift towards this latter

category of infrastructure project, which began in 1983, did not continue

in 1984.

TABLE 3

GRANTS TO PRIORITY REGIONS IN 1984 AND FROM .1975 TO 1984

ERDF, SUPPORT NEASURES

Priority

regions

Amount

(Hio ECU)

~lezzogiorno

1984

Assistance

per capita

(ECU)

270

1975 to 1984

Amount

(Mio ECU)

4013.49

1091.70

713.44

296.66

327.29

99.98

Assistance

per capita

(ECU)

197

171

207

190

263

1960

198

109

.Ell as

Ireland

Northern Ireland

D.O.H.

Gr¢nland

Total

EUR 10

723.81

261.47

159.12

34.66

44.64

13.77

1237.47

2320.94

6542.56

11598.63

Assistance per capita, calculated on the basis of the population

of the ERDF-assisted areas

2 .1.5 An estimated 640 000 jobs directly created or maintained in the

productive sector since 1975

20.

Grants for projects in industry, craft .industry and services

accounted for 14% of ERDF appropriations, whilst the regulation provided

for a 30% minimum. These investments helped to create or maintain almost

69 000 jobs in 1984, according to the estimates provided by Member States.

This brings to almost 640 000 the estimated number of jobs created or

maintained since 1975 with the joint help of the ERDF and the national

authorities. Jobs created account for 85% of this total. The figures on

jobs created or maintained in each Member State are set out in Table 4.

Chapter II

begins

After the first decade of ERDF operations, a new era

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TABLE 4

FORECASTS OF JOBS CREATED OR MAINTAINED

IN 1984 AND FROM 1975 TO 1984

ERDF, SUPPORT MEASURES

Member

State

IRL

1984

created

410

.1 010

10 880

930

14 640

9 470

6 700

main-

tained

Total

created

172

550

670

080

410

990

700

010

1975-1984

main-

tained

100

140

15 870

16 340

770

1 620

Total

189

650

810

950

480

330

470

630

3 750

730

320

250

240

8 620

13 420

410

1 010

14 630

930

15 370

9 790

6 700

250

19 860

68 950

1 080

121 030

680

61 210

1 760

182 240

EUR

.____

____

530

541 520

96 800

638 320

It should be added, however, that investment projects in the productive

sector, by the very activity they generate, indirectly create jobs around

them. It is estimated that for every job directly created a further job is

indirectly created.

During the period 1975-1984, average CommUnity assistance per job

amounted to 3 200 ECU, with approximately 100 jobs planned per project.

With nearly 365 000 jobs assisted, the metalworking and precision

engineering industries come easily top of the list of economic sectors

financed by the ERDF. The electrical and electronic industries expanded

its share further in 1984, receiving 71 million ECU (double the previous

year's figure) for more than 14 000 jobs planned.

All of these figures should not blind us to the fact that it is frequently

very difficult to make job creation forecasts. For cyclical reasons, there

is some delay before certain investment projects really create jobs. A

particularly telling example "is that of a German firm in the Saarland,

which received ERDF assistance after initially forecasting that 490 jobs

would be· created. When the Court of Auditors carried out a check in 1983,

the firm had created only approximately half the jobs planned. Between

then and the beginning of 1985, however, the firm increased the number of

jobs created to 613 thereby filling the jobs cofinanced by the ERDF. All

in all, the firm in question created 123 jobs more than originally

forecast. This example shows how dangerous it is draw hasty conclusions

concerning jobs created.

Furthermore, the number of jobs announced by Member States in connection

with industrial investment projects does not take into account those

created indirectly by the investment: construction of a new factory,

installation of new production lines, etc.

2 .1.6

Infrastructure projects also create jobs

21.

Many jobs are also created directly and indirectly as infrastructure

projects are carried out. First of all, these projects entail a large

ERDF

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volume of work, particularly in the building and public works sector.

According to some estimates, the activity generated by the infrastructure

investment projects assisted by the ERDF since it was set up was

sufficient to employ a million persons for a year in the building and

public works sector.

Secondly, as in the case of industrial investment projects, jobs have to

be created to operate the infrastructure facilities. Such is the case with

ports, airports, power stations, research centres, etc. , which need a

permanent and technically skilled staff.

Furthermore, as the second periodic report on the social and economic

situation in the regions clearly shows, infrastructure is a necessary

pre-condition for the growth and development of industrial, craft and

service activities.

It should also be emphasized that, as in the case of productive

activities, certain infrastructure projects generate indirectly a

substantial volume of employment.

2 .1.7

One htmdred studies financed

22.

Under Article 12 of the revised 1975 Fund Regulation, Hember States

may undertake studies related to ERDF operations and obtain a financial

contribution of up to half their cost. Following an initial experimental

phase which began in 1980, the year 1984 saw a further increase in this

type of measure. Decisions were taken in respect of 43 studies, bringing

to 100 the total number of studies financed by the ERDF since it was set

up.

By providing grants for these studies, the Commission should be able to

participate in the financing of a number of investment projects from the

planning stage and play a more active role in their implementation.

These aims are also consistent with the views expressed by the European

Parliament and the Economic and Social Committee regarding the use of the

ERDF for promoting and searching out new initiatives.

2 .1.8

A more active year for specific Commtmity measures

23.

Since 1979, 95% of the Fund's resources have, in accordance with the

revised 1975 Regulation, been earmarked for Community action in support of

regional policy measures taken by the Member States. The remaining 5% is

allocated to specific Community regional development measures. In fact,

the appropriations committed for such measures up to 1984 represented only

1.2% of the Fund's appropriations, so that the analysis given above covers

virtually the whole (98.8%) of the Fund's resources.

24.

As far as the first series of specific Community measures is

concerned, out of a total of 216 million ECU available for a five-year

period, 54% of the appropriations had been committed by the end of 1984.

The pace of implementation of the measures therefore accelerated in 1984,

since 38 million ECU were committed, compared with 6 million ECU in 1983.

A total of 23 million ECU was committed in 1984 in respect of the second

series of specific Community measures adopted in January 1984.

Notwithstanding the year 1984 saw a slight increase in these measures

since a total of 61 million ECU was committed, in addition to the

79 million ECU committed over the three previous years, the overall result

is still not adequate.

Chapter II

begins

After the first decade of ERDF operations, a new era

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2 .1.9

Financial management

the ERDF: maximwn use

resources

25.

The unused appropriations from the specific Community measures

section were transferred to the support measures·. The rate of utilization

of appropriations available was very high in

1984,

with

99%

of resources

having been committed. Furthermore, the remaining balance of 5 million ECU

is the cumulative balance since the ERDF's inception and represents less

than

0.04%

commitments made during those ten years.

Taking the first decade of ERDF activity as a whole, the total amount of

payments exceeded

6 400

million ECU, equivalent to

55.2%

of the

commitments during that period. Excluding the commitments entered into in

December

1984,

in respect of which payments could not yet have been made,

this rate is in reality

64%.

2.2

REFORM OF COMMUNITY REGIONAL POLICY

2.2 .1

A new ERDF from 1985

26.

The Council, having reached an overall compromise agreement in May

1984,

adopted the Regulation reforming the European Regional Development

Fund on

June

1984,

following a conciliation meeting between the Council

and Parliament attended by the Commission. The Regulation adopted was

based on the Commission's proposals of

October

1981

and

November

1983.

The Regulation, which contains the principles of the

into force on

January

1985.

By drawing three years

close in this way, the Council discharged one of

assigned to it by the Stuttgart European Council with

the efficiency of the Community's structural Funds.

1983

proposal, came

of negotiation to a

the important tasks

the aim of improving

27.

At the close of a thorough discussion, the three institutions noted

that the conciliation procedure had been satisfactorily concluded and

agreed on the following joint declaration:

"The Council, the Commission and the European Parliament, noting the

emphasis on the Community nature of the new Regional Fund, consider that

appraisal and implementation of the principles contained in the new

Regulation must be the subject of an exchange of views at least once a

year.

The Council, the Commission and the European Parliament consider that the

operations of the Fund will give priority to the elimination of regional

imbalances. They will take maximum account of the regional implications of

the other Community policies in their deliberations on these policies.

Data on employment, and especially the employment of women and young

people, are fundamental factors in assistance from the Fund, as from other

Community instruments.

The three institutions agree on the advantages, with due regard for the

internal competence of the Member States and the provisions of Community

law, of more efficient relations between the Commission of the Communities

and regional or, where applicable, local authorities·. 'fP,is will enable

regional interests to be better taken into account when regional

development programmes and assistance programmes are drawn up.

ERDF aid will, in general, be an additional overall source of finance for

the development of beneficiary regions or areas.

ERDF

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The European Parliament, the Council and the Commission agree that in any

event those points which were the subject of amendments by the European

Parliament and which were not adopted by the Council will be discussed in

detail in the future and in any event when the Fund Regulation is

subsequently reviewed."

28.

The new ERDF Regulation contains substantial improvements on the

revised 1975 Regu1Rtion

6 •

It provides the Commission with the means to

develop a propex rtrategy of assistance and ties ERDF grants more closely

to Community objectives.

2.2 .2

Content of the Regulation

IMPROVED COORDINATION

29.

In order to contribute to the achievement of a higher degree of

convergence of the economies of Member States and to ensure a more

balanced distribution of economic activities within the territory of the

Community, the Regulation provides, in its first two Articles, that

Community policies are to be coordinated with each other and that

Community regional policy guidelines and priorities are to be coordinated

with.national regional policies.

in' order to accomplish these tasks, the Commission - which is also

responsible for coordinating the generai systems of regional aids - will

use the following instruments:

• the periodic report on the situation and socio-economic changes in the

regions of the Community, which the Commission will prepare at

two-and-a-half-year intervals;

regional development programmes, communicated .to the Commission by the

Member States, and the reports on their implementation;

• the analysis by the Commission of the regional impact of Community

economic and sectoral policies;

operations of

instruments.

the

ERDF

and

the

Community's

other

financial

THE MECHANISM FOR DISTRIBUTING THE ERDF'S.RESOURCES

30.

5).

The ERDF's resources will be used by reference to ranges which set

the lower and upper limits of the assistance for which each Member State

is eligible, these limits applying for periods of three years (see Table

Allocation of resources will -depend on the implementation of the

priorities and criteria laid down in the Regulat'ion. Provided that the

Member· State submits an adequate volume of applications for aid which

satisfy the conditions stipulated, it is guaranteed to receive the amount

corresponding to the lower limit of the range during the three-year

period. The system of ranges ensures greater flexibility in the management

of the Fund.

O.J. L

73, 21.3.1975;

O.J. L

349, 23.12.1980.

Chapter II : After the first decade of ERDF operations, a new era

begins

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TABLE 5

RANGES FOR ERDF ASSISTANCE

ERDF, SUPPORT MEASURES

(in

Member State

Lower limit

0.90

0.51

3. 76

12.35

11.05

5.64

31.94

0.06

1. 00

21.42

Upper limit

1.20

0.67

4.81

15.74

14.74

6.83

42.59

0.08

1.34

28.56

IRL

THE CRITERIA FOR ALLOCATING ERDF RESOURCES

31.

The Commission will decide whether measures are eligible for ERDF

assistance on the basis of, among others, the following criteria:

• the relative severity of the economic imbalance affecting the areas or

regions where the measures are carried out;

• the measures' contribution

objectives and priorities;

the

attainment

the Community's

• the measures' contribution to the development of the areas or regions

concerned, their direct and indirect effect on employment and the

mobilization of the indigenous potential of the regions concerned;

• consistency with the regional development programmes;

• the integrated use of the ERDF and other financial instruments for

structural purposes.

Furthermore, when administering the ERDF, . the Commission will. give

priority to assistance to industry and the crafts and services sectors,

primarily to small and medium-sized enterprises, to measures in national

priority areas and to measures which fall within Community programmes or

integrated programmes or operations. However, the application of these

criteria will depend, to a certain extent, on the applications submitted

by Member States.

PROGRAMME FINANCING

32.

An increasing part of the ERDF' s allocation will be used to cofinance

programmes, in the form of:

• Community programmes, undertaken on the initiative of the Commission

and drawn up by the Member State concerned in consultation with the

Commission, on the basis of a framework which the Council will adopt by

a qualified majority (hitherto Regulations introducing specific

Community measures have been adopted by the Council acting

unanimously);

• national programmes of Community interest, undertaken on the initiative

of Member States and jointly agreed by the Member State and the

Commission.

ERDF

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Unlike the national programmes, the Community programmes may, where

appropriate, relate to areas other than the assisted areas designated by

Member States for the purposes of their regional aid systems. A programme

which has become the subject of an agreement between the Commission and

the Member State or States concerned and has been adopted by the

Commission after consultation of the ERDF Committee constitutes a

programme agreement. The Commission will make potential beneficiaries of

these programmes aware of the opportunities open to them.

MEASURES TO EXPLOIT

THE

POTENTIAL FOR INTERNALLY GENERATED DEVELOPMENT

OF REGIONS

33.

In order to promote the development of small and medium-sized

undertakings in industry, craft industries and tourism, the ERDF will

contribute to ·the financing of consistent sets of measures (of the sort

already provided for by some of the Regulations introducing specific

Community measures) whose aim is to provide these undertakings with

facilities enabling them to expand their activities and to obtain access

to new technology, and to facilitate their access to the capital market.

FINANCING OF INDIVIDUAL PROJECTS

34.

The ERDF will continue to contribute to the financing of two types of

individual investment projects:

• in industry, the crafts or services sectors,

• in infrastructure,

costing more than 50 000 ECU, the projects to be located in assisted areas

as designated by Member States for the purposes of their regional aid

systems.

Bearing in mind the differences which exist between regions whose

development is lagging and those faced with problems relating to

industrial conversion, the requirement to apply a minimum of

30%

of ERDF

" resources to projects in industry, craft industry and servicf,s could not

be attained and became instead, an objective to be considered. This fact

however may be compensated by appropriate use of new possibilities offered

by the co-financing of aid schemes, interventions relating to indigenous

potential and the integrated approach.

Unlike the old Regulation, the new one lists the categories of

infrastructure which are not eligible for ERDF assistance (the negative

list).

RATE OF ASSISTANCE AND PAYMENT PROCEDURES

35.

The ERDF's contribution will as a rule be

50%

of public expenditure,

but may rise to 55% in the case of projects of particular importance. to

the development of the regions in which they are located and in the case

of Community programmes and measures to exploit the potential for

internally generated development of regions. This.new rate is well above

the rates laid down by the Regulation now in force.

In order to accelerate payments, the new Regulation provides the

possibility

making advance payments within the limits of budget

availabilities and according to the progress made with the operations.

THE FINANCING OF STUDIES AND ACTIVITIES PREPARATORY TO ERDF ASSISTANCE

36.

While still helping to finance studies closely related to its

operations, the ERDF may contribute to public expenditure on the planning,

technical preparation and implementation of operations which are the

subject of grant applications by the Member States; this was not possible

under the old Regulation.

Chapter II : After the first decade of ERDF operations, a new era

begins

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INTEGRATED DEVELOPMENT OPERATIONS

37.

The new Regulation makes provision for an integrated development

approach; this marks a first step towards the establishment of a legal

framework for integrated operations. Such integrated operations can be an

effective instrument both in improving the coordination of the

Community's Funds and in introducing closer cooperation between the

Commission and the national and local authorities of the Member States.

ERDF

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3 .0

CHAPTER Ill : COMMUNITY ACTION IN SUPPORT OF REGIONAL

POLICY MEASURES BY THE MEMBER STATES

38.

Before receiving a gran'. from the support measures section of the

ERDF, a project must pass through several stages. The application is

submitted by the Member State in question; it is then examined by the

Commission departments and referred to all the Member States for their

opinion and, in some cases, to the ERDF Committee before being approved

and finally published. The appropriations are then committed, and later

paid; in some cases, projects are inspected. This Chapter provides an

account of all the stages. It also describes in detail.the wide range of

assistance provided by the support measures section of the ERDF.

3.1

SUBMISSION OF APPLICATIONS

3 .1.1

Grant applications for just under

000 projects

39.

In 1984, the Member States submitted to the Commission grant

applications

concerning 5 906

investment projects and studies.

Altogether, these projects (broken down by Member State in Tables 23 and

24 in the Annex) were the subject of applications for assistance totalling

2 937 million ECU, an appreciable increase over 1983.

The breakdown by project category is as follows:

• infrastructure:

2 539.4 million ECU of aid requested for 4 737

projects;

• industry, craft industry and services:

381.9 million ECU of aid

requested for 1 128 projects;

• studies (Article 12): 15.5 million ECU of aid requested for 41 projects.

40.

Again in 1984, most grant applications were submitted towards the

middle of the year. This concentration on a brief period preceding the

last meeting of the ERDF Committee resulted in over 70% of grants being

decided and committed at the end of the year.

There are therefore two main stages in the work of the Commission

departments:

a first stage stretching from the last quarter of the previous year to the

first quarter of the current year is devoted primarily to contacts with

the Member States to prepare applications and obtain an overall view of

the projects that might receive grants over the year;

a second stage taking in the second and third quarters of the current year

is, in practice, given over to examining most of the applications. This

examination focuses on the various aspects of each application and,

consequently, the Directorate-General for Regional Policy consults the

other Commission departments concerned (competition, economic and

financial affairs, transport, environment, energy and sectoral policies:

agriculture, fisheries and industry).

41.

In the interest of making a better selection of projects, the

Commission has for several years asked Member States to submit

Chapter III : Community action in support of regional policy

measures by the Member States

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applications for grants totalling more than the budget funds available for

the year.

42.

In selecting projects, the

Commissio~ dA~artments

based themselves

on-the work carried out and broad lines of policy drawn up since the

establishment of the ERDF concerning grant criteria, and the relevant case

law. For exampie, guidelines exist on the scope for assisting

socio-cultural or tourist investments, on the eligibility of certain

industrial

projects

depending on their purpose

(restructuring,

conversion, replacement, etc.), on the advisability of providing finance

for advance factories and on the rates of grant to be applied to them.

There are also rules for differentiating the level of aid according to the

type of region, the. category and nature of the project and its importance

for the region concerned.

In 1984, the Commission departments drew up guidelines for granting aid to

general educational projects involving technical and vocational training

(e.g. intermediate vocational schools

LEPs - in France) and for

examining industrial projects, the aim being to make vetting procedures

for sensitive

indu~tries

more consistent and more transparent. Lastly, on

adoption of the new ERDF Regulation, the Commission, in preparation for

its implementation in 1985, began studying more sophisticated methods for

vetting applications, focusing on their merits as projects serving the

Community s interest.

3 .I .2 Project selection

43.

Of the 5 906 investment projects and studies submitted by the Member

States in 1984, 3 697, or just over 60%, were finally accepted on

completion of the examination procedure.

total of. 397 projects were not received in time for them to be examined

before the end of the year. They can therefore be held over to 1985

provided the national authorities decide to resubmit them under the new

ERDF Regulation, in force since 1 January 1985.

44.

Of the 5 509 projects examined, 1 812 (one third) were not accepted

by the Commission for the following reasons:

• 57 projects were withdrawn by Member States during the processing

procedure.

• 171 projects either failed to fulfil the formal conditions laid down by

the Fund Regulation (location in an assisted area, minimum of ten jobs

to be created, investment to cost more than 50 000 ECU, project not to

be completed by the date on which . the Commission receives the grant

application) or did not respect certain Community procedures, e.g. with

regard to public tendering;

• 187 projects were rejected either because they made no clear

contribution to the development of the region in question and were not

part of a regional development programme, or because the national aid

schemes from which they benefited were incompatible with the

Community's competition rules or because the nature of the investment

did not conform to the Commission's guidelines;

• 29 projects were rejected because they related to sensitive industries

(e.g. where there are risks of structural overcapacity);

• 1 211 projects were not fully

docum~nted

and the Commission requested

further 'information; when the dossiers are complete, some of these

projects may receive ERDF assistance in 1985;

• 157 projects were not accepted because the processing procedure had not

been completed by the end of the year.

In all, 3 697 projects were finally accepted in 1984. To this total must

be added 939 projects submitted in previous

year~

(including 816 in 1983)

ERDF

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which were not examined until 1984. This gives a grant total of 4 636

projects accepted.

45.

Table 6 prpvides a breakdown by Member State of the number of

investment projects and studies examined, accepted or deferred.

Most of the projects not accepted were situated

Italy

095) and

France (399), and almost all of them were small-scale infrastructure

projects.

TABLE

· OUTCOME OF EXAMINATION OF PROJECTS IN 1984

ERDF, SUPPORT MEASURES

(number of projects)

Member

State

Submitted

(1)

1984

Examined

(2)

121

143

291

206

1 053

152

2 117

1 381

5 509

Accepted

(3)

109

142

224

198

654

140

1 022

1 164

3 697

Accepted in

84, held over

from previous

years

(4)

127

109

Total

accepted

(3+4)

151

167

287

325

763

140

1 542

l.c217

IRL

185

143

348

209

1 129

155

2 292

520

1 400

5 906

939

EUR 10

636

3.2

CONSULTATION OF THE ERDF COMMITTEE

46.

For

all

large projects costing 10 million ECU or more, draft

decisions are referred to the Fund Committee,, for its

op~n~on,

accordance with the procedure laid down in Article 16 of the revised 1975

ERDF Regulation

7 .

In.the case of small-scale projects costing less than 10 million ECU which

are the subject of a global grant application, the Commission provides

prior information for the Member States in the form of simplified lists.

The only small-scale projects referred to the Fund Committee are those on

which the Commission or a Member State wishes the Committee to be

consulted

8 •

Draft negative decisions are automatically referred to the Committee.

Draft decisions.concerning the joint financing of studies (Article 12) are

not submitted to the Committee for an opinion.

For infrastructure investments in this category, the Commission,

before seeking the opinion of the Fund Committee, consults the

Regional Policy Committee (see Article

paragraph 2a of the revised

1975 ERDF Regulation).

Article 5, paragraph 2b of the revised 1975 ERDF.Regulation.

Chapter III : Community action in support of regional policy

measures by the Member States

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47.

At its three meetings in April, June and November, the Committee was

consulted for an opinion on 829 investment projects out of .the 4 593

accepted on completion of the stages of the examination . procedure

described above.

The prior information procedure introduced in 1979 greatly simplified the

work of the Committee again in 1984; of the 4 393 projects costing less

than 10 million ECU, only 630 (14%) needed to be discussed at the meetings

for an opinion. The Committee also examined the 199 projects costing 10

million ECU or more. None of the projects referred to the Committee was

rejected or failed to be the subject of an opinion. However, it should be

pointed out that, on 23 investment projects, a number of delegations cast

a negative vote or abstained from voting, although this did not lead to

the Committee delivering a negative opinion. Examination of one project

was discontinued when it was withdrawn by the Hember State concerned. In

the end,

592 investment projects and 43 studies have thus been accepted

on completion of the annual examination procedure.

NEARLY 4 400 PROJECTS

APPROVED

48.

To these

4 592

projects must be added

which had already been

endorsed by the Fund Committee in 1983 but which, for administrative

reasons, had had to wait until 1984 for a formal grant decision to be

taken. On the other hand, 250 of the projects accepted .under the annual

examination procedure could not be approved in 1984 because of inadequate

budget resources. In all, the Commission adopted in 1984 decisions

granting aid totalling 2 320.9 million ECU for

393 investment projects

and studies. The grant decisions were divided into three allocations

during the course of the year, except for those relating to studies, which

were adopted on a case-by-case basis.

49.

The

number

projects assisted was up by 19% compared with 1983. As

Table

shows, Italy, the United Kingdom, France and Greece accounted for

four fifths of the total. All the Member States except France registered

an increase, especially Belgium, the Netherlands, Denmark and Greece. The·

increase was due to the growth in the number of small-scale infrastructure

projects, combined with an advance in industrial projects.

TABLE 7

NUMBER OF PROJECTS BENEFITING FROM AID IN 1984

ERDF, SUPPORT MEASURES

Member

State

Industry, services

and crafts

228

302

189

Infrastructure

133

129

311

234

1 327

049

3 339

Studies

Total

151

167

287

330

538

139

1 521

216

393

IRL

140

011

EUR

ERDF

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CONCENTRATION OF AID IN

FIVE MEMBER

STATES

50. In 1984, aid totalled over 2 300 million ECU, i.e. 9.7% more than in

1983. This percentage increase, which exceeded the expansion· in the Fund's

budget allocation in 1984, was made possible by the growth in the volume

of resources available for commitment as a result of decommitments and

changes in the value of the EGU (see Table 11).

·The geographical concentration of aid continued to favour five countries,

Italy (34.7%), the United Kingdom (26.7%), France (11.5%), Greece (11.3%)

and Ireland (6, 9%). Together, these countries accounted for 91.1% of aid

(see Graph 1 a)). Greece and, to a lesser extent, France and Italy, which

had received a relatively large amount of aid in 1983 (16.8%, 13.5% and

38.7% respectively), saw their shares fall. By contrast, the proportion of

aid going to the United Kingdom and especially Ireland, which had received

21.7% ·and 4. 8% respectively in 1983, rose. The other beneficiaries of the

increase in aid over 1983 were Belgium, Germany and the Netherlands.

Table_s 8 and 28 provide analyses of aid granted.

Taking aid per inhabitant solely in the areas assisted by the ERDF in

1984, Ireland heads the list with 46 ECU per head, followed by Greece with

41 ECU and then Italy and Denmark with 35 ECU and 31 ECU respectively. The

full details are given in Table 21.

51.

Article 7 paragraph 5 of the revised 1975 Regulation gives priority

to large investment projects costing 10 million ECU or more. The tendency

noted in 1983 for Member States to submit small projects at the expense of

large-scale projects continued in 1984. There were 194 large projects

accounting for 48.3% of total aid, a fall of some 6 percentage points

compared with 1983. This fall was due solely to a sharp decline (8

percentage points) 'in aid to large infrastructure projects. For the first

time since 1979, over half of ERDF assistance went to small projects.

3.5

85% OF AID GOES TO INFRASTRUCTURE PROJECTS

52.

Infrastructure projects representing a total investment volume of

7 600 million ECU received just under 2 000 million ECU in 1984, i.e.

almost 85% of ERDF assistance, a fall of 4 percentage points compared with

1983 even though the volume of assistance rose.

The number of projects assisted (3 339) was sharply up (17%) on 1983.

Map 2 shows the regional distribution of assistance to infrastructure

projects in 1984.

Chapter III : Community action in support of regional policy

measures by the Member States

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TABLE 6

AID GRANTED IN 1964

EROF, SUPPORT MEASURES

(Mio)

Member

State

Industry, services

and crafts

Nat. cur.

1:1:1

Infrastructure

Nat. cur.

1 211.04

169.32

112.14

23.30*

1 562.46

78.76

1 016.50*

212.30

77.93

303.97

ECU

26.96

21.06

50.20

255.90

228.29

109.58

736.46

4. 73

30.92

505.55

1 969.65

Studies

Nat. cur.

70.00

0.08

0.00*

41.17

ECU

1. 56

0.68

0.04

0.03

6.02

Total

Nat. cur.

1 490.41

197.77

244.25

23.81*

1 832.07

114.36

1 111.63*

212.30

89.71

372.69

ECU

33. 18

24.60

109.34

261.47

267.68

159. 12

805.38

4.73

35.59

619.84

2 320.94

~ll>

t>jt:l

ECU

4.66

2.85

59.11

5.55

33.38

49.54

56.62

4.67

110. 70

327.08

IRL

EUR 10

209.38

22.95

132.03

0.51*

228.44

35.61

76.15*

11.76

66.56

5.50

~'='~

1-1

"tl

en§

1-3

c::

o;t

16.98*

2.16

12.30

3.56

24.21

> ....

Cll\D

Cll

- -

*Thousand millions

ECU rates at 1st December 1984: 1 ECU

44,91 BFR/LFR

8,041 OKR

2.234 OM

91,07 ORA= 6,844 FF

0,7188 IRL

1380 LIT= 2,520 HFL

0,6013 UKL.

--~~

------

----------

---

--~

----

1:1:1

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GRAPH 1 (SUPPORT MEASURES)

AID GRANTED BY COUNTRY IN

1984:

OVERALL DISTRIBUTION IN

AND AMOUNTS GRANTED TO INFRASTRUCTURE

AND

INDUSTRY

a) Overall distribution in

0.:2%: LIJ><H1BOIJRG

Df:.i\!t~RK

1. 4X

BELGIE-BELGIQUE

5X NElJERLAND

4. 7%

DEUTSCHLAND---.....,

b. B%

IRELAND

34. 7% ITALIA

2b. 7% UNITED KINGDOM

b) Aid to infrastructure

and

industry

tiVV-,·111o-···················································································································

INFRASTRUCT!JRE

!!!I

INDUSTRY

Irl

ME~IBER

STATE

Chapter III : Community action in support of regional policy

measures by the Member States

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.53.

A lower average rate

contribution

The average ERDF contribution per infrastructure project amounted to

590 000 ECU; this was one third of public expenditure and one quarter of

the total investment costs.

This average contribution in relation to public expenditure (32.8%) was 2

percentage points down on the previous year. While the normal rates are

between 10% and 30% of public expenditure for large projects costing 10

million ECU, and 30% for small projects costing less than 10 million ECU,

the maximum may, pursuant to Article 4 paragraph 2 of the revised 1975

Fund Regulation, be as high as 40% for projects of particular importance

to the region. In 1984, this was the case with 681 projects located for

the most part in Italy, Greece and, to a lesser extent, France and

Denmark. Furthermore, 127 projects located almost exclusively in the

United Kingdom received aid at a rate of less than 30%, mainly because

they involved advance factories or workshops, for which the rate of ERDF

contribution is limited to 20%.

Once again, no assistance was given in the form of interest rebates on EIB

loans, a possibility open under Article 4 paragraph 2b of the revised 1975

ERDF Regulation.

3.5

.2 Proportion of aid going to small projects continues to grow

54.

At 980 million ECU and 990 million ECU respectively, the volume of

assistance to infrastructure investment in 1984 was divided almost evenly

between large projects (numbering 126 compared with 115 in 1983) and small

projects (numbering 3 213 compared with 2 741 in 1983). The share going to

large projects thus continued its downward trend (63% in 1982, 56% in 1983

and 50% in 1984), with small projects benefiting accordingly.

The average grant to large projects, after rising to 9.2 million ECU in

1983, declined to 7.8 million ECU this year, a figure lower than that

recorded in 1982. The average grant to small projects was 308 000 ECU,

much the same as in 1983.

Projects classified as located in mountain and hill-farming areas

(Article 4, paragraph lc of the revised 1975 Fund Regulation) accounted

for 1.4% of aid for infrastructure projects. Although very low, this share

was higher than in in 1983 {0.8%).

5 .

3 Transport regains the lead

55. Three sectors continued to absorb four fifths of the aid granted to

infrastructure projects - transport (47.9%), water engineering (17.7%)

and energy (15.8%). The basic pattern was thus identical to that in 1983,

although there was a distinctly smaller share for water engineering and a

much larger share for transport.

Compared with 1983, the share taken by energy, which dropped back to third

position, halved (34.3% in 1983) while transport more than doubled its

share to move into the lead (21. 9% in 1983). Water engineering, which

remained in second position saw its share fall by around 6 percentage

points compared with 1983.

ERDF

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MAP 2

REGIONAL DISTRIBUTION OF ERDF ASSISTANCE

TO INFRASTRUCTURES PROJECTS IN 1984, LEVEL III REGIONS (MID ECU)

0.0

1.0

2.7

1.0

2.7

8.0

211.2

•

Chapter

III :

Community action in support of regional policy

measures by the Member States

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Table 32

the Annex shows, for 1984, a detailed breakdown of.the number

of infrastructure projects, and of aid, between the various types of

infrastructure project, while Graph 2

a),

shows the assistance given to the

ten types of infrastructure receiving the most aid.

In the transport sector, roads and highway structures received

fifths of aid, easily outdistancing port improvements and

projects. In relation to infrastructure projects as a whole,

highway structures absorbed in 1984 close on half the aid

projects and nearly one third on the aid for small projects.

over four

railways

roads and

for large

The proportions of aid going to the water engineering and energy sectors

are broadly the same. In water engineering, the bulk of assistance (86%)

went to large and small water collection and distribution schemes and

especially to small drainage/treatment schemes. In the energy sector,

nine tenths of aid went primarily to gas-distribution projects and to

large electricity- distribution projects.

As for the other sectors, the proportion of aid allocated to

telecommunications was the same (8%) as in 1983. Virtually all the aid

went to small and large telephone and telex networks split equally between

the two. By contrast, in comparison with 1983, the proportion of aid

allocated to infrastructure projects connected with productive activities

(5.9%) fell by almost a half to much the same level as had been recorded in

1982. The main beneficiaries in this sector continued to be projects

providing services and utilities for industrial es.tates (71%), followed

by research centres (16%).

Small-scale improvement projects received half of the aid allocated to the

environment sector, which almost trebled its share (1.6%) compared with

1983

(0.

6%).

Infrastructure projects in the socio-cultural and leisure fields shared

the remainder of ERDF and more than doubled their share compared with 1983

(from 1.3% to 3.1%). Grants went primarily to projects in education and

tourism (culture, sports and leisure).

3.6 PRODUCTIVE INVESTMENT UP AND MORE JOBS CREATED

MAINTAINED

56.

In 1984, grants to industry and services (327 million ECU) accounted

for 14. 1% of aid for support measures, an increase of more than 3

percentage points over 1983. This figure was higher than in 1982 (12.8%)

and 1981 (11.9%).

As Graph 1 b) clearly shows, the share of such grants varied considerably

from one country to another, ranging from 0% in Luxembourg to 54% in

Germany; it was 31% in Ireland, 18% in the United Kingdom, between 12% and

14% in Denmark, France, the Netherlands and Belgium, 7% in Italy and 2% in

Greece.

Compared with 1983, it rose in all countries except Belgium,

Germany and Greece, where it fell. Germany remains the Member State

channelling most ERDF aid to productive investments, whereas Italy and

especially Greece again devoted the bulk ·Of their efforts to

infrastructure projects in 1984.

The number of projects (1 011) and the volume of assistance increased in

1984 by 27% (799 projects in 1983) and 42% (231 millions ECU in 1983)

respectively.

ERDF

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GRAPH 2 (SUPPORT MEASURES) .

AID GRANTED IN 1984 TO THE LEADING TEN TYPES OF INFRASTRUCTURE

AND TO THE LEADING TEN INDUSTRIAL SECTORS

a) Types of infrastructure

200

400

b00

1"11o ECU

eoo

ROADS,

COLLECT. DiiTRIB.

TELEPHONE,

SEWERS,

PORT INS

b) Industrial sectors

t11o ECU

FOOD,

NON-t1ETAL. 11INER{t. PROD.

Chapter III : Community action in support of regional policy

measures by the Member States

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Map. 3 gives the regional distribution of ERDF assistance to industry,

craft industry and services in 1984.

57.

Whereas in 1983 small projects received significantly more aid than

large projects, there was a marked tendency in 1984 for aid to be divided

equally between the- two categories, although small projects comfortably

retained their lead (57%). According to the figures put forward, these

grants should create or maintain 68 950 jobs, an 11% rise on 1983, just

over two thirds of which result-from small projects.

Average ERDF aid per project was 324 000 ECU, equivalent to 44.3% (42.9%

in 1983) of public expenditure

and 9,2% of investment cost.

A total of 68 large projects received aid amounting to 141.2 million ECU

and, according to the forecasts made, will create or maintain 19 600 jobs,

the same as in 1983, even though the number of projects rose by 51% and the

volume of aid by 78%.

In 1984, 943 small projects received 186 million ECU in grants to promote

the creation or maintenance of 49 400 jobs, 16% more than in 1983.

ERDF aid per job expected to be created or maintained differed quite

markedly in 1984 as between large and small projects: 7 200 ECU for the

former and

800 ECU for the latter. Average aid per job was 4 700 ECU,

significantly higher than in 1983 (3 700 ECU).

Table 9 gives the size breakdown of productive investment projects.

3.6

Capital goods predominate

58.

As in 1983, 97% of ERDF assistance to the productive sector was

concentrated in three areas of industrial activity: capital goods

(54. 7%), ·consumer goods (29%) and intermediate goods (14%). All ar.eas of

industrial activity saw slight falls, with two exceptions: capital goods,

which increased their share compared with 1983 (by 6 percentage points),

and services, which, despite an increase, were still of no more than

marginal importance (2% of aid and 1 300 jobs announced).

Under article 4, paragraph 2a of the revised 1975 Regulation, ERDF aid

to industrial investment projects can amount to 20% of the investment

cost

an~ .~ay

not exceed 50% of the national aid. It is limited to that

part of the investment which does not exceed 100 000 ECU per job

created or 50 000 per job maintained. In the services sector and in

the craft industry, the Fund's contribution may exceed 20% of the

investment cost but may not exceed 10 000 ECU per job created or

maintained or 50% of the national aid.

ERDF

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MAP 3

REGIONAL DISTRIBUTION OF ERDF ASSISTANCE TO INDUSTRY,

CRAFT INDUSTRY AND SERVICES IN 1984, LEVEL III REGIONS (MID ECU)

0.0

0.2

0.5

1. 3

< X=<

<X=<

< X =<

0.2.

0.5

1.3

f===l

~~~

42.5 •

Chapter III

Community action in support of regional policy

measures by the Member States

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TABLE 9

SIZE BREAKDOWN OF INDUSTRIAL, CRAFT INDUSTRY

AND

SERVICE

PROJECTS AIDS IN

1984

ERDF, SUPPORT MEASURES

ERDF aid

per

project

Mio ECU

Small projects:

Investment

<10

Mio ECU

Large projects:

Investment

>10

Mio ECU

Average

per

job

ECU

National aid

per

project

Mio ECU

per

job

ECU

Investment

per

project

Mio ECU

per

job

ECU

0.20

3 800

0.44

8300

36 600

2.08

0.32

7 200

4 700

4.82

0.73

16 800

10 700

25.46

3.50

88 500

51 400

Capital goods accounted for over half the aid given to productive

activities. First place was again taken by electrical engineering and

electronics, whose share rose by almost

percentage points in

1984.

than

14 000

jobs are expected to be created or maintained in this sector,

which absorbed over one fifth of aid to productive activities. Two other

sectors came next, each wlth roughly the same share

(9.5%):

office and

data -processing machines, and the motor vehicle industry (some

6 500

jobs

expected to be created or maintained in each sector). Compared with

1983,

there was a shift in favour of these sectors in

1984,

to the detriment of

the metal products and mechanical engineering sectors. Investments

receiving aid in the capital goods sector were fairly evenly distributed

between large and small projects and should help to create or maintain

39 200

jobs, i.e.

57%

of the jobs announced under the support measures

alone.

The proportion of aid going to the consumer goods industries, after·

doubling in

1983,

declined a little in

1984 (2.5

percentage points).

There was a sharp fall in grants to the food, drink and tobacco industries

( 4. 6

percentage points) and, to a lesser extent, the textile industry,

with the paper/publishing and rubber/plastics processing industries

benefiting. In all, the assistance given to the consumer goods industries

s~ould

create or maintain some

22 000

jobs. Two thirds of the aid given

was allocated to small projects.

The proportion of aid given to the intermediate goods sector, the bulk

going to· small investment projects, fell by

3.2

percentage points compared

with

1983.

All the industries concerned were affected, with the exception

of the chemical industry, which registered a marked increase in aid.

Services apart, the textile industry rece:j.ved the least assistance per job

(1 700

ECU) and the mining of solid fuels and briquetting the most

(12 500

ECU). Average aid for all sectors was

4 700

ECU per job.

Table

in the Annex gives details of productive investments receiving

ERDF aid in

1984,

showing the number of projects, the amount of aid and

the number of jobs created or maintained. Graph

b) gives the aid granted

to the ten.sectors receiving most assistance.

.ERDF

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3.1 THE SHARE OF AID ALLOCATED TO STUDIES HAS INCREASED

FOURFOLD

In addition to infrastructure and productive investment projects,

the ERDF also finances studies serving as preparation for investment

projects which can be financed by the Fund (Article 12 of the revised 1975

Regulation) .

While these studies still absorbed only a very small proportion of the

Fund's resources (around 1%), the figure more than quadrupled in 1984,

when Member States submitted 41 applications for the financing of studies

for a total of 15.5 million ECU.

A total of 43 studies were approved in 1984, at a cost of 24.2 million ECU.

These included 12 studies (5 in Italy and 7 in the United Kingdom)

relating to applications submitted in 1983 (see point 64 of the Ninth ERDF

Report).

FINANCE TOTALLING 24.2 MILLION ECU PROVIDED FOR 43 STUDIES

59.

60.

In 1984, most Member States applied to the ERDF for aid in financing

studies. Most of the aid granted went to Italy, France, the United

K~ngdom

and Belgium.

The 43 studies part-financed in 1984 by the Commission (which contributed

approximately half of the costs involved) were the following:

2 in Denmark concerning the use of hydroelectric energy in Greenland

(0.7 million ECU);

1 in Germany concerning flow control of a river in Saarland (O. 04

million ECU);

2 in France concerning a river·improvement scheme and a geothermal

power production plant on the island of Reunion (6 million ECU);

1 in Greece concerning incentives for regional manufacturing (0.03

million ECU);

5 in Italy (12.3 million ECU):

• three concerning water-engineering projects and the construction of

aqueducs (regions: Abruzzi, Marche and Molise);

one concerning the construction of a funicular railway on Mount

Vesuvius (region Campania);

• one concerning the working of bauxite deposits (region Sardinia);

5 in Belgium (1.6 million ECU):

three concerning the establishment of a service centre for small and

medium-sized firms, a craft industry estate and a redeployment

analysis (region Wallonia);

one concerning a prototype bioclimatized greenhouse (region:

Wallonia);

• one concerning the development of a battery powered by

electro-biochemical combustion (region Wallonia);

27 studies in the United Kingdom (3.6 million ECU):

eleven relating to the development and use of tourism, industry, the

local economy and the distributive trades (regions: East Midlands,

Yorkshire/Humberside, North, Scotland, South West, Wales);

• five concerning water-engineering, drainage and water-purification

projects (regions: North West and Scotland);

Chapter III : Community action in support of regional policy

measures by the Member States

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• two concerning the use of telecommunications and the laying of

underwater power lines (regions: North, South West);

• three concerning road improvement projects (regions: Scotland,

South Wales, South West);

• four concerning port infrastructures (regions: East Midlands,

Scotland, South West, Wales);

• two concerning the storage of gas and the generation of electricity

and heating (regions: Northern Ireland, East Midlands).

TABLE 10

STUDIES (ARTICLE 12) FINANCED IN 1984 AND FROM 1980 TO 1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Member

State

1984

Number

1980-1984

(1)

Number

Amounts

granted

1.56

0.68

0.04

0.03

6.02

Amounts

granted

1.93

5.74

0.05

0.26

6.02

0.61

20.12

0.07

6.49

41.27

Actual

payments

0.37

3.56

0.01

0.06

0.02

2.55

0.05

1.65

8.27

IRL

12.30

3.58

24.21

EUR

(1)

Before 1980, only two studies had been financed in Ireland

and Northern Ireland

With regard to the state of progress of studies

rece~v~ng

a contribution

from the ERDF, one fifth of the appropriations committed was paid by the

end of 1984. Of the 98 studies approved, nine were completed. To speed .up

work on the other studies, the Commission departments have contacted the

Member States concerned, in particular +taly and the United Kingdom.

The nine studies completed are the following:

• three feasibility studies concerning the use of hydroelectricity to

supply small communities in Greenland (Denmark);

• one feasibility study concerning the transport plans for a link between

Newry in Northern Ireland (United Kingdom) and Dundalk (Ireland);

• one study concerning the supply and distribution of methane gas for

industrial use in Campania (Italy);

• two studies concerning a high-speed road link between San Simone and San

Teodoro and between San Teodoro and Olbia in Sardinia (Italy);

• one feasibility study concerning the development of a coordinated

industrial heritage to promote tourism at Biggar and New Lanark in

Scotland (United Kingdom);

• one feasibility study concerning a programme

activities in the Liege region (Belgium).

for

setting up new

ERDF

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3.8

99.8% OF COMMITMENT APPROPRIATIONS USED IN 1984

61.

In all, the funds available for commitment in 1984 to finance ERDF

support measures amounted to 2 327.12 million ECU, compared with

2 164.28 million ECU

1983, an increase of 7.5%. This amount breaks down

as follows:

TABLE 11

FUNDS AVAILABLE FOR COMI-HTMENT IN 1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Appropriations entered in 1984 budget

Appropriations outstanding from 1983

Appropriations available from:

- decommitments

- changes in value of ECU

Unused appropriations from the specific Community measures

section transferred to the support measures section

Total

2 025.00

42.68

103.34

67.45

. 88.65

2 327.12

The appropriation entered in the 1984 budget (2 025 million.ECU) showed an

increase of 6%, while the increase in each of the previous two years, had

been over 14%.

62.

The grant decisions taken in 1984 resulted in commitments totalling

2 322.20 million ECU, broken down as follows:

TABLE 12

AMOUNTS COMMITTED BY TYPE OF INVESTMENT IN 1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Industry, craft industry and services

Infrastructure

Studies (Article 12)

Total

326.57

971.38

24.25

322.20

During the first ten years of ERDF operations, virtually all the

appropriations available were committed (99.8%). The difference between

total appropriations available (2 327.12 ·million.· ECU) and the total

commitments (2 322.20 million ECU) leaves a balance of 4.92 million ECU

only, which is the total cumulative balance since the Fund's inception.

Table 13 provides a synopsis of the balance of commitment appropriations

outstanding at each year-end since the Fund was set up; it shows that the

available appropriations have been almost entirely used up since 1975. The

balances outstanding at each year-end have generally been used up at the

very beginning of the following year since they were much lower than the

amounts that could have been committed on the basis of the applications

examined during the year.

Chapter III : Community action in support of regional policy

measures by the Member States

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TABLE 13

BALANCES OF COMMITMENT APPROPRIATIONS OUTSTANDING

EACH YEAR-END FROM 1975 TO 1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Year

Budget

appropriations

030.40(3)

Appropriations

available for

commitment

(1)

1 047.23(3)

599.84

973.65

1 169.64

1 615.17

1 817.69

2 164.28

2 327.12

Appropria-

tions used

up (2)

1 032.20(3)

556.36

970.43

1 137.79

596.19

1 812.13

2 121.61

2 322.20

Balance outstan-

ding at year-end

15.03(3)

43.48

3.22

31.85

18.98

5.56

42.68

4.92

75/11

1978

1979

1980

1981

1982

1983

1984

581.00

900.00

106.75

463.00

669.00

909.50

025.00

(1) Including appropriations carried over from the previous year,

appropriations made available through decommitment and

through adjustments to take account of fluctuations in the ECU

rate in respect of commitments remaining payable from previous

years.

(2) Commitments for the respective years adjusted to take account of

fluctuations in the ECU rate.

(3) Budget appropriations

300 Mia u.a., appropriations

available for commitment 1 312.33 Mia u.a., appropriations used

up 1 301.64 Mia u.a. This leaves a balance of 10.69 Mia u.a.

converted into ECU at the rate ruling in January 1978.

63.

Since for 1984, as for 1983, no quotas were iaid down in the ERDF

Regulation, the Commission committed the appropriations available in

response to the applications made by the Member States, by applying the

criteria for selecting projects laid down in the Regulation. It also had

regard to the distribution of resources provisionally decided on by the

Council for 1981 but, in addition, took account of the impact in the years

ahead of the application of Article 45 of the new ERDF Regulation, which

concerns the specific Community measures instituted by the Council before

1 January 1985.

Each Member State's situation as

appropriations is shown in Table 14.

regards

the

use

commitment

3.9

97%

OF PAYMENT APPROPRIATIONS USED

64.

The payment appropriation initially entered in the 1984 budget

amounted to 1 312.50 million ECU, an increase of 11.2% compared with 1983.

Including 31.36 million ECU which had been carried over and 18 million ECU

transferred from Chapter 51 (Specific Community measures), total payment

appropriations available amounted to 1 361.86 million ECU (see Table 38 in

the Annex).

ERDF

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13C1

!DP"

Ill Ill

lll"t:l

c::

1-i

Ill

'41-i

C"'H

TABLE 14

USE Of COMMITMENT APPROPRIATIONS IN 1984

ERDF, SUPPORT MEASURES

(Mio)

Member

State

Nat. cur.

rt ••

lfn

g:i

Commitments

11rt

5-§

t-'•

Credits * Ba I ance

Credits unused

outstanding under specific

entered

at the end Community

in 1984

budget

of 1983

measures

section

ECU

33. 18

24.48

109.21

263.21

267.72

158.55

805.85

4.73

35.59

619.68

ECU

Credits made

available by(a)

decommitments

and (b)exchange

rate fluctua-

tions

(a) ECU (b) ECU

1. 86

0.76

4.58

0.03

24.50

17.13

19.41

0.77

3.67

30.63

- 0.45

- 0.17

- 1.12

28.01

- 2.17

- 0.71

13. 14

- 0.07

- 0.30

31.28

67.45

Total credits

avai !able

for

commitment

1984

ECU

rtlll

Ill("')

rtrt

t-'•

Ill 0

::1

t-'·

1:/l

IRL

EUR 10

H'l

1 490.41

197.77

244.25

23.81**

1 832.07

114. 38

1 1 11.63**

212.30

89.71

372.69

tzj~

egl-i

"'::~

~~~

'tl!>t:C

O'tl~

~;g

~;g.j:-

!>H

Ul!>

o .....

2 322.20

2 025.00

42.68

88.65

103.34

2 327.12

t-'•

Ill

.._.

In 1984, no quotas being laid down by the ERDF Regulation, the Commission committed the

available credits according to the appl /cations presented by the Member States being guided

by the allocations provisionally authorized by the Council for 1981 and applying the criteria

for selection of projects set out in the Regulation.

UlZ

tzlO

.....

.._.

.....

**Thousand mi I lions .

.j:-

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65.

Table 15 shows that payments actually made amounted to 1 325.98

million ECU. The increase over payments made the previous year was 6.4%.

For budgetary reasons, this increase was much smaller than the previous

year (35.9%). Almost 97% of the appropriations available were used up,

compared with 98% the previous year. The balance of appropriations was

rapidly used in January of the following year.

In actual fact, the applications for payment submitted by the Member

States, at 1 450.2 million ECU, exceeded payments made by 125 million ECU,

whereas initial appropriations amounted to only 1 312.50 million ECU.

This difference was due mainly to the late submission of payment

applications for whose processing additional information was required

from the Member States (some 76 million ECU), other reasons for the

difference being the changes made during the processing of payment

applications submitted and the recovery of amounts released through

decommitment. The payments situation by Member State and for the Community

as a whole is set out in Table 15.

TABLE 15

PAYMENTS MADE IN 1984 AND

COMMITMENTS STILL TO BE PAID AT THE END OF 1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Member

State

66.

Commit-

ments

1975-1983

1984

still to be

paid at end

1983 (1)

Payments

as %

of commit-

ments

Commit-

ments

to be paid

at end

1984

1983

1984

5.63

28.10

43.92

212.63

190.23

101.51

435.12

2.49

14.74

291.61

75/83 75/84

68.0

70.2

73.1

59.4

53.9

75.6

43.1

49.0

52.8

63.1

55.0

52.1

77.6

69.2

64.2

55.1

72.6

44.6

49.2

50.1

60.7

55.2

48.49

25.02

156.23

320.45

616.12

139.67

2 129.80

4.88

77.75

1 023.26

4 541.67

IRL

20.94

28.64

90.94

269.87

538.63

82.63

1 759.07

2.64

56.90

695.19

3 545.45

33.18

24.48

109.21

263.21

267.72

158.55

805.85

4. 73

35.59

619.68

7.03

16.70

45.05

214.59

214.56

91.57

344.50

0.02

18.12

294.46

EUR 10

(1)

2 322.20 1 246.60 1 325.98

Amounts adjusted to take account of decommitments and

adjustments for fluctuations in the ECU rate.

67.

Overall, the ratio of total payments to commitments increased

slightly at the end of 1984 to 55. 2%, compared with 55% at the end of the

previous year and 53.3% at the end of 1978. It remains fairly stable,

having shown a maximum variation of some three percentage points between

the highest ratio recorded at the end of 1980 (56. 4%) and the lowest

recorded in 1979 (53.2%). Excl'lding commitments made in December 1984,

which logically could not yet result in any payments, the ratio is

actually 64%. That overall payments represent only about one half of

commitments stems inevitably from the Fund Regulation. When a decision to

grant aid is taken, the total amount of the grant is committed

immediately, whereas disbursement is staggered over·several years in step

with the progress of the investment projects financed and with the outlay

by Member States. Moreover, ERDF payments are made only in response to

specific claims by the Member States concerned. All other things being

ERDF

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equal, the ratio will be even lower as commitments in recent year have

been greater.

68.

Table 39 in the Annex provides a breakdown, for each Member State, of

payments made in 1984 against the corresponding commitments made

previous years. The payments relating to the period 1975-1980 account for

some 5% of total payments in 1984. This proportion is somewhat higher for

those Member States which, like Italy (6.7%) and France (15.6%), had been

slow in submitting payment claims during that period. In 1984, these two

countries thus continued their efforts to close old files.

69. The second last column in Table 15 shows, for each Member State, the

payments made from 1975 to 1984 as a percentage of total commitments made

over the same period. The Member States still below the Community average

are Italy, Luxembourg, the Netherlands and Belgium.

Table 40 in the Annex provides a breakdown by Member State of payments

from the Fund each year since 1975.

70.

Table 16 summarizes the settlement of payment appropriations since

the ERDF was set up. Annual allocations of payment appropriations total

6 408 million ECU. At 31 December 1984, 6 372 million ECU had been

accounted for by payments made since 1975, representing as in 1983, a rate

of utilization of 99 .4%.

TABLE 16

PAYMENT APPROPRIATIONS SINCE 1975 ·

ERDF, SUPPORT MEASURES

(Mio ECU)

Year

Budget

appropriations

(1)

1975(1)

1976(1)

1977 (1)

1978

1979

1980

122.31

229.05

294.53

525.00

483.00

392.38

16.00

799.20

3.34

015.00

17.78

180.00

312.50

18.00

Balance

carried

over

(2)

48.25

64.25

83.08

353.19

323.04

(2)

4. 72

(2)

15.85

(2)

97.96

31.36

(2)

6 372.21

35.88

1 246.60

1 325.98

31.36

35.88

950.67

97.96

791.41

15.85

Payments

made

(3)

74.06

213.05

275.70

254.89

513.15

726.70

Balance

(1+2-3)

48.25

64.25

83.08 (1)

353.19

323.04

4. 72

1981

1982

1983

1984

·Total

6 408.09

(1) Million of units of account (u.a.) converted into million ECU

at the average rate for the year.

(2) Transfer from the specific Community measures section

(chap. 51) to the support measures section (chap.SO).

Chapter III : Community action in support of regional policy

measures by the Member States

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3.10

CONTROLS

71.

Committed contributions are paid out upon presentation by the Member

State concerned of statements certifying the public expenditure incurred

(the basis for Fund

~ssistance)

and the existence of detailed supporting

documents. The latter do not have to accomp.any payment claims. The

conformity of the statements presented to the Commission with the

supporting documents is verified on the occasion of on-the-spot checks

carried out pursuant to Article 9, paragraph 3 of the revised 1975 ERDF

Regulation on a sample of projects aided by the ERDF.

On-the-spot inspections also have the object of verifying the conformity

of completed projects with the proposals as originally presented for ERDF

aid and that of national administrative practices with Community rules,

particularly as regards public tendering. Establishing that the projects

carried out conform with the operations for which ERDF assistance was

provided also involves verifying the extent to which the socio-economic

objectives of the projects financed have been met. While, in the case of

infrastructure projects, such verification focuses on the level of use and

the economic framework, it is more particularly concerned, in the case of

industrial projects visted, with the number of jobs created or maintained

compared with the forecasts given in grant applications.

During on-the-spot checks which involve a visit to the firms concerned,

the Commission inspectors, in order to ascertain the number of jobs

created or maintained, examine appropriate documents, such as the firm's

manpower records.

On-the-spot checks carried out by Commission staff in 1984 did not reveal

any irregularity. Admittedly, discrepancies were discovered between the

targets indicated in grant applications and the actual number of jobs

created or maintained, but such discrepancies do not constitute an

infringement of the ERDF Regulation. Clearly, any forecast of jobs to be

created or maintained, whether at company level or more generally, is

hazardous since it is subject to considerable uncertainty. Forecasts

given in ERDF grant applications can, therefore, be no more than

indicative. Since such forecasts are fraught with risk, there is no

justification for imposing penalties on account of discrepancies between

the forecasts made and the actual number of jobs created or maintained

provided the investment project that has received an ERDF grant has been

implemented as planned and provided all the conditions imposed by the

revised 1975 ERDF Regulation, and in particular the limits prescribed in

Article 4, paragraphs 1a and 2a, have been complied with.

72.

In 1984, the Court of Auditors of the European Communities was

associated with two on-the-spot inspections by the Commission.

73.

In 1984, the Commission made on-the-spot inspections of 204 projects,

compared with 200 in 1983 and 204 in 1982. This brought the number of

projects inspected on site since the Fund was established to 1 672. The

projects inspected in 1984 accounted for ERDF assistance totalling some

193 million ECU, as against 149 million ECU in 1983 and 338 million ECU in

1982. These figures should be seen against commitments of some 9 200

million ECU for the period 1975-83 and payments. of 5 000 million ECU in

the same period. The total number of projects inspected in 1984 involved

investment amounting to approximately 1 600 million ECU.

During the year, the Commission continued to use on-the-spot checks

to examine, in association with the administering authorities, projects

where payments had fallen behind schedule. The purpose was to discover the

causes of such delays and to speed up the processing or closure of the

files, either by final payment if the projects had been completed or by

decommitting the appropriations allocated if the;y- had not been carried

out. In 1984, alongside checks proper, 1 032 'dormant" projects were

inspected (as against 823 in 1983 and 359 in 1982). Following these

inspections, 51 projects lost their grants (the appropriations being

74.

ERDF

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decommitted), 66 were the subject of further payment claims and 68 the

subject of a final claim to close the file.

On-the-spot checks

1984 did not reveal . any operation of a

fraudulent nature, i.e. no case of financial benefit being obtained by way

of an illegal procedure. With a view to efficient use of ERDF resources,

the Member States concerned were asked to take steps to expedite work on

projects or, if these could not be completed within a reasonable period,

to consider applying for decommitment.

Generally speaking, on-the-spot inspections carried out during the

year revealed occasional flaws in the information supplied by the Member

States in grant applications and payment claims. They also brought to

light some tardiness in informing the Commission of the completion of·

projects, delaying the closure of files.

75.

76.

77.

In response to this situation the Commission systematically

continued and expanded in 1984 its general effort to speed up the closure

of files on grant decisions taken in the years 1975-77 and in subsequent

years.

The first phase of its action concerned files dating back to the first

three-year period of the ERDF's existence that had not yet been closed.

In 1984, the action was extended to files still pending from 1978 and to

files from 1979 and 1980 that had not resulted in applications ·for

payment.

will be gradually extended to files still pending from

subsequent years.

Following this action, unsettled commitments dating back to the period

1975-1980 amounted to only 325 million ECU at 31 December 1984, as against

455 million ECU at the end of 1983, and represented only 7.2% of unsettled

commitments at the end of 1984.

3.11

INFORMATION ON ERDF ACTIVITIES

3 .11.1

The European citizen's right to know

78.

Article 10 of the ERDF Regulation requires that Fund operations be

publicized as follows:

• the investors concerned are to be informed that part of the aid granted

to them has been provided by the Community;

• for infrastructure projects, the Member States are to take all necessary

steps to ensure that assistance from the Fund is given suitable

publicity;

• the list of projects which have received contributions from the Fund is

to be published every six months in the Official Journal of the European

Community.

The Commission and the Member States use a wide variety of means to

implement these provisions, some of them suggested by the ERDF Committee.

The Commission attaches very great importance to the publicizing of Fund

operations. It considers that the European public is entitled to know how

the Community administers the resources for which taxpayers in the Member

States foot the bill. Fund operations, being in support of visible

practical projects, are a particularly apt advertisement for the direct

benefit people derive from Community action to promote the development of

the regions in which they live.

Chapter III : Community action in support of regional policy

measures by the Member States

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Alongside the public;i.ty measures explicitly provided for in the ERDF

Regulation, the Commission continues to publicize its activities through

the normal channels, e.g. press releases, press conferences and

brochures.

3 .11.2

Press information in 1984:

detailed coverage

79.

After each of the three series of grant decisions the Commission

issued a press package consisting of a general section concerning the

whole allocation and a national section setting·out the aid granted to

each country and listing all the projects concerned by the latest

allocation. The general section is intended for the newspaper accredited

in Brussels, which are for the most part supraregional papers, while the

national section is of interest primarily to the regional and local press

in the Member States.

In 1964, the Commission continued to improve the lists of projects. For

the third allocation in 1984, as much detail as possible was published for

the projects in nine Member States (exact location, name of investor,

amount of grant and project description). German industrial projects·are

the only ones for which the location and the name of the investor have not

yet been given. This is because the German Government remains opposed to

disclosure of the names of investors who have received a grant, basing

itself on national legislation. Although it does not think this is

correct, the Commission has continued to respect the German Government's

wish and hopes to be able to resolve the matter soon.

3.11.3

Signboards: tangible evidence

the ERDF

80.

The signboards which the Member States erect at the sites of some

infrastructure projects are a very effective means of publicizing the

ERDF's financial contribution since the notice draws attention directly

to a visible practical structure (see illustrations at the end of the

report).

Since the Regional Fund was set up, signboards have been erected for some

2 800 projects. The erection of such signboards was agreed by the members

of the ERDF Committee in 1975/76. It was decided that they should be put

up only for projects exceeding a given cost. Unfortunately, agreement was

not reached on what that level of cost should be, with the result that the

thresholds vary from one Member State to another.

However, as Table 17 shows, the Member States do not even erect signboards

according to the threshold they have adopted. ·

ERDF

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TABLE 17

INFRASTRUCTURE PROJECT SIGNBOARDS ERECTED

FROM 1975 TO 1984

Member

State

DK/Gr¢nland

IRL

Threshold Number of projects Number of

(Mio ECU) above

signboards

(1)

the threshold

erected

0.5/2

0.5 (2)

152

114/26

868 (3)

028 (4)

795

295

099

009

7.6

737

113

1 064

740

2 920

been agreed to

which

in 1984

137

119

0.5

EUR 10

10 481

(1) Investment threshold above which it has

provide publicity

(2) In Germany, the threshold is 10 Mio ECU

already started when the grant decision

(3) Projects exceeding the threshold of 0.5

(4) Total number of projects

for investment projects

is taken

Mio.ECU

In 1984, the Commission asked the Member States to display on these

signboards a European emblem, the letter

for "Europe" in gold on a blue

square.

emblem gets the message over to the public even more

effectively than a notice and conveys to all Europeans the same image of

the Community's presence.

The Member States responded favourably and the fir3t. signboards bearing

the European emblem have already been erected, as the illustrations in

this report show.

In addition to the temporary signboards erected during implementation of a

project, some Member States, notably the United Kingdom, affix permanent

plaques to certain projects assisted by the ERDF. These include a bronze

sculpture of the letter

at Manchester Airport and a permanent

inscription indicating that part of the airport project had received an

ERDF grant. The Commission is highly appreciative of such initiatives and

would like to see other Member States following the example set by the

United Kingdom.

3 .11.4

Publication in the Official Journal: still too little information

81.

Details of the first and second grant allocations for 1984 were

published in the Official Journal in September

10 , ·

and December 1984

11 •

respectively, while details of the third allocation are to be published in

1985.

O.J. No C 245 of 13 September 1984

O.J. No C 349 of 31 December 1984

Chapter III : Community action in support of regional policy

measures by the Member States

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The Commission plans to improve the details given in the published lists

of projects that have received ERDF grants, among other things in order to

permit project identification. For this, it is considering publishing in

the Official Journal in the near future the same information as it makes

available regularly to the press.

3.11.5 Letters to investors

82.

In order to inform investors that their project had received an ERDF

grant, the Commission continued to send out .letters notifying them that

part of the public funds they had received had come from the Community. In

the case of some countries, however, these 'letters were very late in being

sent out. The Commission is proposing to speed up the procedure with the

help of data- processing equipment.

ERDF

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4.0

CHAPTER IV : SPECIFIC COMMUNITY REGIONAL DEVELOPMENT

MEASURES

4.1

NEW TYPE OF MEASURES

83.

As provided for in Article 13 of the 1975 revised ERDF Regulation,

specific Community regional development measures are to include measures

"linked to Community policies and measures adopted by the Community in

order to take better account of their regional dimension or to reduce

their regional consequences".

On 7 October 1980 the Council adopted five proposals for specific

Community regional development measures under this section of the ERDF.

This first series of measures is designed to enable the Community to

contribute, for a limited period of time, to resolving problems for which

it bears special responsibility in specific regions proposed by the

Commission on the basis of Community criteria. These are regions liable to

·be affected by the consequences of decisions and measures taken under

other Community policies, especially outlying regions facing special

problems to do with their remoteness.

These measures seek to promote:

• the development of certain Mediterranean regions (Mezzogiorno and South

West France) in the context of the enlargement of the Community to

include Spain and Portugal -Regulation (EEC nr. 2615/80);

• the creation of new activities in certain areas seriously affected by

the restructuring of the steel industry in Belgium, Italy and the United

Kingdom- Regulation (EEC nr. 2616/80);

• the creation of new activities in similarly hard-hit shipbuilding areas

in the United Kingdom- Regulation (EEC nr. 2617/80);

• an improvement in the security of energy supply in inland areas of the

Mezzogiorno- Regulation (EEC nr. 2618/80);

• an improvement in the economic and social situation of the border areas

of Ireland and Northern Ireland- Regulation (EEC nr. 2619/80).

These measures differ from Community support measures as regards both the

nature of operations assisted and the financing procedures. They are

implemented in the form of special multiannual programmes presented by

Member States for approval by the Commission, after consultation with the

ERDF Committee.

The programmes are to receive financial assistance'totalling 220 million

ECU in the period 1981-1985. They must form part of the r'egional

development programmes of the countries concerned. In addition, they must

contain information analysing the situation and needs related to the

objectives pursued, specify the operations proposed and the timetable for

carrying them out and, more generally, supply all factors necessary to

enable their consistency with regional development objectives to be

assessed.

Chapter IV

Specific community regional development measures

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In the context of. these programmes, the ERDF may finance jointly with the

Member States concerned a series of operations to which it does not

contribute under its support measures, notably market studies, the

promotion of industrial innovation, management advisory services,

improved access for small and medium-sized enterprises (SMEs) to risk

capital, etc. These operations may benefit from Community assistance of up

to 70%, which means a substantial increase in the Funds available for

operations carried out in Member States.Fund assistance may go to public

authorities including local authorities, various organizations, firms or

individuals.

Under the framework of the first five Regulations, eight special

programmes were approved by the Commission, after consulting the ERDF

Committee, between June 1981 and July 1982, totalling 216 million ECU. The

ninth and last programme, which concerns the measures in the steel making

areas in Italy, was sent to the Commission in March 1984 and has not yet .

been approved.

4.2

SECOND SERIES OF MEASURES LAUNCHED IN 1984

84.

On 18 January 1984 the Council adopted the second series of specific

regional development measures, presented by the Commission

November

1982. In the meantime, the Commission had amended its original proposals

to take account of a number of amendments passed by Parliament, which had

otherwise approved the measures selected.

Financial assistance under this second series will amount to 724 million

ECU over five years, which is more than three times the amount allocated

to the first series.·The measures apply additional resources and introduce

new forms of action to strengthen some measures already launched against

regional problems stemming from the third enlargement of the Community,

restructuring in the steel industry, shipbuilding and energy supply

difficulties. Their territorial scope has been extended, since Greece is

now covered. Lastly, a new measure has been introduced to deal with the

regional effects of restructuring in the textile industry.

The areas covered by this second series of specific Community measures are

in the following Member States:

•

enlargement measure: France, Italy, Greece;

energy supply measure: Italy, Greece;

shipbuilding area measure: Germany, United Kingdom;

steel area measure: Belgium, France, Italy, Luxembourg, Germany, United

Kingdom;

• Textile area measure: Belgium, France, Ireland, Italy, Netherlands,

United Kingdom.

85.

To be eligible for financing, measures must have the aim of creating

productive jobs in SME' s and craft enterprises; not only by means of

investment aid but also and especially by action to improve the economic

environment of business (market research, management advice, launching of

common services, information on and application of innovation etc.).

Some major improvements to the first series have been introduced with

these measures. Investment aids may now include an additional grant paid

entirely by the Community. Aid for business advisory services has been

introduced, the aim being to institute more active management of aids from

the public purse by exploring the potential for local economic

initiatives. The steel area measure will be linked more closely to the

Community's policy for the steel industry. A first phase of the measure

will concern areas which have suffered heavy job losses in the sector. A

second phase will also be applied in areas where the Member States' steel

industry restructuring programmes, notified by the Member States as a

result of the Commission's decision of August 1981, will nave major

ERDF

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consequences. In 1984 the Commission took decisions regarding the steel

areas in Belgium, Germany and the Netherlands, which will receive

assistance under the second phase of this measure (see annexed

bibliography).

86.

On the 20 December 1984, under the framework of this second series of

measures, the Commission, after consulting the ERDF Committee, approved

seven special programmes totalling 235 million ECU. The programmes are as

follows:

IN THE FEDERAL REPUBLIC OF GERMANY:

• promotion of new economic activities in Saarland, including certain

areas adjacent to Rhineland-Palatinate, affected by restructuring in

the steel industry (13 million ECU);

IN GREECE:

• development of certain regions (islands in the Aegean Sea and the Ionian

Sea, Crete) which will be particularly affected by the accession of

Spain and Portugal to the Community (40 million ECU);

• development of alternative sources of energy in the Greek islands (20

million ECU) ;

IN THE NETHERLANDS:

development of new economic activities in the Twente COROP region and

the Helmond region affected by restructuring in the textile and clothing

industry (7 million ECU);

IN THE UNITED KINGDOM:

promotion of new job-creating activities in areas affected by

restructuring in the steel industry (33 million ECU);

• promotion of new job-creating activities in areas affected by

restructuring in the textile and clothing industry (105 million ECU);

promotion of new job-creating activities in areas affected by

restructuring in the shipbuilding industry (17 million ECU).

The Member States concerned have still to present eighteen special

programmes to the Commission so as to make use of the remainder (489

million ECU) of the funds allocated to this second series.

4.3

COMMITMENTS: DISTINCT INCREASE IN 1984

87.

Table 18 shows the situation regarding funds available and

appropriations used at 31 December 1984 in respect of all the special

programmes approved by the Commission under the first series of

Regulations of 7 October 1980 and the seven special programmes approved

under the second series of Regulations of 18 January 1984.

88.

Commitments made in 1984 amounted to 61 million ECU (of which 23.4

million ECU under the second series), bringing the total amount of

commitments for these measures since 1981 to some 140.2 million ECU. This

is equivalent to 31% of the sum of the two allocations approved so far,

which is 451 million ECU. In all, 54% of the 216 million ECU allocation

.for the first series and 10% of the 235 million ECU allocation for the

second series have been committed.

Chapter IV

Specific community regional development measures

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TABLE 18

COMMITMENTS AND PAYMENTS 1984 AND 1981-1984

ERDF, SPECIFIC COMMUNITY MEASURES

(MID)

Payments

Tota I a I lo-

Special programmes

cat ion over

5 years

ECU

FIRST SERIES

Belgium

-Steel areas

France

-En I a rgement

Ireland

-Border areas

Italy

-Energy

-En I a rgement

United Kingdom

-Border areas

-Steel areas

-Shipbuilding areas

SECOND SERIES

Germany

-stee I a rea s

Greece

-En I a rgement

-Energy

Netherlands

-Textile areas

216

235

105

451

2.01

499.05

113.83

0.58

1984

Nat. cur.

Commitments

1981-1984

ECU

37.63

Nat. cur.

ECU

1984

1981-1984

ECU

20.55

Nat. cur.

ECU

%(2)

1) Nat. cur.

w'"rj

1;/l

1-i

116.78 54.1

43.47

248.73

8.36

0.98 16.3

38.38 69.8

11.72 73.3

5.03 31.4

33.82 52.0

3.65 45.6

12.76 38.7

10.45 61.5

23.37

2.01

499.05

113.83

0.58

1.98

1.02

6.31

0.90

9.9

6.9

16. 17

59.53 51.0

29.38

164.68

6.02

1 984.47

6 486.28

1.45

7.05

2.85

0.66 67.3

24.65 64.2

8.46 72.2

1. 51 30.0

4.84 14.3

2.46 67.4

12.01 94.1

4.93 47.2

4.04 17.3

1;/l

2.98

0. 36

C")t::;l

1-i

"':JD>

l:>lZ

69.47 10. 15

4.15

78.78 11. 51

1. 90

2.64

"i'"d

nt:ic:J

0~~

n~>

t-itl>o-3

6 610.53

24 402.82 17.68 45 614.33

1. 70

3.94

·2.37

23.37

0.90

5.48

1. 25

0.23

1. 02

2.14

7.37

6. 13

0.93

2.70

1. 55

4.49

§2 .... ())

1-i

\J:)

~!;fl

....

4.04

1;/ll-'

\J:)

1;/l

3.29

0.75

299.61

68.30

....

())

5.48 13.7

1. 25 6.3

0.23

3.3

299.61

68.30

3.29 60.0

0.75 60.0

'":1

1:>1

United Kingdom

-stee

a rea s

-Shipbuilding areas

-Textile areas

Total

1.98 3. 30

1.02 1. 70

6.31 10.50

60.99

3.30 10.0

1.70 10.0

10.50 10.0

140. 15 31 . 1

24.59

63.57 45.41

(1) Percentage of total allocation

(2) Percentage of commitment

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4.4 PAYMENTS: ALMOST HALF OF COMMITMENTS

In 1984 payments amounted to 24.6 million ECU (of which 4 million ECU

were under the second series of measures), bringing the total amount of

payments made so far to some 63.6 million ECU, equivalent to almost half

of commitments

(l1S

.4%).

Table 19 compares the appropriations available for commitment and the

appropriations actually committed in 1984. As

provi~ed

for in Article 2,

paragraph 3b of the revised 1975 ERDF Regulation, the amount by which the

Funds available exceeded requirements (88.65 million ECU) was transferred

at the end of 1984 from the section covering specific Community measures

to that covering support measures.

TABLE 19

AVAILABLE FUNDS AND COMMITMENTS 1984

ERDF, SPECIFIC COMMUNITY MEASURES

(Mio ECU)

Appropriations entered in 1984 budget

Appropriations outstanding from 1983

Total appropriations available in 1984

Appropriations committed

Appropriations transferred to support measures

Balance outstanding at end of year

115.00

100.50

215.50

60.99

88.65

65.86

89.

4.5

INSPECTIONS

90.

In 1984, on-the-spot checks were carried out in respect of four of

the eight special p,rogrammes of the first series of specific Community

measures (Italy - 'Energy", United Kingdom - "Border areas", Ireland -

"Border areas" and Belgium - "Steel areas").

The checks had two main objectives. From an economic viewpoint they were

concerned with conformity and, above all, effectiveness, i.e. the extent

to which the objectives of the special programmes had been achieved and

the contribution which the various measures were making to those

obj actives.

At a technical and financial level, their purpose was to

verify on an overall basis, by type of operation and for a sample of

individual projects, the figures certified by the Member State in

question.

4.6

INFORMATION

4.6 .1

Publication in the Official Journal

The Regulations introducing the first series of specific Community

measures, adopted in 1980, provided that the programmes had to be

published in full in the Official Journal. By contrast, the Regulations

introducing the second series provide only for publication by the

Commission. The seven programmes approved under the second series of

Regulations will be published in 1985.

91.

Chapter IV

Specific community regional development measures

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4.6 .2

Information activity by the Member States and the Commission

92.

The Commission is restricted in the information it can supply to the

public regarding aid provided for specific Community measures. Only the

Member States know all the details of the special programmes and are

therefore able to inform the public of the individual beneficiaries of

such measures. The United Kingdom does so regularly.

However, the Commission informs the press of the proposals which it has

made and the decisions which it has taken. When the second series of

specific Community measures was adopted by the Council in January, the

Commission issued a statement by the Member of the Commission responsible

for regional policy. It also issued press releases each time it adopted a

special programme submitted by a Member State. There were seven of these

in 1984. The Commission also announced proposals for new regulations and

three decisions concerning the extension of the territorial scope of the

"steel areas" measure.

4. 7

PROPOSAL TO SUPPLEMENT THE SECOND SERIES OF MEASURES

93.

Acting on the undertaking it gave on 18 January 1984 when the Council

adopted the second series of specific regional development measures, the

Commission adopted on 14 December 1984, for transmission to the Council,

four

pro~osals

for Regulations supplementing the second series of

measures

1 .

The proposals provide for ERDF assistance amounting to 133

million ECUover the next five years.

The first proposal aims to complete the territorial coverage of the

"shipbuilding" measure in force since October 1980 and reinforced under

the second series of measures. Information made available during 1983 and

1984 shows that the situation in this sector has deteriorated. The

Commission is therefore proposing that the measure be extended to certain

areas in the Federal Republic of Germany, France and Italy determined on

the basis of sectoral and socio-economic criteria.

Similarly, on the basis of the most recent statistics and the sectoral and

socio-economic criteria laid down, the Commission is proposing that the

"textiles" measure instituted under the second series be extended to

include new areas in the Federal Republic of Germany.

The third proposal is designed to back up the measure instituted in

October 1980 to assist the border areas in Ireland and Northern Ireland.

The territorial coverage of the measure is to be extended to include new

areas adjacent to the areas already covered and suffering from

particularly difficult employment problems, and the existing measures are

to be supplemented by assistance for small and medium-sized enterprises

(investment, innovation, access to risk capital) and for business

advisory services. In addition, the areas in Ireland are to be eligible

for measures to promote the supply and use of natural gas which, while

helping to strengthen the economic base of the areas, will also contribute

to achieving the Community's energy policy objectives, in particular

reducing dependence on oil.

Lastly, a new measure linked to the implementation of the Community's

fisheries policy is proposed to assist certain areas in Denmark, France

and the United Kingdom. Recent developments concerning the Atlantic,

North Sea and Baltic fishing zones, such as the extention of exclusive

fishing zones to 200 miles and the Community's establishment of a system

for the management of fishing resources (total allowable catches, quotas,

Document COM(84) 715 final.

ERDF

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technical conservation measures) have had and will have repercussions on

the fishing activities of the coastal Member States and the areas where

fishing activities are concentrated. Consequently, measures must be

introduced in these areas to enable new economic activities to develop

(notably small and medium-sized enterprises and tourism).

Chapter IV

Specific community regional development measures

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5.0

CHAPTER

LOCkTION OF ERDF ASSISTANCE

5.1 THE EIGHT MOST ASSISTED REGIONS RECEIVED HALF OF THE

GRANTS

94.

The extent to which the principle of geographical concentration of

ERDF assistance is put into practice can be seen from an analysis of the

proportion of grants given to the Community regions which received most of

the assistance.

As in 1982, 15 regions received two thirds of Fund assistance:

proportion had been three quarters in 1983.

this

95. Half of the grants went to eight regions. Campania again headed the

list with 290 million ECU, although its share has been declining slightly

over the years: 16% in 1982, 13.5% in 1983 and 12.5%.in 1984.

TABLE 20

THE

TEN REGIONS RECEIVING

THE

BULK OF ERDF ASSISTANCE

ERDF, SUPPORT

~tEASURES

(Mio ECU)

1984

Region

Campania

Sicilia

Ireland

Scotland

Wales

North West

Kentr.Dyt.Makedon.

Yorkshire/Humbers.

Calabria

North

Total

EUR 10

Ass is-

tance

290.39

197.96

159.12

155.07

96.23

95.86

89.65

86.19

72.29

65.15

1 307.91

2 320.94

1975-1984

Region

Campania

Sicilia

Scotland

Ireland

North

Calabria

Wales

Kentr.Dyt.Makedon.

Puglia

North West

Ass is-

tance

1 358.68

765.58

743.96

713.44

475.73

440.90

432.38

411.73

353.77

339.57

6 035.74

11.7

6.6

6.4

6.2

4.1

3.8

3.7

3.5

3.1

2.9

52.0

12.5

8.5

6.9

6.7

4.1

3.9

3.7

3.1

2.8

56.4 Total

100.0 EUR 10

598.63 100.0

Except in the case of Ireland, the grants made for multi-regional

projects have not been taken into account for the above regions.

They accounted for 0.2% of support measures in 1984 and for 4.5%

over the period 1975-84.

The list of the ten most assisted regions (see Table 20) is not identical

from one year to the next. Two English regions - Yorkshire/Humberside and

the North

joined the list in 1984, while two Italian regions -

Basilicata and Apulia - dropped out. Of those regions which remained in

the list in 1984, some (such as central and western Macedonia and

Calabria) moved down, while others (such as Sicily, Ireland and Wales)

improved their positions.

Chapter V

Location of ERDF assistance

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96. The regions with priority status - the Mezzogiorno, Greece (except

for Athens), Ireland, Northern Ireland, Greenland and the French Overseas

Departments - received more than half the grants

(53.3%)

1984,

compared

with

64.1%

1983

(see Table

in Chapter II for the periods

1984

and

1975-84).

97.

The ERDF assists only those Community regions which receive regional

aid from their Governments. These aids are approved by the Commission in

accordance with Articles

and

of the Treaty establishing the European

Economic Community.

ERDF operations affect areas with a combined population of

107

million

being

39%

of the Community's total population. As.Table

shows, however,

the relative importance of these aided regions varies widely from one

Member State to another. They account for some

16%

of the population in

Denmark and the Netherlands, from

35%

42%

in the Federal Republic of

Germany, the United Kingdom, Italy, France and Belgium, and as much as

66%

in Greece. Ireland and Luxembourg are regarded as ERDF assisted areas in

their entirety.

TABLE

ERDF-ASSISTED AREAS: POPULATION

AND

AID PER CAPITA

ERDF, SUPPORT MEASURES

Member

State

Population

(in millions)

total

9.9

5.2

61.7

9.7

55.4

3.4

57.2

0.4

14.2

56.3

273.4

Aid per capita

in ERDF areas

1984

(ECU)

eligible

3.5

0.8

22.8

6.4

23.0

3.4

23.0

0.4

2.4

21. 0(3)

106.6

35.4

15.5

37.0

65.5

41.6

100.0

40.2

100.0

16.6

37.2

39.0

(1)

(2)

IRL

EUR

(1)

Including Greenland

(2)

Including Overseas Departments

(3)

Including the Inner Urban Areas

(*)

From the available sources, the population figures relate to

the years

1980-1984

inclusive.

Aid calculated in per capita terms provides a better measure of the

level of ERDF assistance in the regions. This year for the first time

this indicator has been calculated by relating ERDF grants solely to the

population of the assisted areas and not to the total population of the

region in question. This indicator thus provides a more accurate picture,

since it provides a better comparison of the measures taken to help the

populations of the eligible areas only.

1984,

the two leading regions were Greenland with

270

ECU per head of

population and French Guiana with

146

ECU. Their leading position already

noted for the whole of the period

1975-84

was therefore maintained. In the

table of the ten most aided regions in

1984

according to this indicator,

however, there are five Greek regions. Italy, the United Kingdom, Ireland,

Denmark and France each have only one region in the list. Of the ten

regions receiving the most ERDF grants in absolute terms, only Campania,

98.

ERDF

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Ireland and central and western Macedonia again appear in the group of the

ten regions with the most aid per capita.

99. For a clearer overview of the ERDF's effort in each assisted region

its activities have been illustrated by two maps portraying the regional

distribution of assistance in terms of total amounts and amounts per

capita (Maps 4 and 5).

Tables 41 and 42 in the Annex provide all the data on the regional

distribution of assistance by type of investment from 1975 to 1984 and per

capita in 1984 and from 1975 to 1984.

5.2

LOCATION

ASSISTANCE IN THE MEMBER STATES

100.

This section of Chapter V reviews ERDF assistance in each of the

Community countries. Table 22 shows the grants made to assisted regions in

1984. After a brief analysis of each country, details of ERDF assistance

are .given for a selection of regions within that country which received

assistance in 1984.

5.2.1

Belgium

101.

In Belgium, 33 million ECU were granted to 151 projects; 81% went to

investments in infrastructure, 14% to industrial investments and 5% to

studies.

In the period 1975-1984, Belgium received 114 million ECU of which 70% for

infrastructure investments, 28% for industrial and service sector

projects and 2% for studies.

In 1984, grants totalling 5 million ECU went to 13 industrial and service

sector projects in various branches, helping to provide 413 jobs.

In the case of infrastructure investments, 37% of the grant aid went to

projects in the food and water supply sectors and 30% to road and sewerage

works. The other projects concerned the improvement or extension of

industrial estates, waste treatment and tourist facilities.

FLANDERS

In 1984, ERDF grants to Flanders totalled 4 million ECU, 12% of the total

for Belgium: 61% of this grant aid went to industrial projects and 39% to

infrastructure projects.

In the period 1975-1984, Flanders received 46 million ECU, 40% of the

total for Belgium: 59% went to infrastructure investments and 41% to

industrial and service sector projects.

Per capita assistance in the ERDF-assisted areas was 3 ECU in 1984 and 33

ECU for the period 1975-1984.

Of the 14 infrastructure projects assisted, 11 concerned the creation of

craft activity areas and the extension of industrial estates in the

Limburg-Campine area, receiving grants totalling 0.9 million ECU. In the

tourist industry, a grant of 0.4 million ECU was made for a second

extension of the "De Spaanjerd" recreation centre at Kinrooi.

The districts of Aalst and Oudenaarde benefited

Community measures to assist textile-producing areas.

from

the specific

Chapter V

Location of ERDF assistance

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MAP 4

REGIONAL DISTRIBUTION OF ERDF ASSISTANCE IN 1984

LEVEL III

REGIONS (MIO ECU) ·

0.0

0.5

1.8

0.5

1.8

6.0'

6.0

213.9

•

ERDF

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MAP 5

REGIONAL DISTRIBUTION OF ERDF ASSISTANCE PER· CAPITA IN 1984

(ECU)

270

•

·~

, ··',. ,

·I

rl6

:tP¥'

...

·'

Chapter V

Location of ERDF assistance

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WALLONIA

1984,

ERDF grants to Wallonia totalled

million ECU,

88%

of the total

for Belgium:

87%

went to infrastructure investments,

to industrial

projects and

to studies.

In the period

1975-1984,

Wallonia received

million ECU,

60%

of the

total for Belgium:

77%

went to infrastructure projects,

20%

to industrial

and service sector projects and

to studies.

Per capita assistance in the ERDF-assisted areas was

ECU in

1984

and

ECU for the period

1975-84.

More than half the

119

infrastructure projects rece1v1ng grants

(67

all) concerned roadworks and sewerage systems,

concerned works in the

· food and drinking water supply sectors and

related to the purification

of waste water.

··

In the tourist sector, ERDF grants were made for three projects; these

included the construction of a multi-purpose sports hall . and

swimming-pool in the "Worriken" recreation centre at Biitgenbach, which

received almost 2 million ECU.

Grants totalling

6 ·

million ECU were made for five studies, three of

which formed part of a programme to stimulate job creation in the

Charleroi area.

The provinces of Luxembourg, Liege and Hainaut (with the exception of the

districts of Ath and Tournai) benefited from the .specific Community

measures to help steel-making areas. The district of Mouscron benefited

from the measures to assist textile-producing areas.

The. less-favoured agricultural areas of the south-east of Belgium will

benefit from the integrated development programme for that region, which

the Commission approved in December

1984.

Two thirds of the infrastructure

investments which received ERDF grants in Wallonia in

1984

were located in

those areas.

5.2 .2

Denmark

102.

1984, 167

projects received grants totalling

24.6

million ECU,

85%

of which went to infrastructure projects,

12%

to industrial projects

and

to studies.

In the period

1975-1984, 131.9

million ECU were granted to

831

projects:

86%

for infrastructure projects,

10%

for industrial projects and

for

studies.

GREENLAND

Greenland, which was granted ERDF aid for the last time in

1984,

received

13.8

million ECU:

12.8

million ECU for

106

infrastructure

projects,

0.7

million ECU for feasibility studies concerning the use of

hydroelectric energy to supply local communities, and

0.3

million ECU for

a service sector project. This brings the total aid granted to Greenland

since

1975

100

millions ECU. Of that total,

93.9

million ECU went to

infrastructure projects,

5.8

million ECU to six studies and

0.3

million

ECU to a service sector project.

1984,

Greenland received

56%

of the total aid granted to Denmark,

compared with

76%

in the period

1975-1984,

already indicating a slowdown

in aid.

103.

ERDF

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Fund assistance per head of population in Greenland was 270 ECU in 1984,

which brings the total for the period 1975-84 to 1 960 ECU.

Some 40% of the aid granted for infrastructure projects went to the

transport sector, the largest grant being that for the Jakobshavn airport.

Energy supply projects received 20% of total ERDF assistance.

5.2 .3

Federal Republic

Germany

104.

From 1975 to 1984, Fund grants to the Federal Republic of Germany

totalled 544.8 million ECU, the bulk of which (55.5%) went to industrial,

craft and service activities.

In total, funds were provided for 680 infrastructure projects, 2 studies

and 1 633 industrial projects. The industrial projects helped to create

some 80 000 jobs and to maintain a further 16 000 (i.e. a total of

96 000). This is more than 15% of the jobs created or preserved by the

ERDF throughout the Community.

In the period 1975-1984, Fund assistance per head of population in the

ERDF-assisted regions amounted to some 24 ECU.

105.

In 1984, grants to the Federal Republic of Germany totalled over 109

million ECU, accounting for some 4.7% of total aid to Member States. The

bulk of this assistance went to 228 industrial projects, with the

remainder going to 58 infrastructure projects and one study. ERDF grants

helped to create 10 900 new jobs and to safeguard some 3 750 more.

A fifth of the grants made to industrial projects went to the automobile

industry, thereby helping to create or safeguard 2 800 jobs. A further

12.3% was allocated to the mechanical engineering industry (2 200 jobs),

with the remainder being divided between a number of sectors.

In 1984, the main beneficiaries of ERDF assistance were Baviara and

Berlin, with 23.1% and 21.8% respectively of the grants made to the

Federal Republic of Germany. They were followed by the Saarland (10.3%)

and North-Rhine-Westphalia (10.2%).

BERLIN

106.

In 1984, 23.9 million ECU were granted to two projects: firstly an

infrastructure project aimed at reviving the Brunnenstrasse industrial

estate to provide facilities for specialist high-tech industries, and

secondly an industrial project which received a ERDF grant of 5.6 million

ECU and which is expected to create or safeguard

200 jobs.

In the period 1975-84, 108.2 million ECU were granted to Berlin, which is

equivalent to 8.1% of total assistance to Germany during that period.

This helped to finance major infrastructure projects such as the

construction of a refuse incineration plan at Neukolln and the building of

a. fair and.exhibition complex in the television tower area.

Over the period 1975-84, ERDF assistance per head of population in this

region was 24 ECU.

SAARLAND

107.

As in 1983, all the projects financed in the Saarland in 1984 were

industrial. The ERDF grants helped to finance 23 projects costing a total

of 11.3 million ECU and a feasibility study concerning flow control of the

river Rosse!. The main sectors to benefit were vehicle manufacture, the

steel industry, mechanical engineering and light metal manufacture.

Chapter V

Location of ERDF assistance

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Since 1975, the Saarland has received 72 million ECU from the ERDF for 267

projects; 82% of that aid went to industrial projects.

In the period 1975-1984, ERDF assistance in the Saarland amounted to 67

ECU per head of population, which is well above the average for Germany.

The Commission also approved a special programme for the Saarland under

Regulation (EEC) n° 216/84 of 18 January 1984. This special programme, to

which the ERDF is contributing 13 million ECU, is designed to eliminate

obstacles to the development of new industries in the context of the

restructuring of the steel industry in the Saarland.

Finally, the ·commission decided in 1984 to contribute to the financing of

a preparatory study for an integrated development operation in the

Saarland.

5 •

2.4

Greece

108.

As Greece did not become a member of the Community until 1981, ERDF

grants to that country have been limited to the period 1981-1984.

During these four years, however, ERDF aid has been substantial, totalling

more than 1

000

million ECU. The ERDF has contributed to

920

infrastructure projects accounting for 96% of the total assistance to

Greece, 49 of which cost more than 10 million ECU each. Foremost among

these are: the project of the National Electricity Corporation (DEI) to

generate electricity from lignite at Agios Dimitrios in the prefecture 0f

Kozani in western Macedonia which received a grant of 43.5 million ECU and

was one of the biggest infrastructure projects co-financed by the ERDF in

1984; the projects to improve the telephone network of the Hellenic

Telecommunications Organization (OTE); major investments in transport

infrastructure; improvements to the rail network; the construction of the

Patras-Olyepia road and the Thessaloniki-Seres road; the modernization of

regional airports; industrial infrastructure (the industrial estates of

the Hellenic Industrial Development Bank (ETVA) and the vocational

training centres of the National Employment Agency (OAED). The remainder

of the aid (some 40 million ECU) was used to finance 103 projects in the

industrial, craft and service sectors, together with five studies. The

projects in question are intended to create or safeguard some 6 500 jobs

and are mainly concentrated in Thrace (22 projects) and in the eastern

Aegean islands (18 projects).

The funds provided for the major projects carried out by the DEI in the

prefecture of Kozani make central and western Macedonia the main

beneficiary of ERDF aid, wich some

40%

of the total. However, these

projects are designed to meet national needs and will therefore have an

impact on the development of other regions.

The remaining

60%

has been shared between all the other regions in Greece,

with the exception of Attica. It should also be noted that 10

multi-regional projects in outlying areas have received a total of some ·30

million ECU.

109.

In 1984, the pattern of ERDF aid to Greece reflected the priority

given to infrastructure projects over industrial investments: 98% of the

261 million ECU granted went to infrastructure prgjects.

The bulk of the grants made to 311 infrastructure projects were for

roadworks, the construction of power stations, the modernization of

telecommunications, port and airport improvements and the modernization

of sewerage and irrigation systems.

ERDF

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Smaller grants were made for the equipping of research centres

specializing in advanced technologies and for the construction of

cultural centres.

The majority of the grants made to the 18 industrial, craft and service

sector projects went on the construction of 11 hotels; the remainder were

for metal and wood-working projects and a study.

110.

Under Regulation (EEC) N° 215/84 instituting a specific Community

measure contributing to the development of certain regions of Greece in

the context of Community enlargement, a programme was approved to help the

Greek islands, to which the ERDF is contributing 40 million ECU. The

programme in question consists of measures to help small and medium-sized

enterprises, tourism, transport and the environment.

A second programme for assistance to the Greek islands was approved under

Regulation (EEC) n° 218/84, to which the ERDF is contributing 20 million

ECU and which concerns the use of new technologies in the energy sector.

The two specific Community measures in question are the first programmes

to be approved for Greece.

ASSISTANCE BY REGION

111.

In 1984, central and western Macedonia received the largest

proportion of aid (some 34.3%) while 15.4% were allocated to projects in

eastern mainland Greece and in the islands.

In terms of assistance per head of population in 1984, the islands of the

eastern Aegean occupied firsl place with 97 ECU, followed by eastern

mainland Greece and the islands with 64 ECU.

THE PELOPONNESE AND WESTERN MAINLAND GREECE

In 1984, ERDF grants totalling 15.7 million ECU went to 30 projects:

29 infrastructure projects and one industrial project. The infrastructure

projects included work on modernizing the airports at Kalamata and Tripoli

and those on the islands of Zante and Cephalonia (construction of a new

airport).

Grants were also made for work on irrigation and sewerage systems and for

the improvement of the road network in the prefecture of Aetolia-Acarnania

and in all the prefectures of the Peloponnese and the islands of Zante and

Cephalonia.

Grants made to this region since 1981 total 130.5 million ECU or 101 ECU

per head of population.

CRETE

113.

In 1984, the ERDF granted 31.7 million ECU to Crete (some 12% total

aid for Greece) to help finance 35 investments. Most of this grant aid

went to 33 infrastructure projects and to the construction of two hotels.

112.

The infrastructure projects assisted included in particular those carried

out by the OTE to improve the telecommunications network on the island,

the construction of sewerage systems at Khania and Rethimnon, the

modernization of the airport and improvements to the industrial estate at

Iraklion and the improvement of the provincial road network in all the

prefectures of Crete.

A contribution was also made towards providing technical equipment for the

Crete research centre (Iraklion) (four investments) to enable the island

to carry out applied research and introduce modern technology.

ERDF grants to Crete in the period 1981-84 totaled .78. 7 million ECU, which

represents assistance of 157 ECU per head of population.

Chapter V : Location of ERDF assistance

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5.2.5 France

1984 - YEAR OF CHANGE FOR THE ERDF

114.

The year 1984 was of particular significance for ERDF operations in

France. For the first time since 1976, grant applications submitted to the

Commission by the French authorities in respect of infrastructure

investments no longer related exclusively to operations wholly financed

by central government nor to that part of expenditure borne by central

government where the project is financed by a number of public or

quasi-public authorities.

Following a decision taken by the French Government, the ERDF has also

been asked to help finance that part of investmen't expenditure borne by

the regions, departments and municipalities and by other public bodies. In

1984, grant applications were submitted to the ERDF in respect of

expenditure incurred by such bodies as the Agence Fran<;aise pour la

Maitrise de l'Energie, the Syndicats Intercommunaux

Vocation Multiple

(SIVOM), the Pares Naturels Regionaux, the

Chambe~s

of craft industry, the

autonomous ports, etc.

As a result of that decision, the ERDF is contributing finance to a

limited but nevertheless significant number of projects in which public

authorities other than central government are involved. The projects for

which grants were approved in 1984 are located in the following regions:

Aquitaine, Auvergne, Champagne-Ardenne, ,Corsica, Languedoc-Roussillon,

Lorraine, Midi-Pyrenees, Nord-Pas-de-Calais, Provence-Alpes-Cote d'Azur,

Rhone-Alpes and the four overseas departments. The regions in .

metropolitan France are those affected by the Community's enlargement an.d

those which include one or more conversion areas. This measure is making

Community action much more transparent and effective and is in keeping

with the spirit of the Regulation setting up the ERDF. According to that

Regulation, ERDF assistance should not lead Member States to reduce their

own regional development efforts but should complement those efforts.

A further major innovation in 198( was the considerably wider range of

investments for which the French authorities submitted applications for

Community financial assistance. New types of projects have been added to

those traditionally submitted by France (roads, ports, telephones,

electricity generation and distribution, etc.). These new projects

include industrial/port areas, craft industry estates equipped with

advance workshops and service buildings, waste water collection systems

in rural communities and urban centres, drinking water supply systems,

municipal campsites, etc. The submission of these new types of investment

project is a consequence of decentralization and of the fact that regional

and local financing is taken into account in the grant applications.

The year 1984 was also a key year for studies. For the first time since

1975, the French authorities submitted grant applications for two studies

which were closely related to ERDF operations. The first was a feasibility

study concerning use of the geothermal resources of Reunion to produce

energy and the second concerned measures to be taken to protect an

industrial/port area against flooding .

. ANALYSIS OF ASSISTANCE IN 1984

115.

Grants totalling 262 million ECU were made in 1984 for productive or

infrastructure investments in France. In addition, there was the

million

ECU Community contribution to the two feasibility studies.

Grants for investments in industrial, craft and service activities

totalled

million ECU or

13%

of the total. This represents a slight but

nevertheless significant increase over the corresponding figures for

1983. The bulk of the assistance went to firms in the metalworking,

instrument engineering and other manufacturing sectors. The productive

ERDF

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investment projects rece1v1ng ERDF assistance will permit the creation of

14 615 new jobs and preserve 750 threatened jobs. ·

As in the past, Community grant aid was concentrated on infrastructure

investments, for which a total of 228 mi Ilion ECU was committed. The

sectoral breakdown shows that 62% of that amount went to transport

infrastructures; the proportions allocated to telecommunications and

energy generation and distribution

~ere

down markedly on previous years,

at 6% and 23% respectively.

analysis of the regional breakdown shows that Brittany was again the

main recipient of Community assistance with 41 million ECU or 15. 2% of the

total. The other regions which received substantial proportions were-

Midi-Pyrenees (14.6%), Auvergne (8.7%), Aquitaine (7.6%), Limousin (7.4%)

and Languedoc-Roussillon (7.2%).

118.

Concerning the specific Community measures, the year 1984 saw an

upturn in activity under the "enlargement" programme covering the three

regions of the South West (Aquitaine, Languedoc-Roussillon and

Midi-Pyrenees). A total of 10.2 million ECU was committed in respect of

four main types of actions: the development of small and medium-sized

enterprises, the promotion of industrial innovation, the promotion of

craft industries and the exploitation of tourist potential.

In supplementing the measures taken by central government, the regions and

the local authorities, ERDF assistance helps to speed up broad-based

development of the South West. The results, while not spectacular, are

significant. Thus, through the practical implementation of many projects

and initiatives, the ERDF "enlargement" programme has now become a

tangible reality.

The second series of specific Community measures adopted in January 1984

by the Council provides for the funds allocated to the "enlargement"

programme for those same regions to be doubled.

In addition, the "steel areas" measure is to apply henceforth to a number

of areas in the regions of Nord-Pas-de-Calais and Lorraine. The_ ERDF's

contribution to the five-year programme covering the French areas is

planned to be 42 million ECU.

Finally, the new "textile areas" measure is to· apply to a number of areas

in the regions of Nord-Pas-de-Calais, Picardy, Lorraine, Alsace,

Rhone-Alpes, Languedoc-Roussillon and Midi-Pyrenees. The Community

contribution to the five-year programme covering the French areas is to be

80 million ECU.

OVERSEAS DEPARTMENTS

117.

In view of the nature and gravity of the problems facing these

regions at the Community's periphery, a proportionately very high level of

assistance was given to them in 1984. The impact of this assistance on the

regional, departmental and local authorities' resources in the overseas

departments is put at almost 13 million ECU.

The Fund Regulation provisions governing the eligibility of industrial,

craft and service sector investments, and in particular the requirement

that at least 10 jobs must be created or maintained, make it difficult to

consider productive investment projects carried out in the four

departments.

is therefore not surprising that in 1984 only eight

projects received grants totalling 0.5 million ECU. Despite difficult

conditions, however, the ERDF helped to create 166 jobs.

The bulk of Fund assistance therefore went to the infrastructure

investments necessary for the development of the region. These included

the following:

Chapter V

Location of ERDF assistance

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FRENCH GUIANA: the creation of a fully serviced craft industry area of

seven hectares · at Cayenne which will provide .craftsmen not only with

.advance workshops but also with a joint services centre and a wood drier.

This project will create the necessary conditions for promoting and

developing craft activities.

A further interesting project is the construction of a wood-shredding

plant for feeding the future gas-fired power station at Degrad des Cannes.

The power station will utilise trees felled in clearing operations and

sawmill waste and will reduce the energy dependence of French Guiana,

which has to meet almost all of its energy requirements from hydrocarbon

imports.

REUNION: the main study to be financed in this region is also concerned

with reducing dependence on energy imports. Reunion has great potential as

a producer of geothermal energy and it was decided to examine whether it

would be possible and economic to generate electricity from geothermal

steam.

MARTINIQUE: the construction of a new section of the Fort de France

by-pass represents an additional step towards the completion of this

important communications project.

GUADELOUPE:· the extension of the industrial and port area at the Jarry is

an important element of the autonomous port's aim of making Pointe-a-Pitre

a dispersal port in the Caribbean.

CORSICA

118.

No applications for grants for investments in industrial, craft and

service sector activities in Corsica were submitted during the 1984

financial year. This situation is worrying, particularly because only

four projects in the productive sector have received ERDF grants since

1975, totalling no more than 0.6 million ECU.

The decisions taken in 1984 relate to 19 infrastructure investments for

which grants totalling 2 million ECU were approved. While this amount is

appreciably lower than previous years, it covers only investments for

which the· share of the lower-tier public authorities (region, department,

municipalities, SIVOM, regional park) is included in the basis for Fund

assistance.

The new approach adopted by the French Government to the ERDF is

influencing the choice of projects. While the investments co-financed in

1984 include a number of sections of major roads, these are linked to

forestry roads, to improvements to a port and to the construction of a

municipal campsite. However, the Corsican regional authorities have given

priority to work on extending and improving drinking water supplies for

villages. Nine infrastructure investment projects of this type are being

co-financed and have received Community grants of almost 0.7 million ECU.

The inland areas of Corsica are also receiving Community financial aid in

connection with the pilot projects being carried out in preparation for

the future integrated Mediterranean programmes.

Ireland

119.

In 1984, Ireland received grants totalling 159.1 million ECU, 69% of

which went to infrastructure

projects~

This brings to 713.4 million ECU the grants made to Ireland since 1975,

the relative shares of infrastructure and industrial projects being 72%

and 28% respectively. During the same

period~

some 0.65 million ECU were

allocated to studies.

ERDF

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Fund aid per head of population in Ireland in 1984 was 46 ECU, which

brings the total for the period 1975-1984 to 207 ECU.

The largest proportion of the grants for infrastructure projects went to

transport (39%), followed by telecommunications (38%). The remaining aid

was divided between water supply and sewerage sc4emes (16%) and various

smaller investments in technical training-and cultural facilities.

In the transport sector, the ERDF continued to support the modernization

and improvement of the road system; grants totalling 42.3 million ECU were

made for

projects.

Further grants totalling 41.6 million ECU were made to help complete the

Irish Accelerated Telecommunications Programme, one of the most important

infrastructure projects co-financed by the ERDF in 1984. In addition, 16

water supply and sewerage schemes spread throughout the country received

grants totalling

million ECU.

In the technical training field, a grant of 3.9 million ECU was made

towards the construction of a major regional technical college at Tralee,

County Kerry.

The bulk of the grants made for industrial, craft and service sector

activities went to firms specializing in new technologies. Grants

totalling 49.5 million ECU were made to 75 industrial investment projects

throughout the country, which were expected to create 7 900 jobs.

In addition to the grants referred to above, Ireland also received aid in

connection with the specific Community measures to improve the economic

and social situation of the border areas of Ireland and Northern Ireland.

Accelerated implementation of the Irish programme for these specific

measures led to grants totalling

4.15

million ECU.

5.2.7

Italy

120.

1984,

1 521 projects in Italy received ERDF grants totalling

805

million ECU, 91% of which went to 1 327 infrastructure projects. Between

1975 and

1984,

Italy received

369 million ECU for 9 530 projects,

equivalent to 37.7% of all ERDF grants over that period.

121.

The

following:

main

authorities

which

applied for ERDF grants were the

• The Cassa per il Mezzogiorno, which is the central authority responsible

for the development of the Mezzogiorno, received ERDF grants for water

engineering projects, roadworks, research centres and industrial

projects;

• the municipalities in the Mezzogiorno responsible for the natural gas

distribution network;

• the regions, which submitted applications in respect of projects

directly carried out by the regional authorities or by local bodies such

as the municipalities, provinces, mountain communities and other

similar institutions. As a result of the great encouragement given by

the ERDF departments to local authorities and bodies, these now play an

ever increasing role in ERDF operations. Some regions, such as Campania,

Lazio and Sicily, have specifically made one of the members of their

regional governments responsible for ERDF matters. Furthermore, all the

regions have an office responsible for Community affairs, including

ERDF operations. In

1984,

the Fund grants made for projects submitted by

the regions came to 380 million ECU, almost half the total for the

country.

Chapter V

Location of ERDF assistance

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122.

The main reasons why total ERDF grants to industrial investments

were low in 1984 were:

• at national level, the continuing low level of industrial investments in

the Mezzogiorno and the limited national resources allocated to

measures to stimulate industry;

• at Community level, the strict selection of eligible projects according

to sector. Investments in sensitive sectors or in manufacturing

industries in which there is already overcapacity are normally

excluded. Furthermore, the requirement that at least ten new jobs must

be created rules out most small investment projects.

The 189 industrial projects which received grants are designed to create

some 6 700 new jobs, the bulk of them in Campania (2 700) and Lazio

400).

·-

123.

In 1984, five studies benefited from ERDF grants .. Of those studies,

three related to the setting up of a comprehensive coordinated planning

system for collecting and supplying water in the regions of Molise,

Abruzzi and in the southern part of Marches.

124.

The ERDF continued to assist infrastructure projects in sectors

playing a prime role in the development of the Mezzogiorno. These

included:

• the supply and distribution of water, particularly in inland areas with

tourist potential;

• the natural gas distributing network, which will supply some 200

municipalities in the Mezzogiorno;

• the supply of electricity to rural areas.

The ERDF also began to promote scientific research by helping to finance

eight research centres

a number of regions.

In 1984, ERDF aid went not only to the Mezzogiorno but also to the region

of Friuli-Venezia Giulia for completing investment programmes in the area

affected by the 1976 earthquake.

125.

In 1984, no new commitments were made in favour of Italy under the

specific Community measures, either under the existing programmes for

energy or Community enlargement or under the new programmes provided for

in the Regulations approved in January 1984. However, discussions

continued between the Commission's staff and the Italian authorities with

a view to establishing operational guidelines.

126.

In addition, two pilot projects were carried out in 1984 in

preparation for the integrated Mediterranean programmes - one in Abruzzi

and the other in Sardinia. These projects were concerned with the

production of energy from cedar-wood, the construction of exhibition and

trade centres for local agriculture and craft products and the setting up

of a vocational training centre.

ASSISTANCE BY REGION

Two regions, Campania and Sicily, accounted for 6l'Yo of the grants made to

Italy in 1984.

CAMPANIA

127.

In 1984, grants to Campania accounted for some 36.1% of Fund grants

to Italy. A total of 290.4 million ECU was made available for 119

projects, with 7% going to industrial projects and 93% to infrastructure

projects. Most of the grants were made to projects submitted directly by

ERDF

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the City of Naples in connection with the integrated development operation

(see Chapter VII for further details).

The industrial projects which received Fund aid included the construction

of a car components factory at Pratola Serra in the province of Avellino -

the result of a joint venture between Alfa Romeo Auto Spa and the Japanese

Nissan Motor Co. Ltd.

The infrastructure projects which received grants in 1984 included a

number of projects under the general programme for cleaning up the Bay of

Naples, improvements to the road network in and around Naples, reservoirs

and water pipelines at Scudillo and Capodimonte (Naples), the

construction of an IRI vocational and training centre, service

infrastructure for industrial estates at Morra, Conza and Parrara

(localities in the province of Avellino) and the research centre for the

electronics and domestic electrical appliance industries at Caserta. The

list further included construction of the Salerno fish market, which will

enable full use to be made of the vast resources of all species of

Mediterranean fish,

particular tuna.

Finally, a study on the planning ·of a funicular railway on Mount Vesuvius

was financed in-1984.

SICILY

128.

In 1984, grants to Sicily accounted for 24.6% of Fund grants to

Italy. A total of 198 million ECU was made available for 323 projects,

with 2% going to industrial projects and 98% to infrastructure projects.

Completion of the Messina-Palermo motorway is of special importance for

the region since this will help to link the western side of the island to

the mainland and will improve access to historical and archaeological

sites and picturesque areas. This was the project which received the

largest Fund grant in 1984 (73 million ECU). The construction of a new

terminal at Palermo airport comprising facilities for dealing with 1 200

passengers in the arrivals area, eight departure rooms each with a

capacity of 200 passengers and all essential services will make it

possible to cope with heavy air traffic not only during the tourist season

but throughout the year. Two research centres at Palermo and Catania

(investigating solar energy and electronics respectively) also received

grants in 1984. Fund-aided infrastructure further included the extension

of the natural gas distribution network, which received a grant of 64

million ECU, and a large number of projects which involved various

localiti~s

in Sicily involving road networks and supplies of water and

electricity.

CALABRIA

129.

In 1984, grants to Calabria accounted for 9% of Fund grants to

Italy. A total of 72.2 million ECU was made available for 381 projects,

with 6% going to industrial projects and 94% to infrastructure projects.

The extension of the natural gas distribution network accounted for a

quarter of the aid, while the largest single project was the construction

of a major road crossing the inland mountainous area between Reggio di

Calabria and the plain of Rosarno. The data-processing research centre at

Cosenza also received Fund assistance.

SARDINIA

130.

In 1984, grants to Sardinia accounted for 7.6% of Fund grants to

Italy. A total of 61 million ECU was made available for 236 projects, with

5% going to industrial projects. 93% to infrastructure projects and 2% to

a study.

The Campidano and Is Barrocus water supply projects, which will provide

water for 61 municipalities accounted for more than half the assistance

Chapter V : Location of ERDF assistance

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granted to Sardinia. Other major projects included the construction of

fire-fighting bases, as fires, by laying waste wide areas, have for a long

time posed serious problems for agriculture, forests and tourism.

Finally, grants went to the agrometeoroligical research centre at Alghero

and the study of the feasibility of extracting bauxite at Olmedo.

LAZIO

131.

In 1984, grants to Lazio accounted for 5. 5% of Fund grants to Italy.

A total of

million ECU was made available for 168 projects, with 30%

going to industrial projects and 70% to infrastructure projects. Lazio is

the region for which the greatest number of industrial projects was

submitted for grant aid. The largest infrastructure project was the

underwater aqueduct for supplying water to the island of Panza, absorbing

a third of the assistance granted to Lazio.

APULIA

132.

In 1984, grants to Apulia accounted for

4% of Fund grants to

Italy. A total of 43.8 million ECU was made available for 83 projects,

with

13%

going to industrial projects and

87%

to infrastructure projects

(60% of the latter being allocated to the extension of the natural gas

distribution network). Three research centres at Bari received grants: a

centre for research into ways of applying modern technology to the

processing and preservation of agricultural products, a centre for the

study of advanced technologies and their applications and a laser centre.

ABRUZZI

133.

In 1984, grants to Abruzzi accounted for 3.5% of Fund grants to

Italy.

total of some

million ECU was made available for 74 projects,

with 19% going to industrial projects, 56% to infrastructure projects and

25%

to a study.

In addition to the pilot proj

e~t

in preparation for the integrated

Mediterranean programmes, the most important projects included the

modernization of a hotel at

winter resort in the Apennines, the

- provision of basic infrastructure for industrial estates in the province

of Pescara and the extension of the natural gas distribution programme.

The study related to the collection and distribution of water.

BASILICATA

134.

1984,

grants to Basilicata accounted for some

2.8%

of Fund grants

to Italy. Some 40 infrastructure projects received

total of

million

ECU, more than half of which was

allo~ated

to natural gas distribution

networks. A grant was also made for the development of an industrial

estate at Valle di Viterba,

area affected by the 1980 earthquake.

FRIULI-VENEZIA GIULIA

135.

In 1984, grants to the region of Friuli-Venezia Giulia accounted for

some

3.8%

of Fund grants to Italy. A total of

30.2

million ECU was made

available for 35 infrastructure projects, the most important of which were

the restructuring of the port of Trieste and a rail link with the port of

Monfalcone, which together accounted for

43%

of the grant aid to the

region. The other grants went to small-scale infrastructure projects,

s.uch as roadworks, water supplies, sewerage systems and basic facilities

for an industrial estate, all situated in areas affected by the 1976

earthquake.

ERDF

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5.2

Luxembourg

In Luxembourg, all the Fund grant aid (totalling almost 5 million

ECU) went to 17 infrastructure investments.

In the period 1975-1984, 12 million ECU were granted to 26 projects, all

infrastructure investments. Assistance per nead of population amounted to

13 ECU in 1984, compared with 33 ECU for the period 1975-84.

The projects receiving grants in 1984 were as follows: five projects for

servicing industrial estates (grant aid of 0.6 million ECU),

six

projects

relating to the food industry and water distribution (0.4 million ECU) and

six roadworks projects (almost 4 million ECU). The roadwork projects

assisted were on the Belval-Schifflange section of the expressway in the

mining area. The plan is for this section to take the heavy commuter

traffic which is bringing increasing congestion to the Esch-sur-Alzette

conurbation.

The Grand Duchy of Luxembourg also benefitted from 1984 from the aid given

to steel areas under the ERDF's specific Community measures.

136.

5.2.9

Netherlands

137.

In the Netherlands, grants totalling 36 million ECU were made to 27 ·

projects, with 87% going to infrastructure investment and 13% to

industrial investment.

In the period 1975-1984, ERDF grants to the Netherlands totalled 156

million ECU, with 85% going to infrastructure projects.

Transport infrastructure accounted for almost all (98%) of the grants to

infrastructure projects, the remaining 2% being allocated to tourist

facilities.

Gran~s

for industrial and service sector activities went mainly to the

chemical industry (43%). The remainder was divided between various

industrial and service sectors. The projects which received Fund grants

created 254 jobs.

The region of Twente in the province of Overijssel and the area of Helmond

in the province of Noord-Brabant benefited from the assistance given to

the textile-producting areas under the specific Community measures. In

December 1984, the Commission approved the specific programme, for which a

Fund grant of 7 million ECU was made.

NORTH OF THE

COL~Y

138.

This region, which covers the provinces of Friesland, Groningen and

Drenthe and the labour-market areas of Hardenberg and Steenwijk in the

province. of Overijssel, received 31 million ECU in 1984 (including a

multi-regional project), equivalent to 88% of the total for the country.

92% was allocated to 16 infrastructure projects and 8% to five industrial

projects.

In the period 1975-1984, the north of the country received 114 million ECU

or 73% of the total for the country, with nine tenths going to

infrastructure projects. Assistance per head of population was 18 ECU in

1984 and 70 ECU for the period 1975-84.

The largest grant (7 million ECU) was for the first.phase of the work on a

major road (the N 42), which is to be made into a motorway. This road,

connecting the Netherlands with _the Federal Republic of Germany, will

complete the link from the Eems-Dollard region to the Ruhr.

Chapter V : Location of ERDF assistance

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the

other

projects

assisted,

the

construction ·of

th~

Veendam-Stadskanaal-Ter Apel-German frontier road received a grant of

million ECU, while a grant of 3 million ECU was made towards work on

improving the Almelo-Coevorden canal.

LIM~URG

139.

In this province, the South Limburg redevelopment area received more

than

million ECU in

1984

12%

of the total for the country. Half of

the Fund aid went to five industrial and service sector projects and the

other half to an infrastructure project.

In the period·

1975-1984,

South Limburg received

million ECU or

27%

the total for the Netherlands. Fund assistance per head of population was

ECU in

1984

and

ECU for the period

1975-84.

The infrastructure investment project concerned the construction of the

"Westelijke randweg

at Sittard, for which a grant of more than

million

ECU was made .

5.2 .10

United Kingdom

140.

1984,

grants totalling

620

million ECU were made to the United

Kingdom, an increase of

35%

over the total for

1983.

Some

82%

of the

grants went to infrastructure projects,

18%

to industry and a small amount

to studies. This brings to

2 700

million ECU the total amount of Fund aid

granted to the United Kingdom since

1975.

As in

1983,

the highest proportion of grants for infrastructure projects

was for transport infrastructures, with more than half of all such grants

going to road, railway, harbour, canal, airport and urban transport

investments.

sixth of the total went to water infrastructures (water

supply,

sewerage systems,

etc.),

with the remainder going to

telecommunications and energy projects.

About

third of the aid to industry went to electrical engineering,

contributing to the creation or preservation of some

500

jobs. 'The

remainder was spread over a wide range of other industries, contributing

to the creation or preservation of

14 500

jobs.

A quarter of the total ERDF aid to the United Kingdom in

1984

went to

Scotland, compared with

28%

over the period

1975·83.

The English regions

received some

53%

of the grant aid in

1984,

a considerable increase as

compared with the period

1975-83 (42%),

while Wales received almost

16%,

equivalent to its average share for the period

1975-1983.

1984,

Northern Ireland received

34.7

million ECU or

5.6%

of the total

United Kingdom allocation. This represents an appreciable fall compared

with the period

1975-83 (12%)

and gives rise to some concern on the part

of the Commission in view of the need to pursue the regional development

of Northern Ireland. It is hoped that the authorities in Northern Ireland

will rectify this situation in

1985

by submitting a greater number of

grant applications.

A brief analysis is given below of the grants made to two regions in the

United Kingdom - an analysis which exemplifies ERDF assistance to the

United Kingdom in general.

SCOTLAND

141.

1984,

support measure grants to Scotland totalled

155.1

million

ECU, with

36%

going to investments in industry and

64%

to investments in

infrastructure. This brings the total grant aid to Scotland for the period

1975-84

to some

750

million ECU.

ERDF

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The largest single contribution to an industrial project in Scotland in

1984 was the grant of 17 million ECU to Semiconductor (UK) Ltd., at

Greenock, Strathclyde, in respect of an investment introducing the latest

production technology to improve the quality of the semi-conductors

manufactured by the company. The number of jobs arising from the project

are projected to be 850 by 1989.

In the case of infrastructure projects, the ERDF granted 8.5 million ECU

for the upgrading of the Uig-Lochmaddy-Tarbet ferry. service (Western

Isles). The project comprises a roll on/roll off ferry and the associated

ferry terminals. The ERDF's contribution to the mobile infrastructure of

this investment project was made possible by treating the function and

purpose of that infrastructure in the same way as those of conventional

infrastructure - in this case, a bridge - which could not be built for

technical, financial or geographical reasons. The Fund grant was made on

condition that the ferryboat serve the assisted areas throughout its

normal useful life.

The other infrastructure projects included grants totalling

4.6

million

ECU to various investments undertaken by the British Railways Board

contributing to a more efficient and viable rail network for both

commercial and passenger traffic.

In Scotland, the Strathclyde region is covered by the two specific

Community measures for steel and shipbuilding areas, and the assisted

areas of the Tayside region are covered by the new textile areas measure

launched in 1984.

NORTH WEST

142.

In 1984, support measure grants to the North West totalled 95. 9

million ECU, with 19% going to investments in industry, almost 81% to

infrastructure investments and 0.2% to studies.

A grant of 4 million ECU was made towards the conversion of the disused

Manchester Central Station into an exhibition centre and indoor arena.

This centre wi 11 be of great importance for the city centre, the

Manchester conurbation and the North West region as a whole. Manchester

International Airport received 6. 7 million ECU towards improvements to

the terminal and the

developm~nt

of infrastructure services in the western

area of the airport, which should enable the airport authority to prepare

for the levels of use expected in the 1990s.

In the industrial sector, a grant of 9.5 million ECU was made to

Consolidated Bathurst Inc., Cheshire, towards the conversion and

re-equipping of a paper mill to produce newsprint.

In the North West, the County of Merseyside is covered by the specific

Community measures for shipbuilding areas, and in the Counties of

Lancashire and Greater Manchester a number of travel-to-work areas are

covered by the measures introduced in 1984 to assist the textile industry.

Chapter V

Location of ERDF assistance

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.......

TABLE 22

REGIONAL DISTRIBUTION OF GRANTS MADE IN 1984

ERDF, SUPPORT MEASURES

Member State

. Reg ion

BELGIQUE/BELGir

Vlaanderen

Wallonia

Industry, services

and crafts

Mio BFR

209.38

107.99

101. 38

Mio OKR

DANMARK

Gr¢n I and

Other regions

22.95

2.47

20.48

Mio OM

DEUTSCHLAND

Schleswig-Holstein

Nordrhein-Westfalen

Hessen

Rheinland-Pfalz

Baden-WUrttemberg

Bayern

Saarland

Berlin

Niedersachsen

Mu It i- reg i ona I

132.03

12.48

22.77

14.89

13. 16

2.76

9.55

25.17

12.50

18.60

Mio DR

'ELLAS

Ana.Ster.Kai Nisoi

Kentr.Oyt.Makedonia

Pelop.Oyt.Ste.EI las

Thessa

i a

Anatol iki Makedonia

Kriti

. I pi ros

Thraki

Nisoi Anat.Agaiou

Mu It

reg i ona I

Infrastructure

Mio BfR

, 211.03

68.02

1 143.01

Mio DKR

169.32

102.74

66.58

Mio OM

112. 14

10.41

2.30

1. 22

5.85

1.02

46.97

40.80

3.57

Mio ECU

26.96

1. 51

25.45

Mio ECU

21.06

12.78

8.28

Mio ECU

50.20

4.66

1. 03

0.55

2.62

0.45

21.03

18.26

1.60

Studies

Mio BFR

70.00

MiO ECU

1.56

Mio ECU

0.68

Total

Mio BFR

, 490.41

176.02

1 314.39

Mio DKR

197.77

110.71

87.06

Mio OM

244.25

22.88

25.07

16. 11

19.01

3.78

56.52

25.25

53.30

22.17

0.15

Mio DR

23 811.68

668.24

164.58

428.09

444.64

242.90

2 884.86

1 964.62

885.41

2,991.43

136.93

Mio ECU

33. 18

3.92

29.27

Mio ECU

24.60

13.77

10.83

Mia ECU

109.34

10.24

11.22

7.21

8.51

1.69

25.30

11.30

23.86

9.93

0.07

Mio ECU

261.47

40.28

89.65

15.68

15.86

2.67

31.68

21.57

9.72_

32.85

1.50

- - -

Mio ECU

4.66

2.40

2.26

Mio ECU

2.85

0. 31

2.55

Mio ECU

59. 11

5.59

10.19

6.67

5.89

1.24

4.28

11.27

5.60

8.33

0.07

Mio ECU

5.55

1. 60

1.04

0.24

0.54

0.28

0.47

C'l

70.00

Mio DKR

5.50

t::l'

!:>:len

eg;d

enS1

'>:IH

C:HI-i

O,:,OlJ>

o,:,z~

Mio OM

0.08

Mio ECU

0.04

1-i'"'::l

~0~

~~N

0.08

Mio DR

2.50

0.04

Mio ECU

0.03

~en

en~

1:>:1

.....

Mio DR

23 303.57

522.24

069.81

405.79

395.10

242.90

2 859.37

1 964.62

843.01

2 866.30

134.43.

BFR

Mio ECU

255.90

"38.68

88.61

15.44

15.32

2.67

31.40

21.57

9.26

31.47

1. 48

""'

505.61

146.00

94.77

22.30

49.53

tTl

'>:I

125.13

42.39

25.49

2.50

DKR

0.03

-----------·

Value of the ECU at first December 1984: 1 ECU

-~-

44,91

8,041

2,234

OM= 91,07 ORA.

------ - - - -

----

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::T

TABLE 22

REGIONAL DISTRIBUTION OF GRANTS MADE IN 1984

ERDF, SUPPORT MEASURES

(CONTINUED)

Member State

Region

FRANCE

Haute-Normandie

Basse-Normandie

Picardie

Champagne-Ardenne

centre

Nord-Pas-de-Calais

Bretagne

Pays-de-la-Loire

Poitou Charentes

Lorraine

Alsace

Limousin

Aquitaine

Mid 1-Pyrenees

Auvergne

Rhone-Aipes

Languedoc-Roussi)lon

Provence-cote-d'Azur

Corse

Martinique

Guadeloupe

Guyane

Reunion

Industry, services

and crafts

Mio FF

228.44

6.64

8.04

9.87

9.72

19. 18

14.34

24.83

7.61

9.69

3.08

6.01

18. 11

36.78

31.71

4.99

12.23

1.88

0.43

0.52

1. 28

Mio IRL

IRELAND

Donegal

North East

North west

West

Mid lands

East

Mid West

South East

South West

Multi-regional

35.61

0.05

0.75

0.36

1.84

2.08

9.27

12.61

1.14

6.65

0.88

Mio ECU

33.38

0.97

1.17

1. 44

2.80

2.09

3.63

1.142

0.45

0.88

2.65

5.37

4.63

0.73

1. 79

0.27

0.22

0.06

0.08

0.·19

Mio ECU

49.54

0.07

1.04

0.50

2.56

2.89

12.89

17.54

1. 59

9.25

1.23

1nf ra structure

Mio FF

1 562.46

14.75

20.89

5.85

73.23

263.91

20.146

14.35

85.87

4.72

128.70

121.06

229.84

127.02

38.49

120.24

18.03

14.43

71. 12

38.43

72.46

78.59

Mio IRL

78.76

1. 27

1. 23

1.06

3.35

1.62

12.42

2.45

2.74

10.58

42.05

Mio ECU

228.29

2.16

3.05

0.86

10.70

38.56

2.99

2.10

12.55

0.69

18.80

17.69

33.58

18.56

5.62

17.57

2.63

2. 11

10.39

5.62

10.59

11.48

Mio ECU

109.58

1. 77

1.47

4.66

2.25

17.28

3.41

3.82

14.72

58.50

Studies

Mio FF

41. 17

Mio ECU

6.02

Tota I

Mio FF

1 832.07

6.64

2?.79

9.87

30.61

5.85

92.41

278.25

45.29

21.96

95.56

7.80

134.71

139. 16

266.63

158.73

43.48

132.47

19.91

14.43

72.63

38.86

72.98

121.04

Mio IRL

114.38

1. 32

1-.97

5.19

3.69

21.69

15.06

3.88

17.23

42.93

Mio ECU

267.68

0.97

3.33

1. 44

4.47

0.86

13.50

40.65

6.62

3.21

13.96

19.68

20.33

38.96

23.19

6.35

19.35

2.91

2.11

10.61

5.68

10.66

17.69

Mio ECU

159. 12

1. 84

2.74

1. 97 .

7,21

30.17 '

20.95

5.40

23.96

59.72

c;"l

t"'

(')

t::l

1-1>

t-'·

1:>1

til

t-'·

:;:l

(')

1. 51

41.17

Mio IRL

egtll

"1~

stllQ

oC::H~

z~o>

~~zc;

'""o

t-<

z:>JjOf>j

---E~

til~

1:>1

~:::::C"l~

c::~ITJ

~til

,_.

6.02

Mio ECU

.p.

IRL .

Value of the ECU at first December 1984: 1 ECU

6,844

0,7188

...,

,_.

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"-.1

TABLE 22

REGIONAL DISTRIBUTION OF GRANTS MADE IN 1984

ERDF, SUPPORT MEASURES

(CONTINUED)

Member State

Region

I TAL IA

Friuli~Ven.Giul

Industry, services

and crafts

Mrd LIT

78.15

2.23

18.25

7. 1 1

Mia ECU

56.62

1. 61

13.22

5.15

Infra structure

Mrd LIT

1 016.50

41.75

6.59

42.66

21.98

5. 11

373.18

52.52

31.76

94.19

268.24

78.52

Mio LFR

212.30

Mia HFL

77.93

65.10

5.33

7.50

Mia UKL

303.97

38.17

47.22

3.06

27.51

18.06

46.60

50.32

59.27

13.74

Mio ECU

736.46

30.24

4.78

30.91

15.92

3.70

270.37

38.05

23.01

68.24

194.34

56.89

Mio ECU

4.73

Mio ECU

30.92

25.83

2. 11

2.98

Mio ECU

505.55

63.49

78.54

5. 10

45.76

30.04

77.51

83.68

98.58

22.85

Studies

Mrd LIT

16.98

Tota I

Mio ECU

12.30

0.81

6.98

3.45

0.09

Mrd Ll T

1 111.63

41.75

9.95

60.90

38.72

9.87

400.82

60.44

31.76

99.78

273.23

84.42

Mio LFR

212.30

Mia HFL

89.71

71.33

10.88

7.50

Mia UKL

372.69

39.17

51.82

4. 37

28.64

18.06

57.64

57.86

93.24

20.84

1. 05

Mia ECU

805.38

30.24

7.21

44.12

28.05

7. 15

290.39

43.79

23.01

72.29

197.96

61. 16

Mia ECU

4.73

Mia ECU

35.59

28.30

4.32

2.98

Mia ECU

619.84

65.15

86.19

7.27

47.64

30.04

95.86

96.23

155.07

34.66

1. 75

Mia ECU

Ma rche

Lazio

Abruzzi

Mol i se

Campania

Pug I ia

Basi Iicata

Calabria

Sici I ia

Sardegna

LUXEMBOURG

27.51

7.92

5.59

4.99

4.56

Mio LFR

19.93

5.74

4.05

3.61

3.30

Mio ECU

9.63

4.76

I:'"'

ll>

t:t

t'<ltll

'"<jH

0.97

Mia ECU

~Hd

t::d

Mia LFR

Mia HFL

11.78

6.23

5.55

Mio ECU

4.67

2.47

2.20

Mia HFL

Mia ECU

ntll~

oC::I-i~

1-io

z'"CIO>

~'"CIZt::d

NEDERLAND

Noord-Nederland

Limburg

Mu It i- region a I

Mio ECU

3.58

0.72

0.13

0.22

0.32

0.02

Mio ECU

24.21

HFL

~~~~

~til

tz1

t"'

'""'&;~

til~

t:tg;jG'lN

Mio UKL

UNITED KINGDOM

North

Yorkshire/Humberside

East Mid lands·

South West

west Midlands

North west

Wales

Scot I and

Northern Ireland

Multi-reg iona 1

66.56

0.91

4.52

0.87

10.90

7.46

33.77

7.09

Mio ECU

110.70

1. 51

7.53

1.45

18. 12

12.40

56.16

11.79

Mio UKL

2.16

0.09

0.07

0.43

0.08

0.14

0.09

0.20

0.01

1.05

1-'

.p-

l:':l

Mio ECU

EUR 10

Mio ECU

327.08

1380

1 969.65

2,520

UKL.

2 320.94

Value of the ECU at first December 1984: 1 ECU

LIT= 44,91 LFR

0,6013

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6.0

CHAPTER VI : REGIONAL DEVELOPMENT PROGRAMMES

(RDP)

143.

June

1984

the Commission delivered its op1n1on on the second

generation regional development programmes (covering the period

1981-85)

13 •

The

se~ond-generation

programmes generally represent a

substantial improvement on those for the preceding period. The conditions

under which investment projects presented by Member States for ERDF

assistance can be assessed will be improved. The Commission considers,

however, that a more precise definition of priorities would facilitate

coordination of the objectives and priorities of Community and national

regional policy and selection of measures to be financed jointly with the

ERDF.

The Commission intends to carry out with each Member State an annual

examination of projects and programmes that might be cofinanced by the

Community within the framework of priorities defined on the basis of the

regional development programmes.

144.

France presented its second-generation regional development

programmes for the period

1984-88,

the same period as that for the French

IXth Plan, the period

1981-83

having been covered by intermediate

programmes. The main new feature in the programmes is the use of Plan

contracts by which each region and the central government commit

themselves to a programme of action and to its financing. The contracts

cover some 20% of public infrastructure expenditure. The Regional Policy

Committee delivered its opinion on the French regional development

programmes on

November

1984.

145.

Italy

presented

the

regional development programme for

Friuli-Venezia Giulia for the period

1984-86.

The Italian government

recently introduced special development measures to assist the region.

The Regional Policy Committee delivered its opinion on the programme on

November

1984.

146.

Updatings of the regional development programmes for -Denmark and

Ireland were presented to the Commission and the Regional Policy

Committee.

O.J.N°L 211, 8.8.1984

Chapter VI : Regional development programmes (RDP)

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7.0

CHAPTER VII : INTEGRATED OPERATIONS UNDER THE

COMMUNITY'S STRUCTURAL FUNDS

7.1

INTEGRATED REGIONAL DEVELOPMENT OPERATIONS

147.

The guidelines adopted by the Commission in 1979 for encouraging

integrated regional development operations were reinforced in 1983 by the

adoption of the report on ways of increasing the effectiveness of the

Community's structural Funds

14 •

In 1984 the inclusion of provisions regarding an integrated development

approach in the new ERDF Regulation marks a first step towards the

establishment of a legal framework for integrated development operations.

148.

integrated operation consists of a coherent programme of measures

and

investments,

public

and

private,

having

the

following

characteristics:

• they relate to a limited geographical area facing particularly serious

problems, notably a development lag or industrial or urban decline

liable to affect the development of the region;

• they are carried out by the Community, through combined use of various

structural

financial instruments, and the national and local

authorities in the Member States, working together in close

coordination.

integrated operation therefore requires effective coordination in time

and space between many partners, both public and private, with vertical

integration of the various levels providing assistance (Community,

national, regional and local) and horizontal integration of the various

financial instruments. It also requires socio-economic integration of the

projects carried out, which must be mutually complementary. While this is

difficult to achieve, the potential benefits are great, for such a

we 11-ordered combined operation should have a synergic effect, i.e. it

should produce greater results than would be obtained by carrying out the

different measures separately, one after the other. In addition, these

areas may be given priority access to the Community's various structural

Funds and financial instruments and qualify for the maximum rates of

assistance.

The ambitious aims of the integrated development oper'ations are

commensurate with the difficulties facing the areas in which such

operations have been or will be launched.

Increasing the effectiveness of the Community's structural Funds,

Bulletin of the European Communities, Supplement 3/83.

Chapter VII : Integrated operations under the Community's structural

Funds

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7 .1 .1

Two pilot schemes in progress in Belfast and Naples

7.1.1.1

BELFAST

THE INTEGRATED OPERATION IN BELFAST

149.

The projects mentioned

the 1981 document concerning the

integrated operation in Belfast have reached a level of completion of over

60%.

In 1984 the United Kingdom authorities and the Commission launched a major

new initiative concerning the integrated operation in Belfast.

A new programme relating to the operation will be presented to the

Commission early in 1985. The programme covers a wide range of measures to

be carried out in Belfast in the period up to 1990 at an estimated total

cost of more than 1 100 million ECU, although not all of this has yet been .

entered in the budget. The programme specifies the various Community

Funds, including the ERDF, which will be called upon to help finance it.

The new programme, which is intended to be more operational than· its

predecessor, is computerized so as to allow. greater. efficiency and

flexibility in its management.

will be updated regularly and the

Commission will be continuously involved in its implementation.

URBAN RENEWAL IN BELFAST

150.

On 16 November 1984 the Commission decided to grant 33 million ECU

to a number of infrastructure projects which will contribute to urban

renewal in Belfast. This was the second tranche of aid granted under

Council Regulation (EEC) n° 1739/83 of 21 June 1983 introducing an

exceptional Community measure to promote urban renewal in Northern

Ireland (Belfast).

Aid granted under this measure is over and above that granted under the

ERDF. Before aid is granted, the Commission unde.rtakes to ensure that its

aid is complementary to national expenditure.

7.1.1.2

THE INTEGRATED OPERATION IN NAPLES

Since 1980 the national, regional and local authorities have been

developing a method of coordinated and concentrated action and assistance

in the Naples metropolitan area. The ERDF has from the outset promoted

this operation and provided technical and financial assistance. During

the first stage of the integrated operation (1980-84) priority was given

to major basic infrastructure, including transport, pollution control and

water supplies. The total cost of the projects and measures forming the

first basic operational package was 3 500 million ECU. During the first

five years of the integrated operation, from 1980 to 1984, the finance

provided by the Community, both grants and loans, amounted to over 1 500

million ECU, of which 763 million ECU came from the ERDF, 465 million ECU

from the EIB and 235 million ECU from the ECSC. Smaller amounts were made

available by the European Social Fund, 30 million ECU and ·for the

exploitation of new energy sources (1.1 million ECU). The urban and

industrial characteristics of the area did not allow any significant

assistance to be provided by the EAGGF Guidance Section (only 10 million

ECU from 1981 to 1984).

151.

ERDF

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The political instability which has recently· affected the municipal

administration of Naples, the regional government of Campania and the

Cassa per il Mezzogiorno has sometimes slowed the pace at which the

integrated operation has been carried out. Despite these difficulties,

the technical working group continued to perform its task, meeting twice

in 1984 to monitor the progress of the work and projects. The technical

.working group points out the decisions which should be taken, the

bottlenecks or delays that have been noted and the priorities which should

be observed. It has a local technical secretariat consisting of two

officials provided by the Cassa per il Mezzogiorno and by the City of

Naples. The technical working group has submitted to those responsible

politically the programme of priority assistance for the period 1984-86,

which provides.for investment projects amounting to 2 100 million ECU. The

projects in the programme were selected on the basis of their order of

priority, their technical maturity and the availability of minimum

financing.

At present, the integrated operation continues to ensure the completion of

the large-scale projects already initiated. Measures must also be taken

to improve and strengthen the employment situation, the quality of the

productive system (industry, craft industry and tourism), and technical,

vocational and scientific training structures in addition to research.

Total ERDF assistance in 1984 amounted to 214 million ECU, of which 181

million ECU was for projects implemented directly by the City of Naples.

Three transport infrastructure projects from the integrated operation are

among the list of the ten projects receiving the largest amounts of Fund

assistance in 1984. The most significant projects in 1984 were as follows:

• roads linking the bypass motorway (Tangenziale) with the port, the

Vomero district and the outer ring road;

• work on road links, basic urban infrastructure and a railway passing

under the new "Centro direzionalen area;

• water supply system for the Scudillo and Capodimonte reservoirs;

• natual gas distribution systems for a large number of municipalities;

• implementation of 13 industrial projects (footwear, chemical products,

electrical equipment etc.).

The Commission, and in particular the ERDF, have clearly played a. crucial

role in implementing this integrated operation since it began. ERDF grants

have been particularly concentrated in the Naples area, since the

integrated operation has absorbed two thirds of the total assistance

granted to Campania, which is the European region most aided by the ERDF.

The initial work has been concentrated on the completion of

infrastructures which are easily visible and identificable and where

results are almost immediate, such as measures to reduce pollution and

improve communications. Such projects constitute an essential basis for

ensuring the areas economic development, which will be the main focus of

the second stage of the integrated operation.

Chapter VII

Funds

Integrated operations under the Community's structural

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7 .1.2

Preparatory studies for integrated operations

152.

Budget Item 5410, Preparatory studies for integrated operations,

enables the Commission, and in particular the Directorates-General for

Regional Policy, Agriculture and Employment and Social Affairs, to help

finance the studies necessary for launching an integrated operation or a

new stage of an operation already under way.

The preparatory studies must be initiated by, or at least receive the

support of, the competent authorities in the Member State concerned. The

Community's financial contribution may amount to up to 75% of the total

cost of the study, excluding the national authorities' own administrative

expenditure.

The studies analyse the economic and social situation in a given area,

draw up an appropriate development strategy and propose a programme of

measures. The programme indicates the measures which are of priority,

identifies the links between the various projects and the synergic effects

anticipated and includes an indicative financing plan drawing on various

sources, both national and Community. The carrying out of such studies has

allowed a constant dialogue to be established between the local, regional

and national authorities and the various Commission departments.

153.

Of the sixteen studies initiated in 1983 at a total cost of 2

million ECU, seven were fully completed by the end of 1984. These were the

studies on Liege in Belgium, Groningen in the Netherlands, the Lens region

in France and Strathclyde (Glasgow), Belfast, Humberside and the Scilly

isles in the United Kingdom. The other studies will be completed in 1985.

Once the studies have been completed and have subsequently been approved

by the Commission, the Member States concerned draw up their Community

grant applications. This means moving from a preparatory stage to the

programme definition stage, with a complete aid programme being worked out

that takes account of budgetary realities. For this purpose, each partner

in the integrated operation, whether at Community, national, regional of

local level, must give a financial commitment.

154.

In 1984 the Commission committed almost

following eight studies:

1 million ECU for the

• Belgium, in the Westhoek area

• Germany:

in the Bavarian forest and in the central part of Oberpfalz

in Saarland

• Greece, in the Grevena area in Macedonia

• France:

in the central, arid part of the mountains in Provence

on the island of Reunion

• Italy:

in the inland hill and mountain areas in the Emilia-Romagna region

in Basilicata.

The purpose of all these studies is to work out a strategy to exploit the

potential of the areas concerned, improve the socio- economic situation of

their inhabitants and make optimum use of Community, national, regional

and local resources.

Payments for studies under this budget item amounted to 1.3 million ECU in

1984.

ERDF

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Following the experiences of the last three years, it is now increasingly

-clear that the resources for these preparatory studies should also be used

for experimental pilot projects.

7.2

INTEGRATED DEVELOPMENT PROGRAMMES (IDP)

155.

The IDPs place emphasis on development planning for an area or small

region whose natural handicaps and existing agricultural structures

account for the low level of productivity and in which there is very

little scope for alternative activities.

To overcome these difficulties, the idea is to establish programmes for

promoting simultaneously the development of both agriculture and the

non-agricultural sector, starting from the situation and specific

resources of the area.

With this aim, the basic IDP Regulations provide that the EAGGF Guidance

Section, over and above its commitments under existing Directives and

Regulations, is to make an additional financial contribution to fund "new"

measures or to facilitate and speed up implementation of the measures

already provided for. These operations must be supported by measures

financed under the Community's other structural Funds: aid for training

under the European Social Fund and ERDF measures to develop

infrastructures and promote productive activities, including aids for

small and medium-sized enterprises, craft industries and rural tourism.

Three IDPs were adopted in 1981, for:

• the Western Isles in the United Kinidom

• the department of Lozere in France

• the South-West of Belgium

7.2 .1

The W.2stern Isles Integrated Development Progrcmune

156.

Implementation to the Western Isles Integrated Development

Programme has continued at a rapid pace. Communications and transport

infrastructures are crucial to the development of the islands.

In 1984, the Western Isles received a total of 12.3 million ECU in aid

from the ERDF, including 8.

million ECU for a ferry service and

associated terminals. Like other development projects in the Western

Isles, the project in question benefited from a rate of assistance of 40%

because of its inclusion in an IDP.

As part of the training component of the IDP, the European Social Fund

financed a number of measures to promote the employment of 83 young people

of less than 25 years of age and 8 people of more than 25 years of age

(51 000 ECU) .

Progress with agricultural and fishery measures under the IDP has been

encouraging. In particular rapid progress has been made with land

improvement measures. Equally the fish farming sector has developed well.

In 1984 EAGGF reimbursed 1.5 million ECU to the United Kingdom Government

Council Regulation (EEC) n° 1939/81 (Western Isles of Scotland), OJ n°

1197, 20.7.1981.

Council Regulation (EEC) n° 1940/81 (Lozere), OJ n° 1 197, 20.07.1981.

Council Regulation (EEC) n° 1941/81 (Belgium), OJ n° 1 197,

20.07. 1981.

Integrated operations under the Community's structural

Chapter VII

Funds

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against 3.79 million ECU of public expenditure on agriculture and

fisheries

1983. Information on the United Kingdom claim from EAGGF for

1984 reimbursement is not yet available.,

1.2 .2

The Lozere Integrated Development Programme

151.

On the basis of information provided by the association of the

Lozere integrated development programme, several operations were financed

under the specific Community measure "Enlargement, South-West France

11 •

total of

0. 6

million ECU has been allocated over the last three years for

measures enabling the development ofthe timber sector, the agricultural

food sector and tourism.

Regarding agriculture, the EAGGF Guidance Section financed land and

pastoral improvements, hydraulic works in addition to animal breeding

buildings for a total of 3.88 million ECU, over the first three years of

the IDP. The European Social Fund has financed measures related to

work-related training for a total of 0.5 million ECU since 1982.

1 .2 .3

158.

The South East

Belgiwn Integrated Development Programme

The programme presented by the Belgian authorities was formally

by the Commission on 14 December 1984, to be applicable from the

1 January 1985. However, several infrastructure 'investments forming part

of the IDP were financed by the ERDF within the framework of the 1984

financial year.

total of

million ECU was granted to

public

infrastructure projects that will assist in retaining the resident

population in the area (farm access roads, drinking water supplies,

reservoirs, sewerage systems and water purification plants).

~pproved

7.3 PREPARATION OF THE INTEGRATED MEDITERRANEAN

PROGRAMME (IMPS)

159.

September 1984 the Commission amended

its proposal for a

Regulation instituting integrated Mediterranean programmes

taking

account of the opinions expressed by Parliament and the Economic and

Social Committee and of certain provisions of the new ERDF Regulation.

On the basis of the amended proposal and in view of the agreements on the

subject reached by the European Council

Brussels and Fontainebleau, the

Council resumed its examination of the Regulation in September. Its

findings were discussed by the European Council in Dublin. The programmes

are designed to speed up the development of the Community's Mediterranean

regions, in particular Greece, and to help them adapt to the new

conditions that will be created by enlargement. The measures cover

agriculture, fisheries, craft industry, industry, business advisory

services, tourism and the improvement of infrastructures. They are based

on a comprehensive and multidisciplinary approach to the development of

rural areas in certain Mediterranean regions

France, Italy and Greece.

Amended proposal for a Council Regulation (EEC) instituting

integrated Mediterranean programmes, OJ n° C 280, 19.10.1984.

Proposal for a Council Regulation (EEC) instituting integrated

Mediterranean programmes, OJ n° C 251, 19.9.1983.

Commission proposals for the integrated Mediterranean programmes,

Parts I and II- COM(83)24, 17.3.1983.

ERDF

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They will cover a period of seven years and will be partly financed by the

Community: under the proposal for a Regulation of 6 May 1985, a sum of

6 600 million ECU is to be made available (4 100 million ECU in grants and

2 500 million ECU in loans).

160.

The Commission, with the cooperation of the three Member States

concerned, also pressed ahead with the pilot projects and studies in

preparation for the integrated Mediterranean programmes which it had

decided on 21 December 1983

20 .

Of the 22 specific measures. initiated, 10

are integrated micro-projects, 3 are pilot projects concerning fisheries

and fish farming, and the others are action-research projects and studies

on research and the environment.

With regard to the preparatory pilot projects, the Commission decided

December 1984

to amend some of the financing estimates for the

experimental programmes adopted on 21 December 1983, in view of the

momentum they had developed. Community assistance for the continuation of

the projects is of the order of 10 million ECU, financed under budget

Article 550 specifically introduced for this purpose, 'this amount being

additional to aid from the existing structural Funds.

n°

44, 15.2.1984.

n°

L 37,

8.2.1985.

Chapter VII

Funds

Integrated operations under the Community's structural

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§'

(1)

TABLE

ASSISTANCE APPLIED FOR IN

1984

ERDF, SUPPORT MEASURES

(Mio)

Member

State

Industry, services

and crafts

Nat. cur.

Ill

til

Infrastructure

Nat. cur.

1 774.52

170.36

144.68

24.14*

2 267.22

80.32

1 332.93*

212.30

77.93

423.55

Studies

Nat. cur.

70.00

5.50

0.08

0.00*

41.17

4.32

Total

ECU

1.56

0.68

0.04

0.03

6,02

7.19

15.51

Ill

I-'•

til

ECU

8.04

1.36

73.92

4.43

36.20

56.64

70.11

ECU

39.51

21,19

64.77

265.12

331.26

111.74

965.72

4.73

30.92

704.43

2 539.38

Nat. cur.

2 205.73

186.78

309.89

24.55*

2 556.17

121.03

1 429.70*

212.30

90.68

503.74

ECU

49.11

23.23

138.72

269.58

373.48

168.38

1 035.83

4.73

35.98

837.80

2 936.84

1-'·

......

p..

Ill

IRL

361.22

10.92

165.12

0.40*

247.77

40.71

96.77*

......

+"'

EUR

12.75

75.87

5.06

126.18

381.94

[

1-'

.....,

\J1

ECU rates at December

1984:

ECU

44,91

BFR/LFR =

8,041

DKR =

2,234

OM=

~0_7

ORA=

6,844

0, 7188

IRL =

1380

LIT

2,520

HFL

0,~013

UKL.

Thousand mil 1 ions

{1.1

"'3

....

TABLE

NUMBER Of PROJECTS FOR WHICH GRANT APPLICATIONS

WERE SUBMITTED IN

1984

ERDF, SUPPORT MEASURES

Member

State

IRL

EUR

------ 0

...

{1.1

.,:-.

I:'"'

"'3

Industry,

services

and Crafts

244

337

238

179

Infrastructure

172

130

103

196

790

2 054

1 191

4 737

--------

Studies .

Total

185

143

348

209

1 129

155

2 292

1 400

5 906

---

....

1 128

....

t-o)

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TABLE 25

ASSISTANCE GRANTED TO MEMBER STATES 1975-1984 BY INVESTMENT CATEGORY

ERDF, SUPPORT MEASURES

(Mio)

Member

State

Industry, services

and crafts

Nat. Cur.

IRL

EUR 10

1 345.46

96.57

739.41

2.81*

.2 028.13

141.20

526.58*

423.81

ECU

32.48

12.66

302.60

39.18

336.58

205.06

437.93

690.00

2 079.47

nfra structure

Studies

Nat. cur.

87.00

45.96

0.11

0.02*

41.17

0.43

26.26*

0.17

3.85

ECU

1. 93

5.74

0.05

0.26

6.02

0.64

20.12

0.07

6.52

41.33

Total

Nat. Cur.

4 836.97

1 020.38

1 334.74

82. 13*

10 495.14

493.89

5 493.26*

508.35

416.73

1 670.59

ECU

114.41

131.88

544.79

1 091.70

. 1 683.51

713.44

4368.73

11.97

156.18

2 782.01

11 598.63

Nat. Cur.

3 404.51

877.86

595.22

79.30*

8 425.84

352.26

4 940.40*

508.35

354.92

1 242.94

ECU

80.00

113.48

242.15

052.26

340.91

507.74

910.69

11.97

133. 14

085.49

61.64

22.98

9 477.83

UKL.

*Thousand mill ions

ECU rates at December 1984: 1 ECU

44,91 BFR/LFR

8,041 DKR

2,234 DM

91,07 DRA

6,844 FF = 0,7188 IRL

1380 LIT= 2,520 HFL

0,6013

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.....

Ill

......

p,.

ll>

TABLE

NUMBER OF PROJECTS ASSISTED IN

1984

(DETAIL)

ERDF, SUPPORT MEASURES

Member

State

Industry, services and crafts

Investments

Mio ECU

Infrastructure

Investments

Mio ECU

228

302

189

140

1 011

Studies

Total

ll>

tf.l

Investments

Mio ECU

200

294

188

120

943

Total

Investments

Mio ECU-

133

129

302

209

1 294

1 009

3 213

....

IRL

EUR

I-'

.J:'

p,.

I-'

133

129

311

234

1 327

1 049

3 339

151

167

287

330

538

139

1 521

1 216

4 393

126

.....

lJ1

I-'

.J:'

TABLE

NUMBER OF PROJECTS ASSISTED

1975-1984

ERDF, SUPPORT MEASURES

Member

State

Industry, services and crafts

Investments

Mio ECU

Infrastructure

Investments

Mio ECU

Studies

Tota I

Total

Investments

Mio ECU

174

1 519

102

1 749

292

1 483

735

6 145

- - -

- - - ----

Tota I

Investments

Mio ECU

409

640

668

871

2 219

530

7 805

5 304

18 524

-----

IRL

EUR

------

-- -

114

119

388

- -

175

1 633

103

1 825

330

1 507

854

6 533

139

198

217

717

410

650

680

920

2 358

605

8 003

5 521 .

19 241

100

498

831

315

028

185

938

530

430

25 874

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CIO

TABLE

ASSISTANCE GRANTED IN

1984

(DETAIL)

ERDF, SUPPORT MEASURES

(Mio ECU)

Member

State

Industry, services and crafts

Investments

Mio ECU

Infrastructure

Investments

Mio ECU

4.66

2.85

59.11

5.55

33.38

49.54

56.62

Studies

Tota I

Total

Investments

Mio ECU

3.73

2.85

27.04

5.55

26.21

27.01

48.36

3.27

41.86

185.89

Total

Investments

Mio ECU

26.96

21.06

16.22

163.81

76.77

24.78

326.58

4.73

11.91

316.90

989.72

IRL

EUR

32.06

7.16

22.54

8.26

1. 41

68.83

141.19

0.93

4.67

110.70

327.08

92.08

151.52

84.80

409.88

19.01

188.65

979.93

33.98

26.96

21.06

50.20

255.90

228.29

109.58

736.46

4.73

30.92

505.55

1 969.65

1.56 .

0.68

0.04

0.03

6.02

12.30

3.58

33.18

24.60

109.34

261.47

267.68

159.12

805.38

4.73

35.59

619.84

2 320.94

24.21

TABLE

ASSISTANCE GRANTED

1975-1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Member

State

Industry, services and crafts

Invest-

ments

Mio ECU

Infrastructure

Invest-

ments

Mio ECU

32.48

12.66

302.60

39.18

336.58

205.06

437.93

22.98

690.00

1.84

29.57

70.76

577.06

. 945.45

382.30

2 448.29

77.75

710.98

5 243.99

Studies

Tota I

Total

Invest-

ments

Mio ECU

19.37

11.96

175.39

33.42

191.97

113.85

313.47

184.24

1 052.84

Total

Invest-

ments

Mio ECU

78.17

83.92

171.39

475.20

395.47

125.44

1 462.40

11.97

55.39

1 374.51

4 233.84

IRL

L _ _ _ __ _ _

1:>1

13.,

0.70

127.20

5.76

144.61

91.20

124.45

·1

13.81

9.16

505.76

1 026.63

80.00

113.48

242.15

052.26

340.91

507.74

910.69

11.97

133.14

085.49

1.93

5.74

0.05

0.26

6.02

0.64

20.12

6.52

41.33

0.07

114.41

131.88

544.79

091.70

683.51

713.44

368.73

11.97

156.18

782.01

- -

EUR

2 079.47

-·

9 477.83

------

.11 598.63

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·>

(I)

TABLE

INVESTMENTS FOR WHICH ASSISTANCE WAS GRANTED IN

1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Member

State

Industry, services and crafts

Investments

Mio ECU

ll>

Cll

Infrastructure

Investments

Mio ECU

Studies

Total

95.44

64.53

155.27

739.11

877.61

1 123.80

2 107.46

16.76

112.85

2 325.17

7 617.99

3.12

10.07

0.07

0.05

12.03

Tota I

til

.....

Investments

Mio ECU

40.50

32.99

594.75

35.94

345.72

175.94

286.29

33.70

263.67

1 809.50

Total

52.65

32.99

1 323.89

35.94

478.05

354.12

328.75

58.10

876.56

3 541.06

Investments

Mio £CU

95.44

64.53

57.22

488. 19

293.73

81.20

993.02

16.76

40.04

1 116.05

3 246.18

II>

f-'

IRL

EUR

12. 15

729.15

Ill

132.33

178.17

42.47

1-'

.p.

1-'

24.39

612.90

1 731.56

250.92

583.87

1 042.60

1 114.44

72.81

1 209.12

4 371.81

98.05

27.86

7.38

151.21

107.60

479.23

775.11

367.69

477.91

464.08

16.76

170.94

209.11

·-

60.59

---

11 219.64

- · -

---

"-J

1-'

.p.

TABLE

INVESTMENTS FOR WHICH ASSISTANCE WAS GRANTED

1975-1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Member

State

Industry, services and crafts

Investments

Mio ECU

Infrastructure

Investments

Mio ECU

448.,15

166.27

449.66

263.90

751.08

564.83

715.34

15.02

128.60

410.81

933.89

013.94

805.06

692.77

Studies

Total

302.76

403.09

037.28

764.15

501.72

237.62

224.32

57.23

605.63

334.45

3.86

21.31

0.51

12.03

1. 61

44.10

0.14

14.01

97.68

Total

Investments

Mio ECU

241.76

155.35

3 968.20

200.89

2 768.04

741.43

1 741.72

85.55

1 302.12

Tota I

Investments

Mio ECU

287.75

274.49

626.47

830.26

487.78

432.56

531.55

57.23

207.00

277.46

IRL

EUR

L..-.--

206.39

10.92

3 481.47

63.00

2 983.04

1 823.40

973.62

6 162.16

·--

156.45

7 464.28

27 065.51

242.00

398.63

8 056.99

38 455.70

754.77

590.66

487.04.

028.56

264.83

804.06

983.76

57.23

847.76.

812.74

15 860.45

11 205.06

15 012.55

53 468.25

80 631.44

....

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TABLE

·32

BREAKDOWN OF ASSISTANCE BY TYPE OF INFRASTRUCTURE IN

1984

(DETAIL)

Type or inYrastructure

Mia ECU

Investments

Mia ECU

Investments

Tota 1

Assistance

116.0

83. 1

9.3

18.4

3.6

1.6

943.0

774.0

43.3

69.8

13.3

,31. 2

10.0

1 .4

158.4

153.6

1.4

3.5

311 . 1

32.4

84.1

1.3

192.1

1. 1

347.9

20.3

178.8

26.0

121.0

1 .8

32.1

6.4

16.0

3.5

5.8

0.4

61.0

20.4

5.2

18. 1

13.2

. 4.1

1 969.7

7 618.0

6 043.2

Projects

1:'<1

I Assistance Projects

37.8

34.0

3.8

Assistance Projects

78.3

49.1

9.3

14.6

3.6

1. 6

380.1

299.4

11.0

46.5

1.0

14.8

5.9

1.4

81.6

76.7

1.4

3.5

175.7

8.5

21.4

1.3

143.4

1. 1

0.1

194.9

6.2

85.5

11.8

89.7

1.8

32.1

6.11-

16.0

3.5

5.8

0.4

47.0

16.5

5.2

10.6

4.1

989.7

329

222

1 454

1 188

150

LINKED TO PRODUCTIVE ACTIVITIES

Sites for productive actiVities

Factory construction

Centres for applied research - studies - support

Commercial centres

Miscellaneous

TRANSPORT

Roads, re 1a ted works

Ra i Iways

Sea port installations

Waterways

Airports

Urban transport systems

Mi see II aneous

TELECOMMUNICATIONS

Telephone, telex

Radio, television

lnrormation networks

ENERGY

Electricity supply

Electricity distribution

Therma I insta I lations

Gas distribution networks

Petrol distribution networks

Miscellaneous

WATER ENGINEERING

Dams

Water col lection/distrlbution

Irrigation systems

Sewers, sewage treatment plants

Miscellaneous

ENVIRONMENT

Costal protection

Clearance works, hydrogeological protection

Protection and clearance of sites

lncinerators/recycl ing plants ror garbage

Anti-pol iution systems

326

220

1 384

1 131

146

216

205

344

155

148

769

385

347

3 213

562.9

474.5

32.3

23.3

12.3

16.4

4.1

222

211

76.8

359

157

158

797

401

355

135.4

24.0

62.7

48.8

153.0

14. 1

93.3

14.2

31.3

14. 1

3.9

7.5

2.6

"':!

EDUCATION, SOCIO-CULTURAL, SPORT/LEISURE

Education

72/73

Social, medical/para-medical infrastructure

Cultural inrrastructure

Sport and leisure centres

Miscellaneous

126

Total

Total investment

Nat i ana I aid

------

979.9

4 371.8

2 955.4

-------

3 339

3 246.2

3 087.8

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TABLE

33 _

BREAKDOWN BY COUNTRY OF'ASSISTANCE TO INFRASTRUCTURE PROJECTS IN

1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Member

State

IRL

L·

EUR

til

Ill

Linked to

productive

activities

2.67

1. 50

41.87

Transport

Telecommu-

nications

Energy

Water

engineering

11.82

1.03

2.56

52.62

9.73

21.41

172.06

0.42

Environment

Education,

socio-

cultural

3.03

2. 34

4.35

10.03

7.31

4.21

2.55

0.63

. 26.60

61.04

Tota I

26.96

21.06

50.20

255.90

228.29

109.58

736.46

4.73

30.92

505.55

1 969.65

f-'•

f-'·

Ill

1-'

j:l.

Ill

34.90

2.46

1.0

.....

32.43

116.03

0.20

6.63

8.42

108.78

144.08

42.35

323.93

4.03

30.29

273.37

942.96

40.98

3.49

12.55

41.60

0.14

59.67

158.44

4.28

0.33

43.48

50.62

188.08

0.08

2.82

24.26

1, 54

14.81

12.98

32.15

76.26

311,12

347.91

1.0

......

.......

l.n

1.0

.....

TABLE

BREAKDOWN Of ASSISTANCE BY TYPE OF INFRASTRUCTURE

1975-1984

ERDF, SUPPORT MEASURES

(Mio ECU)

Type of infrastructure

Mio ECU

Investments

Mio ECU

Investments

Total

assistance

952.9

3 360.9

872.2

1 572.3

2 359.1

156.7

201.6

9 477.8

projects

1 ..

.2.

assistance projects

478.6 .

1 798.3

441.4

1 022.8

1 366.6

85.2

51.0

5 244.0

753

458

906

495

215

214

483

assistance projects

474.3

1 562.6

430.8

549.5

992.5

73.4

150.8

4 233.8

834

761

949

559

415

228

495

Linked to productive activities

Transport

Telecommunications

Energy

Water engineering

Environment

Education, soc i o-cu I tu ra I

303

200

717

Tota I

Total investment

Nat iona I aid

---

18 524

19 241

38 455.7

17 511,2

15 012.5

13 741.6

53 468.3

31 252.8

Some of the figures in this table are estimates, but only where projects covered by global applications

are concerned. These figures are therefore only approximate.

---

----

---

-----------------

1.0

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\t)

TABLE 35

BREAKDOWN OF ASSISTANCE BY INDUSTRY, CRAFT INDUSTRY AND SERVICE SECTOR IN 19B4 (DETAIL)

ERDF, SUPPORT MEASURES

(Mio ECU)

Sector

NACE Code

Investments

10 Mio ECU

Investments

Tota I

Jobs

5375

746

155

2149

2250

185

035

078

162

279

529

339

763

Projects Assist.

159

412

114

113

396

1 011

0.6

0.5

0. 1

45.7

2.6

0.6

16.6

24.8

1.1

178.8

17.8

18.9

31.7

71. 1

30.0

4.9

4.6

94.7

19.7

2. 1

1.0

4.4

16.5

22.3

25.7

3.0

0.8

6.5

0.5

0. 1

3.6

0. 1

0.8

0.7

0.3

0.4

327.1

3 541.1

738.~

Projects

1 . ENERGY

11 Extraction briquett.sol id.fuels

14 MI ne ra I o i I refining

EXTRACT.PROCESS. MINERALS,CHEMIST

Product./prel im.processing metals

Extract. non metal I ifer. minerals

Manuf.non-metal l.mineral products

Chemical industry

Man-made fibres industry

METAL MANUFACTURE, INSTR.ENGINEER,

Manufacture of metal articles

Mechanical engineering

Manuf.office/data process.machin.

Electrical engineering

Manuf.motor vehicul.,parts/acces.

Manuf. other means of transport

Instrument engineering

Assist.

Jobs

Projects Assist,

Jobs

6 261

746

155

2 235

3 050

177

073 ;

035

749

084

480

599

1 157

0.2

9.0

9.2

0.4

0,4

150

371

113

381

943

0.2

0. 1

36.5

2.6

0.6

16.4

15.8

1. 1

79.1

17.2

13.7

11. 3

26.0

7.6

1.5

1.9

63.7

12.5

2. 1

1. 0

4.4

13.3

10.5

16.9

3.0

0.8

5.6

0.5

0. 1

3.5

0. 1

886

BOO

13 992

957

3 587

4 805

3 951

260

394

4 547

1 120

99.7

0.6

5.2

20.5

45.1

22.4

3.3

2.6

31.0

7.2

4. OTHER MANUFACTURING INDUSTRIES

41/42 Food, drink, tobacco industry

43 Textile industry

44 Leather/leather goods industry

45 Footwear/clothing industry

46 Timber/wooden furniture industry

47 Manuf.paper/prod.,print.,publ ish.

48 Processing of rubber and plastics

49 Other manufacturing industries

5. BUILDING AND CIVIL ENGINEERING

6. TO 9. SERVICES

61 Wholesale distributin

64/65 Retail distribution

66 Hotels and catering

75 Air transport

82 Insurance

83 Auxiliary to banking/insurance

94 Research and development

98 Persona I services

3.2

11.8

8.8

727

2 527

173

17 441

3 508

1 209

345

2 215

3 210

2 286

3 981

687

156

1 192

154

516

179

200

49 387

21 988

4 628

1 209

345

2 215

3 383

3 013

6 508

687

156

1 312

154

596

179

200

68 950

0.9

120

0.8

0.3

0.4

185.9

1 809.5

410.7

0.7

1."1

Tota I

Investment

Nat i ona I a i d

141.2

1 731.6

327.8

19 563

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ll>

TABLE

BREAKDOWN BY COUNTRY OF ASSISTANCE TO INDUSTRY, CRAFT INDUSTRY AND SERVICE SECTOR IN

1984

ERDF, SUPPORT MEASURES

(Mia ECU)

Member

State

Energy

Mineral

products and

by-products,

chemicals

Meta I processing

instrument engi-

nee ring

2.20

2.09

33.59

1.59

14.62

36.38

26.35

0.66

61.35

178.82

Ill

1:/l

('l

Other manufac-

turing indus-

tries

1. 37

0.46

16.55

1.60

14.31

8.16

11.96

0.94

39.37

94.72

Building and

civi 1

engineering

Services

Total

1-'

Ill

ll>

......

1./)

IRL

EUR

0.42

0. 13

0.56

0.53

3.55

5.00

17.83

1. 87

9.30

45.70

6.64

0.98

0.29

0.47

CX>

0.31

1.82

0.61

1.20

4.66

2.85

59.11

5.55

33.38

49.54

56.62

4.67

110.70

327.08

0.55

6.52

.f:'

0.17

......

\.0

til

.....

TABLE

BREAKDOWN OF ASSISTANCE BY INDUSTRY, CRAFT INDUSTRY AND SERVICE SECTOR

1975-1984

ERDF, SUPPORT MEASURES

(Mia ECU)

Sector

NACE code

Energy

Mineral products and by-

products, chemicals

Metal processing, lnstru-

ment engineering

Other manufacturing

industries

Building and civil engineering

Services

Mia ECU

......

\.0

.f:'

CX>

Investments

Mia ECU

Jobs

1 584

51 692

219 871

145 190

718

11 429

430 484

6. 1

204.8

459.4

351.6

2.4

28.6

1 052.8

11 205. 1

2 302.8

Total

Projects Assist.

1 087

2 704

2 473

226

6 533

78.8

363.2

1 091.5

509.5

2.4

34.2

2 079.5

27 065.5

4 911.5

Projects

193

Assist.

72.7

158.3

632. 1

157.8

Jobs

8 111

27 315

144 666

25 439

2 309

207 840

Projects Assist.

992

2 511

2 386

219

6 145

Jobs

9 695

79 007

364 537

170 629

718

13 738

638 324

5.6

Tota I

Tota I investment

Nation a I a

388

1 026.6

15 860.5

2 608.8

Some of the figures in this table are estimates, but only where projects covered by global appl !cations are

concerned. These figures are therefore only approximate.

.....

\.0

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....,

TABLE 38

BUDGETARY SITUATION 1984

ERDF, SUPPORT MEASURES

1. USE OF COMMITMENT APPROPRIATIONS

(Mio ECU)

Commitment appropriations available for 1984

Appropriations

entered

in 1984

budget

2 025.00

Appropriations

outstanding

from

1983

(1)

131.33

Appropriations made available by:

release of

commitments

103.34

exch. rate flue-

tuations affect-

ing amounts pre-

viously released

67.45

Total

Use in

1984

Commitments

made

2 322.20

ava flab le

at 31.12.84

4.92

Appropriations

2 327.12

2. USE OF PAYMENT APPROPRIATIONS

(Mio ECU)

Payment appropriations available in 1984

Carry-over 1983

(2)

49.36

Appropriations

for 1984

1 312.50

Tota I

1 361.86

Payments made in 1984

Out of carry-

over from 1983

49.36

Out of appropr. Total

for 1984

1 276.62

3. COMMITMENTS. MADE.

(Mio ECU)

Commitments

1975-1983

unpaid

1. 1. 1984

3 716.24

Amounts

Commitments made in 1984

Total

Unpaid

commitments

1975-1983

1984

commitments

2 322.20

5 867.65

1 325.98

4 541.67

commitments

paid in

1984

Commitments

sti II to be

paid at

31. 12.84

1 325.98

Payment appropriations not used

at 3 1 • 12 . 1984

Out of carry-over

from 1983

Out of appro-

priations for 1984

35.88

Out of appropr. Out of appropr.

released

and adjust-

outstanding

from 1983

ments from 1983 from 1983

170.79

131.33

of 88.65

measures

of 18.00

measures

mill

sect

mill

sect

2 190.87

( 1 ) Including the transfer

section to the support

(2) Including the transfer

section to the support

on ECU of commitment appropriations from the specific Community measures

on ECU of payment appropriations from the specific Community measures

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Ill

til

("l

TABLE 39

PAYMENTS IN 1984 MADE FROM 1975-1984 COMMITMENTS

ERDF, SUPPORT MEASURES

(MIO)

Member

State

IRL

EUR 10

1975-78

ECU

0. 13

Payments made in 1984 against commitments

1979

ECU

0.17

0. 37

1980

ECU

0.76

- 0.11

2.42

17.46

- 0.08

24.47

1. 14

7.12

53.18

1981

ECU

0. 13

2.68

4.07

7.58

9.34

0.01

104.81

0.58

4.73

13.76

147.69

1982

ECU

0.21

2.56

6.99

6.71

87.37

7. 13

88.14

2.07

4.78

48.13

254.09

1983

ECU

3.53

15.34

16.03

123.88

56.24

29.16

197.89

1.82

164.68

608.57

tJ>

Cll

Total payments 1984

National

currency

247.09

207.01

92.73

18.86*

1 303.91

72.07

600.85*

111,76

36.96

175.43

ECU

5.63

28.10

43.92

212.63

190.23

101.51

435.12

2.49

14.74

291.61

1 325.98

·-·----

1-'·

1984

ECU

0.70

7.63

13.63

74.46

7.59

68.81

15.29

57.02

245.13

Ill

1-'

A-

ll>

Ill

......

CX>

6.30

0.35 - 3.87

2.02

2.50

- 0.06 - 0. 10

1.52

0.75

2.65

- 1.75

8.55

8. 77

5.93

0.41

......

\,0

.....,

*in thousand mil I ions

CX>

TABLE 40

BREAKDOWN BY MEMBER STATE OF PAYMENTS IN EACH YEAR

ERDF, SUPPORT MEASURES

Member

State

IRL

EUR 10

1975

0.0

1. 7

0.0

17.8

7.7

48.9

0.2

3. 1

20.6

100.0

1976

1. 7

1. 5

3.6

12. 1

6.8

42.7

0.2

2.3

29.1

100.0

payments made

1977

0.8

1. 6

6.7

12.3

5.9

40.1

0.8

31.7

100.0

1978

2.3

0.5

16.6

16.0

8.0

30.8

2.5

23.2

100.0

1979

0.6

1.8

9.0

20.2

6.4

28.0

1.7

32.2

1980

0.9

1. 3

6.9

13.7

9.6

34.3

0. 1

1.1

32. 1

100.0

1981

1.2

1. 3

4.6

15.4

7.9

10.0

26.6

0. 1

0.7

32.2

100.0

1982

1. 1

1.5

6.5

16.0

13.3

9.6

29.1

0.3

22.5

100.0

1983

0.6

1.3

3.6

17.2

7.3

27.6

0.0

1. 5

23.6

100.0

1984

0.4

2. 1

3.3

16.0

14.4

7.7

32.8

0.2

1.1

22.0

100.0

- -

100.0

\,0

tJJ

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TABLE 41

REGIONAL DISTRIBUTION OF ASSISTANCE 1975-1984

ERDF, SUPPORT MEASURES

Member State

Region

BELGIQUE/BELGI~

Industry, service

and craft

Mio BFR

1 345.46

773.77

571.70

Mia DKR

Mio ECU

32.48

18.46

14.01

Mia ECU

12.66

0.31

12.36

Mio ECU

302.60

40.24

0.96

33.00

22.46

29.82

11.31

43.01

59.05

5.60

57.08

0.07

Mio ECU

39.18

1.80

3.08

3.14

2.99

1.95

1. 18

5.93

8 86

4.48

5.76

Infrastructure

Mlo BFR

3 404.51

1 129.73

2 274.78

Mia DKR

877.86

723.61

154.25

Mio OM

595.22

72.68

1.62

30.81

31.93

12.30

18.33

184. 15

32.60

95.65

115.16

Mia ECU

80.00

27.11

52.89

Mio ECU

113.48

93.94

19.55

Mio ECU

242.15

29.02

0.65

12.55

12.71

5.14

7.40

75.54

12.99

40.13

46.01

Studies

Mia BFR

87.00

Mia OKR

45.96

Mia ECU

1.93

1. 93

Mia ECU

5.74

Total

Mia BFR

4 836.97

1 903.50

2 933.47

M!o DKR

1 020.38

772.04

248.35

Mio OM

1 334.74

171.59

4.06

110.38

86.08

85.51

46.34

290.36

176.91

108. 15

255.21

0.15

Mio DR

82 131.38

254.48

020.79

374.62

813.13

930.27

984.73

967.35

668.89

200.44

916.83

Mia ECU

114.41

45.58

68.83

Mio ECU

131.88

99.98

31.90

Mio ECU

544.79

69.26

1.60

45.55

35.18

34.96

18.71

118.55

72.08

45.72

103.11

0.07

Mio ECU

1 091.70 :

112.26

411.73

130.54

81.36

42.83

78.85

66.54

53.88

83.46

30.25

Vlaanderen

wa llonle

DAN MARK

Gr!ilnland

Other regions

96.57

2.47

94.10

Mia OM

Mio OM

0. 11

Mio ECU

0.05

DEUTSCHLAND

Schleswig-Holstein

Bremen

Nord rhe i n-Westfa

Hessen

Rheinland-Pfalz

Baden-Wurttemberg

Bayern ·

Saarland

Berlin

Ni ede rsachsen

Mu It i- reg i ona I

739.41

98.91

2.44

79.57.

54.16

73.20

28.01

106.21

144.23

12.50

140.02

Mio DR

2 809.61

159.28

237.56

243.64

240.41

153. 13

88.81

409.79

570.

co·

345.54

361.46

-------

0.08

0.03

Mio DR

17.60

3.00

0.04

0.01

Mio ECU

0.26

0.05

Mio DR

79 304.19

Mia ECU

1 052.26

110.41

408.64

127.40

78.37

40.88

77.67

60.61

45.02

78.93

24.32

ELLAS

Ana.Ster.Kai Nisoi

Kentr.Dyt.Makedonia

Pelop.Dyt.Ste.EI las

Thessa I ia

Anatol iki Makedonia

Kriti

I pi ros

Thraki

Nisoi Anat.Agaiou

Multi-regional

l:>j

092.20

783.23

130.98

572.71

777.14

895.92

557.56

098.90

850.90

544,77

4.00

10.60

··-·--

0.05

0.16

Value of the ECU at first December 1984: 1 ECU·

44,91 BFR

8,041 DKR

2,234 OM

91,07 ORA.

---

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(1)

TABLE

REGIONAL DISTRIBUTION OF ASSISTANCE

1975-1984

ERDF, SUPPORT MEASURES

(CONTINUED)

Member State

Region

FRANCE

Haute-Normandie

Basse-Normand ie

Picardie

Champagne-Ardenne

Bourgogne

Centre

Nord-Pas-de-Calais

Bretagne

Pays-de-la-Loire

Poitou-Charentes

Lorraine

AI sace

Franche-comte

Limous in

Aquitaine

Midi -Pyrenees

Auve rgne

Rhona-Alpes

Languedoc-Roussll lon

Provence-Cote-d'Azur

Corse

Martinique

Guadeloupe

Guyana

Reunion

Mu I t i- reg i ona I

IRELAND

Donegal

North East

North West

West

Midlands

East

Mid West

South East

South West

Mu I t i -reg i ona I

Industry, service

and craft

Mio FF

2 028.13

10.46

45.35

16.59

45.34

4. 13

10.09

438. 19

132.50

232.07

94.42

296.60

-36.90

0.48

33.31

145.70

120.57

74.96

120.66

69.55

11.39

4.18

20.43

23.40

23.16

17.66

:>c

Infrastructure

Mio ff

8 425.84

119.94

2.40

25.15

149.45

1 576.14

352.06

260.93

210.40

5.02

474.85

1 072.07

616.94

99.60

499.98

18.78

301.54

501.93

506.31

246.84

697.04

216.24

Studies

Mio FF

41.17

Total

Mio ECU

6.02

Mio ECU

336.58

1. 57

7.45

2.55

7.55

0.71

1. 66

75. 11

21.62

37.36

15.46

50.26

6.21

0.06

5.44

23.81

19.33

11.94

20. 11

11.41

1. 89

0.63

3.46

4.02

3.95

2.99

Mio ECU

1 340.91

19.07

0.35

3.67

22.74

255.84

58.24

42.67

32.89

0.74

73.78

76.05

166.65

100.46

14.78

79.46

2.74

49.16

79.81

80.45

38.49

108.11

32.73

Mio

Mio ECU

1 663.51

1.57

26.52

2.90

11.22

0.71

3.69

97.65

277.46

95.61

56.13 '

83.17 I

6.95

0.08

79.22

99.86

185.99

112.40

34.89

90.87

4.63

49.79

83.27

84.47

42.44

117.12

32.73

Ill

l)l

10 495.14

10.46

165.30

16.99

70.49

4.13

23.80

567.64

1 708.65

584.13

355.36

507.00

41.92

0.48

491.81

620.55

1 192.64

691.90

220.27

569.54

30.17

305.71

522.36

529.72

269.99

755.89

216.24

~·

......

Ill

13.71

2.03

......

o:>

.p..

....,

lJ1

458.50

......

.j::-

o:>

41.17

Mio IRL

0.43

0.02

0.01

6.02

Mio ECU

0.64

0.03

0.02

14io IRL

141.20

3.31

7.48

2.87

11.18

8.38

40.12

27.48

12.31

27.06

1. 01

Mio ECU

205.06

4.89

11.22

4.18

16.50

12.30

57.71

39.48

18. 12

39.23

1.42

Mio IRL

352.26

8.58

5. 13

4.18

18.17

9.55

47.34

21.99

15.01

41.23

161.08

Mio ECU

507.74

12.59

7.54

6.04

26.40

13.84

67.43

32.00

21.77

59.92

260.22

Mio IRL

493.69

Mio ECU

713.44

17.51

18.78

10.22

42.90

26.14

125. 14

71.47

39.88

99.15

262.24

0.40

0.60

11.91

12.62

7.05

29.35

17.93

87.45

49.48

27.32

68.29

182.49

Value of the ECU at first December

1984: 1

ECU

6,844

0,7188

IRL.

1.11

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TABLE 41

REGIONAL DISTRIBUTION OF ASSISTANCE 1975-1984

ERDF, SUPPORT MEASURES

(CONTINUED)

Member State

Region

IT ALIA

friul i-Ven.Giul ia

Toscana

Marche

Lazfo

Abruzzi

Mol ise

Campania

Pug I Ia

Basi I icata

abria

Sic i I ia

Sardegna

Mu I t i- reg ion a I

LUXEMBOURG

Industry, service

and craft

Mrd Ll T

526.58

1 . 11

24.05

95.35

96.49

5.40

115.83

96.67

15.05

20.20

38. 14

18.29

Mio ECU

.437.93

0.99

19.41

79.25

79.51

4.65

94.27

84.50

12.48

15.76

32.12

14.98

Infra structure

Mrd LIT

4 940.39

93.36

18.68

52.83

153.25

146.90

69.83

1 617.72

339.98

213.20

539.49

923.94

334.42

436.80

Mfo LFR

508.35

Mio HFL

354.92

251.29

7.50

88.63

7.50

Mio UKL

1 242.94

207.37

122.04

13.80

62.38

22.26

158.79

203.04

335.23

118.04

Mio ECU

3 910.69

75.81

14.01

43.24

121.72

116.96

55.19

1 258.70

269.27

161.88

425.14

733.27

271.11

364.41

Mio ECU

11.97

Mio ECU

133.14

94.35

2.77

33.04

2.98

Mio ECU

2 085.49

346.59

203.80

23.99

104.74

37.29

267.24

340.67

565.20

195.97

Studies

Mrd Ll T

26.28

Mio ECU

20.12

Total

Mrd LIT

Mio ECU

4 368.73

493.26

1.12

0.24

3.66

Mio LFR

9.63

4.76

6.87

0.81

6.98

3.45

5.72

0.19

2.97

75.81

93.36

19.79.

15.00

78.00

63.47

248.60

200.97

203.44

253.01

63.29

79.99

1 740.42 1 358.68

436.65

353.77

228.25

174.36

559.68

440.90

962.33

765.58

289.06

356.37

436.80

364.41

Mio LFR

508.35

Mio HFL

416.73

287.61

7.50

114.12

7.50

Mio UKL

1 670.59

285.75

133.19

17.73

66.83

22.26

203.65

257.71

442.49

179.92

61.06

Mio ECU

11.97

Mio ECU

156.18

107.96

2.77

42.48

2.98

Mio ECU '

2 782.01

475.73

221.91

30.39

111.86

37.29

339.57

432.38

743.96

296.66

92.26

Mio ECU

11 598.63

Mio LFR

Mio ECU

Mio HFL

61.64

Mio HFL

0.17

Mio ECU

0.07

Mio ECU

22.98

13.54

NEDERLAND

Noo rd-Nede rIa nd

Oost-Nederland

Limburg

Mu I t i- reg I on a I

UNITED KINGDOM

North

Yorkshire/Humberside

East Midlands

south west

West Midlands

North west

Wales

Scotland

Northern I reI and

Mu It i- reg ion a I

EUR 10

25.50

36.15

9.43

Mio UKL

3.85

0.36

0.27

0.55

0.13

0.14

0.65

0.49

0.19

1.06

Mio UKL

423.81

78.02

10.88

3.38

4.32

44.73

54.01

106.77

61.70

60.00

Mio ECU

690.00

128.52

17.66

5.48

6.89

72.10

90.58

177.91

100.37

90.50

Mio ECU

2 079.47

Mio ECU

6.52

0.62

0.46

0.93

0.23

0.22

1.14

0.84

0.32

1. 76

Mio ECU

41.33

t>l

Mio ECU

9 477.83

Value of the ECU at first December 1984: 1 ECU = 1380 LIT= 44,91 LFR = 2,520 HFL = 0,6013 UKL.

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TABLE

REGIONAL BREAKDOWN OF POPULATION AND

PER CAPITA ASSISTANCE IN ERDF-ASSISTED AREAS

EROF, SUPPORT MEASURES

Member

State

BELGIQUE/BELGir

Vlaanderen

Wa llonie

DANMARK

Grf)n

and

Other reg ions

DEUTSCHLAND

Schleswig-Holstein

Bremen

Nordrhein-Westfalen

Hess en

Rheinland-Pfalz

Baden-wurttemberg

Baye rn

Saar Ia?d

Berlin,

Niedersachsen

ELLAS

Ana. Ster. Kai Nisoi

Kentr.Dyt. Makedonia

Pelop.Dyt. Ste. El las

Thessa II a

Anatollki Makedonia

Krit i

I pi ros

Thraki

Nisol Anat. Agaiou

FRANCE

Haute-Normandie

Basse-Normand i e

Picardie

Champagne-Ardenne

Bourgogne

Centre

Nord-Pas-de-Calais

Bretagne

Pays de Ia Lo

Poitou-Charentes

Lorra•i ne

Alsace

Franche-Comte

Limousin

Aquitaine

Midi-Pyrenees

Auvergne

Rhones-Aipes

Languedoc-Roussillon

Provence-Cote-d'Azur

Corse

Martinique

Guadeloupe

Guyane

Reunion

IRELAND

Population * x

1000

tota

5 638

3 224

Aid per capita (ECU)***

1984

1975/84

eligible**

1 412

2 082

3 332

749

270

960

605

695

17 044

5 589

3 639

9 233

10 899

068

1 899

7 246

2 226

"695

5 555

1 447

813

196

3 327

068

, 899

4 603

3 996

696

294

696

426

502

446

345

340

, 294

696

426

502

446

345

340

696

632

243

101

176

.97

117

101

157

149

156

245

656

351

740

346

596

264

933

708

930

568

320

566

084

737

391

969

541

354

209

2 233

112

2 473

2 198

568

1 429

264

138

737

657

2 325

333

5 016

, 927

3 965

240

329

326

516

016

, 764

1 022

890

1 666

618

240

146

107

104

110

207

253

·258

581

227

328

516 '

329

3 443

207

***

Depending on the sources available, the population figures

relate to years

1980-84

inclusive.

Population in the ERDF-assisted areas.

Per capita aid calculated on the basis of eligible population.

Annex

Statistical data 1984 and 1975-1984

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TABLE 42

REGIONAL BREAKDOWN OF POPULATION AND

PER CAPITA ASSISTANCE IN ERDF-ASSISTED AREAS

ERDF, SUPPORT MEASURES

(CONTINUED)

Member

State

ITALIA

Friul i-Venezia Giu I ia

Toscana

Ma rche

lazio

Abruzzi

Mol ise

Campania

Pug I ia

Basi I icata

calabria

Sici i Ia

Sardegna

LUXEMBOURG

NEDERLAND

Noord Nederland

Oost Nederland

Limburg

UNITED KINGDOM

North

Yorkshire/Humberside

East Mid Iands

South-West

West Midlands

North-West

Wales

Scotland

Northern Ireland

117

917

852

381

187

459

814

150

564

2 693

2 598

111

1 077

2 261

4 332

2 736

3 589

1 564

177

274

104

158

207

190

1 571

2 828

075

1 571

711

228

581

421

056

236

332

563

947

615

098

007

617

366

1 228

174

1 127

1 236

332

5 563

3 947

615

2 098

007

1 617

366

Population *

tota I

1000

Aid per capita (ECU)***

1984

1975/84

500

365

178

165

191

244

284

210

153

179

el lg ible**

***

Depending on the sources avai labie, the population figures

relate to years 1980-84 inclusive.

Population in the ERDF-assisted areas.

Per capita aid calculated on the basis of eligible population.

ERDF

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B.O

ANNEX B: BIBLIOGRAPHY (1984 PUBLICATIONS)

B .1

EUROPEAN REGIONAL DEVELOPMENT FUND

• Council Regulation (CEE) N° 1787/84 of 19 June 1984 on the European

Regional Development Fund

(O.J. N° L 169, 28.6.1984)

• Opinion of the Economic and Social Committee on the proposal for a

Council Regulation amending Regulation (EEC) N° 724/75 establishing a

European Regional Development Fund

(O.J. N° C 140, 28.5.1984, p. 17)

• ERDF in figures: 1983, 1975-1983 (XVI/107/84)

• Ninth Annual ERDF Report (1983)

Published by the Office for Official Publications of the European

Communities, 1984

• Opinion of the Economic and Social Committee on the European Regional

Development Fund (Eighth Report from the Commission to the Council)

(O.J. N° C 206, 6.8.1984, p. 13)

• Resolution of the European Parliament on the seventh annual report

(1981) of the Commission of the European Communities on the European

Regional Development Fund

(O.J. N° C 10, 16.1.1984, p. 110)

• Commission communication

Development Fund:

1983

1984

grants

from

the

European

Regional

(third allocation), O.J. N° C 30, 6.2.1984

(fourth allocation), O.J. N° C 136, 23.5.1984

(first allocation), O.J. N° C 245, 13.9.1984

(second allocation), O.J. N° C 349, 31.12.1984

.2.

ERDF: SPECIFIC COMMUNITY REGIONAL DEVELOPMENT

MEASURES

• Second series of specific Community regional development measures under

Article 13 of the ERDF Regulation

(O.J. N°

27, 31.1.1984)

Council Regulation (EEC) N° 214/84 of 18 January 1984 amending

Regulation (EEC) N° 2615/80 instituting a specific Community

measure contributing to the development of certain French and

Italian regions in the context of Community enlargement.

Council Regulation (EEC) N° 215/84 of 18 January 1984 instituting a

specific Community measure contributing to the development of

certain regions of Greece in the context of Community enlargement.

Annex B: Bibliography (1984 Publications)

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Council Regulation (EEC) N° 216/84 of 18 January 1984 amending

Regulation (EEC) N° 2616/80 instituting a specific Community

regional development measure contributing to overcoming constraints

on the development of new economic activities in certain zones

adversely affected by restructuring of the steel industry.

Council Regulation (CEE) N° 217/84 of

January 1984 amending

Regulation (EEC) N° 2617/80

instit1•+::n~

spP.cific Community

regional development measure -:or>t-!'i.Lutiug to overcoming constraints

on the development of new economic activities in certain zones

adversely affected by restructuring of the shipbuilding industry.

Council Regulation (EEC) N° 218/84 of 18 January 1984 amending

Regulation (EEC) N° 2618/80 instituting a specific Community

regional development measure contributing to improving security of

energy supply in certain Community regions by way of improved use of

new techniques for hydro-electrical power and alternative energy

sources.

Council Regulation (EEC) N° 219/84 of 18 January 1984 instituting a

specific Community regional development measure contributing to

overcoming constraints on the development of new economic

activities in certain zones adversely affected by restructuring of

the textile and clothing industry.

• Commission Decisions

Commission Decision of 30 May 1984 concerning the zones referred to

in Article 2 paragraph 3 of Regulation (EEC) N° 2616/80 instituting

a ·specific Community regional development measure contributing to

overcoming constraints on the development of new economic

activities in certain zones adversely affected by restructuring of

the steel industry.

(O.J. N° 1 249. 18.9.1984)

This decision concerns the areas in the Federal Republic of .Germany.

Commission Decision of 10 September 1984 concerning the zones

referred to in Article 2 paragraph 3 of Regulation (EEC) N°. 2616/80

instituting a specific Community regional development measure

contributing to overcoming constraints on the development of new

economic activities in certain zones adversely affected by

restructuring of the steel industry.

(O.J. N° 1249. 18.9.1984)

This Decision concerns the areas in the Netherlands.

Commission Decision of 8 October 1984 concerning the zones referred

to in Article 2 paragraph 3 of Regulation (EEC) N° 2616/80

instituting a specific Community regional development measure

contributing to overcoming constraints on the development of new

economic activities in certain zones adversely affected by

restructuring of the steel industry.

(O.J. N° 1275. 18.10.1984)

This Decision concerns the areas in Belgium.

• Third series of specific Community regional development measures.

Proposals for Council Regulations (doc. COM(84) 715 final. 14.12.1984):

amending Regulation (EEC) N° 2619/80 instituting a specific

Community regional development measure contributing to the

improvement of the economic and social situation of the border areas

of Ireland and Northern Ireland

amending Regulation (EEC) N° 2617/80 instituting a specific

Community regional development measure contributing to overcoming

constraints on the development of new economic activities in

certain zones adversely affected by restructuring of the

shipbuilding industry

amending Regulation (EEC) N° 219/84 instituting a specific

Community regional development measure contributing to overcoming

constraints on the development of new economic activities in

certain zones adversely affected by restructuring of the textile.

and clothing industry

100

ERDF

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instituting a specific Community regional development measure

contributing to the development of new . economic activities in

certain zones affected by the implementation of the Community

fisheries policy.

B .3 REGIONAL POLICY

• The regions of Europe. Second periodic. report on the social'and economic

situation of the regions of the Community, together with a statement of

the Regional Policy Committee

Published by the Office for Official Publications of the European

Communities, 1984

• Modification to the rules of procedure of the Regional Policy Committee

(O.J. N° C 195, 24.7.1984, p. 2)

• Commission opinion of 19 June 1984 on the sec0nd-generation regional

development programmes (1981-1985)

(O.J. N° L 211, 8.8.1984, p. 18)

• Regional development programmes (second generation) for the Federal

Republic of Germany, including Berlin (West) 1981-1985

Published by the Office for Official Publications of the European

Communities, 1984

B.4 INTEGRATED MEDITERRANEAN PROGRAMMES

• Commission Decisions of 21 December 1983, published in Official Journal

N° L 44 of 15 February 1984, instituting pilot actions in preparation

for the integrated Mediterranean programmes:

in the areas of Ogliastro, Nuoro, the region of Sardinia; Italy

in the inland areas of the region of Corsica, France

in the department of Herault, France

in the island of Lesbos, prefecture of Lesbos, Greece

in the inland areas of the Viterbo province, region of Lazio, Italy

in the prefecture of Ioannina, Greece

in the prefecture of Evritania, Greece

in the Prespa area of the prefecture of Florina, Greece

on the island of Limnos, prefecture of Lesbos.,. Greece

in certain rural areas of the Abruzzi region, Italy

for the fisheries and aquaculture sector in the regions of

Languedoc-Roussillon, Provence-Cote d'Azur, Corsica and Aquitaine,

France

in the fisheries and aquaculture sector in Italy

in the fisheries and aquaculture sector in Greece.

• Opinion cf the Economic and Social Committee .on the Commission's

proposals concerning integrated Mediterranean programmes

(O,J. N° C 23, 30.1.1984)

• Resolution closing the procedure for consultation of the European

Parliament on the proposal for a Regulation instituting the integrated

Mediterranean programmes

(O.J. N° C 117, 30.4.1984)

• Amended proposal for

Council

Mediterranean programmes

(O.J. N° C 280, 19.10.1984).

Regulation

instituting

integrated

Annex B: Bibliography (1984 Publications)

101

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REGIONAL AID

• Commission Decision of 16 May 1984 on the extension until 30 June 1983

of the regional aid supplement provided for in Article 2 point b) of the

Belgian Economic Expansion Act of 30 December 1970

(O.J.

N° L

268, 9.10.1984, p. 27)

• Commission Decision of 21 December 1983 amending Decision 82/691/EEC on

the designation of areas eligible for regional aid in Denmark from 1

January 1982

(O.J.

N° L

62, 3.3.1984, p. 23).

102

ERDF

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C.O

ANNEX

SYMBOLS AND ABBREVIATIONS USED

DOM

EAGGF

ECSC

EIB

EMS

ERDF

ESF

GDP

IDP

IMP

NACE

NCI

PAT

RPC

RDP

SMEs

French overseas departments

European Agricultural Guidance and Guarantee Fund

European Coal and Steel Community

European Investment Bank

European Monetary System

European Regional Development Fund

European Social Fund

Gross domestic product (at market prices)

Integrated development programme

Integrated Mediterranean programme

General industrial classification of economic activities within

the European Communities

New Community Instrument

Prime d'amenagement du territoire (Regional development grant)

Regional Policy Committee

Regional development programme

Small and medium-sized enterprises

Belgium

Denmark

Germany

Greece

France

Ireland

Italy

Luxembourg

Netherlands

United Kingdom

All member countries of the European Communities

Belgian franc

Danish krone

German mark

Greek drachma

French franc

Irish pound

Italian lira

Luxembourg franc

Dutch guilder

Pound sterling

European Currency Unit

less than

more than

percentage

million

' 000 mill ion

IRL

EUR 10

BFR

DKR

IRL

LIT

LFR

HFL

UKL

ECU

Mio

Mrd

Annex C: Symbols and abbreviations used

103

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LIST OF TABLES

Table 1

Table 2

Table 3

Table 4

Table

Table 10

Table 11

Table 12

Table 13

Table 14

Table 15

Table 16

·Table 17

Table 18

Table 19

Table

Table 25

Table

Table 33

Table 34

Table 35

Table 36

Table 37

Table 38

Table 39

ERDF allocations 1975-1984, Total Funds

•

Total ERDF grants in 1984 and from 1975 to 1984, Total

Funds

Grants to priority regions in 1984 and from 1975 to 1984

Forecasts of jobs created or maintained in 1984 and from

1975 to 1984

Ranges for ERDF assistance

Outcome of examination of projects in 1984

Number of projects benefiting from aid in 1984

Aid granted in 1984

Size breakdown of industrial, craft industry and service

projects aids in 1984

Studies (article 12) financed in 1984 and from 1980 to

1984

. .

Funds available for commitment in 1984

Amounts committed by type of investment in 1984

Balances of commitment appropriations. outstanding each

year-end from 1975 to 1984

Use of commitment appropriations in 1984

Payments made in 1984 and commitments still to be paid at

the end of 1984

Payment appropriations since 1975

Infrastructure project signboards erected from 1975 to

1984

Commitments and payments 1984 and 1981-1984, ERDF,

specific Community measures

Available funds and commitments 1984, ERDF, specific

Community measures

The ten regions receiving the bulk of ERDF assistance

ERDF-assisted areas: population and aid per capita

Regional distribution of grants made in 1984

Assistance applied for in 1984

Number of projects for which grant applications were

submitted in 1984

Assistance granted to Member States 1975-1984 by

investment category

Number of projects assisted in 1984 (detail)

Number of projects assisted 1975-1984

Assistance granted in 1984 (detail)

Assistance granted 1975-1984

Investments for which assistance was granted in 1984

Investments for which assistance ·was granted 1975-1984

Breakdown of assistance by type of infrastructure in 1984

(detail)

Breakdown by country of assistance to infrastructure

projects in 1984

Breakdown of assistance by type of infrastructure

1975-1984

Breakdown of assistance by industry, craft industry and

service sector in 1984 (detail)

Breakdown by country of assistance to industry, craft

industry and service sector in 1984

Breakdown of assistance by industry, craft industry and

service sector 1975-1984

Budgetary situation 1984 .

Payments in 1984 made from 1975-1984 commitments

105

List of tables

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Table 40 Breakdown by Member State of payments in each year

Table

Regional distribution of assistance

1975-1984

Table.

Regional breakdown of population and per capita assistance

in ERDF-assisted areas . . • . • • . • . . . . . . . . .

LIST OF MAPS

Map

Regional distribution of ERDF grants from

1975

1984,

Level

III

regions

. .

•

. .

Regional distribution of ERDF assistance to infrastructures

projects in

1984,

level

III

regions

• . •

Regional distribution of ERDF assistance to industry, craft

industry and services

1984,

level

I l l

regions

• .

Regional distribution of ERDF assistance in

1984,

Level

III

regions

. . . .

• • . • • • •

Regional distribution of ERDF assistance per capita in

1984

LIST OF GRAPHS

Graph

a and b Aid granted by country in

1984:

distribution in

and amounts granted to infrastructure and industry

a and b Aid granted

1984

to the leading ten types of

infrastructure and to the leading ten industrial sectors

106

ERDF

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ILLUSTRATION 1: PRESS CUTTINGS

EFRU

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ILLUSTRATION 2: SIGNBOARDS

Road scheme in Brittany (F)

Improvement of the Pekeler Hoofddiep canal near Groningen (NL)

•

HERINRICHTING PEKELER

HOOFDDIEP · ·

EEN

WERKPROJECT

VAN -HET

INTEGRAAL

STRUCTUURPLAN

NOOROEN DES

LANDS

HERlNRtCHTINQ OOST- GRONlNGEN EN

D1:

GRONINGS • DRrin-SE VEENKci.oNlEN

Die

pfDja<:t

gefinanciard do.or:

E.F. A.D.- Europees

Fcrn:b

YOOf

I.S.P.-

Regiomde

OntWI'kkellng

tntegriUII'

Structuurpla:n

N:oorden

des

LAnds

"' Hurinridrting

Oo10t

-Groningen-

Gnmings-Drentsa

veenlcoloniin

Y.R.O.M.-min. Volb:ltuin. Ruimtolljke Ord.en Mili•ubebcar

»:

L.on V.

-min.

Lllndbi)UW

Vlsserij

wa1ersch~

Reidefzi.Pwst

pmeenten Stadska.naal on Nleuwe

Opdroc:htgewar:

provfnda

!Moningen

Pekela

gamoant& Nieuwe

Pekeb

Grontmlj

n•

HANm

Provlndo:Jo W.rterttaat Gronlng#ll

Oirectin

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ILLUSTRATION 3: SIGNBOARDS

Development of an industrial estate at Llineburg (D)

Line 1 of the Naples underground system (I)

EFRU

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ILLUSTRATI0N 4: SIGNBOARDS

Road construction in Fermanagh, Northern Ireland (UK)

Port improvement work at Laesoe in North Jutland (DK)

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SUMMARY

The year 1984 was an eventful year for European regional policy. The new

ERDF Regulation was adopted by the Council on 19 June. Previously, on 18

January 1984, the Council had adopted the second series of specific

Community

measure~

designed to strengthen the first series of measures

already launched and to introduce one new measure.

With the new ERDF Regulation entering into force on 1 January 1985, this

report reviews the first ten years of Fund operations.

In 1984, the Fund's budget allocation _of commitment appropriations was

2 140 million ECU or 7.3% of the Community budget .. Payment appropriation

were set at 1 410 million ECU and, like the commitment appropriations,

were .. almost fully used up.

Over 4 350 investment projects and 43 studies were financed in 1984

being selected from 5'900 grant applications.

aft~r

The bulk of the grants (91.1%) went to five Member·States: Italy (34.7%),

the United Kingdom (26. 7%), France (11.5%), Greece (11.3%) and Ireland

(6.9%). However, in terms of per capita assistance in ,the Fund assisted

·areas only, Ireland heads the list, followed by Greece, Denmark and Italy.

The assistance was concentrated in the Community's least-favoured

regions, with eight regions receiving half of the ERDF grants.

Some 85% of the grants went to infrastructure investments (roads, bridges,

energy distribution networks, etc.), and 14% to productive investments in

the industrial and . service sectors, allowing the projected direct

creation of nearly 69 000 jobs. To this total can be added the number of

jobs created indirectly by these investments, as well as those created

directly and indirectly by infrastructure investments assisted by ERDF

grants.

Commitments for specific Community measures totalled 61 million ECU

1984, bringing to 140 million ECU the total amount of commitments since

the measures were introduced in 1981.

Summary

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European Communities- Commission

European Regional Development Fund -Tenth annual report (1964)

Document

Luxembourg: Office for Official Publications of the European Communities

1986- 119 pp.- 21.0

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ISBN: 92-825-5875-4

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