* it COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 30.10.1997 
COM(97) 526 final 
8 th ANNUAL REPORT 
on the STRUCTURAL FUNDS 
1996 
* 
^ 
* 
^ * 
(PRESENTED BY THE COMMISSION) 

100 8th Annual Report on the Structural Funds (1996) 
The implementation of available payment appropriations reached 95%, i.e.. 95% for the CSFs and 
92% for the Community Initiatives. In the case of the CSFs/SPDs in particular, the available 
appropriations were fully used only for Objectives 1 and 6. The underutilisation of appropriations for 
Objective 5(a) (91%) is mainly due to a lack of applications for advances for assistance under 
Regulation (EEC) No 2328/91. The level of utilisation of Objective 5(b) budget (79%) was lower 
because of delays in applying for payment. 
FIFG 
Table 11-13: FIFG implementation in 1996 for the period 1994-99 (including decommitments, carry-overs 
and appropriations made available again - ECU million) 
COMMITMEMIS. 
Available 
1?°6f1) csr 
Ohi. 1 Ohi. 5fa> pbi.6 Total Community 
Initiatives TOTAL 
(21 J2M2L 
Objective 1 
Obj. 5(a) 
Objective 6 
CIs 
Total 291,60 
156,00 
2,80 
52,00 
502.40 222,16 
112.27 
0,00 222,16 
112,27 
0,00 
334.43 47,83 222,16 
112,27 
47,83 
•222*26. 76% 
72% 
0% 
92% 
76% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
Comrn. 0.00 
27.50 
0,00 
158.32 
0,00 
8.21 
0,00 
0.00 
20,15 
7,97 20,42 
23.28 
12,77 
19,89' 
0.00 
0.00 
0,00 
6,36 
0,00 
0,00 
0,00 
29.55 0,00 
0,00 20,42 
23,28 
40,27 
0,00 
178,21 
0.001 
8,21 
0,00 
0,00 
6.36 
0,00 
20.15 
0,00 
0,00 
37,52 1,67 
4,54 
4,03 
0,80 
3.21 
4,57 
17,10 
2,05 
2.18 
7,22 
JLâfi 22.09 
27,82 
40,27 
4,03 
178,21 
0,80 
11,42 
10,93 
37,25 
2,05 
2,18 
44,74 
0.46 
PAYMENTS 
Total 
impL (1) CSF 
Ohi. 1 Ohi. 5(aï Obj, 6 Total Community 
Initiatives TOTAL 
m % 
ravm 
Objective 1 
Obj. 5(a) 
Objective 6 
CIs 
Total 335,76 
86,03 
0,00 
17,40 
439.18 311,46 
80.58 
0,00 311,46 
80.58 
0.00 
??2,Q4 17,09 
17.09 311,46 
80,58 
0,00 
17,09 
4P°,13 93% 
94% 
98% 
93% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
Comrn. 0.00 
15. 
9, 
229. 
0, 
8, 
19 
0. 
25, 
4,45 16,50 
0,00 
3,88 
32,74 
0,00 
11,93 
6,46 
0,80 
0,00 
0,00 
8,27 0,00 
o.oq 16,50 
0,00 
19.03 
9,65 
262,21 
0.00 
.8,43 
31.16 
0,00 
6,46 
0,80 
25.08 
0.00 
0.00 
12,72 0,44 
0,82 
0.31 
5.93 
0,84 
1.14 
4,28 
0,62 
0,66 
2,08 16.93 
0,82 
19,03 
9,96 
262.21 
5,93 
9,26 
31,16 
7,60 
0,80 
29,36 
0,62 
0.66 
14.80 
In 1996, ECU 113 million, i.e. 25% of the FIFG budget, could not be committed because of delays in 
implementing certain programmes (notably in Italy and France). In the case of payments, 
ECU 123 million (23% of the budget) could not be implemented for the same reason. 
8th Annual Report on the Structural Funds (1996) 101 
2. Implementation of programming for 1994-99 
2.1. Implementation 1994-96 
Table 11-14: Implementation in 1994-96 for the period 1994-99 (including decommitments, carry-overs and 
appropriations made available again • ECU million) 
COMMITMENTS 
Available 
mfttlUa) SSL. 
Obi 1 Ohi 7 Obi 3 Ohi 4 Obi SialA S(aF+180f> Obi Vh) Ohi .* Total (hi Community 
Initiatives,, TOTAL 
• (2) 
Total 
ft am) 71.577,00 42.637,67 6.465,19 6.151,03 635,13 2.189,75 425,72 2.152^4 214,57 
Ji_ 60.871,69 
S52L 5.71238 
sa 66384,07 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
RN 
S 
UK 
Cpnun. 229.69 
5.933,05 
6.162,23 
12.932.25 
794.62 
2.891.00 
5.063.50 
42.00 
33.76 
7.517,36 
1.038.20 140.60 
53,07 
665.91 
1.03639 
1.560,16 1 
S13.97 
6.50 
204.16 
65.55 
52.42 
105.78 
2.060.67 2 19235 
127,00 
820,40 
666.50 
199.99 
350.34 
9.86 
434,50 
129,75 
9532 
73.00 
051.81 16.38 79.83 24.5 16.02 
13,00 60,75 69,87 13.52 
56.22 514,56 37,64 449,45 
167,64 
187,07 102.41 
739,38 59,72 
63.27 334.39 
709,08 
98.89 249,16 
0,90 16.53 
22.23 34,32 
11,70 137.44 
23.60 114.74 
3730 40.22 
100,39 44,77 14039 
1,10 0,84 
1532 41,17 
2,00 129,95 
23.00 49.08 
40,00 64,91 
4433 203.63 158.18 
56,39 699,58 
337,21 
8.477,24 
6.16233 
15.299,32 
5.25338 
2.891,00 
6.461,23 
35.74 
793.90 
510,15 
7.51736 
51635 
417.79 
5.499,03 159.04 
69.80 
1010.98 
205.14 
55737 
627.12 
91.95 
438.84 
2.73 
85.00 
90.05 
354.35 
9336 
72.22 
563.26 
1290.77 858,62 
407,01 
9.488.21 
6.36737 
15.856.88 
5.880.70 
2.982.95 
6.900.07 
38,47 
878,89 
600 30 
7.871.71 
609.91 
490.02 
6.06239 
, 1.290,77 
PAYMENTS 
imuL Total SSL 
Obi 1 -2bL JttL Ohi 4 Ohi S^A Obi. SfalF Ohi S/M Ohi 6 Total fH> Community 
Initiatives TOTAL 
Tout 53.99930 31.425,80 338835 4397,97 317,76 1.426,60 229,87 1.48738 114,10 
f2Vm 42.788,01 
_Z2£ 2.67558 
5£ 45.463,99 
B 
OK 
D 
EL 
E 
F 
IRL 
1 
L 
NL 
A 
P 
RN 
S 
UK 
Comm 17134 
4.564.47 
4.437,74 
9366.71 
530.87 
2.299.92 
3.48139 
31,47 
27,01 
5.698,62 
815.86 50,00 
23,66 
339,69 
60722 
835,45 
245.05 
4.28 
91,80 
33,01 
29,79 
38.06 
1.09034 156.42 
115.20 
521,76 
516.66 
90636 
202.67 
8.94 
377.94 
103,80 
5137 
3630 
1.40036 833 59,10 
10,68 41,26 
2331 387.16 19.8 8,05 
30.29 5.80 
20,01 346,77 
75,84 
9732 8435 
449.86 42,71 
41,13 242.84 
508,13 
49,45 99.81 
039 10.58 
11.12 18.64 
9,36 107,88 
12,92 5731 
18.75 34,72 
75,74 23.13 84,66 
0.11 0,42 
12,67 2536 
1,00 78.50 
6.90 
12.00 
20,09 23,61 82,62 
22,64 31,48 
140,89 473,18 
226,88 
6.203.37 
4.437.74 
10.93633 
3.36932 
2399.92 
4.18635 
24,92 
568,88 
36036 
5.698,62 
264,41 
194,15 
3343,18 70,16 
19.95 
461,67 
86,72 
306,69 
253.03 
42,00 
21733 
1,09 
30.80 
40.54 
182.14 
3536 
27,74 
25633 
644.02 543.34 
246,84 
6.665.04 
4324.45 
11.24332 
3.62235 
2.341.92 
4.403.69 
26.00 
599.69 
401.10 
5.880.76 
299.97 
221.89 
3.799.71 
frH.Q2 
(a) Not including 
(b) Not including, 
(in 1994 only) 
(c) Not including 
(d) Not including, 
(in 1994 only) ECU 44.232 million under beading B2-1000 (Structural actions directly linked to markets policy) which were 
, for Objective 5(a) agriculture. ECU 43.65 million under heading B2-1000 and ECU 356.6 million in refunds not allocated by Objective in 1994. 
under Regulation (EEC) No 2328/91 
ECU 61 million under heading B2-1000 not allocated by Objective in 1994 and a reserve of ECU 522 million for earlier measures. 
, for Objective 5(a) agriculture. ECU 43.65 million under heading B2-1000 and ECU 417.02 million in refunds under Régulation (EEC) No 2328/91 
Budget implementation of the commitment appropriations for all the Funds in the 1994-99 
programming period improved in 1996 compared to the two previous years: 90% implementation in 
1994, 91% in 1995 and 98% in 1996. If these three years are compared with the 1989-93 
programming period, the results for 1996 are comparable with the results at the half way stage in that 
preceding period. The improvement in the implementation rate of payment appropriations is even 
greater: 88% of the appropriations were implemented in 1996 (leaving ECU 1 233 million unused), as 
against 75% in 1994 (ECU 4 800 million unused) and 82% in 1995 (ECU 3 759 million unused). It 
should be remembered that the Community payments depend on implementation of the programmes at 
national level since once the programme is adopted, the corresponding annual instalment is committed 
and a first advance is paid, the Commission can make a second payment only when the Member State 
can certify that the final beneficiaries have actually undertaken expenditure amounting to at least half 
of the first advance. This explains the accelerated rate of payments for many programmes adopted in 
1995. 
102 8th Annual Report on the Structural Funds (1996) 
22. Implementation of each Fund in 1994-96 in the context of 1994-99 
ERDF 
Table II-15: ERDF implementation in 1994-96 for the period 1994-99 (including decommitments, 
carry-overs and appropriations made available again - ECU million) 
Objective 1 
Objective 2 
Obj. 5(b) 
Objective 6 
CIs 
I&UI Available 
m 
2631834 
5.099,76 
948,04 
74,76 
4.945,01 
37385.91 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
RN 
S 
UK 
Ç°nnn, COMMITMENTS 
SSL. 
Ohi.l Obi. 2 Ohi. 5(b) Obi, ft 
26.036.65 
0.00 5.034.30 
84638 
74,76 
142.18 
2.742,32 
4.30836 
8.123.91 
36931 
1.340,46 
3.658.36 
24,30 
19.96 
4.758,64 
548.45 110.62 
44.54 
482.89 
790.42 
1339,46 
416.41 
436 
143.97 
4633 
46.12 
8332 
1325,56 4.82 
5.93 
171.69 
81.98 
284.27 
43.86 
0.43 
16.11 
41.67 
31.19 
34.09 
13034 52.90 
21,86 -IstaL 
26.036.65 
5.03430 
84638 
74.76 
31.992.28 Community 
Initiatives 
3.745.84 
3.745.84 
66,24 
13.78 
662,93 
126.77 
29037 
352.17 
43.00 
164,10 
1.17 
5334 
34,21 
291.42 
22.63 
27.67 
3053 
J22& .67 
L3JJ TOTAL 
(2) 
26.036,65 
5.03430 
84638 
74,76 
3.74534 
35.738.12 
323.86 
64.25 
4059.83 
4435.33 
9286.88 
2345,41 
1383.47 
4282,73 
6.16 
237.72 
14237 
5050.07 
152,84 
16633 
2510,07 
J22ML 
Objective 1 
Objective 2 
Obj. 5(b) 
Objective 6 
CIs 
IfllaJ Total 
imp). (I) 
2130834 
3395,06 
730,74 
2835 
2.689,77 
2*352.76 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
Ç9TÏ1ÏÏ1, PAYMENTS 
JCSJL 
Obi. I QbU Obi. SO» QbUL 
18.897.19 
2.43136 
59335 
28.85 
113,74 
2.240.46 
3.090,88 
5.381,87 
221.33 
90434 
2.731.71 
19.44 
15.97 
3.730.37 , 
446.88 34.41 
19,88 
230,83 
442.24 
671,80 
188.98 
3,01 
54.49 
21.27 
26.64 
26,78 
711.03 2.41 
3.74 
13932 
69.21 
201,44 
21.93 
0.21 
12,44 
27.84 
12.24 
11.71 
90.84 17.92 
10.93 Total 
18.897.19B 
2.431.361 
59335 
28.85 
JLL2&22 
15036 
23,62 
2.610,82 
3.090,88 
5.893,32 
1.09436 
90434 
2.942.62 
332 
86,37 
65.08 
3.73037 
56.80 
49.42 
1.248,75 Community 
Initiatives, 
1.757,75 
'-757.75 
31,08 
2.96 
281,04 
55,06 
172,41 
141.161 
14.21 
81.21 
034) 
17.71 
13.03 
156.97 
7,42 
830 
130.62 
S44.Q2 TOTAL 
(2) 
18397,19 
2.43136 
59335 
2835 
1.757,75 
23.7ft8.7Qi 
181.65 
26.57 
2891.86 
3145.94 
6065.73 
1235,73 
918.75 
3023.84 
3.76 
104.08 
78.11 
3887.34 
64.22 
57,72 
1379,37 
_644£2 % 
99% 
99% 
89% 
100% 
76% 
96% 
% 
(2)/n 
88% 
74% 
81% 
100% 
65% 
84%.. 
Compared to the initial programming for the CSFs and SPDs, overall implementation of ERDF 
appropriations amounts to 99%, equal to a shortfall of ECU 360 million on the amount programmed 
for the 1994-96 period of ECU 32 390 million. However, progress varies depending on Objective and 
Member State. Thus, for ERDF Objective 1, commitments are running ahead of the financing plans by 
ECU 670 million (2.6%) (in 1995 there was a shortfall of 1.3%), to the greatest degree in Spain, 
Ireland and Portugal where extra implementation amounts to ECU 2 014 million. By contrast, the 
significant under-implementation in Austria (49%), Belgium (37%), Germany (ECU 335 million), 
France (ECU 167 million), Italy (ECU 700 million) and the Netherlands amounted to ECU 1 314 
million. 
8th Annual Report on the Structural Funds (1996) 103 
By contrast, Objective 2 showed ERDF commitments lagging behind the financing plans by ECU 508 
million (9%). The lag at the end of 1995 (18% - ECU 650 million) was shortened in part because of 
the need to commit all of the assistance adopted for the first programming phase 1994-96. The 
greatest lags in implementation affected Spain (ECU 91 million), France (ECU 127 million), Italy 
(ECU 117 million), the United Kingdom (ECU 101 million) and the Netherlands (-31%). Only 
Austria and Sweden are running ahead of schedule,-because a single commitment for the entire 1995-
99 period was made for the operations in which they are involved. ERDF commitments for Objective 
5(b) are also lagging behind the financing plans by ECU 496 million (37%). Implementation of this 
Objective is running into severe difficulties in almost all Member States. The greatest lags in absolute 
terms are in Germany (ECU 47 million), France (ECU 157 million), Italy (ECU 126 million, 74%) 
and the United Kingdom (ECU 115 million), and in relative terms for Belgium (74%), Denmark 
(40%), Luxembourg (71%) and the Netherlands (56%). Lastly, Objective 6 is lagging behind the 
financing plans by ECU 24 million (25%). The lag is due entirely to Sweden, where the operations 
were late starting for administrative reasons. 
Implementation of the Community Initiatives with a regional bias (Interreg, Peace, Rechar, Résider, 
Konver, Retex, Regis, Urban and SMEs) are lagging behind for all Funds by ECU 543 million for the 
period 1994-96 (13%). The lag was shortened (it stood at 32% in 1995) mainly as a result of the 
adoption of new programmes and for the three new Member States in particular. Budget 
implementation of commitments was also speeded up by virtue of the fact that a.large number of 
programmes involving a Community contribution below ECU 40 million could be fully committed 
upon adoption (single commitment). 
104 8th Annual Report on the Structural Funds (1996) 
ESF 
Table 11-16: ESF implementation in 1994-96 for the period 1994-99 (including decommitments, 
carry-overs and appropriations made available again - ECU million) 
COMMITMENTS 
Available 
ill _£SE_ 
"»>i. l ohi. 2 QhL2 ÛbU Obi. Sfh> QfajjL Total Community 
1, Initiatives TOTAL 
J2MXL 
Objective 1 
Objective 2 
Objective 3 
Objective 4 
Obj. 5(b) 
Objective 6 
CIs 
laiaJ 10.014.63 
1.75533 
6.62035 
906.04 
358.95 
45,97 
2.098.67 
21.fiftQ.34 9.179.77 
1.430.89 
6.151.03 
635.13 
282.32 
45,97 9.179.77 
1.430.89 
6.151.03 
635,13 
282.32 
45,97 
17,mi2 1.483.27 
1,4^.27 9.179.77 
1.43039 
6.151,03 
635,13 
28232 
45,97 
1.48337 
I9.Z08.3? 92% 
82% 
93% 
70% 
79% 
100% 
71% 
88fr 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
p 
RN 
S 
_LLLL_ 65.14 
1.775.98 
801.44 
2.826.42 
268.26 
940.51 
633.82 
8.20 
5.04 
1333.39 
• *?1.<7 29.98 192.55 
8.53 127.00 
183.03 820.40 
245.97 
220.70 
97.56 
1.94 
60.19 
19.01 
6.30 
2236 
iWi.12 666.50 
1300.00 
350.34 
9.86 
434,50 
129.75 
95.32 
73.00 
2 0U81 16.38 
13.00 
56.22 
167.64 
187.07 
98.89 
0.90 
22.23 
11.70 
23.60 
37.50 4.26 
1.30 
42.85 
2238 
93,12 
14,77 
0.11 
2.47 
2733 
6.29 
12.83 
54tn 34.58 
11.39 308.31 
149.83 
2.878.47 
801.44 
3.929.11 
1.969.16H 
940.51 
1.195.38 
12.81 
527.58 
193.03 
1.539.69 
159.79 
157.28 
2.962.73 82.53 
45.49 
259.03 
46.37 
198.63 
166.89 
41,99 
230.75 
1.07 
22.16 
42.57 
33.12 
53.57 
32.93 
226 16 390.84 
195.32 
3.137.50 
847.81 
4.127.74 
2.136.05 
982.50 
1.426.14 
13.88 
549.75 
235.60 
1.572,81 
213.37 
190.21 
-LLSL88. 
PAYMENTS 
Total 
jmjiLai CSF 
ohi. i nhi. 2 ohi. 3 gfaLj Qbi.Sfh) QhLL. JCfitaL Community 
initiatives TOTAL 
fi) (2W1> 
Objective 1 
Objective 2 
Objective 3 
Objective 4 
Obj. 5(b) 
Objective 6 
CIs 
Total 8.179,06 
1.121,49 
5.09538 
317,76 
252,19 
24,01 
92930 
IS.919.07 7.108.08 
957.00 
4.397.97 
317.77 
191.15 
24.01 7.108,08 
957.00 
4.397.97 
317.77 
191.15 
24.01 
12,9?') ,97 733.01 
73V01 7.108.08 
957,00 
4397,97 
317,77 
191,15 
24,01 
733,01 
13.728.98 87% 
85% 
86% 
100% 
76% 
100% 
79% 
fifift' 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
JUL 48.03 
1.311.19 
531.96 
2.397.11 
208.59 
845.77 
322.61 
5.06 
4.03 
1.174.90 
258.84 15.60 
3.80 
108,85 
164.97 
163.65 
56.08 
1.26 
37,31 
11.74. 
3.15 
11.28 
V79.31 156.42 
115.20 
521.76 
516.66 
906.56 
202,67 
8.94 
377.94 
103.80 
51.27 
36.50 
40036 8.23 
10.68 
23,51 
75.84 
97,32 
49.45 
0.59 
11.12 
9.36 
12,92 
18.75 2,84 
0.78 
26.90 
13.45 
72.71 
7,45 
0.05 
1.49 
19.80 
2.67 
4.59 
?8,42 18.31 
5.70 231.13 
130.45 
1.99231 
531.96 
3.168.03 
1.448.82 
845.77 
638.25 
10.85 
432.92 
148.74 
1.174.90 
88.32 
76.8 
2076.821 33.60 
13,83 
141.71 
17.36 
107.15 
76,81 
25.09 
115.69 
0.40 
10.24 
23.50 
1234 
22.94 
16.27 
11** 264.73 
144.28 
2.133.93 
549.32 
3.275.17 
1.525.63 
870,86 
753.94 
11.25 
443.16 
172.24 
1.187.43 
111.25 
93.08 
2 192.69 
Good implementation of the appropriations in 1996 ensured a commitment rate for all Objectives 
above 90% of the instalments initially planned for the 1994-96 period when adopting the programmes. 
However, a scrutiny of the various Objectives shows that Objectives 1, 2 and 3 were implemented 
relatively well but that Objectives 4, 5(b) and 6 are lagging well behind. Divergent trends are also 
visible within each Objective. In the case of Objective 1, Greece and Italy in particular are 
experiencing delays. The delays under Objective 2 concern in particular Denmark, Italy and the 
Netherlands. While implementation of Objective 3 is quite good overall, implementation in Italy is 
relatively slow and the country has also reworked almost all of its programmes. Most of the Objective 
4 and 5(b) programmes were adopted at the end of 1994 or beginning of 1995, which meant that there 
would be delays in their implementation. The results for Objective 6 have been affected by start-up 
difficulties in Sweden. 
8th Annual Report on the Structural Funds (1996) 105 
The decisions approving the Employment and Adapt Community Initiatives were taken at the end of 
December 1994 (Employment) and May 1995 (Adapt) and the Member States sought partners in other 
countries in the following months. As a result, the first contracts with the project promoters could not 
be signed until mid-1995, which explains why the appropriations were not used in 1994 and why take-
up was just average in 1995. By contrast, the implementation rate for 1996 has been particularly 
satisfactory and all the projects have received at least their first advance. 
EAGGF 
Table 11-17: EAGGF implementation in 1994-96 for the period 1994-99 (including decommitments, 
carry-overs and appropriations made available again - ECU million) 
Objective 1 
Obj. 5(a) 
Obj. 5(b) 
Objective 6 
CIs 
Total (») Available 
01 
6.714,86 
2371,91 
1.02331 
92,50 
67939 
11.082.67 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK COMMITMEHIS-
CSF 
Ohi. 1 Ohi. 5(a) Ohi. 5(h) Qbi.v 
6.692,25 
2.189.76 
1.023.74 
92.41 
22.00 
1368.25 
1.015,12 
1319.15 
15034 
592.63 
704.79 
6.70 
8.76 
1.153,17 
ilLLL 79.83 
60,75 
51436 
102,41 
73939 
249,16 
1633 
34,32 
137,44 
114,74 
40,22 
100.39 6,95 
6.30 
234,92 
229,84 
331,69 
81,95 
030 
2238 
60,75 
11.60 
17,99 
_J&g6_ 70,00 
22,41 Tola» 
6.692.25 
2.189.76 
1.023,74 
92,41 
?,9?8.lfl Community 
Initiatives 
389,71 
389.71 
108,78 
67,05 
2.117,73 
1.015.12 
1.851,40 
1.221,62 
592,63 
1.035.90 
16.83 
63.61 
206.' 
1.153 
19634 
80,62 
27P.4Q 3.61 
5.95 
3.17 8,27 
3,27 
85,19 
23,47 
61,46 
88,47 
237 
43.14 
0.49 
3,77 
13.27 
8,45 
15,31 
9,44 
23.158 TOTAL 
(2) 
6.69235 
2.189,76 
1.023,74 
92,41 
389,71 
1Q.387.87 
117.05 
7031 
2.202.92 
1.03838 
1.912,86 
1.310,09 
59530 
1.079,04 
1733 
6738 
22033 
1.161,62 
211.65 
90,06 
2?3,56 am) 100% 
85% 
100% 
100% 
57% 
?4% 
(*) Not including ECU 43.65 million under heading B2-1000 (Structural actions directly linked to markets policy) 
Objective 1 
Obj. 5(a) 
Obj. 5(b) 
Objective 6 
CIs 
Total Total 
impl.fi) 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
J2&-5360,19 
1.981,81 
896,61 
6033 
22832 
8.727.58 PAYMENTS 
CSF 
Obi.Ï Ohi.5(a) Ohi. 5(b) Obi.fi 
4.909,80 
1.426.60 
702,89 
60,53 
938 
986.08 
791,01 
1.249,04 
97,49 
535.70 
392,06 
539 
7.01 
735.11 
101.33 59.10 
41.26 
387.16 
8435 
449.86 
99,81 
10.58 
18.64 
107.88 
57.31 
34,72 
75.73 2,80 
1,29 
18035 
160,19 
233.99 
55,28 
0,15 
1133 
30.85 
8.69 
6.34 
11.64 46.04! 
14,49 Total 
4.909,80 
1.426.60 
702,89 
6033 
7.W.81 
71,48 
4235 
135339 
791,01 
1.493.78 
781.34 
535,70 
547,15 
10,73 
35.35 
145.74 
735,11 
112.03 
5535 
1W.7P. Community 
Initiatives 
154.66 
154.66 
4.88 
0.98 
37,00 
11,73 
23.68 
29,13 
1,28 
20,00 
0,15 
1,13 
4.01 
6.23 
439 
232 
7.36 TOTAL 
(2) 
4.909,80 
1.426,60 
702,89 
6033 
154,66 
7.254,47 
76.36 
4333 
139039 
802.74 
1317,46 
810,46 
536,98 
567,15 
' 10,88 
36,49 
149.75 
74134 
116.63 
58.06 
196.05 % 
(2vm 
72% 
78% 
100% 
68% 
83% 
The amounts committed lagged slightly behind the commitments originally decided on for all 
Objectives. Depending on the case, this was caused by failing to add the amount released through 
106 8th Annual Report on the Structural Funds (1996) 
indexation to the programmes and/or reprogramming, or in some cases a failure to programme beyond 
1996 some of the commitments originally planned for the years 1994 to 1996. 
FIFG 
Table 11-18: FIFG implementation in 1994-96 for the period 1994-99 (including decommitments, 
carry-overs and appropriations made available again - ECU million) 
COMMITMEBaS. 
Available 
OL SSL. 
Qbi. 1 Ohi. 5(a) Obi, fi JLalaL Community 
Initiatives TOTAL 
(2) % 
f2V(1> 
Objective 1 
Obj. 5(a) 
Objective 6 
CIs 
Iffial 803,24 
473,97 
4,23 
130,15 
1.411.59 728.99 
425,72 
1.43 728,99 
425,72 
1.43 
1.156.14 9336 
93.56 728,99 
425,72 
1,43 
9336 
1.249.70 91% 
90% 
34% 
72% 
_8i 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
RN 
S 
UK 
Çpmm. 0.37 
46.50 
37.10 
462.78 
6.30 
17,40 
6634 
2,80 
72,16 
17,03 2430 
69.87 
37,64 
59.72 
63,27 
44.77 
1.10 
1532 
2.00 
23.00 
40,00 
4433 0,70 
0.73 24,87 
69,87 
84,14 
37,10 
52230 
6937 
17,40 
111.31 
1,10 
18.32 
2.00 
72,16 
23.70 
40,73 
6136 2,00 
7.27 
3.83 
834 
6.91 
1938 
4,38 
0.85 
5.72 
-
2136 
2.05 
2,18 
8,43 
0.46 26.87 
77.14 
87.97 
45.64 
529.41 
89.15 
21.79 
112.16 
1,10 
24.04 
2.00 
9332 
25.75 
42,91 
69.79 
PRE­
PAYMENTS 
Total 
imnl.d) -CSL. 
Ohi. 1 Ohi. 5(a) Obi.fi Total Community 
Initiative TOTAL % 
r2vm 
Objective 1 
Obj. 5(a) 
Objective 6 
CIs 
Total 817,461 
247,741 
30371 510,74 
229,86 
0.72 
3037 
30.57 510,74 
229^6 
0,72 
3037 
771.89 62% 
93% 
101% 
99% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
RN 
S 
UK 
Ççnimi 0,19 
26.74 
23.89 
338.68 
3,46 
13.93 
35.22 
1.58 
58,22 
8.82 19,83 
30,29 
20,01 
42,71 
41,13 
23,13 
0.11 
12,67 
1,00 
6.90 
12.00 
20.09 0.35 
0.37 0.60 
2.18 
1.92 
2,56 
3.46 
5.93 
1.42 
0,42 
1.72 
6.41 
0.62 
0.66 
2.68 20.62 
32.47 
48.67 
26,45 
384.85 
503: 
15,35 
58,77 
0.11 
15.96 
1.00 
64,63 
7.87 
13.03 
3139 
A total of ECU 771 900 000 had been paid at the end of 1996 out of ECU 1 168 million committed in 
1994-96 (69%). The rates were 70% for Objective 1, 54% for Objective 5(a) and 50% for Objective 6. 
Of the total amount of assistance for the whole programming period, 45% had been committed by the 
end of 1996. The implementation of the programmes on the ground needs to be closely monitored as a 
result. In many cases, actual implementation (expenditure achieved as a proportion of total planned 
expenditure) fell well short of budget implementation, especially for those programmes that were also 
late on the budget side. If these programmes cannot soon make up for the lag, it will be difficult to 
commit and pay out all the assistance granted. 
8th Annual Report on the Structural Funds (1996) 107 
B. CHECKS AND FINANCIAL MANAGEMENT 
Regular and effective implementation of the Structural Funds appropriations determines the actual 
impact on the ground. Under Article 205 of the Treaty, the Commission is responsible for 
implementing the Community budget and as such it ensures the quality of the management and 
monitoring systems which it and the Member States use. This requirement, shared by the Member 
States and reiterated by the Commission on several occasions, is particularly topical in the context of 
the SEM (sound and efficient management) 2000 initiative launched in 1995 which became 
operational in 1996. This management exercise, which related in particular to the structural policies, 
has allowed all the conditions and measures needed for the efficient management of the Community 
funds to be examined in partnership with the Member States. 
1. Checks 
To continue the activities carried out in previous years and as part of the SEM 2000 initiative, the 
Commission checked that the Member States had adequate systems for the financial management and 
monitoring of the programmes. Under Article 23(1) of Regulation (EEC) No 4253/88, as amended, 
the Member States are responsible for using the Structural Funds appropriations properly and for 
preventing irregularities. The Commission therefore checks the reliability of the control and 
management systems and the regularity of expenditure. 
1.1. Checks carried out by the Commission's Structural Funds departments 
ERDF: 26 on-the-spot checks were carried out in 1996 (five in Spain, four in Germany and in 
Portugal, three in Ireland, two in Austria, Belgium, Finland and France and one each in the 
Netherlands and Sweden). The checks, the programme for which is notified to the Member States, are 
first and foremost intended to verify the existence and effectiveness of the systems for the 
management and control of operations, and the reliability of the information forwarded to the 
Commission (in particular certification of expenditure). They must also check that the ERDF funds 
are used properly, the accounting is accurate and that the financial management is legal, proper and of 
a high quality in the light of the goals for each form of assistance and of Community rules and 
policies. Each programme of checks was drawn up to take account, inter alia, of the inspections made 
by the Commission's Financial Control and the Court of Auditors and the results of a risk analysis. 
The checks confirmed that individual or systematic irregularities continued to occur. In general these 
relate to the unreliability of certification of expenditure, which are the basis for the payments and 
advances made by the Commission, and the weaknesses of certain internal checking procedures. The 
declarations of* expenditure often include expenditure not eligible for ERDF funding (such as the 
salaries or operating expenditure of ministries or other public bodies) and expenditure declared as 
actually incurred sometimes includes estimates of future expenditure. The beneficiaries' declarations 
of expenditure are in some cases submitted to the Commission and certified by the authorities 
appointed by the Member States without sufficient internal checks, which can lead to incorrect 
submissions and formal irregularities. In addition, in many regions Community rules on public 
procurement are not fully complied with and the programming of assistance is not monitored or 
assessed with sufficient precision. For example, the legal and financial commitments and payments 
are not made by the deadlines laid down in the decisions to grant assistance. With the closure of many 
of the programmes from the first programming period, some weaknesses in the Member States' 
central accounts systems have also come to the fore. 
As a result of these checks, the Commission takes the steps required to monitor and correct all 
irregularities which it or the Court of Auditors discovers. The correction often involves deducting the 
amount deemed ineligible from the Member State's subsequent declaration of expenditure for a given 
programme. 
ESF: 84 inspection.visits, a higher number than in 1995 (73), were carried out to check the use made 
of ESF funding. The checks were made on the basis of an annual programme notified in advance to 
108 8th Annual Report on the Structural Funds (1996) 
the Member States, but a certain number of unscheduled visits were also carried out in cooperation 
with the Unit on the Coordination of Fraud Prevention (UCLAF). In accordance with Article 23(1) of 
Regulation (EEC) No 4253/88, as amended, the checks covered the management and control systems 
established by the Member States to ensure correct implementation of the ESF operations. This meant 
that the checks also involved verifying certain operations and visits to the final beneficiaries. 
Improvements were carried out between 1990 and 1995 and appropriate corrective measures were 
adopted by the Member States. Nevertheless, weaknesses in the management systems and 
inadequacies in the control systems are still being detected at various levels of the partnership. 
Inadequacies are still occurring, especially in the assessment of projects, the selection of training 
bodies, payments in kind, the lack of transparency and publicity for ESF aid, disproportionate costs, 
insufficient spread of responsibilities within the administrations, etc. The ESF measures are non-
tangible and thus less easy to check. The Member States are thus urged to comply with their own 
control systems and increase the number of on-site inspections they make. 
EAGGF: In 1996, 26 inspection visits were made to check the use made of EAGGF funds, a smaller 
number than in 1995 (35), but more than in 1994 (21). The checks were organised mainly by the 
departments responsible for the EAGGF (22), but also by the Financial Control of the Commission (3) 
or the Member State concerned (1). Their main focus was on evaluating the management and control 
systems used, verifying the conformity of the financial and accounting reports and physical 
implementation with Community rules, the decisions granting aid and the expenditure declared to the 
EAGGF. With the exception of the visits made in two of the three new Member States and the 
expenditure under Regulation (EEC) No 2328/91, all checks involved programmes and assistance 
covering the first programming period 1989-93, for which the funds had to be committed by the end of 
1993; or where an extension was granted, in 1994 or 1995. As a general rule, the systems introduced 
by the majority of Member States to manage the aid and check declared expenditure function well. 
Nevertheless, a number of weaknesses and irregularities were revealed in almost all of the Member 
States and measures. Yet again mention must be made of non-compliance with the Community rules 
on public procurement, the award of aid for ineligible expenditure (by virtue of its nature or the date 
of payment), major delays in payments to the beneficiaries, a lack of publicity and information about 
the Community funding contribution, inadequate control measures, incorrect application of the 
conversion rates, a risk of duplicate Community funding from different sources for the same measures 
and uncertainty as to the validity of some commitments entered into before the end of the prescribed 
period. In the case of two of the new Member States, the checks and their outcome were positive 
overall, since the two countries in question had managed to transpose all the Community rules into 
their national legislation and their national procedures, at times complicated, had ensured that the 
Community rules were correcdy applied. 
FIFG: The departments responsible for the FTFG carried out five visits, two with Financial Control 
participation. The construction of a school for divers at Kalimnos (Greece) was unsatisfactory and an 
explanation from the Greek authorities was expected in early 1997. A visit was made to Bremen 
(Germany). No serious irregularity came to light during a visit to Portugal (Lisbon and Péniche). 
Letters were sent to the Member States in question informing them of the problems encountered and 
recommending the steps to the taken. As a result, in accordance with Article 23 of Regulation (EEC) 
No 4253/88, as amended, some Member States were asked to make additional checks and to inform 
the Commission of the results. In addition, the Commission suggested a number of financial 
corrections to the programmes or projects in which irregularities had been detected where, under 
Article 24(2) of Regulation (EEC) No 4253/88, a risk of incorrect use of the Community funds had 
been established. 
8th Annual Report on the Structural Funds (1996) 109 
12. Inspections carried out by Financial Control 
In 1996 Financial Control carried out its Structural Fund inspections in line with the SEM 2000 
initiative to improve financial management?. This was done on the one hand to rationalise and 
coordinate the inspections and on the other hand to emphasise further the auditing approach to the 
control systems introduced by the Member States. Financial Control carried out 75 on-site checks 
covering total expenditure for the types of assistance audited amounting to ECU 4 200 million. The 
amounts likely to be recovered total ECU 1 152 000 for the EAGGF and ECU 31 780 000 for the 
ESF. 
The main aim of the programme of inspections was to check the legality, regularity and effectiveness 
of Structural Funds transactions and to complete the audit records for each Fund and each Member 
State available to Financial Control. In addition, in order to make better use of the resources of the 
various inspection authorities and in line with the guidelines adopted by the Commission under the 
SEM 2000 programme, negotiations continued in 1996 to extend to the new Member States the 
cooperation protocols concluded between the Commission and the relevant national inspection 
authorities. The detailed discussions with the Netherlands made it possible to adapt the protocol 
formula to the decentralised inspection systems of those Member States with a similar structure (in 
particular the United Kingdom, Sweden and Finland) and those with a federal structure (Belgium, 
Germany and Austria). In 1996, three new protocols were signed: on 2 February with the Netherlands, 
on 17 June with Portugal and on 17 October with Sweden. The coordination of inspections received a 
further boost and coordination meetings were held with seven of the eight Member States that had 
signed a protocol, and with a Member State that has not yet signed one. 
1.3. Enquiries carried out by the anti-fraud unit , • 
In addition to the checks carried out under the annual programme referred to above, during 1996 some 
40 missions to investigate structural measures were carried out by the Commission's anti-fraud unit 
(UCLAF), acting either alone or in association with the departments concerned. The number of 
enquiries into fraud or suspected fraud carried out by the Commission with the Member States related 
to 88 cases, fewer than the 112 in 1995 but concerning a total amount almost four times greater (ECU 
88 million instead of ECU 23 million). These investigations included misuse of funds under the 
Renaval programme in the Provence-Alpes-Côte d'Azur region, where certain councillors have been 
charged with corruption. It was also found that there was a general failure to monitor thè""rules on 
public contracts. Another example concerns fisheries policy and the granting of Community 
assistance worth ECU 5.9 million for three projects to establish joint ventures for the priority supply 
of fisheries products to the Community market. There were also a number of cases where costs had 
been artificially inflated or dummy companies established. This was particularly prevalent in the field 
of vocational training.3 
1.4. Notification of irregularities by the Member States 
During 1996, the Member States notified to the Commission, pursuant to Regulation (EC) No 
1681/94,4 297 cases of irregularity or fraud involving some ECU 64 million. In volume terms, most 
cases concerned the ESF (129 cases as compared with 106 for the EAGGF Guidance Section, 59 for 
the ERDF and three for the FTFG) but the amount involved was largest in the case of the ERDF (about 
ECU 29.9 million, as compared with ECU 23.6 million for the ESF, ECU 10 million for the EAGGF 
Guidance Section and ECU 330 000 for the FTFG). 
See below 
See cases listed in the 1996 Annual report on the protection of Community financial interests - COM(97) 
200 final of 6 May 1997. 
OJ No L 178, 12.7.1994. See Tables 3 and 9 in the 1996 Annual report on the protection of Community 
financial interests. 
8th Annual report on the Structural Funds (1996) j] 
This Report is compiled in accordance with Article 16 of Regulation (EEC) No 2052/88 as amended 
and the detailed provisions of Article 31 of Regulation (EEC) No 4253/88 as amended. It presents the 
application in 1996 of the Structural Funds regulations, particularly the implementation of their 
Objectives (Objectives 1 to 6). The report is structured in accordance with the requirements of the 
Regulations, but also contains some changes. The innovation introduced in the Seventh Annual 
Report (1995) of dealing with a horizontal subject throughout the report has been retained, the topic 
chosen for this report being support for technology development. As in previous years too, full 
treatment has been given to the financial information and the prospects for 1996 in the context of 
programming for 1994-99. The structure of the report continues to evolve, however. For the first time, 
all the information on the various items of assistance from the Structural Funds in each Member State 
has been brought together in a single Chapter so as to provide an overall - but accurate - view of the 
structural programmes implemented in each country. Similarly, assessment activities have also been 
covered in a single Chapter. 
The Report therefore falls into two main parts. The first - Chapters I to IV - takes a general look at 
what was achieved in 1996 at Community level. Chapter I covers the implementation of structural 
assistance in 1996 (Community support frameworks and single programming documents, Community 
Initiatives, innovative measures) in the context of multiannual programming. This is a presentation for 
the Community as a whole. Chapter II looks at budget implementation in 1996, also in multiannual 
terms, and other financial issues such as financial management and monitoring of utilisation. It also 
covers complementarity with the other Community policies, a topic which, as in previous years, 
continues to receive particular attention. Chapter TU is devoted to various institutional matters 
concerning the Structural Funds, ranging from relations between the Community's different 
institutions to socio-economic and regional partnership and public information on the work of the 
Funds. Chapter IV looks at work on assessment in general, both evaluations forming part of Structural 
Fund programmes (prior appraisals and interim and ex post evaluations and those carried out on more 
specific topics (major projects, subject-based assessments, methods of evaluation). 
The second part of the Report - Chapters V to X - looks in detail at the implementation of the 
Structural Funds, once again from a number of points of view. Chapter V deals with programmes and 
achievements in each Member State. The following Chapters, which contain only financial tables, 
give details of financial implementation in 1996 (Chapter VI), implementation from 1994 to 1996 
(Chapter VU), the regional breakdown of financial implementation (Chapter VILT), major projects 
(Chapter IX), and ERDF and ESF pilot projects (Chapter X). 
A. 1996 
1. The first Cohesion Report1 
The Commission adopted the first Report on Economic and Social Cohesion in November 1996. in 
accordance with Article 130b of the EC Treaty, which requires a report "on the progress made 
towards achieving economic and social cohesion and on the manner in which the various means 
provided for in this Article have contributed to it". The report analyses progress towards cohesion in 
the Member States, the regions and social groups and the effects on cohesion of the policies of the 
Member States and the Union. 
The Member States have demonstrated constant progress towards greater convergence over the last 
ten years. Per capita income in the four poorest Member States has risen from 66% of the Community 
average to 74%. Unemployment is now the main economic challenge facing Member States. Although 
7 million net jobs have been created over the last ten years, this has not absorbed the increase in the 
labour force so that the total number unemployed in the Union in 1995 was 18 million, a rate of just 
under 11%. Unemployment is particularly high in Spain, where it now accounts for one quarter of the 
labour force, and in Finland, where the figure has risen sharply to one-sixth of the labour force. 
1 COM(96) 542 final of 6 November 1996. 
HO 8th Annual Report on the Structural Funds (1996) 
The most common type of irregularity (50% of cases) concerned expenditure for which documents 
were irregular or missing. Of the rest, 11% of irregularities concerned failure to comply with other 
statutory or contractual conditions and 10% to failure to complete the planned measure; the rest 
related to miscellaneous irregularities. None of these irregularities should be regarded as minor, since 
they often conceal more wide-spread phenomena. The ordinary random checks, whether on 
documents or on the spot carried out by the Member States are an effective means of detecting and 
preventing irregularities (85% of the cases notified). 
2. Improving financial management 
In November 1995, as part of the third phase of the SEM 2000 initiative, the Commission announced 
its intention to establish a Group of personal representatives of the Member States' Finance and 
Budget Ministers (GPR) co-chaired by Mrs Gradin and Mr Liikanen, the Members of the Commission 
respectively responsible for financial control and the budget. This group has been asked to issue an 
opinion on the priority measures for improving the financial management of Union expenditure 
managed by the Member States. The group met six times in 1996 and studied various aspects of the 
financial management of the Structural Funds, including ways to improve implementation and budget 
forecasts, eligibility rales, programme evaluation, the duties of the Member States as regards financial 
control and the application of financial corrections should irregularities occur. The report of the 
Group was broadly welcomed by the ECOFTN Council on 11 November and 2 December 1996 and by 
the European Council in Dublin on 13-14 December 1996. 
As regards the rules for eligible expenditure in particular which have until now been a significant 
source of errors and irregularities, the discussions begun in September 1994 in an internal 
Commission working group chaired by the Financial Control resulted in the production of 22 data 
sheets detailing certain types of expenditure and legal concepts5. The document was first presented to 
the GPR and was then discussed in the various Structural Funds committees6. A true partnership was 
thus established and many comments and requests for clarification from the Member States were 
analysed. This process made it possible to amend the data sheets so that they could be used to improve 
management of the Structural Funds, thereby reducing irregularities considerably. After these 
thorough discussion in the GPR and the committees, the Commission adopted a draft decision on 19 
November 1996 with a view to including the new guidelines on eligibility in all the programming 
decisions. The draft decision also contained the 22 data sheets defining expenditure eligible under the 
Structural Funds. The Commission adopted this decision on 23 April 1997 after again consulting the 
Structural Funds committees. 
C. COORDINATION OF THE VARIOUS FINANCIAL INSTRUMENTS 
1. Cohesion Fund 
Article 1 of the Regulation establishing the Cohesion Fund states that the Fund may contribute to 
financing project stages that are technically and financially independent. Article 9 of the Regulation 
states that no item of expenditure may benefit from both the Cohesion Fund and the Structural Funds. 
The purpose is to allow the Cohesion Fund to aid two or more stages of an overall project in tandem 
with the ERDF* since associating the available financial instruments ensures that the funding has 
maximum impact and helps to speed up the completion of the trans-European networks in particular. 
This option of staging projects requires close cooperation between the financial instruments. 
5 OJ No L 146, 5.6.1997. 
6 Advisory Committee on the Development and Conversion of Regions, the Committee under Article 124 of 
the Treaty (the ESF Committee), the Committee on Agricultural Structures and Rural Development (STAR 
Committee), Standing Management Committee on Fisheries Structures (See Chapter m.A.5. Opinion of the 
committees). 
8th Annual Report on the Structural Funds (1996) 111 
Thorough physical and financial monitoring of the projects is a necessary precondition for achieving 
this. 
To avoid any overlap between Community aid from different sources, stages that can be identified 
separately are defined using physical indicators and a specific date is set from which payment 
applications and supporting documents will be considered for funding. The Commission usually 
accepts only the original invoices as proof. As a result, the same invoice cannot be submitted to two 
separate financial instruments. In addition, the Commission intensifies its inspection visits during the 
transition from one instrument to another. Those responsible for managing the Cohesion Fund 
regularly organise inter-departmental meetings with the other financial instruments, the ERDF in 
particular, to ensure the best coordination possible. It goes without saying that the administrative 
burden in managing projects divided into stages is more complicated than is the case for separate, 
distinct projects. 
2. TheEIB 
The goal of economic and social cohesion was assigned to the EIB by the Treaty on European Union. 
The EIB confirms that this goal remains its number one priority. In 1996 Bank lending increased by 
8.4% over 1995 (as against a rate of 7.5% between 1995 and 1996 and 1.6% between 1993 and 1994). 
The number of loans contracted in 1996 in the Community amounted to ECU 20 946 million as 
against ECU 18 603 million in 1995 (up 12.6%), ECU 17 682 million in 1994 and ECU 17 724 
million in 1993 (5.2% in one year). Loans were granted for projects in all the Member States, 
including Austria, Sweden and Finland, where lending operations got off to a strong start. Assistance 
focused on the trans-European networks and on Greece, Denmark and Sweden. Performance differed 
quite markedly from one Member State to another when compared with the previous year: there was a 
strong upswing in Italy, Greece, the Netherlands and Germany, but a downswing in Spain, Denmark 
and Ireland. 
The concentration of funding in favour of investment in regional development zones, which had eased 
in 1994 (72.4% in 1994 as against 74.3% in 1993) increased again from 1995 to 1996. Concentration 
is thus higher than the EUT s own mid-1996 forecasts. In the regions where development is lagging 
behind (Objective 1) ETB loans reached ECU 6 816 million, i.e. 49% of the total for regional 
development (46% in 1995, 48% in 1994 and 58% in 1993). There has thus been an upswing in 
activity in these regions compared to 1995 although the levels seen in 1993 have not been reached. 
Funding in the four Cohesion countries (Greece, Spain, Ireland and Portugal) amounted to ECU 4 477 
million, similar to previous years. Loan applications doubled in Greece and remained stable in 
Portugal but less investment meant fewer applications from Spain and Ireland. 
Table11-19: EIB • Financing for regional development (ECU million) 
Total EIB activity in the Community 
Regional development / 
Objective 1 
Countries eligible under the Cohesion Fund 1996 
19.810 
13;805 
70% 
6.816 
49% 
4.477 
32% 1995 
17.782 
: 1X143 
68% 
5.620 
46% 
4.648 
38% , 1994 
16.624 
12.035 
72% 
5.748 
48% 
4.743 
39% 1993 
16.779 
12.462 
74% 
7.228 
58% 
6.142 
34% 
( 1 ) Amount of finance granted, i.e. individual loans signed and appropriations allocated for 
current global loans 
By sector, assistance for infrastructure continued to increase, representing 77% of the Bank's 
activities. Loans for communications have stabilised at 1995 levels, when growth was strong, as a 
result of an upswing in loans for telecommunications and mobile telephony in particular. Aid for 
112 8th Annual Report on the Structural Funds (1996) 
environmental projects, including urban infrastructure, also increased. Projects approved in the energy 
sector, natural gas in particular, also increased significantly. 
Table 11-20: EIB - Breakdown by sector of financing for regional development (ECU million) 
Regional development 
Energy 
Transport 
Telecommunications 
Environment and other infrastructure 
Industry, agriculture and screes 
TOTALl TOTAL 
4.076 
3.574 
1.066 
1.826 
3.263 
13.805 29% 
26% 
8% 
13% 
100% 
The regional development objective has increased in importance again, reversing the trend of recent 
years. The Commission would encourage the Bank to pay special attention to its activities in the four 
Cohesion countries. 
3. ECSC 
Under Article 56(2)(a) of the ECSC Treaty, the Community has at its disposal, until 30 June 1997, a 
loan instrument for conversion investments to create jobs in areas affected by the reduction of activity 
and employment in the coal and steel sector. These can be accompanied by interest-rate subsidies -
calculated on the basis of the number of jobs created - of up to 3% for five years. In view of the expiry 
of the ECSC Treaty, the Commission has decided7 not to consider loan applications received after 31 
December 1996. 
The total amount of new ECSC conversion loans which received the assent of the Council in 1996 
amounted to ECU 379 600 000 with the number of jobs to be created around 27 000. ECU 37 250 000 
was committed under the ECSC budget for 1996 for interest-rate subsidies on current loans. The 
Commission made 85 conversion loans in 1996, 84 of which formed part of global loans amounting to 
ECU 152 600 000 and 1 was a direct loan for ECU 14 600 000. 
4. European Investment Fund 
The European Investment Fund was established in 1994 as a result of a European Council Decision 
taken at Edinburgh and supports medium and long-term investment in two essential sectors for 
European economic development: trans-European networks and small firms. As a Union institution 
specialising in granting guarantees, and in coordination with the other institutions and financial 
instruments, it facilitates private sector participation in trans-European network projects and makes it 
easier for small firms to get investment funding. 
In 1996, the loan volume guaranteed amounted to ECU 833 million, half for trans-European networks 
and half for small firms. As an example of the type of TEN funding involved, the EIF is playing a 
significant role in funding improvements to the motorway system in Catalonia. In the area of small 
firms, for example, the EIF is guaranteeing, through the Merseyside Special Investment Fund - MSIF, 
part of the loans granted by a commercial bank to two intermediary funds that reallocate the loans to 
such firms in this Objective 1 region. This EIF assistance is in addition to that from the ERDF so that 
the Community's contribution to the MSIF is maximised. 
In addition, a new EIF activity was launched in 1996 in favour of small firms. Called the Growth and 
Environment pilot project, this European Parliament initiative will see the Commission and the EIF 
collaborate to facilitate access by small firms to bank loans for environmental investments. The first 
six decisions were taken in 1996. 
7 OJ No C 175,28.6.1994. 
8th Annual Report on the Structural Funds (1996) 113 
5. The financial mechanism of the European Economic Area 
The Agreement on the European Economic Area provides for a financial mechanism to promote 
economic and social cohesion in the Community to be funded by the EFTA countries and managed by 
the EIB. Its scope is defined in Protocol 38 to the Agreement: grants totalling ECU 500 million 
between 1994 and 1998 and 10-year interest-rate subsidies of 2% a year on a total loan volume of 
ECU 1 500 million. The beneficiaries of the financial mechanism are Greece, Ireland, Northern 
Ireland, Portugal and the Objective 1 regions of Spain (1989-93). As a result of the accession of 
Austria, Finland and Sweden, their contributions to the mechanism have been taken over by the 
Community budget and the Commission is (heading B2-401, ECU 108 million a year). The 
Commission, as the body responsible for the Community budget, is thus jointly responsible for the 
mechanism and is represented on the financial mechanism committee that approves projects. A report 
on the implementation of the mechanism between 1 January 1995 and 30 June 19968 has been drawn 
up. 
In 1996 the interest-rate subsidies concerned ECU 305 million in loans for five projects in Spain and 
one in Greece. The Committee approved ECU 151 700 000 in grants for two projects in Greece, four 
in Spain, one in Ireland, one in Northern Ireland and one in Portugal. These were in the three eligible 
sectors: transport, environment and education and training. 
Table 11-21: Financing from the financial mechanism of the European Economic Area (ECU million) 
Gretce I Ireland 1N. Ireland I Portugal 1 Spain I TOTAL 
Grants approved. 
Transport 
Environment 
Education 
J2iba 
Total 12,1 
8,3 
1.1 
_LL 0,0 
0,0 
0,0 
JUL 8,0 
0,0 
0,0 
JUL 25,5 
0,0 
0,0 
0.0 0,0 
46,7 
45,4 
22.6 _0JL UL 25.5 -22J 45,6 
55,0 
46^ 
~L1 
.1&2 
I,oan.<; approved 
Transport 
Environment 
Total 42,9 
0,0 
_JLP_ 0,0 
0,0 
0.0 0,0 
0,0 
JUL 127,7 
0.0 
0.0 164,1 
214,2 
-JLH 
42.9 JUL JLQ. 1277 J2U 334,7 
214,2 
tt 
548.9 
Source : Annual Commission report on the financial mechanism of the European Economic Area 
(COM (96) 653 final of 13.12.1996). 
D. COMPLEMENTARITY WITH THE OTHER COMMUNITY POLICIES 
1. The Structural Funds and employment 
The Commission has adopted a wide variety of guidelines that stress the need for consistency between 
the Community's employment strategy as defined by the European Council and the Structural Funds' 
activities. This need was set out in the Commission communication on Community Structural 
Assistance and Employment9. The Structural Funds must provide a lasting contribution to 
employment by creating a better balance between tangible and non-tangible investment. Having a 
number of strategies will allow the Funds to improve their effectiveness in combating unemployment 
by using the funding options offered under the current rules and regulations. Appropriate weight must 
be given to human resources so that the conditions for long-term growth are set in place and the 
capacity to absorb the changes brought about by technological development are similarly improved. 
The capacity of economic growth to create greater numbers of jobs must be improved through 
innovation and by using the job-creation opportunities offered by new socio-economic needs. Lastly, 
COM(96) 653 final of 13 December 1996. 
COM (96) 109 final of 20 March 1996. 
114 . _____ *th Annual R*Pon on the Structural Funds (1996) 
there needs to be more pro-active intervention in the labour market to deal with the specific problems 
of the most disadvantaged categories (young job-seekers, long-term unemployed and women). The 
communication stressed the need to involve all the major partners in this task of assisting the labour 
market. A 
The themes of this communication were subsequently contained in the Confidence Pact for 
Employment10. On the Structural Funds, the Commission suggested that the financial margins for 
manoeuvre available in the existing programmes should be used to create a special reserve to support 
employment, that the new guidelines for Objective 2 (1997-99) should aim to create employment and 
that the mid-term review of Objectives 1, 3, 4 and 5(b) should be an occasion for fine-tuning 
operations in support of employment. Particular attention should be paid to the development of small 
firms, not only so that they might turn research and development measures into new activities and 
jobs but also so that an appropriate framework might be created for local employment initiatives. The 
Confidence Pact for Employment had the specific aim of encouraging territorial pacts for 
employment. The European Council in Florence gave these pacts new political momentum, their 
guidelines were set in the autumn and most of the Member States had submitted proposals for pacts 
by the end of the year.11 
The communication on Community Structural Assistance and Employment has also served as a 
framework for drafting the new guidelines for Objective 2 (1997-99) published by the Commission on 
30 April 1996. The overall aim is to improve production structures - within SMEs in particular - and 
workforce skills. The emphasis should be on improving management capabilities and adapting 
vocational skills so that human resources can contribute to the process of technological and 
organisational change12. 
2. The Structural Funds and equal opportunities 
A Council Resolution of 2 December 199613 stressed the importance of including equal opportunities 
as a principle of the Structural Funds. It should be remembered that the Structural Funds must aid 
operations that ensure more equal opportunities between men and women. The resolution invites the 
Member States and the Commission, in particular through the Monitoring Committees, to increase the 
efforts of the Structural Funds in this regard, to evaluate the Funds' contribution to the achievement of 
more equal opportunities and to take account of this evaluation in future proposals to revise the 
Structural Funds Regulations. 
Even though some specific measures in the programmes have differing amounts of funding depending 
on the Member State, most States chose a horizontal approach that encourages equal opportunities 
across all priorities and measures. This makes it hard to give an exact estimate of the funding 
specifically allocated to equal opportunity measures but it does not mean that there has been a backing 
away from promoting this priority. There is a general trend towards assisting more complete and 
integrated operations, due to the expanded scope of the rules and regulations. The accompanying 
measures are now taken into account, althougn there is still room for improvement in this regard. The 
concept of a "route into the jobs market", broadly developed in current programmes, could also take 
greater account of the specific constraints on women. The operations undertaken rely heavily, 
however, on the legislative, socio-economic and cultural make-up of each Member State. The on­
going assessment reports will provide more information since concentration on the public and on 
equal opportunities are specified in the instructions for the evaluators. It will thus be possible to gauge 
better the first results of the integration of women into this general pclicy. Some adjustments to 
10 CSE (96) 1 final of 5 June 1996. 
11 See Introduction. A.2. Support for employment and Chapter ITJ.B. Regional Partnership. 
12 See Chapter A.3. Objective 2. 
»3 OJ No C 386, 20.12.1996 
8th Annual Report on the Structural Funds ( 1996) - 115 
programmes may then be made, depending on the recommendations of the evaluators and the 
Commission guidelines. 
In preparing the Objective 2 programmes for 1997-99, the Commission placed great emphasis on 
equal opportunities for both ERDF and ESF funding. The concept seems to be taken into account now 
to a greater extent than in the past. Furthermore, to improve the role and status of women working on 
agricultural holdings or in a rural setting, in 1996 the Commission launched a call for pilot projects 
under a programme for rural women. The programme has a budget of ECU 20 million over three years 
(1997-99) and the final date for applications was 20 February 1997. 
Lastly, a leaflet entitled "Women, players in regional development" was published in 1996 and 
women entrepreneurs were one of the topics discussed at the Northern Scandinavia Europartenariat. 
The discussions resulted in the concept of "resources centres for work enhancement and women's 
integration into the economy" and the networking of these centres. This topic was selected to be one 
of the five activities in the invitation for proposals under Recite HI published on 31 October 1996.14 
3. The Structural Funds and the environment 
The environment continues to play an increasing role in assistance from the Structural Funds. The 7th 
Annual Report (1995) devoted part of each chapter to a discussion of the environment and included 
numerous examples. As a result of the communication on "Cohesion policy and the environment" 15 
adopted in 1995, Structural Funds assistance in 1996 was even more marked by the environmental 
dimension. In accordance with the principle of subsidiarity, the communication's priorities were 
discussed on several occasions with the Member States in the Monitoring Committees and in the 
Advisory Committee for the Conversion and Development of the Regions16. 
The priorities in the communication were implemented in 1996 with particular emphasis on 
environmental issues as set out in the Commission guidelines to the Member States for the 
preparation of the new Objective 2 programmes17. Firstly, the Commission stressed the need for a 
greater number of environmental projects, especially ones that created "green" jobs, and preventative 
measures for environmental protection in environment-related businesses, services, technology and 
training. Secondly, programme approval depended on whether procedural guarantees were in place on 
the environmental quality of the programmes, such as the involvement of the relevant environmental 
agencies and improvements in programme/project monitoring and evaluation. In accordance with 
these guidelines, the new programmes lent much greater weight to preventive environmental 
operations such as ecological products and environmental research. Their most striking feature is the 
horizontal integration of the environment in various non-environmental priorities and operations. 
Evaluating the impact of the measures on the environment remains however a weak link, and while 
progress has been made in involving the environmental agencies, the results have not been 
satisfactory in every instance. 
Similarly, the guidelines for the new Interreg IIC Initiative were adopted by the Commission in May 
199618 and place particular weight on environmental issues, including cross-border cooperation in 
land planning, combating drought and floods and the management of waterways. 
In the case of the programmes currently under way, the Commission organised training courses for its 
own staff and launched environmental training seminars for Structural Fund administrators in the 
14 See Chapter I.B.2. Innovative measures and technical assistance. 
15 COM (95) 509 final of 22 November 1995. 
16 In the case of the Cohesion Fund, the Commission has made progress towards the goal of dividing assistance 
equally between investments in transport and the environment. The share of total commitments devoted to 
environmental projects increased from 48.5% to 49.9% in 1996. 
17 See Chapter I.A.3. Objective 2. 
18 See Chapter I.B. 1. Community Initiatives. 
116 8th Annual Report on the Structural Funds (1996) 
Objective 1 regions. The first such seminar was held in Ireland in November 1996 and similar 
activities were in preparation for 1997. Furthermore, to identify the prevention measures and best 
practices, the Commission carried out a study in 1996 on sustainable development and employment 
in the Objective 2 regions. This study, which ended at the start of 1997, includes 20 examples of good 
practice and illustrates for Funds administrations the possible measures that might be taken to 
promote sustainable development. A booklet entitled "The environment and the regions: towards 
sustainable development" was also produced19. 
Finally, in the longer term, the preparatory work on the European Spatial Development Perspective 
(ESDP) is looking at the issue of prudent management of the natural heritage and its development. 
Alongside this, the Commission has initiated a strategy study of water resources in the Mediterranean 
basin to be carried out by the I.P.T.S. (Institute for Prospective Technological Studies), Seville, which 
will be of major importance when thinking about the next programming period for the Structural 
Funds and for work on the Perspective. 
4. The Structural Funds, the common agricultural policy and rural development 
Structural Funds and the common agricultural policy 
Since agriculture is still one of the main activities for many regions of the Community, most of the 
programmes for 1994-99 include measures relating to the sector. It is therefore essential to ensure that 
the measures proposed by the Member States in the development plans for rural areas under 
Objectives 1, 6 or 5(b) are compatible with the guidelines of the CAP while equally considering the 
contribution which agricultural measures make to the development of economic activity. 
In the case of Objective 5(b), the agricultural measures were planned in the SPDs with due regard to 
the necessary complementarity between the reform of the CAP and rural development. While the 
planned measures to ensure that a sufficient number of farmers remain on the land contribute to the 
socio-economic development of the rural areas, the Commission has also required certain guarantees. 
In general, every time a national aid scheme is proposed, it is always examined for compatibility with 
current CAP rules and the rules on state aids. The priority operations selected involve the application 
of new technology, energy savings, quality promotion, etc. In irrigation, for example, priority has 
been given to the improvement of existing structures to prevent water loss (through evaporation, 
leaks, etc.) without changing the area actually irrigated. When it became apparent that new irrigation 
was involved, the Commission strictly limited the newly irrigated areas and asked to be informed of 
the intended crops. 
The same approach was followed under Objective 5(a) with regard to the structures for both 
production and marketing. The trends on agricultural markets require farm holdings and the 
production and marketing structures for agricultural products to make constant adjustments. The 
Objective 5(a) measures seek to ease the adjustments so as to improve agricultural competitiveness. 
By maintaining jobs in agriculture and in those sectors downstream of it, the measures help in the 
development of the rural areas. Many procedures have been implemented to ensure that the measures 
are consistent with the CAP guidelines. In the case of investment aid, restrictions have been imposed 
in certain sectors to avoid creating surpluses (pigmeat, eggs and poultrymeat, beef and veal). In the 
case of processing and marketing, priority is given to certain types of investment: to protect the 
environment for example, introduce technological innovation or improve health quality and 
conditions, and the Commission has set selection criteria on the basis of Community policy 
guidelines, in particular those of the CAP. In some sectors, investment aid was prohibited (tobacco, 
fodder crops) or authorised subject to strict limits, sometimes accompanied by a requirement to 
reduce capacity (slaughter, regrouping of enterprises in the wine and spirits sectors). 
19 EUROFFICE, 1996. CX-90-95-744-C. 
8th Annual Report on the Structural Funds (1996) _ 117 
The challenges facing rural society 
More generally, the Community has introduced a specific policy for rural areas. Rural society is 
undergoing far-reaching changes and is increasingly subject to pressures which threaten an already 
delicate balance. Predominantly rural areas account for more than 80% of Community territory and 
over a quarter of its population. The prosperity and environment of rural communities are increasingly 
threatened while agriculture, the main activity in a large number of rural areas, is going through a 
crisis which at times calls into question their very existence. The Treaty on European Union takes 
account of the problems of the rural areas. Article 130a of the Treaty provides that the Community 
should reduce "disparities between the levels of development of the various regions and the 
backwardness of the least-favoured regions, including rural areas". The programmes implemented for 
the second Structural Funds programming period have enabled a strategy to be set in place to develop 
the economy of the rural areas through the diversification of both agricultural and non-agricultural 
activities. The strategy's multi-sectoral character, its emphasis on innovation and bottom-up approach 
all contribute to maintaining or creating employment. 
To prepare for the next Structural Funds period, it was thought useful to take a detailed look at the 
future of rural society and the challenges it faces: economic globalisation, the continuing reform of 
the CAP, WTO negotiations, the foreseeable enlargement of the European Union, the appearance of 
new technologies. These issues were focused on in particular at a conference in Cork (Ireland) on 7, 8 
and 9 November 1996 which brought together policy makers and specialists from the 15 Member 
States of the Union, from the countries of central Europe, the Mediterranean countries, the USA and 
Japan. The conference confirmed that agriculture and forestry represent the two most important forms 
of land use in rural areas, that agriculture remains a major interface between people and the 
environment, but that the relative importance of farming and forestry continues to decline and rural 
development must accordingly concern itself with all socio-economic sectors operating in a rural 
environment. 
The conference concluded that sustainable rural development had to be a priority for the Union and 
that rural development policy should check the flight from the land, fight poverty, promote 
employment and equal opportunities, meet requirements with regard to quality, safety, personal 
development and leisure, improve living standards in rural areas and preserve the quality of the 
environment. This policy, some aspects of which it should prove possible to apply in all the Union's 
rural areas, should be based on an integrated and multisectoral approach which encourages the 
diversification of economic and social activities while ensuring sustainable rural development in order 
to safeguard the quality of the countryside. Rural development policy should also comply with the 
principle of subsidiarity by encouraging those involved at the lowest levels and their initiatives (the 
'bottom up' approach) in order to take better account of the great variety of rural areas. It should 
encourage synergies between public and private finance to promote productive investment, help small 
and medium-sized firms and encourage research and innovation. 
5. The Structural Funds and the common fisheries policy 
Since 1994, the year marking the incorporation of the common fisheries policy into the Structural 
Funds, the instruments mobilised to assist fisheries structures have had a dual purpose. On the one 
hand, they seek to ensure the survival and sustainable development of the common policy by helping 
the fishing effort to adapt to. the resources that are actually there. On the other hand, the instruments 
help to strengthen economic and social cohesion through aid to reinforce the structures in the fishing 
industry as a whole: the fleet, aquaculture, processing and marketing of products and port facilities. 
Furthermore, measures financed by the FTFG in relation to the fishing fleet must comply with the 
objectives of the Multiannual Guidance Programmes (MGPs), which place restrictions on the fishing 
effort of each Member State. In particular aid for the construction of new fishing vessels is authorised 
only where the annual intermediate objectives of the MGP, and subsequently the final objectives, are 
observed. 
118 8th Annual Report on the Structural Funds (1996) 
6. The Structural Funds and SMEs 
Structural Funds assistance to SMEs continued to increase in 1996. On the one hand, the preparation 
of the Objective 2 programmes for 1997-9920 made their development one of the priorities in the 
Commission's guidelines that had to be reflected in the SPDs submitted by the Member States. A 
reference to the new definition of an SME was introduced to standardise usage both at Community and 
national level, in accordance with the Commission recommendation on the definition of small and 
medium-sized enterprises21. On the other hand, as regards the SMEs Initiative, 1996 saw the adoption 
of a large number of new programmes22, and the ones already adopted were closely monitored in the 
Monitoring Committees. The programmes for the Objective 1 regions that focused most on SMEs, 
such as the "Industry" OPs for Ireland, Italy, Portugal and Greece, were monitored in particular by the 
departments responsible for enterprise policy, so that the SMEs would be considered when 
implementing the programmes. In addition, under the reserve for the SMEs Initiative, the Commission 
proposed three types of operation to encourage cross-border activity: exchanges of experiences and 
good working practices between the Member States in spheres of activity identified in advance, aid for 
buyer's exhibitions, and aid to get tourism enterprises connected to the Internet (teletourism).23 
IBEX: International Buyer's Exhibition 
The IBEX concept was launched as part of the Community's enterprise policy 
with a view to trying out a formula whereby large and small firms could meet 
to discuss the demand requirements of the former. The concept was adopted 
by the regional policy through the SMEs Initiative which promotes the 
holding of IBEX exhibitions in the regions eligible under the Structural Funds, 
and Objective 1 regions iri particular. 
IBEX exhibitions focus on the needs identified by large enterprises and the 
specific capacity of the SMEs to satisfy those needs. This identification of 
supply and demand centres on a particular sector (cars, agri-food, textiles, 
timber, etc) and is intended to assist large enterprises in the search for partner 
SMEs with a view to specific cooperation while at the same time offering 
SMEs an opportunity to make direct contact with large enterprises interested 
in their products, services or know-how. IBEX exhibitions optimise these 
contacts and offer the participants savings of both time and money when 
compared to traditional subcontracting exhibitions. 
As part of the enterprise policy, the Third Multiannual Programme for SMEs (1997-2000)24 adopted in 
1996 seeks in particular to simplify and improve the financial, legislative and administrative 
environment for businesses and to help SMEs to plan their business strategies in international terms, 
improve their competitiveness and improve their access to research, innovation and training. Particular 
attention was paid in this regard to improving SME access to the Structural Funds. The Council twice 
sought25 to improve the business environment and stimulate business support measures, in particular 
by improving SME access to the Community programmes, including the Structural Funds. In addition, 
where trade and distribution are concerned, the importance of local businesses in rural areas got the 
Commission thinking about ways to use the Structural Funds (the ERDF in particular) to maintain and 
20 
21 
22 
23 
24 
25 See Chapter I.A.3. Objective 2. 
Recommandation of the Commission to the Member States, the EIB and the EIF on 3 April 1996, OJ No L 
107,30.4.1996. 
See Chapter I.B. 1. Community Initiatives. 
See Chapter I.B.I. Community Initiatives - SMEs. 
Council Decision of 9 December 1996 on the third multiannual programme for SMEs in the European Union 
(1997-2000), OJ No L 6, 10.1.1997. 
Council Resolution of 9 December 1996 on realizing the full potential of small and medium sized enterprises 
(SMEs), including micro-enterprises and the craft sector, through an integrated approach to improving the 
business environment and stimulating business support measures (OJ No C 18, 17.1.1997) and Council 
Resolution of 22 April 1996 on the coordination of Community activities in favour of small and medium 
sized enterprises and the craft sector (OJ No C 130, 3.5.1996). 
8th Annual Report on the Structural Funds (1996) 119 
develop local businesses in rural areas. A similar initiative is being studied for urban areas and 
consultations will take place on the two approaches as part of the Green Paper on Commerce26. 
Information, partnership, networking, innovation: the coordination of regional policy and enterprise policy 
initiatives for the benefit of SMEs 
The Structural Funds and the Euro-Info-Centres: Within the network of 250 Euro-Info-Centres, a subgroup 
of 49 ElCs in the 15 Member States specialises in the Structural Funds. In addition to meetings providing 
information and an exchange of views on the SMEs Initiative and inter-regional cooperation under Article 10 
of the ERDF Regulation, die subgroup made a collection in 1996 of German and Italian "success stories" for 
example. The specialist EICs relay information for the Commission and offer technical advice to the local, 
regional and national authorities on the planning and implementation of programmes aided by the Structural 
Funds. 
Europartenariat, a display of enterprise partnership : 
The Europartenariat programme was launched by the Commission in 1987 as part of its regional and enterprise 
policies. It encourages SMEs in the eligible regions (Objectives 1, 2, 5(b) and 6) to make business contacts 
with one another and to cooperate with enterprises in other Member States or third countries. The ERDF part-
finances the events by ECU 1 million under Article 10 of die ERDF Regulation. Since Europartenariat was first 
launched, close on 22 000 enterprises have been able to make contact and discuss possible cooperation 
agreements covering trade, finance, technology, franchising, joint-ventures, etc. 
Two Europartenariat events were held in 1996 : 
• Europartenariat Luleâ (Sweden, 13-14 June 1996): "Northern Scandinavia 1996" brought together more 
than 1 500 SMEs from 50 countries. It was the first Europartenariat organised in one of the new Member 
States. The 386 Swedish, Finnish and Norwegian enterprises in the region made some 7.500 contacts with 
the 1 200 visiting firms, 225 of which came from the countries of central and eastern Europe (CEEC) and 
160 from the newly independent states. Several seminars took place, including a particularly successful 
conference on women entrepreneurs. 
• Europartenariat Genoa (Italy, 27-29 November 1996): "Italia 96,% brought together 406 SMEs in the 
Objective 2 areas of Italy that were thus able to meet more than 2 000 other SMEs. Over 12 000 contacts 
were made between the host and visiting enterprises. In addition to a large delegation of enterprises from 
the CEEC, the newly independent states and the Mediterranean basin, Europartenariat Genoa also included 
for the first time significant numbers of enterprises from Asia, Latin America and the United States; more 
than 70 countries were represented. 
Aid for European SME business and innovation centres (EC-BICs) (Business and Innovation Centres -
BICs): This programme is funded under Article 7 of the ERDF Regulation and assists die creation of 
innovative enterprises and the modernisation and development of existing SMEs. Twenty two EC-BICs were 
promoted by the programme in 1996. Most of these were located in Objective 1 or 2 areas (six and nine 
respectively) but four were in Objective 5(b) areas and three in Objective 6 areas. As in the past, the ERDF 
part-financed activities to prepare, organise and launch the new centres and provided technical assistance to the 
management teams as they were set up. This brings the total number of EC-BICs in the EBN (European 
Business and Innovation Centre Network) to about 140. 
The «seed capital» pilot project, 5 years on: This pilot plan was adopted by the Commission in 1988 as part 
of its regional and enterprise policies. In January 1996, 23 investment funds were operating under the plan, all 
of which had been created between 1990 and 1993. The funds qualified for five years for repayable advances 
covering 50% of their operating costs. Fifteen of these in eligible regions also received an injection of capital 
through die business and innovation centres mentioned above. The funds, based in 8 Member States27, are 
independent bodies governed by private law with responsibility for their investment decisions. Three funds 
have a cross-border dimension28. They all now form the kernel of the European Seed Capital Fund Network 
(ESCFN) which comprises 50 funds. 
7. The Structural Funds and tourism 
Tourism is one sector in which Structural Funds assistance is of major importance both financially in 
all eligible regions and in terms of its contribution to the diversification of the local economy. The 
26 COM(96) 530 final of 20 November 1996. 
27 Belgium, Germany, Spain, France, Ireland, Italy, Netherlands, United Kingdom. 
28 They cover respectively: Benelux; France and Spain; Saarland, Lorraine and Luxembourg. 
12 8th Annual report on the Structural Funds (1996) 
The regions at the centre of the Union are considerably richer than those on the periphery, i.e. Greece, 
southern Italy, southern Spain, Portugal, Ireland, northern Finland, the new Lander, the French 
overseas departments. The 25 richest regions have an average per capita income two and a half times 
greater than the poorest regions and the situation has hardly changed in this respect over time. In 1995 
the unemployment rate in the 25 worst hit regions was 22.4%, almost five times higher than in the 
25 least affected regions (4.6%). There is a high concentration of unemployment at sub-regional level, 
particularly in urban areas, where the numbers unemployed may account for between one third and 
one half of the labour force. 
Disparities in income are caused not only by geographical but also by social factors. This report looks 
at the proportion of the population living below.the poverty line (defined as an income of 50% or less 
of the national figure). At the end of the 80s, the highest figures in this regard were recorded in 
Portugal (27%), Italy (22%), Greece (20%), Spain (17%) and the United Kingdom (17%). Poverty 
appears to be increasing slightly, although it has fallen in some of the poorest Member States (Ireland, 
Spain and Portugal). Poverty is frequently related to unemployment, which itself has a substantial 
impact on society: in the first half of 1996, the rate of unemployment among young people under 
25 years of age was 21%, double the average for all age groups together where it stood at 12.5% for 
women and 9.5% for men. The most worrying feature is the "hard core" of long-term unemployed: in 
1995,49% of people out of work had been looking for a job for a year or more. 
The report also looks at the impact of national policies on cohesion. From a macroeconomic 
viewpoint, the Member States have, in general, made considerable progress in bringing inflation and 
interest rates under control and reducing the public debt and deficits. These results are important, 
because they are a pre-condition for increased investment and the success of cohesion policies. The 
regional policies of the Member States also make a contribution, but expenditure is concentrated 
mainly in the richest countries. Between 1989 and 1993, Germany and Italy alone accounted for two 
thirds of total expenditure on regional development. It should also be noted that budgetary restrictions 
generally result in a fall in national expenditure on regional policy. 
The main means of fighting poverty are national policies on taxation and public expenditure. Typical 
figures for these net transfers are 4% of GDP from regions which are net contributors and 8% of GDP 
to those which are net beneficiaries. These transfers have had a substantial influence on regional and 
social cohesion and have reduced income disparities within the Member States by an average of 23%. 
Combined with national efforts, the Union's cohesion policies have helped create a new situation in 
Europe which gives the less-favoured regions and social groups new opportunities. Assistance from 
the Structural Funds has had a significant impact on per capita income, for example, by increasing 
growth in the four poorest countries by half a percentage point per year. It is also estimated that it has 
resulted in over 600 000 net new jobs in those countries and 530 000 in the old industrial areas 
eligible under Objective 2, which in both cases means a reduction in unemployment rates of about 
2.5%. An in-depth study of the rural areas eligible under Objective 5(b) in 20 regions shows that the 
population has stabilised in about half of them and has even increased in six others. Income fell in 
only two of those regions. By assisting the poorest regions, Community policies have increased the 
economic potential of the whole Union. Estimates suggest, for example, that for every ECU 100 
spent in the Objective 1 regions, ECU 30 to 40 return to benefit other regions through their exports to 
the Objective 1 regions. 
As for the Community policies other than cohesion, it appears that wherever expenditure is 
substantial, some if not most of the poorest countries and regions have been among the main 
beneficiaries. The common agricultural policy is the most significant example since it accounted for 
almost half the Community budget in 1994. The 1992 CAP reform benefited the cohesion countries 
since three of these four countries (Greece, Spain and Ireland) are, alongside France and Denmark, 
among the main beneficiaries. The impact on regional cohesion is positive, since there is a financial 
transfer from urban areas (which are generally richer) to rural areas (which are generally poorer). 
Nevertheless, estimates prior to the reform suggest that these transfers have benefited mainly a limited 
120 8th Annual Report on the Structural Funds (1996) 
Commission published in 1996 a document entitled "Tourism and the European Union: A Practical 
Guide"29, which identifies all the Community financial instruments that can be mobilised for tourism 
purposes, first among which are the Structural Funds. The document shows the important place 
occupied by tourism in Structural Funds spending and gives an overview of the significant 
contribution of this activity to strengthening economic, social and regional cohesion. In this regard, in 
addition to developing the quantitative analysis of the volume and structure of financial assistance, 
special attention needs to be paid in 1997 to perfecting the tools for evaluating the quality of tourism's 
contribution to achieving cohesion. 
At the same time and with a view to improved coordination of financial assistance to tourism (a 
requirement identified by the Court of Auditors in its special report on tourism policy and promotion) 
additional measures will be taken to evaluate in a more detailed and systematic manner the impact of 
the structural policies on tourism and identify the main steps required to boost the quality and 
competitiveness of European tourism30. It should be noted that the implementation of the Community 
action plan for tourism (1993-95), which the Commission evaluated in a report in 1996, identified 
numerous points of convergence between structural assistance and specific tourism measures, both in 
sectoral terms and the operating approach.31 
8. The Structural Funds and energy 
The availability of adequate supplies of energy at reasonable prices is essential to the competitiveness 
of regions whose development is lagging behind. A good energy balance, the rational use of energy 
and stress on the development of renewable sources of energy are also important considerations for 
territorial planning. Almost all the Objective 1 CSFs include a section oh energy and of their total 
funding some ECU 2.4 billion (2.7% of the budget for that Objective) is allocated to energy projects 
for the period 1994-99.32 While these projects contribute to the main aim of regional development, 
they also comply with the priorities of the Community's energy policy: security of supply, the 
competitiveness of European firms and the compatibility of energy and environmental aims.33 The 
projects financed are mainly concerned with more efficient energy use, the diversification of sources 
of energy, the development of renewable sources of energy, cost reduction, improved transport and 
distribution of energy and the protection of the environment in activities relating to the production, 
processing, transport and utilisation of energy. 
Furthermore, some Community Initiative programmes are directly concerned with energy. The Regen 
strand of Interreg II contains provision for completing measures begun under the earlier programme on 
energy networks (Regen) and the promotion of cross-border cooperation projects for the distribution 
of gas and electricity and the use of renewable sources of energy. In the most remote regions, the 
Regis Initiative covers investment in energy-saving materials and local energy production and the 
training of staff in the field of energy. 
Outside the Structural Funds, the Union finances specific energy programmes designed to achieve the 
goal of cohesion. For example, one third of the measures under Thermie (the demonstration strand of 
the Joule-Thermie programme on non-nuclear research and development) and almost half the local and 
29 European Commission, 1996, OPOCE. 
30 See the proposal for a Council Decision on the first multiannual programme for Euroepan tourism 
"PHTLOXENIA", adopted by the Commission on 30 April 1996. 
31 See in particular 'Tourism and the environment in Europe, 1995, EUROFFICE, and 'Transnational 
Partnerships in European Tourism", 1996, EUROFFICE. 
32 The breakdown of this amount is: Greece: ECU 865 million; Spain ECU 624 million; France: ECU 10 
million; Ireland: ECU 70 million; Italy: 312 million; Portugal: ECU 322 million; United Kingdom: ECU 182 
million. 
33 See the Commission communication 'An overall view of energy policy and actions' - COM(97) 167 final of 
23 April 1997. 
8th Annual Report on the Structural Funds (1996) 121 
regional energy-saving agencies (the Save programme for the rational use of'energy) are being carried 
out in Objective 1 regions and over 20% in areas eligible under Objectives 2 and 5(b). 
9. The Structural Funds and trans-European Networks 
Under Title XII of the Treaty on European Union, two main aims lie behind the construction of trans-
European transport, energy and telecommunications networks: to improve the working of the single 
market and to foster economic and social cohesion. The TENs seek to connect networks together and 
make them operationally compatible, improve access to them and carry out projects of common 
interest, taking particular account of the need to connect the islands and isolated, peripheral regions to 
the Community's core. The TENs are implemented on the basis of Community guidelines identifying 
projects of common interest. Based on the Regulation on TENs funding adopted in 199534, the 
Community contributes to work on projects of common interest by part-funding feasibility studies, 
offering loan guarantees, interest-rate subsidies and, in duly justified cases, direct grants. The TENs 
have a budget line of ECU 2 345 million for the period 1995-9935. Community funding is mainly 
intended to overcome the financial obstacles that can occur at the start of a project. 
Significant progress was made in 1996 on the TENs. The Union's financial contribution was 
appreciably higher in 1996 than in 1995 and the role of the TENs in improving the unemployment 
situation was acknowledged, in particular in the European Confidence Pact for Employment. Other 
measures and/or initiatives improved the operating climate for the TENs, examples being the start 
made to liberalising the electricity market, the reopening of negotiations to liberalise the market in 
gas, the Commission's green and white papers on internationalisation of the external costs of the 
transport infrastructures, the "citizen's network" and the relaunch of rail transport. Some difficulties 
remain36, nevertheless, in particular with regard to the budget for work on 14 specific (or priority) 
transport projects identified at the European Council in Essen in 1994. Issues are still addressed from 
a national perspective instead of being resolved at Community level in an integrated way and with 
networks and systems in mind. Difficulties have also arisen over establishing public-private 
partnerships, transport charges, public procurement and the European Company statute. 
On TENs legislation, the guidelines on transport and energy networks were adopted on 23 July, as 
was the Directive on the interoperability of the trans-European high-speed rail system37. The Member 
States were less inclined to proceed with environmental network projects as part of the criteria laid 
down for water and waste. 
Since 1993, the TENs are explicitly eligible for ERDF funding, which has now become the main 
source of Community funding (more than ECU 5 billion for 1994-99), and for Cohesion funding 
(more than ECU 7 billion in the same period). The ERDF funds TENs projects, or (secondary) 
projects providing access to TENs in eligible areas while the Cohesion Fund finances TENs transport 
projects in Greece, Ireland, Portugal and Spain. A number of projects of common interest in the 
guidelines, including several projects that the European Council in Essen in December 1995 deemed a 
priority, are funded under the Objective 1 CSFs. Attempts are made to co-ordinate the assistance as 
much as possible with the other Community financial instruments, such as the TENs budget line, EEB 
loans and EIF guarantees by setting up committees of representatives of the Member States, holding 
internal consultations or publishing a schematic plan for monitoring funding. Since 1993 the EEB and 
the EIF have also contributed more than ECU 20 billion in loans and loan guarantees for TENs 
funding. The Commission has stressed38 the need to improve coordination in the Member States 
between the national administrations in charge of transport and the national, regional and local 
authorities that channel assistance from the Structural Funds. 
34 Council Regulation (EC) No 2236/95 of 18 September 1995. 
35 1995 prices. 
36 See the 1996 Annual Report on trans-European Networks, COM(96) 645 final of 6 December 1996. 
37 Directive 96/48/ECOJ No L 235, 17.9.1996. 
38 1996 Annual Report on die trans-European networks. 
f; 
122 8th Annual Report on the Structural Funds (1996) 
Trans-European transport networks 
The guidelines for the trans-European transport networks were adopted by the Council and Parliament 
on 23 July 199639. Their goal is to introduce by 2010 a multimodal network offering modern, efficient 
infrastructure for economic activity and a wide variety of rapid and reliable transport options helping 
to absorb the increasing traffic in goods and passengers and establishing the best connections for the 
peripheral and remotest regions. In terms of the projects already under way, steady progress has been 
made by most of the 14 specific projects identified by the European Council in Essen. In 1996, the 
Commission committed ECU 280 million to the TENs budget line for transport projects of common 
interest, 75% of which went on the specific projects in accordance with the conclusions of the Cannes 
European Council in June 1995. Of the priority and specific projects, a number receive significant 
joint-funding from the ERDF and the Cohesion Fund: main roads in Ireland, Northern Ireland and 
Italy, Athens-Thessaloniki rail link, the Via Egnatia and Pathe motorways (Patras-Athens-
Thessaloniki) which has made appreciable progress since the tender for two sub-projects was 
awarded, and the Cork-Dublm-Belfast rail link, which should be completed in 1996-97. 
Trans-European energy networks 
The TENs guidelines for gas and electricity were adopted by the Parliament and Council on 5 June 
199540 j0 adjust to the rapid changes in the energy sector in Europe and to take account of the 
accession of Austria, Finland and Sweden, in July 1996 the Commission presented a proposal41 
supplementing the first list of 43 projects of common interests mentioned in the guidelines with 31 
new projects. The proposal was adopted in June 1997. The Essen European Council moreover 
identified ten priority projects among the 43 in the guidelines. La the gas sector, appreciable progress 
was achieved in 1996 on the gas pipeline projects assisted by the ERDF in Greece, Spain and Portugal 
in particular, to which the EIB also granted substantial loans. The projects involve: 
• construction of the Algeria-Morocco-Spain pipeline in Spain, with spur lines to certain towns and 
cities in Andalusia; 
• the introduction of natural gas to more Spanish towns and cities (the western gas pipeline project 
and the Valencia-Orihuela-Cartagena project); 
• the introduction of natural gas to Portugal and interconnection of the Portuguese and Spanish 
networks; 
• the main pipeline in the project to introduce natural gas to Greece, which has already been built, 
and funding of the remaining work to built the high-pressure gas supply network. The work is 
being carried out with a loan from the ELB; 
• the connector between eastern Germany and western Poland and the start of work on the other 
sections in Germany and Poland, part of the Russia-Belarus-Poland-European Union pipeline. 
Most of the electricity projects on the other hand have yet to get permission or comply with 
environmental standards. This is the case for the electricity interconnection projects between France, 
Spain and Italy and between Italy and Greece. Only the electricity connector between northern 
Portugal and Spain is partly operational and this project and is not yet complete. 
As regards financial assistance from the TENs budget line to projects of common interest identified in 
the guidelines, in 1996 the Commission decided to grant ECU 8 900 000 to part-finance studies, 45% 
of which went on projects in Spain, Portugal, Greece and Ireland. 
39 European Parliament and Council Decision No 1693/96 of 23 July 1996, OJ No L 228, 9.9.1996. 
40 European Parliament and Council Decision No 1254/96 of 5 June 1996 , OJ No L 161, 29.6.1996. 
41 COM(96) 390 final of 24 July 1996. 
8th Annual Report on the Structural Funds (1996) 123 
Tram-European telecommunications networks 
At the end of 1996, thé European Parliament and the Council were preparing the conciliation 
procedure for the overall guidelines for trans-European telecommunications networks. The guidelines, 
which supplement the ones already in force for the integrated services digital network (Euro-ISDN), 
highlight applications and services meeting the socio-economic needs of the users and focus in 
particular on those areas of public interest where telecommunications provide innovative solutions: 
multimedia for education and culture, data transmission links between those involved in health care, 
value-added services for transport system users and data transmission services for SMEs. Along with 
Euro-ISDN, the guidelines cover all advanced and mobile networks and the preparatory work on the 
move to broadband (IBC) networks. The ERDF is funding expansion of the physical networks. It is 
similarly contributing ECU 173 million to the development of the ISDN-TENs in Greece under the 
Telecommunications OP. 
Funding of the TENs telecommunications activities in 1996 from the TENs budget line was based on 
the 1995 guidelines and was aimed at developing Euro-ISDN. The activities funded included the 
selection, after a call for proposals published on 13 April 1996, of 11 advanced telecommunications 
services and applications projects of socio-economic relevance covering such aspects as urban 
information networks, telemedicine, teleinformation, teleworking, cultural services from a remote site 
and electronic trading for SMEs. The Community contribution to these projects was ECU 18 100 000. 
It is impossible to calculate the extent to which these funds actually benefited the Cohesion countries 
as the beneficiaries in each case were ad hoc consortia formed of companies from different Member 
States. 
10. The Structural Funds and the transparency of public contracts 
In the Annual Report for 1995, the Commission stressed the need to be close geographically to project 
decision-makers so that the preparation of the project case files, their monitoring, the speed of 
implementation and understanding of Community documents might all be improved. As information 
on public procurement is available at national, regional or local level, monitoring must also act as an 
aid to the decision-makers and thus be carried out at the appropriate level. As previously stated, the 
Commission gave thought to this issue and it consequently adopted in November 1996 the Green 
Paper on Public Procurement.42 1997 was spent collecting the comments of the economic actors and 
preparing the framework for the physical implementation of the proposed approaches. 
On monitoring assistance part-financed by the Structural Funds, the Green Paper has a number of 
innovative proposals to make. Two chapters are of direct relevance to the contracts receiving 
Community assistance: the issue of "Attestation" in the chapter on the application of public 
procurement law and the issue of procurement involving Union funds in the chapter on public 
procurement and other Community policies The Commission has suggested creating at national level 
independent bodies monitoring public procurement rules, increased use of the procedure certifying 
compliance with Community legislation on public procurement (already provided for in the Remedies 
Directive) and making public procurement decision makers accountable. Movement in this sense does 
not mean that Commission would give up its rights in this regard; it will continue to monitor public 
procurement in accordance with the Treaty and the Directives. 
In the case of the checks carried out on the award of public tenders funded by the ERDF in the 1989-
93 period, the Commission received "public procurement questionnaires" completed by the bodies 
carrying out the projects and returned along with the applications for the payment of outstanding 
balances as laid down in the Structural Funds Regulations. Using these questionnaires, the 
Commission knows when a notice of public works contract to carry out these projects is published in 
the Official Journal, thereby allowing it to scrutinise all relevant information. In the case of the public 
42 COM(96) 583 final of 27 November 1996. 
124 _ 8th Annual Report on the Structural Funds (1996) 
procurement procedures used for awarding contracts, the documents enabled the Commission to carry 
out more detailed investigations using the records of awards. 
11. The Structural Funds and competition policy 
Under Articles 92 and 93 of the Treaty, the Commission keeps under review public aid to firms in so 
far as it distorts competition and affects trade between Member States. When examining regional aid 
for compatibility with the Single Market, the Commission pays particular attention to its potentially 
beneficial effects on the economic development of the least-developed regions, provided that the 
terms of competition and trade between Member States are not affected to an extent contrary to the 
common good. These principles are applied not only when specific aid schemes are being scrutinised 
but also to the horizontal arrangements. Thus, in line with the guidelines adopted in recent years, 
more favourable treatment is reserved for this type of aid under the various provisions adopted in 
1996. In particular, both the Community rules on State aid for research and development43 and for 
SMEs44 provide for an increase in the acceptable intensity of aid if the projects are located in a region 
eligible for structural funding. 
Since a significant proportion of the aid from the Structural Funds benefits firms directly, it is also 
important to ensure that the Community's regional policy is carried out in full conformity with the 
rules on competition. The Commission must take account of the effect any cumulation of State aids 
and Community funding will have on competition and trade. With this in mind, in 1996 the 
Commission examined the measures in the Objective 2 SPDs for the period 1997-99 for compatibility 
with the Treaty. 
In addition, the Commission's efforts to improve consistency and coordination between Community 
and national regional policies continued in 1996 through the analysis of maps of regions eligible for 
regional aid. New maps were approved for Germany, Luxembourg and the Netherlands. In each case, 
interest focused mainly on the percentage of the population covered and the intensity of aid. On that 
occasion the Commission made sure that coverage in terms of the eligible population was such that 
greater concentration of the aid was achieved overall so that its economic impact was maximised, its 
effect on competition was contained and limited budget resources were used more effectively. On the 
other hand, the Commission ensured that the ceilings for aid were differentiated depending on the 
relative macro-economic standing of the regions concerned. 
In the First report on economic and social cohesion45, the Commission felt that the principle of overall 
concentration of the aid in the least-favoured regions could be even more resolutely applied, in 
particular by improving consistency between the identification of regions eligible under the Structural 
Funds and the decisions on eligibility for national aid, and it intends to continue in this vein. In this 
regard, eligibility under the Structural Funds (in the case in point, the Urban Community Initiative) 
has been made an additional criterion for the eligibility of certain areas for national aid falling within 
Community rules on State aid to firms in disadvantaged urban areas. 
43 OJ No C 45, 17.2.1996. 
44 OJ No C 213, 23.7.1996. 
45 COM(96) 542 final of 6 November 1996. 
8th Annual Report on the Structural Funds (1996) 125 
Furthermore, in the case of the new Member States, the Commission examined the new schemes and 
the amendments which, in accordance with the Agreements on Accession, were made to the schemes 
existing at the time of accession to bring them into line with Community rules before 1997. Most 
notably, in 1996 the Commission approved an aid scheme for transport in the northern regions of 
Finland to take account of the special regional development problems resulting from the area's low 
population density. This is the first case applying the provisions set out in its communication on the 
application of Article 92(3)(c) of the Treaty relating to State aid for regional purposes46. 
12. The Structural Funds, education and training 
Two main approaches were followed in 1996 to ensure coordination between the Structural Funds -
the ESF in particular - and the Community's programmes on education and training: in the first place 
coordination was maintained between the ESF's activities, in particular its Employment and Adapt 
Community Initiatives, and the two extensive education and training programmes Socrates and 
Leonardo Da Vinci; secondly, specific initiatives were undertaken to promote a Community-wide 
debate on essential education and training policies. The place of education and training in the 
Community's employment strategy has generally remained a central concern, as evidenced by the 
various activities undertaken. 
In terms of actual programming, the provisions on coordination in the Socrates and Leonardo Da 
Vinci programmes remained applicable so that consistent approaches might be adopted for the 
selection of projects under the Community Initiatives and for funding under Article 6 of the ESF 
Regulation. More generally, complementarity between the policy guidelines focused on four 
Commission education and training initiatives, i.e. The European Year of Lifelong Training and 
Education (1996); the White Paper Teaching and Learning: towards the learning society, which 
resulted in proposals on employability, social exclusion and a strengthening of cooperation between 
schools and the world of work; the Commission task force responsible for educational software and 
multimedia drafted a final working paper in July47 and a joint invitation for proposals in December 
1996; lastly, the Commission proposal "Learning and the Information Society: Action Plan for a 
European education initiative", which proposes Structural Fund aid for the policies set out in the 
proposal. 
13. The Structural Funds and culture 
Culture is a job-creating sector of the economy identified by the Commission in its White Paper on 
Growth, competitiveness and employment. Having presented its first Report on the consideration of 
cultural aspects in European Community action48, which includes a presentation of the various types 
of Structural Funding available, in November 1996 the Commission adopted a communication entitled 
"Cohesion Policy and Culture: a contribution to employment"49, in which it stressed that culture was 
not only a costly public activity but also an increasing economic sector in its own right. The document 
identifies the interaction between regional development and culture and emphasises the importance 
that culture can have in creating jobs. Culture can in fact fulfil three major regional development 
functions since cultural activities and development linked to the cultural heritage are a source of direct 
and indirect employment, culture is an important element for a region's image region and the 
establishment of economic activities and, lastly, it can be a factor in boosting and integrating social 
activities. 
46 OJ No C 364, 20.12.1994. 
47 SEC (96) 1426 of 23 July 1996. 
48 COM(96) 160 final of 17 April 1996. 
49 COM (96) 512 final of 20 November 1996. 
726 8th Annual Report on the Structural Funds (1996) 
While it is difficult to provide exact figures, the Structural Funds are the most important instruments 
for funding cultural projects. The Communication concludes therefore that, in future, culture must be 
more fully integrated into the local and regional development strategies so that they can have 
maximum effect on employment and innovation. While the cultural heritage has already benefited 
greatly from the Funds, greater attention must henceforth be paid to cultural activities and their 
exploitation as a source of income. 
126 bis 8lh annual report on the Structural Funds (1996) 
14. The Structural Funds and disability 
Following the Commission's Communication ', the Council adopted on 
20 December 1996 a Resolution on equal opportunities for the disabled. This 
document drew special attention to changing attitudes to disabled persons at both 
European and wider international level2 and made the following points: 
i • disabled persons form a significant proportion (37 million) of the 
Community's population; 
• social cohesion in the European Community implies promotion of equal 
opportunities and removing any discrimination against such persons; 
• access to properly-linked education and training is a necessary condition for 
successful integration into social and economic life. 
With an unemployment rate two to three times above the average for the 
population as a whole, disabled people must be the subject of a special effort via 
well thought out measures for their social and professional integration. Since 
1989, the Structural Funds have been working for economic and social cohesion 
in all regions of the Union. The fight against unemployment and the creation of 
jobs are held to be a special priority. The Structural Funds, and in particular the 
ESF. are a vital element of the Commission's strategy of implementing a 
combination of programmes in favour of equal opportunities. In total, 
5.5 thousand million ecus from the Structural Funds are targeted against social 
exclusion in the 1994-99 period under Objectives 1, 2 and 3. Specifically for 
disabled persons, the FSE is contributing some 1.3 thousand million ecus (1996) 
via its "mainstream" actions (765 million ecus) and via the Employment / 
Horizon Community Initiative (513 million ecus). Horizon aims at an integrated 
approach (partnership between social actors and local/regional/national 
authorities) and supports four types of measure: training, job creation, guidance 
and new technologies. Given the special theme of the present report, it is 
interesting to note that one fifth of the Horizon projects concern new technologies 
and distance-working. In its 1997 mid-term evaluation of the Structural Funds, 
the Commission will seek to assess the impact of measures in favour of the 
disabled. 
COM(96)406of30July 1996. 
2 cf. the United Nations General Assembly Resolution 48/46 of 20 December 1993 for the promotion of 
the principle of equal opportunities, and the White Paper "European social policy: a way ahead for the 
Union" COM(94)333 of 27 July 1994. 

1 z. 1-
CHAPTERm 
INTER-INSTITUITONAL DIALOGUE, REGIONAL PARTNERSHIP 
DIALOGUE WITH THEECONOMIC AND SOCIAL PARTNERS, 
INFORMATION AND COMMUNICATION 
St/i Annual report on the Structura! Funds (1996) 13 
number of profitable holdings. After the reform, disparities were reduced, although to a lesser extent 
than if the Commission's proposal to cap direct aids had been accepted. 
The Cohesion Report shows that all regions and all sections of society may benefit from those 
Community policies where expenditure is lower but which create a climate for change. However, the 
more central regions and the more advantaged social groups are often better placed to do so. For 
example, the single market has had a considerable impact on competitiveness throughout the Union, 
despite unfounded fears that it would prove crushing for the poorer countries. Spain, Portugal and 
Ireland in particular have seen their chances of finding export opportunities grow. However, as 
regards trade and investment, the position of Greece and southern Italy has scarcely improved. 
Turning to transport networks, the countries eligible under the Cohesion Fund have seen 
improvements in passenger transport although it is true that the countries at the centre of the 
Community, at the very heart of the transport network, benefit still more from these policies. In the 
case of telecommunications networks, the infrastructure required to develop the information society is 
less advanced in the poor regions, which undoubtedly threatens to widen the gap between rich and 
poor regions in this respect2. 
The Cohesion Report concludes by looking at ways of making the policies more effective. Here too, 
the watchword is shared responsibilities. The Member States must take the initiatives required to 
reduce public debt while maintaining programmes based on investment, growth and job creation; the 
Community policies other than cohesion policy can in turn improve synergies and coordination with 
the goals of cohesion. The Structural Funds should concentrate more on the most serious problems 
and the regions in difficulty. Administrative procedures require simplification and the system of 
monitoring and evaluation must be made more rigorous. The partnership with those involved at 
regional and local level and with the private sector could be developed. Finally, the Structural Funds 
must give priority to combating unemployment and creating lasting jobs and the instruments used 
must reflect this priority. 
2. Support for employment 
During 1996 the employment situation remained a major cause for concern within the Union. The 
guidelines for macroeconomic policy offer a consistent framework for a lasting solution to 
employment problems, and the multiannual programmes of the Member States adopted in accordance 
with the recommendations of the Essen and Madrid European Councils are of the utmost importance, 
since they embody strategic commitments to making the labour market more efficient and increasing 
investment in human resources. These practical policies therefore ensure synergy with assistance 
from the Structural Funds. In its communication on Community structural assistance and 
employment3, the Commission pointed to the growing need to ensure consistency between the 
strategy of the Union and the measures in the Member States part-financed by the Structural Funds. 
That communication is part of the Confidence Pact for employment4, which seeks in particular to use 
the available financial margins in various ways: to support innovative measures for small firms: to 
improve the dynamic management of employment and investment in human resources: to increase 
compatibility between working life and family life; and to promote local initiatives for development 
and employment. The Confidence Pact also stresses the need to improve the political, economic and 
social partnership in order to improve the way local potential is used to encourage job creation. 
In 1996, implementation of this framework for action took two main directions. On the one hand, the 
communication on Community structural assistance and employment provided a basis for the 
Commission's guidelines to the Member States in preparation for the second phase of programming 
for Objective 2 (\991-99Y. On the other, at the Florence European Council in June 1996. the 
2 See part B of this chapter: A special focus on technology development. 
3 COM(96) 109 final of 20 March 1996. See Chapter II.D. Complementarity with the other Community policies. 
4 CSE(%) i final of 5 June 1996. 
5 C(96> 952 final of 29 April 1996. See Chapter l.A.3. Objective 2. 

8th Annual Report on the Structural Funds (1996) 129 
A* INTER-INSTITUTIONAL DIALOGUE 
The implementation of the Structural Funds is generating a steady, varied and growing flow of 
dialogue between the Commission and the other Community institutions; this dialogue takes many 
forms, from exchanges of information, now regular and systematic, to the adoption of 
communications and notices by the Commission and opinions and resolutions by the other 
institutions. The main channels of this dialogue are meetings, both formal (e.g. part-sessions of the 
European Parliament and its committees and ministerial meetings) and informal (seminars or joint 
working parties), and there is dialogue at both policy-making and technical levels (e.g. between 
departments and in Structural Fund committees). This wide range of contacts involves a large number 
of subjects. In 1996 those chiefly discussed by all the institutions, in response to several Commission 
communications and documents, were employment, economic and social cohesion and the key role of 
the Structural Funds. More attention was also devoted to the links between certain policies - the 
environment, culture, equal opportunities, rural development, fisheries - and the Structural Funds, 
action to assist certain types of area (urban, coastal, rural and border) and spatial development at 
European level. Lastly, issues relating to the implementation of Structural Fund assistance as such 
remained a central theme, as in previous years, with a specific focus on the progress of programme 
implementation, the allocation of the Community Initiative reserve, the preparation of the second 
phase of the Objective 2 programme (1997-99), ways of simplifying the administration and improving 
the effectiveness and assessment of the Structural Funds, and how to involve as many players as 
possible, in particular in the context of territorial pacts for employment. 
1. Dialogue with the European Parliament 
In 1996 dialogue with Parliament covered both the full range of structural policies and specific 
instances of Structural Fund assistance. Parliament adopted a resolution on economic and monetary 
union and economic and social cohesion in Europe, stating its view that the nominal convergence 
criteria for transition to a single currency were such as to create a favourable environment for more 
effective regional policy, a key factor in a long-term cohesion strategy. The resolution also called on 
the Inter-governmental Conference to strengthen Title XV of the Treaty concerning economic and 
social cohesion. In another resolution on Community structural assistance and employment, 
Parliament expressed the view that economic and social cohesion was being undermined by 
excessively high unemployment rates, in particular in remote regions and those whose development is 
lagging behind. It called on the Commission and the Member States to use Structural Funds resources 
for measures that would promote long-term job creation. It also asked the Commission to develop an 
evaluation methodology suitable for an improved assessment of the impact of structural policies on 
employment. 
There was also intensive discussion of specific cases of Structural Fund assistance. With regard to 
regional policy, Parliament delivered opinions approving Structural Fund assistance for Objective 1 
CSFs in Portugal, Spain, Greece and Ireland, while stressing the problems requiring particular 
attention in each case. Parliament also gave its views on the guidelines for the second programme of 
innovative measures under Article 10 of the ERDF Regulation. Given the considerable interest 
attracted by measures under Article 10 in the previous financing period and the remarkable results of 
measures during that period, Parliament encouraged the Commission to promote inter-regional 
cooperation measures and pilot projects as widely as possible. In another resolution it approved the 
policy guidelines which the Commission had followed in its allocation of the Community Initiatives 
reserve, but expressed its regret that the industrial Initiatives had received so little extra funding and 
that the Regis Initiative had received no additional appropriations. 
Commission Members also frequently addressed Parliament. The main focus of Commission 
addresses to the Committee on Regional Policy was employment and cohesion. Mrs Wulf-Mathies, 
the Member of the Commission with special responsibility for regional policy and cohesion, outlined 
the main aspects of the Confidence Pact for Employment proposed by the Commission in 1996 and 
stressed the role of the Structural Funds in implementing the resulting territorial pacts for 
1^0 ^^ 8th Annual Report on the Structural Funds (1996) 
employment. She also spoke about the first approaches to be explored concerning the reform of 
structural policies in preparation for the enlargement of the Union to include central and eastern 
European countries. On other occasions, she summarised the main points of the first report on 
economic and social cohesion and presented the Commission's work programme for 1997. Mr Oreja, 
the Member of the Commission with special responsibility for cultural matters, attended the joint 
meeting of the Committee on Regional Policy and the Committee on Culture, where he presented the 
Commission's cultural programme, emphasising the role that the cultural sector could play in 
generating employment and therefore advocating that Community policies should take greater account 
of it. The Commission was also present at the conference organised by Parliament and the Union's 
regional and local authorities. In his address to the conference, President Santer reminded those 
present of the importance of the principle of partnership, which meant that regional and municipal 
authorities were more involved in work towards cohesion. Mrs Wulf-Mathies also focused on the 
growing importance of the regions in the European project, while Mr Oreja gave an account of 
progress made at the Inter-governmental Conference. 
The Commission continued its discussions of social issues with Parliament through the ad hoc 
working group, which continued the work begun in 1995. At its meetings, the working group 
examined a variety of ESF issues, both horizontal aspects, such as assessment, financial equalisation 
and relocations, and specific aspects of implementing ESF assistance, such as payments, carryovers, 
budgets and forecasts. The working group proved very useful as a channel for more in-depth dialogue 
and explanation of ESF assistance. Its value was demonstrated by the fact that Parliament's 
Committee on Social Affairs decided in September 1996 to increase the number of its members 
participating in the group to ten. 
The discussions of Parliament's Committee on Agriculture and Rural Development culminated in the 
adoption, on 25 October 1996, of a Resolution on European rural policy and on the creation of a 
European Rural Charter. Parliament stated that in the light of the problems facing rural areas and in 
order to keep up employment levels in the countryside, it was essential to establish an integrated 
multi-sectoral policy that would give priority to employment and foster improvements in the quality 
of agricultural products, the protection of the environment, equal opportunities and the development 
of services. The Committee on Agriculture and Rural Development also addressed the issue of young 
farmers and the transfer of farms. Other matters it discussed were ways of improving existing 
mechanisms and the distribution of powers and responsibilities between the Commission and the 
Member States. *" 
The Commission maintained regular and fruitful dialogue with Parliament's Committee on Fisheries. 
Several Parliamentary questions were addressed to the Commission on the subject of structural 
assistance for fisheries, including measures eligible for FIFG financing, the distribution of such 
financing and the Community Pesca Initiative. Mrs Bonino, the Member of the Commission with 
special responsibility for fisheries, attended several meetings with Parliament, both at the Committee 
on Fisheries and at plenary sessions. The Commission also responded to a Parliamentary Resolution 
on the crisis in the fisheries sector which raised several issues about structural assistance for fisheries. 
Finally, Parliament endorsed the third and fourth amendments to the FIFG Regulation1. 
2. Dialogue with the Economic and Social Committee 
The Commission continued its contacts and cooperation with the Economic and Social Committee at 
all levels. The Committee gave its reactions and comments in opinions which were studied attentively 
by the Commission. The Committee considers that economic and social cohesion should be the 
leitmotif of all regional assistance, and most of its opinions were formulated with this in mind. In its 
opinion on the future of cohesion and the long-term implications for the Structural Funds, the 
Committee addressed the full range of cohesion issues and examined the challenges facing the 
Structural Funds. It stressed the importance of European regional policy instruments in the context of 
1 See Chapter I.A.I. Objective 5(a) fisheries. 
8th Annual Report on the Structural Funds (1996) 131 
an enlarged Union in which economic and monetary union will have become à reality. Similarly, in its 
opinion on the Sixth Annual Report on the Structural Funds (1994), it stressed the importance of 
economic and social cohesion and job creation, while specifying that the latter must be pursued with a 
view to long-term economic development and should not constitute the only criterion for granting 
funding. The Committee also reaffirmed the importance of the principles of structural action and 
urged effective implementation of the principle of partnership. 
The Committee welcomed the consistent nature of the allocation of the Community Initiative reserve 
proposed in the Commission decision and the fact that more funding was going to the Employment 
Initiative; at the same time it underlined the need for monitoring and assessment. It also expressed its 
support for a policy designed to achiever greater synergy between cohesion and environmental 
policies and called on the Commission to define specific measures for putting the proposed principles 
into practice. With regard to urban issues, the Committee pointed out the value added that 
differentiated operations integrating social, economic and environmental aspects could contribute 
towards greater economic and social cohesion. With this in mind, it called for urban issues to become 
one of the Community's responsibilities. Spatial planning was also the subject of discussion within 
the Committee in connection with its work on the "Europe 2000+" planning document, with particular 
attention devoted to specific problems facing the Alpine Arc; the Committee proposed using the 
Structural Funds to help deal with these problems. As regard the integrated development planning of 
coastal areas, it recommended that the aims of funding to be allocated to this objective should be more 
thoroughly defined. 
Finally the Committee unanimously endorsed the two amendments to the FIFG Regulation2 (adapting 
the premium arrangements and concerning reference to the geographical origin of products). 
3. Relations with the Committee of the Regions 
The dialogue between the Commission and the Committee of the Regions was continued and stepped 
up following the guidelines adopted by the Commission in April 1995. At the beginning of the year, 
the Commission sent the Committee a projected programme of consultations going beyond those 
provided for in the Treaty. The Commission actively participated in the Committee's work and 
regularly informed it of action taken in response to its opinions. The Committee particularly focused 
on employment and the greater role which the Structural Funds should play in this area. In June 1996 
President Santer addressed the Committee, presenting the Confidence Pact for Employment in 
Europe. He stressed the key role of local and regional authorities in implementing the Pact and called 
on the Committee to make an active contribution. For its part, the Committee adopted a resolution 
stating its intention of participating fully in the specific process of implementing territorial pacts for 
employment. Mrs Wulf-Mathies also participated in the Committee's work on two occasions. In 
January she spoke on the interaction between cohesion and environmental policies, stressing the 
growing importance of the environmental factor in the competitiveness of regions and the contribution 
being made by Structural and Cohesion Fund assistance to improving the environment in 
disadvantaged regions. In November she presented the first Report on Economic and Social Cohesion, 
noting that the effectiveness of structural policies should be increased to deal with the challenges 
lying ahead, in particular by concentrating assistance, making continuation of programmes conditional 
on results and improving financial management. 
The Committee also stated its position on subjects such as the new regional programming under 
Objectives 1 and 2, the allocation of the Community Initiative reserve, the Union's policy on cross-
border cooperation with the Russian Federation and the region around the Barents Sea and regional 
cooperation in the Baltic. The Commission organised, jointly with the Committee of the Regions, a 
series of six seminars to examine, with the representatives of local and regional authorities and social 
and economic partners, the role of spatial development in Europe as elaborated in the "Europe 
See Chapter I.A.5. Objective 5(a) fisheries. 
132 8th Annual Report on the Structural Funds (1996) 
2000+" document. The results of these seminars are recorded in a report by the Committee of the 
Regions. 
The Committee issued three opinions on rural development. The first called for a rural development 
policy based on a multi-sectoral approach and aimed at all rural areas, but with programmes defined at 
regional level to take account of each region's specific characteristics. The second concerned new 
forms of economic activity and new services in rural areas and recommended that, since services were 
playing an increasingly important role in the economy and had major job-creation potential, they 
should be actively fostered in rural areas, their quality and conditions of access should be improved 
and the use of telecommunication networks in isolated regions should be developed. The third dealt 
with young farmers and the problems of the transfer of farms. It called for the conditions for young 
farmers taking over farms to be made easier by developing an early retirement scheme, authorising 
multiple sources of income, facilitating access to training for young farmers, harmonising taxes and 
other charges on the sale or inheritance of farms, staggering payments of setting-up costs and 
improving the provision of information on ways of setting up in farming. In June 1996 Mr Fischler, 
the Member of the Commission with special responsibility for agriculture and rural development, 
gave a talk on the implications of enlargement for agricultural policy and took the opportunity to give 
his views on the future of the CAP and rural development policy. 
Finally, the Committee of the Regions gave its opinion on the regional impact of the common 
fisheries policy, analysing, among other things, the role of the FIFG and Pesca on the regions. 
4. Informal meetings of the ministers responsible for regional policy and spatial planning 
The ministers responsible for regional policy and spatial planning attended two informal meetings in 
1996, one on 3 and 4 May in Venice under the Italian Presidency and the other on 14 and 15 
November in Ballyconnell under the Irish Presidency. The second meeting was organised in the form 
of a seminar. 
The Venice meeting discussed the effectiveness and monitoring of the Structural Funds and how to 
simplify their application, and culture and regional development. With regard to the implementation 
of structural measures, the ministers expressed the view that the Funds were operating properly but 
certain improvements were needed in programme quality and implementation, financial management 
and the application of the principle of partnership. It was agreed that Structural Fund assistance 
procedures needed simplifying in order to reduce delays. In this connection, the need was pointed out 
for the decision-making procedure for the new Objective 2 programming and the use of the 
Community Initiative reserve to be as simple as possible. The ministers also fully endorsed the 
objectives of the SEM 2000 Initiative3. In addition, they recognised the role of culture in regional 
development and job-creation in the less advantaged regions of the European Union. They agreed that 
it would be desirable to develop Structural Fund assistance for various types of cultural activities such 
as the protection and development of the cultural heritage and the improvement of culture-related 
industries and products4. 
The meeting devoted to spatial planning constituted an additional stage in the process of elaborating 
the European Spatial Development Perspective (ESDP) begun at the end of 1993. The ESDP will be 
an indicative document proposing a reference framework for spatial development for Community 
policies which involve this dimension (the CAP, the Structural Funds, the environment, major 
networks, etc.), and the spatial development policies of Member States and their regional and local 
authorities, as well as various cooperative projects in this area. The most recent contributions of 
Member State administrations on this subject were discussed in Venice. The analysis of major trends 
in European spatial development was continued in greater depth. However, the ministers stressed that 
studies of this type, which were necessary in the initial stages, should be temporarily suspended and 
3 See Chapter II.B. Checks and financial management. 
4 See also Chapter II.D. Complementarity with other Community policies. 
8th Annual Report on the Structural Funds (1996) J33 
during the next stage the emphasis should be on defining differentiated policy guidelines adapted to 
the particular characteristics of different parts of Europe. Some initial specific suggestions on this 
subject by the Member States were presented in Venice. The Italian Presidency also submitted two 
studies, one on the future of European cities and the other ways of making more of the cultural 
heritage. The ministers highlighted the importance that should be accorded to these two subjects in 
the future ESDP. They also reminded the Spatial Development Committee, which is in charge of 
drawing up the ESDP, that they hoped that by the meeting in June 1997 under the Dutch Presidency 
they would be able to give their opinions at on a first official outline ESDP which could serve as the 
basis for broad public discussion with the various parties concerned. 
At the Ballyconnell seminar on 14 and 15 November, where spatial planning issues as such were not 
on the agenda, discussion focused on ways in which Structural Fund programmes could do more to 
encourage job creation, on the promotion of territorial employment pacts and on the first Report on 
Economic and Social Cohesion. It was generally agreed that the impact of Structural Fund 
programmes on employment should be made a priority in the next mid-term programme reviews. It 
was agreed that the Commission would draw up guidelines for adjusting current Objective 1 and 6 
programmes, concentrating on the development of employment. There was also emphatic support for 
the goal of promoting 60 employment pacts under Structural Funds programmes. In discussing the 
Report on Economic and Social Cohesion, ministers expressed the view that progress towards 
convergence was being made and that Community structural policies had contributed to this progress. 
They stressed the need to maintain economic competitiveness and reduce economic and social 
disparities. They also agreed there was a need to continue efforts to improve the transparency and 
effectiveness of structural policies and to work for greater regional and thematic concentration of 
financial resources. 
5. Committee opinions 
The Committee on the Development and Conversion of Regions met four times in 1996. It issued only 
one official opinion, on the list of areas eligible under Objective 2 for the 1997-99 programming 
period. At the Committee's meetings there were many discussions on subjects of a general nature, the 
Commission provided information and exchanges of experience took place. The progress of 
programming was also discussed on the occasion of a talk by the Director-General for Regional Policy 
and Cohesion, on the presentation of the Sixth Annual Report on the Structural Funds (1994) and 
when information was given on the preparation of the new programmes under the Interreg II C 
Initiative and pilot projects in spatial planning (Article 10 of the ERDF Regulation). The Commission 
also informed the Member States' representatives about certain aspects of Structural Fund 
administration such as its procedures for adopting new programmes, the implementation of interim 
assessments and irregularities of which it had been informed in the context of anti-fraud operations. It 
also presented communications it had adopted and initiatives it had taken concerning links with other 
Community policies (environment, employment and innovation). Finally, as pan of the SEM 2000 
exercise, each Committee meeting addressed the question of the eligibility of expenditure under the 
Structural Funds. When it had presented its guidelines on this subject, the Commission consulted the 
Committee, and all the other Structural Fund Committees, for an initial examination of the eligibility 
criteria. The result was a consensus on the need for clear and transparent rules adopted in partnership 
between the Commission and the Member States. In parallel with the work of the group of personal 
representatives of Finance Ministers and pursuant to Council guidelines, a draft Commission Decision 
was presented to the Committees at the end of 1996, to be adopted at the beginning of 1997. 
The ESF Committee also met four times in 1996. Following long discussions, the Committee created 
an ad hoc working group on the contribution of the ESF to growth with a higher job-creation factor in 
the context of existing measures to fight unemployment, particularly long-term unemployment. The 
group met six times in 1996 and presented its interim report to the Committee in September. As laid 
down by the Coordination Regulation, the Committee issued its opinion on draft Commission 
decisions on CSFs and SPDs under Objectives 2, 3 and 4 for the 1997-99 programming period. The 
Commission also informed the Committee about the implementation of innovative measures under 
134 • 8th Annual Report on the Structural Funds (1996) 
Article 6 of the ESF Regulation. Other subjects studied by the Committee Were equal opportunities, 
the Green Paper on Innovation, the Commission's interim report on Objective 4 and the Adapt 
Initiative, the implementation of the Peace Initiative, the annual report of the Court of Auditors, and 
fraud-related irregularities reported by the Member States. Finally, at its last meeting in 1996, the 
Committee adopted its work programme for 1997. 
The Committee on agricultural structures and rural development (the STAR Committee) met 11 times 
in 1996 and issued 155 favourable opinions. These concerned principally measures under Regulations 
(EEC) Nos 2328/91 on improving the efficiency of agricultural structures, 2078/92 on agricultural 
production methods compatible with the requirements of the protection of the environment and the 
maintenance of the countryside and 866/90 on improving the processing and marketing conditions for 
agricultural products. It issued favourable opinions on all the Swedish SPDs under Objective 5(b). 
The Committee also discussed other subjects such as compensatory payments, additionally and 
assessment. 
The Management Committee on Fisheries Structures met five times in 1996 and was informed of all 
structural operations relating to this sector. The Management Committee for Community Initiatives 
met twice in 1996 and endorsed the allocation of the financial reserve and the new guidelines for 
certain Initiatives. The Committee held a initial policy debate at the end of 1995 which enabled the 
Commission, after consultation with the Member States and Parliament, to present a paper taking 
account of the comments made. Committee meetings also included exchanges of information and 
experience on trans-national cooperation under Community Initiatives, progress in implementing the 
Initiatives and the preparation of the Interreg IIC programmes. 
B. REGIONAL PARTNERSHIP 
Following Commission approval, after consultation with each Member State, of the programming 
documents, 1995 was devoted to the gradual establishment of the new partnership arrangements. The 
Seventh Annual Report (1995) gave a first account of these activities, broken down by Member State 
and the different partners concerned. During 1996 the partners consolidated and progressively 
improved their practice. Application of the principle was complex and sometimes difficult, but one 
year is not long enough to assess significant advances at Community level. The Commission's work to 
further application of the partnership principle had three main strands in 1996: consideration in greater 
depth of ways in which partnership might be reinforced, as proposed in the previous report; promoting 
experimentation with complementary approaches, already recorded in the implementation of certain 
programmes; and increasing the capacity of certain partners, continuing to endorse the approaches 
arrived at during the annual consultation on 1995 structural assistance. 
1. Consideration and promotion of new forms of partnership 
A discussion paper was drawn up for the members of the 'Cohesion' group of the Commission; it 
noted that despite a positive balance overall, partnership remained imperfect in a number of cases and 
there was therefore room for improvement. It posed a number of questions about how to overcome 
difficulties in implementing the partnership and proposed specific guidelines for improvement while 
avoiding the pitfalls of either multiplying partnerships to an extent that defeats the purpose of the 
exercise or reducing participation in the partnership to that of national and regional authorities and 
Commission staff. The proposals were aimed in particular at: 
• encouraging an immediate start to discussions in preparation for the period after 1999 on 
reformulating the legal framework to allow improved implementation of the partnership, in 
particular by clarifying the roles and responsibilities of each partner; 
• reinforcing the current partnership within the Monitoring Committees by establishing, if necessary 
and politically acceptable, a differentiation between partners part-financing assistance ("decision 
8th Annual Report on the Structural Funds (1996) 135 
v partnership") and partners who are consulted ("consultative partnership") or by exploring other 
forms of consultation, coordination and cooperation; 
• improving the technical and operational capacities of partners where necessary by supporting 
training, information and technical assistance measures. 
More generally, the paper proposes promoting exemplary and innovative initiatives at Community 
level in cooperation with national and/or regional authorities. Such initiatives would include territorial 
pacts for employment or partnerships for employment that foster a dynamic policy at the appropriate 
regional or local level and are intended to enrich the activities of the Monitoring Committees and 
bring together those involved in job creation in informal meetings where discussions can be held and 
proposals put forward. 
These proposals were contained in the Commission communication on Community structural 
assistance and employment5 and consolidated in its communication "Action for Employment in 
Europe - A Confidence Pact". To take advantage of the existing room for manoeuvre, the Commission 
specified the main priorities to be implemented and proposed establishing territorial employment pacts 
to mobilise the public and private sectors at the appropriate regional, national or local level. It stressed 
that, without actually creating new structures, a political momentum needed to be launched and 
promoted, either by a systematic approach initiated by the national authority concerned and applied 
throughout the region or area concerned, or by experimental approaches based on each Member State 
selecting the areas or regions it judged most appropriate, or, again, at the initiative of local authorities 
themselves. The Florence European Council (June 1996) subsequently called on each Member State to 
select, where possible, regions or towns suitable for participating in pilot projects concerning 
employment pacts so that such pacts could be implemented during 1997, partly by using the margins 
available under the structural polices. Technical documents were drafted and presented to the national 
authorities, in particular during an information meeting in November. The Dublin European Council 
(December 1996) welcomed the positive reactions to the initiatives concerning the territorial pacts for 
employment and called for the rapid implementation of the 60 projects proposed by the Member 
States. 
The Commission helped the Member States to implement this strategy by drafting guidelines for the 
pacts: 
• the range of partners should be as wide as possible and include national, regional and local 
authorities, the private sector, associations for the development or conversion of the area 
concerned, the socio-economic partners, representatives of citizens' cooperatives and associations, 
trade and professional organisations and chambers of commerce, institutions providing training, 
promoting technology or carrying out research and the chairpersons of the Monitoring Committees 
for structural assistance; 
• each pact should produce a document giving an account of analyses carried out, the precise 
commitments of each participant and specific proposals adopted. The proposals may take different 
forms: measures that promote job creation; measures to assist specific sections of the population; 
proposals concerning social and labour law; suggestions to the socio-economic partners about 
working organisation and working hours; support for innovative or experimental pilot projects; 
improving education and training; improving the operational and administrative capacity of 
regional or local authorities and specific proposals addressed to the structural policy Monitoring 
Committees as to how to use available margins and more effectively direct structural assistance 
towards job creation. 
5 COM(96) 109 of 20 March 1996. See Introduction and Chapter II.D. Complementarity with other Community 
policies. 
136 8th Annual Report on the Structural Funds (1996) 
Leader and the bottom-up approach. -. 
One of the fundamental aims of Leader is to mobilise as broad a local partnership as 
possible. It has been found mat the greater the involvement of local people, the 
greater the effort to find solutions appropriate to the specific problems of each area 
concerned. The most innovative Leader groups with the greatest chance of success are 
those which involve representatives of all the local socio-economic groups. 
The Leader European Observatory, in collaboration with the Leader "Alia Val 
Venosta" group, organised a seminar in Trentino Alto Adige in October 1996 on the 
subject of "Partnership for innovation". The construction, results and timespan of die 
partnership were discussed. This local action group (LAG) was selected as an 
example of the creation of a culture of partnership in an area not traditionally 
propitious to this approach. The provincial authorities showed a particular interest in 
this project and provided substantial assistance. There are four levels to the 
partnership: a prefinancing partnership (Province, State, Commission); a partnership 
responsible for administration and the programme (inter-municipal association); the 
LAG; five informal working parties (agriculture, tourism, crafts, training and data 
transmission). Specific training programmes have been developed for each project 
Following the success of the Val Venosta seminar, the Austrian Leader network 
organised a meeting on the same subject in Schlierbach in December 1996. A study 
group for structural renewal was formed mere made up of a number of concentric 
circles: the four founders, members of the association (about 20 people) and all the 
local actors from the different sectors involved (agriculture, alternative energy 
sources, education, business, etc.). This group stimulated new forms of cooperation 
and partnership. The association played a key role in forming the LAG of which it is 
one of the members. Since die area of Eisenwurzen is relatively well developed, the 
local actors focused on development projects to improve the quality of life and 
preserve the natural and cultural heritage. 
In a different context, on the left bank of the Guadiana in the south-east Alentejo, a 
region lagging behind in development, with high unemployment, suffering from rural 
depopulation and with a traditional, not very structured society, an association was 
established in 1992 at the initiative of private individuals. The association gradually 
become a permanent forum for local development, bringing together municipalities 
and organisations involved in the development of the area. In response to the 
difficulties encountered under Leader I, the association included as many players as 
possible to create a permanent forum and a large number of working parties, trying in 
this way to involve local people, including those most marginalised. 
2. Increasing the partners' capacities 
Under Article 7 of the ERDF Regulation, the Commission contributes to measures to improve partners' 
capacity to participate actively in the monitoring of structural assistance. In this context, funding was 
allocated to the Council of European Municipalities and Regions (CEMR) to organise seminars on the 
participation of local authorities in preparing and implementing structural assistance in Objective 2 
areas. A total of nine seminars were held in various Member States, with a final session in Brussels to 
review the results. This enabled the Commission to explain more fully its own guidelines for the new 
Objective 2 programming period, to become better acquainted with the practical operation of 
partnership at local level and to facilitate the systematic submission of proposals by local authorities 
concerning their participation in structural assistance. 
8th Annual Report on the Structural Funds (1996) 137 
3. Opinions of the other institutions on the application of the partnership principle 
At the joint conference which they organised in 19966, Parliament and the Committee of the Regions 
approved a final declaration which: 
• states their belief that "it is necessary to redefine the principle of subsidiarity to make explicit 
provision for its application to regional and local authorities in accordance with the powers vested 
in them by the domestic law of the Member States, with a view to achieving greater efficiency 
[-]"; 
• calls for "the principle of local autonomy as defined in the Council of Europe's Charter of Local 
Self-Govemment to be incorporated in the Treaty as a general principle of Community law derived 
from the shared constitutional traditions of the Member States" and states that this principle 
"entails both respect for all the powers proper to the local authorities and the granting of the means 
necessary for their exercise", also calling for "due recognition of the principle of regional 
autonomy by analogy with its equivalent at local level"; 
• calls on the Commission and the Member States to ensure "a better horizontal and vertical 
coordination of EU policies to [...] limit the disadvantages to regions and local authorities [...]"; 
• calls for "the principle of partnership, which has been tried and tested in the implementation of the 
Community's structural policies and which constitutes a practical expression of the subsidiarity 
principle, to be more fully applied and strengthened by incorporating it in the EC Treaty and 
extending it to other policies, particularly those for which regional and local authorities are 
responsible" and recommends that "the Member States extend this principle to the social partners"; 
• expresses the view that when the Structural Funds are next reformed, "they should be consolidated 
as instruments of economic development, with the following priorities [among others]: 
simplification, reduced bureaucracy and greater flexibility of procedures; more direct partnership 
with regional, local and social partners, particularly in the context of .programming". 
C. DIALOGUE WITH THE ECONOMIC AND SOCIAL PARTNERS 
1. The socio-economic partnership in the implementation and monitoring of structural 
assistance 
The participation of the economic and social partners in structural assistance follows the rules laid 
down in Article 4 of the Framework Regulation, which specify that Member States should designate 
the economic and social partners at national, regional, local or other level following the rules and 
practices of the institutions concerned in each Member State. Consequently the composition and 
operation of the partnerships varies considerably from country to country according to the national 
cultural and political traditions, as well as varying from one Objective to another within the same 
country. The Seventh Annual Report (1995) presented the information available to the Commission 
about each Member State as regards the partners' participation in preparing and coordinating 
assistance for the new programming period, 1994-99, and their involvement in the work of the 
corresponding Monitoring Committees. 
1996 was a year in which rules and practices introduced for the new programming period were 
consolidated. Since the Monitoring Committees were set up in 1994 and 1995, the composition of the 
partnership within these bodies has stabilised. For example, the social partners are generally now 
represented on the Monitoring Committees for measures under Objectives 3 and 4, except in Portugal 
and the United Kingdom. In the latter case, representation is slowly being introduced for the regional 
Objectives, but is still not allowed for Objective 3. In Italy, the participation of the social partners in 
Objectives 3 and 4 has been established, but is applied to the regional Objectives to varying degrees. 
The participation of representatives to promote equal opportunities has been vigorously encouraged in 
Italy. They are full members of decision-making bodies in all the Member States except Germany, 
' "The European Parliament and the Regional and Local Authorities of the European Union for a Europe based 
on Democracy and Solidarity", Brussels, 1-3 October 1996. 
14 8th Annual report on the Structural Funds (1996) 
Commission proposed promoting territorial pacts for employment to complement existing national 
policies. At the invitation of the European Council, the pilot regions were selected by the Member 
States. That approach was confirmed by the Dublin European Council, which called for the swift 
implementation of 60 pilot projects with the aim of promoting broad regional or local partnerships 
demonstrating an exceptional level of mobilisation for employment. Following assessment of the 
difficulties and prospects by each of the local parties concerned, a joint strategy based on that 
assessment is devised and given form in commitments by all those involved in a territorial 
employment pact, with the aim of improving the integration and coordination of measures for 
employment and, over time, carrying out model operations which can inspire other initiatives. 
An employment pact may be promoted at regional or local level, in cities, rural areas or employment 
areas, provided that unemployment is a major problem and the region is eligible under one of the 
Objectives of the Structural Funds. The range of partners should be as wide as possible6. As regards 
the schedule and financing, the reflection phase began at the end of 1996 and the Member States are 
expected to make the final selection of pact areas in 1997. The pacts can be financed in part by 
contributions from the EIB and the EIF, and the Monitoring Committees for the Structural Fund 
programmes should use the financial margins for manoeuvre available7 to implement them. The 
Commission contributes to implementation of the pacts in three ways: by supporting these initiatives 
and circulating the experience gained from them; by providing financial support for preparatory 
technical assistance work and by organising a mechanism to monitor all the preparatory work, the 
final content, and the improvements made to structural assistance. 
3. The implementation of assistance in 1996 : The main points in this report 
A very busy year 
The implementation of multiannual programming in 1996 shows-that the various forms of assistance 
are now being put into effect in the Member States and the regions8. The Objectives of the Structural 
Funds are being implemented through almost 500 individual operations; of these only 50 for all the 
Objectives taken together, representing less than 3% of total assistance under all the Objectives, were 
additional to the programmes already adopted in 1994 et 1995. The Objective 2 programmes adopted 
in 1994 for 1994-96 were wound up and there was active preparation concerning the areas eligible 
and the main thrust of those to continue them in 1997-99. During the preparation of these 
programmes, the plans for which were presented and discussed in the second half of the year, the 
Commission set several priorities for assistance, all of which are concerned with job creation. 
Turning to the Community Initiatives, the new programme decisions (123, accounting for 17% of 
funding under the Community Initiatives, including the reserve) meant that almost all the Initiatives 
have been translated into operational programmes, half of them in their entirety; 1996 was the year 
when all the Initiatives began to function. The financial reserve of ECU 1 665 million (at 1995 prices) 
was allocated by the Commission on the basis of a number of priorities - combating unemployment, 
equal opportunities and combating exclusion, the environment and the territorial dimension of 
structural policies. These led to the creation of new strands: Employment "Integra" (combating 
exclusion), Adapt "BIS" (adaptation to the information society), Interreg II C (trans-national 
cooperation on spatial development planning). In 1996 the pilot projects became active after a year's 
delay: following successful calls for proposals, selection by the Commission was followed by the start 
of work on the ground during the year. 
This meant that 1996 was a busy year in the 1994-99 progiamming cycle, the second year of effective 
implementation since most of the programmes had been adopted at the end of 1994, or in 1995 
6 See Chapter III.B. Regional partnership. 
7 These are the resources made available by the indexing of amounts of finance, either from the new Objective 2 
programmes established for 1997-99, or from the adjustment of programmes under Objectives other than 
Objective 2 following the mid-term review. 
8 See Chapter I. The implementation of assistance. 
138 . 8th Annual Report on the Structural Funds (1996) 
where they do not participate, but if one considers the degree to which they actually make use of this 
right, the situation is less homogeneous. The social partners have a certain influence in Austria, 
Denmark and Finland, related to the strong tradition of social dialogue in those countries. In the 
Netherlands they play a very important role because of their experience of debate on the ground (they 
are often the channel for signs of malfunction, in particular as regards Objective 4, since they are 
involved in training for workers). In Belgium and Fiance, although their contribution is sometimes 
very constructive, it is generally on a fairly small scale and varies according to the programmes and 
representatives concerned. 
However, the participation of the economic and social partners is not restricted to the Monitoring 
Committees, and it is strongly influenced by social and political structures, practices and traditions in 
each Member State. They are consulted by governments and often participate in defining employment 
and training policy part-financed by the ESF at national, local or regional level. Despite certain 
improvements (for example, in France, members of regional joint cornmittees for employment and 
training), their participation at local level in the implementation of ESF operations still needs to be 
stepped up. Several innovative measures have been encouraged by the Commission, on occasion at 
the initiative of the social partners themselves (Finland), to organise operations to inform and train the 
social partners, since their involvement and influence depends on their having learnt how the ESF 
operates (in Finland an intensive training programme was drawn up jointly by employers and 
employees and seminars were organised; in Italy the unions organised training and studies on the role 
of the unions in the administration of the ESF; in France, agreements were concluded between the 
unions and the Ministry concerned on the training of advisors for inter-branch networks). 
The situation as regards Objective 4 is more satisfactory in this respect, since the social partners aie 
normally very involved in most of the Member States, where they continue their traditional forms of 
participation but are also more and more involved in promoting, devising and implementing projects. 
This is the case in Denmark (for the other Objectives too), Finland (where a project for restructuring 
the graphic design industries has been launched by the two trade federations concerned), France 
(emergence of collective operations between the national authorities and the economic and social 
partners with a view to initiating projects in small and medium-sized business and industry to improve 
quality and management, the environment and health and safety; establishment of a body collecting 
funds for training and also responsible for a multi-media training project in the food industry). Their 
involvement in this Objective sometimes even includes participation in programme management and 
the appointment of representatives of the social partners to promote Objective 4 in SMEs and assist 
them with implementation, as has been the case in die Netherlands. 
It is very important for the quality of implementation of the Structural Funds to develop the active 
participation of the social partners both at local level and in projects, to provide the partners directly 
with information and training about the Structural Funds and to improve the match between the type 
of programmes and/or projects and the selection of partners and operational procedures. All these 
aspects therefore need to be further developed. 
2. The economic and social partners at Community level 
Encouraging participation 
Commission operations to promote the participation of the social and economic partners are focused 
around three types of activity, already referred to in the context of regional partnership7: discussion, 
promotion and equipping them better for participation. All the analyses, discussions and proposals 
contained in the relevant Commission communications, the Report on Economic and Social Cohesion 
and the conclusions of the European Councils of Florence and Dublin cited above with reference to 
regional partnership apply equally to the economic and social partners. In terms of specific action to 
encourage participation, all the efforts to mobilise those involved, broaden the partnership and create 
7 See B. above, Regional partnership. 
Sth Annual Report on the Structural Funds (1996) 139 
informal forums for participation were equally directed at the economic and social partners. Similarly 
the initiative to promote territorial employment pacts is intended to facilitate the practical participation 
of the economic and social partners in improving the programming of structural assistance to increase 
its impact on employment. 
To better equip the social and economic partners for participation, an ERDF technical assistance 
operation for the European Trade Union Confederation (ETUC) was adopted on the basis of the 
conclusions of the annual consultation of 1 February 1996. During the consultation it transpired that the 
social partners do not yet have the necessary technical capacity to monitor structural assistance. They 
are not always able to prepare specific proposals to improve the effectiveness of their partnership at 
national and regional level. The Community subsidy to the ETUC is to be used to hold various 
seminars and support a small network of experts. The seminars should enable the union leaders 
concerned better to understand and monitor structural assistance in Objective I and 2 areas and the 
most remote regions. Other seminars will concern horizontal assistance and inter-regional measures, 
and their content will be decided in collaboration with Commission staff in the light of the most 
important developments in the sphere of structural policies. The Commission will assist the ETUC in 
organising a small Community network of experts on regional development to facilitate the 
organisation of seminars, ensure the effective and efficient participation of the union leaders concerned 
and officially document the conclusions and proposals arrived at. In principle, the network will be 
made up of six half-time experts supported by other independent experts and headed by a coordinator 
who will organise several meetings to exchange information and discuss working methods. 
As regards the ESF, following the pattern of previous years Commission relations with the three major 
pan-Union organisations (ETUC, UNICE and CEEP) in 1996 took the form of part-financing training 
operations in the context of the social dialogue, with particular emphasis on the issue of industrial 
change. These operations are to be seen as tools for enhancing social dialogue in order to deal better 
with the impact of industrial and technological change on industrial relations. They allow structural 
assistance under Objective 4 and the Community Adapt Initiative, which encourage the active 
participation of the social partners in their implementation, to be more effective. In the case of the 
ETUC, the operations part-financed consisted of 18 training courses in which trade union organisations 
from the fifteen Member States participated. The courses dealt with the impact of new technology on 
employment in areas such as the pharmaceutical industry, catering, mail-order trade and the textile and 
clothing industry as well as new methods of organising work in similar branches. Training sessions 
were also organised under the Conpri II project8 under the auspices of UNICE, as an extension of the 
Conpri programme. The seminars had three objectives: dealing with the changes brought about by 
industrial change in a manner both economically efficient and socially acceptable, contributing to 
training policies appropriate to the modernisation of production structures and improving 
competitiveness and industrial relations through the implementation of policies on with the human, 
logistical and organisational factors. The programme of operations presented by the CEEP. called 
EUREXCTER is designed to promote regional and local excellence in Europe and integrate an 
emphasis on quality into the social dialogue at regional and local levels. 
In 1996 the ESF also continued to finance sectoral studies in partnership with the social partners 
concerned on the effect of industrial change on the world of work (qualifications, new skills and new 
trades in particular) in the footwear, clothing and civil aviation industries among others. 
Consultation of the economic and social partners at European level 
This consultation is organised on a sectoral basis as well as being a forum for the representation of all 
social partner organisations at European level. On rural matters the Advisory Committee on Questions 
of Agricultural Structure Policy is the forum for consultation with the socio-economic partners at 
Community level. It met three times in 1996 and gave its opinion on the application of certain 
measures. The Committee held a wide-ranging debate on the three accompanying measures to the 
confederations of employers for industrial relations. 
140 8th Annual Report on the Structural Funds (1996) 
reform of the CAP (Regulations (EEC) Nos 2078/92, 2079/92 and 2080/92). It also gave its view on 
the Commission's report to the Council on young farmers and stressed the importance of the 
assistance provided, the difficulties involved in taking over farms and the need for information and 
training. With regard to Regulation (EEC) No 2328/91 on improving the efficiency of agricultural 
structures, various opinions were delivered on the status of those for whom farming is the main source 
of income, hill farming, the possibility of making the reference income more flexible and assistance 
for small farms. In the context of Regulation (EEC) No 866/90 on improving the processing and 
marketing conditions for agricultural products, discussion focused on the opening up of new sectors, 
taking account of the specific characteristics of different regions, the level of national aid and 
adjustment of the selection criteria. The Committee was also kept regularly informed about the 
preparatory work for the European Conference on rural development, to which the social and 
economic partners were invited. 
The Advisory Committee on Fisheries is the official body for dialogue with those working in the 
fisheries sector. On several occasions it received information and explanations about the 
implementation of the FIFG, innovative measures under Article 4 of the FIFG Regulation9 and the 
Community Pesca Initiative. Commission staff also participated in the work of the joint committee on 
social problems in maritime fisheries, established as part of the social dialogue. 
The Commission also consults annually all the social partners organised at European level as laid 
down by the Coordination Regulation of the Structural Funds (Article 31(2)). This consultation took 
place on 18 December 1996. Approximately thirty representatives of such organisations took part in 
the meeting, which Mrs Wulf-Mathies also attended. The main subjects discussed, by agreement with 
the social partners, were the Seventh Annual Report on the Structural Funds (1995), the first Report 
on e. gnomic and social cohesion, work in progress and the prospects for the future. 
All the partners warmly welcomed the Commission's work on the Cohesion Report. They wished to 
see discussion of the analyses and questions raised by the report continued. Most partners stressed the 
importance of cohesion in the building of the Community and the need to find ways of making 
competitiveness compatible with the objectives of cohesion policy; they also recognised the difficulty 
of accurately assessing the impact of cohesion policy on other Community and national policies. 
Certain partners emphasised: 
• the need to improve convergence between the Union's social policies and those of the Member 
States; 
• the role the single market should play, despite certain continuing blockages, in increasing the 
competitiveness of the European economy and economic and social cohesion; 
• the value of carrying out specific studies to identify better the causes of regional disparities; 
• the need to protect the European social model; 
• the value of improving analysis of the causes of unemployment and making more specific 
proposals to combat them; 
• the need for a better forecast of the impact that economic and monetary union may have on 
regional imbalances and disparities; 
• the value of a policy geared to specific local and regional characteristics to help create a level 
playing field between regions; 
• problems affecting specific sectors such as fisheries and specific policies such as the CAP. 
With regard to the content and orientation of future structural policies, all the partners stressed the 
need for a greater concentration of assistance and better targeting of Objectives and eligible areas. 
Certain partners also made more specific points concerning: 
• seeking greater coherence between structural assistance and Community and national policies for 
employment in order to build on the guidelines of the Essen European Council, in particular 
support for active labour market policies; 
9 See Chapter I.C.2. 
8th Annual Report on the Structural Funds (1996) 141 
• the fact that current aid must not be considered as an automatic right by the beneficiaries, although 
changes in the allocation of aid should not be too abrupt or harsh; 
• giving greater attention to job creation, in particular by developing new sources of employment, 
local development and support for sectors sheltered from competition; 
• the attention to be paid, in employment matters, to the issues of the environment, equal 
opportunities and the information society; 
• the need to involve private firms more fully in structural assistance; 
• a better balance between grants and loans by adapting instruments to the needs of small firms; 
• programming structural assistance by sector rather than by geographical area; 
• the role of economic services of general interest and the quality of their input in programming 
future assistance; 
• specific problems in the fisheries sector. 
As regards the operational side of structural assistance, all the partners agreed with the analysis of the 
Cohesion Report, namely that there is a need to simplify assistance procedures, reduce the number of 
programmes and Community Initiatives, improve the effectiveness of management systems, raise the 
profile of assistance and step up measures to combat fraud. The partners considered that the 
complexity of the present forms of operation limits their ability to participate actively in preparing 
and implementing assistance. They continued to ask to be more fully involved in both the planning 
and actual implementation of assistance and given more genuine responsibilities. Finally, all the 
partners expressed support for the work in progress on and prospects for the employment pacts 
initiative, qualifying their approval with the following points: if the partnership is opened to too many 
partners, this may limit its effectiveness; the social partners should be more involved in the process of 
area selection and in the preparation and implementation of the pacts; innovative projects allowing a 
greater degree of partnership work, in particular through public/private cooperation, should be sought. 
The consultation showed that: 
• all the partners appreciate the Commission's efforts in proposing guidelines better adapted to the 
problems of cohesion, development and employment; 
• the Commission's analyses and proposals were on the whole well-received; 
• there was a certain weakness in the partners' contributions, probably because their limited 
resources, the diversity of Community Initiatives and the multiplicity of forums for dialogue and 
consultation on these subjects (Social Dialogue Committee, Standing Committee on Employment, 
ESF Committee, the annual consultation, etc.). This confirms the need for Community technical 
assistance for the partners; 
• there has been gradual progress in the partnership, although further progress remains to be made. 
At Community level, a better balance still needs to be found between the plenary session of the 
annual consultation and activities of the preliminary informal working party and/or bilateral 
contacts. 
D. INFORMATION AM) COMMUNICATION, SPREADING GOOD PRACTICE 
1. Information and communication 
The Member States have obligations concerning information and communication about operations 
financed by the Structural Funds, which are specified in Article 32 of Regulation (EEC) No 4253/88 
and the implementing Decision adopted by the Commission on 31 May 199410. Pursuant to this 
Decision, the Commission provided the relevant authorities in the Member States with a practical 
guide. In this sphere 1996 was devoted principally to a first inventory of operations undertaken by 
Member States, which should lead to an exchange of experiences on better practices in this field. The 
10 Commission Decision concerning information and publicity measures to be carried out by the Member States 
concerning assistance from the Structural Funds and the Financial Instrument for Fisheries Guidance (FIFG) -
OJNoL 152, 18.6.1994. 
142 8th Annual Report on the Structural Funds (1996) 
second meeting of the Member State representatives responsible for ESF information was held in 
Brussels in June 1996. Member States reports on the implementation of Article 32 were presented. 
Considerable progress has been made in this field, although the situation is still very uneven among 
Member States. A third meeting of this informal network is planned for 1997. 
In the sphere of regional operations, under Article 7 of the ERDF Regulation the Commission part-
financed major events, the organisation of seminars and other individual operations. For example, it 
was represented by an information stand at 37 events, of which it initiated half and which were 
attended by more than 30 000 representatives of the political, academic and institutional worlds. The 
Commission made contributions through speakers, the organisation of assistance and documentation 
(more than 60 000 copies of various publications, plus 1 200 press releases and more than 300 press 
articles). Pilot projects aiming to develop better contacts with the media in Great Britain, France, 
Germany and Spain were also extended and the Commission provided detailed information, 
interviews and answers to 148 newspapers. The provision of rapid responses to questions from the 
press was extended and improved. To inform the general public, for the first time a brochure was 
published on projects carried out between 1989 and 1993. It was called History of the Regions and 
gave an account of 36 projects selected from the 1 000 listed with the assistance of the Member 
States. Other publications included information sheets on financing for regions eligible under 
Objective 2 and two brochures on The Environment and Cohesion and Women, Players in regional 
development. 
To take better advantage of the opportunities offered by the electronic distribution of documents, the 
Commission also produced pages on the ERDF on its Internet server (Europa), including a database 
on operational programmes and invitations for proposals published in 1996 for operations financed 
under Article 10 of the ERDF Regulation. In 1996 the Commission plans to make this information 
available in the languages of the countries concerned. A photo library programme was extended to 
Germany and France, and its extension to Italy is being planned. This enterprise puts into practice the 
new principle of giving priority to publishing, on paper and in databases, examples of the many 
successful projects part-financed by the Structural Funds. 
In the case of the ESF, a communications audit was carried out on those responsible for its 
implementation. This made it possible to evaluate the Fund's image, the information available, the 
tools used and the flow of communication between the different parties involved. As a follow-up, a 
set of measures were taken to facilitate comprehension of the ESF and raise its profile. In parallel 
with the audit, several new communications aids were launched in 1996. They included publications 
such as an information magazine on the ESF, 15 brochures designed for the general public on the ESF 
in each Member State, publications on the Adapt and Employment Community Initiatives, the 
information society (Green Paper on "Living and working in the information society", and a brochure 
entitled "Building the information society for us all in Europe") Other measures taken to improve 
communications were the establishment of an ESF site on the Europa server, and raising the ESF 
profile at public events (creation of a portable stand and exhibition material). As to the events 
themselves, a conference was held in Toulouse at the beginning of the year to mark the launch of 
Objective 4 projects, and the ESF took part in several events on new sources of employment (Rome, 
Dublin), the information society (Dublin), exchanges of experience among trainees benefiting from 
ESF aid (Herbeumont) and the exchange of know-how (Madeira). 
The Commission intends to step up its activity in the sphere of rural development policy and has 
devised a strategy for publicising its activities better. For this purpose it will be using the services of 
an outside company, and an invitation to tender has been published. During 1996 the Commission 
organised the Cork Conference, a broad debate on rural development policy. It was held from 7 to 9 
November and was extremely successful, with 500 participants engaging in very animated debates on 
the future of the countryside. Information was distributed principally through the European rural 
development network. The Commission has given the European Association for Information on Local 
Development (EAILD) the task of running the European rural development network. One of the 
essential tasks involved is issuing publications. Thus the EAILD publishes an information bulletin 
called Info-Leader about the network (10 issues a year in 7 languages) and Leader Magazine (3 issues 
8th Annual Report on the Structural Funds (1996) 143 
in 1996) publicising the results achieved under Leader and addressing the key rural development 
issues being debated in Europe; other publications include methodological guides and other technical 
papers on innovation measures, guides to Community operations and rural development, innovative 
measures for regional development and national and regional Leader programmes. Most of the 
information is also available on the Commission Internet site. An Internet site called "Rural Europe" 
has been-set up with information in six languages, which allows exchanges between those involved in 
the rural world and participation in forums. 
In the fisheries sector, several communications measures have been implemented, directed at both 
those working in the sector and the general public. 15 brochures were published and distributed on 
European Union Aid to the Development of the Fishing Industry (one per Member State). They 
summarise all the FIFG operations carried out in each Member State. The brochure on "The European 
Community and the Fishing Industry - Practical Guide to Structural Aid" and information pamphlets 
on "The Common Fisheries Policy" were produced and up-dated and translated into two new 
languages (Swedish and Finish). An information bulletin on the trans-national operations of Pesca11 
(Pesca-Info) has been published since December 1996. This information sheet, published in all the 
Community languages, covers the Pesca Community Initiative, areas dependent on fisheries and 
issues affecting the sector in general. In the same context, inter-regional meetings and conferences on 
particular subjects between public authorities, experts and those working in the sector were started up 
in December 1996 (the.first, on training, was held at Glyngore, Denmark), with the aim of improving 
communication and increasing exchanges of experience between different countries and regions. The 
positions adopted at the round table on the conversion of areas dependent on fisheries (organised by 
the Commission in 1995) were also published and distributed. Several publications can also be 
consulted on the Europa server. 
2. Spreading 2ood practice and exchanges of experience 
Measures to promote good practice and exchanges of experience were also stepped up considerably in 
1996, principally because all the types of Structural Fund assistance became fully operational, so that 
initial experience of the implementation of assistance had been acquired. Many operations were also 
carried out under certain Objectives, as well as under Community Initiatives, pilot projects and 
innovative measures. 
Firstly, one of the aims of the Community Initiatives is to promote cross-border exchanges, and in 
1996 the Commission implemented several operations for the present programming period to promote 
such exchanges12. Several Initiatives are based on networking to facilitate the exchange of experience 
between regions and those participating in the programmes. This applies to Leader in particular, for 
which the European Observatory for innovation and rural development organises a number of trans­
national seminars each year on the local approach to rural development. For instance, seminars were 
organised in Sierra de Gâta (Spain) to analyse local tourist potential, in Marina di Ascea (Italy) on the 
environment, in Vàxjô (Sweden) on new services for the public, in Bad-Windsheim (Germany) on the 
situation and prospects for rural Europe, in Alta Val Venosta (Italy) on partnership for innovation and 
in Languedoc-Roussillon (France) on communication and local identity. Other seminars provided an 
opportunity to learn from the first programming.period or to prepare work for the current period 
through exchanges of information about implementation in Bolzano (Italy), Netze Band (Bavaria), 
County Kerry (Ireland), Santarém (Portugal), Dumfries (Scodand), and Forcalquier (France)). 
Secondly, publicising experience of programmes under specific Objectives (CSFs/SPDs) was stepped 
up considerably. In the case of the FTFG, the publications referred to in the previous Chapter, such as 
European Union Aid to the Development of the Fishing Industry and Pesca-Info, often include 
examples of good practice. Similarly, a series of events to promote and publicise practices relevant to 
ESF assistance was held in 1996. In each Member State, the Commission strongly encouraged 
11 See Chapter I.B.I Community Initiatives. 
12 See Chapter I.B.I Community Initiatives. 
144 8th Annual Report on the Structural Funds (1996) 
exchanges of experience through the Monitoring Committees. At these meetings one or more projects 
are now presented, by their promoters themselves or by the authority in charge of administering the 
project, and these accounts give rise to discussion of ideas and practices and future contacts between 
the various players. Furthermore, Commission publications on the ESF give accounts of projects and 
thus contribute to the spread of good practice13. Such exchanges of information on good practice were 
also developed among Member States. They are an important factor in improving mutual 
comprehension and cohesion, as well as a valuable basis for future trans-national operations. 
ESF and exchanges <of experience. 
The following are examples of some events which took place in 1996: 
• a forum to foster participation by the beneficiaries of ESF operations 
(Herbeumont, June 1996). This exercise in citizenship was aimed mainly at those 
concerned by Objective 3 (job-seekers, the unemployed, recipients of social 
security). At the forum there were many exchanges between Belgian and other 
Community policy-makers, the social and economic partners, institutional and 
private promoters, social workers, etc.; 
• à seminar on "a new Structural Funds objective: employment and industrial 
change" (Toulouse, January 1996). This seminar was intended to allow policy­
makers,, programme managers, social partners and those implementing projects 
to meet, gain a fuller picture of the economic and social issues involved in 
industrial change and examine their experiences in implementing Objective 4; 
• a training seminar for ESF managers in the French in the French overseas 
departments and territories was extended to the other most remote regions (the 
Azores, Madeira and the Canary Islands) in June 1996. The purpose was to 
publicise what had been achieved in each region and promote contacts for later 
cooperative operations. The discussions focused on trans-national cooperation as 
a way of overcoming isolation, new information technologies and social 
exclusion and integration. Cooperation projects between regions resulted from 
these meetings and contacts were made which led to the participation of those 
responsible for programmes or projects in Madeira participating in the Réunion 
Monitoring Committee. 
• a seminar on the ESF and new sources of employment (Italy, June 1996). In 
this case the main subjects of the presentation and discussion were the quality 
of life and die environment, protection of die environment, the cultural 
heritage and local services. The Commission presented an account of the 
initiatives being taken in the Member States, in particular using ESF 
assistance. 
The most practical application of the spread of good practice and the transfer of experience is taking 
place in the context of pilot projects since, during 1996, several pilot projects financed under Article 
10 of the ERDF Regulation were finalised14. These are "Regional Technological Plans" (RTPs), 
which have focused the attention of thousands of participants in the first four regions concerned: 
Wales (UK), Limburg (Netherlands), Lorraine (France) and Saxony-Anhalt (Germany). The 
completion of these four projects allowed the Commission to publish the first results of this type of 
exercise which involves the formulation of a regional strategy for supporting innovation in SMEs, 
based on an advance analysis of the needs of regional enterprises. Their approach attaches great 
importance to active consultation of and participation by business people and service suppliers 
(universities, technology transfer centres, Business Innovation Centres, etc.) in formulating action 
plans and the new instruments or projects to which they give rise. These Regional Technological 
Plans have had considerable direct impact on regional operational programmes, as may be seen from 
the introduction of new instruments or sub-programmes concerning innovation. 
13 For example: "ESF Measures for the Long-Term Unemployed: a guide to good practice" in the United 
Kingdom; various publications on Objectives 3 and 4 in Sweden presenting interesting projects and giving the 
names and addresses of those running mem. 
14 For all the pilot schemes carried out under Article 10 of the ERDF Regulation, see Chapter I.B .2., Innovative 
measures and technical assistance. 
8th Annual Report on the Structural Funds (1996) 145 
The experience acquired and good practice learnt from these first projects were also used for the 
selection and launching during the second half of 1996 of 19 new similar projects, renamed "Regional 
Innovation Strategies (RIS). To disseminate the results, the Commission took several steps in 
partnership with the regions concerned. Firstly, the regions participating in the projects constitute a 
network whose activities essentially concern the exchange of information on best practices regarding 
the analysis of regional innovation potential and training methodologies, arrived at by regional 
consensus on the subject of promoting innovation. Secondly, a conference was organised by the 
region of Saxony-Anhalt with the Commission's support in April 1996 on the subject of promoting 
innovation and the information society in Structural Fund programmes. The talks given at this 
conference were based on the experience acquired of RTPs, "Regional Information Society 
Initiatives" (RISIs) - pilot projects launched during the 1994-96 period - and instances of best practice 
in projects financed by the Structural Funds in regions of Germany, France and the United Kingdom, 
so as to increase the innovation and information society-related content of their new SPDs under 
Objective 2. Lastly, a meeting to launch new RIS and Ri'i'i'S projects was held in Luxembourg in 
September. The meeting was attended by more than 100 representatives of the regions involved in 
RIS/RITTS during 1997-98, and was intended to facilitate effective start-up based on the experience 
of the first pilot projects. 
The Euro-Tradelink project: Developing electronic trade methods through the exchange of experience 
In 1996 the Commission launched the Euro-Tradelink project in which Irish, Italian and Spanish SMEs 
participated under the direction ofEMTel (Ireland), the aim being is to develop cross-frontier electronic trade in 
consumer goods. The project is based on. the transfer of the experience of "Irish Tradelink" to other SMEs in 
Italian and Spanish regions to enable them to establish connections with each other and with other companies. 
This inter-regional cooperation is thus both a means and an end of the project, whose total cost is ECU 2.9 
million, with a Community contribution of ECU 1 million. It is being developed in three phases: 
1. a feasibility study and recruitment of trade partners. The purpose is to identify and recruit at least twelve 
trade partners to participate in phase 2. These should be equally distributed among the three countries, with 
preference given to SMEs located in Objective 1 regions. This phase was completed in 1996; 
2. experimental application of a service in the target regions. At this stage, the projects will be finalised to 
confirm the user community and the operational procedures. This will involve the approval of operational 
standards and procedures, the preparation of operating specifications, the identification and planning of the 
level of services provided for each enterprise, applications for documentation, training users, promotional 
activities and accompanying measures; 
3. extending the network to all the enterprises registered in the feasibility phase of the project, i.e. to more than 
100 SMEs in the three Member States concerned 

4^=T 
CHAPTER IV 
EVALUATION 
8th Annual report on the Structural Funds (1996) 15 
(particularly in the case of the new Member States). All the Monitoring Committees, including those 
for the Community Initiatives, are now operational and meet once or twice a year, or sometimes more 
frequently9. As provided for in the regulations, their work in 1996 was mainly of three types: project 
selection, the adjustment of programmes to the needs of actual implementation (particularly as regards 
the transition between the first and second phases of Objective 2), and the introduction of interim 
assessment, comprising, for all assistance under the various Objectives, the selection of independent 
assessors, the adoption of terms of reference for the assessment reports and the fixing of dates for 
these reports to be completed (normally mid-1997). This meant that the delay in getting started which 
occurred in 1995 was made up. 
Careful monitoring 
As in previous years, the Commission was involved in monitoring implementation on the ground, 
which entailed devoting considerable though to ways of improving and simplifying management of 
the Structural Funds in partnership with the Member States10. This included implementation of the 
SEM 2000 guidelines ('sound and efficient management'): beginning work on a better definition of 
expenditure eligible for part-financing under the Structural Funds and improvements to budget 
forecasting and the financial control system. The Commission also continued to improve work on 
assessment, whether carried out on its own initiative or that of the Member States11. This entailed 
support for the preparation of interim assessments to make them into programme management 
instruments, preparation of a detailed methodology for evaluating the account taken of the 
environment and equal opportunities, the completion of ex post evaluations from the previous period 
as part of the work on preparing the Cohesion Report, completion of an evaluation of major projects 
and the launching of thematic assessments on RTD, the environment, small firms and equal 
opportunities under the Structural Funds. In preparation for the new Objective 2 programmes and the 
mid-term review of the programmes under the other Objectives, the Commission continued producing 
policy guidelines12 designed to achieve the main goal of creating new jobs, principally through the 
territorial pacts for employment. The Commission issued communications to encourage culture and 
tourism as sources of economic activity to develop the regions. It also ensured that horizontal 
priorities such as the environment and equal opportunities are taken into account when programmes 
are actually implemented. 
A close eye was kept on the four principles underlying the 1988 reform of the Funds. There was an 
improvement in the way partnership13 took shape in the Monitoring Committees although the 
situation varied depending on the assistance and the Member State. Realising that much remained to 
be done and could be done, the Commission acted in three ways: a fresh start and the search for new 
forms of partnership through the territorial pacts for employment, increasing the capacity of the 
partners through training for the local-authority partners as well as for the economic and social 
partners, and consideration of ways of strengthening the partnership without loss of effectiveness as 
part of the broader consideration given to the shape of the Funds after 1999. 
The principle of additionally stipulates that Structural Fund resources that are applied in all areas 
under a given Objective in a Member State should not replace public or comparable expenditure 
which would otherwise be eligible under the Structural Funds, ensuring that the Community funding 
has full economic impact. In accordance with Article 9 of the Coordination Regulation, the 
Commission and the Member State concerned verify, when programmes are established, that public 
structural or comparable expenditure is maintained at least at the same level as in the previous 
programming period. Furthermore, to permit the on-going verification of this principle, the 
Commission and the Member State concerned agree the arrangements for verifying additionality at 
9 See Chapter V. Summary by Member State. 
10 See Chapter II.B. Checks and financial management. 
11 See Chapter TV. Evaluation. 
12 See Chapter II.D. Complementary with the other Community policies. 
13 See Chapter III.B. Regional partnership and Chapter III.C. Dialogue with the economic and social partners. 

8tk Annual Report on the Structural Funds (1996) 149 
INTRODUCTION 
Evaluation in the context of the programming cycle 
The succession of Structural Fund programming periods makes it difficult to co-ordinate dates when 
the results of evaluations are available with those for programming or reprogramming decisions. 
There will inevitably be some lack of synchronisation in view of the fixed deadlines for programming 
decisions and the time required for launching and completing evaluation, especially ex post. 
Nevertheless, it is possible to make operational use of the results of evaluations, giving them an active 
role in the construction or correction of multi-annual programmes. The principle is to combine the 
results of evaluations for earlier periods with the evaluation work under way. As measures are 
relatively continuous from one period to the next, the recent past can throw light on programmes 
under way. This principle is applied as follows in the three main stages of evaluation. 
• Prior appraisal: the purpose of prior appraisal is to prepare the adoption of forthcoming 
programmes. It is based mainly on the examination of the programme prepared by the Member 
State. Three series of results may be used to fine-tune prior appraisal: the first review of the 
achievements of measures in the preceding period; the results will be only partial, since the figures 
were collated at the beginning of the final year of programming, but will give some idea of 
successes and failures over the period; the on-going assessment for the preceding period, drawing 
conclusions from the first years of activity and the subsequent reprogramming; and the results of 
thematic evaluations begun during implementation of the previous programme along with any 
other evaluation required by the special circumstances of the programme or of a particular 
measure. 
• On-going assessment: the role of on-going assessment is to verify whether the aims identified in 
the programme can be achieved, and to specify what adjustments need to be made to the 
programme to ensure that financing is used as efficiently as possible. On-going assessment is 
based on two main sources of information: the review of the early years of implementation of 
programming, obtained from the management reports of the Monitoring Committees; and the ex 
post evaluation of the previous programme - mainly for that part of the conclusions dealing with 
the same areas of assistance (many of which are covered for more than one period) - which is 
usually carried out at least two years after the end of programming. 
• Ex post evaluation: ex post evaluation is completed several years after the end of the programming 
period. Like prior assessment, it is based on the review drawn up before the end of the period, and 
on the results of thematic evaluations during the period. However, field surveys are the main 
source of information for ex post evaluation; they assess the real and lasting impact of assistance. 
The results of this work are basic to reliable on-going assessment in the following programming 
period. 
A. PRIOR APPRAISAL OF OBJECTIVE 2 (1997-99) 
In the context of the preparation of the new Objective 2 plans, and in conformity with its obligations 
under Article 9(9) of the Framework Regulation, the Commission carried out prior appraisal of the 
programmes in order to help improve their overall quality and effectiveness. In particular, the 
programmes needed to reflect the priorities identified in the policy guidelines on Objective 2 for the 
period 1997-99, and to provide a sound methodological basis for the measurement of employment 
effects. 
Lessons from the past : Although not all evaluations of the 1994-96 programmes had been completed 
when the programmes were being prepared, some of the new SPDs demonstrated that lessons had 
been learnt from the previous programming period and incorporated into their preparation phase. This 
related in particular to the context, analysis and design of the strategy. A good example related to the 
750 8th Annual Report on the Structural Funds (1996) 
Plan for Aquitaine, where the evaluators played an important role in re-designing the strategy along 
clear and well-argued lines, as well as reinforcing synergies within the programme. More generally, 
Plans based partly or wholly on evaluations or lessons learnt from previous programmes appear to 
have benefited from clearer and better focused strategies as a result. 
Content and quality of the programmes 
In the prior appraisal, particular attention was paid by the assessors to the following elements : 
• the extent to which the, priorities outlined in the Commission guidelines had been taken into 
account in the plans, and the degree to which they had been integrated within the proposed 
measures; 
• the quality of analysis of the area concerned, including the identification of the principal 
barriers to sustained growth and the identification of development potential; 
• an appreciation of the strategy presented in each SPD, especially the coherence between the 
declared objectives and the resources devoted to their achievement; 
• the appropriateness of quantified indicators and targets, with particular regard to employment 
creation; 
• with regard to the environment, the key issues concerned the quality of the environmental 
assessment of the area concerned and the environmental impact of the strategy and related 
actions presented by the Member States. 
Respect for Objective 2 guidelines: In general, the programmes included the policy areas emphasised 
in the guidelines although the content and quality of their integration into the proposed plans varied 
considerably between the regions. Employment remained the main focus of all the programmes, 
although the effects of certain of the proposed measures on job creation were sometimes regarded by 
the evaluators as being too limited or indirect. Most Plans also favoured the promotion of SMEs and 
local potential as a driving force of regional economies, often associated, in the United Kingdom 
Plans for example, with the promotion of inward investment. A number of measures related to the 
environment but were focused on support for activities such as environmental and operational 
improvements to transport infrastructure and services rather than on business opportunities arising 
from environmental technologies. R&D and innovation-related actions were recognised as an 
important element in a strategic approach which sought to develop competitive and sustainable local 
businesses. Such actions were, however, often under-represented in the financial structure of the 
programmes. The principle of equal opportunities for men and women was, however, in general only 
partially addressed, and most plans failed to integrate this issue horizontally with other themes within 
the overall strategy. 
SWOT analyses: The Plans were generally well presented and their strategies are consistent with the 
economic development context. SWOT (Strengths, Weaknesses, Opportunities and Threats) analyses 
were used in a more systematic way, although there was still scope for improvements in linking this 
instrument to the translation of the strategies into priorities and measures. 
Strategic aims and objectives: The strategic approaches varied widely in terms of structure and 
contained differing degrees of geographical and sectoral orientation. In most cases, there was a strong 
degree of continuity of strategy between the new programmes and the previous period. Strategic aims 
were expressed in many forms with job creation the most frequently mentioned aspect in the Plans. 
Within the global aim of achieving economic development, some programmes focused on absolute (or 
relative) improvements in certain socio-economic criteria such as employment, population and 
income. Other strategic statements gave prominence to the conversion processes, e.g. diversification, 
modernisation or the target priorities of the strategy e.g. SMEs. 
Almost all Plans had clearly presented, explicit strategic objectives, contributing to a further 
development of the strategic statement. Examples of aims embodied in strategic objectives included 
the growth of specific sectors such as tourism and transport, the exploitation of assets such as location 
and RTD facilities, and the nurturing of trends such as diversification of industrial activities, 
8th Annual Report on the Structural Funds (1996) 151 
strengthening competitiveness or greater entrepreneurial activity. Some also highlighted horizontal 
aspects of economic development, such as environmental sustainability and equal opportunities. In 
particular, many plans contained some sectoral targeting (e.g. the French and Italian Plans) or "drivers 
for change", in particular in the Dutch strategies, where there was an emphasis on the potential of 
knowledge-based approaches to develop new forms of economic activity. 
On average, the Plans contained four strategic objectives, although these did not necessarily relate to 
the size of a programme, being more usually a measure of its complexity or number of development 
aspects. Whilst most Plans had explicit strategic objectives, it was not always clear how these had 
been derived from the regional economic analysis, or how the proposed programme of priorities and 
measures related to achieving them. 
Targeting of measures: Compared to the previous period, the number and the range of proposed 
measures increased significantly even for programmes with relatively limited funding. The focus of 
strategies was also often over a broad range of assistance, rather than on few crucial aspects of 
economic conversion. SMEs and local potential were the main target in almost all Plans, in particular 
in Italy where the proportion of resources devoted to these measures represented more than 50% of 
total funding. The accuracy of targeting of training measures was not always satisfactory, the fact that 
most of them were very large in financial terms perhaps reflecting their lack of focus. The 
environment is included in a limited number of measures, and particular attention was paid in some 
Plans to the relationship between jobs and environment (e.g. Zuid-Limburg). 
In general, measures were consistent with the strategic objectives and the priorities of the Plans. The 
majority of the measures contained concrete and quantified objectives, although baseline data should 
be provided. Specific selection criteria relating to the priorities outlined in the plans, in particular job 
creation, need also to be reinforced. ERDF and ESF measures were better integrated compared to the 
previous period 1994-96. ESF measures were better defined, although there shortcomings and 
unexploited opportunities were still evident as regards more innovative actions. Examples of good 
practice can be identified in a number of regions (Bremen, Tuscany, some Dutch regions) where 
management and co-ordination of training actions have been enhanced at local level. The Spanish 
case is distinctive in that, whilst human resources measures can be linked in substance to specific 
ERDF priorities, they are still presented separately. 
Quantification of objectives and impacts: Progress has been made in quantifying objectives and 
impacts although there is a need for further improvement in most Plans. Regional authorities should 
be encouraged to develop indicators which more effectively monitor the effect of measures and 
priorities. More careful consideration is also required of the quality of certain indicators as well as the 
accuracy of the targets. Concerning the impact on employment, the methodological framework on 
"ex-ante quantification of employment effects" was transmitted to the Member States. Although 
indicators on measures and at programme level were generally listed, they were often insufficiently 
quantified. Where quantification was available, little explanation was provided as to the basis of 
calculation of these effects. A notable exception, among others, was the Aquitaine SPD, where the 
Commission's methodology had been widely followed and proved to be effective for monitoring and 
evaluation purposes. 
Expected impact on employment: Substantial progress has been made in quantifying employment 
effects in the 1997-99 SPDs. In 55 SPDs, detailed estimates have been provided at measure level 
corresponding to around 66% of total EU funding. Most programmes focus on jobs created or 
safeguarded as a result of the assistance. They generally refer to gross jobs, and do not take account of 
deadweight and displacement effects. Notable exceptions providing specific estimates of net job 
creation are some UK and French SPDs. Data on gross job maintenance have been collected from the 
SPDs agreed, excluding those containing only global estimates. These data have been reclassified 
according to main areas of assistance in order to compare their relative efficiency in terms of average 
cost per job. The interpretation of these figures, is however, subject to caution in the absence of a 
standard methodology used in the various regions to estimate employment effects. 
152 8th Annual Report on the Structural Funds (1996) 
On the basis of these data, which would require further refinement, it is estimated that more than 
870 000 gross jobs will be either created, saved or redistributed as a result of Objective 2 assistance 
over the 1997-99 period. The order of magnitude is, according to recent evaluations, around the same 
as the programmes carried out over the 1989-93 period. Temporary jobs represent a relatively small 
proportion of the overall employment effects, i.e. over 100 000 jobs for seven Member States. The 
three main recipient Member States (France, Spain and United Kingdom), which account for around 
70% of total EU funding, contribute more than two-thirds of the gross jobs. The average cost per job -
based on ERDF and ESF funding - is estimated at ECU 13 800. Considerable variation exists in the 
EU cost per job, ranging from an average of around ECU 4 400 in Spain to an average of around 
ECU 24 000 in Denmark. An explanation for this lies in the priorities pursued in the various Objective 
2 strategies. In particular, 'here infrastructure investment is a priority, the job creation effects will 
take longer to become ap, ; ' ;h?v elsewhere and this will be reflected in a higher cost per job than 
in other regions where tht ; v •* s on. for example, SME support which has more immediate 
impacts. 
Table IV-1: Objective 2,1997-99 - Expected i-^rjict on employment 
Temporary lobs 
Created or maintained jobs 
Average nuhlic cost ner cross 10b (ECU)* 
Av-racr El' wa\ rr nv" i"h fECl"' 120 
14.457 
16.177 
7.2-« JUL 
2.34S 
51.(X)6 
24251 4.KX) 
114.224 
11.181 
_1±^ 13.986 
93.5M 
9.159 
4 475 14.049 
147.459 
16.811 
7,l?*l 6.255 
116.359 
15.698 
6.0*5 570 
21.842, 
7,1"7 JQKL 
17.4841 
6.521 10.391 
5.399! -I2£L 
40.350 
341.873 
13.305 
ft.21" Tnta! 
106.115 
874.552 
13.847 
MM 
NB : Data have been collected from agreed SPDs with the exception of 3 SPDs which do not include any information. A reclassification has been made. 
The interpretation is. however, subiect to caution in the absence of a standard methodology used in the various regions. 
Dau on temporary ions are not estimated for Denmark and Luxemburc. 
Estimation of averace cost per cross ioh relates onlv to measures for which data on employment effects are available. Jobs data for Finland are not related to measures or 
montiez uml nrr therefore not included ' 
Environmental appraisals: The majority of plans provide a strategic environmental assessment and 
address a number of environmental issues. Some plans presented detailed information following a 
standard format, with a matrix detailing possible impacts of measures/actions against environmental 
concerns and issues. However, this strategic assessment should be integrated in most plans with the 
provision of suitable environmental indicators. Another notable improvement concerns the association 
of environmental authorities, which is more widely accepted as part of the plans. As regards the 
inclusion of environmental issues, the link between measure and programme level has to be reinforced 
as well. Furthermore, environmental measures are often linked to the stimulation of local activity. 
They are rarely preventive in nature and there is no mention in most plans of the "polluter pays" 
principle or information on its concrete application. An example of good practice is the Finnish plan, 
whose special feature is the inclusion of prior appraisal of environmental impact and the involvement 
of environmental authorities in decision making, monitoring and evaluation (at programme and 
project level). 
B. ON-GOING ASSESSMENT 
The purpose of on-going assessment is to see how far the objectives pursued are being achieved, on 
the evidence of the implementation of Structural Fund programmes and the external environment. 
These assessments constitute a valuable management tool for the Monitoring Committees, for they 
contribute to decisions on changes to the programmes. As a rule, for programmes lasting for more 
than three years, a mid-term assessment is made after the first three years. For three-year Objective 2 
programmes, interim assessment of the first stage replaces the mid-term assessment. 
The 7th Annual Report (1995) explained that as a general rule, because of legal requirements, the 
interim assessment process for 6-year programming should comprise three stages: a preliminary report 
on the feasibility of the assessment, covering an analysis of the quality and content of the 
programming document and of the monitoring system established; a mid-term assessment report 
prepared after the third year of activity (i.e. 1996), followed by additional reports; and a first summary 
report at the end of 1999 which would provide the preparatory work for the final ex post evaluation. In 
the case of Objective 2. the mid-term report would be replaced by an analysis before the end of 1996. 
8th Annual Report on the Structural Fund's (1996) 153 
During 1996, good progress was made with setting up assessment arrangements in most of the 
Objective 1 regions. Except in Italy, the Monitoring Committees issued invitations to tender for the 
selection of independent assessors. Almost one hundred bodies were selected to carry out on-going 
assessments. Preliminary reports were drafted in most of the regions to verify the conditions for 
programme evaluability, and, where necessary, to flesh out the systems of indicators in the 
programmes. Mid-term reports will be available in the course of 1997, so that where necessary, 
assistance can be reprogrammed. 
With specific reference to the programmes concerning human resources under Objective 1, which are 
major programmes involving significant volumes of financing in both relative and absolute terms, one 
interesting topic for on-going assessment is an analysis of how national policies have been reoriented 
as a result of the assistance financed. For example, emphasis in the period 1994-99 on socially-
excluded groups was a major innovation in certain Objective 1 countries. Nevertheless, the priority 
for assessment is still the impact of reinforcing education and training systems. On questions of 
implementation, the preliminary mid-term assessment reports give an initial idea of where the 
bottlenecks lie, in particular at the level of monitoring and information systems, and the selection of 
projects, often limited to a formal analysis of eligibility criteria for expenditure. On the 
methodological side, in most of the Objective 1 regions, the inclusion of a set of indicators in the 
programmes was a major innovation of the 1993 reform of the Structural Funds. "Evaluability" is a 
recurring theme in the reports received so far. 
For rural and agricultural development programmes under Objective 1, with measures applying on a 
nation-wide scale, an assessor has been appointed. Mid-term reports have already been presented for 
Ireland and Northern Ireland. There was a more specific report for Ireland, relating to the 
establishment of young farmers. It highlights the practical difficulties, caused chiefly by problems of 
succession and the high cost of capital investment tevstart up a holding. 
For Objective 2, assessment has got under way in most regions. Altogether, 50 assessors have been 
selected by the Monitoring Committees, with the exception of the United Kingdom. In certain cases, 
on-going assessment was used for the preparation of the SPDs for 1997-99, where it made possible an 
initial review of assistance and enabled lessons to be learned about the strategy to follow and the type 
of measure to undertake. The Aquitaine region is a good example of this type of practice, with 
assessors playing an active role in the preparation of the programme, especially in terms of 
quantifying objectives and impacts. 
For Objectives 3 and 4, the mid-term assessment process has also begun, with the appointment of 
independent assessors, the establishment of steering groups and the submission of the first preliminary 
report. These reports contain initial conclusions on programming, implementation and measurement 
of impact. For Objective 3, the priority of the mid-term assessment is to gain an initial idea of 
concentration on target groups and of the nature of Community value added. Available assessment 
reports show the different ways programming is implementation in the Member States. In certain 
cases, assistance increases the capacity of the arrangements part-financed in specific areas, and in 
others the ESF has acted as an incentive to the creation of new arrangements (this is the. case, in 
particular for "personalised integration pathways"). The Community value added associated with 
these modes of assistance is very different. On the methodological side, the indicators are mainly the 
"classic" indicators of results at the level of beneficiaries (certification, immediate placement rates). 
Few indicators of specific results at the level of measures were planned. 
Analysis of Objective 4 programming shows widely varying interpretations, depending on the 
strategic choices of the Member States but also on the national background. Two of the themes 
proposed for mid-term assessment are the participation of SMEs and the notion of workers threatened 
with .unemployment. An initial examination of the selection criteria provided important pointers to 
policy priorities. In certain cases, these criteria have not so far played their filtering role, since the 
novelty of the approach and the delay in implementation have led to a somewhat limited supply of 
projects. Another reason for the lack of projects may be that promoters must go through a learning 
process, as they are more used to measures like those of Objective 3. 
154 8ih Annual Report on the Structural Funds (1996) 
Under Objective 5(b), efforts made in 1996 resulted in the establishment of assessment structures in 
the regions: a work programme, a working group appointed under the Monitoring Committee to 
monitor assessment, terms of reference for the selection of the assessor, and an assessor appointed for 
each programme. The procedure, in the framework of the Monitoring Committees, has been 
completed for all 83 SPDs under Objective 5(b). The Monitoring Committees understand the special 
nature of this exercise, since assessment helps improve management of the programmes and the 
forthcoming changes (1997-99). So far, assessment has been positive, since, with a few exceptions, 
most national and regional authorities represented in the Committees have understood the need for a 
transparent and professional assessment. The vast majority of contracts were awarded following a 
public call for tenders. The other condition for a useful assessment is that it should be ready on time. 
The Monitoring Committees therefore all asked for mid-term reports by the summer of 1997 (with 
some exceptions for the new Member States). Certain regions had already submitted an initial 
progress report before the final report, which, in most cases, was to be ready for the end of the first 
half of 1997. A data-base recording all the indicators in the programmes and their quantification has 
been set up by the Commission. It should make it possible to monitor the implementation of each 
programme, especially at the level of physical data and employment, and to produce national and 
Community aggregates. 
Similarly, most of the FIFG Monitoring Committees issued invitations to tender for the selection of 
independent assessors for on-going assessment reports. These reports were expected in the first half of 
1997. In Finland and Sweden, Objective 6 Monitoring Committees set up on-going assessment 
procedures. The invitations to tender were issued on time, and the bodies were selected. Mid-term 
reports are expected towards the end of 1997. 
On-going assessment has also been organised for certain Community Initiatives. For Leader II, certain 
regions have decided to assess CIPs in the same framework as Objective 5(b). For others, especially in 
the Member States where programmes are established at national level, specific procedures have been 
introduced. The Irish report has already been submitted, and it shows that the programme has made 
good progress, with stress laid on acquisition of expertise and transmission of experience for new 
local action groups, but also that difficulties have been encountered in the introduction and running of 
measures. For Employment and Adapt CIPs too, arrangements for assessment on a partnership basis 
were introduced in 1996. Priorities for on-going assessment are directly linked to the nature of the 
Initiatives themselves, which means assessing how the principles of trans-nationality and innovation 
are reflected in the implementation of programmes and whether the results of the measures are 
disseminated with a view to the "mainstreaming" of good practice. 
C. EX POST EVALUATION 
1. Objective 2 1989-93 
In the course of 1996, Structural Fund assistance was evaluated in the 60 areas eligible under 
Objective 2 in the period 1989-93, to assess the main results obtained and to help improve the 
operation of present and future measures. The ex post evaluations involved examining certain specific 
questions, such as: what impact did Objective 2 assistance have? How far did it contribute to 
industrial conversion in the areas? How far did the 1988 reform of the Structural Funds improve the 
implementation of the programmes, and their results? What lessons can be learned from the 
evaluation of Objective 2 programmes for 1989-93, and incorporated in a code of good practice? The 
main obstacle to this evaluation was that, in a number of Objective 2 areas, relatively little 
information was available on the outcome of the programmes for 1989-93. Where information was 
available, performance indicators applied were not standardised, or not sufficiently comparable. 
Consequently, the results and conclusions presented below should be regarded as merely indicative. 
8th Annual Report on the Structural Funds (1996) 155 
Main conclusions 
In general, the conclusion of ex post evaluation is that assistance under Objective 2 played a major 
role in the process of industrial conversion in the period 1989-93. While global macro-economic 
trends were not favourable for much of the period, Objective 2 programmes helped to sustain the 
process of structural adjustment in the regions affected by the decline of traditional industrial sectors. 
The short-term impact on unemployment and the long-term contribution to industrial restructuring 
were considerable. The evaluation also highlights the major effects of the 1988 reform of the 
Structural Funds. 
Strategies implemented 
The strategies adopted for CSFs and OPs made for coherent regional development strategies in many 
Objective 2 areas that did not have such strategies. The framework defined in 1989 by the European 
Commission highlighted the need, in line with the reform of the Structural Funds, to adopt a more 
integrated, focused and programme-oriented approach to the process of industrial conversion. The 
results of research in certain regions, e.g. in Spain, Italy and the United Kingdom, suggest that this 
framework forms a more solid base for regional development programming than before, even if 
certain aspects of the regulations governing the Structural Funds are regarded as too restrictive. In the 
regions where a strategic approach to regional development was well-established (France and 
Germany), this aspect of the value added by Objective 2 was less pronounced. 
The leverage effect of the Structural Funds was considerable: for every million ECU of Community 
money, a further ECU 2 million was committed by the Member States. The Funds also elicited private 
sector financing, which accounted overall for about 20% of Objective 2 programme expenditure. It is 
difficult to assess the extent of financial additionality, but research shows that Structural Fund aid was 
crucial to enabling Objective 2 programming to continue, at least at the pace and in the volume 
achieved. 
Objective 2 priorities were broadly similar in the various regions; but major differences were noted in 
the breakdown of resources between types of measure. As a rule, the breakdown of resources between 
measures reflected development priorities in the regions. For example, in the French and Spanish 
regions, the emphasis was on infrastructure investment, but elsewhere (e.g. the Netherlands, Italy and 
certain regions of the United Kingdom), support for the development of SMEs, tourism and human 
resources was more important. At the level of projects, the allocation of financing did not always 
reflect the strategic priorities, however. 
The degree of external coherence was generally high, despite certain problems in adapting to CSFs in 
the Member States with existing well-established regional strategies. However, strategies often lacked 
internal coherence, with a few exceptions (e.g. the Netherlands). This applies in particular to the 
integration of ERDF and ESF measures. Differences in administrative procedures, institutional 
structures and responsibilities at national level made integration difficult. On the other hand, at the 
level of projects, the development of partnership in the Objective 2 regions helped to optimise links 
and synergies between measures. 
Management of programmes 
Because of the need to commit resources rapidly at the beginning of the 1989-93 programming period, 
the regional authorities in some cases introduced formal procedures for the appraisal and selection of 
projects after programmes had commenced. Delays in setting up CSFs and OPs mean that the regional 
authorities were initially under pressure to commit financing over a relatively short period. There was 
therefore a widespread tendency to take projects "off the shelf or to select projects on the basis of 
"first come, first served". The introduction of official appraisal criteria and procedures began, in most 
regions, when competition for financing grew keener. It would seem that by the end of the period, a 
much more rigorous approach was adopted for the evaluation of projects in most regions. The most 
156 8th Annual Report an the Structural Funds (1996) 
sophisticated appraisal methods are probably those devised in the Netherlands and the United 
Kingdom (where scoring, weighting and ranking methods were tested). 
In general, programme monitoring and evaluation practices proved inadequate, despite the measures 
adopted at the end of the period to reinforce them. In most regions, monitoring procedures were 
limited to checking financial indicators, with minor importance given to scrutiny of physical results. 
Research shows that, in most regions, the regional authorities had neither the expertise nor the 
resources for efficient monitoring of projects. For example, site visits do not appear to have been 
organised on a large scale. Most regions also encountered technical problems in analysing and using 
the monitoring data collected. There were few global mid-term assessments, although considerable 
research has been done into specific projects and specific aspects of programmes. In several regions, 
the shortcomings of monitoring and evaluation practices were one of the factors explaining the 
general lack of a strategic approach to reprogramming. It is nevertheless clear that measures were 
taken at the end of the period to improve procedures. 
Approaches to programme management were not standardised; they were strongly influenced by 
institutional structures and national traditions in the Objective 2 regions. Broadly speaking, there 
seem to have been two types of approach: highly centralised structures (e.g. in Spain) and more 
decentralised structures (e.g. in the Netherlands, Italy and the United Kingdom). The Monitoring 
Committees played a major role in most regions, acting as a link between national, regional and local 
authorities and between the various economic and social partners in the regions. Their capacity to 
exercise genuine decision-making powers did vary, however: in certain regions, it seems to have been 
quite extensive, but in others (e.g. in Germany), it was much more limited. 
With the 1988 reform of the Structural Funds, the partnership process gained considerable impetus. 
Research points to this as one of the major and most lasting benefits of Objective 2 assistance in the 
period 1989-93. It is also clear that major problems arose in the early stages. In some regions - in 
particular those whose administrative structures are relatively centralised - tensions arose between 
national and regional authorities on the matter of prerogatives for the setting of priorities and 
decision-making. In certain Member States, it was difficult to obtain a contribution from the private 
sector. However, it is clear that all the partners were going through a learning process, and that at the 
end of the period 1989-93, generally efficient partnership had been established in all the regions 
covered by Objective 2. Several partnership models have been developed: where the number of 
participants is relatively limited, the partnerships are more cohesive and easier to manage, while wider 
partnerships, although more representative, were often more difficult to co-ordinate. Here again, the 
type of model adopted tended to reflect specific features of the regions, in particular the size of 
Objective 2 areas. 
Objective 2 strategies underwent a major adjustment during the programming period, but its purpose 
was to ensure maximum take-up of available financing rather than to change the regional development 
priorities. However, several regions adjusted programming to take account of the lessons of the period 
1989-91. On the whole, where the effect of the adjustment was to shift the emphasis from 
infrastructure investment to measures liable to be of immediate benefit to employment, this was a 
good thing, in view of the incipient recession and the rise in unemployment rates. 
Gross and net results 
It is estimated that almost 850 000 gross jobs were created, saved or redistributed following measures 
under Objective 2 during the period 1989-93. After adjustment for additionality, the displacement 
effect and indirect effects, it is estimated that 450 000 to 500 000 net additional jobs altogether can be 
attributed to Objective 2 programmes. Of the 850 000 gross jobs, some 570 000 (or 67%) were due to 
ERDF programmes, with the remainder resulting from ESF assistance. Three Member States, France, 
Spain and the United Kingdom, accounted for about 3/4 of the gross jobs created or maintained, 
which corresponds broadly to the distribution of appropriations between the Member States. 
8th Annual Report on the Structural Funds (1996) 157 
The average cost per job, on the basis of ERDF and ESF expenditure, is "estimated at ECU 7 000 
(gross) or ECU 14 000 (net). There was wide variation between the Member States in cost per job for 
estimated basic net job creation (450 000), from an average of about ECU 5 000 in Belgium to an 
average of ECU 20 000 in thé Spanish Objective 2 regions. The reason for this can be found in the 
priorities pursued in the different regions covered by Objective 2. In particular, where infrastructure 
investment is a priority, induced effects on job creation are slower to materialise than in regions 
where the emphasis is on measures such as aid to SMEs, and this leads to a higher cost per job during 
the programming period. Taking both national and Community expenditure on Objective 2 
programmes gives an average or global/real cost per net job of ECU 40 000. This figure is within the 
range expected for regional development measures. 
Results of Objective 2 programming for 1989-93 also show an estimated 917 000 beneficiaries of 
training programmes supported by the ESF, and approximately 470 000 beneficiary SMEs. 
As few regional authorities set targets at the beginning of the programming period, it is not easy to 
assess the degree to which the programmes have been successful. Information collected in the course 
of research shows that in only twelve of the 60 Objective 2 areas did the regional authorities set 
targets for ERDF measures in terms of employment. The authorities in 20 regions had set quantified 
targets for ESF measures. Where targets were set, they seem, in most cases, to have been not only 
achieved but actually exceeded. In certain cases, this may mean that performance really was better 
than expected, but it may also be that the targets themselves were not sufficiently realistic, or that 
monitoring systems were not capable of accurate measurement of programme results. 
Impact assessment 
Structural Fund assistance helped to ensure economic diversification of the regions, since the jobs 
created or maintained between 1989 and 1993 were equivalent to an estimated 0.7% to 1.3% of non-
industrial jobs. The impact of Objective 2 measures on employment is certainly an important 
yardstick for measuring achievements, but the strategies adopted were essentially designed to address 
deep-seated structural weakness over a longer period. From this point of view, the contribution of 
Structural Fund measures to the diversification of the economies of the Objective 2 regions, and to 
reducing their dependence on traditional industrial sectors as a source of jobs and income, is a critical 
measure of success. In most of the Objective 2 regions, the conversion process was well under way at 
the end of the 1980s, but it is clear that Structural Fund measures played a major role in sustaining the 
process. 
Moreover, Objective 2 programming slowed down the loss of industrial jobs: the level of employment 
was 0.9% to 1.8% higher than it would have been without assistance. As the programming period 
1989-93 largely coincided with a deep recession, Structural Fund assistance to maintain jobs in 
declining industrial sectors clearly served important social and economic aims. Its impact is 
demonstrated by the fact that some 0.9% or 1.8% of industrial jobs (depending on whether gross or 
net effects are considered) were created or maintained thanks to Objective 2 prograrriming. 
Apart from the effects highlighted above, the evaluation also indicates that Objective 2 assistance had 
a considerable non-measurable impact. The most significant was probably the way it stimulated the 
development of regional partnerships and their capacity to plan and manage regional development 
strategies. The 1988 reform of the Structural Funds certainly had a major impact from this point of 
view. The repercussions of other changes made in 1988, especially the new emphasis on the principles 
of concentration, additionally and programming, are more difficult to assess. 
16 8th Annual report on the Structural Funds (1996) 
the time when the prognunrning documents are adopted. The Member State provides the Commission 
with relevant financial information and indications of the transparency of the financial flows in 
question. After the prograiriming period, an ex post verification is carried out to ascertain whether the 
Member State has complied with its undertakings to maintain the ]evel of expenditure in question. 
During 1994, 1995 and 1996, the prior appraisal of virtually all the programmes for Objectives 1, 214 
and 6 was completed. However, two problems remained at the end of 1996: Objective 1 in France, 
where the Commission was still awaiting an update of the figures in the SPDs, and Objective 2 in 
Luxembourg (1994-96), where the lack of any financial information on additionality made it 
impossible to resume suspended payments. In 1996, the first steps were taken towards prior 
verification of additionality under the Objective 2 SPDs for 1997-99. Data provided by the national 
authorities in Finland demonstrated compliance with this principle before the end of the year. Further 
information about all the other Member States was expected early in 1997. 
The arrangements for the on-going assessment of additionality form part of the programming 
documents and are an obligation arising from the partnership agreement with each Member State. 
They entail the annual updating of the data initially provided in the programming documents. At the 
end of 1996, the results of the on-going assessment of additionality were mixed. A number of Member 
States (Austria, Belgium, France, Netherlands and the United Kingdom for Objective 1 ; Finland and 
Sweden for Objective 6) had sent the Commission no up-to-date figures. Germany, Spain, Greece and 
Italy reported eligible national public expenditure lower than estimated in the prior Verification of 
Objective 1 and, in accordance with monitoring rules, the Commission is awaiting explanations. 
Portugal has sent data on a number of occasions but methodological improvements are still expected. 
In 1996 the ex post verification of additionality covered the Objective 1 programmes for 1989-93 and 
the Objective 2 programmes for 1994-96. In the case of Objective 1, the situation was satisfactory for 
Spain and Ireland but for Portugal the data sent require adjustment and in the case of Greece a 
methodological problem had to be resolved to compare the data for the two programming periods. 
France and Italy did not send the Commission the information required. In the case of Objective 2, 
where the prior appraisal for 1997-99 and the ex post assessment for 1994-96 are being carried out in 
parallel, further information on the period 1994-96 was expected early in 1997. This also applied to 
the prior appraisal of the Objective 2 SPDs. 
Despite delays and problems in the submission of data, the implementation of the principle of 
additionality has involved close and intensive cooperation between the Commission and the Member 
States. Although much still remains to be done to ensure the systematic transmission of uniform data 
to the Commission, substantial progress has already been made and this will facilitate work in the 
future. 
Considerable financial activity 
The main task in 1996 consisted of clear progress in making up the backlog, where too the situation 
varies depending on the Objective and the Member State15. After the first three years, half the 
assistance from the various Objectives had been committed by the Commission and one third had 
been paid. Financial activity in 1996 alone accounted for 37% of commitments made since 1994 (as 
against 28% for 1994 and 35% for 1995) and 44% of payments for that period (as against 21% for 
1994 and 35% for 1995). Similarly, the Community Initiatives took off dramatically, with over half 
the assistance committed (thanks to the system of single commitments for amounts of less than ECU 
40 million) and 22% paid. For most of the Initiatives 1996 was the year when they really began 
operations. 
14 Programmes for 1994-96. 
15 See in particular Chapter I. The implementation of assistance. 
J58 Rth Annual Report on the Structural Funds (1996) 
2. Other ex post evaluations 
In 1996, certain Objective 5(b) areas completed evaluations taking stock of results of the period 1989-
93. Some Member States also decided to compile summaries' of the contents of the various 
evaluations, although without enhancing the precision of figures for final results and impact. The 
DATAR (France) undertook a study into evaluation methods for Community programmes, and the 
problems encountered, assessing the dynamics of approaches adopted in different regions. 
After a public invitation to tender issued in 1995, an assessor was selected for the Leader I Initiative 
in 1996, and the study, which is to cover 217 local action groups in the twelve Member States, began 
the same year. The first step was to produce a methodological report as a basis for forthcoming work 
in the Member States, with an original method for assessing innovation and the "bottom-up" 
approach. 
D. ASSESSMENT OF MAJOR PROJECTS 
1. Introduction 
In 1996 a survey of appraisals of major projects attracting assistance from the ERDF and Cohesion 
Fund was carried out. It was an update of a survey looking at major projects in the first prograrriming 
period (1989-93). The first.survey, corrimissioned in 1994, examined the cost-benefit analyses (CBA) 
of 200 major projects approved for ERDF part-financing between 1989 and 1993. The CBAs were a 
requirement of Article 5 of the ERDF Regulations for applications for the part-financing of major 
projects. The aims of the exercise were to assess the overall quality of appraisal data; to compare the 
different methods of analysis used; and to identify key issues for the evaluation of major projects in 
1994-99. The survey results are summarised in the "Fifth Annual Report on the Implementation of 
Reform of the Structural Funds 1993" published in 1995. The results were also used in drawing up the 
Guide to Cost Benefit Analysis of Major Projects, in the context of EC Regional Policies, which was 
published in 1995. Both the Guide and the results of the survey of major projects 1989 to 1993 were 
used in the preparation of training seminars for Commission officials dealing with major projects. 
In 1996 a new survey of the major projects, with similar aims to the first, was commissioned. Once 
again 200 project applications were examined, split this time between 107 ERDF projects and 93 
Cohesion Fund projects. The Cohesion Fund projects are applications for projects agreed in the period 
1993 to 1996. The ERDF projects are for the period 1994-99. Although this sample cannot be 
considered to be fully representative of the major projects part-financed, it is nonetheless significant. 
In examining the results a number of things should be borne in mind. The information is that available 
at the time of the survey, June 1996 and is principally derived from applications. In some cases these 
are different from the final outcomes. The quality of the CBAs was considered in relation to best 
practice, and any criticisms do not necessarily imply that the applications themselves did not meet the 
regulator»' requirements. 
8th Annual Report on the Structural Funds (1996) 159 
Table IV-2: Major projects • Breakdown by Member State 
Belgium 
Denmark 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Netherlands 
Portugal 
Vn.ued Kingdom 
TOTAL ERDF 
1994-99 
Number 
JfiZ J2L 
2% 
1% 
26% 
2% 
8% 
1% 
9% 
14% 
1% 
23% 
12% 
100% Cohesion Fund 
1993-96 
Number 
_22 _%_. 
13% 
55% 
9% 
24e, 
100% Total sample 
"2nd generation" 
Number 
28 
14 
60 
1 
18 
15 
1 
47 
>M •2L 
v 
i% 
14% 
7% 
30% 
1% 
9% 
8% 
1% 
24% 
7% 
100% Total sample 
"1st generation" 
Number 
2 
54 
11 
55 
52 
26 
200 1% 
27% 
6% 
28% 
26% 
13% 
100% 
In the second survey, over half the Cohesion Fund projects are in Spain, and close to a quarter are in 
Portugal. Germany and Portugal each provide a quarter of the ERDF projects looked at. There are 
significant differences between the two surveys. In the original survey, six Member States were 
covered. In the second survey, an additional five countries are included. Germany, which was not 
included in the first survey, accounts for 28 of the 200 projects examined. The contributions from 
Italy, Ireland and Portugal are much reduced in the second survey, although they are still significant. 
The Cohesion Fund projects are split between the transport and environment sectors. Two-fifths of the 
ERDF projects are also in the transport sector, while relatively few major ERDF projects are in the 
environment sector. Transport represents the bulk of expenditure too, some 60%. Environment 
projects tend to be smaller than average, and expenditure on them makes up less than 10% of the total. 
Energy projects by contrast tend to be expensive, and the three projects in the sample account for 12% 
of expenditure. 
Table TV-3: Major projects - Sectoral breakdown 
Sector ERDF 
Total Data' Cohesion Fund 
Total Data» Sample of "2nd 
generation" projects 
Total Data" Sample of "1st 
generation" projects 
Total Data' 
Transport 
Water, environment 
Energy-
Other services 
Industry 40 
5 
3 
12 
47 
TOTAL JLfll -LOI _2i _93 200 194 200 188 
* Number of projects for which data or. total investment costs are available. 
160 8th Annual Report on the Structural Funds (1996) 
2. Assessment of the appraisals 
Table IV-4: Major projects - Overall assessment 
Comparison with 
previous ewrritf 
Economic analysis 
Economic rate of return 
Estimation of shadow prices 
Evaluation of externalities 
Financial analysis 
Changes in relative prices 
Financial rate of return 
Financial planning 
Risk analysis 
Sensitivity analysis 
Risk analysis 
+ Improvement from the first to the second generation 
- Deterioration from the first to the second generation 
Cost-benefit analysis is an established method for estimating the economic benefit of projects. The 
principle behind it is simple. The costs and benefits are listed, valued in money terms, added up, and 
the total costs subtracted from the total benefits. In practice, though, the development of useful and 
comparable results involves considerable work. 
Accounting for time: The present worth of future costs and benefits is less than that of those 
occurring now. Thus, it is first necessary to estimate the stream of costs and benefits that come from 
the project over time, and second, reduce the value of those that: occur later. In practice, it is normally 
assumed that the rate at which value falls over time (the discount rate) is constant. In deciding 
whether or not to invest, private companies often use discount rates of 20-30% or more. Projections 
over time are available in over 70% of second generation projects. On average the projections for the 
transport sector were for 20-30 years, for the environment and water sector they were usually a little 
longer, while the projects for industrial, service, education and health sectors were based on 
projections for 6 to 13 years. In general, the different horizons reasonably reflect the nature of the 
investment. 
Rate of return: Once the costs and benefits have been valued and set out over time and a suitable 
discount rate applied, subtracting the total costs from the total benefits results in the Net Present 
Value (NPV) of the project. An alternative measure is the Internal Rate of Return (IRR). In most 
projects, the costs occur early, and the benefits arrive later. Thus the higher the discount rate, the 
lower the NPV. The financial IRR reflects the actual financial position of the project. The proportion 
of CBA appraisals that have estimated financial IRRs, about a quarter, has remained the same. 
However, there has been a decrease in the proportion of appraisals which contain details of the data 
on financial planning used in calculating the financial IRR. In some cases, more approximate financial 
indicators, such as the profit/income ratio, were given. In other cases, the calculation was not made 
because no income was forecast. About 70% of project proposals provided an assessment of the 
economic IRR (i.e. after adjusting the price of a good or service artificially inflated by a monopoly) 
compared to 50% of the first generation projects. The survey suggests that both financial and 
economic IRRs were of a similar order of magnitude in both generations of projects. 
Sensitivity and risk: Two elements can be distinguished: an examination of the sensitivity of the 
forecasts to changes in the assumptions, and an appraisal of outcomes in the light of the risks attached 
to the project. In general, the treatment of uncertainty has been better in the second generation of 
projects. Progress varied across sectors, with improvements in the transport and energy sector, but a 
deterioration in the industry sector. There were no risk assessments in the 200 projects examined - a 
marked deterioration in relation to the previous period. However, it should be noted that the 
regulations do not require the provision of sensitivity or risk analyses. 
8th Annual Report on the Structural Funds (1996) 161 
Conclusion: The different composition of the two surveys makes them'difficult to compare. In 
general, there has been a marked improvement in the quality of the CBAs presented in the 
applications for the funding of large projects. However, there is still room for improvement. The 
publication of the Guide to Cost Benefit Analysis of Major Projects will have brought about 
improvements in the CBAs, as will the increased attention to evaluation that has been shown in the 
implementation of Structural Funds. 
E. THEMATIC EVALUATION AND OTHER EVALUATION ACTIVITIES 
In 1996, the Commission decided to launch a series of thematic evaluations of the impact of Structural 
Funds in a number of key areas, such as research and development, small and medium-sized 
enterprises, and the environment. It is expected that the outcomes of the evaluations will be used to 
better target expenditure on those areas that are most effective; to improve monitoring systems so that 
they are better able to provide accurate, timely, useful information for the better managing and 
evaluation of the implementation of the Structural Funds; and to refine evaluation tools in these areas. 
The work will be launched at the end of 1997, and will last a year to 18 months. 
Evaluation of measures financed by the ESF in the framework of the European Social Dialogue 
The 1988 ESF Regulation was the first sign of the Community's concern to take account, in the 
context of the social dialogue, of the massive advent in the working environment of new technologies 
with a substantial impact on the labour market, both in quantitative and in qualitative terms. The ESF 
is able to finance "operations directed, within the framework of social dialogue, at staff from 
enterprises in two or more Member States and concerning the transfer of special knowledge relating 
to modernisation of the production apparatus". 
The assessment of training measures in the framework of the social dialogue has produced 
preliminary results. The measures as such are of good quality. The social dialogue does not appear as 
a theme in the content of measures closely related to the themes of "industrial change" developed in 
the framework of Objective 4 and Adapt. The Commission's guidelines on the application of social 
dialogue measures were welcomed, since they clarified the concepts and the procedures. Nevertheless, 
their application highlighted a number of shortcomings such as the lack of linkage between these 
measures and the social dialogue at European level, which is considered solely as a general 
framework; the need to increase the specificity of the measures financed under Article 6 of the ESF 
Regulation in terms of the other Community measures involving the participation of the social 
partners, and a lack of suitable ESF selection procedures. Clarification of the objectives of social 
dialogue measures would seem necessary to render them more operational and encourage links with 
complementary programmes. The social dialogue dimension should be reinforced, which means closer 
co-ordination between departments within the Commission and between the Commission and the 
social partners. 
The MEANS programme 
1996 saw the second year of implementation of the three-year programme of Methods for the 
Evaluation of Actions of a Structural Nature, or the MEANS Programme (after its title in French). 
This programme, operated by the Centre Européen d'Expertise en Evaluation (CEEE), aims to 
strengthen the capacity of the Commission to manage Structural Funds and to be accountable for the 
public expense involved. There were three major priorities: first, to draw up reference frameworks for 
the three main types of evaluation (prior appraisal, mid-term assessment and ex post evaluation); next, 
to develop evaluation techniques. A number of workshops took place in which academic experts, 
experienced officials from central and regional authorities in Member States and various Commission 
departments participated. As a result of these deliberations three MEANS Handbooks were published 
on improving the quality of evaluations, evaluating employment effects of the Structural Funds, and 
assessing the synergy effects of the programmes. In addition, progress was made in workshops on the 
development of impact indicators. 
162 8th Annual Report on the Structural Funds (1996) 
A conference on evaluation techniques was held in Berlin m December 1996. It brought together over 
300 policy makers, managers of Structural Fund programmes and projects, and evaluation specialists. 
The conference focused on six questions, around which there was discussion, the sharing of 
experience, and examination of evaluation techniques: how to measure the impact of the multi-annual 
programme approach which covers a wide range of structural measures at different levels; how to 
measure the macroeconomic effect of Structural Fund assistance that accounts for a significant 
percentage of the Member State's GDP; the adaptation of macroeconomic and other methods to 
examine the impacts of programmes in the small regions in receipt of Objective 2 and 5(b) funding; 
the measurement of the Structural Funds employment impact; the role of thematic evaluations in the 
on-going assessment phase, and appropriate methods to carry them out; and the definition of 
indicators and of quality criteria. 
G* 
•1 6 3 
PARTE 
THE STRUCTURAL FUNDS IN DETAIL 
•4 6^ 
CHAPTER V 
SUMMARY BY MEMBER STATE 
8th Annual Report on the Structural Funds (1996) 165 
1. BELGIUM 
1.1. Implementation of assistance by Objective in 1996 
Support for the development of technological potential in the regions of Belgium: 
Objective 1: Support for technological development features in several of the priorities in the development 
strategy for Hainaut and involves a full range of measures: 
• development of centres of excellence (research centres, institutions and universities), technological 
support for businesses, international partnership and dissemination of scientific and technical 
culture in educational, scientific and business circles, development of communications centres in 
universities, research centres, training institutes and firms (RDT priority: ECU 85.9 million; total 
cost: ECU 188.8 million); 
• research on new agricultural products and technological innovation in businesses, 
• development of human potential in RTD (ECU 13.2 million; total cost: ECU 26 million) and 
training in advanced communications (technical training of technicians in firms and unemployed 
people, communications demonstration and information measures, utilisation by managers) (sub-
priority Communications: ECU 1 million; total cost: ECU 2 million); 
• under the Human Resources priority, innovation awareness (ECU I million; total cost: ECU 2 
million). 
Objective 2 (1994-96): The four SPDs all provide assistance for technological innovation, either as part of 
support for industry or services (Aubange, Limburg and Turnhout), or as a priority in itself(Meuse- Vesdre): 
• Aubange: in-house training in businesses concerned with new technologies and growth sectors, 
training for young people, creation of inter-company training schemes (ECU 0.2 million; total 
cost: ECU0.6 million); 
• Limburg and Turnhout: thematic workshops and measures to encourage cooperation and 
technology transfer between industry and the service sector (ECU 0.8 million; total cost: ECU 
2 million); stimulation of R&D in the field of the environment (for both regions: ECU 0.3 million; 
total cost: ECU 8.5 million); 
• Meuse-Vesdre (ECU 16.8 million; total cost: ECU 40.5 million): development of R&D centres of 
excellence to help equip firms to participate in Community programmes and international research 
projects; cooperation between firms and research centres and development of new products and 
production methods; training in innovation and the development of human resources in universities 
and research centres. 
Concerning more specifically data transmission applications in connection with the development of the 
information society, only Limburg and Turnhout have planned measures, in the context of development of 
business accommodation. Only Limburg has provided for development of telecommunications to maximise 
growth of the service sector in the region. 
Objective 5(b): The SPDs for Westhoek and Meetjesland provide for technology transfer among the measures 
to develop businesses, research projects, telematics services and new agricultural products, and upgrade 
natural resources. 
In total, Structural Fund assistance for technological development accounts for 13.6% of appropriations in 
Belgium (Objectives I and 2). 
Table V-l: Belgium 
million) Financing directly linked to technological development in 1994-99 (ECU 
Objective 1 
Objective 2 
TOTAL TOTAL 
224,1 
51.5 
275,6 % 
81% 
19% 
100% Struct. Funds 
100,9 
18,1 
119,0 % 
45% 
35% 
43% Member State 
Public 
100,5 
20,7 
121,2 Private 
22,7 
12,7 
35,4 Total 
123,2 
33,3 
156,6 % 
55% 
65% 
57% Financing bv the Structural Funds 
11% °'12% 
\B The programming procedures and different approaches taken by the Member Slates 
invite caution in interpreting the figures, in particular spending on information society projects, 
which are often linked to other fields such as RTD and industry. 89% 
ITIC DRDT DTelecom. 
J 66 8th Annual Report on the Structural Funds (1996) 
OBJECTIVE l1 
Stimulation of economic activity (a) 
Imorovine attractiveness (b) 
Transport infrastructure 
Eaual opportunities (d) 
Technical assistance (e) Fit. V-l: Programming 1994-96 (ECU million - 1995 prices): 
Priorities: 
Bv Fund: 
1 SPD ERDF 
ESF 
EAGGF 
FIFG 
Total 521,8 
170.3 
46,9 
1.1 
74Q.1 71% 
23% 
6% 
0% 
100% (d) 17% 
(c) 4% 
(b) 12% (e) 1% 
(e) 66% 
Main features of 1996 
The Monitoring Committee, which met in June and November 1996, studied the progress of measures 
and the outlook for the second phase, i.e. 1997-99, in the light of the results to date. So far, 
implementation of measures to support investment by businesses has been brisk: all the ERDF 
appropriations for the 'Aide' measure, designed to assist the development of SMEs employing less 
than 20 people, were used up within the year, while there was considerable uptake of the 
appropriations for the 'Ace' measure, to assist the creation of businesses employing more than 20 
people, towards the end of the year as the measure picked up steam. By contrast, measures to increase 
the region's attractiveness made little progress (4.6% of appropriations had been absorbed by the end 
of 1996). Measures under the ESF include continuing training for the work force, reintegration of the 
unemployed in the labour market and modernisation of vocational training systems. Measures part-
financed by the EAGGF account for approximately 7% of total financing under the SPD. More than 
half of these funds are allocated to horizontal measures, the remainder concerning rural development 
(local products, farm tourism, pony-trekking, etc). Management of these measures has resulted in 
good utilisation of appropriations. The small allocation from the FIFG, intended to increase the 
production of 'escabeche' was increased in 1996 by ECU 0.8 million by means of a transfer of 
appropriations from the EAGGF. Measures financed by the FIFG have made relatively slow progress. 
1996 in the context of programming for 1994-96 
In view of the substantial consumption of appropriations under the 'Aide' measure, the Monitoring 
Committee decided, firstly, to increase the budget for the measure by ECU 33 million from the ERDF 
by reducing the appropriations allocated to measures deemed less pressing or making slower progress, 
secondly, to change the rate of ERDF part-financing for the measure, and, thirdly, to target it on 
manufacturing, a priority sector, (except for sectors assisted by the FTFG, the EAGGF or the ECSC) 
and services to businesses (including distribution centres and investments in logistic support to 
transport companies, but not including investments in movable transport infrastructure and courier 
services). In addition, negotiations were commenced, but not completed, in 1996 with the Walloon 
agencies with a view to improving the arrangements for implementing economic promotion measures 
for SMEs. Lastly, the entire financing plan for the SPD was amended to take account of the progress 
make by the different measures and the financial adjustments arising from various transfers or from 
the allocation of additional funds resulting from the indexing for 1994 to 1995. 
Only eligible region: Hainaut. 
8th Annual Report on the Structural Funds (1996) 167 
OBJECTIVE 22 
Fie. V-2: Prorrammine 1994-96 (ECU million - 1996 prices and status): 
Breakdown bv sector: 
Productive environment (a) 
Human resources (b) 
Land improvement and restoration (c) 
Environmental protection (d) 
Technical assistance (e) 
Bv Fund: 
ERDF 
ESF 
Total 110,6 
22.9 
4 SPDs 
Average ner SPD 76.0 
52.8 
18.8 
8.1 
4J 
83% 
17% 
100% 
33.4 (c) 12% 
(b)33 (d)5% (e)3% 
(a) 47% 
1996 in the context of programming for 1994-96 
The four SPDs for 1994-96 were closed. Since the appropriations initially programmed for three of 
them (Meuse-Vesdre (Liege), Limburg and Turnhout) had not yet been fully committed at the end of 
1996, some allocations had to be transferred to 1997-99. In total ECU 28.7 million were transferred, 
i.e. 18% of the appropriations available for 1994-96. The transfer for the SPD for Meuse-Vesdre 
amounted to ECU 9.6 million (11% of initial assistance). It was mainly due to under-utilisation for 
three measures: "Development of business facilities" (temporary business premises and service 
parks), "Rehabilitation and redevelopment of derelict industrial sites" and "Environmental 
infrastructure". In addition, the financing plan was adjusted by transferring appropriations between 
measures. The chief transfer concerns a ECU 4 million increase in the ERDF contribution to the 
"Centres of excellence" measure, the purpose of which is to strengthen the ability of research centres 
to help businesses located in the eligible area. These appropriations were taken from measures to 
stimulate innovation in businesses which could not be implemented. In July 1996 agreement was 
reached on the arrangements for implementing the venture capital measure, which could then proceed. 
In the case of the SPD for Turnhout, ECU 5.6 million of unutilised appropriations were transferred 
(24% of initial assistance), while the annual instalments for 1994 and 1995 were closed and the first 
instalment for 1996 was committed. The transfer of appropriations to 1997-99 for the Limburg SPD 
amounted to ECU 13.5 million (29% of initial assistance) and, as in the case of Turnhout, the annual 
instalments for 1994 and 1995 were closed and the first instalment for 1996 was committed. 
The SPD for Aubange was closed, since all Community appropriations had already been committed at 
national level before the closing date of 31 December 1996, once the Monitoring Committee had 
decided, in December 1996, to make transfers between measures and allocate the indexing, taking 
account of the programme's implementation. This led to an increase in the ERDF contribution to the 
"Business facilities" measure (temporary business premises and service parks) and a reduction in the 
ESF contribution. 
Preparation of the 1997-99 programming period 
Preparations for 1997-99 were also commenced in the second half of 1996 for each of the new SPDs, 
with no change in the eligible areas from one phase to the next. Preparations were still underway at 
the end of 1996, and some important points were still being discussed, for example in the case of the 
SPD for Meuse-Vesdre. In the main, the structure of the next wave of programmes is similar to those 
of the first phase. This is true, for example, of the SPDs for Turnhout and Limburg, except that, for 
Turnhout, a new priority for "Local economy" has been included and the allocation for infrastructure 
and premises for businesses has been reduced while that for innovation and technology development 
has been increased. Similarly, in the case of Limburg, a new measure entitled "Local employment 
initiative" has been included in each priority, while the overall structure of the programme is 
Eligible regions: Aubange, Meuse-Vesdre (Liège), Limburg, Turnhout. 
8th Annual report on the Structural Funds (1996) 17 
Execution of the Community budget for the Structural Funds was virtually 100% in 199616. Taking all 
the Funds, all the forms of assistance and all types of appropriations together, ECU 26.141 billion was 
committed of the ECU 26.587 billion available, a rate of 98% while rates in the first two years of 
programrning were around 90%. Payments totalled ECU 22.448 billion out of ECU 23.678 billion 
available, a rate of 95% as compared with 81% in 1995. This very satisfactory rate of implementation 
in 1996 and the increase in appropriations available as a result of the Edinburgh decisions meant that 
the amounts implemented in 1996 increased very sharply: by 19% (ECU 4.203 billion) over 1995 in 
the case of commitments and by 30% (ECU 5.233 billion) in the case of payments. 
Commitments under the various Objectives totalled ECU 23.117 billion (89% of total commitments), 
of which Objectivé 1 accounted for 66% (ECU 15.369 billion). Shares of total commitments by Fund 
ranged from 2% for the FTFG (ECU 406.6 billion) to 53% for the ERDF (ECU 13.802 billion); all 
except the FIFG committed all the appropriations available. Payments under the Objectivés amounted 
to ECU 20.445 billion (91% of total payments), of which Objective 1 accounted for 72%. Shares of 
total payments by Fund ranged from 2% for the FIFG (ECU 448 billion) to 53% for the ERDF (ECU 
11.901 billion). 
B. A SPECIAL FOCUS ON RESEARCH AND TECHNOLOGICAL INNOVATION 
One of the characteristics of the current Structural Funds programming period (1994-1999) is the 
Commission's desire to strengthen coherence between the Community's structural and other policies. 
While the 7th Annual Report on the Structural Funds (1995) highlighted the inclusion of 
environmental concerns in all structural operations, this Report describes the operations undertaken 
for the technological development of the regions. Given the wide variety of measures financed by the 
Structural Funds, the Report covers all the measures and sectors aided by the Funds with this 
objective in mind, notably research and development, the information society and innovation. 
1. The context 
The need for complimentarity between the Community's structural and other policies is laid down in 
Article 130b of the EC Treaty which states that formulation and implementation of the Community's 
policies and actions and the implementation of the internal market must take into account the 
objective of strengthened economic and social cohesion, and must in particular seek to reduce 
disparities between the levels of development of the various regions. In addition, Article 130f sets for 
the Community the objective of strengthening the scientific and technological basis of Community 
industry and encouraging it to become more competitive at international level while promoting all the 
research activities deemed necessary by virtue of other Chapters of the Treaty. To effect the 
interaction required by the Treaty, when preparing the new programming period the Commission 
adopted guidelines in 1993 in a Communication entitled "Cohesion and RTD policy - synergies 
between research and technological development policy and economic and social cohesion policy"17. 
The Communication set out the national and regional disparities in living standards, expenditure and 
staff involved in RTD, the participation rates of the least-favoured regions in both RTD and the 
cohesion instruments. It also highlighted the significant disparities between the rich and least-
favoured regions in terms of RTD indicators: the disparities between the Member States in terms of 
public expenditure on RTD, which ranged from 1 to 13 in 1993, were even greater than the disparities 
in GDP per inhabitant, which ranged from 1 to 5. The Communication also stressed the difficulty the 
least-favoured regions have in participating in the Community's framework programmes on research 
and development. 
While observing the primary objectives of each policy, the Communication proposed that 
complimentarity should be increased with a view to making up for the delays in RTD in the least-
favoured regions, that account should be taken of economic and social cohesion in the fourth RTD 
16 See Chapter II.A. Budget implementation. 
17 COM(93)203 final, 12 May 1993. 
168 8th Annual Report on the Structural Funds (1996) 
otherwise the same as for 1994-96. 
OBJECTIVES 3 AND 4 
Objectives 3 and 4 in Belgium are programmed in CSFs, each of which is implemented in five 
operational programmes. This complexity is due to the structure of the Belgian State, which consists of a 
federal government, three communities and three regions, and the authority responsible for each has its 
own specific powers in the areas covered by Objectives 3 and 4 of the ESF. 
Fig. V-3: Objective 3 - Programming 1994-99 (ECU million • 1996 prices) 
Priorities: ESF 
Integration of the lone-term unemp [-• A 
Vocational integration of young pec;*; 
seekine employment (b) 
Integration of those threatened with exclusion id 
Eaual opportunities for men and women (d) 
Aid for training and integration facilities <e> 
Total 134.2 
86,1 
132.9 
24.4 
: 4 i 
MLS. 
1 CSF/5 OPs 
Average per SE 80.4 (d)7% (e)7% 
(c) 31% (a) 34% 
(b)21« 
Implementation of Objective 3 has generally been satisfactory. Initial assessments give a positive first 
impression of the measures assisted by the ESF. Uptake of appropriations is close to 100% of the 
programmed annual instalments, with the result that some projects meeting the selection criteria have 
had to be rejected for lack of funds. About 70 000 people (outside of Hainaut, which is eligible under 
Objective 1) benefited from training, guidance or reintegration measures funded by the ESF. This is a 
remarkable number of beneficiaries in view of the budgetary constraints and the fact that under measures 
part-financed by the ESF priority is given to the most deprived groups (young people without 
qualifications, older unemployed people, the very long-term unemployed, etc). The programmes give a 
key role to "pathways to integration" and partnership between the different promoters. Under this 
approach, a pathway to integration is designed for each unemployed person. Implementation thus 
requires close cooperation between promoters (public or private) and the public authorities. 
Example of an Objective 3 project in Belgium: "Cad Design" - an 
industrial design training project 
The originality of Cad Design is that it brings together several partners: 
the Federal Ministry of Employment, die Cefora (training centre of the 
joint national auxiliary committee for employees), the training and 
employment fund for employees in the metal manufacturing industry in 
Brabant, die IBFFP and a public vocational training institute. The 
training provides a qualification and lasts for 10 months (approx. 1 600 
hours). It makes use of the most powerful computer aids and offers a 
real opportunity for conversion to job seekers without any prior 
qualification but with a personal flair for industrial or technical design 
and an interest in creative project work. The training is designed to 
enable trainees to take initiatives in a proposed industrial project. The 
ESF is contributing ECU 120 000 per year towards an annual total cost 
of ECU 300 000. 
Fie. V-4: Objective 4 - Programming 1994-99 (ECU million • 1996 prices) 
Priorities: 
Anticipation of labour market trends (a) 
Improvements in training and guidance schemes (b) 
Development of training and guidance (c) 
Horizontal measures (d> ESF 
1 CSF/5 OPs Tom 
Average per OPI 12.7 
16.3 
35,0 
_A2J 
J4J2 (d) 9% 
(c) 50% (a) 18% 
(b)23°/ 
8th Annual Report on the Structural Funds (1996) 169 
Difficulties were encountered in setting up Objective 4 because of the large number of competent 
authorities resulting from the structure of the Belgian State. 1996 must therefore be considered the first 
year of actual implementation. Uptake of ESF commitments to Belgium are close to one quarter of the 
total amount initially programmed. It must be recognised that a very long time is needed to implement 
plans under this new Objective. The target of 6 000 employees of SMEs (outside Hainaut) benefiting 
from a training measure under Objective 4 was nevertheless reached in 1996. Thanks to the effort made 
by the Belgian authorities to inform the target groups of this instrument and the encouraging number of 
files newly submitted, the Community programmes can now be expected to reach their cruising speed. 
OBJECTIVE 5(a) Agriculture 
Table V-2: programming 1994-99(ECUmillion- 1994prices) 
Total Measures % 
170.4 Production 
Marketing 140.4 
30.0 
With regard to improving the efficiency of production structures, assistance to young farmers and aid for 
investment in farms are granted by both the federal government and by the regions of Flanders and 
Wallonia. Wallonia is, by contrast, alone in paying compensatory allowances in less-favoured areas. 
During 1996, Wallonia began the task-of recasting its legislation applying Community rules, which 
should be completed in 1997. A similar operation in Flanders resulted in Commission approval, in 
December 1996, of an investment and start-up aid scheme. Implementation of aid for the processing and 
marketing of agricultural and forestry products is making good progress in both regions. Most projects 
are innovative and respect the environment. 
OBJECTIVE 5(a) Fisheries , 
Fig. V-S: Objective 5(a) fisheries - Programming 1994-99 (ECU million): 
Adjustment of fishinc effort (a) 
Other fishing fleet measures (b) 
Modernisation and renovation of the fishing fleet (c) 
Aauaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (e) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures (0 
Total FTFG 
5.2 
0.0 
7.9 
1.9 
0.7 
1.5 
5.9 
1.2 
token enrrv 
01 
24.5 
1 SPD (9)24% (i) 0% 
(h)5%» G)1% 
• (a) 21% 
(d) 8% (c) 32*5 
Implementation of the SDP programme in 1996 was slow because of the caution with which investors 
have greeted this new instrument in view of the difficulties faced by the sector. Projects commenced 
in previous years have been implemented and completed, but there has been hesitation about 
embarking on fresh investment projects. 
770 8th Annual Report on the Structural Funds (1996) 
OBJECTIVE 5(b)3 
Fir. V-6: Objective 5(h) >. Proetammint 1994-99: 
Population ('000 înhab) 
Area to*) 448 
ECU millinn 
Bv Fund: 
EAGGF 
ERDF 
ESF 
laial 23,8 
41.1 
13.2 
78.1 30' 
53% 
17% 
100% 
? SPDs 
Avcrare per SPDl J&Û (016% (9)1% 
(a) 35% 
(e) 16% 
(b)26% O Agriculture, forestry 
horticulture (a) 
• Economic stimulation 
and diversification (b) 
'Maintenance of sea 
fishing (c) 
Q Development of tourism 
(d) 
• Village attractiveness 
and living standards (e) 
Q Human resources and 
training (f) 
•Technical assistance (g) 
Implementation of the two programmes for Flanders (Westhoek, Meetjesland) ran into some 
difficulties, while that of the SPD for Wallonia picked up speed in 1996. The difficulties with the 
Flemish SPDs were mainly due to technical assistance problems and the search for regional part-
fmancing, which was decided on in May 1996 for the agricultural section, so that projects could be 
launched, but had not yet been settled by the end of the year for the other parts, such as the economy, 
industry, tourism and social affairs. This explains the delays in financial implementation for the two 
Flemish areas. Implementation of the programme in Wallonia has gained speed in terms of both 
financial implementation and actual progress on the ground. The Monitoring Cornmittee studied the 
overall situation in the wood industry in order to improve the conditions for granting assistance and 
the regional authorities held a seminar on integrating training measures in development projects. One 
of the main subjects which occupied the Monitoring Committees was the launch of evaluation for all 
programmes (selection of assessors, definition of terms of reference for evaluation). In addition, the 
ESF assistance under the SPDs for Meetjesland and Wallonia was adjusted (for Meetjesland 
unutilised assistance was carried forward and for Wallonia the financing tables were adjusted to 
facilitate management). 
3 Eligible regions: Wallonia, Meetsjesland, Westhoek. 
8th Annual Report on the Structural Funds (1996) 171 
Table V-3: Belgium - Assistance by Objective -1996 in the context of programming for 1994-96/99 (ECU 
million) 
Programmes 
(year of adoption) Total cost SJ 
assistance 
(1) Commitments Commitments] 
1996 1994-96 
(2) J2U0L Payments 
1996 Payments 
1994-96 
imn Objective I 
SPD Hninnnt . 2.356.41 740.11 122.71 229.71 31*1 91.81 JHZ J3SL 
Objective 2* 
SPD Aubange (1994) 
SPD Liège 
SPD Limburg (1994) 
5PP Turnhout fl??4> 3.2 
290.8 
89.2 
44.7 1.3 
80.2 
33.9 0.0 
58.5 
23.9 
-4.0 13 
81.0 
38.8 
19.4 101% 
101% 
114% 
107% 0,1 
15.9 
3.1 
1.6 0.6 
27.1 
10.6 
11.7 46% 
34% 
31% 
Total 428,0 133,5 78,4 140.6 105% 20,7 50,0 37% 
Objective 3 
OP Flemish Community (1994) 
OP French Community (1994) 
OP German-speaking Community (1994) 
OP Brussels (1994) 
OP Miniffrv of Employment ( 1994) 632.0 
361.7 
12.4 
32.7 
94.3 188.3 
159.6 
5.5 
12.5 
36.0 59.2 
263 
13 
2,0 89.6 
78.1 
2,4 
5.7 
16.8 48% 
49% 
43% 
46% 
47% 453 
26,3 
1.4 
1.5 
7.5 69.9 
65.2 
1.9 
3.9 
15.6 37% 
41% 
34% 
31% 
-4& 
Total 1133.0 401.9 94.8 J22A 48% 81.9 dSM. 39% 
Objective 4 
OP Flemish Community (1994) 
OP French Community (1994) 
OP German-speaking Community (1994) 
OP Brussels (1994) 
OP Ministry of Employment (1094) 107,9 
54.8 
1.2 
7.0 
15.7 43,7 
17,8 
03 
12 
6.1 5.4 
1,0 
0,0 
0.0 
32 20% 
7% 
15% 
13% 
98%l 4.4 
0.6 
0.1 
0.1 
3.0 10% 
3% 
15% 
7% 
J2£. 
Total JILL 2SL2. ALL 16.4 23% £1 _&2 12% 
Objective 5(a) agriculture 
SPD Flanders Regs. 866 and 867/90 (1995) 
SPD Brussels Reg. 866/90 (1995) 
SPD Wallonia Reg. 866 et 867/90 (1995) 
Forecasts Flanders Reg. 2328/91 (1994) 
Forecasts Wallonia Reg. 2328/91 ( 1994) 
Enrfecn^ federal level Re, 2328/91 (1004) 2273 
11.1 
45.9 
1303 
96,1 
186.4 233 
1.1 
53 
48.1 
293 
62.9 4.1 
0,0 
0.9 
7.7 
33 
10.6 9,9 
03 
2.4 
17.9 
11.7 
37.6 42% 
24% 
45% 
37% 
40% 
'*60% 4.9 
0,0 
1.2 
6.9 
33 
26.1 7.8 
0.1 
13 
14,1 
9.4 
26.1 33% 
12% 
29% 
29% 
32% 
J2&. 
Total 697.5 170.4 26.8 79,8 47% 42.6 59.1 35% 
Objective 5(a) fisheries 
JZ£[ IOO%1 SPPBciriumfl?W 91,91 20.41 2431 16.31 19.61 -SÛ2: 
Objective 5(b) 
SPD Meetjesland (1995) 
SPD Wallonia (1995) 
SPPWe^rhnAMOqM 34.2 
135,4 
96.6 103 
41.4 
J26A \2 
113 
-Là 12% 
"27% 
J2% 0,0 
32 
0.3 6% 
14% 
Total 266.2 78.1 Al 16.0 21% _M AL 10% 
TOTAT^ S.1S9.7I 1-618.fr 361 £ 699.6! 43% 262.7 J2M 323s. 
* After deduction of transfers to 1997-99 
1.2. Implementation of the Community Initiatives in 1996 
Note: 
Belgium is participating in all die Community Initiatives except Regis, resulting in 26 programmes, including 
seven Interreg programmes. At the end of 1996, the CIPs for Leader had not yet been approved. 
Support for the development of technological potential in Belgium: 
The Belgian CIPs investing most in technological development are the SMEs and Interreg programmes. Both 
the SMEs programmes support technological innovation as a key to improving the competitiveness of 
businesses and creating jobs. The programme for Wallonia is investing ECU 1.3 million (total cost: ECU 1.8 
million) in the creation of a technology activity centre to help firms make best use of research centres, the 
services provided by universities and regional innovation aid, and to access information and make contact 
with those operating in research and innovation. The programme also aims to facilitate access to information 
technology and full utilisation of its potential through the use of databases and shared communications 
services. The Flemish SMEs programme gives pride of place to assisting and implementing innovation 
projects and coordinating and developing RTD networks. 
Under Interreg II, ECU 2.5 million (total cost: ECU 5.2 million) are provided for RTD and ECU 0.8 million 
for communications and data transmission applications (total cost: ECU 1.7 million). The CIP for 
Hainaut/Nord Pas-de-Calais/Picardy supports economic activity through the development of research 
and technology and communication projects, and encourages exchanges between scientific centres and 
centres of excellence. The CIP for West-Vlaanderen/Nord-Pas de Calais gives priority to strengthening and 
diversifying training and research potential in the targeted sectors (e.g. technology transfers). The CIP for 
Belgium, France and Luxembourg supports individual and collective training and technological innovation 
; 72 &th Annual Report on the Structural Funds (1996) 
projects (e.g. training networks and infrastructure). In addition, the CIPs for Belgium and the Netherlands 
and for Belgium, the Netherlands and Germany provide for cooperation between businesses and. with 
research centres and technology transfer as means of stimulating innovation and the modernisation of 
production methods and products in firms. In the field of communications and telematics, the programme for 
Hainaut/Nord-Pas de Calais/Picardy provides for cross-border advanced communications poles and the 
creation of a vocal, optical and data communication network. The Belgium/France/Luxembourg programme 
seeks to develop teleworking and use of data transmission for education and technology development (e.g. 
databases, multimedia, distance education, etc). 
In the context of the Initiatives concerned with the conversion of industry, one of the main measures under 
Résider II aims at promoting technology development in Liège with a contribution of ECU 2.7 million (total 
cost: ECU 5.4 million) and, in Charleroi and Centre, with a contribution of ECU 1.9 million (total cost: ECU 
3.7 million). The purpose of the measure is to help research centres and universities with equipment, to help 
businesses analyse their strengths and weaknesses in terms of RTD and acquire advanced technology with 
which to modernise their production systems and to encourage the spread of technology. The Retex Initiative 
in Flanders also supports technology development and training with a view to preserving the textile industry. 
The Horizon section of the Employment initiative provides assistance to encourage telecommuting, distance 
training and computerised interactive learning for the disabled and the most disadvantaged groups (ECU 1.8 
million; total cost: ECU 4 million). 
Lastly, the Leader programme is contributing ECU 0.2 million (total cost: ECU 0.4 million) to the 
construction of a communications centre in Wallonia and the development of computer facilities, 
telecommuting and communications as support infrastructure for local production centres. 
Three new Community Initiative programmes were adopted in 1996, namely: the SMEs programme 
for Flanders, Retex Flanders and Urban Brussels. In addition, allocation of the Community Initiatives 
reserve, worth an additional ECU 55.2 million, will allow all the Initiatives (except SMEs) in which 
Belgium participates to be strengthened, with the lion's share going to the new Interreg II C and 
Employment, for which the competent Belgian authorities have presented a draft programme to 
include the new section Integra from 1997. The same applies for the new Adapt-BIS initiative and the 
strengthening of Pesca4. 
Regarding the existing programmes: 
Urban: the projects already approved under the Antwerp programme account for ECU 1.6 million of 
the ECU 2.6 million programmed. A further ECU 1.4 million will be allocated from the reserve, and 
will be earmarked for a new measure ("Handelspandenbeteid"). The financial structure of the CIP for 
Brussels was adapted to change the contribution of the private partners and the scope of the measures 
concerning two business centres in Brussels. The decision will be finalised during 1997. 
Employment: the two programmes are now well underway. In Flanders, 42 projects were selected and 
commenced in 1996 (19 projects under Horizon, 15 projects under Now, 8 projects under Youthstart), 
with a total of 1 227 participants (264 for Now, 87 for Youthstart, 876 for Horizon). The promoters 
are extremely varied, while the measures mostly concern training. In the French and German-speaking 
communities, 89 projects were approved and launched in 1996 (26 projects under Now, 15 under 
Youthstart, 48 under Horizon). The themes are varied: 35 training projects, 30 concerning training 
schemes, 16 concerning job creation and 8 dissemination/information. 
Adapt: under the programme being implemented in Flanders, 23 projects were selected in 1995, the 
great majority of which were launched in 1996 and concern sectors like textiles, electrical 
engineering, environment, construction, transport and tourism. The emphasis is more on innovation, 
participation of SMEs and increasing the requirements as regards the qualifications of employees, and 
less on technical aspects of adaptation to change. The promoters are fairly diverse (Regional 
vocational training and employment office^ association of independent workers, other training and 
education establishments, chamber of commerce and provincial government). The 35 projects were 
approved in the French and German-speaking communities in 1996. The regional priorities are 
4 See also Chapter I.B.I. Community Initiatives. 
8th Annual Report on the Structural Funds (1996) 173 
improving levels of qualification, competitiveness of businesses, the environment and the creation of 
new jobs. The measure most utilised concerns training (22 projects). 
Résider: the programme for Liège is fairly far advanced, with all the allocated appropriations for three 
measures under the priority concerned with promotion of technological innovation already committed 
at national level. The programme for Hainaut provides for the creation of a start-up fund for SMEs, 
for which the implementing arrangements had yet to be brought into line with the Commission's 
communication of July 1995 on financial engineering. These arrangements were worked out by the 
Walloon authorities and accepted by the Commission in September 1996. 
Leader: the programmes were not yet ready for adoption in 1996. Both programmes for Flanders 
(Meetjesland and Westhoek) were presented in October 1994 and several amended versions have been 
submitted, but further adjustments were still needed before they could be adopted by the Commission, 
particularly to avoid any overlapping with the SPDs for Objective 5(b) and to reduce the technical 
assistance. In the case of Wallonia, too, the regional authorities continued in 1996 to prepare their 
programme proposal on the basis of the Commission's comments. The Commission is expected to 
approve the programmes at the beginning of 1997. 
Most of the Community Initiatives were adopted by the Commission during the second half of 1995 
and the first half of 1996, so actual implementation commenced during 1996. In almost all cases, 
Community appropriations were committed using the single commitment procedure, so commitments 
and payments to end beneficiaries began to be booked in 1996, but the sums involved are still fairly 
small. 
Table V-4: Belgium - Community Initiatives 
million) 1996 in the context of programming for 1994-99 (ECU 
Initiative 
(Number of programmess) 
Adapt (2) 
Employment (2) 
Pesca (1) 
SMEs (2) 
Rechar 
Konver (3) 
Resider (2) 
Retex (2) 
Urban (3) 
Total (19) 
Inrerree/Reeen (7\" 
CIPs adopted in 1996 
SME Flanders 
Retex Westhoek-Middenkust (Vbanderen) 
Urban Brussels 
Total (3) 
lnterret (4)"* Total cost 
91,9 
70,7 
4.3 
22,9 
58.1 
30.4 
52.9 
9.0 
37.6 
377.7 
8.6 
3.0 
11.1 
22 7 SJ. 
assistance* 
Ml 
31.2 
32,1 
2.0 
12.1 
15.7 
113 
24.4 
4.4 
10.4 
143,8 
2,7 
1.4 
2,2 
63 Commitments 
1996 
253 
10.4 
1.7 
4.6 
0,0 
0.0 
0.0 
1.4 
2.2 
45.8 
2.7 
1.4 
2,2 
63 Commitments 
1994-96 
(2) 
31.2 
32.1 
ZO 
12,1 
15,7 
113 
23,7 
4.4 
10.4 
143.1 
2.7 
1,4 
2.2 
63 % 
(2)/M) 
100% 
100% 
100% 
100% 
100% 
100% 
97% 
100% 
100% 
99% 
100% 
100% 
100% 
100% Payments 
1.996.0 
63 
5,2 
0.4 
1,8 
0,0 
0,0 
63 
0.7 
1,1 
22.0 
0.8 
0,7 
1.1 
2,6 Pavments 
1994-96 
(3) 
9,4 
16.1 
0.6 
4,0 
7.8 
5.7 
11,8 
22 
5.2 
62,9 
0.8 
0.7 
1.1 
2,6 (3)/M) 
30% 
50% 
30% 
33% 
50% 
50% 
48% 
50% 
50% 
44% 
30% 
50% 
50% 
41% 
* Excluding reserve 
•• For programme details see Chapter VII. Table 2.2. 
••• For programme details see Chapter I.B. 1. Communiry Initiatives. 
174 8th Annual Report on the Structural Funds (1996) 
2. DENMARK 
2.1. Implementation of assistance by Objective in 1996 
Support for the development of technological potential in the regions of Denmark : 
Most of the Danish programmes form part of a strategy of supporting the information society, with the aim -
thanks to close cooperation between public and private sectors - to encourage access to and exchange of 
information, stimulate the democratic process, support personal development, to improve transparency and 
the quality of service in the public sector, to integrate groups excludes from society and to reinforce the 
international competitiveness of businesses in order to consolidate the social system in Denmark. 
The SPDs under Objective 2 (1994-96) also aim to support technological development as a factor in 
developing businesses, improving competitiveness and reducing the structural vulnerability of regional 
economies. For instance, the strategy for North Jutland is devoting ECU 38.7 million to RDT (21% of 
Structural Fund allocations), the industrial sector (developing new products, technology transfer) and 
services with high job-intensity, with a high technology content and highly integrated into production 
processes. Improving technology management in firms is another aim. Around 60% of the operations being 
funded deal with the introduction of new technologies and new types of production, and between 5 and 10 
new networks are being established to assist knowledge transfers between businesses. The SPD for Lolland 
provides support for RTD and the development of R&D infrastructure so as to strengthen the links between 
research-centre activities and the needs of businesses. Support for technological development is also 
integrated into the operations for implementing other SPD priorities (adult training, etc.). 
In all, in the two Objective 2 areas, almost ECU 13 million from the Structural Funds (23.3% of total 
Community funding) are going into operations supporting RTD. 
Table V-5: Denmark • Funding directly linked to technological development in 1994-99 (ECU million) 
Financing by the Structural Funds 
100% Objectif 2 TOTAL 
4M * 
IWft S.F. 
12.fi % 
28% Member State 
.Public 
l?.7 Private 
\u Total 
32,5 % 
72% 
NB: The programming procedures and different approaches taken by the Member Stales 
invite to caution in interpreting these figures, in particular spending 
on information society projects, which are often linked to other fields such as RTD. QRTD 
OBJECTIVE 25 
Fie. V-7: Proerammine 1994-96 (ECU million -1996 prices and status): 
Bv sector: 
Production environment (a) 
Human resources (b) 
Technical assistance (c) 
Bv Fund: 
ERDF 
ESF 
Total 43,7 
10,4 
J4JL 
2 SPD 
Average per SPD 43.2 
10.1 
0.8 
81% 
19% 
100% 
27.1 (b) 19% (c) 1% 
(a) 80% 
1996 in the context of programming for1994-96 
The two SPDs for Lolland and North Jutland were wound up at the end of 1996. Under the Lolland 
SPD there still remained ECU 2.7 million uncommitted (28% of the original assistance), which were 
transferred to the envelope for 1997-99. Under the North Jutland SPD all the allocated funds were 
committed before the end of 1996. 
5 Eligible areas: Lolland, North Jutland. 
8th Annual Report on the Structural Funds (1996) 175 
An assessment of the two programmes was made in 1996. This covered both SPDs and contained a 
general part dealing with both areas and a part on each separately. In the general part, the assessors 
gave particular attention to the correspondence between goals, programmes and preliminary 
conditions in order to identify appropriate indicators. In the part on Lolland, the assessment looked at 
the assistance to existing small businesses as a long-term development strategy and the need to 
strengthen aid towards improving general conditions in the region. The assessment report shows that, 
while it is useful to aid existing firms, they cannot create enough new jobs to offset the job losses due 
to declining production and company closures, so that it is also important to support the setting-up of 
new businesses. The report also concludes that firms in Lolland have a much greater need to improve 
their general operating conditions than is apparent in their take-up of current aid schemes, especially a 
need for training and in particular training in the new technologies. Firms are having difficulties 
recruiting graduates and middle management, which suggests a project specifically aimed at training 
that will also encourage innovative people. Finally, it was clear that advisory services to businesses 
could play a more active role in making firms aware of the assistance available to them. 
The assessment specific to the North Jutland SPD concentrated on evaluating the target firms and the 
support given to large and small businesses. The assessment report concludes that a basis exists for a 
strategy of internationalisation, since of 2 500 firms that could potentially be exporters only 2 000 are 
today. The report suggests giving more weight when selecting projects to the growth potential of 
firms, the relative scale of projects and their payoff rather than the size of businesses themselves. The 
report also proposes creating a subprogramme aimed at smaller scale projects funded by small 
businesses. 
Preparation for the 1997-99 programming period 
Preparations for the 1997-99 phase took up the second half of 1996 and covered the same eligible 
areas. The content of the draft programmes has not changed significantly. The structure of the Lolland 
programme is identical except for an operation concerning support infrastructure which is turned into 
an operation to assist strategic infrastructure. The same applies to North Jutland, except that two 
priorities for 1994-96 have been run together because of the difficulty of distinguishing between 
manufacturing and service firms. This will simplify the management of this programme. 
OBJECTIVES 3 and 4 
Fig. V-8: Objective 3 - Proerammine 1994-99 (ECU million - 1996 prices): 
Priorities 
Vocational integration of young people (a) 
Integration of jobless and long-term 
unemployed (b) 
Integration of people threatened with exclusion (c) 
Technical assistance (d) 
Total 
1SPD ESF 
58.4 
142,4 
61.9 
—54 
268.1 (c) 22% (d) 2% (a) 21% 
(b) 55% 
The implementation of the SPD under Objective 3 made good progress in 1996, and appropriations 
allocated for the three years 1994-96 were committed as forecast. Schemes involving training 
(especially in the target groups), vocational training, counselling and monitoring have concentrated on 
helping participants make contacts with the world of work and on individual counselling and 
monitoring in accordance with personal plans of action drawn up with the help of public job centres. 
It is important for the most vulnerable groups that project content should correspond to the needs of 
the local labour market, personal qualifications, the conditions of a normal working life and the needs 
of the individual. 1996 also saw the adoption of new legislation to strengthen the administration of the 
ESF, the management of funds, the selection of projects, oversight rules, monitoring, accounting 
procedures and assessments, as well as the gathering of data for assessments. A new computer system 
was also installed, part of which will serve the central authorities and part of which will be at regional 
level. 
776 8th Annual Report on the Structural Funds (1996) 
Fie. V-9: Objective 4 - Programming 1994-99 (ECU million - 1996 prices) 
Priorities 
Anticipating labour market trends and 
vocational training needs (a) 
Vocational training, advice and guidance (b) 
Improving vocational training systems (c) 
Tççhniçal assistance fd) 
Total 
l SPD ESF 
5,8 
19.8 
11,7 
_L£ 
J&l W.4% (a) 15% 
(c) 30% 
(b) 51% 
The Objective 4 SPD was adopted in 1994 to cover the three-year period 1994-96 and was worth ECU 
13 million, all of which was committed by the end of 1996. Since this was a new departure, the 
Danish authorities made considerable efforts to set up the implementing machinery and good progress 
was made in 1996. The target group for the programme are workers threatened with redundancy who 
need to be helped to cope with change by vocational training schemes. The programme also sets out to 
develop new ways of forecasting training needs and improving vocational training systems so as to 
increase the flexibility of workers in terms of qualifications required. The SPD has been extended to 
cover the period 1997-99, with an additional ECU 25 million in funding. It was essential to continue 
the strategy already begun because there was little data for assessing the programme adopted in 1994. 
Any other changes that may be needed can be made later in light of the mid-term assessment to be 
carried out in mid-1997. 
OBJECTIVE 5(a) agriculture 
Table V-6: Programming 1994-99(ECUmillion- 1994prices): 
Total Mesures 
127,0 Production 
Marketing 100,3 79% 
21% 
As regards improving production structures, most of the Community's funding is investment aid 
(ECU 57.1 million), followed by assistance for new entrants to farming (ECU 30.8 million). As 
regards processing and marketing, the SPD has been implemented with success. By the end of 1996, a 
total of 79 projects had been approved, mainly in the meat sector (36) and in the milk and milk 
products sector (35). In all, 48% of the Community contribution had been committed by the end of 
1996. 
OBJECTIVE 5(a) fisheries 
Fie. V-IO: Objective 5(a) fisheries - Programming 1994-99 (ECUmillion), 
Aiustment and redirecting of fishing effort (a) 
Other fleet structuring measures (b) 
Renewing and modernising the fleet (c) 
Aquaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (g) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures (\) 
Total FIFE 
37.7 
0.0 
35.0 
9.2 
3.2 
9.8 
30.1 
7.2 
pm 
2211 0),o% 
(h)5 
(9)22% (a) 27% 
(f)7% 
(e) 2% (d)7% (c)25% 
Programme implementation in 1996 involved the commitment of the 1996 tranche and payment of the 
second advance for 1994. The take-up of funds was very high in the case of processing, fleet 
adjustment and other measures. The Danish authorities have notified an early-retirement scheme for 
fishermen which will be incorporated into the 1997 programme. The Commission has approved seven 
of nine national implementing regulations, with three remaining to be approved in 1997. 
8th Annual Report on the Structural Funds (1996) 17] 
OBJECTIVE 5(b)6 
Fig. V-ll: Objective 5(b) - Programming 1994-99: 
Population ('000s) 
Area (krn?) 361 
8.374 
ECU million 
Bv Fund: 
EAGGF 
ERDF 
ESF 
Total 21,6 
10.8 
21,6 
54,0 40% 
20°/o 
40% 
100% 
1SPD (d) 2% 
(c) 37% (a) 25% 
(b) 36% O Diversification, protection ! 
of the environment (a) j 
i 
• Devlopmenl of businesses 
(b) | 
i 
D Tourism (c) i 
• Technical assistance (d) j 
The SPD adopted in December 1994 was adjusted in November 1996 to amend the financing 
schedule to take account of the late approval of the programme and changes in socio-economic 
conditions which had taken place in the mean time. The Monitoring Committee discussed the 1995 
annual report and a new table analysing the projects approved, and it also approved plans for an 
information campaign and the preparation of the intermediate assessment (assessment plan, terms of 
reference). 
Table V-7: Denmark - Assistance by Objective - 1996 in the programming for 1994-96/99 (ECU million) 
Programmes 
(year of adoption) Total volume Struct. F. 
(1) Commitments 
1996 Commitments 
1994-96 
(2) % 
(2)/(I) Payments 
1996 Payments 
1994-96 
(3) % 
(3)/(l) 
Objective 2* 
SPD Lolland (1994) 
SPD North Jutland (1994) 
Total 30,5 
210,5 
241,0 7,0 
47,1 
54,1 -0,2 
23,0 
22,S 9.3 
43.8 
53.1 134% 
93% 
911% 2.1 
1.6 
5.7 6,4 
17,3 
23,7 91% 
37% 
44% 
Objective 3 
SPD Denmark (1994) | 584,3| 268.11 42,0| I27.0| 47%| 4I.0| 1I5.2| 43% 
Objective 4 
SPD Denmark (1994) | 87,7| 38,9| 7.01 I3.0| 33%| 7.7| I0.7J 27% 
Objective 5(a) agriculture 
Forecast Denmark R. 2328.91 (1994) 
SPD Denmark R. 866 and 867 90 (1994) 
Total 354,4 
213,6 
568,0 100,3 
26.7 
127,0 17,0 
5,1 
22,1 50.3 
10,5 
60,8 50% 
39% 
48% 16,4 
5,7 
22,1 32.9 
8.4 
•11,3 33% 
31% 
32% 
Objective 5(a) fisheries 
SPD Denmark (1994) | 438,8| 139,9| 23,3| 69.9J 50%| 0.0) 30,3| 22% 
Objective 5(b) 
SPD Denmark (1994) 
TOTAL 204,4 
2.124,2 54,0 
682,0 3,7 
120,9 13.5 
337,2 25% 
49% 0.1 
74,5 5,8 
226,9 11% 
33% 
After deduction of transfers to 1997-99. 
2.2. Implementation of the Community Initiatives in 1996 
Note: 
Denmark is involved in eight Community Initiatives: Urban, Konver, Employment, Adapt, SMEs, Pesca, 
Leader and Interreg. Five Community Initiative programmes were adopted at national level between 1994 and 
1995, and four Interreg programmes. The three programmes remaining to be approved, the programmes under 
the SMEs Initiative and Leader and an Interreg programme with Sweden were adopted in 1996. 
Support for the development of technological potential in Den/nark : 
Development of the information society in Denmark is a goal in the community Initiative programmes under 
Interreg, Konver and SMEs. The Interreg programmes shared by Denmark and Germany are designed to 
reduce the isolation of the three regions concerned (Plammgsraum V and Sonderjyllands Ami, Ostholstein, 
Liibeck and Storstroms Amt, and Kern and Fyns Amt) and its impact on their economies by stimulating RTD, 
education and RTD training as well as (he development of small businesses (ECU 2.S million; total volume: 
ECU 5.7 million). Similarly, the cross-border cooperation programme for the Baltic (Denmark, Poland, 
Baltic States) contains measures to support the development of small businesses (e.g. 'Baltic House '), 
training and cooperation in the field of communications and the media (ECU 0.6 million; total volume: ECU 
1.3 million - e.g. 'Baltic Media Centre), while the programme between Denmark and Sweden provides for 
6 Eligible areas: North Jutland, Viborg, Ringkobing, South Jutland, the Islands. 
18 RthrAnnual report on the Structural Funds (1996) 
framework programme and the importance of RTD and innovation in the development aid provided 
by the Structural Funds should be strengthened. This was achieved in practice by significantly 
increasing the Structural Fund appropriations for RTD and innovation18. The cohesion dimension was 
better integrated in the 4th RTD framework programme, most notably in operations 3 (dissemination 
of the results) and 4 (training and researcher mobility). For example, 1% of each specific RTD 
framework programme is reserved for operations to disseminate and exploit the results, and an 
"Innovation Programme" in tandem with the operations under Article 10 of the ERDF Regulation was 
launched in 1995 to introduce regional innovation and technology transfer strategies (RUTS), 
regional innovation strategies (RIS) and regional technology transfer projects (RTT)19. In the case of 
researcher training and mobility,29% of the applications for study grants come from the Objective 1 -
6 regions and those same regions account for 26% of the coordinators for Euroconferences, while host 
facilities in the Objective 1 regions have increased from 4% in the 3rd RTD framework programme to 
15% in the 4th programme. Research workers in the Objective 1 regions also participated in many of 
the research projects under the 4th programme since in 1996 40% of projects implementing the RTD 
framework programmes included at least one participant from an Objective 1 region. 
Yet the disparities persist 
Despite this progress, the scientific and technological indicators show that the technology gap 
between Member States and regions is still significant. Thus, in the case of RTD expenditure, the 
disparities between the cohesion countries and the other Member States are very great in terms of 
gross expenditure as a percentage of GDP, private sector involvement and the number of scientists 
and engineers employed. Sources of innovation funding are harder to come by in these Member States 
and there is a significant trade deficit in technology. Research and innovation activities in the four 
Member States in question are highly concentrated in just a few regions, usually in and around the 
capital. 
RTD - what the Report on economic and social cohesion teaches us : 
The most dynamic and successful laboratories and enterprises are located in the 
heart of Europe in "islands of innovation" which host almost 80% of the 
laboratories involved in international cooperation in RTD and where an 
interactive network to develop new products and production processes is 
characteristic. 
In 10 years the expenditure on RTD as a percentage of GDP has increased from 
0.4% to 0.63% in Portugal, from 0.34% to 0.6% in Greece, 0.8% to 1.24% in 
Ireland. In Spain, it increased from 0.48% à 0.93%. 
As regards Member State participation in the RTD framework programmes, the 
situation is encouraging in some respects. While the relative position of the 
Member States in terms of expenditure on the 2nd and 3rd RTD framework 
programmes has not changed, the share of the four cohesion countries has 
increased from one framework programme to the next. At the same time, the 
relative position of France, the United Kingdom and Germany only increased 
marginally or actually decreased. 
In qualitative terms, research institutes and public universities continue to be the 
major participants from Objective 1 regions, with little private sector input. New 
scientific knowledge has nevertheless been obtained and applied through the rapid 
launch of new products and production processes. Small firms find it hard to 
benefit from the programmes, however, and while the programmes have brought 
about closer cooperation between partners from the north and south of Europe, 
there is a risk that such closeness will diminish the research in terms of its 
relevance to the specific economic and industrial needs of the least-favoured 
The cohesion regions are much slower in adapting to the information society which involves in the 
first place introducing a high-performance telecommunications system. There is less access to 
18 See below. 
19 See Chapter I.B.2. Innovative actions and technical assistance 
178 8th Annuut Report on the Structural Funds (1996) 
special measures to promote new technologies in the context of priorities dedicated to developing industry, 
the media, RTD and tertiary education. 
The Konver programme focuses on new technologies as a way of strengthening the competitiveness of the 
regions by developing human resources and management skills in firms, especially through business advisory 
services, knowledge development and connection of firms to advanced communications networks. 
Finally, the SME programme is involved with technological development under the voucher system ('service 
ticket ') where there is a need to ensure the continuity and competitiveness of firms and the creation of jobs. 
Three new Community Initiative programmes were adopted in 1996. The SME programme was 
adopted in March 1996 and covers areas eligible under Objectives 2 and 5(b). This means that the 
Monitoring Cornmittee is the same as for the SPDs under these Objectives. This programme is the 
extension of an existing national programme of vouchers ('service ticket') for business start-ups 
designed to provide new entrepreneurs with 'à la carte' access to advisory services and training in 
conjunction with drawing up a business plan. Another programme adopted in April 1996 is the 
Denmark-Sweden Interreg programme. Denmark is now involved in five Interreg programmes, three 
with Germany, one with the Baltic region and one with Sweden, the five programmes are running 
well. Under Interreg II C (ECU 4 million), Denmark has started to prepare two programmes with 
neighbouring countries, one in the North Sea area and one in the Baltic. Finally, the Leader 
programme was adopted in June 1996. This is aimed at safeguarding thriving rural communities by 
stopping the drift away from the land and attracting new residents, raising skills and protecting and 
improving the environment. To make the programme as effective as possible, the schemes will cover 
only half the areas eligible under Objective 5(b). 
Additional funding allocated from the reserve for the Community Initiatives came to ECU 13.5 
million. This money will be used to reinforce the Initiatives Adapt, Employment, Leader, and above 
all Pesca as well as the new strand C under Interreg II. 
Among programmes already running, the Urban programme involving the city of Âlborg (Objective 2, 
North Jutland), which shares the Monitoring Committee for the SPD under Objective 2, saw work 
start in 1996 on setting up the Centre for Sustainable Urban Development. The Konver programme, 
due to run from 1995 to 1997 to assist Karup (Jutland) and Copenhagen, has been implemented on 
schedule. This programme has not received additional funding from the reserve for Community 
Initiatives and so will not continue beyond 1997. The Employment and Adapt programmes saw 
projects coming on stream in the first half of 1996. There are 42 Adapt projects and 30 under the 
Employment Initiative (8 under Youthstart, 15 under Horizon and 7 under NOW), the sponsors are 
largely traditional institutions, except for the Horizon projects which are being running mainly by 
NGOs. The commonest topics are business start-ups by women, teaching information technology 
skills to the handicapped, the creation of bridges for passing from school to occupational training, 
support for small businesses and the setting-up of job-sharing schemes, a specifically Danish 
approach. Few projects under Pesca terminated in 1996, but 27% of the budget has already been 
allocated to individual projects and at the end of 1996 the Commission decided to commit the whole 
of the assistance for 1994-99 in a single decision. 
8th Annual Report on the Structural Funds (1996) 179 
Table V-8: Denmark - Community Initiatives - 1996 in the context of programming for 1994-99 (ECU 
million) 
Initiative 
(number of programmes.) 
Adapt (1) 
Employment (1) 
Leader (1) 
Pesca(1) 
SME(l) 
Konver (1) 
Urban (!) 
Total (7) 
Interres/Reten (5)** 
Programmes adopted in 1996 
Leader 
SMEs 
Total (2) 
Intrrrrvd) "* Total volume 
65.7 
20.7 
26.7 
48.6 
5.1 
5.3 
3.0 
175.2 
26.7 
5.1 
31.8 SJF. 
assistance 
Ml 
29.5 
10.6 
8.2 
16.4 
2,6 
2,4 
ÏJS 
71,1 
8.2 
2.6 
10,7 Commitments Commitments 
199o 1994-96 
24.2 
9.0 
6.5 
9.5 
2.6 
0.0 
0.2 
SIS 
6.5 
2.6 
9,1 29.5 
10.6 
6.5 
12.3 
2.6 
2.4 
1.5 
65J 
6.5 
2.6 
9,1 % 
(2V(V 
100% 
100% 
80% 
75% 
100% 
100% 
100% 
92% 
80% 
100% 
85% Payments 
1996 
6.2 
2.4 
2.0 
0.8 
0,8 
0,0 
0.1 
123 
2.0 
0.8 
2,7 Payments 
1994-96 
8.9 
3.2 
i.O 
22 
0.8 
U 
0.5 
18.6 
2.0 
.0,8 
2,7 % 
(3vm 
30% 
30% 
24% 
13% 
30% 
50% 
32% 
26% 
24% 
30% 
25% 
• Excl. reserve 
• • For programme details see Chapter VII. Table 2.2. 
" "• For programme details see Chapter I.B. 1. Community Initiatives. 
ISO 8th Annual Report on the Structural Funds (1996)) 
3. GERMANY . . 
3.1. Implementation of assistance hy Objective in 1996 
Support for the development of technological potential in the regions of Germany: 
Objective 1 : Technological development is an important element in the strategy for the development and 
conversion of the new German Lander, with 4.2% of Community funding being spent on research, 
technological development and innovation.. The aim of the R&D and innovation priority is to increase both 
the number and the quality of staff in R&D establishments through initial and continuing training measures 
so as to provide support for the development of businesses producing products and using production 
processes requiring technological know-how. The ERDF contribution to this priority accounts for 7% of total 
ERDF appropriations for the CSF. These measures are implemented under the OPs for the economic 
development of each Land' under an R&D and innovation priority. They cover investment in research 
departments and industrial laboratories, development and design advice, aid for businesses involved in RTD 
and investments in RTD infrastructure and innovation centres. They also provide support for measures to 
improve cooperation between businesses in developing products and processes, the modernisation of 
information and communications technology and the'development of technological advice services. In 
addition to this priority, the CSF also supports RTD in businesses through investments in technology, the 
promotion of innovation centres and the development of joint training centres for businesses. 
• Example of a project financed in Saxony: aid has been granted to a technology business 
"incubator" in the Landkreis Riesa-Grofihain. The technology centre is basically involved in 
renewable energy and laser-treatment of raw materials for which it can provide demonstrations of 
cutting and welding of metals. The centre is working with the Fraunhofer-lnstitut (specialising in 
solar energy systems) in Freiburg to produce a fuel cell. Businesses are also provided with advice and 
training. The eligible investment amounts to around ECU 250 000, of which ECU 150 000 is being 
supplied by the ERDF. 
Objective 2 (1994-1996): All the SPDs include measures to support technological development, principally 
RTD (20.7% of Community appropriations), either in the form of a priority devoted exclusively to this 
objective or under the SPD s other priorities: 
• Lower Saxony: support is provided under one priority for R&D in businesses and innovation in 
products and processes by promoting cooperation between businesses and research and training 
establishments (ECU3.5 million; total cost: ECUS.5 million), and. under another priority, for 
continuing scientific training in applied technology (laser, tourism, quality control in the construction 
industry; ECU 0.5 million; total cost: ECU 1.1 million), and finally, as part of measures to protect the 
environment, aid is given for technology designed to reduce, recycle and treat sewage and waste, air-, 
water- and soil- purification technology, biotechnology and biodegradable materials. 
Example of a project funded in Lower Saxony: ERDF aid has been granted for a project to develop a 
continuous electrostatic filter, headed by the "Fachhochschule" in Braundschweig-Wolfenbiittel. 
Without this aid, the project could not have gone ahead. This new technology-, which enables a high 
degree of powder recycling, has the potential for widespread use in surface treatment. A patent has 
already been granted. 
• Saarland : two specific priorities, one for research and technology providing for the development of a 
science park and the promotion of the work of research establishments and the application of the 
results of their work in SMEs (ECU 3.9 million; total cost: ECU 9.3 million) and the other concerning 
the transfer of technology and know-how and providing support for bodies involved in technology 
transfer and innovation advice (ECU 3.3 million, total cost: ECU 14.4 million). In addition to these 
priorities, the SPD provides support for improving research, scientific and technological capacities 
and improving qualifications to satisfy the requirements of the labour market. 
• Although the other SPDs do not contain specific technological development priorities, they do not 
ignore the issue: in order to improve the environment for SMEs, they promote technological 
development (Bavaria and Rhineland-Palatinate) ; innovation by setting up risk-capital funds for the 
introduction of new technology and providing cash-flow support for SMEs concerned with technology 
(Bremen), the creation or extension of technology infrastructures, technology parks and other 
MecklenburgrVVestcrn Pomerania: ECU 71.6 million (total cost: ECU 457 million); Brandenburg: ECU 1 14.4 
million (total cost: ECU 259.3 million); Saxony-Anhalt: ECU 73.1 million (total cost: ECU 225.7 million); 
Saxony: ECU 207.8 million (total cost: ECU 390.1 million); Thuringia: ECU 38.9 million (total cost: 
ECU 145.1 million); Eastern Berlin: ECU 61.8 million (total cost: ECU 111.3 million). 
8th Annual Report on the Structural Funds (19&6) 181 
installations (Bavaria and North Rhine-Westphalia) and the development of service and advice 
providers, particularly in the field of technology transfer (Bremen, Hesse and North Rhine-
Westphalia). In additionnas part of environmental protection measures, they promote innovation, 
technology transfers and the adjustment of manufacturing procedures to environmental requirements 
(West Berlin) and the use of environmentally friendly technology and services (Bremen). Finally, some 
of these SPDs stress the need to improve qualifications in the fields of research, science and 
technology and advice services on continuous training (Bavaria, Hesse and Schleswig-Holstein). 
Examples of projects financed between 1994 and 1996: 
Hesse: The ERDF provided support for setting up the "Kassel business incubator" in the former 
Hindenburg barracks, promoting the creation of new technology-oriented businesses. The centre 
provides a wide range of advice and is in close contact with regional R&D bodies with the aim of 
improving technology transfers. Synergy is sought between the business incubator and its 
environment, the objective being to strengthen existing businesses in the region and to attract more. 
This project provides an example of the structural regeneration of former military land It involves a 
total investment of ECU 6.5 million, of which ECU 2.3 million is provided under the Objective 2 SPD. 
North Rhine-Westphalia: EU ROM AT GmbH, a research establishment specialising in innovative 
materials and manufacturing processes, heat-resistant raw materials and surface-treatment 
technology, receives aid directed essentially towards the development of new technology. EUROMAT 
makes available its results to businesses which do not have their own research facilities. The work 
essentially involves the development of new materials for new uses, raw materials with new properties 
and surface-treatment technology. Support for these technology-transfer measures amounts to more 
than ECU 4.3 million. 
In total, 4,5% of Structural Fund appropriations in Germany are to support technological 
development (Objectives 1, 2 and 5(b)). 
Table V-9: Germany - Funding directly linked to technological development in 1994-99 (ECU million) 
Obj. l 
Obj. 2 
Qfri. 5(b) 
TOTAL TOTAL 
1.600.0 
223.8 
SI.? 
1-905.1 ,2c 
84% 
12% 
4% 
100% SF 
575,1 
99,2 
23.6 
697.9 .2L 
36% 
44% 
29% 
^7% Public 
384,7 
116.9 
-JL0. 
f37.6 Member State 
Private 
640.2 
7,7 
21.7 Total 
1.024.9 
124,6 
?7.7 
fifiy.fil 1.207.2 JK-
64% 
56% 
71% Financing by the Structural Funds 
NB: The programming procedures and different approaches adopted by the Member Stales 
invite caution in interpreting the figures, in particular spending on information society projects, 
which are often linked to other areas such as industry and RTD. 100% 
IDRTD 
OBJECTIVE l8 
Fie. V-12: Programming 1994-99 (ECUmillion) 
Priority 
Productive investments (a) 
Aid to SMEs (b) 
R&.D. innovation (c) 
Environment (d) 
Human resources, training (e) 
Agriculture, rural areas, fisheries (f) 
Technical assistance (P) 
Bv Fund: 
ERDF 
FSE 
FEOGA 
FIFG 
Total 6.860,9 
4.092,0 
2.644,5 
83,5 
13.68Q.? 50% 
30% 
19% 
1% 
100% 
1 CSF 118 OPs 
Averarc ner OPl 760.0 (9)2' 
(f) 24% (a) 18% 
(e) 27% 
(d) 8% 
8 Eligible areas: Eastern Berlin, Brandenburg, Mecklenburg-Western Pomerania, Saxony, Saxony-Anhalt, 
Thurinsia. 
182 8th Annual Report on the Structural Funds (1996)) 
Principal achievements in 19969 
Assistance under the CSF is granted under seven priorities. ERDF, ESF and EAGGF operations are 
coordinated in each Land by three OPs (in East Berlin, Structural Fund assistance is covered by a 
single OP). The CSF is providing ECU 13.640 billion at 1994 prices, which represents 
ECU 13.920 billion at 1996 prices. Not all the decisions resulting from this indexation were adopted 
in 1996 but most of the programmes benefiting from ERDF funding were amended during the year. 
The extra amount after indexation for Thuringia, ECU 38.8 million, was devoted to the 
'Infrastructure' priority, with pai>financing provided exclusively by the Land. For Berlin, the amount 
resulting from indexation (ECU 14 million) will be used to strengthen all the development priorities 
financed by the ERDF. In Mecklenburg-Western Pomerania, the appropriations resulting from 
indexation, i.e. ECU 16.3 million, were added to the funds available for the ERDF-dominated OP. In 
Saxony, the ERDF-dominated OP was subject to three amendments, including indexation, permitting 
ERDF appropriations to be increased by ECU 3.2 million (bringing them to ECU 2.1 billion at 1996 
prices). In Saxony-Anhalt, unused 1995 ESF appropriations were transferred to the 1996-99 period 
and the amount of ECU 66.3 million resulting from indexation has not yet been allocated. This is also 
the case for Brandenburg (ECU 1.7 million). 
Implementation of the CSF priorities is already bringing concrete results. The principal aim of the 
priority relating to productive investments and additional investments in infrastructure is the creation 
of branches, subsidiaries and new businesses, the development of industrial and craft sites, local roads 
and technology centres. By the end of 1996, aid had been granted to more than 4 000 projects under 
this priority and some 38 000 jobs had been created and around 90 000 maintained. For example, in 
Thuringia, aid was granted for the creation of 56 craft areas, 28 tourist facilities, 27 waste-water 
treatment plants, 13 cultural establishments, two road projects and a technology centre. Note should 
also be taken of the extension of an electronic-coupler production facility in Wismar (Mecklenburg-
Western Pomerania). Technical restructuring and an increase in capacity allowed the number of 
permanent employees torje increased by 170. In Berlin, aid was granted for a major project involving 
the rationalisation and modernisation of the production facilities of a company specialising in 
electrical engineering, permitting the creation of 200 jobs. 
Table V-10: Implementation of the "Productive investments and infrastructure with direct economic 
benefits"priority in 1996 : 
Lander 
Eastern Berlin 
Brandenburg 
Mecklenbure-Westem Pomerania 
Saxonv-Anhalt 
Saxonv 
Thurineia 
Tot?) Prioritv 1 Projects assisted 
81 
338 
969 
251 
2.171 
215 
4.025 Jobs created 
608 
5.273 
3.488 
12.129 
12.570 
3.868 
37.936 Jobs maintained 
3449 
12.246 
4430 
11.801 
48.234 
9.756 
89.916 
Operations under the SME priority are intended to stimulate investment in and make available 
services to SMEs. The priority is in two parts, the first concerning productive investments 
(investments relating to the setting up of SMEs, growth, rationalisation and conversion) and the 
second principally concerning services to SMEs (creation and operation of infrastructures with direct 
economic benefits, the provision of shared premises and services in technology centres, creation of 
vocational training structures, mobilisation of local development potential, guarantees, aid for market 
9 A total of ECU 119.5 million was paid under the 1991-93 CSF for the new Lander (ECU 42.6 million from the 
ERDF, ECU 52.2 million from the ESF, ECU 24.5 million from the EAGGF and ECU 0.2 million of fisheries 
appropriations). The ERDF payments concern only Mecklenburg-Western Pomerania (ECU 10.9 million) and 
Saxony (ECU 31.6 million) and, of the ECU 1 567 billion of ERDF appropriations available under the 1991-93 
CSF, ECU 1 479 billion or 95% has been paid. The final reports on Mecklenburg-Western Pomerania, Saxony 
and Saxony-Anhalt were presented in 1996. An extension of the payment deadline to 31 December 1996 was 
granted for Eastern Berlin, Thuringia and Brandenburg. This extension was required because of administrative 
problems, continuing uncertainty regarding property and investment delays. 
8th Annual Report on the Structural Funds (1996) 183 
access and business management). By the end of 1996, around 10 000 projects had received aid under 
this priority, creating some 50 000 jobs and maintaining around 84 000 more. For example, in 
Saxony-Anhalt, the ERDF granted aid of more than ECU 1.3 million to "DTS Systemoberflàche", a 
company specialising in veneering and mechanical polishing for the wood and furniture industry, 
which has developed a patented material ("Elesgo film"). Twelve permanent jobs should be created. 
Table V-ll: Implementation of the "SME" priority in 1996 : 
Lander 
Eastern Berlin 
Branv-criv-urg 
Mecklenburg-Western Pomerania 
Sawpv-Ann?H 
5a* wv 
Thurineia 
Tofri priority? (at SUMWi) Projects, assisted 
620 
LÛ2S. 
jLlàfc 
-222 
JLS22 
605 
?,??? Jobs created 
JL2éi 
5.405 
1?.2?1 
7.846 
13.815 
6.067 
48J33 Jobs maintained 
6423 
,10.924 
7.288 
.979 
30.054 
17.610 
84.278 
By the end of 1996, aid had been granted for 650 projects under the priority relating to research, 
technological development and innovation, including 268 in Saxony and 251 in Eastern Berlin. 
Operations under the priority relating to the protection and improvement of the environment 
essentially involve investments by industry in environmental protection, investments in businesses 
supplying environmental products and services at supra-regional level and infrastructure which 
contributes to environmental protection (rehabilitation of derelict industrial sites, waste-water 
treatment, business and innovation centres for environmental technology, etc.). The ERDF 
contribution to this priority represents 12% of the total ERDF appropriations allocated to the CSF. By 
the end of 1996, 764 projects, including 340 in Saxony, had received aid under the priority. 
The "Employment" OP, mainly funded by the ESF, under the priority to combat unemployment and 
promote human resources, vocational training and further training, is intended to improve initial and 
further training, retraining and employment. Between 1994 and 1996, more than 800 000 people 
participated in initial training (34%), continuing training (53%) and employment (13%) measures 
part-financed by the ESF. Women accounted for 54% of those involved, 43% were young people and 
17% were long-term unemployed or people threatened with long-term unemployment. The effects on 
employment, although difficult to assess, are significant: the apprenticeship training given to 
26 285 young people from deprived backgrounds, largely part-financed by the ESF, appears to have 
reduced youth unemployment by 3% (down to 14.2%). Overall, unemployment stood at 17% at the 
end of 1996 and could well have been around 28% without the measures mainly part-financed by the 
ESF. The ERDF is to contribute ECU 584.1 million (or 8.5% of total ERDF appropriations) over the 
1994-99 period to the priority relating to the development of human resources. By the end of 1996, 
ERDF funding had been granted for 187 vocational training infrastructure projects. 
The aim of the rural development programmes, mainly funded by the EAGGF under the priority 
relating to agriculture, rural development and fisheries, is to improve the economic situation of the 
farming sector and develop rural areas. The economic situation in rural areas in the new Lander 
remains difficult, with unemployment, particularly amongst women, very high. The creation of 
permanent jobs is therefore the primary aim of EAGGF assistance. Thousands of jobs have been 
created or maintained, in both farming itself and the food industry. However, infrastructure is still 
rudimentary and insufficiently adapted to the needs of business and the population. Furthermore, the 
development of villages has proven to be an excellent instrument for integrated rural development, 
based on a multidisciplinary and bottom-up approach which gives local inhabitants a large say in 
designing and prioritising the investments to be made. The EAGGF is providing ECU 2 608 billion 
for these measures. The ERDF is contributing ECU 425.3 million (or 6% of total ERDF 
appropriations) to this priority and, by the end of 1996, ERDF appropriations had enabled assistance 
to be provided to 615 projects, the majority of which involved the construction of infrastructure in 
rural areas. Finally, the fisheries OP, under the same priority, (aid from the FTFG of ECU 83.5 million 
at 1994 prices) is progressing satisfactorily. After reprogramming in 1995 to accommodate an 
184 8th Annual Report on the Structural Funds (1996)) 
acceleration of investments in several areas, by the end of 1996, funding "had been provided for 
around 200 projects (particularly in the processing industry and for fleet modernisation) for which the 
total eligible investment was around ECU 55 million. 
Finally, by the end of 1996, 396 technical assistance operations funded by the ERDF had been 
approved. These measures are intended inter alia to aid the implementation and monitoring of the 
OPs. 
OBJECTIVE 210 
Ftp. V-13: Proprammine 1994-99 (ECV : 
Bv sector: -ti - 1996 prices and situation > 
Productive environment (a) 
Human resources (b) 
Development and rehabilitation (c) 
Environmental protection (à) 
Technical assistance fe> (d)7% (e)27. 
(c) 18% 
Bv Fund: 
ERDF 
ESF 
Total 481.0 
222 4 
703,4, 70% 
30% 
100% 
9 SPDs 
Average ner SDP 78.2 (a) 33% 
(b)40% 
1996 in the context of programming for 1994-9611 
Nine SPDs had been adopted for the various Lander under Objective 2 for the 1994-96 prograrnming 
period by the end of December 1994. These are mainly programmes to promote employment by 
stimulating productive investments in the regions concerned, constructing economic infrastructure, 
supporting SMEs and promoting research and development. The appropriations allocated for all the 
programmes had been fully committed by the end of 1996. Well-targeted measures managed to 
overcome the problem of a low level of commitments at the beginning of the programming period. 
However, for five of the SPDs (Bavaria, Berlin, Hesse, North Rhine-Westphalia and Saarland), 
appropriations totalling ECU 40.1 million (6.5% of the original total) were carried over to the 1997-
99 period12. 
Indexation in line with 1996 prices was carried out for all these programmes and there was a large 
number of amendments, mainly involving measures and financial transfers. For Berlin, appropriations 
originally intended for R&TD were transferred to measures to provide private investment aid and aid 
for development measures in certain areas was strengthened. For Bremen, it was decided to reallocate 
ERDF appropriations from one operation to another and from one year to another and a detailed 
allocation of ESF appropriations was made. A number of small-scale measures in the SPD for Hesse 
were cancelled. This was also the case with the SPD for Lower Saxony, where the productive 
investments priority was cancelled because of the lack of national part-financing (the 1994 instalment 
l<3 Eligible areas: Lower Saxony, Bavaria, Berlin, Bremen, Hesse, North Rhine-Westphalia, Rhineland-Palatinate, 
Schleswig-Holstein. 
1 ] Total payments of ECU 23 million were made under the CSF for the 1992-93 period, which included seven 
OPs for six Lander (ECU 3.3 million from the ERDF and ECU 19.8 million from the ESF). By the end of 
1996, the six Lander had received a total of ECU 188.9 million from the Structural Funds. The detailed 
situation with regard to the OPs is as follows: for Bremen and Emden, the final payment applications were 
submitted, the final reports approved and payments made in 1996; Saarland, Rhineland-Palatinate, North 
Rhine-Westphalia and Berlin requested a postponement of the payment deadline to 31 December 1996. The 
delays were due to unforeseen difficulties during the final phase of implementation of the projects concerned 
(the withdrawal of a number of private investors in Berlin, difficulties caused by high levels of soil 
contamination in Rhineland-Palatinate, appeals against projects in Saarland, etc.). 
12 The transfers for each of the programmes are as follows: Bavaria, ECU 2.5 million (17% of the original 
assistance); Berlin, ECU 5.2 million (3%); Hesse, ECU 5 million (23%); North Rhine-Westphalia, 
ECU 26.1 million (7%); Saarland. ECU 1.2 million (2%). 
8th Annual Report on the Structural Fundi (1996) 185 
was carried over to 1995 and 1996 and the appropriations reallocated to infrastructure with a direct 
economic impact). The allocation of appropriations between the various operations in the North 
Rhine-Westphalia SPD was reviewed and the text of the provisions on technical assistance slightly 
amended. A number of other amendments were also made: in Rhineland-Palatinate, development 
operations in various zones were strengthened because a measure to promote tourism could not be 
completed in the time planned; in Saarland, a new measure to promote the creation of new teleservice 
businesses was planned; in Schleswig-Holstein, indexation was carried out to strengthen the Kiel-
Horn project. 
For those programmes receiving a Community contribution of more than ECU 40 million, 1996 saw 
the preparation and commencement of the mid-term reviews (specifications, tendering procedure, 
methods). The review is being carried out by outside experts who should complete their evaluation 
reports and the calculation of the basic data for the programmes of lesser importance (Hesse, 
Schleswig-Holstein, Bavaria and Rhineland-Palatinate) in April 1997. Work was also continued to 
organise monitoring with the establishment of the Monitoring Subcommittees for those SPDs 
receiving the largest Community contributions, i.e. more than ECU 40 million. This involves the 
programmes for Berlin, Bremen, Lower Saxony, North Rhine-Westphalia and Saarland. The new 
Committees began work during the year and contributed to the drafting of the new programming 
documents for the 1997-99 period. 
Preparation of the 1997-99 programming period 
As part of the preparations for the 1997-99 programming period, the new development plans which 
will serve as the basis for negotiations between the Commission and the Federal Government and the 
Lander were submitted to the Commission in May 1996 against a 4 background which remains 
unchanged from that prevailing during the 1994-96 programming period. The Commission is due to 
adopt decisions on the new programmes in the spring of 1997. 
OBJECTIVES 3 AND 4 
Fie. V-14: Objective 3 - Proerammine 1994-99 (ECU million -1996 prices) 
Priority 
Vocational integration of jobless threatened 
with lone-term unemployment (a) 
Vocational integration of young people seeking 
work (b) 
Integration of peoDle threatened with exclusion (c) 
Eaual opportunities for B77men and women (d) 
Technical assjsfimçç WJ pilot Project? (t) 
Total 
1 CSF/12 OPs 
Average per Q? ESF 
944,1 
442,0 
78.1 
160.2 
-5L2 
1.682.1 
140.21 (d)10% (e>3% 
(c) 5% 
(b) 26% (a) 56°/ 
The correct implementation of the CSF and the 12 OPs in 1996 is illustrated by the fact that half the 
appropriations for the 1994-99 period had been committed by the end of 1996. which is a positive 
result if account is taken of the fact that the OPs were only adopted at the end of 1994 and most of 
them did not get up to speed until the second half of 1995. Applications under the AFG-Plus Federal 
OP, which complements the "Employment Support Act" (Arbeitsfôrderungsgesetz - AFG), were much 
higher than expected. The most successful measure was the provision of training to those ineligible 
under the AFG, principally women, the measure therefore helping to improve equality of opportunity. 
The heavy demand led to a reduction in the measures planned for handicapped people and discussions 
were opened between the Commission and the German authorities to find a way of maintaining these 
measures without damaging the AFG-Plus programme. Non-profit-making temporary-employment 
agencies have now been set up under the regional OPs. These agencies place the long-term 
unemployed in businesses on fixed-term contracts with the aim of then getting the businesses to 
employ them on permanent contracts. During periods when the workers are without a contract, they 
can undertake training so as to improve their chances of finding permanent work. This approach is a 
186 8th Annual Report on the Structural Funds (1996)) 
sort of pathway to employment, offering work experience in a company 'plus training. Training 
requirements can be assessed during the period of work experience and businesses can recruit workers 
who fulfil their requirements. 
The Monitoring Committee again looked the question of employment policy, particularly the extent to 
which ESF assistance under Objective 3 reflects Community employment policy (discussions centred 
in particular on job creation and improving the employability of workers). Finally, the mid-term 
review was begun with the selection by invitation to tender of twelve assessors for each OP and an 
assessor responsible for the CSF and coordination of the other twelve assessments. The draft report is 
expected to be ready by mid-1997. 
Fie. V- 15: Objective 4 - Programming 1994-99 (ECU million - 1996 prices): 
Priority 
Anticipating labour market trends and personal 
Qualification needs (a) 
Training, retraining and advice (b) 
Improvement and development of appropriate 
training svstems (c) 
Technical assistance (d) 
Total ESF 
29.1 
187.0 
34.7 
14.5 
265.3 
1SPD (c) 13% (d)5% (a) 11% 
(b)71% 
The SPD adopted in 1994 for the 1994-96 period consists of 11 regional programmes and one Federal 
programme. Although several Lander overcame the start-up problems encountered in 1995, others, as 
well as the Federal authorities, required more time to set up the innovative training courses required 
by the SPD. The use of funding improved over the year. Furthermore, the programme was extended in 
May 1996 to cover the period 1994-99 with contributions of ECU 265.3 million from the ESF, 
ECU 87 million from the national budget, ECU 144 million from the Lander and ECU 151.8 million 
from the private sector. The measures concerned were not changed. The severe restrictions on public 
finances are making it increasingly difficult to meet the national part-financing laid down in the SPD, 
but the national authorities and the Commission took steps to increase the flexibility of financing 
structures in order to remedy the situation. One very positive aspect is that businesses are often 
deciding to participate in the programme after obtaining good results with the initial projects. Finally, 
the mid-term review of the SPD could result in reprogramming to ensure the programme's success. 
OBJECTIVE 5(a) agriculture 
Table V-12: Prorrammine 1994-99 (ECU million - 1996 prices and situation): 
Total 
1.086.5 Measures 
Production 
Marketing 868.2 
218.3 80% 
According to the revised forecasts, the Community contribution to measures relating to production 
structures totals ECU 868.2 million. Two-thirds of that amount are accounted for by compensatory 
payments in less-favoured areas, which cover 51% of the utilised agricultural area. Around 
220 000 farmers received such aid in 1994, slightly down on the previous year. A total of 
ECU 113 million is earmarked for young farmers. Investment aid represents 15% of the total and was 
paid to 1 800 farms in 1994, with a large percentage going to Bavaria, Schleswig-Holstein and Lower 
Saxony. Given the expiry on 1 January 1997 of Article 38 of Regulation (EEC) No 2328/91 laying 
down special conditions for investment aid in the new Lander, uniform conditions for the old and the 
new Lander were adopted at the end of 1996 for the German agricultural investment programme 
(Agrarinvestitionsforderprogramm 1997-2000), in order to ensure uniform application throughout the 
country. 
8th Annual Report on the Structural Funds (1996) 187 
Implementation of the ten SPDs relating to the processing and marketing of products accelerated after 
initial delays. By the end of 1996, approximately 40% of the Community contribution had been 
committed for approved projects. Aid is concentrated in the fruit and vegetables, meat, milk and milk 
products and flowers and plants sectors. Following market developments, particularly in the meat 
sector, a number of requests for amendments to existing programmes were submitted. 
OBJECTIVE 5(a) fisheries 
Fie. V-16: Objective 5(a) fisheries - prorrammine 1994-99 (ECU million): 
Adjustment and redirection of fishing effort (a) 
Other fishing fleet measures (b) 
Modernisation and renovation of the fleet (c) 
Aquaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (g) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures (\) 
Total Fire 
6.8 
0.0 
12.3 
7.1 
0.0 
5.6 
39.4 
US 
pm 
__L8_ 
76.0 0)0% 
(h)3%(J)2% (a) 9% 
(c) 17% 
(9) 53% 
Implementation of the programme is progressing satisfactorily. These are now around 350 projects 
(relating particularly to the processing industry and fleet modernisation) with eligible investments 
totalling ECU 75 million. Assessment work was also carried out in 1996 (selection of an assessor, 
discussion of provisional results). A mid-term revision of the programme will be carried out on the 
basis of the final report, expected in spring 1997. 
OBJECTIVE 5(b)13 
Fit. V-17: Objective 5(h) • Protramminp 1994-99: 
Population ("OOOs ) 
Area (Km2) 
Bv Fund: 
ERDF 
ESF 
EAGGF 
Tfttal 
8 SPDs 7.823 
9ft 178 
ECU milium 
475.1 
231.0 
522.9 
1229.0 
Average r>er SPPl 39% 
19% 
43% 
100% 
153.6 (e)19% (d)0.1% 
<«)42% 
<b)39% D Diversification et 
adjustment of agricultural 
structures (a) 
•Development of non-
agricultural sectors (b) 
I Development of human 
resources (c) 
•Environmental protection 
(Saarland) (d) 
Financing was increased in 1996 because of the increasing awareness in society of the problem of 
rural development and the positive experience of the 1989-93 period. This permitted the 
implementation in two years of the programme adopted for the three years 1994-96, despite the 
budgetary restraints being experienced by the Lander. As already concluded from the ex post 
evaluation of the three programmes implemented during the 1989-93 period, the use of national aid 
schemes as a source of national part-financing was again very effective in permitting rapid, problem-
free implementation in 1996. As regards monitoring of the programmes, in addition to examining the 
annual progress reports, for two SPDs, the Monitoring Committees amended the national aid schemes 
in order to adjust the programmes in line with the rhythm of implementation and, for the SPDs as a 
whole, laid down the guidelines for the mid-term review of the programmes. An initial report on this 
phase of implementation was drafted by the assessors at the end of 1996 and the final reports are 
expected in April 1997. 
13 Eligible areas: Baden-Wiirttemburg. North Rhine-Westphalia, Saarland, Lower Saxony, Bavaria, Hesse, 
Rhineland-Palatinate. Schleswig-Holstein. 
8th Annual report on the Structural Fundi (1996) 19 
telecommunications networks and to funding and fewer people subscribe to information services there 
than in the rest of the Community. Investment in telecommunications in the cohesion countries is, in 
general, 40% less than of investment in the core regions.20. 
Table 0-1: General RTD and telecommunications indicators 
NT, I TÎK I Divergence -EL. IRL B 1 PK 
RTP.fi) 
P.471 0.871 0,911 0.? 1.691 1541 2.811 2.421 1.381 2.06J " 2.21 Total expenditure 
f%QPP) 3 M 
1.231 0.851 2.021 1.481 0.771 1.1 il" 1.47 -663 
Private expenditure 
(%GDPV O.ttl 0.1? 
Total number of scientists and engineers 
(% emnloveeO I °f , 
'41 2.21 51 H AA -75% 
4l 4.6 
2.42 
o.?l o.vl i.sl o.i AAl 
2.4l l.5l 3.8l 2.3l 1.3l 1.6J . 2.8 ZÛS3L 
Scientists and engineers in 
jhejgvjje^ejt^r^^grr^gloveej^ 0.55 2.24 -75% 
TFT FrOMMTTNTCATTONS m 
Telephong lines (ft inhabitants) 40.2 Jâ. -26% 
Fwltffrer 100 ling?) 32.6 11.3 •188% 
Digital lines (%) 60.6 71.2 • 15% 
Connection to motile telephone (USP) 83.8 J±L +30% 
Cellular terminals (% habitants 
Ç^ble^yvisiopf%^eh9|ds) 
ISPIS govgrasc fft) 3.7 9.1 -59% 
_5L4 -84% 
32.3 Jl -62% 
ï$PN,5titeçriPtio"sf%) JL2_ 24 dSL 
Internet hostf f%) JLL 5.3 
( 1 ) Source : 5th Periodic Report on the Socio-economic Situation and Development of Community Regions: reference year 1992 
(2) Source : Communication "Cohesion and the Information Society" (COM(97)7 final) 
The increasing speed of technological change 
The pace of technological change has increased in recent years and the Community and its 
least-favoured regions are not always equipped to cope with it. The White Paper on Growth, 
competitiveness and employment highlighted the factors and conditions needed to increase 
competitiveness on world markets in a time of increased economic, social and technological change. 
On the one hand, innovation must no longer be seen as a linear process, but as the result of numerous 
interactions between research laboratories and enterprises either developing or using new technology. 
The demand for technology to meet new and increasing needs brings this interaction about. 
Innovation itself takes several forms and is geared as much to the products as to an enterprise's 
production processes and structure. In this context priority should be given to investing in intangibles 
in the enterprises themselves (SMEs in particular) and to balancing the demand for technology with 
supply (especially at regional level). Research and development must thus be extended through the 
dissemination of results and technology transfer, and be boosted by the need to satisfy new social 
needs (including, for example, the environment, health, biotechnology, culture). 
On the other hand, the development of the information society is bringing about an upheaval in the 
way enterprises are organised, and will shortly do the same to lifestyles and working practices. A 
highly sophisticated ability to adjust will be required in response, with accompanying measures 
needed at several levels, all interlinked. Improvements to basic telecommunications services and 
infrastructure are needed to complete the European communications networks serving the entire 
Community territory. It is also necessary however to spread the use of the new information and 
communication technologies, to SMEs in particular, and to encourage in this regard technological 
awareness and RTD in this field. The changes will be accepted only if the users of the new 
information and communications technologies are sufficiently trained. There is thus a need to improve 
training for the users and the public at large by making teaching and training relevant, and for the 
producers of these technologies through training and vocational retraining. 
2,° For more information see in particular: ""European Report on the scientific and technological indicators 1994" 
(November 1994, EUROFFICE); "Fifth periodic Report on the Socio-economic Situation and Development of 
Community Regions" (1994, EUROFFICE); "First Report on Economic and Social Cohesion"; 
Communication "Cohesion and the Information Society" (COM (97)7 final of 22 January 1997). 
188 8lh Annual Report on the Structural Funds (1996)) 
Table V-13: Germany - Assistance by Objective - 1996 in the context of programming for 1994-96199 
(ECU million) 
Programmes 
(year of adoption) Total cost SF 
assistance 
(I) Commitments Commitments % 
1996 1994-96 
(2> (2V(I) Payments 
1996 Payments 
1994-96 
(3) % 
(3)/(l) 
Obiective 1 
Regional OPs 
OP Westem+B33 Berlin (1994) 
OP Brandenburg (1) (1994) 
OP Brandenburg (2) ( 1994) 
OP Brandenburg (3) (1994) 
OP Mecklenburg-Western Pomerania (1) (1994) 
OP Mecklenburg-Western Pomerania (2) (1994) 
OP Mecklenburg-Western Pomerania (3) (1994) 
OP Saxony (1) (1994) 
OP Saxony (2) (1994) 
OP Saxony (3) (1994) 
OP Saxony-Anhalt (1) (1994) 
OP Saxony-Anhalt (2) (1994) 
OP Saxony-Anhalt (3) ( 1994) 
OPThuringia(l)(1994) 
OPTburing»a(2)(1994) 
OPThuringia(3)(1994) 
Multi-regional OPs 
OP Fisheries (1994) 
OP Oualificanon of workforce (1994) 
Total 2.442.9 
6.141.4 
2.417.8 
889.1 
5.851.6 
1.880,7 
814.5 
8.993.3 
1.679.4 
909.1 
9.488.8 
2.058.9 
974.2 
5.467,4 
2.432.9 
778.6 
197.2 
2.360.5 
SS.778.4 743.1 
964.8 
729.9 
471.9 
801.4 
676.6 
366.0 
2.110.6 
621,5 
630,4 
1.190.8 
583.5 
590,6 
1.060.6 
521.0 
457.9 
83 JS 
1.076.7 
13.680.9 118.9 
99.9 
115.6 
74.9 
141.4 
111,5 
66.3 
352.4 
177.8 
84.3 
1.0 
93.9 
101.5 
159.3 
794 
63,9 
274 
171.3 
2.041.0 330.3 
326.2 
322.9 
209.7 
365.7 
408.1 
170.9 
942.5 
357.6 
230.5 
339,7 
267.8 
262.6 
450.6 
229.0 
194,7 
464 
478.0 
5.955.7 44% 
34% 
44% 
44% 
46% 
60% 
47% 
45% 
58% 
37% 
29% 
46% 
44% 
42% 
44% 
43% 
56% 
44% 
43% 94,2 
107.2 
103.5 
71.4 
15Z6 
106,0 
40,6 
382,9 
112.6 
123,0 
174.2 
763 
110,2 
202.5 
93.7 
42.8 
15.1 
85.6 
2.094.4 201.2 
263.0 
265.5 
175.8 
329,6 
262,4 
110,1 
774.8 
254,9 
207,7 
303.0 
200,5 
212.9 
321,4 
183.1 
140,7 
26,7 
331.0 
4.564.5 27% 
27% 
36% 
37% 
41% 
39% 
30% 
37% 
41% 
33% 
25% 
34% 
36% 
30% 
35% 
31% 
32% 
31% 
33% 
Obiective 2* 
SPD Lower Saxony (1994) 
SPD Bavaria (1994) 
SPD Berlin (1994) 
SPD Bremen (1994) 
SPD Hesse (1994) 
SPD North Rhine-Westphalia 
SPD Rhineland-Palatinate 
SPD Saariand 
SPD Schleswio-Holsre.n M9941 
Total 95.7 
30.5 
401.5 
177.6 
48.0 
1.262,2 
49,7 
240,6 
32.4 
2.338.2 43,1 
12.3 
155.4 
47.6 
16.6 
340,4 
23.8 
48.6 
15.6 
703.4 29.6 
04 
67,0 
32.6 
•4.7 
225.4 
0.2 
28.1 
0.2 
379.1 43.1 
14.2 
116.2 
47,6 
16,6 
340,4 
23.7 
48.6 
15.6 
665.9 100% 
115% 
75% 
100% 
100% 
100% 
100% 
100% 
100% 
95% 7.2 
2,4 
15.8 
6.7 
0.9 
127,1 
2,6 
18,4 
1.7 
182.7 13.9 
11.7 
45.8 
17.1 
114 
184.6 
14.3 
31.4 
9.4 
339.7 32% 
95% 
29% 
36% 
70% 
54% 
60% 
65% 
60% 
48% 
Obiective 3 
Regional OPs 
OP Baden-Wurttemburg 
OP Lower Saxony (1994) 
OP Bavaria (1994) 
OP Berlin (1994) 
OP Bremen (1994) 
OP Hamburg (1994) 
OP Hesse (1994) 
OP North Rhine-Westphalia (1994) 
OP Rhineland-Palatinate (1994) 
OP Saarland (1994) 
OP Schleswig-Holstein (1994) 
Multi-regional OPs 
Federal OP 
Tout 115.8 
276.8 
125.3 
113.0 
93.5 
86.1 
135.4 
674.8 
65.8 
90.9 
912,8 
2.589.7 
5J79.8 52.4 
121.2 
564 
50.8 
394 
39.1 
49,6 
280.6 
294 
40.9 
34.4 
887,6 
1.682.1 8.6 
37.2 
164 
84 
64 
H4 
8.1 
55.8 
4,6 
6.1 
11.3 
338.2 
512.6 25,0 
55,8 
25.0 
24.2 
18.8 
174 
23.6 
98.8 
14.8 
19.1 
234 
474.3 
820.4 48% 
46% 
44% 
48% 
48% 
45% 
48% 
35% 
50% 
47% 
68% 
53% 
49% 8,1 
36.9 
8,2 
6,7 
4.2 
9.4 
8,6 
50,6 
3.8 
7.3 
9,6 
134.2 
287.S 18.7 
46.2 
15,1 
19.4 
14.0 
14,2 
18.6 
85,0 
10,4 
17.7 
19.3 
243.1 
521.8 36% 
38% 
27% 
38% 
36% 
36% 
38% 
30% 
35% 
43% 
56% 
?7^ 
31% 
SPDOennanv 1 648.ll 265.31 26.61 56.21 2!%l 8.7» 23.51 99. 
Obiective 5(a) aprieulture 
SPD Lower Saxonv R. 866 and 867/90 (1995) 
SPD Bavaria R.866 and 867/90 (1995) 
SPD Bremen R. 866 and 867/90 (1995) 
SPD Hambure R_ 866 and 867/90 (1995) 
SPD Hesse R. 866 and 867/90 (1995) 
SPD Baden-Wurtenburg R. 866 and 867/90 
(1994) 
SPD North Rhine-Westphalia R. 866 and 867/91 
(1994) 
SPD Rhineland-Palatinate R. 866 and 867/90 
MQQ41 99.6 
342.2 
4.5 
24,1 
84,0 
127,1 
132.5 
76.6 29.9 
854 
0,7 
4.3 
21.0 
21.8 
30.1 
18.8 5.7 
16,3 
0,1 
0.0 
6.3 
5.1 
10.0 
3,6 10.4 
29.8 
0.2 
0,7 
9.6 
8.6 
14,8 
6.6 35% 
35% 
35% 
16% 
46% 
40% 
49% 
35% 1.4 
12,2 
0,1 
0.0 
4,0 
4,9 
7,7 
2.8 3.8 
19.0 
0.2 
0.3 
5,6 
6,7 
11.6 
5.3 13% 
*'',% 
25% 
8% 
27% 
31% 
38% 
28% 
• After deduction of transfers to 1997-99. 
( 1 ) Economic development 
(2) Rural development 
(3) Labour market 
8th Annual Report on the Structural Funds (1996) 189 
Programmes 
(year of adoption) 
SPD Saarland R. 866 and 867/90 ( 1995) 
SPD Schleswig-Holstein R. 866 and 867/90 
(1995) 
Forecast - Germany ^ 212R/9J (1094) 
Total Total cost 
17.8 
10.2 
3.538.3 
4.456.8 SF 
assistance 
<l) 
3,1 
3.1 
868.2 
1.086.5 Commitments Commitments 
1996 1994-96 
(2) 
1.5 
0,0 
143.3 
191.8 2,0 
0.5 
4T1.3 
514,6 % 
(2)/(l) 
65% 
16% 
50% 
47% • Payments 
1996 
1.2 
0.0 
143.0 
177,3 Payments 
1994-96 
(3Ï 
1.5 
0,2 
333.1 
387.2 % 
«Vf 11 
46% 
8% 
38% 
36% 
Obiective :**<a) fisheries 
SPD Gem,™v (10941 1 376.91 76.0l 12.81 37.61 50%l 3.9l 20.0| 26% 
Obiective 5(b) 
SPD Baden-Wurtenburg (1995) 
SPD North Rhine-Westphalia (1995) 
SPD Saarland (1995) 
SPD Lower Saxony (1994) 
SPD Bavaria (1994) 
SPD Hesse (1994) 
SPD Rhineland-Palatinate (1994) 
SPD Schleswip-HoKrein (1994* 
Total 
TOT A! 450.8 
117.9 
108,0 
687.1 
2.933,4 
232.3 
426,8 
229.6 
5.185.9 
74.064.1 74.9 
46.8 
24.1 
245.1 
560.2 
80.8 
111.3 
85.9 
1.229,0 
18.723 J! 14.3 
6.2 
1.2 
33.0 
79.7 
10.9 
22,4 
20.2 
187.7 
3.351.6 23.0 
11.7 
4.0 
77,4 
215,1 
34.5 
42.6 
41.1 
449.5 
8.477.2 31% 
25% 
17% 
32% 
38% 
43% 
38% 
48% 
37% 
45% 6.8 
5.0 
0.5 
36,8 
118,3 
10,8 
15.0 
19.3 
212.6 
2.967,2 11.2 
7,8 
2.3 
62.5 
185,8 
23,6 
274 
26.2 
346.8 
6.203.4 15% 
17% 
9% 
25% 
33% 
29% 
25% 
31% 
28% 
33% 
3.2. Implementation of the Community initiatives in 1996 
Note: 
Germany is participating in all the Community Initiatives with the exception of Regis. Most of the Community 
Initiative programmes (CIPs) were approved by the Commission in 1995. At the end of that year, a total of 
19 programmes were still to be approved for Leader, Urban, Rechar, Résider, Retex, SMEs and Konver plus 
one Interreg CIP. These programmes were approved in 1996 (2 Leader, 6 SMEs, 1 Rechar, 3 Konver, 1 
Résider, 1 Retex, 2 Urban, and 1 Interreg in cooperation with Austria), bringing the number of CIPs being 
implemented in Germany to 83 and the number of Interreg CIPs to 18. 
Support for the development of technological potential in Germany: 
Most of the programmes under the SMEs Initiative give priority to the technological development of SMEs. In 
North Rhine-Westphalia, ECU 2.1 million (total cost: ECU 13 million) is earmarked for promoting 
technology and innovation, in Bavaria, ECU 3.7 million (total cost ECU 10.6 million) for promoting quality 
and innovation in SMEs and, in Schleswig-Holstein, ECU0.7million (total cost ECU 1.4million) for 
innovative businesses. In the new Lander, the SMEs CIPs are also making a large contribution to job 
creation, with the Saxony-Anhalt programme providing ECU 4.9 million (total cost ECU 11 million) for R&D 
in distance working, the creation of networks and the utilisation of patents, while the Saxony CIP provides 
ECU 16.6 million (total cost ECU 47.2 million) to promote the introduction of new technology. 
As regards the Initiatives relating to industrial conversion, the Konver programmes aim to give priority to 
technological development as a means of promoting economic diversification. Most of these programmes 
involve conversion from military to civilian technology (examples: Bavaria, Saarland, recycling of cars and 
production of tanker lorries; Schleswig-Holstein, Bremen, institute of production engineering), support for 
innovation and technology transfer (Saxony-Anhalt, Bremen and Brandenburg) and cooperation between 
scientific workers at European level (Bremen). From the point of view of financing, ECU 2.8 million (total 
cost ECU 4.3 million) and ECU 1.4 million (total cost ECU 2.9 million) are provided for implementation of 
the measures in the Saxony-Anhalt and Bremen programmes respectively. The Résider programme in 
Brandenburg is supporting education and training measures in the fields of innovative environmental and 
infrastructure technology. The Retex CIPs also give priority to technological development (in Saxony, 
ECU 12.6 million out of a total of ECU 33.5 million is being granted for supporting R&D in businesses and 
technology centres and, in Thuringia, ECU 3.1 million out of a total of ECU 8.2 million is being provided for 
the transfer and introduction of new technology through improving know-how in businesses and developing 
cooperation. 
Germany and Denmark are cooperating under Interreg to solve the problems caused by poor 
communications in three regions (Planungsraum V and Sonderjyllands Amt, Ostholstein, Lubeck and 
Storstroms Amt. and Kern and Fyns Amt) and the consequences for the economies of those regions.14. The 
CIPs covering Germany and Luxembourg (Euroregio), France (Saarland, Lorraine, Palatinate) and Poland 
(Mecklenburg- Western Pomerania) give priority to RTD and technology transfers. That covering France and 
Switzerland (Upper Rhine) is providing ECU 2.5 million (total cost ECU 4.9 million) to stimulate R&D and 
develop telecommunications. ___________ 
14 See Chapter V.2. Denmark. 
/ 90 8th Annual Report on the Structural Funds (1996)) 
All the CIPs have now been approved by the Commission and are now in the initial stage. In 1996, 
16 new CIPs were approved, including five in Brandenburg. The largest group of approved 
programmes (a total of six) come under the SMEs Initiative and involve a total of ECU 26.1 million 
from the Structural Funds. Five of these programmes concern the old IJinder, the sixth being in one of 
the new Lander. The Brandenburg CIP concentrates on technical measures and measures relating to 
business management in addition to traditional investment support. In Lower Saxony, the CIP gives 
priority to quality guarantees and the transfer of intangibles. Operations in Schleswig-Holstein relate 
to quality management and the search for markets for innovative products. Under the slogan "Mining 
region to modem industrial region", the new Rechar programme in Brandenburg provides support for 
operations to create and maintain jobs while improving the environment and economic structures. In 
addition, two Urban programmes, for Saarbriicken and Hesse, have been approved, the latter aiming 
to renovate a district of 1.1 km2 with a population of around 5 000 to increase its attractiveness and 
turn it into a meeting place. It is planned inter alia to open a youth and leisure centre in a former 
coffee-roasting factory and to lay out 10 000 m2 of green areas. 
A number of industrial conversion programmes have also been approved, including three Konver 
programmes, for Baden-Wurttemburg, Saxony and Brandenburg. The programme for Brandenburg 
aims, in particular, to put to economic use and exploit the economic potential of buildings currently 
undergoing conversion in the region. The main objectives of the programme in Saxony are the 
renovation of old buildings and land formerly used by troops of the CIS and the promotion of their 
rational use by the municipalities concerned (installation or creation of businesses). The Résider 
programme in Brandenburg involves operations relating to infrastructures, environmental resources 
and human resources. Operations such as the renovation of old factory buildings with the aim of 
putting them to economic use and cooperation between businesses and research centres should lead to 
the creation of permanent jobs. The Retex CIP in Brandenburg also aims to increase economic 
diversification by encouraging inter alia cooperation between businesses in marketing and 
purchasing. 
The Commission approved the final Leader programme, for Schleswig-Holstein. The bottom-up 
approach adopted for this Initiative has been found to be most suitable for German rural areas, in both 
the old and the new Lander. The local groups have drafted a large number of promising projects and, 
in the old Lander, 60 local action groups (LAGs) and 15 other collective bodies have been set up. The 
conference on Leader II held in Germany allowed a fruitful exchange of views between local groups 
and the various official bodies concerned. Progress on implementation varies from one Land to 
another but, overall, progress is in line with forecasts. 
The complexity of administrative procedures caused start-up difficulties with the Pesca programme. 
Given the needs of the areas dependent on fishing and the high number of applications received, 
progress can reasonably be expected in the near future. The programme was twice amended in 1996: a 
single commitment was agreed and appropriations were concentrated by means of a transfer from the 
ESF to the ERDF and the FIFG. 
As regards the Initiatives relating to human resources, the implementation of which has been to a 
large extent regionalised, with the Lander responsible for 85% of the available funding (15% is 
intended for funding supra-regional projects by the Federal Government), projects were selected 
following the first calls for submissions. Under the Employment Initiative, 242 projects were selected, 
including 24 at Federal level (73 for Now, 120 for Horizon and 49 for Youthstart). The main focus of 
the projects under the three strands of the Initiative is training. Emphasis is also placed on developing 
local partnerships and cooperation with businesses to provide work experience. One of the major 
themes of the Now projects is the creation of businesses by women. Under Youthstart, a number of 
projects aim to prepare young people for vocational training. Horizon places the stress on the whole 
series of stages leading to employment. A total of 220 projects were selected under the Adapt 
Initiative, including 17 at Federal level. As under the Employment Initiative, emphasis is placed on 
training activities. However, a number of projects concentrate on analysing the problems caused to 
businesses, certain professions and certain regions by economic developments. The range of activities 
is verv wide, including, for example, management skills in SMEs, strategies for thé development of 
8th Annual Report mi the Structural Funds (1996) 191 
businesses by the conquest of new markets or the development of new* products, job creation, 
particularly through the introduction of new technology and new ways of organising work and the 
creation of a network of those involved in the regional labour market in order to stimulate 
employment. 
A number of programmes were adjusted. In certain cases this involved reprograrriming (for example, 
new financial allocation between priorities, redefinition of eligible measures) but in most cases the 
reason was to allocate amounts resulting from indexation15. In total, the amount resulting from 
indexation at 1996 prices is almost ECU 25 million for the Initiatives concerned, i.e. Interreg, Konver, 
Résider, SMEs, Rechar, Urban and Retex. In addition, ECU 317.7 million was allocated to Germany 
as a reserve. These additional appropriations will be allocated to Konver (more than one third), 
Interreg and Employment and will permit the launching of new Urban programmes (Zwickau and 
Kiel) and an increase in funding for the Interreg IIC programmes16. 
Table V-14: Germany - Community Initiatives - 1996 in the context of programming for 1994-99 (ECU 
million) 
Initiative 
(number of CIPs) 
Adapt ( 1 ) 
Employment (1) 
Leader(15) 
Pesca ( 1 ) 
SMEs (15) 
Rechar (7) 
Konver (16) 
Résider (9) 
Retex (8) 
Urban (10) 
Toul (83) 
InTtrrrtrn/RtnenflXI" 
CIPs adopted m 1996: 
Leader Schleswig-Holstein 
Leader technical assistance (creation of the 
national network) 
SMEs Rhineland-Palatinate 
SMEs Brandenburg 
SMEs Lower Saxony 
SMEs Saarland 
SMEs Baden-Wurttemburg 
SMEs Schleswig-Holstein 
Rechar Brandenburg 
Konver Brandenburg 
Konver Saxony 
Konver Baden-Wunenburg 
Résider Brandenburg 
Retex Brandenburg 
Urban Saarbrucken 
Urban Halle (Saxony-Anhalt) 
Toul (16) 
Intern f f /)«•" Total cost 
480.4 
298.4 
401,0 
62.0 
402.3 
450.1 
548,4 
606.4 
290.4 
298.3 
3.837,8 
16.6 
2.0 
4.6 
20,9 
9.5 
3,1 
1.8 
3,6 
49.3 
53.9 
40.9 
51.7 
42.4 
6.0 
22.6 
5.2 
334.0 SF» 
assistance 
(1) 
228.8 
156,8 
177.4 
23.0 
184.2 
158.6 
233,9 
192.8 
703 
973 
1.523.2 
6.6 
1.0 
2.3 
14.9 
4.7 
1.5 
0.9 
1.8 
30,3 
37.1 
25.1 
12.7 
26.2 
3.3 
8.0 
2.7 
179,2 Commi tints 
1996 
33.8 
26.8 
15,9 
19,4 
41,7 
62,6 
89,0 
36.6 
9.5 
12.0 
347,2 
6,6 
1.0 
23 
14,9 
4,7 
1.5 
0,9 
1,8 
30.3 
37.1 
25.1 
12.7 
26.2 
3.3 
5.6 
2.7 
176,8 Commi tints 
1994-96 
(2) 
76.7 
50.0 
140,5 
23.2 
142.9 
118.5 
219.6 
99.1 
32,3 
91,0 
993.7 
6.6 
1.0 
23 
14.9 
4,7 
1.5 
0,9 
1.8 
303 
37.1 
25.1 
12.7 
26.2 
33 
5,6 
2,7 
176^ % 
(2)/(l) 
34% 
32% 
79% 
101% 
78% 
75% 
94% 
51% 
46% 
93% 
65% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
70% 
100% 
99% Payments 
1996 
17,3 
29.5 
14.3 
0,0 
263 
23 2 
70.8 
20.8 
8.6 
113 
221,9 
2.0 
0,4 
U 
4.5 
1.4 
0.8 
0.4 
0.9 
15.1 
18.6 
12J5 
6.3 
13.1 
1.6 
1.7 
1,4 
81.9 Payments 
1994-96 
(3> 
38.8 
41,0 
53.1 
1.9 
57,1 
50,0 
109.5 
52.0 
16.7 
34.5 
454.7 
2.0 
0,4 
1.2 
4.5 
1,4 
0,8 
QPI 
0.9 
15.1 
18.6 
12,5 
6.3 
13,1 
1,6 
1.7 
1.4 
81,9 (3)/m 
17% 
26% 
30% 
8% 
31% 
32% 
47% 
27% 
24% 
35% 
30% 
30% 
40% 
50% 
30% 
30% 
50% 
50% 
50% 
50% 
50% 
50% 
50% 
50% 
50% 
21% 
50% 
46% 
* Excluding reserve 
*" For programme details see Chapter Vll 
"* For programme details see Chapter I.B Table 2.2. 
.1. Community Initiatives 
15 SMEs Mecklenburg-Western Pomerania, Konver Mecklenburg-Western Pomerania and Hesse, Retex Baden-
Wurttemburg. Résider Lower Saxony, Urban Rostock, Interreg Germany (Saxony)-Poland-Czech Republic. 
16 See also Chapter I.B.I. Community Initiatives. 
192 8th Annual Report on the Structural Funds (1996) 
4. GREECE 
Support for the development of technological potential in Greece-
Support for technological development is a key factor in the development strategy of the Greek CSF 
(accounting for 4.8% of Community appropriations). Telecommunications and data transmission 
applications, which open up access for the information society in Greece, along with RTD, form part of all 
CSF priorities, i.e. integrating the national territory through the development of major infrastructure: 
improving living conditions: developing the economic base; developing human resources and fostering 
employment; and reducing regional disparities and improving communications in island areas through 13 
regional programmes. 
In the first instance, improving and modernising telecommunications (under the CSF, ECU 250.7 million; 
total cost: ECU 452.2 million) is planned as a means of reducing the remoteness of certain areas. A 
multiregional OP for telecommunications (ECU 203.7 million; total cost: ECU 383.8 million) follows on from 
the previous programming period (CRASH programme, 1992-93). Despite encouraging results, the quality of 
the network was still poor at the end of 1993 (the rate of line breakdowns was the highest in the Community, 
waiting time for new lines was exceptionally long), and the network was the least digitised in the Union, 
reflecting the lowest level of per capita investment in the European Union. The Telecommunications OP not 
only envisages improving infrastructure (raising the level of digitisation of the network to 90% and speeding 
up the introduction of advanced technologies - RNIS, ATM - and pilot services), but encouraging enterprises 
to use the new technologies through training schemes, modern management methods and stimulating the 
creation of new services by the market. In addition to this multiregional OP, improving basic communications 
and infrastructure networks generally is an aim of most regional OPs (the Péloponnèse, mainland Greece, 
Ionian Islands, etc.) and especially of those whose main strategy is to develop tourism (Northern Aegean, 
Southern Aegean, etc.). 
While there is no OP specifically aimed at developing data transmission applications, a number of 
multiregional OPs provide support for them in the context of improving living conditions (health and 
insurance) and developing human resources (education and public administration). For example, one of the 
main measures under the Health OP is to develop an IT system for health authorities and modernise scientific 
infrastructure and equipment (distance medicine). The Education OP too allocates ECU 40.5 million (total 
cost: ECU 54 million) to linking universities, technical colleges and the Education Ministry network; the OP 
for the modernisation of the public administration, with a budget of ECU 117.5 million (total cost: ECU 235 
million), seeks to improve the management of human resources and the effectiveness of officials in the 
taxation, customs, finance and budget ministries, through the introduction of new technologies (data 
transmission networks, major information systems, etc.) and management techniques. 
RTD, however, receives the bulk of the financial support. The CSF strategy is to enhance Greece's technical 
and economic capability, capitalising on the foundations laid down earlier by the first OP in relation to RTD 
and by the STRIDE Initiative and the Community research programmes. The RTD sub-priority is the subject 
of a multiregional OP with an allocation of ECU 316.2 million (total cost: ECU 579.1 million). Of all the 
areas of assistance covered by the programme, technology transfer and innovation, (stepping up technology 
transfer through the purchase of licences, small industrial research projects, developing existing technology 
parks, improving information networks) is the sector receiving the most support. Funding is allocated in 
descending order to: support for RTD in highly profitable productive sectors (biotechnology, new materials, 
etc) requiring close cooperation between production units and scientists and technological operators; 
rethinking and expanding research infrastructure; refreshing human potential by updating researchers' skills, 
training new researchers in advanced technologies and providing training for technicians and administrators 
in RTD and innovation. Part of the RTD programme, with an allocation of ECU 7 million, is devoted also to 
developing the universities' and research centres' network and disseminating research results (data bases, 
multimedia bases, etc.). Support for RTD is planned also at regional level: 
• Central Macedonia (one of the few regions of Greece enjoying a comparative advantage in view of 
the presence of educational and research establishments) : developing post-university study 
programmes, improving the infrastructure of these establishments (building new accommodation 
and laboratories), and developing links between research programmes and the productive sector 
(aid for small businesses to manufacture innovative products, patent applications and the transfer 
of new technology in cooperation with the universities and technical institutes); 
• similar arrangements are made for RTD and innovation in Crete (another region with high RTD 
potential): ECU 34.2 million (total cost: ECU 56.5 million); 
• western Greece: developing the infrastructure of the university of Patras and the existing 
technology institutes, expanding their role in promoting technological research in Greece. 
For the development of the economic base, lastly, and particularly for modernising industry and services, the 
Industry and services OP, with funds of ECU 720 million (total cost: ECU 2.8 billion), provides material and 
8th Annual Report on the Structural Funds (1996) 193 
qualitative aid for investment projects in enterprises with access to advanced technologies. Similarly, 
encouragement is given to fisheries research to develop the fishing industry, aquaculture and the processing 
of fishery products. 
Table V-15: Greece - Funding directly linked to technological development in 1994-99 (ECU million) 
__g___iiis_L IOTAL. 
1.207.6 __-
100% s__ 
MIA _2L 
55% Public 
_____& Mcmhyr Statf 
Private 
12__ Total 
546.2 45% Funding of the Structural Fonds 
v% 
NB: The programming procedures and different approaches taken by the 
Member Sûtes invite caution in interpreting these figures, in particular spending on 
information society projects, which arc often linked to other fields such as 
industry and RTD. ORDT •Telecom. "Telematics 
4.1. Implementation of assistance bv Obiective in 1996 
OBJECTIVE 1 
Fie. V-18: Proerammine 1994-99 (ECU million - 1996 prices): 
Priorities: 
Major infrastructure (a) 
Improvements in living standards (b) 
Economic competitiveness (c) 
Human resources and employment (d) 
Reduction of régional disparities (e) 
Technical assistance (D 
Breakdown bv Fund: 
ERDF 
ESF 
EAGGF 
FIFG 
Total 9.643,7 
2.638,1 
1.853,0 
131,1 
14.205,? 
1 CSF/32 OPs 
Average per OP 2.895.6 
1.456.8 
2.740.4 
2.633.9 
4.541.2 
68% 
18% 
13% 
1% 
100% 
--ILS. (d) 18% 
Main features of 1996 
Significant progress was made in 1996 on the implementation mechanisms approved with the Greek 
authorities. The ELKE agency Cone-stop-shop ") for productive investments, and MOU (management 
organisation unit) were set up to improve the managerial capabilities of the regions and ministries. 
The use of project data sheets as a programming tool was extended to all the CSF programmes and the 
establishment of special agencies for implementing major projects continued (EGNATIA S.A. for the 
east-west trunk road, ERGOSE for rail projects, KTTMATOLOGIO S.A. for the land registry). All 
these agencies are expected to be fully operational in 1997, making it possible for major projects to be 
implemented effectively and thus improve financial implementation on the ground. In addition, the 
Greek authorities have decided to finance major transport projects (especially road transport) using 
the system of concessions. This should help attract private capital and make it possible for new 
sections of road to be built where the public funds available (from national and Community sources) 
have been insufficient to date to guarantee their completion. 
A new programme was adopted in 1996, the Technical assistance OP, comprising essentially the 
MOU (management organisation unit) measures, on which preparations began in 1996, along with an 
information and public awareness plan under the CSF, and finally technical assistance measures for 
the modernisation of the agencies and public enterprises. 
Turning to programmes already implemented, the national Railways and Telecommunications OPs, 
and the regional OPs for Western Macedonia and Western Greece, were given additional funding 
; 94 8th Annual Report on the Structural Funds (1996) 
through indexation of the ERDF appropriations and, together with the Technical Assistance and 
Urban Development OPs, underwent financial reprogramming. Adjustments to the financing plans for 
these programmes were made to bring them into line with local conditions. A more thorough (mid­
term) review of all programmes based on their implementation and the findings of the available 
evaluations is to start in autumn 1997. 
Implementation of the national Agriculture OP is very satisfactory, as a result mainly of the Objective 
5(a) measures, particularly those assisting mountain and less-favoured areas and forestry measures. A 
large number of projects for the processing and marketing of agricultural products were approved too. 
To meet new priorities in the OP, part of the indexing was allocated to it. The 1997 instalment was 
already committed in 1996 and the first advance paid. A number of low-cost innovative measures 
under the OP are having greater difficulty in getting started, for example the introduction of a 
geographical system for the combined operation of data-processing systems (GIS) for uniform and 
integrated data management. Progress in implementing the rural development component of the 
regional OPs, despite an improvement in 1996, has again been uneven between OPs, and the original 
delays have been only partly made up. Some OPs have been proceeding very satisfactorily (Thessaly, 
Southern Aegean, Crete, Eastern Macedonia and Thrace), unlike others which have failed to make up 
all the previous delays (Epirus, mainland Greece, Northern Aegean). The remaining OPs fall between 
the two. 
The Fisheries and Aquaculture OP has given rise to reprogramming, the inclusion of the 1995 deflator 
(ECU 1.8 million), the adoption of a study on fishery products processing/marketing sectors, the 
adoption of a specific measure for the measurement of several fishing vessels, and the introduction of 
a programme manager. Progress at the end of 1996 on the fleet sub-programme is satisfactory, while 
the other two sub-programmes covering the processing/marketing of fishery products and aquaculture 
respectively are lagging well behind. Commitments indicate, however, that the situation will improve 
in 1997 in view of the time needed to carry out the measures. 
Generally speaking, 1996 has been a turning point in the successful implementation of the CSF in 
Greece. Improvements in the main macro-economic indicators have resulted in a resumption of 
private investment. In particular, private investment under the Industry and services OP is 
substantially up on 1995, and the implementation of major projects through the system of concessions 
permitting private capital holdings is also on the right track. This, combined with significant 
improvements in the implementation arrangements, is creating satisfactory conditions for the success 
of the CSF in Greece both in terms of local take-up and of impact on the macro-economic indicators 
and in generating and maintaining sustainable jobs. The Greek authorities have provided public 
investment funds for 1997 which are substantially up on 1996 at a difficult time of declining public 
deficits. This should ensure national part-financing for CSF operations, and a high level of uptake in 
1997 and the making up of some of the delays registered in the period 1994-96. 
1996 in the context of programming for 1994-99 
As regards the financial implementation of its CSF, Greece reached the average for the Objective 1 
countries at the end of 1996. Taking into account ERDF commitment applications submitted by the 
Greek authorities in December 1996 which were not implemented that year owing to lack of 
appropriations, the situation regarding the Structural Funds as a whole is as follows: appropriations 
committed at the end of 1996 represent 46% of those programmed, and appropriations paid represent 
32% of total aid (or 69% of appropriations committed). Implementation in relation to the ERDF and 
the EAGGF is further advanced even than under the CSF programming. EAGGF appropriations for 
the national agricultural programme committed up to the end of 1996 represent 60% of total aid for 
the period 1994-99, and those paid represent 49%. Turning to rural development, in all for the 13 
OPs, EAGGF appropriations committed to the end of 1996 represent 44% of the aid and those paid 
account for 29%. 
8th Annual Report un the Structural Funds (1996) 195 
Progress on the ground, moreover, is satisfactory with 71 % of programmed expenditure implemented 
at the end of 1996 for all Funds (73% for 1996 only). For the reasons set out above, this satisfactory 
rate of implementation should gather pace in 1997. 
Table V-16: Greece - Assistance by Objective 
million) 1996 in the context of programming for 1994-99 (ECU 
Programmes 
(year of adoption) Toul cost SF assistance 
JÏL Commitmentst Commitments) 
19% 1994-96 
(?) J2WL Payments 
1996 Payments 
1994-96 
_____ i___LL 
gtoKrt'vt I 
Regional OPs 
OP Attica (1994) 
OP Crete (1994) 
OP Northern Aegean ( 1994) 
OP Southern Aegean ( 1994) 
OP Epirus (1994) 
OP Continental Greece ( 1994) 
OP Western Greece (1994) 
OP Ionian Islands (1994) 
OP Central Macedonia ( 1994) 
OP Western Macedonia (1994) 
OP Macedonia-Thrace (1994) 
OP Péloponnèse (1994) 
OP Thessaly (1994) 
Multiregional OPs 
OP Technical assistance ( 1996) 
OP Culture-tourism (1995) 
OP Postal services (1995) 
OP Télécommunications ( 1995) 
OP Agriculture (1994) 
OP Railways (1994) 
OP Urban development (underground railv 
OP Education and basic training ( 1994) 
OP Energy (1994) 
OP Environment (1994) 
OP Social exclusion (1994) 
OP Public service (1994) 
OP Continuing training (1994) 
OP Natural gas (1994) 
OP industry and services ( 1994) 
OP Fisheries. Aquaculture (1994) 
OP Research and technology ( 1994) 
OP Roads - Ports - Airports (1994) 
OP Health and prevention fl 9^ 938.5 
435.3 
327.9 
380.0 
346.9 
623.0 
513.9 
228.2 
816.9 
332.0 
689.0 
440.2 
560.9 
84.8 
795.6 
117.1 
383.8 
1826.7 
548.0 
1.566,0 
1.847,6 
946.3 
515.0 
328.0 
305.4 
1.283.0 
825.4 
2.808.9 
311.7 
579,1 
2.542.4 
339.0 685.7 
312.3 
210,2 
224,1 
236.5 
371.8 
310,7 
170,7 
588.5 
244,0 
494.3 
286.0 
375.8 
67,3 
229.1 
78.0 
203.7 
1.264.4 
329.1 
783.0 
1.385.7 
352.1 
376.7 
246.0 
168.6 
756.0 
354.6 
720,0 
150.0 
316.2 
1.327,4 
226.4 3,4 
9.5 
0.0 
33.1 
31.9 
46.8 
44,4 
24.9 
161.7 
32,1 
73.0 
6.8 
71.2 
13.5 
54,5 
0.0 
43.4 
216.8 
85.4 
62,6 
0,0 
59.8 
62.2 
0,0 
0,0 
104,7 
85.3 
0.0 
0.0 
47.2 
184.5 
31.5 3011 
140.5 
89.8 
99.6 
125.1 
156.7 
133.9 
75.3 
336.4 
96,5 
219.8 
91.8 
1818 
13.5 
74.0 
10,8 
89.3 
744.8 
223.5 
473.6 
395.8 
212.5 
157.5 
68.8 
482 
313.5 
201.7 
1812 
42.8 
127,2 
640.4 
_5U 44 
45 
43% 
44% 
53% 
42% 
43% 
44% 
57%, 
40% 
44% 
32% 
49% 
20% 
32% 
14% 
44% 
59% 
68% 
60% 
29% 
60% 
42% 
28% 
29% 
41% 
57% 
25% 
29% 
40% 
48% 
25% 121.2 
46.4 
29.0 
32.6 
62.6 
36.8 
29,4 
17.0 
86.2 
25.0 
55.5 
40.2 
44.2 
6.7 
33,0 
4.9 
62.2 
200,6 
10,4 
139.2 
0.0 
112,1 
28,1 
0.0 
10.2 
120.4 
0.0 
51.6 
11.2 
423 
164,5 279.2 
119.5 
773 
76.1 
104.4 
121,5 
97.3 
56,2 
220.4 
75.7 
166.9 
79.3 
131.9 
6,7 
42.7 
5.4 
63.9 
602.8 
120.9 
352.1 
2512 
189.3 
77.2 
40.2 
35.3 
251,9 
94,9 
143.9 
26.7 
91.0 
364,7 
35.1 41% 
38% 
37% 
34% 
44% 
33% 
31% 
33% 
37% 
31% 
34 
28% 
35% 
10% 
19% 
7% 
31% 
48% 
37% 
45% 
18% 
54% 
20% 
16% 
21% 
33% 
27% 
20% 
18% 
29% 
27% 
J_-t 
TOTrM, ________ i?,m? ______ 6.127.6, _____ 1.646.1 4.4Q3.1 _2-L-c 
196 gth Annual Report on the Structural Fund-; (1996) 
42. Implementation of the Community Initiatives in 1996 
Note: 
Greece participates in all the Initiatives other than Regis, and all the CIPs (one per Initiative) were adopted in 
1994 and 1995. This means 10 programmes implemented at national level therefore, to which should be added 
3 Interreg CIPs (two Regen and one for cross-border cooperation). 
Support for the development of technological potential in Greece: 
The funding from the Greek CIPs to technological development is much less than under the Objective I 
programmes. The only Initiatives having a direct bearing in this area are SMEs and Interreg. SMEs has 
earmarked. ECU2.7 million (total cost: ECU6.7million) for the development of data transmission 
applications to improve the international competitiveness of Greek small businesses. The Interreg external 
borders CIP has set aside ECU 8 million (total cost: ECU 16.5 million) to encourage cross-border 
cooperation between Greece, Albania and Bulgaria on basic telecommunications infrastructure. 
Under the Adapt programme a data network and data bases are to be developed covering jobs, and the 
Employment Initiative proposes the use of distance training, telecommuting and multimedia centres by young 
people and other disadvantaged groups. Among the industrial restructuring initiatives, Konver supports the 
development of an electronic network to regenerate small businesses dependent on the defence sector. 
Preparations for the implementation of the SMEs, Résider, Rechar and Urban CIPs took place in 1996 
while Retex and Interreg-Regen Gas are proceeding at a normal pace. The Regen programme for a 
cable between Greece and Italy has run into problems involving social acceptance by the Italian local 
authorities on environmental grounds. Implementation of the Interreg-External frontiers programme 
was well under way but has come to a standstill on account of the political and social situation in 
neighbouring countries (Bulgaria and especially Albania). The Interreg Greece-Italy Initiative is to be 
approved in 1997, as should Interreg II C (drought, flooding and cooperation on regional planning). 
The SMEs and Regen Gas CIPs have undergone financial reprogramming and benefited from 
indexation, and the agricultural component has been incorporated in the Interreg-Extemal frontiers 
CIP. In the case of Leader H, 1996 was the year in which final evaluation was made of the revised 
financing plans of the various local groups and their agreements with the Ministry of Agriculture were 
concluded. Priority was given to local groups which presented an integrated programme. The 
measures will in fact start to run in 1997. For Pesca, an interim management body was set up but, 
despite the efforts made, it has not yet been possible to launch the programme. Projects approved and 
now running under the Employment Initiative, on the other hand, currently total 107 (29 Now, 44 
Horizon, and 34 Youthstart projects). Now supports the setting up of advisory and guidance services, 
including services for women managers. Youthstart promotes the development of training and 
guidance in growth sectors such as tourism, the environment and culture. Horizon-Disabled is mainly 
concerned with trials to provide sheltered employment, little developed up to now in Greece, and to 
assist the disabled in the workplace. In view of the challenges facing Greece due to the arrival of 
refugees and immigrants from the former USSR, a leading place in Horizon has been given to these 
projects, which account for 45% of the total budget. The number of projects approved under Adapt is 
115. The dominant theme is the introduction of new technologies and innovative measures for 
improving business productivity and competitiveness. The project promoters both for Employment 
and Adapt are mainly public, but the private sector contributes 10% to the total funding of the 
measures. 
It should be noted also that the monitoring of the CIPs has been streamlined. Some Monitoring 
Committees are responsible for several programmes of common concern (for example, SMEs and 
Résider). Similarly, the SMEs Initiative has become a forum for discussing all SME measures 
contained in the CSF and the Community Initiatives. The distribution, lastly, of the Community 
Initiatives reserve means that a further ECU 72.5 million can be allocated to all the Greek 
programmes except-SMEs, chiefly for the new Interreg IIC, Leader and Konver17. 
17 See also Chapter I.B.I. Community Initiatives. 
8th Annual Report on the Structural Funds (1996) 197 
It is too early yet to make an assessment of the outlook for the CIPs, most*of which are still in the 
start-up phase. Interreg-Regen Gas is undoubtedly well under way, in conjunction with the Natural 
gas OP. Interreg-External frontiers too is expected to move ahead when social and political conditions 
in neighbouring countries return to normal. 
Table V-17: Greece - Community Initiatives 
million) 1996 in the context of programming for 1994-99 (ECU 
Initiative 
(No of CIPs) Total cost S.F." 
Assistance Commitments 
1996 Commitments 
1994-96 
(2) JMiL Pavments 
1996 Pavments 
1994-96 
_______ _______ 
Adapt (I) 
EMPLOI (1) 
Leader(1) 
Pesca (1) 
SMEs(l) 
Rechar (I) 
Konver ( 1 ) 
Résider ( 1 ) 
Retex ( 1 ) 
Urban ( 1 ) 
Toul (10) 
hterree/Reeen (.1)** 44.6 
86.9 
263.6 
54.6 
156.9 
2.0 
20.3 
8.9| 
145.3 
67.2 
850.3 30,1 
64,4 
148.0 
27.1 
83.3 
1,5 
119 
4.7 
87.5 
45.2 
504.8 20 
4,6 
0.0 
22.3 
IS.3 
0,2 
0.0 
0.6 
50.2 
1.1 
1173 27,4 
12,6 
22.6 
26.8 
28.8 
1.5 
11.5 
4.7 
62.0 
5.6 
203,4 91% 
20% 
15% 
99% 
35% 
100% 
89% 
1005 
71<* 
125 
40% 4.8 
2.3 
0.0 
0.3 
9.2 
0,1 
0.0 
0.3 
25.9 
0.6 
43.4 8.4 
6,4 
11.3 
2.6 
14.4 
0,8 
5.7 
2.3 
35.0 
2.3 
89.1 28 
10% 
8% 
9% 
17% 
50%| 
44% 
50% 
40%| 
5% 
n% 
* Excluding reserve 
•• See programme details Chapter VII. Table 22. 
z 
This report has been prepared by the Directorate-General for Regional Policy and Cohesion (DG 
XVT) in collaboration with the Directorates-General for Employment, Industrial Relations and Social 
Affairs (DG V), Agriculture (DG VI) and Fisheries (DG XIV) and with contributions from the 
Directorates-General for Competition (DG IV), Transport (DG VU), Environment, Nuclear Safety and 
Civil Protection (DG XI), Science, Research and Development (DG XH), Telecommunications, 
Information market and Exploitation of Research (DG XIII), Internal Market and Financial Services 
(DG XV), Energy (DG XVH), Budgets (DG XIX) Financial Control (DG XX) and Enterprise Policy, 
Distributive Trades, Tourism and Cooperatives (DG XXTfl). 
20 8th Annual report on the Structural Funds (1996) 
2. Structural Funds and development of the technological potential of the regions 
The Structural Funds as the instrument for lasting technology development 
All the above has had an effect on Structural Funds aid in the period 1994-99. As the first Report on 
Economic and Social Cohesion points out, regional technology development requires policies that 
accompany enterprises undergoing technological change and help the workforce adjust so that 
regional economic structures can modernise and diversify. The Structural Funds not only provide the 
regions with the necessary infrastructure for this adjustment, they encourage the regional and local 
actors to increase regional competitiveness by basing it on innovation and high-valued added 
industries. To achieve this, investment in technology development has increased strongly between the 
first and second prograrnming periods, passing from ECU 3.5 billion to ECU 7.5 billion, i.e. 6% of the 
Community funding.21. 
The approach too has evolved. In the first programming period, the Structural Funds aimed above all 
to improve regional capabilities in science and technology by improving RTD infrastructure22 and by 
helping to develop skills formerly unexploited. This assistance helped public administrations to 
appreciate the strategic importance of technology development for regional productivity, it 
encouraged both the forging of links between universities and business and private sector 
involvement, and facilitated access to the RTD framework programme. In numerical terms, the 
Objective 2 regions devoted the greatest share of appropriations to RTD (9% of the total budget, as 
against 3% in the Objective 1 regions), but Community funding in 1994 accounted for a fifth of 
national spending on research and development in Ireland and a third in Portugal. 
The programmes for the period 1994-99 promote a new approach. In the first place, the share devoted 
to the development of technological potential in the Objective 1 regions has increased appreciably 
(6.5% compared to 2% earlier), while the share in the Objective 2 regions has reached 19% and the 
place of new technologies and their dissemination is increasing in the other Objectives and the 
Community Initiatives. Secondly, it would appear that the regional capacity to innovate and adopt 
new technologies depends not only on regional supply (R&D capacity and mechanisms to spread the 
technology), but also, and to an increasing extent, on demand, or more precisely the receptiveness of 
the economic structure (in particular the SMEs) which is often insufficient because unable to identify 
and express its needs. The current programmes therefore try to strengthen enterprise involvement in 
technology development, to encourage technology transfer from the most developed to the least 
developed regions and to train users by investing in research infrastructure and developing a definitive 
strategy based on the market demand rather than on the scientific and technological supply. 
21 See Chapter LA. Assistance by Objective. 
22 Thanks to programmes such as Ciência in Portugal (which has created more than 50 new RTD facilities and 
improved 100 existing ones), the science and technology plan in Greece, the scientific infrastructure 
programmes in Spain, the national research and technology development programme in Italy, etc. 
]98 Sth Annual Report on the Structural Funds (1996) 
5. SPAIN 
5.1. Implementation of assistance bv Objective in 1996 
Support for the development of technological potential in the regions of Spain 
Objective 1: Support for technological development is included in several CSF priorities. Altogether, it 
represents 5% of Community appropriations for the CSF. As regards RTD, 1.5% of CSF appropriations, 
primarily under the 'Improvement of the System of Production ' priority is allocated to the major economic 
sectors and to businesses, whose level of investment in RTD in 1994 was only half the Community average. 
This priority is being implemented at different levels and in different directions : 
• stepping up of public and private RTD activities, encouragement of business participation in RTD 
and innovation projects, financing of training grants for the private sector in centres of excellence, 
under the multiregional sub-CSF and some regional OPs (Andalusia, Valencia, Extremadura, 
Galicia and Murcia) which support private investment in RTD and business cooperation with 
universities and research centres; 
» measures for industry and crafts: under the multiregional sub-CSF, implemented by means of the 
'Regional aid for production activities OP (ECU 387 million; total cost: ECU 3 126 million): 
technological upgrading of businesses, distribution of new technologies, participation of businesses 
in international industrial technology cooperation projects; in some regional OPs (Andalusia, 
Castile-La Mancha, Castile-Leôn, Valencia, Asturias and Murcia: support for innovation in 
production technologies and technology transfer) and in some global grants (Murcia, Andalusia). 
RTD is also playing a major role in the modernisation of the agricultural and fisheries sectors, whose low 
productivity is often linked to a low level of technology. In Andalusia, Castile-La Mancha, Valencia, Murcia, 
Asturias and Galicia, one of the priorities is to spread the use of the most appropriate methods to improve, 
diversify and realign agricultural production whilst adjusting it to the CAP. In the fisheries sector, the main 
measure under the OP for Murcia is océanographie research to develop aquaculture. 
For the development of human resources, the multiregional sub-CSF is designed to train research workers in 
businesses, research centres and universities, and consolidate the rele of the Technology Transfer Offices in 
the universities. These are measures frequently implemented by means of global grants in Andalusia, 
Salamanca, Castile-Leôn and Murcia, supplemented by most regional OPs, which provide support for : 
• RTD training measures in businesses (Andalusia and Valencia) and the development of multimedia 
educational material to spread new technologies and management methods (Andalusia), 
• research projects promoting the diversification of economic activities (Canary Islands), and the 
strengthening of ties between public research and the production sectors (Cantabria, Castile-La 
Mancha and Extremadura), 
• the development of RTD infrastructures and facilities (Cantabria, Valencia, Galicia and Murcia), 
• basic research, applied research and competitive and pre-competitive research (Valencia and 
Galicia), and university research (Murcia and Extremadura); 
• the distribution of information technology (Extremadura). 
Outside RTD, the allocation of 2.5% of the total CSF budget to telecommunications is particularly 
noteworthy in view of its important role in spatial structuring. This is a continuation of the efforts of the 
preceding programming period to iron out regional imbalances in the development of networks and public 
services. All the regional OPs provide for access to the infrastructure for the population as a whole and its 
modernisation, and greater the use of the network by introducing new advanced services (ISDN: from 37% to 
65% in 1999). 
Objective 2 (1994-96): the CSF defines a strategy focusing on RTD and innovation, and the seven OPs 
contain a priority to promote RTD and information technologies (in total ECU 111.3 million; total cost: 
ECU 176.8 million). The ERDF appropriations under these OPs are targeted at the financing of 
infrastructure (construction and enlargement of premises, acquisition of scientific equipment, laboratory 
facilities) and research programmes, and at involving research centres in technological development for 
SMEs. ESF assistance is directed mainly at training for research workers and research centre administrators, 
the recruitment of research workers and post-graduate study grants for research, science, technology and 
innovation. Examples of the most significant regional OPs are : 
• Aragon : development of the faculty of sciences at the University of Zaragoza, the Combustion 
Technology Research Laboratory of the Aragon Technological Institute, and university education 
(ECU 9.4 million; total cost: ECU 17.6 million); 
• Catalonia: construction and equipment of faculties, advanced technology institutes and research 
centres for food, and the establishment of a Mediterranean maritime study centre (ECU 20.5 
million; total cost: ECU 42 million); 
• Madrid: development and equipment of the Alcalâ de Henares and Carlos III University Research 
8th Annual Report on the Structural Funds (1996) 199 
Centres, training for research workers, university study grants (ECU 26.6 million; total cost: 
ECU 53.5 million); 
• Navarre: equipment of the regional public university and the Navarre Technology Centre, 
university study grants for research workers, and support for advanced training (ECU 4.5 million; 
total cost: ECU 9.3 million): 
• Basque Country: equipment of specialised technology centres and university departments, part-
financing of research programmes in those centres, and training for research workers (ECU 31 
million; total cost: ECU 67.2 million). 
This assistance is supplemented by aid measures for the creation and development of technology parks and 
aid for the technological development of businesses, under the CSF priority encouraging business 
competitiveness. Examples are the equipment of the Training Centre for Advanced Technologies in Zaragoza 
(Aragon), the construction of a technology centre for businesses (Balearic Islands), the extension of the 
Alcalà de Henares (Madrid) technology park, the development of the Zamudio Technology Park (Basque 
Country) and the extension of a research laboratory for car engines (Catalonia). The OPs for Catalonia, 
Rioja and the Basque Country also encourage business research activities. 
The regional OPs focus less on telecommunications and data transmission applications. However, their 
development, especially that of telecommunications, does receive support, in a sub-priority of the CSF in the 
'Communications development' priority strategy. 
Objective 3: The ESF provides assistance for the implementation of measures on technological training and 
skill improvement in the most promising sectors and as part of transfer development and application of 
research, biotechnology and information technology methods. 
The project for the Centre for Fashion Design in Madrid (FUNDISMA) covers industrial, 
commercial, marketing, technological and training aspects of the textiles and clothing sector. It 
provides for training measures for the vocational integration of young persons, which include 
technological training in new design and production methods, the theoretical part being followed 
by practical work experience. 
Objective 5(b): The priorities in the SPDs on revitalisation and diversification of the economy provide for 
support for mechanisation and the development of new technologies. For example, the SPD for Aragon 
supports the introduction of new technologies in the production processes of most farming businesses in the 
Bandenas area, and the SPD for the Basque Country stimulates research linked to the development of high-
quality regional products. These measures are backed up by support for scientific and technical training and 
research centres. 
In total, Community financing for technological development in Spain represents 5.1% of Structural Fund 
appropriations (Objectives 1, 2 and 5(b)). 
Table V-18: Spain - Financing directly linked to technological development in 1994-99 (ECU million) 
Objective 1 
Objective 2 
Ohi. 5fb) 
TOTAL TOTAL 
2.404.2 
234.3 
13.9 
____£__ 91% 
9% 
_i_£ SL 
1.282,3 
1113 
fLS. 
IMftl 1.3H4 53% 
48% 
6% Public PriYatt Total 
1.121,9 
121,9 
l?.l 
g?ftl 1.256.9 Memhyr State 
0,0 
I.I 1.121,9 
123.0 
12,1 
1.11 1.258.0 47% 
52% 
-___£ 
_____ Financing by the Structural Funds 
2% 
49% 
NB : In view of the programming procedures and differem approaches taken by the 
Member Slates, caution is required in interpreting these figures, in particular spending 
on information society projects, which are often linked to other fields such as 
industry and RTD. 49% 
ORTD •Telecom. •Telematics 
200 8th Annual Report on the Structural Funds (1996) 
OBJECTIVE 1*8 
Fi£. V-19: Programming 1994-99 (ECU million): 
Priorities: 
Adjustments to the svstem of production (a) 
Human resources (b) 
Access to isolated areas (c) 
Basic infrastructure fd) 
Bx Fund: 
ERDF 
ESF 
EAGGF 
FTFG 
Total 14.998,4 
6.118,7 
3.309.6 
1.008.7 
25,435,4 59% 
24% 
13% 
4% 
100% 
1 CSF 164 OPs 
Average per OP 397.4 (d)7% 
(c) 25% (a) 35"; 
(b) 33% 
Main features of 1996 
Eleven new assistance measures were adopted in 1996, representing a total amount of ECU 703.2 
million, i.e. less than 3% of the total Community contribution to the CSF. They included three major 
ERDF projects, two ERDF global grants, two ERDF and EAGGF OPs and four single-fund OPs (two 
ERDF and two ESF). The three major projects cover energy infrastructure. The first, the Gibraltar-
Cordoba gas pipeline, is one of ten priority energy projects adopted at the Essen summit in December 
1994 and is part of the development of trans-European energy networks. The second, the Valencia-
Cartagena gas pipeline (first stage Paterna - Callosa del Segura), will play a strategic role for the 
entire natural gas transport system, because it will enable it to be linked to the future regasification 
installation in Cartagena, thus improving the security of supply for the entire transport network. The 
third major project, the conversion of the methane tanker unloading installations in Huelva, will 
increase the storage capacity for liquid natural gas at the Huelva installation, thus diversifying supply 
and improving the safety and flexibility of the natural gas transport system in the Iberian peninsular as 
a whole. The project will also contribute to energy diversification and improvement of the 
environment. 
The global grant for IDAE (Instituto para la Diversifïcaciôn y el Ahorro Energético - Institute for 
energy diversification and saving) is an ERDF assistance measure. It is designed to improve energy 
efficiency and promote renewable energy sources. The grant to Castile-La Mancha is designed to 
introduce financing products better suited to the situation of businesses in the region. Two of the new 
OPs adopted involve the ERDF. The OP PITMA II (Programa Industrial y Tecnologico 
Medioambiental - Industrial and technological programme for the environment) is designed firstly to 
develop the supply of technologies, plant, "green" products and environmental services for industry, 
and secondly to reduce or eliminate the pollution caused by industry and industrial products. The OP 
Technical Assistance is intended to help administrative institutions obtain the best results possible in 
the programming, management, administration and evaluation of the forms of assistance under the 
CSF. Two OPs are financed mainly by the EAGGF. They are the 'Economic development and 
diversification in rural areas OP and the technical assistance programme for statistical updating. 
As regards implementation of the CSF as a whole in 1996, the CSF Monitoring Committee, meeting 
in December, decided to add a new sub-priority "Information Society", designed to encourage the use 
of new computing technology by public service authorities, in job creation and technological 
innovation, and provide equal access to information. The Commission has also ordered an analysis 
with a view to simplifying and rationalising aid programmes by means of an inspection and 
monitoring system, to prevent any cumulation of aid. As regards assessment, the reports on part one 
have already been drawn up and submitted in the various Monitoring Committees. The report on the 
CSF is to be drawn up in the second half of 1997. 
18 Eligible areas: Andalusia, Asturias, Canary Islands, Cantabria, Castile-Leôn, Castile-La Mancha, Extremadura, 
Galicia, Murcia, Valencia, Ceuta and Melilla. 
8th Annual Report on the Structural Funds (1996) 201 
1996 in the context of programming for 1994-99 
95% of the amount originally provided for in the CSF was programmed (ECU 769.4 million under the 
ERDF is still to be programmed). The most dynamic Autonomous Communities in terms of the level 
of implementation are Valencia, Ceuta, the Canary Islands, Cantabria and Galicia. In terms of 
priorities, most progress was made with 'Integration and spatial structuring', followed by 
'Development of the economic fabric' and 'Infrastructures to support economic activities". In terms of 
institutions, the highest rate of implementation was recorded by the central authorities, followed by 
the regional authorities, public enterprises and local authorities. 
Implementation of the fisheries programme progressed at a rate of 100% of the 1994 instalment, 80% 
of that for 1995 and 25% of that for 1996, thus making it possible to pay the Member State the second 
advance for 1996 (i.e. 34% of the total programmed for the period 1994-99). Nevertheless, the annual 
timetable was reprogrammed in November, to transfer ECU 56 million of the 1995 instalment to the 
1996 instalment and take account of indexation for 1994/95 in the 1996 instalment. 
OBJECTIVE 219 
Fie. V-20: Proerammine 1994-96 (ECU million - 1996 prices and situation): 
Bv sector : 
Productive environment (a) 
Human resources (b) 
Land improvement and restoration (c) 
Environmental protection (d) 
Technical assistance (el | 
Bv Fund : 
ERDF 787,6 *79% 
ESF 208,6 21% 
Total! 996.21 100% 
1 CSF/8 OPs 
Average per OP1 124.5 (c)15%(d)4%<e>1% 
(b) 28% (a) 52% 
1996 in the context of programming for 1994-99 
In 1996 the eight OPs under the CSF for 1994-96 progressed as planned. Cornrnitments were 
completed and the unused balance transferred to the period 1997-99 so that the appropriations for 
each OP had actually been committed on the ground by the end of December 1996, representing 
Community financing of ECU 990 million, i.e. 88% of the contribution originally laid down in the 
CSF. This Structural Fund financing was made up of ECU 781.4 million from the ERDF (i.e. 90% of 
the allocation originally provided for), ECU 368.3 million of which was actually paid out in the 
Member State in 1994-1995, and a total of ECU 208.6 million financed by the ESF (i.e. 80% of the 
allocation originally provided for), ECU 98.6 million of which was actually paid out in 1994 and 
1995. Completion meant that an unused amount of ECU 139.3 million could be transferred to the 
1997-99 programming period (12% of the original CSF assistance), plus ECU 16.1 million20 from 
indexation of the CSF for 1995 and 1996. These transfers relate to the seven regional OPs under the 
CSF, and range from 6% of the original assistance under the OP (Basque Country) to 38% (Aragon). 
19 Eligible areas: Aragon, Balearic Islands, Catalonia, Rioja, Madrid, Navarre, Basque Country. 
20 This amount was distributed among five OPs: Catalonia (ECU 6 million). Basque Country (ECU 5 million), 
Madrid (ECU 3 million), Aragon (ECU 1.1 million) and Navarre (ECU 1 million). 
202 8th Annual Report on the Structural Funds (1996) 
Table V-19: Objective 2 - Spain- Implementation of the CSF by priority in 1994-96 (ECU million) 
Priority 
1. Employment and 
competitiveness of businesses 
2. Protection of the environment 
3. Research, technology and 
innovation 
4. Transport hnked to economic 
activities 
5. Local and urban development 
6. Technical assistance 
TOTAL ERDF 
240.3 31% 
22.1 3% 
77.7 10% 
269.9 35% 
167.6 21% 
3.9 0% 
781,4 100% ESF 
100.9 48% 
0.0 0% 
473 23% 
0.0 0% 
55.4 27% 
4.8 2% 
208.6 100% TOTAL 
341.2 34% 
22.1 2% 
125.2 13% 
269.9 27% 
223,0 23% 
8,6 1% 
990,0 100% 
Preparation of the 1997-99 programming period 
In August 1996 the Spanish authorities submitted their Conversion Plan 1997-99, and eight draft OPs 
(one ERDF/ESF assistance measure for each of the seven recipient Autonomous Communities, and 
one multiregional ESF assistance measure for all regions). Despite the Commission's 
recommendations, the central Spanish authorities chose to use, as in 1994-96, the three-stage 
procedure (Conversion Plan, CSF and OP). As with the CSF for 1994-96,-the Plan has six priorities 
and is based on one single part-financing rate of 50% for all measures21. The proposed distribution of 
Community assistance is ECU 1 023 million from the ERDF and ECU 295.2 million from the ESF. 
Preparatory meetings between the central authorities and the Commission were held in October and 
December 1996. Following approval of the CSF, the proposed OPs will have to be adjusted 
considerably in line with the CSF priorities and to take account of the transfer of appropriations from 
the period 1994-96. 
OBJECTIVES 3 AND 4 
Fie. \-21: OBJECTIVE* - Programming 1994-99 (ECU million - 1995 prices): 
Priorities 
Vocational integration of the long-term 
unemployed (a) 
Vocational integration of young people 
seeking employment (b) 
Intégration of people threatened with exclusion (c) 
Eoual opportunities for men and women (d) 
Total ESF 
519,9 
743,7 
165.7 
____Z 
l;.4?4.S 
1 CSF/11 OPs 
Average ner OP 135.9 (c)11% (d) 4% 
(a) 35% 
(b) 50% 
1996 was the second year of implementation of the CSF for Objective 3, which was adopted for the 
period 1994-99 with a strategy targeted at facilitating access to the labour market by strengthening the 
active job-seeking process, improving the functioning of the labour market and stimulating job 
creation, and upgrading vocational skills by reforming the vocational training system. The CSF 
promotes the concentration of resources on facilitating access to and improving the quality of training, 
and greater use of integrated formulas (sandwich courses, training and placement services). Four of 
the eleven OPs (71 % of the total amount) are managed by national bodies, the other seven (29% of the 
total amount) by the Autonomous Communities. The average implementation rate for the programmes 
is satisfactory, with 100% of available appropriations for 1996, i.e. ECU 244.1 million, being 
committed and 75% paid out in the form of advances. As regards monitoring, the partnership and the 
strategic role of the Monitoring Committee have been reinforced. The Committee ensures that the 
approach defined in the programming documents is followed and has approved adjustments to 
21 The regional breakdown of the new appropriations allocated by Spain for this period (ECU 1318 million) is as 
follows: Aragon, ECU 82.9 million; Balearic Islands, ECU 13.1 million; Catalonia, ECU 636.5 million; 
Madrid, ECU 178.2 million; Navarre, ECU 25 million; Rioja, ECU 14.7 million; Basque Country, ECU 367.6 
million. 
8th Annual Report on the Structural Funds (1996) 203 
prograrriming in line with the objectives, priorities and changes in actual requirements on the job 
market. In addition, a technical assessment group was set up to assist the Monitoring Committee in the 
interim assessment work to be carried out in 1997 (technical assistance appropriations will be used for 
this). 
Fie. V-22: OBJECTIVE 4 - Proerammine 1994-99 (ECU million - 1994 prices) 
Priorities 
Pre-emptive measures, guidance and advice (a) 
Continuing training of workers (b) 
Technical assistance (c) . 
Total ESF 
36,9 
308.4 
233 
368.6 
7 SPD (c)6% (a) 10% 
(b) 84% 
The level of implementation of the Objective 4 SPD was not as high as planned, but there was a clear 
improvement, with 53% of the available amount for 1995 being implemented (this amount includes 
the 1995 instalment as provided for in the original plan plus the amounts not implemented in 1994). 
However, financial reprogramming was necessary in December 1996 to transfer the unused amounts 
of the 1995 instalment to 1996, 1997, 1998 and 1999. As regards quality, it was the Commission's 
concern not to lose sight of the priorities in the SPD, with the focus on training in SMEs, giving 
priority to the least skilled workers and promoting equal opportunities. The emphasis was also on 
horizontal training in the framework of Objective 4, i.e. concentration of measures on skills common 
to more than one sector and linking training to anticipated demand. 
OBJECTIVE 5(a) agriculture 
Table V-20: Proerammine 1994-99 (ECU million - 1996 prices and status): 
Total 
276,0 Measures 
Production 
Marketing 157.0 
119.0 57< 
425 
The implementation forecasts for the improvement of production structures were reduced to 
ECU 157 million for the period 1994-99 (not including support for the fruit and vegetable sector), as 
against the ECU 207 million originally provided for in 1994. This was because in 1996 Spain decided 
to transfer part of the appropriations originally allocated to these measures to aid measures for 
processing and marketing fruit and vegetables. A decision on the SPD for this is to be taken in 1997. 
Most of this revised aid is investment aid (ECU 46 million), followed by aid for less-favoured regions 
(ECU 43 million) and aid for young farmers (ECU 35 million). In the years following preparation of 
the SPD on processing and marketing of products in 1994, application of the measure has been 
standardised. In those regions not covered by Objective l22, the Community awarded a total of 
ECU 68 million (ECU 32 million in 1995 and ECU 36 million in 1996) for 496 investments with total 
eligible costs of ECU 313 million (ECU 146 million in 1995 and ECU 167 million in 1996). More 
than 50% of investments in the Objective 1 regions and in those outside Objective 1 were in the fruit 
and vegetable and meat sectors. 
22 EAGGF aid was ECU 351 million (ECU 120 million in 1995 and ECU 131 million in 1996). The total eligible 
cost of the 1 235 investments receiving aid was ECU 821 million (ECU 394 million in 1995 and 427 million 
in 1996). 
204 8th Annual Report on the Structural Funds (1996) 
OBJECTIVE 5(a) fisheries 
Fie. V-23- OBJECTIVE 5(a) fisheries - Proerammine 1994-99 (ECU million): 
I FIFO 
Adjustment and redirection of fishing effort la) 
Other fishing fleet measures (b) 
Renovation and modernisation of the fishing fleet (c) 
Aquaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (g) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures CO 
Tv-ta» 40.6 
0.0 
35.9 
7.2 
1.8 
6.0 
23.9 
1.8 
pm 
2.4 
121.9 (9) 20% (h)2%(j)2% W°% 
(a) 33% 
(c) 30% 
Implementation of the SPD advanced at a rate of 100% of the 1994 instalment, 80% of that for 1995 
and 25% of that for 1996, enabling the second advance for 1996 to be paid to Spain. However, 
reprogramming was necessary to transfer ECU 8 million of the 1995 instalment to 1996, and to take 
account of indexation for 1994/95 in the 1995 and 1996 annual instalments. 
OBJECTIVE 5(b)23 
Fie. V-24: OBIECTIVE 5(b) - Proerammine 1994-99 ft994prices): 
Population ('000s) 
Area (kin2) 1.731 
85.223 
ECU millim 
Bv Fund: 
EAGGF 
ERDF 
ESF 
Total 414,6 
160.8 
88.6 
_______ 62% 
24% 
13% 
100% 
7 SPDs 
Average ner SPDl 94,9 (e) 13% (a) 31% 
(d) 10% 
(c) 22% 
(b)24% D Basic infrastructure (a) 
B Diversification of economic 
activity (b) 
• Protection of natural resources 
(O 
E Improving rural living conditions 
W) 
• Human resources (e) 
The Objective 5(b) SPDs progressed satisfactorily in 1996 as regards both financial and physical 
implementation. The result of this good progress was that 50% of the financial allocation was 
committed by the end of 1996 and 36% paid out. The situation for the EAGGF (4 regions brought 
forward commitment of the 1997 instalment) was very satisfactory, but there were problems with the 
ESF, for which, by the end of 1996, two regions had committed barely 25% of the appropriations 
provided for the period. The assistance under four of the seven SPDs (Balearic Islands, Rioja, Navarre 
and the Basque Country) was indexed, which represents an additional total of ECU 2.9 million for 
these programmes. 
The work of the Monitoring Committees focused on approval of the technical assistance programmes 
for each region, comprising three strands (information on the measures provided for in the SPD, 
technical assistance for implementation and assessment), on assignment of the amount resulting from 
indexation for 1995-96, allocated to the financing of these technical assistance programmes (on 
average these appropriations account for 0.2% of the public expenditure provided for in the 
programmes), and finally on the stepping up of some of the most advanced measures. However, most 
effort went into assessment work, concentrating on feasibility studies in the seven regions to improve 
prior appraisal and prepare on-going assessment, approval of the list of specifications and selection of 
assessors for on-going assessment (four regions had assessment carried out by universities and three 
others by private companies), and the organisation within the framework of the national Monitoring 
Committee of a seminar on the assessment of rural development programmes, in which the assessors 
for the seven regions took part. 
23 Eligible areas: Aragon. Balearic Islands. Catalonia. Rioja, Madrid, Navarre and the Basque Country. 
8th Annual Report on the Structural Funds (1996) 205 
Table V-21: Spain - Assistance by Objective - 1996 in the context of programming for 1994-96/99 (ECU 
million) 
Programmes 
. (year of adoption) Total cost SF assistance 
_jn Commitments Commitments 
1996 1994-96 
_______ J2ML Payments 
1996 Payments 
1994-96 
(3> 
Obiective 1 
Regional OPs 
GG Castile-La Mancha < 1 ) ( 1996) 
OP Ceuta-Melilla (2) ( 1996) 
OP Trade and tourism (2) (1996) 
MP Gas pipeline Gibraltar-Cordoba ( 1 ) (1996) 
MP Natural eas installations Huelva (1) (1996) 
GG Andalusia (1995) 
OP Andalusia (3) (1995) 
OP Cantabria (2) (1995) 
GG Salamanca (1995) 
GG Sodical (Castile-Leôn) ( 1995> 
OP Andalusia (1) (1994) 
OP Andalusia (2) (1994) 
OP Asturias (1) (1994) 
OP Asturias (2) (1994) 
OPAsrunas(3)(1994) 
OP Canary Islands (.1 ) (1994) 
OP Canary Islands (2 ) 0 994 ) 
OP Canary Islands (3) (1994) 
OP Castile-La Mancha ( ! ) ( 1994) 
OP Castile-La Mancha (2) (1994) 
OP Castile-La Mancha (3)0994) 
OP Casiile-Le6n (1)0994) 
OP Castile-Leôn (2)0 994) 
OP Castile-Leôn (3) 0994) 
OPCeuta (1)0994) 
OP Donana Phase 2 (4) ( 1994) 
OP Extremadura (1) (1994) 
OP Extremadura (2) 0 994) 
OP Extremadura (3)0 994) 
OP Galicia (1)(I994) 
OP Galicia (2) (1994) 
OP Galicia (3) (1994) 
OPMelilla(1994) 
GG Murcia (1)0994) 
OP Murcia (1)0994) 
OP Murcia (2) (1994) 
OP Murcia (3) (1994) 
OP Multiregional Cantabria (1)0 994) 
OP Multiregional Cantabria (3 ) (1994) 
OP Regional Cantabria ( I ) (1994) 
OP Valencia (1)0994) 
OP Valencia (2) (1994) 
OP Valencia (3) (1994) 
Multiregional OPs 
OP UDdatinc of statistics ( 1996) 
OP Technical assistance 0 ) 0 996) 
OP Rural development 0996) 
MP Gas pipeline Valencia-Cartagena (1) (1996) 
GGIDAE 0)0996) 
OP PITMA 110-5)0996) 
OPTechnical assistance (3) (1995) 
GG Chamber of commerce 0995) 
OP Regional aid 0994) 
GG Competitiveness of SME* (1994) 41,4 
16.3 
27.5 
298.5 
27,4 
1.894.5 
575.3 
12.0 
39.1 
43.1 
5.559,0 
440.4 
1.410,8 
41.6 
116.5 
1.179.4 
218.2 
154.4 
1.779.5 
47,5 
628.5 
2.752.3 
172.6 
746.3 
70.9 
225.5 
1.577.5 
209,9 
299.8 
2.493,4 
242.0 
464,1 
82.4 
518,0 
767,3 
59,4 
127.3 
536.6 
110.8 
158.6 
3.691,7 
418,4 
274.2 
79.4 
26.7 
538,2 
60,7 
964.6 
623,7 
18.4 
37.0 
3.125.9 
344,9 6.5 
13.1 
20.6 
99.0 
7.3 
223.9 
342.0 
9.0 
12.9 
6,5 
2.938,9 
330,3 
809.2 
31.2 
81.1 
694.7 
185.4 
80,7 
936,6 
35.6 
288,4 
1.612.6 
129.4 
381.1 
47.4 
146.6 
1.011.9 
167,9 
169.8 
1.544,5 
181.5 
303,5 
42,1 
79.2 
487.3 
44.6 
55.6 
343.0 
54.3 
105.0 
1.207.9 
313,8 
103.5 
59.6 
20.0 
275.4 
23.8 
118.3 
59.7 
13.8 
19.2 
387.0 
241,5 1,6 
13,1 
20,6 
89.8 
7.3 
34.7 
29.8 
0,0 
0.0 
0,0 
613.7 
62.6 
213,1 
5.3 
16.2 
137.2 
0.0 
9,7 
203.9 
6.3 
37.9 
381,3 
44,5 
66.3 
7.1 
0.2 
155.8 
45,7 
24.8 
296,1 
29.5 
59,5 
12,2 
13,3 
0.0 
12.3 
8.1 
113,0 
11.7 
0,4 
210,1 
54,0 
22.5 
20.1 
8,0 
41,4 
23.8 
23,7 
7,7 
0.0 
0.0 
55.6 
36.0 1.6 
13.1 
20,6 
89.8 
7,3 
102,7 
133.5 
1.4 
6.3 
3.6 
1.647.6 
136.6 
516.0 
15.8 
41.3 
505,6 
54.8 
39,5 
514.0 
18.0 
123.: 
784,4 
64. 
171.6 
35,4 
58,1 
372.0 
67,1 
72.2 
1.102,7 
78.2 
142.1 
28.1 
25,6 
228,7 
17.9 
25.5 
247.7 
17,0 
15,0 
936,4 
181,3 
54.9 
20.1 
8.0 
41.4 
23.8 
23.7 
7.7 
2.0 
1.1 
220,1 
102.7 25* 
100* 
100* 
91* 
100* 
46* 
39* 
15* 
49* 
55* 
56* 
41 
64 
51% 
51* 
73* 
30* 
49* 
55* 
51 
43 
49* 
50* 
45* 
75% 
40* 
37% 
40* 
43 
71 
43* 
47 
67% 
32* 
47% 
40% 
46% 
72% 
31% 
14% 
78% 
58% 
53% 
34% 
40% 
15% 
100% 
20% 
13* 
14* 
6* 
57% 
43* 0.8 
3.9 
10.3 
71.8 
5,8 
54.3 
58.5 
0.0 
1.9 
0,0 
159,4 
56.6 
122.5 
5,0 
17.3 
66.4 
0.0 
12 2 
102,0 
5,8 
41.3 
225.7 
33.1 
62.8 
8.6 
17.5 
97.2 
33,2 
32.2 
318.4 
23.6 
65,4 
4,4 
16,8 
67,8 
9.9 
12,2 
66.9 
6,0 
0,2 
174.1 
51,8 
25,5 
10.0 
4,0 
20,7 
19,0 
0.0 
0.0 
0,0 
0.6 
44,5 
24,1 0,8 
3.9 
10.3 
71.8 
1 5.8 
54.3 
110.3 
0,7 
5.0 
1,8 
986.5 
105.4 
282.3 
13,3 
37,4 
342,3 
27,4 
36.1 
374,5 
14,3 
95.5 
548.1 
43,0 
147,1 
31.2 
46,4 
270.1 
43.8 
60,9 
776,9 
61,0 
131.5 
13,4 
22,9 
196.6 
11,9 
23,3 
121.4 
10.2 
7.5 
623* 
147.0 
51,4 
10,0 
4.0 
20,7 
19,0 
0.0 
0.0 
1,0 
0.6 
191.9 
77.5 12* 
30* 
50* 
73* 
80* 
24* 
32* 
8* 
39% 
28* 
34* 
32% 
35* 
43% 
46* 
49* 
15* 
45% 
40' 
40% 
33% 
34% 
33* 
39* 
66* 
32* 
27* 
26% 
36% 
50* 
34* 
43* 
32* 
29% 
40% 
27% 
42% 
35% 
19% 
7* 
52* 
47* 
50* 
17* 
20* 
8* 
80* 
0* 
0* 
7* 
3* 
50* 
~">% 
(1) Single-fund OP-ERDF 
(2) Single-fund OP - ESF 
(3) Single-fund OP - EAGGF 
(4) Including appropriation* under innovative measures (budget heading B2-
(5) Industrial and technological programme tor the environment 
206 8th Annual Report on the Structural Funds (1996) 
Programmes 
(year of adoption) 
OP Local environment (1994) 
OP FORŒM (1994) 
OP Agri-food industry (1994) 
OP INEM (6) (1994) 
OP Scientific infrastructure (1994) 
OP Local (1994) 
OP Ministry of Education 0994) 
OP Ministries (1994) 
OP Autonomous bodies (1994) 
OP Fisheries (1994) 
GG Industrial technology (1994) 
Technical assistance 
Total Toul cost 
828.6 
447.6 
3.028,6 
3.433.7 
479.4 
812.5 
1.953,6 
72.2 
416.6 
1.685.6 
472,6 
0.5 
50.001.0 SF assistant 
(1) 
580.6 
262.5 
1.220.0 
2.575.3 
342.2 
580,6 
1.465,2 
54.2 
299.2 
1.008,7 
143.2 
0,5 
25435.9 Commitments Commitment! 
1996 1994-1996 
(2) 
0,0 
41.3 
215.3 
564.2 
60.5 
0.0 
246.6 
14.3 
0.0 
158,3 
26,3 
0.3 
4.614.8 96.8 
138.8 
658,8 
1.340,4 
196,1 
193.5 
565.6 
19.9 
92,7 
462,8 
52.8 
0.3 
12.987.3 • % 
m/m 
17% 
53* 
54% 
52% 
57% 
33% 
39* 
37% 
31% 
46% 
37% 
66% 
51% Payments 
* 1996 
0,0 
20.6 
205,7 
682,4 
55.8 
48.4 
281,9 
10.5 
1.6 
229.5 
25,1 
0.0 
3.833.6 Payments 
1994-1996 
(3> 
48.4 
69.4 
525.6 
1.252,9 
108.5 
125.8 
527.6 
13.3 
51,8 
338,7 
47,5 
0.0 
9.403.6 % 
(31/(1) 
8% 
26% 
43% 
49% 
32% 
22* 
36* 
25% 
17% 
34* 
33% 
4% 
37% 
Obiective 2* 
Regional OPs 
OP Aragon (1995) 
OP Balearic Islands (1995) 
OP Catalonia (1995) 
OP Rioja (1995) 
OP Madrid (1995) 
OP Navarre (1995) 
OP Basque Country (1995) 
Multiregional OPs 
OPMulrire-ionnK2H10Q<;> 
Total 148,7 
57,6 
4.665,3 
64,9 
327.1 
102.6 
1.889,0 
64.7 
7319.9 40.5 
8.7 
448,2 
8.5 
128.3 
21.4 
311.6 
29.1 
996.2 39,0 
-0,2 
159,2 
-0,5 
49,1 
0,0 
130,6 
0.0 
377.2 52,8 
10,2 
448,2 
11,4 
128.3 
22.8 
323.0 
39.7 
1.036.4 131% 
117% 
100% 
134% 
100% 
107% 
104% 
137% 
104% 16.8 
2,6 
55.3 
3.2 
38.3 
0.0 
30.3 
12.8 
1593 23,7 
7.8 
275.7 
9,1 
67,8 
16,7 
178,7 
27.7 
607.2 59* 
90% 
62% 
107% 
53% 
78% 
57% 
95* 
61% 
Regional OPs 
OP Aragon (1994) 
OP Balearic Islands (1994) 
OP Catalonia (1994) 
OP Rioja (1994) 
OP Madrid (1994) 
OP Navarre (1994) 
OP Basque Country (1994) 
Multiregional OPs 
OP Various bodies (1994) 
OP INEM (6) (1994) 
OP Multiregional ( 1994) 
OP Universities 1994> 
Total 45,1 
28,8 
210,3 
9.6 
250,2 
94.6 
279,2 
75,6 
1.364.4 
730,6 
201,2 
3.289.6 20.3 
12,9 
94.6 
4,3 
112,6 
42.6 
125,7 
34,0 
614,0 
328,8 
90,5 
1.480,3 0,3 
0.0 
15.8 
0,0 
6.9 
10.3 
21,0 
0,1 
110.7 
44,1 
30.6 
239.9 20,3 
12.9 
46,9 
4,3 
43.7 
23.8 
62,3 
34,0 
277.8 
102,4 
38.0 
666.5 100% 
100% 
50* 
100% 
39% 
56% 
50% 
100% 
45% 
31% 
42% 
45% 2.8 
2.0 
8.9 
0.2 
9.6 
9,8 
20.3 
2.3 
143,6 
53,0 
19.6 
272.1 5,4 
3,0 
31.9 
0.9 
32.2 
19,9 
46,1 
4,8 
255,7 
93,6 
23.3 
516.7 27% 
23% 
34% 
20% 
29* 
47% 
37% 
14% 
42% 
28% 
26% 
35% 
Obiective 4 
SPD Spain (1994) 
Technical assistance 
Tout! 1.045,0 
0.2 
1.045.1 368,6 
0.2 
368.8 49,5 
0.0 
49.5 167.6 
0.2 
167.8 45% 
99% 
46% 10,0 
0.0 
10.0 75.9 
0.2 
76.0 21% 
99% 
21% 
Obiective 5(a) a-rieulture 
Forecasts for Spain R. 2328/91 (1994) 
SPD Snain R. 866 and 867/90 n«JQ4> 
Total 396,7 
396.7 
793.4 157.0 
119.0 
276.0 0,0 
25.0 
25.0 51.7 
50.7 
102,4 33% 
43% 
37% 8.7 
20.0 
28.7 44,0 
40.5 
84.5 28* 
34* 
31% 
SPD Snain HQ941 1 326.41 121.91 19.91 59.71 49%l 32.71 42.71 35% 
Obiective 5rt>) 
SPD Balearic Islands (1995) 
SPD Aragon (1994) 
SPD Catalonia (1994) 
SPD Rioja (1994) 
SPD Madrid (1994) 
SPD Navarre (1994) 
SPD Basque Counrrv 0994\ 
Total 
TOTAL 147,3 
763,6 
366.7 
184,7 
112.9 
162.8 
82.1 
1.820.1 
64.595,4 46.5 
298,6 
148,0 
39,7 
49,3 
57,8 
27.1 
666.9 
29346.0 10,1 
80.5 
27.8 
13,5 
7,9 
24,9 
7.6 
172.3 
5.498,7 18.3 
159.4 
62.4 
19,7 
19,2 
41,4 
14.0 
334.4 
l»Hr«î 39% 
53% 
42% 
50% 
39% 
72% 
52* 
50% 
52* 6,7 
53.3 
21.3 
11.0 
6.1 
21.3 
4,7 
124.4 
4.460,9 13,4 
110,1 
45.9 
14.9 
13.9 
35.4 
9.2 
242.8 
10.973.6 29* 
37* 
31* 
38* 
28% 
61% 
34* 
36% 
37* 
* Amounts after deduction of transfers to 1997-99 
( 1 ) Single-fund OP - ERDF 
(2) Single-fund OP - ESF 
(3) Single-fund OP - EAGGF 
(4) Including appropriations under innovative measures (budget heading B2-1820) 
(5) Industrial and technological programme for the environment 
(6) National institute for employment 
8th Annual Report on the Structural Funds (1996) 207 
5.2. Implementation of the Community Initiatives in 1996 
Note: 
Spain is involved in all Community Initiatives. Each Initiative is implemented by a single national programme, 
with the exception of Leader (17 global grants in each Autonomous Community, ten of which in the 
Objective 1 regions). 23 of these CIPs and two Interreg CIPs were adopted in 1994 and 1995. Five of the six 
programmes still to be decided (Interreg Spain-France, Interreg Spain-Morocco, Rechar, Résider and the 
SMEs Initiative) were adopted in 1996 (leaving the Konver programme outstanding). 
Support for the development of technological potential in Spain : 
The SMEs programme gives greatest priority to technological development. In order to raise the competitive 
level of SMEs, the CIP supports training in information technology and its more widespread use (ECU 
13.5 million; total cost: ECU 36.9 million), and RTD (ECU 56.9 million; total cost: ECU 134.4 million). 
There are also measures to improve data transmission links between companies to facilitate contact with their 
clients, suppliers and administration departments. All these priorities are implemented by means of the ARTE 
programme, which encourages the use of advanced communications by SMEs through various measures: 
support for new initiatives by financing studies, analysis and technical assessment for individual SMEs or 
groups of businesses, encouraging the use of advanced communications services by developing business 
information, the development of innovative solutions based on data transmission applications, and the 
improvement of technological services centres for businesses. 
Most of the budget for the Interreg programmes with France, Portugal and Morocco is given over to 
technological development for the installation of fibre optics and the setting up of advanced 
telecommunications services (ECU 10.4 million; total cost: ECU 24.8 million). 
As regards the Adapt Initiative, the CIP encourages cooperation between research and training centres and 
the public and private sectors, whereas the Employment programme focuses on data transmission 
applications (ECU 9.8 million; total cost: ECU 15.1 million) as a means of reducing barriers affecting the 
handicapped, and, under the NOW programme, on the use of computerised data bases. 
Finally, the Regis programme finances the setting up of an advanced communications centre to stimulate the 
locally-generated development of the Canary Islands based on technology transfers between the university 
and the private sector, and projects on the introduction of advanced infrastructure services in most sectors of 
the economy. Support for RTD in the form of the development of the Canary Islands Astrophysics Institute 
receives 2% of the budget. 
By the end of 1996, all CIPs had been adopted except Konver. The CIPs adopted in 1996 include the 
SMEs CIP, to which ECU 251.1 million has been allocated, and the Résider CIP, which covers 
several regions - Asturias, Cantabria, Valencia, Galicia, Navarre and the Basque Country - which are 
eligible under Objectives 1 and 2. The Rechar CIP was also approved in 1996 for several coal-mining 
areas in Andalusia, Aragon, Asturias, Catalonia, Castile-Leon and Galicia, all located in area eligible 
under Objectives 1, 2 or 5(b). The Interreg programme for Spain-Morocco, which has been allocated 
ECU 101.4 million of assistance from the ERDF and ECU 1.1 million from the ESF, was also 
approved. In addition, Spain receives an additional ECU 312.96 million by way of the Community 
Initiative reserve. This amount will reinforce the Initiatives Adapt, Employment, Leader, Pesca, 
Retex, Urban and above all the new strand Interreg IIC24. 
Implementation of the Regis programme and the Leader programmes, both among the programmes 
adopted in previous years, began satisfactorily. For the latter, which were approved in July 1995, 
1996 focused on the establishment of innovation programmes by 15 groups on skill acquisition and 
implementation by 20 innovation groups. Under the Employment Initiative, almost 500 projects were 
selected following the first invitation to tender (174 projects for Now, 230 Horizon projects and 
94 Youthstart projects). The three strands focus on training and the promotion of new services, in 
particular in rural areas. The main themes of the Now projects are the development of employment 
programmes and the promotion of traditional activities in rural areas. Under Youthstart, there are a 
large number of projects for implementing vocational integration programmes. Horizon focuses on 
eliminating obstacles to access to work, and on the promotion of advice facilities and the use of new 
technologies. Under Adapt, 184 projects were selected following the first invitation to tender. 
Training activities play a major role, in particular in areas linked to new technologies. Other activities 
24 See also Chapter I.B.I. Community Initiatives. 
8th Annual report on the Structural Funds (1996) 21 
More support for technology development is needed 
While qualitative progress has undoubtedly been achieved, thanks in particular to the boost given by 
the Community Initiatives and pilot projects, more assistance is necessary. In the field of research and 
technology development, 1996 provided an opportunity to reassess the relationship between the 
cohesion policy and the RTD policy. The relationship was on the one hand studied in the first 
Cohesion Report. Then, following the conclusions of the panel assessing RTD measures taken during 
the last five years, in April 1997 the Commission adopted the proposal on the 5th framework 
programme for 1999-02.23 Following the Green Paper on Innovation24, it also adopted an Action Plan 
for Innovation25. It also decided to prepare a Communication on cohesion, innovation, RTD and 
competitiveness, extending the 1993 communication on the same subject. This was adopted in 1997. 
On information technologies, the Commission adopted a Communication entitled "Cohesion and the 
information society"26 with a view to having greater account taken of this new dimension in the 
Structural Fund programmes. The Communication recognises the interdependence of economic and 
social cohesion and the development of the information society in Europe. This involves successfully 
exploiting the interaction between these two spheres of activity at increasingly sophisticated levels of 
complimentarity. The introduction of the information society is a pivotal factor for regional 
development. The new developments in information and communications technologies have 
significant and inescapable effects on employment opportunities, lifestyles and the regional 
organisation and spread of economic activity. The information society affects the ability of enterprises 
to diversify and adapt their product range, to increase their penetration into regional and local markets 
and to imagine new and more effective forms of organisation. The general impact of the information 
society on all society activities, i.e. education and training, health services, leisure and recreations, 
public administration, etc, is also creating a new pattern for social relationships. 
While the communication acknowledges the Structural Funds' contribution to completing and 
improving telecommunications infrastructure, it also calls for a new approach. A whole series of 
factors going beyond telecommunications alone are a precondition for true entry into the information 
society, among which can be cited, the educational and training levels reached by the general 
population, the roles of the public and private sectors in promoting the information society, public 
awareness, the ability to organise and invest in an efficient information society strategy. In this regard 
the communication recognizes the extra effort that must be made as regards telecommunications 
infrastructure and legislation so that cohesion might be more effectively integrated into the process. 
The communication notes however that a major effort is needed to stimulate demand by identifying 
the regional strategies for the information society, by developing training programmes for 
businessmen and public administrators, by supporting new applications development, by launching 
public information campaigns through the establishment of public/private partnerships. The Structural 
Funds are the instrument through which such an integrated, coordinated approach can be developed 
and through which inter-regional partnerships can be tried out. 
23 COM(97) 142 final of 30 April 1997. See also the Communications 'Inventing tomorrow - Europe's research 
at the service of its people" COM(96) 332 final of 10 July 1996; "Towards the 5th Framework Programme: 
Additional material for the policy debate" (96) 595 final of 20 November 1996; "Towards the 5th Framework 
Programme: scientific and technical objectives", COM(97) 47 of 12 February 1997. 
24 COM(95) 688 final of 13 December 1995. 
25 The First Action Plan for Innovation in Europe, COM(96) 589 final of 21 November 1996. 
26 COM(97) 7 final of 22 January 1997. 
208 8th Annual Report on the Structural Funds (1996) 
are aimed at providing guidance for businesses in, among other things, quality management and ways 
of meeting environmental requirements. There are also projects on local development in rural areas 
and the promotion of businesses in the social economy sector. Although implementation of the Pesca 
programme did not really begin until the end of 1995, no new payments were made in 1996, some 
measures being replaced by others and the amounts involved reallocated between the Funds. 
Table V-22: Spain - Community Initiatives 
million) 1996 in the context of programming for 1994-99 (ECU 
Initiative 
(number of CIPs) 
Adapt (1) 
Employment (1) 
Leader(17) 
Pesca <1) 
SMEs(l) 
Rechar (1) 
RejtisO) 
Résider (1) 
Retex (1) 
Urban (1) 
Total (26) 
Interree/Reeen (4)** 
of which CIPs adopted in 1996: 
SMEs 
Rechar 
Résider 
Toul (3) 
Imerree (7)*** T#tal cost 
403.2 
571,4 
1.162.1 
93.0 
1.383.1 
60,0 
385,5 
464,3 
361.1 
248,7 
5.132.5 
1.383.1 
60.0 
464,3 
1.907,4 S.F. 
assistance* 
(1) 
256.4 
386.6 
354.8 
41.5 
251,1 
34,2 
216.9 
73.6 
90.4 
162.6 
1.868J2 
251,1 
34.2 
73.6 
358,9 Commitments 
1996 
33.7 
56.0 
9,5 
0,0 
35.3 
32.7 
47,4 
7,6 
0,0 
33,2 
2554 
35.3 
32.7 
7,6 
75,6 Commitments 
1994-96 
(2Ï 
81,8 
114.7 
121,6 
6,9 
35.3 
32.7 
75,4 
7.6 
38.5 
56.0 
570.6 
35.3 
32,7 
7.6 
75,6 % 
(2W1) 
32% 
30% 
34% 
17% 
14% 
95% 
35% 
10% 
43% 
34% 
31% 
i4% 
95% 
10% 
21% Payments 
1996 
18.7 
35.3 
9,8 
0,0 
17.6 
16.3 
59.9 
3.8 
0.0 
22.7 
i84a 
17.6 
16.3 
3.8 
37.8 Payments 
1994-96 
(3) 
42.7 
64.6 
44,7 
3.5 
17.6 
16,3 
59.9 
3,8 
34,2 
34,1 
321,4 
17.6 
16.3 
3.8 
37.8 % 
(3vm 
17% 
17% 
13% 
8% 
7% 
48% 
28% 
5% 
38% 
21% 
17% 
7% 
48% 
5% 
11% 
* Excluding reserve 
** For programme details see Chapter VII. Table 2.2. 
*" For programme details see Chapter I.B.I. Community Initiatives 
8th Annual Report on the Structural Funds (1996) 209 
6. FRANCE 
6.1. Implementation of assistance bv Obiective in 199625 
Support for the development of technological potential in the regions of France: 
Objective 1: All the SPDs take account of the technology factor. In the fields of RTD and innovation, the 
SPDs which go furthest in exploiting the potential for technology development are those for Corsica and 
Nord/Pas-de- Calais: 
• in Nord/Pas-de-Calais: the RTD priority (ECU 38.4 million; total cost: ECU 86.8 million) includes 
development of RTD in businesses, strengthening the supply of technology and strategic services by 
skills centres and networks, technology training and stimulation of research in higher education. 
These measures are supplemented by the development of environmental technologies (ECU 9.8 
million; total cost: ECU 31.8 million) and incentives for environmental research (ECU 1.5 
million; total cost: ECU 3 million); 
• in Corsica: the programme is built around technology transfer in agricultural and marine 
production (ECU 1.6 million; total cost: ECU 3.7 million) and in businesses, research (ECU 
1.4 million; total cost: ECU 3.5 million) and the development of human resources in those areas 
(ECU 0.8 million; total cost: ECU 2 million). 
Objective 2 (1994-96): RTD and innovation play a key role in the SPDs (20.9% of Structural Fund 
assistance). Several SPDs allocate a total of ECU 236.15 million (total cost: ECU 531.8 million) to priorities 
concerning the development of training and research in businesses (ECU 174.2 million; total cost: ECU 
371.4 million)26, increasing regional R&D and innovation capacity (ECU 42.9 million; total cost: ECU 
114.3 million)27 and improving the technological environment of firms (Loire Region: ECU 19 million; total 
cost: ECU 46,2 million). These priorities, and the measures included in the other SPDs, reflect the general 
interest in encouraging R&D and innovation. This involves aid for innovative projects (Alsace, Lorraine, 
Lower Normandy and Champagne-Ardenne), aid for research28 (ECU 12.9 million; total cost: ECU 
40.3 million) and, more specifically, the development of environmental technologies29 and new information 
technology and communications (Nord/Pas-de-Calais: ECU 8.3 million; total cost: ECU 16.6 million). 
In addition to these measures, the SPDs specifically aim to assist technology development in businesses (ECU 
61.5 million in all; total cost: ECU 172.4 million) by stimulating demand for30 or supply of1 RTD, by 
strengthening technology development programmes (Lower Normandy), through inter-regional and 
international cooperation in the field of research (Upper Normandy), by strengthening existing skills centres 
and networks and encouraging the R&D efforts of businesses32, and by granting aid for technology 
dissemination (Alsace), including support for technology transfer in SMEs (ECU 14.7 million; total cost: 
ECU 46.3 million)33. 
The SPDs also concentrate on R&D and technology transfer structures (ECU 23.7 million; total cost: ECU 
51 million)34, university and research facilities (Centre: ECU 1.2 million; total cost: ECU 3.9 million), the 
25 In addition to the assistance for 1994-99 set out below, during 1996 the closure process began for certain 
assistance adopted by the Commission before 1989. Payment of balances amounted to about ECU 36 million. 
The following were closed: three major projects adopted in 1989 (Guadeloupe, Champàgne-Ardenne) and 
1992 (Midi-Pyrénées); three IDOs (Tam-Aveyron, Nord/Pas-de-Calais, Brittany) adopted in 1986-88; the 
IMPs for Languedoc-Roussillon and Aquitaine adopted in 1987; the NPCIs for Lorraine, the European 
development pole and Charente-Maritime adopted in 1986-87; the Rechar CIP for Burgundy and the Envireg 
CIP for Provence-Alpes-Côte d'Azur adopted in 1990; five Objective 2 programmes for 1989-91 (Lorraine, 
Aquitaine, Midi-Pyrénées, PACA); the Objective 5(b) programme for Limousin adopted in 1990. 
26 Auvergne, Brittany, Nord/Pas-de-Calais, Picardy, Centre. 
27 Champagne-Ardenne, Upper Normandy, Midi-Pyrénées. 
28 Aquitaine, Nord/Pas-de-Calais, Lower Normandy. 
29 Nord/Pas-de-Calais, Loire Region, Lower Normandy, Picardy. 
30 Aquitaine: ECU 5.1 million (total cost: ECU 39.8 million). 
31 Champagne-Ardenne: ECU 9.1 million (total cost: ECU 23 million). 
32 Nord/Pas-de-Calais, Rhône-Alpes. 
33 Centre, Loire Region, Picardy, Brittany, Rhône-Alpes, Provence-Alpes-Côte d'Azur, Champagne-Ardenne. 
34 Aquitaine, Brittany, Midi-Pyrénées. 
210 8th Annual Report on the Structural Funds (1996) 
development of centres of excellence (e.g. life industries in Lower Normandy (ECU 2.9 million; total cost: 
ECU 8.7 million) and technology platforms in Aquitaine (ECU 9.8 million; total cost: ECU 41 million)). 
In most of the SPDs this support for RTD and innovation is accompanied by human resource measures. Such 
measures are either general and aim at strengthening training in research (ECU 18.1 million in all; total 
cost: ECU 54.1 million)35, or more specific (ECU 49.7 million in all; total cost: ECU 96.3 million), aiming to 
develop advanced scientific training3**, strengthen secondary and higher technical education in conjunction 
with the skills centres in the area37 and finance research grants for technology transfer centres38, or develop 
vocational training centres39, training for managers and research technicians40 and researchers, advanced 
technicians and R&D advisers41, or again technology facilities for training and apprenticeship structures42. 
In addition to these measures, some programmes link the increase in training capacity to the strengthening of 
the ties between research, skills centres, higher and technical training establishments and businesses (ECU 
79.7 million in all; total cost: ECU 173.2 million)43. This approach is also found in other measures, such as 
the adaptation of job-seekers' skills to the labour market (Brittany: ECU 2.3 million (total cost: ECU 
5.2 million)), support for links between jobs and training (Brittany: ECU 2.1 million (total cost: ECU 
4 million); Picardy: ECU 15.5 million (total cost: ECU 31.5 million)). 
Objective 5(b): The 20 SPDs provide support for technology development in rural areas as part of the effort 
to strengthen the business and industrial fabric in those areas. Measures include support for new technologies 
(Upper Normandy, Auvergne and the upland areas of Languedoc-Roussillon), development of research 
(Upper Normandy, Languedoc-Roûssillon, Rhône-Alpes), introduction of new production processes (Upper 
Normandy), technology transfer (Languedoc-Roussillon, Limousin, Champagne-Ardenne, Loire Region), and 
training in innovation (Midi-Pyrénées) and research (Auvergne, Languedoc-Roussillon, Lorraine), and the 
encouragement of competitive know-how (e.g. Auvergne, Massif Central). RTD also plays a key role in the 
adaptation and diversification of agriculture and forestry (Auvergne, Brittany, Midi-Pyrénées). 
In all, financing for technology development in France accounts for 7% of Structural Fund appropriations 
(Objectives 1, 2 and 5(b)). 
Table V-23: France - Financing directly linked to technological development in programming 1994-99 
(ECU million) 
Objective 1 
Objective 2 
Ohiective 51 
TOTAL TOTAI. 
220,9 
812,7 
Hl.l 
1.174,7 _SL 
19% 
69% 
_____ 
100% Struct, Funfr 
104-5 
315,4 
31.3 
4513 __L 
47% 
39% 
22% 
_-S_i Pufrli. Private 
82,2 
355,8 
600 
J2L2. Member State 
34,2 
141,5 
49.8 
225.5 Total 
116.4 
497.3 
109.8 
723.5 53% 
61% 
78% 
JQSb. Financing by the Structural Funds 
4% 
NB: The programming procedures and different approaches taken by the Member States 
invite caution in interpreting these figures, in particular spending on information society projects. 
which arc often linked to other fields such as RTD and industry. 96% 
ORDT "Telematics 
35 Auvergne, Lower Normandy, Champagne-Ardenne, Loire Region, Picardy, Poitou-Charentes, Provence-
Alpes-Côte d'Azur; Nord/Pas-de-Calais, Poitou-Charentes. 
36 Midi-Pyrénées: ECU 0.5 million (total cost: ECU 1.5 million). 
37 Brittany: ECU 9.2 million (total cost: ECU 18.4 million); Picardy: ECU 1.3 million (total cost: ECU 2.6 
million). 
38 Brittany: ECU 0.8 million (total cost: ECU 1.8 million). 
39 Brittany: ECU 4.6 million (total cost: ECU 9 million). 
40 Centre: ECU 0.2 million (total cost: ECU 0.4 million). 
41 Nord/Pas-de-Calais: ECU 20.7 million (total cost: ECU 41.4 million). 
42 Nord/Pas-de-Calais: ECU 12.4 million (total cost: ECU 21.7 million). 
43 Nord/Pas-de-Calais, Auvergne, Alsace, Loire Region, Picardy, Upper Normandy, Franche-Comté. 
8th Annual Report on the Structural Funds (1996) 211 
OBJECTIVE 1 
Fie. V-25: Proerammine 1994-99 (ECU million): Avesnes-Douai-Valenciennes 
Priorities: 
Stimulation of economic activity (a) 
Research and development (b) 
Human resources (c) 
Regional regeneration (d) 
Technical assistance (e) 
Bv Fund: 
ERDF 
. ESF 
EAGGF 
Total 308,1 
82.4 
49.5 
440,0 
1SPD 70% 
19% 
11% 
100% (e) 0,5% 
(d) 38% 
(c)21% (a) 32% 
(b) 9% 
Fig. V-26: Proerammine 1994-99 (ECU million): Corsica 
Priorities: 
Reducing isolation (a) 
Agricultural and marine production (b) 
Universities, research (c) 
Tourist and cultural heritage (d) 
Environment (e) 
Economic development (f) 
Human resources (g) 
Technical assistance (h) 
Bv Fund: 
ERDF 
ESF 
EAGGF 
FIFG 
Total 
1SPD 149,4 
31,0 
64,3 
7,5 
252.9* 
•including ECU 0.7 million not yet programmed 59% 
12% 
25% 
3% 
100% (g)12% <»»1% 
(f)7% 
(e) 12% (a) 27% 
(d) 6% 
(c)5% (b) 30% 
Fie.V-27: Proerammine 1994-99 (ECU million): Overseas departments 
Priorities: 
Access, spatial balance (a) 
Environment and infrastructure (b) 
Production, competitiveness, industry. 
crafts (c) 
Human resources, social balance (d) 
Agriculture, rural development (e) 
Fisheries and aauacukure (T) 
Tourism (g) 
Technical assistance (h) 
Bv Fund: 
ERDF 
ESF 
EAGGF 
FIFG 
Total 
4 SPDs 
Avenge per SPP 743,3 
412,1 
320.3 
30,7 
_1_____4 49% 
27% 
21% 
2% 
100% 
-22___. (g) \% 
b) 20% 
(d)27% 
(c) 19% 
212 8th Annual Report on the Structural Funds (1996) 
Main features of 1996 
Implementation of the six SPDs adopted in July 1994 was relaunched in 1996. Four of those SPDs, 
Corsica, French Guiana, Guadeloupe and Martinique, were amended. The largest amendment 
concerned the SPD for Guadeloupe and took the form of reprogramming needed to repair the damage 
done by a number of cyclonic storms during the summer of 1995. Implementation of the programmes 
for the Antilles was seriously held up by these storms. In French Guiana, implementation of the 
current programmers delayed because the necessary resources must first be allocated to closing the 
programme for the first period. By contrast, the programme for Réunion is running smoothly and the 
three first instalments and the corresponding first advance payments are due to be committed and paid 
at the beginning of 1997. However, the programmes for the overseas departments have not yet really 
got underway in the fisheries sector. By the end of 1996 fewer than ten projects had been adopted. 
This is because aid for the construction of vessels has been suspended and it has been difficult to find 
private-sector projects for aquaculture and the processing and marketing of products. Several projects 
concerning facilities for fishing ports have been launched. In Corsica, the programme is making more 
satisfactory progress (26% of planned investments have been committed). 
With regard to the evaluation exercise, the Monitoring Committees had appointed all the teams of 
independent assessors by the end of 1996. 
1996 in the context of programming for 1994-99 
As expected, most of the SPDs got off to a siow start, particularly in Corsica, Guadeloupe, French 
Guiana and Martinique. Community commitments stood at about 31% for these four SPDs, with 
payments at around 22% of all the appropriations available for 1994-99. 
OBJECTIVE 2 7P *»44 
Fie. V-28: Proerammine 1994-96 (ECU million - 1996 prices and situation): 
Bv sector: 
Productive environment (a) 
Human resources (b) 
Land improvement and restoration (c) 
Environmental protection (d) 
Technical assistance (e) 
Bv Fund: 
ERDF 
ESF 
Total 1.339.5 
242.1 
_LSSL_. 
19 SPDs 
Average ner SPD 85% 
15% 
100% 
____2 (c) 18% (d)6%(e)1% 
(ayp% 
(b) 35% 
1996 in the context of programming for 1994-96 
The national and Community commitments for the 19 SPDs for 1994-96 were closed in close 
collaboration with the national and regional authorities. The Community appropriations initially 
available for 1994-96 amounted to ECU 1 763 million at 1994 prices (ECU 1 790 million after 
indexing). The SPDs were closed at a total of ECU 1 582 million, i.e. 88% of the initial allocation. 
Hence only four of the programmes (Alsace, Franche-Comté, Upper Normandy and Poitou-Charentes) 
were fully implemented. The remaining ECU 208.6 million not yet spent will be transferred to the 
new appropriations for 1997-99 for the same regions. 
44 Eligible areas: Alsace, Aquitaine. Auvergne, Lower Normandy, Brittany, Burgundy, Centre, Champagne-
Ardenne, Franche-Comté, Upper Normandy, Languedoc-Roussillon, Lorraine, Midi-Pyrénées, Nord/Pas-de-
Calais, Loire region. Picardy, Poitou-Charentes. Provence-Alpes-Côte d'Azur and Rhône-Alpes. 
8th Annual Report on the Structural Funds (1996) 213 
Among the measures part-financed by the Structural Funds and completed" in 1996, the following 
deserve to be mentioned: 
• in Provence-Alpes-Côte d'Azur, two industrial projects in the microprocessor sector, ATMEL 
(new factory, creation of 700 new jobs) and CGS Thomson (extension of a factory, creation of 250 
new jobs); 
• in Lower Normandy, creation of a skills centre for life industries at Cherbourg, including a 
specialised research and training centre, a technological innovation centre for the development of 
innovative products and a marine technology centre. This project led directly to the creation of 175-
jobs; 
• in Nord/Pas-de-Calais, the renovation programme for the districts of Capécure at Boulogne-sur-
Mer. The programme involved renovating an industrial area concerned with fisheries and sea food 
to bring it up to standard. The total investment is estimated at ECU 185 million over six years and 
includes the modernisation of businesses (to bring them up to the European standards), 
rehabilitation of industrial wasteland, infrastructure and port facilities. During 1994-96. the 
Structural Funds contributed ECU 21.5 million to the financing of a programme costing ECU 
118.5 million to convert industrial wasteland and port facilities. 140 firms were involved, with 
4 000 direct jobs and as many indirect ones; 
• in Upper Normandy, Community assistance in the Dieppe employment area, where unemployment 
is high, at 16%, led to the implementation of an integrated operation to redevelop and modernise 
the port (trade and cross-channel traffic), to connect it to the national and European road network 
and create the Eurochannel activity park (industrial estate, business incubator facilities, business 
hotel). The operation received ECU 13 million from the ERDF. Specialising in industrial activities 
and related services, Eurochannel has provided a home for 50 firms, some international (Toshiba) 
and others SMEs (plastics, sea food). Of the 7 000 jobs in the Dieppe employment area, almost 
1 000 were created by this operation; 
• in Aquitaine, the firm SERMA Technologies created at Pessac the first European centre for testing 
electronic components and the physical and electrical microanalysis of physical circuits with an 
investment of ECU 3.34 million. 42 new jobs were created in addition to the 23 people already 
employed by the company. This analysis, test and expertise centre has achieved scientific 
validation through the close collaboration it has developed with the university of Bordeaux I and 
the micro-electronics laboratory (IXL) linked to the CNRS (national centre for scientific research). 
The operation was carried out with ERDF assistance worth ECU 570 000, which acted as a 
catalyst enabling the firm to carry out its investments more rapidly and to recruit a much greater 
number of staff than that initially planned; 
• a second project in Aquitaine was implemented by the firm S.A. SERTA (Société d'études and de 
réalisations techniques d'Aquitaine), located at Saint Jean d'lllac, which has high level technology 
potential in a variety of fields: research offices, mass-production manufacture, sheet-metal work, 
paint, optical grinding and quality (ISO 9002 certification). The investment committed at the end 
of 1996 amounted to ECU 860 000 and concerned production facilities for high-speed machining 
and automated design and management. ERDF assistance accounted for 25% of the investment and 
helped create some 20 jobs. 
Preparation for the 1997-99 programming period 
At the end of 1996 the French authorities had sent the Commission 20 proposals for SPDS (19 
regional programmes and one national programme for technical assistance). 
214 8th Annual Report on the Structural Funds (1996) 
OBJECTIVES 3 AND 4 
Fie. V-29: Objective 3 - Proerammine 1994-99 (ECU million -1994 prices): 
Priorities 
Integration of those threatened with long-term 
unemployment (a) 
Vocational integration of young people seeking 
employment (b) 
Integration of those threatened with exclusion (c) 
Eaual opportunities for men and women (d) 
Technical assistance and nilot projects (ej 
Total ESF 
690,7 
976,6 
710.3 
18.0 
166.8 
________! 
1 SPD (9)7% 
(c) 28% (a) 27', 
(b) 37% 
The implementation rate for Objective 3 in 1995 was 71%45. The increase in the volume of funds 
consumed in 1995 clearly benefited those most threatened by unemployment. Most of those targeted 
by the measures implemented are aged under 25 (60%). In 1996, ECU 421.6 million of the initially 
planned annual instalment of ECU 478.9 million was committed, and the first and second advances 
were paid. The implementation rate for 1996 was 79%. At its meeting in November 1996 the 
Monitoring Committee proposed some reprogramming, mainly involving the replacement of certain 
measures in priority 1 (training with access to a job, return-to-work contracts, aid for unemployed 
who create or take over a business, retraining leave agreements) and priority 2 (partnership fund) with 
new measures. In financial terms, the reprogramming involved the transfer of some ECU 200 million 
from priority 1 to priority 3 (integration of those threatened with exclusion). Efforts were also made in 
1996 to correct and improve certain aspects of the management of several measures. 
Fie. V-30: Objective 4 - Proerammine 1994-96 (ECU million -1996prices): 
Priorities 
Pre-emptive measures relating to skills and Qualifications (a) 
Increase in the training effort (b) 
Improvements to training schemes (c) 
Technical assistance (.1 
Total 
1SPD ESF 
67.8 
501.2 
.31.1 
53.3 
653.4 (c) 5% (d) 8% (a) 11% 
(b)76% 
Projects under Objective 4, initiated in 1995, gathered steam in 1996. The number of projects rose 
from 533 at the end of 1995 (484 regional and 49 national) to 2 076 in 1996 (2 049 regional and 27 
national). In financial terms, about 58% of the 1996 instalment was implemented, as against about 
25% in 1995. 
Although, during 1995, the training priority was implemented almost exclusively, to the detriment of 
priorities 1 and 3, the number of projects for these two priorities increased sharply during the first half 
of 1996. Moreover, projects concerning more than one priority are beginning to appear. However, this 
diversification is less evident when looking at costs, since 91% of the regional budgets and 93% of 
national budgets are allocated to the training priority. Projects are fairly evenly spread across the 
different sectors and work forces. 73% of participants are employed by establishments with less than 
250 employees. While financing in 1995 was concentrated on the large firms in the automobile, 
electrical engineering and electronics industries, in 1996 a wider range of firms benefited, particularly 
at regional level. This is the result of the waning, in financial terms, of the large projects in the 
automobile industry (the proportion of the regional budgets allocated to firms with more than 1 000 
employees has shrunk from 35% to 20%, and that of the car industry from 33% to 22%). This relative 
dispersion does not seem to be having much effect on the breakdown by sex and by qualification of 
those benefiting from training measures: early information suggests a very slight increase, at regional 
45 By priority: vocational integration of the unemployed: 87%; vocational integration of young people: 74%; 
integration of those threatened with exclusion: 60%; equal opportunities: 70%; technical assistance: 16%; pilot 
projects: 19.5%. 
8th Annual Report on the Structural Funds (1996) 215 
level, of the number of women (from 20% to 24%) and an increase in the number of white-collar staff 
(from 16% to 26%) to the detriment of other qualifications. Despite these changes, there is little 
change in the characteristics of the projects themselves. 
OBJECTIVE 5(a) agriculture 
Table 24: proerammine 1994-99 (ECU million - 1994 prices): 
Total 
1.745,5 Measures 
Production 
Mprtgting 1.486,6 
2-5S.9 85% 
15% 
The three main measures to improve the efficiency of production structures are aid for the 
modernisation of farms, aid to young farmers and compensatory allowances. Investment aid for 
modernisation was paid to 9 213 farms in 1995 (number of approvals), i.e. up 24% on the year before, 
which itself was 27% up on 1994. This second year of growth confirms the upward trend in the 
number of commitments which started in 1993. Where young farmers are concerned, 8 435 start-up 
dossiers were approved in 1995, i.e. a 6.2% increase on 1994. After a sharp fall in 1992 and no 
change in the number of start-ups since, this new increase suggests a fresh surge in start-up aid, which 
is seen as a priority in France. Lastly, concerning compensatory allowances, which are granted to 
some 140 000 holdings each year, the amount of the premiums granted for suckler cows and sheep 
was increased in 1995/96 to take account of the structurally low income of stock farmers. Despite 
increased participation by farmers in the measures described above, expenditure during 1995 was 
lower than expected. 
The SPDs to assist the processing and marketing of agricultural and forestry products were drawn up 
in 1994 and the decentralised implementing structures were set up in 1995. Community assistance 
was finally applied fully in 1996, when an agreement was reached to grant aid in the wine sector for 
investments to improve quality. Community assistance for these measures for 1994-99 amounts to 
ECU 259 million. At the end of 1996, the French authorities had cornmitted ECU 163 million of that 
amount, corresponding to ECU 862 million of investments in the approved projects. More than 50% 
of Community assistance was granted to investments in the meat, fruit and vegetables sectors. 
OBJECTIVE 5(a) fisheries 
Fie. V-31: Obiective 5(a) fisheries - Proerammine 1994-99 (ECU million): 
Adjustment of fishing effort (a) 
Other fishing fleet measures (b) 
Modernisation and renovation of the fishing fleet (c) 
Aauaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (e) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures (Y\ 
Total FIFG 
16.2 
27,0 
20,3 
33,7 
0,0 
8.1 
54,8 
5.0 
pm 
______ 
189.9 (1)0% 
0)13% (a)9% 
(h) 3%^^ "______/ 0>)14% 
(g)28% (c)11% 
(f)4% (1)18% 
Although the multiannual programme for the fishing fleet provided for a halt to state aid for renewal 
of the French fishing fleet, the commitment of funds under the SPD, implementation of which did not 
commence until 1995, is progressing satisfactorily. However, there is room for improvement in the 
payments to final beneficiaries (ECU 29.2 million, or 15% of the Community allocation). The SPD 
was amended so that ECU 7 million of surplus appropriations from the "Guarantee fund" measure 
could be used for campaigns to promote fishery products and measures to improve product quality. 
216 8th Annual Report on the Structural Funds (1996) 
OBJECTIVE 5(b)46 
Fie. V-32: Obiective S(b) - Proerammine 1994-99: 
Population ('000s) 
Area (kw?\ 9.759 
ECU miliicn 
By Fund 
EAGGF 
ERDF 
ESF 
Iota. 1.008.4 
943.2 
294.2 
________ 45% 
42% 
13% 
100% 
20 SPDs 
Average per ______ 112.3 (a) 14% 
(c)33% 
(b)51% D Agricultural 
diversification (a) 
• Economic development 
(b) 
•Attractiveness of rural 
areas 
•Technical assistance 
Following the setting up of the SPDs in 1995, implementation reached a satisfactory cruising speed in 
most of the French regions in 1996. The Commission committed 32% of the Community 
appropriations planned for the entire period, although this amount is still insufficient to make up the 
delays from 1994 and 1995. 72% of these appropriations have been paid, demonstrating a sound 
ability to implement operations in the field. The Monitoring Cornmittees met in each of the 18 regions 
concerned, holding a total of 35 meetings, including those of the inter-regional Monitoring 
Committees set up for the two "massif SPDs (Massif central and Massif des Pyrénées). During these 
meetings the harmonised monitoring arrangements were set up. Special attention was paid to mid­
term assessment that the data needed to adjust the SPDs would be available for 1997. The 
Commission steered the work of the Cornmittees to monitor the development priorities laid down for 
each region. To that end, it worked in partnership with the regional and national authorities to 
standardise and harmonise the financial and physical data forwarded to the Monitoring Committees. 
Alongside the progress of the programmes, specific presentations were given of priority aspects such 
as employment, the quality of agricultural products and measures for job-creating small firms and 
industries. 
46 Eligible areas: Alsace, Aquitaine, Auvergne, Lower Normandy, Burgundy, Brittany, Centre, Champagne-
Ardenne, Franche-Comté, Upper Normandy, Languedoc-Roussillon, Limousin, Lorraine, Midi-Pyrénées, 
Loire region, Poitou-Charentes, Provence-Alpes-Côte d'Azur and Rhône-Alpes. 
8th Annual Report on the Structural Funds (1996) 217 
Table V-25: France - Assistance by Objective -1996 in the context of programming for 1994-96/99 (ECU 
million) 
Programmes 
(year of adoption) Total volume S.F 
(1) Commitment! 
1996 Commi tments 
1994-96 
(2) % 
(2V(1) Payments 1 Payments 
1996 1994-96 
1 (3) % 
(3V(1) 
Objective 1 
SPD Avesnes-Douai-Valenciennes (1994) 
SPD Conica (1994) 
SPD Guadeloupe (1994) 
SPD French Guiana (1994) 
SPD Maninique (1994) 
SPD Réunion (1994) 
Technical as s is tance 
Total 1.339.6 
684,6 
8313 
309.5 
660,4 
1.267,2 
0.3 
5.093,8 440.C 
252,9 
351.9 
164.9 
329.8 
659.7 
0,1 
2.199,4 113.5 
29.5 
12,5 
24,2 
40,8 
76,4 
0.1 
297,0 183.4 
78.C 
113.1 
51.0 
98.4 
270,6 
0.1 
794,6 42% 
31% 
32% 
31% 
30% 
41% 
105% 
- 36% 65.2 
33.0 
213 
20.5 
211 
88.0 
0.1 
251,2 105.2 
60.4 
78.3 
373 
60.6 
195,8 
0.1 
537,9 24% 
24% 
22% 
23% 
18% 
30% 
102% 
24% 
Objective 2* 
SPD Alsace (1994) 
SPD Aquitaine (1994) 
SPD Auvergne (1994) 
SPD Lower Normandy (1994) 
SPD Burgundy (1994) 
SPD Brittany (1994) 
SPD Centre (1994) 
SPD Oiampagne'Ardenne (1994) 
SPD Franche-Corwé (1994) 
SPD Upper Normandy (1994) 
SPD Languedoc-Roussillon (1994) 
SPD Lorraine (1994) 
SPD Midi-Pyrénées (1994) 
SPD Nord/Pas-de-Calais (1994) 
SPD Loire Region (1994) 
SPD Picardy (1994) 
SPD Poitou-Charentes (1994) 
SPD Provence-Alpes-Côte d'Azur (1994) 
SPD Rhône-Alpes (1994) 
Total 47.3 
3714 
109.5 
155.9 
122,4 
228.9 
128.4 
245.1 
117.4 
428,8 
232.8 
212.6 
151.1 
925.0 
362.3 
479.0 
130.5 
264.7 
220.7 
4.934,6 19,9 
100.2 
52,9 
49.3 
36.5 
82.9 
16.3 
55,7 
48.5 
149.0 
56.1 
98.1 
41,4 
303.0 
130.2 
12Z4 
54.1 
99,4 
65.8 
1.581,6 0,3 
62,3 
13.0 
10,4 
8,0 
54,4 
-6.3 
25,7 
3U 
45,2 
13,8 
20.9 
14,2 
188.9 
43.2 
45,9 
20,0 
29,0 
35.7 
*65S,8 19.9 
100.2 
51,6 
45.9 
37,6 
819 
17.9 
50,4 
48,5 
136,8 
56,1 
101.3 
41.4 
3019 
128.4 
1214 
54,1 
94,6 
67,4 100% 
100% 
98% 
93% 
103% 
100% 
110% 
90% 
100% 
92% 
100% 
103% 
100% 
100% 
99% 
100% 
100% 
95% 
102% 
1.560J. j 99% 6.1 
63,7 
3,7 
6.6 
16.0 
312 
1,1 
24.2 
24.9 
64.3 
17,1 
273 
113 
39.9 
36.0 
116 
15.2 
9,8 
0.0 
412,2 15,9 
833 
29,0 
28,0 
13.9 
463 
13.2 
36,6 
33.6 
106,0 
34.0 
63,0 
20,2 
1016 
63,0 
615 
30.4 
27,8 
15.8 
835,5 80% 
83% 
55% 
57% 
65% 
56% 
81% 
66% 
69% 
71% 
61% 
64% 
49% 
34% 
48% 
51% 
56% 
28% 
24% 
53% 
Objective 3 
SPD France (1994) | 5.443.4| 15614| 421.6) 1.200.0| 47%| 402.91 906.6J 35% 
Objective 4 
SPD France (1994) | 1.820.11 653.4| 91,7| 187,l| 29%| 49.61 97.31 15% 
Objective 5(a) agriculture 
SPD France Regs. 866 and 867/90 (1995) 
Forecasts France Reg. 2328/91 (1994) 
Total 1.404.5 
4.595,4 
5.999,9 258,9 
1.486.6 
1.745,5 45.9 
174.8 
220,7 81.0 
657.6 
738,6 31% 
44% 
42% 28,6 
178.3 
206,9 46,1 
4019 
449,0 18% 
27% 
26% 
Objective 5(a) fisheries 
SPD France (1994) | 843.0| 189.9| 0.0| 63.3| 33%| 0.0| 41,11 22% 
Objective 5(b) 
SPD Alsace (1994) 
SPD Aquitaine (1994) 
SPD Auvergne (1994) 
SPD Lower Normandy (1994) 
SPD Burgundy (1994) 
SPD Brittany (1994) 
SPD Centre (1994) 
SPD Champagne-Ardenne (1994) 
SPD Franche-Comté (1994) 
SPD Upper Normandy (1994) 
SPD Languedoc-Roussilton (1994) 
SPD Limousin (1994) 
SPD Lorraine (1994) 
SPD Midi-Pyrénées (1994) 
SPDLoire Region (1994) 
SPD Poitou-Charentes (1994) 
SPD Provence-Alpes-Côte d'Azur (1994) 
SPD Rhône-Alpes (1994) 
SPD Massif Central (1995) 
SPD Massif des Pyrénées (1995) 
Total 
TOTAL 169,1 
782.6 
724,7 
433,4 
407.6 
510.6 
259.7 
100,1 
439.8 
319 
344,3 
560,8 
304.6 
849.9 
334.2 
450,8 
288.0 
849,9 
27,4 
17.8 
7.888,2 
32.023.0 48,8 
229,9 
164,7 
1333 
11Z7 
186.3 
84.1 
29.3 
78,1 
11.2 
119.9 
128.0 
96.8 
283.1 
122,0 
130,1 
95.0 
171.2 
12,7 
8.6 
2.245,8 
11.177.9 11.5 
49,7 
17,7 
11.9 
19,7 
33.0 
17.0 
15 
17.3 
1.2 
15.6 
21.9 
20.9 
38,8 
14 
21,7 
11.1 
20.9 
1.3 
0.0 
J35.9 
2.022.6 183 
84,1 
615 
43,4 
49,4 
59.2 
211 
6,6 
31.2 
13 
27.3 
53.9 
31.1 
717 
30,2 
415 
13.1 
45,8 
14 
1,1 
709,1 
5.252.8 37% 
37% 
38% 
33% 
44% 
32% 
26% 
22% 
40% 
20% 
23% 
42% 
32% 
26% 
25% 
33% 
24% 
27% 
19% 
13% 
32% 
47% 7.3 
323 
19.9 
14.9 
16,8 
31.8 
9,2 
3.7 
8,1 
0.3 
16.1 
24,7 
15.5 
39.6 
112 
193 
10,4 
17.0 
0.8 
0.0 
300,2 
1.623.0 10.6 
513 
483 
310 
30.9 
48.0 
11.7 
5,8 
16,4 
0,8 
210 
46.1 
21.2 
57.8 
24,0 
30,6 
18,2 
30.2 
13 
03 
508,1 
3375.6 22% 
22% 
29% 
24% 
27% 
26% 
14% 
20% 
21% 
7% 
18% 
36% 
22% 
20% 
20% 
24% 
19% 
18% 
10% 
6% 
23% 
30% 
After deduction of transfers to 1997-99 

218 8th Annual Report on the Structural Funds (1996) 
6.2. Implementation of the Community Initiatives in 1996 
Note: 
France is participating in all the Community Initiatives, which are being implemented in 85 programmes, 
including 15 for Interreg, all regionalised except for five (Employment, Adapt, Retex, SMEs for Objectives 2 
and 5(b) and Pesca). The Commission had adopted 52 programmes in 1994 and 1995 (47 at national level): 
one for Employment, five for Interreg, six for Rechar II, five for Résider, the amendment of the Retex 
programme, three programmes for SMEs, one for Regis, all the Konver programmes, the Pesca programme, 
the Adapt programme and eleven programmes for Leader. The 33 remaining programmes were adopted in 
1996: three for Regis, one for Rechar, two for Résider, eight for Urban, nine for Leader and ten for Interreg. 
Support for the development of technological potential in France: 
The SMEs Initiative gives a key role to new technologies and innovation in strengthening the competitiveness 
of firms in areas eligible under Objectives I, 2 and 5(b). In Corsica, SMEs is helping to improve the 
production system and create innovative firms as well as to develop new forms of cooperation between firms 
to facilitate access to new markets, and cooperation between firms and research and technology transfer 
centres. It also aims to improve communications and information systems and develop tele-commuting. In 
Nord/Pas-de-Calais, the initiative gives priority to improving the technological environment of SMEs, 
particularly those up- and downstream of industrial firms (ECU 1.5 million; total cost: ECU 6 million). In the 
Objective 2 and 5(b) areas, the programme aims to set up new procedures and disseminate know-how. In this 
connection it is promoting the creation of a 'counter-guarantee fund' for SMEs implementing partnership or 
innovative projects and the creation of European partnerships and collective modernisation and innovation 
projects (between 70 and 100) as an extension of the Stride programme. 
The Interreg programmes also attribute great importance to RTD (ECU 20.6 million; total cost: ECU 
42.4 million), communications (ECU 4.4 million; total cost: ECU 9.4 million) and data-transmission 
applications (ECU 4.4 million; total cost: ECU 9.1 million): 
• France-United Kingdom: the CIP for East Sussex-Upper Normandy-Picardy supports cooperation 
between research and technology transfer centres for the benefit of SMEs and aims to stimulate 
communication and the sharing of knowledge through joint databases, bilingual documentation 
sources and the use of new communications technologies (ECU 3.2 million; total cos: ECU 6.5 
million); the programme for Nord/Pas-de-Calais - Kent also aims to strengthen communications 
and support technology development (ECU 8.5 million; total cost: ECU 18.2 million); 
• France-Italy: the programme for Corsica-Tuscany gives priority to encouraging technology 
transfer in order to stimulate cooperation between firms and research and innovation centres; the 
programme for the Alps encourages firms to cooperate in the field of research. 
Under Regis, ECU 7.1 million (total cost: ECU 14.4 million) are allocated to advanced communications and 
ECU 13.9 million (total cost: ECU 38.6 million) to RTD. 
In the context of the industrial conversion Initiatives, the programmes for Konver aim to strengthen 
technology potential (e.g. Ile-de-France: ECU 0.5 million; total cost: ECU 4.9 million) through research and 
technology transfer to SMEs and industries which can play a decisive role in economic diversification (e.g. 
Limousin: ECU 1.8 million (total cost: ECU 4.6 million), Midi-Pyrénées: ECU 1 million (total cost: ECU 2.5 
million), Aquitaine, Auvergne, Brittany, Poitou-Charentes) and to develop innovative measures in firms (e.g. 
Brittany, Languedoc-Roussillon). Under the Résider programmes the emphasis is on networking. In Picardy 
ECU 0.5 million (total cost: ECU 1.5 million) is allocated to the development of technology networks in the 
rehabilitated areas, while in Nord/Pas-de-Calais, the programme encourages cooperation between skills 
centres and firms by means of information highways and the use of communications technology by small 
firms. In Lower Normandy, an electronic information management network will be set up between firms and 
the University of Caen. The programmes for Rechar also stress the importance of cooperation, with the 
programme for Nord/Pas-de-Calais, for example, encouraging cooperation between skills centres and firms 
based on new technologies. 
Regarding the Initiatives concerned with human resources, the Adapt programme allocates part of its 
resources to the design and implementation of flexible training schemes based on the use of new technologies 
and distance education (ECU 12 million; total cost: ECU 24 million), alongside the creation of new activities 
or the introduction of new technologies and studies on the impact of new technologies on human resources. 
Employment provides, in the context of the Horizon Initiative, for the development of human resources in 
new technologies, tele-commuting and the creation of the infrastructure necessary for tele-commuting and 
distance learning (ECU 14.1 million; total cost: ECU 36.1 million). 
Lastly, most of the Leader programmes provide for the promotion of research, innovation and new 
technologies in the process of developing and creating local products, and the use of new information and 
communication technologies in rural society (e.g. tele-commuting, distance education and training, tele-
centres, etc.), including assistance for the purchase of equipment and development of networks. . 
8th Annual Report on the Structural Funds (1996) 219 
Many programmes were adopted in 1996: 23 regional programmes and the last ten Interreg 
programmes: three with Belgium (Wallonia-Champagne-Ardenne, Flanders-Nord/Pas-de-Calais, 
Wallonia-Nord/Pas-de-Calais), one with Belgium and Luxembourg (Wallonia-Lorraine-Luxembourg), 
one with Spain, three with Italy (Corsica-Tuscany, Corsica-Sardinia, Alps) and two with the United 
Kingdom (East Sussex-Upper Normandy-Picardy, Kent-Nord/Pas-de-Calais). Under the programme 
between France and Spain, geographical cross-border groups consisting of partners from both sides of 
the border have been set up to plan the joint measures provided for in the programme. The regional 
programmes adopted in 1996 include one Rechar programme (Nord/Pas-de-Calais) and two Résider 
programmes (Nord/Pas-de-Calais and Lower Normandy). They also include eight Urban programmes, 
which offer many lessons for future programmes, since they seek to integrate unemployed inhabitants 
through economic activity in problem-ridden urban districts in eight large French cities. Three of the 
four Regis programmes were also adopted in 1996. These concern the remotest regions and cover all 
the Community Initiatives including Leader. Their implementation got off to a slow start, on the one 
hand because of the need to close the programmes from 1989-93 and, on the other hand, because of 
bad weather in the Antilles. The last nine Leader programmes were also adopted in 1996. The local 
action groups for the whole Initiative were selected in most regions by tendering procedure 
administered at prefecture level. 14 regions made an initial selection of a total of 87 local action 
groups, enabling the first programmes to get underway in the second half of 1996. 
Following the first call for projects under Employment, around 500 projects were selected (157 for 
Now, 261 for Horizon and 83 for Youthstart). Most of the projects take the approach of creating 
activities and integration pathways and include a number of innovative practices: in the case of 
training programmes, these practices include inter-institutional and multi-disciplinary work, the means 
and tools used to improve the integration pathways (therapeutic listening, creativity workshops, 
theatre, video, writing workshops, cultural visite), enhancing the expertise of field-workers, 
overhauling teaching methods and practices, deepening relationships with firms and coordinating with 
local development. Practices worth mentioning in connection with the creation of activities include 
tools to facilitate the creation of activities, financing tools, the inclusion of social clauses in public 
procurement contracts, involvement of inhabitants and local authorities in promising new markets and 
new working methods, particularly tele-commuting. In the context of improving training schemes, 
new vocational profiles have been defined, with the observatories acting to stimulate innovation in 
existing local schemes, training trainers/educators and the different categories of social workers. 
270 projects were selected under Adapt, with a high level of participation among small firms (on 
average almost 100 per project), which correspond to one of the situations targeted (improving the 
skills of employees in SMEs to take account of changes in technology and markets, quality measures 
tailored to SMEs, support for a human resources management culture in SMEs, networks for 
cooperation between SMEs) The other noteworthy feature of the projects concerns the general 
phenomenon of the development, transformation or emergence of new skills, giving priority to 
technological developments, particularly those linked with the information society. 
The Monitoring Committees of the 33 programmes approved by the Commission in the second half of 
1995 also held their first meetings in 1996 (six of the seven Rechar programmes; five of the seven 
Résider programmes; the three SMEs programmes; the Regis programme for Réunion; the 13 Konver 
programmes and five of the 15 Interreg programmes) The selection of projects for Pesca at regional 
level did not begin until the end of 1995 or even early 1996 and information on the progress of the 
programme is not yet available. 
Lastly, the decision to distribute the Community Initiatives reserve will bring an additional ECU 
187.7 million to France. This amount has been spread over all the Initiatives except SMEs and Regis, 
but the lion's share will go to Employment. Leader, Urban and Adapt47. 
41 See also Chapter I.B.I. Community Initiatives. 
220 8th Annual Report on the Structural Funds (1996) 
Table V-26: France - Community Initiatives - 1996 in the context of programming for 1994-99 (ECU 
million) 
Initiative 
(Number of programmes) Total S.F.' 
-01 Commitments) Commitments! 
1996 1994-96 
________ .avm Pavments 
1996 Pavments 
1994-96 
£2. _______ 
Adapt (1) 
Employment ( 1 ) 
Leader (20) 
Pesca (1) 
SMEs (3) 
Rechar (7) 
Regis (4) 
Konver (17) 
Résider CI) 
Retex (1) 
Urban (8) 
Total (70) 
Interres/Reeen (15)** 6223 
385.1 
477.1 
81.3 
139.2 
78.7 
504.1 
244.1 
173.2 
79.3 
152,7 
2.937.4 249,7 
146.5 
190.0 
28.3 
58.5 
33.5 
266.1 
71,0 
62.1 
28.9 
55.7 
1.190.4 0.0 
27.3 
92.7 
9.5 
0,4 
17.9 
52.2 
6.3 
23.5 
0.0 
53.8 
2833 46.9 
49.6 
188.3 
28.3 
15.8 
33.3 
60.9 
70,7 
62.1 
7.0 
53.8 
616.8 19% 
34% 
99% 
100% 
27% 
99% 
23% 
100% 
100% 
24% 
96% 
52% 0,0 
15.6 
45.6 
8.5 
0.2 
14.9 
20,4 
3,1 
11,7 
0,0 
17.1 
137_2 23,5 
26.7 
61,1 
83 
4,8 
16,7 
24.8 
35,1 
29,3 
3.4 
17.1 
251,1 9% 
18% 
32% 
30% 
8% 
50% 
9% 
49% 
47% 
12% 
31% 
21% 
Programmes adopted in 1996: 
Leader Douai. Valenciennes 
Leader Centre 
Leader Upper Normandy 
Leader Lorraine 
Leader Midi-Pvrénées 
Leader Loire Region 
Leader Rhône-Alpes 
Leader ChamoaEne-Ardenne 
Leader Alsace 
Rechar Nord/Pas-de-Calais 
Regis French Guiana 
Regis Guadeloupe 
Regis Maniniaue 
Résider Lower Normandy 
Résider Nord/Pas-de-Calais 
Urban Alsace (Mulhouse) 
Urban Ile-de-France (Les Mureaux) 
Urban Ile-de-France (Aulnav-sous-Bois) 
Urban Rhône-Alpes (Lvon-Est) 
Urban Nord/Pas de Calais (Valenciennes) 
Urban PACA (Marseille) 
Urban Nord/Pas-de-Calais (Roubaix-
Tourcoing) 
Urban Picardie (Amiens) 
Total (23) 
Interr-ee {10**** 4.5 
15.1 
1.8 
16.0 
583 
18.8 
28.1 
6.9 
8.4 
39.3 
47.3 
123.9 
123.8 
21.7 
45.7 
20.9 
17.0 
22.8 
26.6 
9.7 
17.6 
17.6 
20.5 
712,6 2.0 
6.4 
0.8 
7.4 
22.0 
93 
13.2 
2.2 
3.7 
16.9 
28.4 
613 
60.8 
5.1 
14.4 
7.0 
7.0 
8.9 
7.0 
4.9 
7.0 
7.0 
7.0 
309,7 0.8 
6.4 
0.8 
7.4 
22.0 
9.3 
13.2 
2.2 
3.2 
16.9 
28.4 
8.0 
8.3 
5.1 
14.4 
7.0 
7.0 
8.9 
7.0 
4.5 
7.0 
5,4 
7.0 
200,2 0.8 
6.4 
0.8 
7.4 
22.0 
9.3 
13.2 
2.2 
3.2 
16.9 
28.4 
8.0 
8.3 
5.1 
14.4 
7.0 
7.0 
8.9 
7.0 
4.5 
7.0 
5,4 
7.0 
200,2 39% 
100% 
100% 
100% 
10O 
100' 
100% 
100% 
88% 
100% 
100% 
13% 
14% 
100% 
100% 
100% 
100% 
100% 
100% 
92% 
100% 
77% 
100% 
65% 0.2 
1.9 
0.2 
3.2 
6.6 
4.6 
3.9 
0.7 
1.6 
8.4 
83 
4.0 
4.1 
2.6 
7.2 
2.1 
2.1 
2.7 
2.2 
2.2 
2.1 
1.6 
2.1 
75.1 0.2 
1.9 
0.2 
3.2 
6.6 
4.6 
3.9 
0.7 
1.6 
8.4 
83 
4.0 
4.1 
2.6 
7.2 
2.1 
2.1 
2.7 
2.2 
2.2 
2.1 
1,6 
2.1 
75.1 12% 
30% 
30% 
43% 
30% 
50% 
30% 
30% 
44% 
50% 
30% 
7% 
7% 
50% 
50% 
30% 
30% 
30% 
32% 
46% 
30% 
23% 
30% 
24 
* Excluding reserve 
** For programme details see Chapter VII. 
*" For programme details see Chapter I.B Table 2.2. 
.1. Community Initiatives 
8th Annual Report on the Structural Funds (1996) 221 
7. IRELAND 
7.1. Implementation of assistance by Obiective in 1996 
Aid for developing technological potential in Ireland : 
Through the priorities for the productive sector, economic infrastructure and hufnan resources, the CSF 
promotes technological development to resolve unemployment, weaknesses in local industry and the country's 
peripheral location. 
The productive sector priority sees R&D as important for making industry internationally competitive. The 
aim is to increase expenditure on R&D to 2.12% of GDP in 1999. In the 'Industrial development' OP, which 
is a prolongation of the 'Industrial development' OP for the period 1989-93, R&D measures qualify for ECU 
269 million (total cost ECU 499 million) and encourage the use of technology in business through aid for 
infrastructure, investment and training. Business investment measures promote technology transfer. They aim 
to increase business expenditure on R&D from 0.65% of GDP to 0.82% in 1999. Outside the industrial sector 
R&D is aided to modernise agriculture, explore and exploit natural marine resources and protect the 
environment. The 'Environmental Services' OP includes ECU 3.1 million (total cost: ECU 6.3 million) for 
monitoring environmental research into sustainable development, clean technology and industrial waste 
reduction. 
The R&D strategy is further strengthened by a 'Human resources' priority to improve access to and the 
quality of education and training in science and technology while developing human potential in these fields 
through specific training courses in the technical colleges and universities. The ESF will aid highly qualified 
researchers involved in industrial R&D projects, technology management programmes for qualified staff in 
research centres and industry, and training and educational programmes in advanced research and the 
application of new technology. 
Aid for telecommunications as one of the sectors in the strategy to modernise the economic infrastructure is 
also noteworthy. CSF investment on this is 65% greater than in the first programming period. Such an 
increase is needed, not because the network needs modernising - it is already one of the most advanced and 
reliable in the Union in terms of digitisation (70%), speed of repairs and the wait for new connections - but 
because the adverse effects of the country's peripheral location on its industrial strategy need to be reduced. 
The CSF aims to complete the digitisation of the network, install the entire C7 signals system and an SDH 
network. The telecommunications subprogramme of the 'Economic infrastructure ' OP is implementing this 
objective (ECU 32 million - total cost ECU 68 million). Considerable work will be done on connections, 
transmission (using fibre optics) and mobile services (introduction of GSM). 
Total funding on technological development amounts to 6.4% of the Structural Funds appropriations in the 
Irish CSF. 
Table V-27: Ireland - Financing directly linked to technological development in 1994-99 (ECU million) 
Financing by the Structural Funds 
9°/ 
91« Qbiect.Y-l TOTAL 
S96.4 % 
100% Struct. Funds 
?«.7 % 
Gift Member State 
Public. 
102,4 Private 
132.4 Total 
2?4,7 % 
??7f 
NB: In view of the progamming procedures and different approaches taken by the Member States, 
caution is required in imepreung these figures;, in particular spending on information society 
projects which arc often linked u> other fields such as RTD and industry DR&D •Telecomms. 
222 
OBJECTIVE 1 
Fie.V-33: Proerammine 1994-99 (ECUmillion. 1994 yrices): 
By Priority: 
Productive sector (a) 
Economie Infrastructure (b) 
Human resources (c) 
Local development (d) 
Technical assistance (e) 
By Fund: 
ERDF 
ESF 
EAGGF 
FIFG 
Total 
I CSF 110 OPs 11 MP 
Average per OP 
Main achievements in 1996 2.562,0 
1.953,0 
1.058,0 
47,0 
5.620.0 2.184.0 
1.113,0 
2.113,0 
200.0 
10-0 
45% 
35% 
19% 
1% 
100% 
_£_____ 8th Annual Report on the Structural Funds (1996) 
(d) 4% (e) 0% 
(c) 38% (a) 38% 
(b) 20% 
The Irish economy continues to have a growth rate in excess of the Community average, and this is in 
part thanks to aid from the Structural Funds. Implementation of the various programmes has 
progressed normally. The Technical assistance' OP was approved by the Commission in July 1996, 
which means that all the OPs have now been adopted. Most of the programmes have also been 
adjusted to take account of the deflator for 1995 and 1996 and to reprogramme expenditure. Thus, 
taking programmes in receipt of EAGGF funding as an example, the 'Agriculture and rural 
development' OP, approved in 1994, is now fully operational with the exception of two minor 
operations; the 'Development of the food industry' subprogramme of the Industry OP has been 
amended to take account of its slow pace in the early years and the 'Local development' OP, which 
includes village renewal measures, is in line with expenditure forecasts. Great progress has been 
achieved under the Fisheries OP (reprogramming was needed to bring forward cornmitments from 
1997). While the scheme introduced in 1995 to reduce the fishing fleet progressed little in 1996 and 
there has been a delay in implementing aquaculture legislation, 350 jobs were nonetheless created in 
aquaculture and there is a surplus of good projects in the area of fleet modernisation and fishery 
products processing. A research vessel was built with an ERDF contribution, recommendations on 
safety at sea were published and an major campaign was launched to promote sea food. 
A special CSF information unit was set up in 1996 to coordinate information on the CSF in Ireland 
and to improve its quality. In addition, agreement was reached on the light rail system for Dublin 
(LUAS) under the Transport OP. 
The preparations for ongoing assessment of the CSF and the OPs were started by approving the terms 
of reference and appointing evaluators. An evaluation of the aid's regional impact has also been 
commissioned, while a draft report has already been produced by the independent consultants 
evaluating the Fisheries OP. 
1996 in the context of programming for 1994-99 
Progress on the CSF is substantial. The amounts actually spent are in line with the forecasts for the 
first three years. Total ERDF payments for the first three years amount to ECU 904.5 million, 67% of 
the commitments. ESF commitments for 1996 amount to ECU 321.2 million out of a total of 
ECU 322.9 million provided for the year. Total payments for the three years amount to 
ECU 846 million, of which ECU 715 million has been spent on the 'Human resources' OP. The total 
number of FTFG projects approved represent 53% of the Community aid provided for the period 
1994-99; the final beneficiaries have spent 31% of the Community aid, 22% of which has already 
been paid to them. 
8th Annual Report on the Structural Funds (1996) 223 
Table V-28: Ireland - Assistance by Objective -1996 in the context of the 1994-99 programming 
period (ECU million) 
Programmes 
(year of adoption) Total cost S.F. 
assistance 
(1) Commitments 
1996 Commitments 
1994-96 
121 J2__1L Payments 
1996 Payments 
1994-96 
(?)/(]) 
Obiective 1 
Technical Assisistance (1996) 
Tallaght Hospital project 
Agriculture, rural development (1994) 
Local development ( 1994) 
Industry (1994) 
Economic infrastructure (1994) 
Fisheries (1994) 
Human resources (1994) 
Environmental services (1994) 
Tourism (1994) 
Transport (1994) 
Technical assistance 12.6 
131,3 
1.816.6 
434.5 
1.872,6 
319.6 
179,6 
4.033.1 
125.6 
816.9 
1.426,6 
£__ 9.5 
39.4 
933.1 
262.6 
1.043.3 
108,0 
79.1 
1.755,4 
78,0 
462.6 
900.8 
0__ 9,5 
0,0 
207.4 
71.2 
307.3 
15.4 
9.2 
313.1 
10.0 
74.9 
163.2 
_____ 9,5 
39.4 
506.7 
126,0 
56S.4 
27,3 
29,'' 
855.0 
34,0 
168,9 
496.3 
____. 100% 
100% 
54% 
48% 
54% 
25% 
38% 
49% 
44% 
37% 
55% 
100% 2.* 
0.0 
228,9 
41,4 
167.2 
12.7 
9.2 
278.7 
11.5 
72.7 
75,5 
_J__> 2.8 
31,5 
491.9 
74.1 
363,3 
22,2 
23.9 
760,3 
30,7 
149,9 
319,8 30% 
80% 
53% 
28% 
35% 
21% 
30% 
43% 
39% 
32% 
35% 
?% 
TOTAI 11-169.2 ____2___ 1-181-3 ________ _____ 900.8 2.Z70.4 40% 
7.2. Implementation of the Community Initiatives in 1996 
Note: 
All the CIPs for Ireland, except for Urban, were approved in 1994 and 1995. Ireland is not taking part in the 
Rechar, Résider, Konver or Regis Initiatives. The Urban programme was approved in 1996. 
Support for the development oftechnological potential in Ireland: 
Most of the Community Initiative programmes include aid measures for technological development, but the 
most substantial amounts are provided by the SMEs and Interreg programmes. The SMEs programme helps 
enterprises to enter markets through the creation of data bases and projects to develop new electronic 
services (ECU 4.7 million; total cost ECU 9.7 million). One of the Interreg programmes focuses on 
developing data transmission applications between Ireland and Wales to improve information systems 
covering transport and protection of the marine and coastal environment. The programme also aids 
innovative technology as part of cultural, tourism and economic cooperation. The programme between 
Ireland and Northern Ireland made expansion of the digital telecommunications network a priority, together 
with aid for technological innovation as a necessary tool for managing the programme and achieving its 
objectives. The programme also provides for a number of R&D measures to improve research capacity and 
infrastructure in cross-border centres. 
The Leader programme includes measures to encourage access to innovative technology through telecentres, 
improve enterprises ' and local services ' R&D capabilities and services (ECU 200 000; total cost ECU 600 
000), improve data transmission applications (ECU 900 000, total cost ECU 2.2 million) through training in 
new information technologies, the introduction of computerised reservations systems and telemarketing for 
tourism, aid for technology transfers and teleworking to create small enterprises and local services, and 
cross-border operations using innovative technology (teleconferencing, trade, etc.) 
Lastly, the Adapt programme devotes 7% of its appropriations to closer linking between SMEs and research 
centres so that the centres' activities might be geared better to the needs of industry (ECU 1.4 million; total 
cost ECU 2.1 million) and, based on the results of some previous projects, the Employment Initiative 
provides distance learning for the handicapped through the use of data communications (ECU 1.3 million; 
total cost ECU 5 million). 
The last Community Initiative programme to be approved, Urban, was adopted in July 1996. The 
programme, with a budget of ECU 15.8 million equally divided between the ERDF and the ESF, 
involves three urban areas, two in Dublin (Dublin Northside-Ballymun and Tallaght-
West/Clondalkin) and one in Cork (Cork city, northside). The programme is broken down into sub-
programmes with equal allocations for each area. The measures concentrate on fostering employment 
and enterprises, training and education, local infrastructure, young people, the environment and local 
development. 
224 8th Annual Report on the Structural Funds (1996) 
On the other hand, the allocation of the reserve for the Community Initiatives will increase their 
budget in Ireland by ECU 41.7 million. While most of the extra appropriations will be allocated to the 
Leader and Employment programmes, some will also go towards Adapt, Urban, Interreg and Pesca48. 
Most of the Community Initiative programmes were amended to take account of indexation for the 
years 1995 and 1996 and to reprogramme expenditure accordingly. Physical implementation of the 
Peace programme speeded up appreciably. The 34 local action groups selected in 1995 for the Leader 
programme are now operating. The Pesca programme has helped fund an increase in lobster and 
mussel stocks. 
The first call for proposals for the Employment Initiative resulted in 132 project*; being selected (39 
Now, 73 Horizon and 20 Youthstart). The Now projects aim especially to reduce women's' under-
representation in certain sectors, integrate marginalised women into society and reconcile the 
competing demands of family and working life. The Horizon projects for the handicapped focus on 
developing in handicapped people the skills to start up a business or develop business acumen. The 
Horizon projects for the disadvantaged seek new ways of reducing the high levels of unemployment, 
including long-term unemployment, and of meeting the needs of the most disadvantaged. The 
measures favour the "bottom-up" approach, have local-organisation involvement and target a wide 
variety of beneficiaries (prisoners, young offenders, former prisoners, drug-takers, lone parents, 
travellers, unqualified young people). Lastly, the Youthstart project gathers together the various 
administrative and voluntary services with a view to encouraging integrated local efforts on behalf of 
unqualified young people below the age of 20 who risk social exclusion. 44 projects have been chosen 
for the Adapt programme covering areas such as improving skills in manufacturing enterprises that 
have been established for a number of years, the development of information systems, SME products 
and quality systems, improvements to training systems (technical and pedagogical training for 
trainers) and the accreditation of continuing vocational training while employed, the creation of jobs 
in small and micro-enterprises and the development of efficient and practical ways to transfer 
technology from research institutes to SMEs. 
The interim assessments for the Interreg, Peace, Retex, Leader and Pesca programmes have begun. 
Preparatory work for the other Initiatives will follow in 1997. 
Table V-29: Ireland - Community Initiatives -1996 in the context of programming for 1994-99 
(ECU million) 
Initiative 
(number of programmes) 
Adapt (1) 
Employment (1) 
Leader(1) 
Pesca (1) 
SMEs(l) 
Retex (1) 
Urban (1) 
Total (7) 
Interreg/Regen (2)** 
Peace II) 
of which CIPs adopted in 1996: 
Urban Total cost 
28.3 
100.5 
165.6 
14.4 
66.1 
22.8 
21.1 
418.7 
21.1 SF 
assistance* 
m 
21,2 
76.1 
67.9 
7.8 
28.8 
11,4 
15.8 
229.1 
15.8 Commitments 
1996 
3,5 
21,7 
0.0 
6.1 
2.3 
1,1 
1.8 
36.5 
1.8 Commitments 
1994-96 
(2) 
7,4 
29.3 
7.5 
7,2 
28.8 
8.1 
1.8 
90.1 
1,8 % 
ravm 
35% 
39% 
11% 
91% 
100% 
71% 
11% 
39% 
11% Pavments 
1996 
4.0 
13,3 
0.0 
0.7 
0.7 
0.0 
0.9 
19,7 
0.9 Pavments 
1994-96 
6,0 
17,0 
3,8 
1,3 
8.6 
4.1 
0.9 
41.6 
0.9 % 
(3)/(V 
28% 
22% 
6% 
17% 
30% 
35% 
6% 
18% 
6% 
* Excluding reserve 
•* See programme details. Chapter VII. Table 2.2. 
48 See also Chapter I.B.I. Community Initiatives. 
8th Annual Report on the Structural Funds (1996} 225 
8. ITALY 
8.1. Implementation of assistance by Obiective in 1996 
Support for the development of the technological potential of the regions of Italy: 
Objective 1: Technological development plays an important part in most of the priorities in the CSF. First of 
all, under the 'Communications' priority, it is concerned with the development of telecommunications (basic 
telephony, satellite and long distance telecommunications, applications in the public sector - ECU 418 
million; total cost: ECU 1 194 million), implemented primarily through the 'Telecommunications' OP (ECU 
376.7 million; total cost: ECU 1 076 million). This will assist in the modernisation of urban networks by using 
fibre optics and speeding up the digitisation of exchanges, preparing access to the ISDN and the development 
of satellite telecommunications services, giving priority to the establishment of telephone circuits for data 
transmission, and improving the quality and reliability of services, including connections between exchanges 
and networks. Data transmission applications are included in this programme and specifically in the regional 
OPs (Molise: computerisation of the civil service) or in other multiregional OPs (Road transport 
infrastructure OP: development of a system for the control and automatic monitoring of motorways). 
RTD is covered by a sub-priority (ECU 975.1 million; total cost: ECU 1 680 million) of the 'Infrastructure to 
support economic activities' priority. The multiregional OP implementing it (ECU 784 million; total cost: 
ECU 1 341 million) includes advanced training, infrastructure for research and the dissemination of 
innovation. The aim is to develop infrastructure for science faculties and increase the number of students 
there and to assist research centres controlled by the State (ENEA, CNR, INFN, INFM and Anton Dohrn) 
while also promoting industrial research, developing the transfer of technology and expanding science and 
technology parks (mainly to support initiatives by innovative small firms) and financing a large-scale 
programme to set up science and technology parks in the Mezzogiorno. The RTD sub-priority is also being 
implemented by some of the regional OPs: 
• Apulia: support for research and innovation under the priority for infrastructure to support 
economic activity; 
• Campania: development of R&D and science education in universities; 
• Abruzzi: consolidation of support structures for technological innovation to develop services to 
industry, craft firms and commerce; 
• Sicily: expansion of R&D in science, technological innovation and university research 
infrastructure. 
The CSF priority for industry, craft firms and business services is also intended to expand the provision of 
real and financial services to innovative firms. In addition, the 'Rural development' priority supports 
research and experimentation to promote agricultural development services and the dissemination of 
techniques. This priority is implemented both by the multiregional OP on 'Agricultural dissemination ' and by 
some regional OPs such as that for Sicily, which supports the development of agricultural research services, 
weather forecasting for agriculture, etc. 
Objective 2 (1994-96): All the SPDs except the one for the Valle d'Aosta include measures concerned with the 
dissemination of technologies, innovation or data transmission applications. In some regions, this is a priority 
which seeks to strengthen innovation-related economic activities: 
• Emilia-Romagna: use of advanced and clean technologies and higher production standards 
through support for cooperation between firms and research centres and training in innovation for 
300 people (ECU 3 million; total cost: ECU 9.7 million); 
• Friuli-Venezia Giulia: creation of 30 direct jobs and 150 indirect jobs through the dissemination of 
innovation and training for qualified staff in the transfer of know-how between firms and research 
centres in Trieste (ECU 2.6 million; total cost: ECU 10.7 million); 
• Tuscany: promotion and dissemination of innovation between research centres and small industrial 
firms, assistance for the purchase of technological services and training for the most 
disadvantaged (ECU 8 million; total cost: ECU 17.3 million); 
• Piedmont: development of 1 000 firms and creation of 650 jobs through the development of science 
and research parks, aid for investment by small industrial firms in innovative sectors and training 
in technology, organisation and quality control (ECU 42.7 million; total cost: ECU 91.6 million); 
• Liguria: purchase of technological services (feasibility studies, guidance for new projects, etc.), 
training for workers in research institutes and introduction of short university courses and higher-
level specialist courses (ECU 10 million; total cost: ECU 21 millions). 
Although it is not a priority, other regions support innovation as an instrument of industrial conversion: 
• Lazio: measures to disseminate innovation and to train specialists in the dissemination of scientific 
and technological knowledge to small firms; 
• Lombardy: development of advanced technologies in small industrial and craft firms and the 
226 8th Annual Report on the Structural Funds (1996) 
supply of services for the use of research infrastructure and the transfer of technology (ECU 2.5 
million; total cost: ECU 6 million); 
• Umbria: diversification of the productive base through the promotion and dissemination of 
innovation and the development of multimedia activities (ECU 3 million; total cost: ECU 6.8 
million); 
• Veneto: establishment of a science and technology park and an intermodal terminal (ECU 6 
million; total cost: ECU 19 millions) 
• Marche: support for telecommunications as part of the development of local intermodal 
infrastructure. 
Total expenditure on technological development under the regional Objectives (1, 2, 5(b)) accounts for 11,7% 
of Structural Fund assistance in Italy. 
Table V-30: Italy - Financing directly linked to technological development in 1994-99 (ECU million) 
Finance by the Structural Funds 
7% 
23% 
70% Objective 1 
Objective 2 
Obiective Si 
TOTAL 3.371.8 
239.7 
50.7 
?,<rv2.2 % 
92% 
7% 
1% 
100% S.F. 
1.702,9 
93,4 
1.Ç11.Ç % 
51% 
39% 
31% 
49% Member State 
,£uMc 
819,5 
108,6 
20.7 
?4v,Ç Private 
849,4 
37,7 
14.5 
?YU Total 
1.668,9 
146,3 
35 2 
1,859,4 % 
49% 
61% 
69% 
51% 
NB: The programming procedures and different approaches taken by the Member States 
invite caution in interpreting the figures, m particular spending on information society projects, 
which arc often linked to other fields such as RTD and industry. • RTD • Telecom • Data transmission 
OBJECTIVE 1 
Fie. V-34: Proerammine 1994-99 (ECU million): 
Priorities: 
Communications (a) 
Industry and craft industries (b) 
Tourism (c) 
Rural development (d) 
Fisheries (e) 
Economic infrastructure (f) 
Human resources (z) 
Technical assistance (h) 
Bv Fund: 
ERDF 
ESF 
EAGGF 
FIFG 
Total 8.951,0 
2739 
2.145,2 
233,0 
H.06S.2 
1 CSF 129 OP 
Average per OP 64% 
19% 
15% 
2% 
_U___£ 
MU (g) 15% (h) 1% (a) 15% 
(b) 24% 
(d)16% 
Main achievements in 1996 
In order to improve the general conditions of implementation of the Structural Funds in Italy, the 
accent in 1996 was on continuation and improvement of the approach which had led to the July 1995 
Agreement between the Commission and the Italian administration49. This resulted in better 
monitoring instruments and it was agreed to adopt a two-stage method for reprogramming the CSF. 
The first phase comprises very close monitoring of the assistance adopted and will conclude towards 
the end of the first quarter of the following year. To achieve this, small working parties were set up 
for each OP and they are meeting regularly. The second phase, based on the progress of expenditure 
and commitments on the ground, will permit a possible redistribution of the resources already 
allocated to the initiatives decided on in 1994-97. In addition, because of delays in implementation, it 
49 See 1995 Annual Rapport. 
8th Annual Report on the Structural Funds (1996} 227 
was agreed to increase the monitoring instruments, including the number of meetings of the CSF 
Monitoring Committee, which met on three occasions during the year. Apart from this reprogramming 
methodology, the main horizontal subjects considered throughout 1996 were the introduction of an 
appropriate system for physical monitoring, the allocation of indexation, specific attention to raising 
awareness on environmental issues and monitoring the additionality of the Structural Funds. 
The Commission also adopted five new operations during 1996, two regional global grants (Crotone 
and Manfredonia) and three multiregional OPs (two financed by the ERDF and one by the EAGGF). 
The Crotone global grant is unusual in that it is a sort of territorial pact, with local people deeply 
involved in both programming and the management of measures. The 'Road transport infrastructure' 
OP was also approved in 19^6; it provides ECU 249 million towards a total cost of ECU 498 million. 
The 'Energy' OP (ECU 170 million from the ERDF) includes a series of measures for the gas network 
and. to improve the electricity grid. The 'Services for the commercial exploitation of southern 
agricultural production' OP, with ECU 72 million from the EAGGF, was adopted in October 1996; it 
will initiate measures to organise and concentrate the supply of agricultural products with due regard 
to market requirements. 
In the case of the programmes already being implemented, and specifically those financed by the 
EAGGF, work began on information, organisation and the selection of projects under the regional 
OPs once the national laws on part-financing had been approved in the first half of 1996. A very large 
number of applications were made. In Campania, for example, publication of the programme resulted 
in the submission of 23 000 projects. About 70% of appropriations have already been committed by 
the regional administration. The main effort with regard to actual payments has concentrated on those 
programmes which can make up the backlog in applying Regulation (EEC) No 2328/91 and other 
regulations of long standing. The main measures were the payment of the compensatory allowance to 
farmers in disadvantaged areas and the citrus fruit plan in Sicily and Calabria. It should prove possible 
in future to respect the annual nature of payments of compensatory allowances more fully. Two 
programmes are planned at multiregional level. The first is intended to enlarge the body of field 
workers available in each region and cover salary costs for the first six years following their 
recruitment. The second is the programme adopted in 1996 for services to develop southern products, 
which assists the setting up of new companies (large-scale commercial bodies) involving producers, 
hauliers and distributors to improve conditions for the marketing and development of quality products 
in the fruit and vegetables, olive oil and horticulture sectors. In the case of fisheries, the measures in 
the OP which have proved most capable of absorbing appropriations have been adaptation of the 
fishing effort (particularly the measure to promote joint ventures) and fleet modernisation. 
The Commission adopted 18 amending decisions, five of which concerned the Abruzzi region, which 
was eligible under Objective 1 only in 1994-96 and applied for a two-year extension of national 
corrrrnitments and payments. The decision-making procedure began in 1996. To take account of the 
particular situation of this region, which will cease to benefit from Structural Fund assistance after 
1997, the CSF Monitoring Committee decided that ECU 25 million of the amount made available by-
indexation of the CSF should be allocated to the region of Abruzzi. Of that amount, an extra ECU 10 
million from the EAGGF enabled measures for which a large number of applications had been 
received to be honoured. The financing plans were formally amended in the light of the time for 
implementation available. 
1996 in the context of programming for 1994-99 
At the end of 1996, the financial situation of the CSF was critical, since commitments actually made 
amounted to 41% of total commitments, while payments stood at 17%. In the case of the ERDF, 
commitments totalled 41% while payments amounted to 31% of total ERDF funding for the different 
forms of assistance. At the end of 1996, resources available but not yet committed by the ERDF 
totalled ECU 1 537 million. Similarly, EAGGF appropriations committed up to the end of 1996 
represented 25% of the appropriations planned for 1994-99 and payments made to 13%. In the case of 
the ESF, commitments were around 41% and payments 16% of the total cost. This backlog in 
commitments and payments is partly due to long than expected delays in approving programmes. 
?3 
ËARTA 
THE STRUCTURAL FUNDS IN 1996 
228 8th Annual Report on the Structural Funds (1996) 
Since the vast bulk of assistance has now been approved, delays in implementation should be made up 
in the second part of the period. Eligible expenditure incurred by final beneficiaries under the FIFG 
amounted to ECU 15.8 million, about 7% of eligible costs programmed for 1994-99. 
The main feature of 1997 should be continuation of the approach followed since 1995 and improved 
monitoring instruments. 
OBJECTIVE 250 
Fie. V-35: Proerammine 1994-96 (ECU million - 1996 prices and status): 
Breakdown bv sector: 
Productive environment (a) 
Human resources (b) 
Land improvement and restoration (c) 
Environmental protection (d) 
Technical assistance (e) 
Bv Fund. 
ERDF 
ESF 
Total 400,1 
123,9 
J-__M 
II SPD 
Average per SPD 76% 
24% 
100% 
J2A (d)7% (e)2% 
(c)13% 
(b) 30% (a) 48% 
1996 in the context of programming for 1994-9651 
In line with the approach adopted for all the Objective 2 SPDs, the appropriations not committed 
before the end of 1996 were transferred to programmes for 1997-99. The amount involved was ECU 
169.7 million (after indexation), 25% of the ECU 693.7 million available. The ability of the regions to 
commit the appropriations varied. Only one region, Emilia-Romagna, succeeded in committing 
virtually all the appropriations for 1994-96 while for the other regions, transfers ranged from 9% of 
the initial assistance (Lazio) to 51% (Umbria). For the most part, it was the resources for 
infrastructure which had to be transferred while the vast bulk of those for aid schemes, services to 
small firms, economic development and the transfer of technology were committed in full. In some 
regions, the situation with regard to the payments made by the various authorities responsible 
improved considerably as compared with 1995 (for example, Valle d'Aosta: 53%; Piedmont: 33%; 
Tuscany: 30%). 
The Monitoring Committees met regularly in 1996, dealing mainly with the monitoring bf 
implementation, reprograrnming and the selection of independent assessors responsible for interim 
and ex post evaluations. The partnership dialogue between the Commission, the central government 
and the regional authorities remained satisfactory. The economic and social partners continued to play 
an active role in meetings as full members of the Monitoring Committees. 
50 Eligible areas: Emilia-Romagna, Friuli-Venezia Giulia, Lazio, Liguria, Lombardy, Marche, Umbria, Piedmont, 
Tuscany, Valle d'Aosta, Veneto. 
51 The programmes for the previous period 1992-93 (ECU 183 million: ECU 127 million from the ERDF and 
ECU 56 million from the ESF) were closed in 1996 because extensions to the deadlines for payments at 
regional level had been granted as part of the agreement between the Commission and Italy on ways of 
improving the management of the Structural Funds. Certificates of final payment are still awaited for most 
programmes, but payments should amount to 75% of the total funds available. This under-implementation is 
due mainly to the problems encountered during implementation. This is particularly true of infrastructure 
projects, where a difficult political situation has further complicated the administrative procedures. Other 
problems have been caused by the blockage of certain projects for which appropriations had been committed 
and the devaluation of the lira. 
8th Annual Report on the Structural Funds (1996} 229 
Preparations for the 1997-99 programming period 
The areas of Italy eligible for the 1997-99 phase are broadly unchanged, the only major adjustment 
being the addition of three municipalities in the area of Ferrara (Emilia-Romagna). Including transfers 
from 1994-96, the resources available total ECU 967.5 million52. The draft SPDs were submitted by 
the Italian authorities in August 1996. Although the strategies very largely continue those followed in 
1994-96, they reflect the Commission's guidelines. Resources will be concentrated mainly on the 
development and strengthening of small firms, support for innovation and the transfer of technology, 
tourism, local employment initiatives and the protection of the environment. There will also be 
specific training measures. Preparatory meetings involving the Commission, the national authorities 
and the regions were held from November onwards, to define more closely the strategies, aims and, in 
some cases, the structure of the proposed programmes. 
OBJECTIVES 3 AND 4 
Fie. V-36: Obiective 3 - Proerammine 1994-99 (ECU million- 1994 prices) 
Priorities 
Integration of the long-term unemployed (a) 
Initial training and integration of young people (b) 
Integration of those threatened with exclusion (c) 
Equal opportunities for men and women (d) 
Improving training systems and 
employment services (e) 
Total ESF 
All.2 
566,0 
131.6 
105.3 
92.1 
__2i____! 
1 CSF/16 OPs 
Average per OP 82.3 (d) 8% (6) 7% (a) 32% 
(c) 10% 
(b) 43% 
•including ECU 16.1 million for the Abruzzi from 1997. 
Prograrrtrning for Objective 3 includes a CSF adopted in 1994 and 16 regional and multi-regional OPs 
adopted in December 1994. The rates of financial implementation are unsatisfactory, which suggests 
that normal implementation has not yet been achieved. In order to make better use of resources and 
explore new forms of programming, the Italian government decided in 1996 to undertake a substantial 
mid-term reprogramming. Hence a new multiregional OP, to be adopted in 1997 for a period of three 
years and forming part of the confidence pact for employment, will receive ECU 27.1 million from 
the ESF. The way this OP is financed includes an innovation in that it will receive the resources 
allocated to the current regional and multiregional OPs and not committed by the end of 1997, 1998 
and 1999. The Ministry of Labour will be responsible for coordination, monitoring and assessment 
but the regions will be responsible for implementing the measures. The internal assessment report 
prepared by the Ministry of Labour has some encouraging features such as a positive assessment of 
the training system and the skill level of young people (measures for young people are moving 
towards training which is increasingly based on activities of the upper secondary type), and the sound 
use of the resources allocated to training in equal opportunities and for the socially marginalised. 
There is, however, a substantial shortfall in the utilisation of the appropriations for the long-term 
unemployed. 
52 Emilia-Romagna: ECU 14.1 million; Friuli-Venezia Giulia: ECU 39.2 million; Lazio: ECU 76.9 million; 
Liguria: ECU 129.5 million; Lombardy: ECU 34 million; Marche: ECU 31 million; Piedmont: ECU 309.5 
million; Tuscany: ECU 158.9 million; Umbria: ECU 53.1 million; Valle d'Aosta: ECU 13.5 million; Veneto: 
ECU 107.8 million. 
230 8th Annual Report on the Structural Funds (1996) 
Fip. V-37: Objective 4 - Proerammine 1994-99 (ECU million 
Anticipation, support for programming 
and management of a continuing training 
system (a) 
Training, adjustment of human resources 
to structural changes in the economic and 
productive system (b) 
Technical assistance (ci 
Total 1994 prices): 
ESF 
59,8 
319,1 
19.9 
_228_£ 
1SPD (C) 4% (a) 15% 
(b)81% 
Programming for Objective 4 comprises an SPD adopted in December 1994 for 1994 to 1999. The 
low level of financial implementation for 1996 may be explained partly by delays in making available 
national matching funds (from both public and private sources). Italy also suffers from a lack of on­
going training for workers, which means that there are very few structures which can provide support 
for firms. Hence the SPD has made very little progress in anticipating change. However, more 
assistance has been provided for training, guidance and advisory services and the absorption of funds 
is greater. During 1995 and the first half of 1996, there were 4 071 projects in these fields but only 
125 concerned with anticipating change. Most bodies which prepare training projects are in the public 
sector while the bulk of firms proposing projects are small ones. These projects are aimed at the most 
vulnerable workers and training concentrates on new ways of organising work. The Commission has 
asked for a specific analysis of the projects carried out by firms. 
Example of an Objective 4 project in Italy : 
Multimedia and distance training in Emilia-Romagna: The SINFORM project 
is designed to establish a data transmission network to distribute multimedia 
products and training services on the methodology of distance training. This is 
also the key point of certain existing distance training networks in the rest of the 
Community. The aim of the project is to establish a regional network covering the 
nine provinces of Emilia-Romagna and including a multimedia centre with nine 
offices and 66 computers, a library of multimedia educational software and tests 
involving 200 instructors and organisers of European projects. The ESF will 
contribute ECU 550 000 in part-financing towards the total cost of ECU 1.44 
million. It is expected that 1 500 people will be trained over the period as a 
whole. 
OBJECTIVE 5(a) agriculture 
Table V-31: Proerammine 1994-99 (ECU million -1996 prices and status) 
Total 
626,1 Measure 
Production 
Marketing 494,4 
131.7 __£ 
79% 
21?r 
As far as improving the structures of production is concerned, the bulk (41%) of the Community 
contribution concerns aid to less-favoured areas, followed by investment aid (33%) and aid to young 
farmers (16%). As regards measures to improve the processing and marketing of agricultural 
products, in 1996 25 OPs were approved for 11 regions of Italy; at the end of 1996 two OPs still 
awaited approval. The Community contribution to these OPs totals ECU 131.7 million. 
8th Annual Report on the Structural Funds (1996) 231 
OBJECTIVE 5 (a) Fisheries 
Fie. V-38: Obiective 5(a) fisheries - Proerammine 1994-99 (ECU million): 
Adjustment and redirection of fishing effort (a) 
Other fishing fleet measures (b) 
Renovation and modernisation of the fishing fleet (c) 
Aauaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (g) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures m 
Total FIFG 
35.4 
0.0 
33.6 
20.5 
1.2 
5.6 
28.1 
3.6 
pm 
_____ 
134.4 (g)21% (a) 26% 
(d)15% (c) 25% 
Implementation of the SPD in 1996 concentrated mainly on the measure for the permanent cessation 
of activity, followed by that for the modernisation of the fleet. In September 1996 eligible expenditure 
incurred by final beneficiaries amounted to ECU 5.8 million, or 1.3% of total eligible costs for 1994-
99. The 1994 instalment has not yet been closed because the annual reports on implementation have 
not been submitted. The first instalments for 1995 were paid at the end of 1996 and it has not proved 
possible to commit the two instalments for 1996. The level of commitments by the Italian authorities 
is, however, much higher than the level of payments. This means that, since projects can be carried 
over a period not exceeding three years, the absorption of appropriations by beneficiaries during 1997 
will probably increase. 
OBJECTIVE 5(b)53 
Fie. V-39: Obiective 5(b)- Proerammine 1994-99: 
Population (1000 hab.) 
Area (km2) 
Bv Fund: 
ERDF 
ESF 
EAGGF 
Total 
13 SPD 4.828 
_____£_. 
ECU million 
370,6 
122,6 
411,1 
904.3 
Average per SPOT 41% 
14% 
45% 
100% 
69.6 (à) 12% (e) 1% (a) 32% 
(c) 12% 
(b)43% O Modernisation e; 
diversification de 
_ragriculture(a) 
«•Renforcement du secteur 
non agncole (b) 
• Environnement (c) 
D Ressources humaines (d) 
•Technical assistance (e) 
At the end of 1996, the Objective 5(b) SPD was still suffering from delays, particularly as regards 
payments. This situation, which is similar to the position at the same point in the previous 
prograrriming period, is the result of the complexity of the implementation procedures. The special 
features of the Italian administrative system often mean that between 12 and 24 months elapse before 
programmes can actually start. By mid-1996, the Italian programmes had got over the administrative 
hurdle and were being fully implemented in "physical" terms. Commitments rose substantially in the 
second half of 1996. In terms of the resources programmed for 1994-96, appropriations committed 
increased from 14% at the end of June to 56% at the end of the year although payments remain at a 
low level. However, the regions and provinces have offset delays in the payment procedures by 
advances to the final beneficiaries in the form of bank guarantees. As regards programme monitoring, 
during the first half of the year the Monitoring Committees concentrated mainly on three types of 
activity: adjustments to certain elements of programming in the light of new territorial requirements 
(10 of the 13 SPDs); implementing technical assistance for programme implementation; and 
arrangements for monitoring and evaluation (the interim assessment reports will be completed by mid-
June 1997). In the second half of the year, the Committees were more concerned with assessing the 
impact of measures, particularly in terms of jobs. 
53 Areas eligible: Emilia-Romagna, Friuli-Venezia Giulia, Lazio, 
Piedmont, Tuscany, Trento, Bolzano, Valle d'Aosta, Veneto. Liguria, Lombardy, Marche, Umbria, 
232 8th Annual Report on the Structural Funds (1996) 
Table V-32: Italy - Assistance by Objective - 1996 in the context of programming for 1994-1996/99 (ECU 
million) 
Programmes 
(year of adoption) Total cost S.F. 
assistance 
LU Commitments] 
1996 Commitments 
1994-96 
__________ ______ Payments 
1V96 Payments 
1994-96 
__) _______ 
Objective 1 
Regional OPs 
GG Crotone (3) (1996) 
GG Manfredonia (3) (1996) 
OP Abruzzi (1995) 
OPAbruzzi(l)(1995) 
OPCalabria (1)0995) 
OP Campania (1995) 
MP Port of GioiaTauro (3) (1995) 
OP Apulia (1995) 
OP Sicily (1995) 
OPBasilicata(1994) 
OPCalabria (1994) 
OPMolise(1994) 
OP Sardinia (1994) 
Multiregional OPs 
OP "MEGA H"(l) (1996) 
OP£nerzv(3)(1996) 
OP Road infrastructure (3) (1996) 
OP Industry and services '1995) 
OP Water resources ( 1995) 
OP Tourism (1995) 
OP Agricultural advisory services (1) (1995) 
OP "Emergency" Emploi (1994) 
OP Technical assistance (2) (1994) 
OP Training for instructors (1994) 
OP Training for migrant workers ( 1994) 
OP Ministry of Education (1994) 
OP Fisheries (1994) 
OP Research and development ( 1994) 
OP Telecommunications (1994) 
OP Rail transport (1994) 
Technical assistance 90.9 
60,6 
365,7 
187,6 
502.Û 
2.890.8 
120,0 
2.406.4 
2.603.6 
1.138,9 
1.313.9 
521.Û 
2.103.0 
120.0 
485.0 
498.0 
5.362,4 
2.008.3 
302.E 
231.4 
524,0 
112.1 
271,4 
29.5 
384.3 
560,0 
1.341,3 
1.076,1 
1.756,6 
06 35.0 
25,0 
165.5 
93,9 
241,0 
1.327,9 
40,0 
1.148,4 
1.337,2 
583.2 
580.3 
292,0 
967.1 
72.0 
170.0 
249,0 
2.592,7 
871.0 
130.0 
162.0 
355,7 
76.0 
184,0 
20,0 
254,0 
233.0 
784,0 
376.7 
701,0 
0_5 35.0 
25.0 
74.0 
34.5 
0.0 
0.0 
0.0 
0.0 
130.9 
65,4 
51,1 
22.0 
98,6 
3.7 
45.3 
28.8 
1.253.6 
114.6 
0,0 
31.6 
0.0 
0.0 
0,0 
4.3 
19.9 
0,0 
0,0 
0,0 
0.0 
05 35,0 
25.0 
165,5 
93.9 
76.2 
177.2 
40,0 
203,7 
320,3 
163,4 
124.0 
59.7 
269.1 
3,7 
45.3 
28,8 
2.003.9 
255.3 
22.2 
66,0 
32,7 
7.0 
16.9 
6.2 
88.4 
66.5 
65.9 
215.9 
385.2 
06 100% 
100% 
100% 
100% 
32% 
13% 
100% 
1 
24% 
28% 
21% 
20% 
28% 
5% 
27% 
12% 
77% 
29% 
17% 
41% 
9% 
9% 
9% 
31% 
35% 
29% 
8% 
57% 
55% 
102% 0,0 
12,5 
28.3 
16.6 
0,0 
0,0 
20,0 
0,0 
132,7 
42,0 
43,8 
19,8 
49.9 
1,8 
22,7 
14.4 
1.324.4 
57.3 
0.0 
26.1 
0,0 
0,0 
0.0 
3,2 
9.5 
19.2 
0.0 
81.8 
0.0 
0J 0.0 
12,5 
74.0 
47,3 
41,8 
89,8 
20,0 
92.9 
206 
94,4 
80.3 
39,1 
136.8 
1,8 
22,7 
14.4 
1.699,6 
127,7 
11.1 
43,3 
16,3 
3.5 
8,5 
4,1 
43,7 
35,2 
32,9 
172,7 
308.2 
01 0% 
50% 
45% 
50% 
17% 
7% 
50% 
8% 
15% 
16% 
14% 
13% 
14% 
3% 
13% 
6% 
66% 
15% 
9% 
27% 
5% 
5% 
5% 
21% 
17% 
15% 
4% 
46% 
44% 
19% 
Total ______ ______ 2.038.7 _______ _____ I-926.1 _____ __2 
Obiective 2» 
SPD Emilia-Romagna (1994) 
SPD Friuli-Venezia Giuha (1994) 
SPD Lazio (1994) 
SPD Liguria (1994) 
SPD Lombardy (1994) 
SPD Marche (1994) 
SPD Umbria (1994) 
SPD Piedmont (1994) 
SPD Tuscany (1994) 
SPD Valle d'Aosta (1994) 
SPPVcncwn^ 39.3 
59,0 
158,4 
219.2 
73,2 
32,0 
37.3 
449,1 
403,1 
1,6 
152.7 12,0 
14,1 
59,0 
81,6 
21.1 
12,3 
17,4 
143,4 
113,6 
0,6 
48.9 0,0 
-2,7 
32,2 
34,7 
0,1 
-4.4 
-6.5 
63,7 
73,3 
-2.8 
26.4 12,0 
21,3 
52,5 
65,3 
23,1 
16,6 
28,5 
128,8 
113,6 
3,2 
48.9 100% 
151% 
89% 
80% 
110% 
135% 
164% 
90% 
100% 
584% 
100% 0,0 
0.0 
16,1 
34.2 
0.1 
0,0 
0.0 
14,0 
17,5 
0,0 
13.2 6,0 
12,0 
26,3 
49.5 
11.6 
10.5 
17.5 
46.6 
37.7 
3,0 
24.5 50% 
85% 
45% 
61% 
55% 
85% 
101% 
32 
33% 
542% 
50% 
Total 1.625.0 324.0 214.0 514.0 _____ 95.1 245.1 47% 
Qbjwtin ? 
Regional OPs 
OP Bolzano (1994) 
OP Emilia-Romagna (1994) 
OP Friuli-Venezia Giulia (1994) 
OP Lazio (1994) 
OP Liguria (1994) 
OP Lombardy (1994) 
OP Marche (1994) 
OPUmbna(1994) 
OP Piedmont (1994) 
OP Tuscany (1994) 
OPTrento(1994) 
OP Valle d'Aosta (1994) 
PPVgnttP(l?94) 54,4 
409,8 
118.6 
271.7 
94,0 
389.1 
81.7 
67.7 
271.6 
145,8 
62.7 
27.6 
240.7 24.5 
184,4 
53.4 
122.3 
42,3 
P5.1 
36.8 
30.5 
122,2 
65.6 
28.2 
12,4 
108,3 2,7 
46.9 
5.9 
0.0 
13.5 
00 
02 
5.3 
36.6 
10.2 
8.8 
2.9 
16.8 6.4 
74,6 
13,9 
18.3 
19.8 
26.2 
5.7 
9.9 
55.0 
20.0 
13.0 
4,8 
33.0 26% 
40% 
26% 
15% 
47% 
15% 
16% 
32% 
45% 
31% 
46% 
38% 
30% 3.1 
45,6 
2.9 
0.0 
2,5 
00 
01 
2.7 
24.3 
5.1 
7.4 
0.3 
8.4 4.9 
59.5 
6.9 
9.2 
5.7 
13.1 
2.8 
5.0 
33.4 
10.0 
9,6 
1,2 
16.5 20% 
32% 
13% 
7% 
13% 
7% 
8% 
16 
27 
15 
34% 
10 
15% 
(1 ) EAGGF single-Fund OP 
(2) ESF single-Fund OP 
(3) ERDF single-Fund operation 
* After deduction of transfers to ! 997-99 
8th Annual Report on the Structural Funds (1996} 233 
Programmes 
(year of adoption) 
Multiregional OPs 
OP Innovative measures (1994) 
OP Technical assistance (1994) 
OPTrninin-(1994) 
Total Total cost 
118,9 
77.8 
456.8 
2.889.0 S.F. 
assistance 
(1) 
53.5 
35.0 
205.6 
1.300.1 Commitments Commitments 
1996 1994-96 
(2) 
0,0 
0,0 
0.0 
2.145.9 9,0 
5.9 
34.8 
350.3 % 
(2)/fl) 
17% 
17% 
17% 
27% Payments 
* 1996 
0.0 
0.0 
0.0 
2.098.4 Payments 
1994-96 
4,5 
3.0 
17,4 
202.7 % 
(3vm 
8% 
8% 
8% 
;<5% 
Obiective 4 
SPD Minisrrv of labour (1994) 1 886.11 398.81 38.31 98.9| 25%l 19.11 49 4| 12% 
Obiective 5(a) agriculture 
Regional OPs 
OP Bolzano R. 866790 (1995) 
OP Bolzano R. 867/90 (1996) 
OP Emilia-Romagna R. 866/90 (1996) 
OP Friuli-Venezia Giulia R. 866/90 (1996) 
OP Friuli-Venezia Giulia R. 867/90 (1996) 
OP Lazio R. 866/90 (1996) 
OP Lazio R. 867/90 (1996) 
OP Liguria R. 866/90 (1996) 
OP Liguria R. 867/90 (1996) 
OP Lombardy R. 866/90 (1996) 
OP Lombardy R. 867/90 (1996) 
OP Marche R. 866/90 (1996) 
OP Marche R. 867/90(1996) 
OP Marche Water Zoo R. 866/90 (1996) 
OP Umbria R. 866/90(1996) 
OP Umbria R. 867/90(1996) 
OP Piedmont R. 866/90 (1996) 
OP Piedmont R. 867/90 (1996) 
OP Tuscany R. 866)90 (1996) 
OP Tuscany R. 867/90 (1996) 
OPTrentoR. 866/90(1996) 
OPTrentoR. 867/90(1996) 
OP Valle d'Aosta R. 867/90 (1996) 
OP VenetoR. 866/90(1996) 
OP VenetoR. 867/90 (1996) 
Multiregional OP 
Forecast* lrnlv R ?32R/91 M994) 
7"owf 34.9 
1.6 
44.2 
13.3 
1.7 
32,1 
2.7 
7,5 
1.1 
132.6 
4.6 
62.7 
1.2 
3,2 
20,4 
1.6 
82,7 
4.8 
53.0 
4.1 
30.8 
3.8 
0.7 
72.6 
3.1 
1.464.9 
2.086.0 7.1 
0.4 
8.8 
3.4 
0.5 
8.0 
0.7 
2,3 
0.3 
26.5 
1.2 
16,3 
0,3 
0,8 
4,1 
0.4 
15,2 
1.2 
10.0 
1,0 
6,5 
1,0 
0,2 
14.5 
0.8 
494.4 
626.1 7.1 
0.4 
8.8 
3.4 
0.5 
8.0 
0.7 
2,3 
0,3 
26.5 
1.2 
16.3 
0.3 
08 
4.1 
0.4 
15.2 
1.2 
10,0 
1,0 
6,5 
1.0 
0.2 
14,5 
0-8 
0.0 
131,7 7.1 
0,4 
8.8 
3,4 
0,5 
8,0 
0.7 
23 
0.3 
26,5 
U 
16.3 
0.3 
0.8 
4.1 
0.4 
15.2 
1.2 
10.0 
1,0 
6,5 
1.0 
02 
14,5 
0,8 
117.5 
249,2 100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
;oo% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
i 100% 
24% 
40% 3.5 
0.1 
2.7 
1,0 
0.2 
2,4 
0.2 
0,7 
01 
8,0 
0.4 
4.9 
01 
0,4 
1,2 
01 
4.6 
0.4 
3,0 
0,3 
2,0 
03 
01 
4.4 
0.2 
0.0 
41.1 3,5 
C.I 
2,7 
1,0 
0.2 
2,4 
02 
07 
01 
8,0 
04 
4.9 
0,1 
0.4 
1.2 
0,1 
4,6 
0,4 
3.0 
0.3 
2,0 
0.3 
01 
4.4 
0,2 
58.7 
99.8 50% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
50% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
30% 
12% 
76"% 
Obiective 5(a) fisheries 
SPD Italv (1994) 1 456.41 134.41 O.Ol 44.81 33%l 11.91 23.11 17% 
Obiective 5(b> 
SPD Friuli-Venezia Giulia (1995) 
SPD yguria (1995) 
SPD Marche (1995) 
SPD Piedmont (1995) 
SPD Bolzano (1994) 
SPD Emilia-Romagna ( 1994) 
SPD Lazio (1994) 
SPD Lombardy (1994) 
SPD Umbria (1994) 
SPD Tuscany (1994) 
SPD Trento (1994) 
SPD Valle d'Aosti (1994) 
SPDVen-m (19941 
Total 
TOT4I 273.4 
189.6 
425.1 
438.2 
159.2 
311.6 
514,9 
213.8 
341.9 
742.2 
66.0 
13,9 
1.033.2 
4.723.0 
42.033.8 44,0 
35.8 
76.2 
83.5 
43.6 
57,1 
145,7 
40.3 
75.5 
133.0 
19,9 
4.2 
145.6 
904.3 
17.955.8 6,8 
2,1 
03 
0,0 
6.8 
0.0 
0,0 
0.0 
0.0 
6.4 
1.4 
0,0 
9.8 
33.6 
4.6022 12,0 
6.3 
9.2 
9,8 
11.9 
6,8 
16,7 
4,8 
10.7 
22.2 
2.6 
0.6 
27.1 
140.6 
6.4612 27% 
18% 
12% 
12% 
27% 
12% 
11% 
12% 
14% 
17% 
13% 
14% 
19% 
;<?% 
36% 3,4 
0,5 
02 
0.0 
3.7 
0,0 
0,0 
0,6 
0,0 
9,9 
1.5 
0.0 
11.4 
31.2 
4.222.9 6,0 
2.6 
4.6 
4.9 
6.3 
u 
8.3 
3.0 
5.4 
17.8 
2,1 
0,3 
20,1 14% 
7% 
6% 
6% 
14% 
6% 
6% 
8% 
7% 
13% 
10% 
7% 
!4<Tr 
84.7\ 9% 
4.186.4! 23% 
8.2. Implementation of the Community Initiatives in 1996 
Note: 
Italy takes part in all the Community Initiatives except Regis. All except Leader are implemented through non-
regionalised programmes. In 1994 and 1995, 21 CIPs were adopted for the Initiatives Rechar, Retex 
(amendment of the CIP adopted in 1993), Adapt, Leader, Pesca and the Regen strand of Interreg. The Leader 
(10), Urban, Résider, SMEs and Konver programmes which remained were adopted in 1996, as were five 
Interreg CIPs (three with France, one with Albania and one with Switzerland). 
Support for the development of technological potential in Italy: 
The SMEs programme provides ECU 31 million (total cost: ECU 87.9 million) to help small firms define their 
priorities for technological innovation, to promote cooperation between small firms and research centres, to 
encourage the development of networks to exchange RTD know-how, and to encourage the use of advanced 
telecommunications systems to diversif}' production and market opportunities. 
Most of the Interreg programmes include measures relating to transfers of innovation and technology to local 
234 8th Annual Report on the Structural Funds (1996) 
small firms (ECU 4.6 million; total cost: ECU 13.8 million) and the development of data transmission 
networks (ECU 2.4 million; total cost: ECU 5.1 million). Furthermore, the programme with Greece is 
intended to develop in Italy the advanced telecommunications infrastructure required to connect the two 
countries ' networks (ECU 8.5 million). 
In the field of human resources, the Adapt programme seeks to make use of the new technologies while taking 
account of industrial changes and the new employment opportunities (in the audio-visual sector, information 
and communications technology, etc.) and stimulate new methods of training such as distance learning. The 
Employment CIP concentrates on new specialisations, particularly in RTD and innovation, the management 
of firms or cooperatives, and the training of instructors. It promotes synergies with measures under the 
Community framework research programmes in the fields of information technologies and communications 
such as flexible learning, distance learning and data transmission applications for the handicapped (e.g. the 
TIDE programme). The Leader programmes too provide support for distance learning and work, the 
promotion of rural tourism and reservation systems using multimedia or data transmission applications (ECU 
6 million; total cost: ECU 13 millions), and transfers of innovation and technology to local firms. 
The Rechar and Résider CIPs include measures to support technological innovation and the Urban 
programme offers support in a number of Italian towns for projects relating to the use of training services or 
information by data transmission. 
The Commission approved 14 new programmes in Italy and five Interreg programmes. These include 
the SMEs CLP, a single programme for all the eligible areas, to which the Structural Funds will 
contribute ECU 191.7 million. This programme includes provision for assistance to improve services 
to firms in the fields of quality and innovation and to improve access by small firms to finance and the 
capital markets. The Résider programme affects nine regions; the ERDF will provide ECU 85.6 
million. The priority areas for assistance are the improvement of the environment where it has 
deteriorated (47%), the promotion of new economic activities to stimulate diversification (33%) and 
help in the development of tourist activities (4%). The Konver programme (ECU 46.1 million from 
the ERDF) is mainly devoted to the promotion of replacement economic activities, and in particular 
the establishment and development of small firms (68%) and the improvement and restoration of 
military areas and areas seriously affected by military activity (15%). For example, it is banned to 
provide assistance in Apulia to support services to small firms in the fields of the environment, 
environmental quality (the ecolabel) and workers' safety. The Urban CIP covers 13 municipalities 
(Rome, Genoa, Venice, all of which are outside Objective 1, and Naples, Salerno, Palermo, Catania, 
Siracusa, Reggio Calabria, Cosenza, Bari, Foggia and Cagliari, which are eligible under Objective 1). 
In five towns, assistance will concentrate on the suburbs and in eight on the historic centre. Each town 
will manage its own sub-programme and management is decentralised to local level. 
The largest number of CLPs adopted in 1996 was under the Leader Initiative (total assistance ECU 
105.5 million). Approval of the LEADER programmes was thus completed in 1996 with the adoption 
of seven programmes for the Objective 5(b) areas and two for the Objective 1 areas (Molise and 
Sicily). There are intended to provide extra funding for rural development to complement measures 
financed under the Objective 1 OPs. Priority was given to the areas with greatest difficulties, those 
with hilly and mountainous terrain. In the case of the Objective 5(b) areas, selection of the local 
action groups at regional level proved particularly complex (selection is based on quantified 
qualitative criteria, intended principally to ensure a satisfactory territorial concentration) and by the 
end of the year had been completed in three regions or autonomous provinces (8 groups selected), 
while the procedure was in its final phase in six other regions. In the Objective 1 regions, the groups 
had been selected in Calabria, the Abruzzi and, in part, Campania. Selection by the other regions is in 
progress. Technical assistance to launch the national network of Leader groups was also approved in 
1996. 
8th Annual Report on the Structural Funds (1996) 235 
Five Interreg programmes were approved in 1996. The Sardinia-Corsica programme concerns the 
province of Sassari in Sardinia and the department of Corse du Sud and includes assistance for 
communications between the two islands and environmental protection.. The Corsica-Tuscany 
programme concerns the department of Haute Corse and the province of Livorno. Its priorities for 
assistance include tourism, sea transport and communications infrastructure, the transfer of 
technology and economic and cultural exchanges between the two areas. On the Franco-Italian border, 
the Alpes CIP concerns the Alpine regions (Rhône-Alpes, Provence-Alpes-Côte d'Azur; Valle 
d'Aosta, Piedmont, Liguria). The priority sectors for assistance are improving communications 
between frontier areas, promoting the cultural heritage of these areas and encouraging economic 
activity on the border. The Italo-Swiss CIP concerns the frontier areas of the Valle d'Aosta, Piedmont, 
Lombardy and the province of Bolzano. Assistance is intended to improve cooperation between small 
firms, infrastructure, the development of agricultural, forestry and fisheries production and the 
development of the natural, historical and cultural heritage. The programme involving Italy and 
Albania concerns the areas on the sea frontier between the two countries (Apulia in Italy) and 
complements the Italy/Albania Phare programme for 1995-99, which covers the coastal areas of 
Albania. The programme's resources are concentrated on a limited number of fields: transport and 
communications (improving port systems and telecommunications), cooperation among small firms, 
tourism and the environment. During 1996, negotiations between the authorities concerned continued 
on one Interreg programme, the Greece-Italy CLP (approval and effective implementation were 
expected in 1997). 
Another important feature of 1996 was the Commission decision on allocation of the reserve, which 
provided an additional ECU 199 million for Italy. This amount went mainly to the Employment, 
Leader, Interreg II C, Adapt, Urban and Konver Initiatives54. The programmes which benefited from 
the reserve will be the subject of fresh programming or integration in 1997. 
Implementation of most of the programmes was Subject to substantial delays. In view of the late 
approval of the various programmes (end 1995 and 1996), 1996 was mainly devoted to establishing 
the Monitoring Committees and to the adoption, at national level, of procedures for the approval and 
implementation of the various projects. As a result the financial results of implementation for 1996 
are only slight. All the Monitoring Committees for the Initiatives approved in 1996 were set up. For 
some programmes (Retex, Interreg Italy-France (Corsica-Sardinia), Interreg Italy-Albania, Urban), 
proposals for amendments intended to bring the terms of programming more closely into line with 
actual progress and with the expected use of resources were considered. In the case of the Pesca 
programme, which is not managed entirely at central level, since it comprises 11 regional sub-
programmes and two multi-area sub-programmes, with some sub-programmes managed by the 
national administration and others by the regional administrations, this division of management 
between administrations caused difficulties of coordination. While the first advance (50%) of the 
1995 instalment (FIFG and ERDF) was paid by the Commission, no expenditure was incurred by the 
beneficiaries, even though in the case of some sub-programmes the projects had already been selected 
(mainly where the sub-programmes were managed by the central administration). 
Under Employment, 234 projects (197 regional and 37 multi-regional: 52 Youthstart, 67 Now, 115 
Horizon) have been financed since 1994. The projects under Youthstart concern the training of 
instructors and the creation of jobs in growth sectors such as the environment, the cultural heritage 
and tourism. The main aim of the Now projects is to help with the establishment of firms. The 
projects under Horizon-handicapped (71 projects) provide specific training for the disabled while 
those under Horizon-disadvantaged (44 projects) focus on training and integration into the labour 
market. The main aim of the Adapt programme is to assist the national plan to establish an on-going 
training system. Since 1995, 182 projects have been selected, of which 141 are regional and 41 multi-
regional. Most projects relate to the training of the staff of firms, many of which are in the services 
sector (tourism and the environment). 
54 See also Chapter I.B.I. Community Initiatives. 
236 8th Annual Repon on the Structural Funds (1996) 
Table V-33 : Italy - Community Initiatives - 1996 in the context of programming for 1994-1999 (ECU 
million) 
Initiative 
(number of CIPs) 
Adapt (1) 
Employment (1) 
Leader(22) 
Pesca (1) 
SMEs(l) 
Rechar (2) 
Konver ( 1 ) 
Résider (1) 
Retex (2) 
Urban (1) 
Total (33) 
Inlerreg/Reaen (7)** 
CIPs adopted in 1996: 
Leader Technical assistance 
(implementation of national network) 
Leader Lombardv 
Leader U curia 
Leader Molise 
Leader Marche 
Leader Trento 
Leader Piedmont 
Leader Veneto 
Leader Sicily 
Leader Lazio 
SMEs 
Konver 
Résider 
Urban 
Total (14) 
Interred (5)*** Total cost 
360.5 
569.6 
757.1 
82,4 
645.5 
34.1 
250.4 
505.6 
257.2 
280.7 
3.743.0 
3,1 
14,6 
15.6 
18,1 
35.9 
8.6 
39.9 
57.9 
65.2 
60,6 
645,5 
250.4 
505,6 
280.7 
2.001.7 SS. 
assistance* 
(1) 
190.0 
348.7 
288,7 
34.2 
191.7 
1.7 
46.1 
85,6 
79.0 
117.7 
1383.3 
2,0 
4.5 
3.9 
9.8 
8.4 
2.2 
9.3 
16.3 
32.6 
16.3 
191.7 
46.1 
85.6 
117.7 
5465 Commitments 
1996 
45,6 
82.7 
49,3 
0,0 
44.7 
0.0 
21.6 
42.8 
0,0 
26,4 
313.0 
2,0 
4.5 
3.9 
0.3 
1.1 
1.4 
1.2 
6.0 
7.2 
3.6 
44.7 
21.6 
42.8 
26.4 
166,7 Commitments 
1994-96 
(2) 
81,7 
134.2 
77.9 
4,4 
44.7 
1.7 
21.6 
42.8 
12.1 
26,4 
447.4 
2.0 
4.5 
3.9 
0.3 
1.1 
1,4 
1.2 
6.0 
7.2 
3.6 
44.7 
21.6 
42.8 
26.4 
166.7 % 
(2)/m 
43% 
38% 
27% 
13% 
23% 
100% 
47% 
50% 
15% 
22% 
32% 
100% 
100% 
100% 
3% 
13% 
62% 
13% 
37% 
22% 
22% 
23% 
47% 
50% 
22% 
30% Pavments 
1996 
23,1 
41.9 
22.3 
0.0 
22.4 
05 
10,8 
21,4 
0,0 
13.2 
155.4 
08 
1.9 
1.6 
OI 
0.6 
04 
0.6 
3.0 
3.6 
0.9 
22.4 
10.8 
21.4 
13.2 
81.3 Pavments 
1994-96 
(3) 
41.1 
67.6 
36.3 
2.2 
22.4 
0,8 
10.8 
21.4 
6.0 
13.2 
221.9 
0.8 
1.9 
1.6 
0.1 
0.6 
04 
0.6 
3.0 
3.6 
0.9 
22.4 
10.8 
21.4 
13.2 
813 % 
avm 
22% 
19% 
13% 
6% 
12% 
50% 
23% 
25% 
8% 
11% 
16% 
40% 
42% 
41% 
1% 
7% 
19% 
7% 
18% 
11% 
6% 
12% 
23% 
25% 
11% 
15% 
* Excluding reserve 
" For programme details see Chapter VII. 
*m* For programme details see Chapter LB Table 2.2. 
.1. Community initiatives 
8th Annual Report on the Structural Funds (1996) 237 
9. LUXEMBOURG 
9.1. Implementation of assistance bv Objective in 1996 
Support for the development of the technological potential of the regions of Luxembourg: 
Objective 2 (1994-96): The strategy of the SPD for the conversion of the traditional metal-working industry to 
the electrical sector gave priority to the industrial sector, partly through measures to promote technological 
innovation. This involves not only support for RTD, particularly materials analysis (including the promotion of 
transfers of technology between research centres and firms), but also technical and scientific assistance to 
firms and the training of staff in RTD. 
Objective 5(b): The development of the new technologies is supported by the SPD as a means of giving fresh 
life to rural areas by reducing the distance between work and home, so making countrydwellers economically 
independent and keeping them in rural areas, by improving day-to-day living conditions, and through the 
protection and safeguarding of the countryside. Measures therefore support RTD in small industrial, 
commercial and craft firms and in administrations which wish to establish local offices in rural areas. 
Total support for technological development accounts for 13.2% of the appropriations under Objective 2. 
Table V-34: Luxembourg - Financing directly linked to technological development in 1994-96 (ECU 
million) 
_________ TOTAL 
2A 100% S.F 
JLZ __L 
29% I _____ Mvmfryr State 
Public Private Total ft 
1A 1.7 71% 
NB: The-programming procedures and different approaches taken by the Member States 
invite caution in interpreting the figures, in particular spending on information society projects. 
which are often linked to other fields such as RTD and industry. Financing by Structural Funds 
100% 
OBJECTIVE 255 
Fie. V-40: Proerammine 1994-96 (ECU million -1996 prices and status): 
Breakdown bv sector: 
Productive environment (a) 
Human resources (b) 
Land improvement and restoration (c) 
Environmental protection (d) 
Breakdown by Fund: 
ERDF 
ESF 
Total 4,6 
0,8 
5.3 85% 
15% 
!_____ 
1SPD (d)29% (a) 14% 
(b) 28% 
(c) 29% 
1996 in the context of programming for 1994-96 
The SPD for 1994-96 was closed at the end of 1996 after the Monitoring Committee had decided to 
adjust the financing plan for the assistance by making transfers between measures and reducing the 
Community contribution. The main point to note is the extra funding for the measure for human 
resources, to which the ESF will now contribute ECU 194 000. Because of the low level of 
commitments at the end of 1996, the Community contribution has been reduced to ECU 5.3 million 
and ECU 1.8 million (25% of the original assistance, including indexation) has been transferred to 
1997-99 because of under-utilisation by the measure to promote productive investment (aid scheme 
for firms) and the measure for the treatment of industrial waste. 
Preparation of the 1997-99 programming period 
Two meetings to negotiate on the SPD for 1997-99 were held in 1996. 
55 Eligible areas: Esch-sur-Alzette, Capellen. 

238 8th Annual Report on the Structural Funds (1996) 
OBJECTIVES 3 AND 4 
Fie. V*41: Obiective 3 - Proerammine 1994-99 (ECU million - 1994 prices): 
Priorities 
Integration of the long-term unemDloved (a) 
Vocational inteeration of young people (b) . 
Integration of those threatened with exclusion (c) 
Eaual opprtunities for men and women (d) 
Horizontal measures (?) 
Total ESF 
5.5 
3.1 
9.9 
1.2 
_£-_. 
Ml 
1 CSF/2 OP 
Average ner OP Ml (d)6% <e>4% 
(c) 48% (a) 27% 
(b)15% 
In 1996 the main target groups for assistance under Objective 3 were workers with poor skills, 
particularly those in sectors where access to training is poorly developed or non-existent. A total of 
547 people received finance from the ESF. Under the Objective 4 SPD, 13 training measures 
benefiting 1 394 people were implemented. 
Fie. V-42: Objective 4 - Proerammine 1994-96 (ECU million -1994 prices) 
Priorities 
Anticipation of labour market trends and 
skill requirements (a) 
Vocational training and retraining, 
guidance and counselling (b) 
Improvement and development of training 
systems (c) 
Horizontal measures for the whole SPD (à) 
Total ESF 
0,2 
1,2 
0,6 
__i 
I SPD (d)14% (a) 9% 
(c) 26% 
(b)51% 
OBJECTIVE 5(a) agriculture 
Table V-35: Proerammine 1994-99 (ECU million -1996 prices and status): 
Total 
38,4 Measure 
Production 
Marketing 36,7 
__L2 96% 
4% 
Expected implementation to improve agricultural structures was reduced in 1996 to ECU 36.7 million 
for 1994-99 (as compared with the ECU 37.3 million originally planned in 1994). Luxembourg 
decided to transfer part of the appropriations originally allocated to these measures to aid for the 
processing and marketing of products; a decision on this SPD is to be taken in 1997. The largest pan 
goes to aid for less-favoured areas (ECU 19 million), followed by investment aid (ECU 9 million) and 
aid to young farmers (ECU 9 million). Since 1994, Luxembourg has allocated two thirds of the 
Community aid planned for 1994-99 to the processing and marketing of products. ECU 1.15 million 
out of ECU 1.7 million will go to investments to improve quality in the wine-growing sector, the only 
one concerned by the programme. The total eligible costs of investments which have received 
Community assistance amount to ECU 8 million. 
8th Annual Report on the Structural Funds (1996) 239 
OBJECTIVE 5(a) fisheries 
Fie. V-43: Obiective 5(a) fisheries - Proerammine 1994-99 (ECU million) 
Adjustment and redirection of the fishing effort (a) 
Other fishing fleet measures (b) 
Renovation and modernisation of the fishing fleet (c) 
Aauaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (z) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures (\) 
_____ ______ 
0.0 
0.0 
0.0 
0.7 
0.0 
0.0 
0.3 
0.1 
pm 
_____ 
-Li (h)9% 
(9)27% 
(d) 64% 
There was very little investment activity in the Objective 5(a) fisheries programme during 1996. 
Eligible expenditure incurred for the first half of the programme amounted to 8% of the amount 
planned for 1994-99. The volume of investment is expected to increase in 1997 and 1998. 
OBJECTIVE 5(b)56 
Fir V-44: Obiective 5(h). Prorramminr 199*99: 
Population (1000 hab.) 
Area (km1) 
Bv Fund: 
ERDF 
ESF 
EAGGF 
Total 
1 SPD 30 
831 
ECU million 
3.1 
0.8 
2.2 
6.0 51% 
13% 
36% 
100% (c)51% (a)2^ 
(b) 28% E A fresh boost tor 
agriculture and forestry 
(a) 
• Employment in the 
secondary and tertiary 
sectors (b) 
• Tourism and quality of 
life (c) 
Delays in implementing the programme on the ground gave rise to concern, which led the 
Commission to intervene on a number of occasions. For example, it proved impossible to organise a 
Monitoring Committee meeting. This means that some important decisions - the technical assistance 
plan, the preparation of assessment and the criteria for selecting projects - have still not been taken. • 
Table V-36: Luxembourg - Assistance by Objective - 1996 in the context of programming for 1994-
1996/99 (ECU million) 
Programmes 
(year of adoption) Total cost S.F. 
assistance 
(11 Commitments 
1996 Commitments 
1994-96 
(21 % 
(21/(11 Payments 
1996 Payments 
1994-96 
(31 % 
(31/(11 
Ohiertive2* 
SPD Luxemboure (19941 1 I8.2I 5,3l -1.5| 6.0I 113%l 0.3l 4.3l 80% 
OP Private promoters (1994) 
OP Public nromoters (19941 
Total 21.6 
24,4 
46.0 9,7 
11.0 
20,7 1.6 
1.8 
3.4 4,6 
5.3 
9,9 47% 
48% 
48% 1,6 
1.8 
3.4 4.0 
4.9 
8.9 42* 
45% 
43% 
Objective 4 
SPD Public tjromoters (19941 | 6.11 2.3l 0.4| 0.9| 38*1 0.3l O.ôl 25* 
Forecasts Luxembourg R. 2328/91 (1994) 
SPD Luxembourg R. 866 and 867/90 (1994) 
Total 128.8 
11.2 
139.9 36.7 
1.7 
38.4 4.3 
0.0 
4.3 15,6 
1.0 
16,5 42% 
57% 
43% 52 
0.0 
5.2 10.0 
0.5 
10.6 27* 
32* 
28% 
Objective 5('a1 fisheries , . 
SPni.nxmnhoi.r-0«»-> 1 3.?| 111 O.ol l.ll 100*1 0„l 0.3l V» 
Ohiertive «(hi 
SPD Luxembour? (19941 
TOTM, 25.5 
239.5 6.0 
73.8 0.0 
6.6 0.8 
35,2 14* 
48% 0.0| 0.4 
9j| 25.2 7* 
34% 
Amounts after deduction of transfers to 1997-99 
36 Eli cible area: North Luxembourg. 
240 8th Annual Report on the Structural Funds (1996) 
9.2. Implementation of the Community Initiatives in 1996 
Note: 
Luxembourg does not participate in four of the Initiatives: Rechar, Retex, Regis and Pesca. Five CIPs were 
adopted in 1994 and 1995 (Employment, Urban, Adapt, Leader, Interreg). One Interreg programme with 
Belgium and France was still to be approved and this was done in 1996. Three national programmes still to be 
approved concerned SMEs (adopted in 1996), Résider and Konver. ; 
Support for the development of the technological potential of Luxembourg: 
Support for technological development plays a comparatively large role in the SMEs and Interreg 11 
Community Initiatives. The. SMEs CIP finances measures of two types to promote RTD to increase the 
international competitiveness of small firms. These are respect for the environment through the sound 
management of resources and the use of clean technologies, and the promotion of strategic management in 
small firms through the development of information systems on public contracts, communications in the 
construction sector, etc. 
The Interreg 11 programme between Luxembourg and Germany encourages the transfer of technology (ECU 
1.6 million: total cost: ECU 3.1 million) and the establishment of cooperation networks. The programme 
involving Luxembourg, Wallonia and Lorraine contains, among the measures likely to introduce new 
technologies, the creation of structures to provide information and support to small firms and the 
development of human resources through the adjustment of training to meet the needs of local industry and 
the setting up of information networks. 
Two new Community Initiative programmes were approved in 1996. The first, adopted in September 
1996, is the SMEs CIP for areas eligible under Objectives 2 and 5(b). Community assistance will 
provide 25% of the total investment planned. The main measures are based on two priorities, 
encouraging small craft and industrial firms to take account of the environment and promoting 
strategic management in small firms. 
An Interreg programme covering Luxembourg, Belgium and France was also approved in February. It 
embraces the districts of Arlon, Virton, Bastogne and Neufchâteau in Belgium, the departments of 
Meuse, Meurthe-et-Moselle and Moselle in France, and all of Luxembourg. The programme has four 
priorities: cross-border economic development (provision of venture capital for small firms on a 
cross-border basis; premises for firms; the development of locally-generated potential); the 
development of human resources (European technology college); the attractiveness and environment 
of the cross-border area (design and implementation of cross-border facilities for waste management; 
establishment of local partnerships in the countryside; improving water and river quality); and cross-
border urban development (town planning, structuring cross-border urban areas). The first meeting of 
the Monitoring Committee was held in November. The arrangements for monitoring the programme 
were approved (Rules of procedure, organisation plan for implementing the programme, selection 
criteria) and a number of projects were considered (study on the exploitation of cross-border aquifers, 
study on preventing flooding of the Chiers, etc.). 
The Commission was unable to approve the joint Resider/Konver programme submitted by the 
Luxembourg authorities. A number of essential points such as a description of the measures were 
missing from the latest version of the programme received on 9 February 1996. Despite the 
Conrrnission's repeated requests, the Luxembourg authorities did not submit a new version during 
1996. 
Turning to the programmes already implemented, the Employment and Adapt CIPs made satisfactory 
progress during 1996. These Initiatives are financing three and two projects respectively, all for a 
four-year period. Under Employment, the Youthstart project seeks to identify young people who have 
not succeeded in the education system and offer them, through guidance and counselling, a recognised 
vocational qualification. The Horizon project tries to create jobs for the disadvantaged in horticulture 
(establishment of a company to maintain open spaces), and the Now project offers integrated training 
to women seeking to re-enter the labour market. The Adapt project provides training and advice to 
firms and is establishing a data base containing information for workers on the on-going training 
available. As for the new Integra strand of the Employment Initiative, for which Luxembourg has 
8th Annual Report on the Structural Funds (1996) 241 
been allocated no extra finance, in 1996 Luxembourg proposed a draft in the form of a pilot project 
under Article 6 of the ESF Regulation. Implementation of Leader is proceeding satisfactorily. 
Following the decision on the allocation of the reserve for the Community Initiatives, Luxembourg 
received ECU 1.23 million which will go to the Résider and Leader Initiatives57. 
Table V-37: Luxembourg - Community Initiatives - 1996 in the context of programming for 1994-99 
(ECU million) 
initiative 
(number or CIPs) 
Adapt (1) 
Employment ( 1 ) 
Leader (1) 
SMEs(l) 
Urban (1) 
Total (5) 
Interrev/Renen (2)** 
CIPs adopted in 1996: 
SMEs 
Interred (/>"* Toul cost 
0.8 
0.6 
4.8 
1.4 
1.0 
8.7 
1.4 S.F. 
assistance* 
m 
0.3 
0.3 
1.0 
0.3 
0,5 
IS 
0.3 Commitments 
1996 
0.2 
0.0 
0.0 
0.3 
0.0 
0.5 
0.3 Commitments 
1994-1996 
(2> 
0.3 
0.3 
1.0 
0.3 
0,5 
2.4 
0.3 % 
ravm 
100% 
100% 
100% 
72% 
100% 
96% 
72% Pavments 
1996 
0.1 
0.0 
0.0 
0.1 
0.2 
0,4 
0.1 Pavments 
1994-1996 
(3) 
0.1 
0.2 
0.4 
0.1 
0,3 
1.0 
0.1 % 
(3V(1> 
30% 
50% 
40% 
22% 
50% 
40% 
22% 
* Excluding reserve 
** For programme details see Chapter VII. Table 2.2. 
**" For programme details see Chapter LEU. Community Initiatives 
57 See also Chapter I.B.I. Community Initiatives. 
242 8th Annual Report on the Structural Funds (1996) 
10. THE NETHERLANDS 
10.1. Implementation of assistance by Obiective in 1996 
Support for the development of technological potential in theregions of the Netherlands: 
Objective 1: The Flevoland SPD allocates ECU 14.4 million (total cost: ECU 86.9 million) to assisting RTD 
in four spheres : 
• the "Regional Technology Plan " which combines increasing regional RTD capacity with working 
towards the region's socio-economic objectives (ECU 0.2 million): 
• creating a technology transfer centre to assist SMEs and a network of regional telecommunications 
centres (ECU 1.5 million): 
• the KIM project, which helps businesses employ people with university backgrounds and highly 
qualified staff in order to introduce new technologies and new working methods into business and 
industry (hydraulics, water resource management, environmental aspects, industrial 
hydrodynamics, development of coastal areas, fire prevention, etc. - ECU 0.2 million); 
• building new applied research infrastructures and providing industry with financial assistance for 
R&D (ECU 12.5 million). 
RTD is also a key factor in the strategy for modernising agriculture (ECU 5.6 million; total cost: ECU 
23.2 million). The SPD encourages the concentration and extension of high-level RTD through relocations 
and the creation of research institutes (e.g.: the Lelystad 1DL-DLO research centre, creating 250 posts for 
highly qualified staff), the diversification of their activities and the development of a centre to facilitate the 
transfer of research results to the agri-industrial sector and to farms. The SPD also provides support for 
fisheries research (ECU 1.1 million; total cost: ECU 20.7 million). 
Objective 2 (1994-96): The Objective 2 SPDs devote 10% of the Structural Fund contribution to RTD. The 
measures are intended to strengthen the industrial fabric by stimulating product innovation and development, 
more specifically: 
• Arnhem-Nijmegen: sites for business and industry (the Mercator Science and Technology Park in 
Nijmegen, the HBO-Bedrijfscentrum in Arnhem, the Bedrijvencentrum Simon Stevin in Arnhem): 
development of industrial structures and expertise (business clusters - e.g.: a business 
collaboration project in the silver-plated goods industry; promotion of innovation and quality 
(e.g.: medical technology; new business activities, etc.), investment in human capital (ECU 6.9 
million in total; total cost: ECU 25.6 million); 
• Groningen-Drenthe: encouragement of technological innovation, assistance for RTD, guidance on 
the application of environmental technologies, creation of a technological development centre 
(ECU 0.5 million; total cost: ECU 1.2 million); 
• Twente-Overijssel: development of technological infrastructures and expertise (ECU 1.8 million; 
total cost: ECU 5.3 million) and support for innovation (ECU 0.5 million; total cost: ECU 
1.1 million) - e.g.: technology institutes in the Business and Science Park; 
• South Limburg: development of products, business sites and environmental technologies and high-
level training in technology (ECU 8.2 million; total cost: ECU 25 million); 
• South East Brabant: equipping research centres (ECU 9.7 million; total cost: ECU 39.7 million), 
improving technological training and the transfer of expertise to new businesses. 
Apart from RTD. the programmes are devoting 1.5% to telecommunications, specifically linking up with the 
telecommunication networks and basic infrastructure and equipment. Only the Twente SPD makes more 
precise provision, for the construction of a cable link in the Business and Science Park and the establishment 
of a Data Transmission Study Centre to develop multi-modal transport in the region. As for data transmission 
applications, the Twente SPD is providing support for the development of data transmission applied to 
transport and Groningen-Drenthe is supporting the creation of a Data Transmission Development Centre. 
Objective 5(b): In Friesland research and information centres are being developed and technology transfer in 
the context of business development will be facilitated. In Groningen-Drenthe priority is being given to 
developing business clusters with the help of a grant of ECU 7.3 million (total cost: ECU 32.9 million), as 
well as support for new products and technologies and informing businesses about innovation. In Overijssel it 
is planned to develop data transmission services and research projects and develop new products in the 
context of developing natural resources and agriculture. 
In total. Community financing for technological development in the Netherlands accounts for 13.2% of 
Structural Fund appropriations (Objectives 1 and 2). 
8th Annual Report on the Structural Fund'; (1996) 243 
Table V-38: Netherlands - Financing directly related to technological development in 1994-99 (ECU 
million) 
Objective 1 
<_________•__ 
TOTAL TOTAL 
132.7 
97 8 
230.S -_. 
58% 
J22L 
100% .Structural Funds 
22,0 
27.6 
49.6 _%_ 
17% 
22% Public Private Total 
89,9 
-_L_. 
J___ 20,8 
-22J1 
_____ Mgmfcr State 
110,7 
-JL0_ 
-lSfl-2. _%_ 
83% 
_____ 
____ Financing by the Structural Funds 
3% 
N'B: The programming procedure and different approaches taken by the Member Slates 
invite caution in interpreting these figures, in particular spending on information society protects, 
which are often linked ID other fields such as RTD and industry. 97% 
ORTD "Telecom. 
OBJECTIVE l58 
Fir. V-45: Proerammine 1994-99 (ECU million): 
Priorities: 
Industry promotion (a) 
Tourism (b) 
Agriculture, rural development (c) 
Fisheries (d) 
Human resources (el 
Business infrastructure (f) 
Transport infrastructure (2) 
Research and development (h) 
Technical assistance (i) 22.0 
5.2 
21.2 
8.2 
28,0 
17.0 
31.4 
14.4 
By Fund, 
ERDF 
ESF 
EAGGF 
FIFG 
Total 80,0 
40,0 
21,5 
8,5 
150.0 53% 
27% 
14% 
6% 
100% 
1SPD (h)10% (02% (a) 15% 
(9)21% 
(f)11% (e) 19% 
Main features of 1996 
The general objectives of the Flevoland SPD include bringing per capita GDP up to 85% of the 
Cornrnunity average, achieving employment growth 3% higher than the national average and an 
unemployment rate below the national average and reducing disparities in unemployment rates within 
the region. Not all of these goals have yet been achieved. Per capita GDP is catching up with the 
national average and employment growth is almost 3% higher than the national rate, but for the first 
time unemployment in Flevoland is slightly higher than the average for the Netherlands and 
unemployment disparities within the region increased between 1994 and 1995. 
Among the main points to be noted concerning the implementation of the SPD in 1996, the first is the 
introduction of subject-based meetings to stimulate open discussion between the partners on specific 
subjects such as, in 1996, fostering job creation, interim assessment, agricultural policy, and the 
Regional Technology Plan. Secondly, Flevoland is one of the regions participating in the territorial 
employment pacts. The region drafted an action plan called "Action for employment", which follows 
the lines of the Objective 1 SPD but stresses the need for greater coordination of the various regional 
partners on the basis of three principles: dynamism, creativity and synergy, the aim being to achieve 
coherence between existing projects rather than launch new ones. The impact on employment of 
projects already approved is estimated as follows: 10 492 permanent jobs (6 749 created directly and 
3 743 indirectly) and 2 793 temporary jobs. 
The implementation of the various measures meant that the 1995 instalment could be paid out and that 
for 1994 closed. The following measures are progressing satisfactorily: support for business and 
58 Eligible area: Flevoland. 
244 8th Annual Report on the Structural Funds (1996) 
industry (particularly SMEs) and transport infrastructure (the main project is the conversion of road 
No 27 into a motorway (the A27), which will improve Flevoland's links with the centre and south of 
the country; work on this project is up to schedule). In other areas (fisheries, business infrastructures 
and research and development) progress is slower. On the other hand, the Regional Technology Plan 
has given rise to an increased number of research and development projects. Measures relating to 
fisheries are proceeding as forecast, beginning with the implementation of the measure to adjust 
fishing effort by the permanent decommissioning of vessels; measures relating to product processing 
and marketing have now also been launched. In the case of the 'Agriculture and rural development' 
priority, apart from measures under Objective 5(a), the measures financed by the EAGGF are 
essentially to assist agricultural research, sustainable farming, new agricultural activities and water 
management. All these measures are considerably behindhand with their financial implementation 
because of long gaps between legal and budget commitments and payments. So at the end of 1996 
only two of the six annual instalments had been committed, i.e. 30% of the appropriations provided 
for. A discussion day on farming in Flevoland was organized and measures to accelerate 
implementation have been taken. 
1996 in the context of programming for 1994-99 
The mid-term assessment report was submitted by the assessor. Its main conclusions were that the 
structure, strategy and coherence of the programme are still sound but organisation and management 
could be better integrated. It also recommends a greater concentration of effort on certain areas, in 
particular combating unemployment, diversification in areas dependent on fisheries and creating 
centres of activity in certain sectors such as the food industry, transport and distribution, the media, 
tourism and leisure. Generally speaking it may be said that the SPD has helped to improve 
cooperation between the various partners in a region which has not traditionally had cooperative 
networks. The operation of the Monitoring Committee has been improved, in particular by 
introducing subject-based meetings, which have drawn many participants; of the eligible Dutch 
regions, only Flevoland has taken this particular initiative. 
OBJECTIVE 259 
Fie V-tt- Proerammine 1994-96 (ECUmillion): 
By sector, 
Productive environment (a) 
Human resources (b) 
Land improvement and restoration (c) 
Protection of the environment (d) 
Technical assistance (e) 
By Fund : 
ERDF 
ESF 
Total 144.0 
80,2 
_____ 64% 
36% 
100% 
5 SPDs 
______________ 44.8 (d) 2% (e) 3% 
(c)13% ^___-_T—^(a> 46% 
(b) 36% 
1996 in the context of programming for 1994-96 
The five SPDs were closed in 1996, with a substantial proportion of the appropriations initially 
programmed (ECU 80.1 million, i.e., 27% of the total initial assistance) not committed and transferred 
to the 1997-99 period. These transfers vary among thé regions from 17% to 33% of the initial 
assistance60. The 1994 and 1995 annual instalments were closed for all the SPDs except that for 
59 Eligible areas: Àrnhem-Nijmegen, Groningen-Drenthe, Twente-Overijssel, South Limburg, South East 
Brabant. 
60 The transfers represent the following amounts: ECU 22.3 for Groningen-Drenthe (29% of the initial 
assistance), ECU 11.2 million for Arnhern-Nijrnegen (20%), ECU 9.9 million for Twente-Overijssel (17%), 
ECU 14.1 million for South Limburg (32%), and ECU 22.6 million for South East Brabant (33%). 
8th Annual Report on the Structural Funds (1996) 245 
Twente, while the first instalment for 1996 was committed for three of them (Groningen-Drenthe, 
Arnhem-Nijmegen and South East Brabant). It was only in 1996 that the systems for monitoring the 
different SPDs became fully operational, enabling all financial information and indicators to be 
transmitted in detail. 
Each programme developed in different ways: 
• in Groningen-Drenthe two measures - the Regional Technology Plan and measures relating to the 
environment and energy - were completed and will serve as a basis for the next phase, while the 
measure assisting businesses with advice, internationalisation, technology and investment were a 
marked success and had to be allocated additional funding. However, there was some difficulty in 
engaging the interest of the final beneficiaries of the programme, mainly because of the diversity 
of administrative procedures involved; 
• under the Twente programme, the Commission approved two venture capital funds as well as the 
Regional Technology Plan which serves as a framework for the selection of technological projects. 
In this programme, several measures - a multi-mode transport infrastructure project and an 
industrial infrastructure project, financed by the ERDF and transport, distribution and tourism 
projects financed by the ESF - are encountering difficulties,, whereas the ESF measure to assist 
industry is making rapid progress. The assessment concludes that employment in industry is 
continuing to fall, but that the measures to assist industry and help develop businesses, which are 
working well, could help to slow down this decline; 
• the rate of implementation in Arnhem-Nijmegen is explained by the fact that some measures are 
late (in particular, tourism and ESF measures). Strategies for assisting industry and tourism were 
improved, but it was noted that sectoral and semi-public organisations needed to participate more 
actively; 
• in the case of South East Brabant, ESF financing was almost fully used in 1996 and ERDF 
measures to assist industrial sites, business parks and the working environment progressed well, 
while those to assist tourism and technology and training centres were not so successful. The 
assessment shows that the objectives of the programmes should be achieved, that the programme 
schedule was complied with, there were no difficulties with monitoring or part-financing, SMEs 
were effectively informed and the first finalised ESF projects enabled 86% of the unemployed who 
had taken part in training to find a job; 
• in South Limburg the programme was adjusted firstly because of indexation, with the resulting 
amount being allocated to measures to assist tourism and technical assistance (adaptation of the 
monitoring system), and secondly because of the amounts not used by the measures to assist 
industry and create new companies were transferred to the tourism measure; the transfer is to be 
compensated for in the 1997-99 programme. 
Preparation of the 1997-99 programming period 
Preparation of the 1997-99 programming period began in the second half of 1996. Each of the projects 
submitted follows on from measures in the 1994-96 programming period, but with some modification 
of the priorities. For example, the draft SPD for Groningen-Drenthe places greater emphasis on local 
employment initiatives, the economic importance of certain towns and the Regional Technology Plan, 
and less on infrastructure. Similarly, the quality of life and the local economy as well as employment 
initiatives have been added to the priorities in South East Brabant. Investment in Twente will be more 
focused than in the past on future-oriented sectors capable of creating jobs and diversifying the 
regional economy, which means that more financing will be going to assist productive infrastructure, 
technology and industry. Similarly, the emphasis of the Arnhem-Nijmegen draft programme will be 
shifting from economic infrastructures towards businesses and information technology. 
246 8th Annual Report on the Structural Fund<: (1996) 
OBJECTIVES 3 AND 4 
Fie. V-47: Obiective 3 - Proerammine 1994-99 (ECU million - 1995 prices) 
Priorities 
Training (a) 
Placement (b) 
Reintegration (c) 
Technical assistance fd) 
Total ESF 
480.0 
120.0 
277.0 
_____ 
923.0 
I SPD (d) 5% 
(c) 30% 
(b) 13% (a) 52% 
The Objective 3 programme progressed according to plan, with the entire annual instalment (ECU 164 
million) committed and a total of 128 900 participants in projects financed by the ESF (74 900 
receiving direct training, 6 460 receiving counselling and 47 540 participating in reintegration 
projects). Expenditure tends to concentrate more on the reintegration projects than on counselling. 
This reflects the tendency of employment services to seek individual approaches to assist the 
unemployed and the prograrriming for the following years may be officially changed to reflect this 
shift during the mid-term review. In 1996 ESF financing of the traineeship system was also extended; 
this system offers training in the work place, work experience and one day of theoretical training per 
week. The ESF is also organising ways of matching supply and demand for trainees by region and by 
sector, which will make it possible to place an additional four to five thousand young trainees every 
year. 
Financial implementation was rather less good than in previous years because of the time it takes for 
the regional employment offices to submit projects under the ESF pan-financing system. The 
allocation of certain budgets to a particular promoter has meant that in certain cases they have 
remained unused if the promoter did not succeed in organising the project. The cost of the projects 
seems to have slightly increased because unemployment has fallen in the Netherlands and so greater 
effort is now required to help those who remain unemployed. 
Fie. V-48: Objective 4 - Proerammine 1994-99 (ECU million - 1994 prices): 
D_*___.*_. I rcr Priorities 
Encouraging interest in training (a) 
Matching training with needs (b) 
Training programmes (c) 
Technical assistance (d) 
____l ESF 
13.0 
29.1 
106.7 
7.4 
J_-_ 
I SPD (d) 5% (a) 8% 
(b) 19% 
(c) 68% 
The Objective 4 SPD finally started progressing at a steady pace in 1996. 69 projects were selected 
for a total amount of ECU 40 million. Most of them were clusters of several businesses (120 on 
average) from the same sector (17 sectors in all) and they were organized by the "O&O" funds, 
sectoral training funds administered by the social partners. It is estimated that 41 000 people received 
training under these projects, with 25 000 of them working in SMEs. Of the programme's three 
priorities, the most financing goes to the third priority, training. It seems that forecasting labour 
market trends and the development of training programmes is already well developed in the 
Netherlands. Under the 'Anticipation' priority, an employment monitoring system was set up, which 
has already worked effectively in the coordination of existing efforts and which will examine trends 
in supply and demand on the labour market and establish whether the Objective 4 programme is in 
step with these trends. This programme is already well known to the target group and is finding it 
increasingly difficult to cope with the large number of project proposals. 
8th Annual Report on the Structural Funds (1996) 241 
OBJECTIVE 5(a) agriculture 
Table V-59: Proerammine 1994-99 (ECU million • 1994 prices): 
Total 
118,0 Measure 
Production 78.8 
39.2 .St 
67% 
33% 
Investment in the modernisation of production structures mainly went to the housing of farm animals 
in 1995. The number of farms benefiting from investment aid in 1995 fell significantly, from 918 in 
1993 and 883 in 1994 to 226 in 1995. This fall is attributed to the "wait-and-see" attitude of the Dutch 
agricultural sector as a result of trends in agricultural income. This is reflected in the downward 
revision of expenditure for 1995 (- 43% compared to the forecasts made in 1994). Since 1993, setting-
up aid fqr young farmers has no longer been provided. The SPD for product processing and marketing 
began as programmed. Most of the projects are innovative or have an environmental emphasis. For the 
sake of simplicity, in 1996 the Netherlands proposed integrating the different arrangements for 
investment aid available under a number of Community Regulations into a single legal instrument for 
investment aid. 
OBJECTIVE 5(a) fisheries 
Fif. V-49: Obiective 5(a) Fisheries - Proerammine 1994-99 (ECUmillion). 
Adjustment and redirection of fishing effort (a) 
Other fishing fleet measures (b) 
Renovation and modernisation of the fishing fleet (c) 
A'auaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and-marketing of products (e) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures ffl 
Total _____ 
8.0 
0,0 
2.2 
US 
0,0 
20,4 
8.5 
6.0 
pm 
0.0 
MA (h) 13% 0)0* (a) 17% 
(g)l8%_^^ I **\ (c)5% 
(d) 3% 
(f) 44% 
The implementation of the programme on the ground began with measures for the adjustment of 
fishing effort, namely the permanent decommissioning of vessels. Certain projects concerning the fish 
processing industry were also launched, whereas implementation of most of the other measuses under 
the SPD has been relatively slow. 
OBJECTIVE 5(b)61 
Fie. V^SO: Objective 5(b) - Proerammine 1994-99: 
Population (1000 hab.) 
Area (Km2) 
Bv Fund: 
ERDF 
ESF 
EAGGF 
Total 
5 SPDs 
Average per gp; a 800 
5405 
ECU million 
81.8 
17.6 
50.6 
______ 55% 
12% 
34% 
100% 
30.0 (a) 11% 0)1% (»)8% 
(c)42% D Agricultural and horticultural 
development (a) | 
~ Setting up businesses (b) 
•_ I 
•Tourist infrastructure (c) j 
"Protection of the 1 
environment (d) i 
•Human resources (e) ! 
! "Technical assistance (f) i 
A certain delay in the implementation of projects was noted in the case of one region (Groningen-
Drenthe). The Commission insisted that the procedure for paying final beneficiaries should be 
speeded up. In September 1996 the Cornmission approved an amendment Qf the Overijssel SPD 
concerning a transfer between two measures, and at the end of 1996 the province of Limburg also 
61 Eligible areas: Friesland, Groningen-Drenthe, Limburg, Overijssel, Zeeland. 
<? J 
CHAPTER! 
IMPLEMENTATION OF PROGRAMMING 
248 8th Annual Report on the Structural Funds (1996) 
submitted a request for an amendment. The Monitoring Committees in the various provinces decided 
to reserve the amounts derived from the indexation of the programmes (1995/96) for 1999. One of the 
most important aspects of their work was assessment. It was organized at national level by the 
Ministers for Agriculture and Economic Affairs. The mid-term assessment will be conducted by the 
same external agency for each region and the final reports will be presented at the end of the first 
quarter of 1997. 
Table V-40: Netherlands - Assistance by Objective -1996 in the context of programming for 1994/99 (ECU 
million) 
Programmes 
(year of adoption) Total cost S.F. 
assistance 
(1) Commitments Commitments 
1996 1994-96 
(2) % 
(2)/(l) Payments 
1996 Payments 
1994-96 
(3) % 
(3vm 
OhiectiyeJ 
SPD Flevoland HQ94Ï 1 958.7| 150.0| 4.8l 42.0l 28*1 11.81 31.51 21* 
Obiective 2" 
SPD Arnhem-Nijmegen (1994) 
SPD Groningen-Drenthe (1994) 
SPD Twente-Overijssel (1994) 
SPD South Limburg (1994) 
SPD South East Brabant (10941 
Total 173,1 
195,9 
156.4 
102,9 
169.6 
798.0 45.6 
54,8 
49.0 
29.5 
45.3 
224,1 2U 
16,7 
24,5 
12,0 
24.6 
99.1 39.2 
50.0 
43,0 
25.8 
46.0 
204.2 86% 
91% 
88% 
87% 
102* 
91% 3,8 
13,3 
8.2 
1,4 
12.6 
39.3 12,7 
30,0 
17,5 
8,3 
23.3 
91.8 28% 
55% 
36% 
28% 
51% 
41% 
Obiective 3 
SPD Nerherlands (19941 1 2.219.71 935.31 152.21 434.51 46*1 124.61 377.9! 40% 
Obiective 4 
SPD Netherlands fl9941 1 363.61 156.21 O.ol 22.21 14*1 O.Ol ll.ll 7* 
Obiective 5(a) agriculture 
Netherlands forecasts R. 2328/91 (1994) 
SPD Netherlands R 866 nnd 867/90 (1 994> 
Total 461,7 
313.7 
775.3 78,8 
39.2 
118,0 2,1 
6.9 
9.1 20,8 
13.5 
34,3 26% 
34% 
29% 1.2 
5.3 
6.5 8,1 
10.5 
18.6 10% 
27* 
16% 
Obiective 5(a) fisheries 
SPD Netherlands fl994) I 127.51 46.61 6.4| 15.51 33*1 6.5l 12.71 27* 
Obiective 5(b) 
SPD Friesland (1994) 
SPD Groningen-Drenthe (1994) 
SPD Limburg (1994) 
SPD Overijssel (1994) 
SPD 7-Hand (1994) 
Total 
TOTAL 266,9 
157,4 
48.4 
70,2 
49.2 
592.1 
5.834.9 68,7 
34.9 
19,1 
15.5 
11.8 
150.0 
\Wà 6.7 
1.5 
5.0 
1,6 
0.8 
15.6 
PPA 19.3 
5.7 
7,3 
4.9 
3.9 
412 
793,9 28% 
16% 
38% 
32% 
33* 
27% 
45% 5.1 
1.0 
3.3 
2.3 
0.9 
12.7 
?0i,4 10.3 
3.1 
4.5 
3.9 
3.4 
25,3 
568,9 15% 
9% 
24% 
25% 
29* 
17% 
32% 
* After deduction of transfers to 1997-99 
10.2. Implementation of the Community Initiatives in 1996 
Note: 
The Netherlands is not participating in the Rechar or Regis Initiatives. Twelve CEPs (Community Initiative 
programmes) at national level were adopted in 1994 and 1995 for all the Initiatives, to which 7 Interreg CEPs 
should be added. At the end of 1995, only the Konver CIP remained to be adopted, and this was approved in 
1996. 
Support for the development of technological potential in the Netherlands : 
Most of the Dutch CIPs contain measures to support technological development. In this respect, the SMEs 
programme provides not only for the development of telecommunications as a basic factor in the constitution 
of networks between businesses, but also, on the RTD side, several measures to promote the introduction of 
new procedures, techniques and products, as well as cooperation with research centres (e.g. open days, 
exchange projects, training on the job) and the transfer of technology. Furthermore, one of the programme's 
strands focuses on new information systems, aiming to introduce new technologies into businesses. Under 
Interreg, certain programmes have introduced support measures for telecommunications. Some programmes 
involving the Netherlands and Germany give priority to the reinforcement of telecommunications 
infrastructure, as is also the case for the Netherlands and Belgium, to provide connections with the trans-
European electronic networks. On the RTD side, cooperation programmes between the Netherlands and 
Belgium and the Netherlands, Belgium and Germany provide support for cooperation between businesses and 
research centres, as well as technology transfer to stimulate innovation and the modernisation of production 
procedures and products. 
In the case of the industrial conversion Initiatives, in Ijmond Résider is promoting new technologies and 
industrial development as well as nerworks in the industrial and service sectors, with the help of a grant of 
ECU 3.7 million (iota! cost: ECU 9. J million) for business innovation and creation. The Retex programme is 
8th Annual Report on the Structural Funds (1996) 249 
also providing support for technological development and innovation in the Twente region. 
Under the Employment, initiative, the Horizon strand facilitates the integration of handicapped people and 
disadvantaged groups into the labour market through the development of distance working and the 
introduction of flexible training systems such as distance learning and interactive education. 
The Konver CEP was finally adopted by the Commission in March 1996. It covers eight Dutch regions 
(Kop van Noord-Holand, The Hague/Delft, Rijnmond, Walcheren, part of the province of Utrecht, 
Veluwe, Amhem/Nijmegen and North West Brabant), and focuses mainly on the conversion of 
defence-related industries, the stimulation of innovation, the revitalisation of industrial sites, the 
development of tourism and training. The decision on the allocation of the Community Initiative 
reserve will give this programme an extra ECU 15.1 million and extends it to 1999. 49% of the first 
advance has already been allocated to projects by the Dutch authorities and the programme is arousing 
great interest, with a large number of applications by project managers. 
The Corrtmission's decision on the Community Initiatives will give an extra ECU 184.55 million to the 
Netherlands. Apart from the sum allocated to Konver, this amount has been distributed among the 
Adapt, Employment, Leader, Pesca, Résider, Urban and Interreg Initiatives62. In the case of Interreg LI 
C, under the flood prevention strand, the Netherlands will receive ECU 100 million to implement a 
programme in the Meuse-Rhine basin. This programme was drawn up at the end of 1996 in 
cooperation with the Belgian, German, French, and Luxembourg authorities and will have a Structural 
Funds package of ECU 135 million at its disposal (in addition to the sum allocated to the Netherlands, 
the package is distributed as follows: Belgium: ECU 7.5 million; Germany: 24.9 million; France: 
2.6 million; no budget for Luxembourg). 
As regards existing programmes, the Résider (Ijmond) programme wjll be extended to 1999 and 
allocated an additional ECU 5 million from the reserve. The programme is succeeding well: at the end 
of 1996, 70% of the Structural Funds package was committed to projects and the total cost will rise 
from ECU 50 million to ECU 100 million because national, regional and private part-financing will be 
higher than initially envisaged. The aid scheme for advice for SMEs has been particularly successful, 
especially because of the great demand for ISO certifications, which has meant that funding for this 
measure has had to be doubled. The Retex Initiative has been integrated as a measure under the 
Objective 2 SPD for Twente to encourage SMEs to innovate, and it has already paid out 50% of its 
allocation. The SMEs CEP started up in 1996 and 65% of its annual instalment for 1996 was 
committed to projects, which means that it is behind schedule. There are, however, considerable 
differences from measure to measure: the measures to assist technology projects, exchanges of 
experience and the networking of demonstration projects are going well, while others such as 
demonstration centres, RTD centres and the introduction of new technologies in SMEs, still need 
more work. 
Under the Urban Initiative the two first programmes - for Amsterdam and The Hague - started up 
relatively late because of hesitations by the Dutch authorities about which cities to choose. In 1996 
important work was done under the Amsterdam programme. The Dutch authorities also decided to 
allocate an additional ECU 13.1 million from the reserve to two new CEPs for Rotterdam and Utrecht, 
programmes for which were presented at the end of 1996. In the case of Pesca, the ECU 2 million 
extra allocated from the reserve will go to non-Objective 1 areas. The implementation of this 
programme is, however, relatively slow, both within and outside the Objective 1 area, in particular 
because of internal coordination difficulties arising from the fact that several Structural Funds and 
national authorities (the Ministry, local authorities, etc.) are involved in part-financing. 
See also Chapter I.B.I. Community Initiatives. 
250 8th Annual Report on the Structural Funds (1996) 
The four Leader programmes have been progressing satisfactorily and the network of the four eligible 
regions is operational. The assessment will cover all four programmes with a specific separate 
analysis for each region and will be carried out by the same external agency. In Flevoland the projects 
selected have three priorities: reducing the vulnerability of the agricultural sector, strengthening the 
tourism sector and increasing the viability of villages. 
Under the Employment Initiative, 41 projects (15 Now projects, 17 Horizon projects and 9 Youthstart 
projects) were selected in 1995 and began at the end of that year and the beginning of 1996. The Now 
projects focus above all on women in ethnic minorities and on social welfare. The Horizon projects 
for handicapped people support the development of a model of "accompanied employment", while 
those to assist disadvantaged young people concentrate in particular on the long-term unemployed. 
The Youthstart projects mainly concern young people of foreign origin with few or no qualifications. 
The Dutch authorities presented a revised draft of the programme inserting a new strand, Integra, and 
arrangements have been made to launch an invitation for projects as part of the second series of 
Employment projects in 1997. Under the Adapt programme 67 projects became operational in 1996. 
Particular priority is given to SMEs and support is provided for new businesses as potential job-
creators. The projects also concern the transfer of know-how and expertise from big companies to 
small ones, cooperation between SMEs and R&D and training institutions, and improving 
opportunities for women on the labour market. Another revision of the CLP was proposed to include a 
new strand, Adapt (a), and in this case too arrangements have been made to launch an invitation for 
projects at the same time as the second 1997 series of Adapt projects. A conference to stimulate 
interest in this new strand among project promoters was held in October 1997. 
Table V-41: Netherlands 
million) Community Initiatives -1996 in the context of programming for 1994-99 (ECU 
Initiative 
(number of proes.) 
Adapt (1) 
Employment (1) 
Leader(4) 
Pesca (1) 
SMEs(l) 
Konver (1) 
Résider (1) 
Retex (1) 
Urban (2) 
Total (13) 
Interree/Reeen (7)** 
CIPs adopted in 1996: 
KQBYEL Total cost 
142.8 
91.4 
35.2 
34.2 
26.9 
32.0 
51.5 
3.5 
87.9 
505.3 
32.0 S.F. 
assistance* 
(1) 
57.6 
42.4 
8,5 
10.6 
10,3 
12,0 
18.1 
1.0 
9,3 
169.9 
12.0 Commitments 
1996 
0.0 
2.2 
0.0 
9.3 
0.8 
11,0 
0,0 
0,0 
0.0 
23.4 
11.0 Commitments 
1994-96 
(21 
11.5 
6.5 
8.2 
10.5 
10,3 
11,0 
18.1 
1.0 
7.9 
85.0 
11.0 % 
(?)/fl) 
20% 
15% 
97% 
99% 
100% 
91% 
100% 
100% 
85% 
50% 
91% Pavments 
1996 
0.0 
1.1 
0.0 
1.1 
0,2 
3,3 
1.0 
0.0 
0.0 
6.8 
3.3 Pavments 
1994-96 
f?) 
5.8 
3.2 
2.5 
1.7 
3.1 
3.3 
8.4 
0.5 
2.4 
30.8 
3.3 % 
10% 
8% 
29% 
16% 
30% 
27% 
46% 
50% 
25% 
18% 
27* 
Excluding reserve 
* For programme details see Chapter VII. Table : 
8th Annual Report on the Structural Funds (1996) 251 
11. AUSTRIA 
11.1. Implementation of assistance bv Obiective in 1996 
Support for the development of technological potential in the regions of Austria: 
Objective 1: The Burgenland SPD seeks to boost commerce, industry and tourism by stimulating RTD and to 
improve the quality of life by generating a climate inducive to innovation and technological development. 
Allocated ECU 15.5 million (total cost: ECU 82.6 million), this priority comprises measures to assist 
enterprises geared to technology and innovation, telecommunications networks and applications, the 
construction of, and provision of equipment for, technology centres and technical high schools, and the 
staffing of technology transfer centres. Under other priorities, targets for assistance also include training in 
RTD skills for the unemployed and young people and back-up in the realm of technological know-how. 
Objective 2: All Austrian SPDs under Objective 2 comprise support measures for technological development: 
• Upper Austria: development of technology infrastructures (e.g. FA7AT - centre for innovation in 
the field of technology transfer) and basic and in-service training centres, allocated 
ECU 4.3 million (total cost: ECU 17.7 million); support for RTD, including innovation in products 
and production processes (ECU 1.3 million; total cost: ECU 19.6 million); 
• Lower Austria: support for RTD to bring the region's level of industrial technology up to the 
national average, give the region a technological bias, set up national and international-scale 
research establishments and improve technology transfers to regional SMEs; support for 
innovative SMEs; 
• Styria: support for technology and innovation transfers to SMEs and back-up for cooperative 
research projects in enterprises (ECU 5.8 million; total cost: ECU 49.4 million); developing 
human resources RTD capacity (ECU 2 million; total cost: ECU 4.9 million); 
• Vorarlberg: investment and RTD projects (ECU 4 million; total cost: ECU 56.8 million); 
improving know-how (ECU 1 million; total cost: ECU 5.9 million). 
Objective 5(b): The Objective 5(b) SPDs provide support for technological development as a means of 
developing economic activity and creating jobs in rural areas: * ' 
• Lower Austria: 300 agricultural innovation projects; technological cooperation between 
enterprises and research centres; 
• Styria and Vorarlberg: conversion of industrial and marketing activities through the development 
of technology transfer; 
• Carinthia: RTD in agriculture. 
Overall, Structural Fund appropriations flowing into technological development in Austria amount to 14% of 
Community funding (Objectives 1 and 2). 
Table V-42: Austria - Funding directly linked to technological development in 1994-99 (ECU million) 
Objective 1 
____________ 
TOTAL TOTAL 
82,6 
228.5 
311.1 J2L 
27< 
73J 
JOQS SF 
15,5 
21.7 
_2L _&_ 
19% 
9% 
i___ Public Private 
26,9 
40.7 
67.6 Member State 
40,2 
166.2 
206.4 Total ft 
67,1 
206.9 
274.0 81% 
91% 
____ Financing by the Structural Funds 
11% 
NB: The programming procedures and different approaches taken by the Member States 
invite caution in interpreting the figures, in particular spending on information society projects, 
which are often linked to other fields such as industry and RTD. 
The amounts under Objective 1 refer only to the RTD priority. 
The amounts relating to Objective 2 do not take account of RTD measures covered by the human 
resources priority in the Stvria SPD. 89% 
I RTD "Telecom. 
252 8th Annual Report on the Structural Funds (1996) 
OBJECTIVE l63 
Fie. V-51: Proerammine 1995-99 (ECU million): 
Priorities: 
Trade and industry (a) 
Research and development (b) 
Tourism (c) 
Agriculture and environment (d) 
Promoting growth and job stability (e) 
Technical assistance (f) 56.8 
15.5 
58.7 
24.2 
26.3 
4J 
Breakdown bv Fund: 
ERDF 
ESF 
EAGGF 
Total 107,64 
33,12 
24,84 
______ 65% 
20% 
15% 
J SPD (e) 16% 
(d)15% (a) 35% 
(c)24% (b) 10% 
Main features of 1996 
In 1996 major progress was accomplished in the implementation of the Burgenland SPD, where 
implementation has reached a satisfactory level after a difficult starting-up period and is now in line 
with the forecasts. At the end of 1996, the competent federal and Land authorities had approved 
projects entailing an ERDF contribution of some ECU 60 million (36% of assistance in 1995-99). 
Progress was especially marked in measures providing direct aid for productive investment in industry 
and in those geared to improving tourism potential and business infrastructures (industrial estates, 
science parks, etc.). The Austrian authorities approved a number of strategic projects in each of these 
areas during the year (e.g. major industrial investment projects like Leocell in Heiligenkreuz and 
Strohal in Mullendorf, the Technologiezentrum in Eisenstadt, and the Rogner GolfSchaukel project in 
Stegersbach). Similar progress was recorded in rural development measures. Significant results have 
been achieved in the creation of alternative employment in rural areas and in the field of renewable 
energy resources. Much effort has been spent on strengthening agricultural holdings, setting up new 
marketing structures and creating new income opportunities in tourism (spa and sports activities). 
1996 in the context of programming for 1995-99 
In terms of financial implementation, starting-up problems led to delays in payments during the first 
half-year. Despite considerable improvement in the fourth quarter, it proved impossible to start the 
1996 ERDF and EAGGF instalment before the year closed. 
63 Eligible area: Burgenland. 
8th Annual Report on the Structural Funds (1996) 253 
OBJECTIVE 2M 
Fie. V-52: Proerammine 1995-99 (ECU million -1995 prices): 
Priorities: 
Investment in business (including tourism) 
(a) 
R&D. innovation, technology transfer (b) 
Support infrastructures (c) 
Training and retraining (d) 
Technical assistance (e) ' 40,8 
10.2 
16.7 
30.5 
Breakdown bv Fund: 
ERDF 
ESF 
Total 70,246 
30,754 
101.9 70% 
30% 
4 SPDs 
Average ner SPD 25.3 (e) 3% 
(d) 30% 
(a) 40% 
(c) 17% (b) 10% 
Main features of 1996 
1996 saw satisfactory progress in the implementation of the four SPDs adopted in 1995 for the period 
1995-99. Take-up of funding was generally highly satisfactory in the case of measures to assist 
productive investment. In certain cases, measures of a more innovative character are lagging behind 
and they should be publicized to a greater extent. At the end of the year, appropriations committed to 
selected projects accounted for 34% of those available for the whole programming period and 21% 
had been paid to the final recipients. The Monitoring Committees held two meetings in 1996. At the 
first, the membership of the Committees was approved and the Austrian authorities provided 
additional information on the practical arrangements for implementing the programmes. 
1996 in the context of programming for 1995-99 
As the SPDs were only approved in November 1995, implementation could not commence before 
1996. Nevertheless, the possibility of retroactive application made it possible to catch up most of the 
time lost in 1995. Commitments and payments for the four programmes as a whole are now in line 
with programming in the SPDs. 
OBJECTIVES 3 AND 4 
Fie. V-53: Objective 3: Proeammine for 1995-99 (ECU million 
Priorities 
Support for categories hit by structural 
changes(a) 
Integration of long-term unemployed, the 
elderly and persons threatened with 
exclusion (b) 
Integration of handicapped (c) 
Vocational integration of young DeoDle (d) 
Promoting equal opportunities for men and 
women (e) 
Technical assistance (f 
T?tal 1995 prices): 
ESF 
25,8 
113,8 
95.2 
22.9 
61,1 
334.0 
1SPD (e) 18 
(d) 7% (f) 5% (a) 8% 
(b) 33% 
(c) 29% 
During 1995 and up to 31 May 1996, around 28 100 persons received assistance under measures in 
the SPD for Objective 3 (26 700 for projects for skill improvement and aid for employment, the 
remainder being for the use of consultancy and monitoring structures). Most of the projects (70%) 
entail the participation of up to 20 persons only, there being numerous small-scale projects in the 
priorities targeting the integration of handicapped persons and the promotion of equal opportunities 
for men and women. Aid for the integration of young people into working life has become necessary 
64 Eligibles areas: Lower Austria, Upper Austria, Styria and Vorarlberg. 
254 8th Annual Report on the Structural Funds (1996) 
in Austria, where unemployed below the age of 25 numbered 49 000 in January 1997 (in the case of 
females, this represents a 2.6% rise over January 1996). Measures for the vocational integration of the 
handicapped constitute a new approach for the authorities, which were only concerned with 
handicapped persons with jobs prior to the Objective 3 programme. Suitable structures for providing 
advice and guidance, improving skills and implementing aid for employment had therefore to be set 
up in 1996, which slowed down the implementation of the programme though time lost will be caught 
up in 1997. To promote equal opportunities for men and women, one example of a measure adopted 
in 1996 involves increasing the number of places for girls to learn skills in occupations dominated by 
men (4 000 to 6 000 places per month). Measures to encourage the integration of long-term 
unemployed into the job market were initiated in 1996 and have achieved very convincing results, 
with 500 persons finding a job and 80% of the enterprises surveyed indicating they were aware of the 
programme. 
Fig. V-54: Objective 4: Proerammine 1995-99 (ECU million - 1995 prices): 
Priorities 
Anticipating labour market trends and 
upgrading of skills (a) 
Vocational training (b) 
Improving and developing vocational 
training (c) 
Technical assistance (à) 
•Total ESF 
4-5 
46.0 
8,4 
2.1 
61.0 
1SPD (C)14% (d) 3% (a) 7% 
(b) 76% 
At the end of October 1996, 20 882 persons had benefited under measures provided for in the 
Objective 1 SPD. The latter centered on the training of workers with insufficient skills, supervisory 
staff, and short-time and seasonal workers (19 169 persons). These figures far exceed forecasts. Two 
thirds of these persons fall between 25 and 45, 20% are older, and more than one quarter are women. 
If the prograrnme is to succeed, enterprises' awareness and motivation must be stepped up. Thanks to 
effective public-awareness measures by the Austrian employment authorities, the number of 
employers concerned is actually rising. 
OBJECTIVE 5(a) agriculture 
Table V-43: Proerammine for 1995-99 (ECU million - prices and status 1996). 
Total 
392,8 Measure 
Production 
Marketing 330,5 
62.3 __ 
84% 
16% 
1996 was the first year of full-scale application of assistance to improve production structures, forecasts 
for the implementation of which were approved by the Commission in 1995. The assistance covers 
investment aid, aid for young farmers, investment aid in less-favoured areas, and aid to adapt vocational 
training to the requirements of modern agriculture. Community funding for production structures 
(ECU 330.5 million) comprised ECU 60.7 million for investment aid, ECU 37 million for young 
farmers, ECU 1.2'million for vocational training and ECU 220.5 million for less-favoured areas. Austria 
has requested adjustments to the system for classifying less-favoured areas established in 1995, on 
account of difficulties arising in certain regions. The Community contribution (ECU 62.3 million) 
towards improving structures for the processing and marketing of products forms part of total 
investments amounting to ECU 913 million. At the end of 1996, approximately 44% of the total 
investment planned had already been committed to 189 approved projects. The most advanced sectors 
are meat (56 projects and 45% of total assistance committed), milk and milk products (34 projects and 
26% of the total cornmitted) and fruit and vegetables (32 projects and 22% of the total committed). 
8th Annual Report on the Structural Funds (1996) 255 
OBJECTIVE 5(a) fisheries 
Fie. V-5S: Objective.5(a) fisheries - Proerammine 1995-99 (ECU million). 
Adjustment and redirection of fishing effort (a) 
Other fishing fleet measures (b) 
Renovation and modernisation of the fishing fleet (c) 
Aauaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (g) 
Promotion of products (h) 
Socio-economic measures (i) 
Other measures (i) __ 
Total FTFG,. 
0.0 
0,0 
0.0 
1.1 
0.0 
0.0 
0.9 
0.0 
pm 
0.0 
___ (h) 2% 
(g) 44% 
(d) 54% 
After the programme's adoption in July 1995 and its administrative preparation (rules of procedure, 
project selection criteria, etc.), 1996 was devoted to practical implementation. At the end of 1996, 
75 projects had been selected and were in various stages of implementation. An interim assessment 
report was expected by mid-1997. 
OBJECTIVE 5(b)65 
Fie. V-56: Obiective S(h) - Prorramminr 199S-99: 
Population ('000 inhab.) 
Area (km2) 
Breakdown bv Fund: 
ERDF 
ESF 
EAGGF 
Total 
7 SPD 
Average ner SPDl 2.276 
_______ 
ECU million 
175.0 
71.8 
164,2 
411.0 43% 
17% 
40% 
______ 
58.7 (f)17% (9) 1% (a) 28% 
(e)4% 
(b) 28% O Diversification and development 
of agriculture and forestry (a) 
H Diversification and development 
of non-agricultural sectors (b) 
•Protection of the environment (c) 
"Tourism (d) 
• Local development and village 
renovation (e) 
D Human resources (f ) 
•Technical assistance (g) 
Implementation of appropriations for the seven SPDs has been fairly satisfactory bearing in mind that 
1996 was the first year of operation of the programmes. Take-up of commitment appropriations under 
the three Funds in the Member State amounts to 36% of forecasts for the whole period. Community 
payment appropriations stand at 60% of commitment appropriations. 
65 Eligibles areas: Lower Austria, Carinthia, Upper Austria, Salzburg, Styria, Tyrol and Vorarlberg. 
256 8th Annual Repon on the Structural Funds (1996) 
Table V-44: Austria - Assistance by objective - 1996 in the context of programming for 1995-99 
(ECU million) 
Programmes 
(year of adoption) Total cost SF 
assistance 
m Commitments! Commitments 
1996 I 1995-96 
L_j___ _____ Payments 
1996 Payments 
1995-96 
own 
Qhjtctivf 1 
SPDftnr-enlnnrWIOO^ 831,4| 165,61 _5J>I 33.81 20%l 12.61 27.0l _____ 
Objective 2 
SPD Lower Austria (1995) 
SPD Upper Austria (1995) 
SPD Styria (1995) 
SPDyorarlheroMOQM 199.2 
67,0 
463,4 
86Ji 22.4 
10,8 
58,0 
9.9 0.0 
0,0 
11.4 
0,0] 22,4 
10.8 
22.5 
9.9 100% 
100% 
39% 
100% 0.0 
1.4 
10.2 
___ 7,6 
5.4 
15.7 
_4J 34% 
50% 
27% 
44% 
Total 816,1 101,0 11,4 65.5 65% 11.6 33.0 33% 
_2bic£i_____ 
SPD Austria M »W 779,31 334,01 65.71 129,81 .39% I 71.81 103.1 _____ 
Objective 4 
SPP Austria (l???) 17I.4| 61,01 0,01 11,71 19% I __-L 9.41 15% 
Objective 5(a) agriculture 
Forecast Austria R. 2328/91 (1995) 
ISPP Austria R, gffi and M7W (19K» 1.240,7 
912,9 330.5 
62.3 44.8 
31,2 106.3 
31,2 32% 
.50% 57,8 
J12. 88,6 
1Q.3 27Î 
JVI5 
Total 2.153.5 392.8 75.9 137.4 35% 107.91 27% 
Objective f(a) fisheries 
SPpAustn?(19?5) 22,51 2.01 0.01 2.01 |00%! O.sl LQ! 50% 
Objective fft>> 
SPD Lower Austria ( 1995) 
SPD Carinthia (1995) 
SPD Upper Austria (1995) 
SPD Salzburg (1995) 
SPD Styria (1995) 
SPD Tyrol (1995) 
lsppyoraritagfl9?5) 762,7 
404,8 
539,3 
104,3 
629,1 
18U 
58.3 111.6 
58,0 
98.5 
16,0 
85.3 
34,4 
7,2 12,7 
11.3 
1U 
1,8 
10.0 
4,0 
0,6 33,9 
22.3 
30.1 
4.8 
26.2 
10,7 
__L0 30% 
38% 
31% 
30% 
31% 
31% 
.27%! 8,3 
4,1 
8.2 
12 
12,9 
4.0 
0.7 18.9 
9,6 
17,6 
2.7 
20,9 
7,3 
1,4: 17% 
17% 
18% 
17% 
25% 
21% 
19% 
Total 2.679.9 411,0 51.6 130,0 32% 39.3 78,5 19% 
TOTAL 7.454.0 1.467.4 209.6 510,1 .35*; 216,7 360.6 25% 
11.2. Implementation of the Comrn units Initiatives in 1996 
Note-
Austria, is not involved in Konver, Pesca or Regis. Of the new Member States, Austria has adopted the highest 
number of programmes since 1995, i.e. four implemented at national level and four Interreg programmes (all 
with countries of central and eastern Europe, namely Hungary, the Czech Republic, Slovakia and Slovenia). 
The remaining programmes (Urban, SMEs, Rechar, Résider, Retex, eight Leader and Interreg programmes 
with Germany and Interreg with Italy) were all adopted in 1996 with the exception of the Austria-Italy Interreg 
programme. 
Support for the development of technological potential in Austria: 
The Initiatives contributing most towards strengthening Austria's technological fabric are the SMEs 
programme and certain industrial conversion Initiatives. The SMEs programme devotes the greater pan of its 
funds to the introduction of advanced electronic data transmission in SMEs and clean, more energy-efficient 
production technology (ECU 3.8 million; total cost: ECU 18.8 million). It provides backing for the 
implementation of pilot projects (ECU 2.2 million; total cost: ECU 8.5 million - e.g. setting-up of telecentres, 
establishment of virtual enterprises, etc.), the development of distance training courses and support for 
training needed for the introduction of new environmental technology and telematics applications 
(ECU 1.3 million; total cost: ECU 3.2 million). 
In the field of industrial conversion Initiatives, the Rechar programme supports the introduction of new 
technology in the district ofVoitsberg and the municipalities of Pantaleon and Ampflwang, while the Résider 
programme relates to economic diversification in regions affected by the declining steel industry through the 
development of new environmentally-friendly processes and materials, technology transfer, technology 
advisory services to enterprises, and support for the latters' technology infrastructure. In addition, the Retex 
programme provides backing for the modernisation of the textile and clothing industry and the development 
of the tertiary sector through better know-how (e.g. encouraging the development of production technologies 
and new products, promoting innovation, etc.) and vocational training in new methods and technology. 
13 new CEPs were adopted under national programmes and one under Interreg. The second Urban 
programme for Graz was adopted in October. It covers the Gries area, which has 16 000 inhabitants, 
and will finance an integrated set of economic, social and infrastructure measures. Quantitative targets 
were set under the programme, including the creation of some 350 new jobs. For its part, the Urban 
8th Annual Report on the Structural Fund1! (1996) 257 
programme for Vienna was adopted in December 1995. The first meeting of the Monitoring 
Committee took place on 15 May 1996. The SMEs programme was adopted-in April 1996, covering 
all areas eligible under Objectives 1, 2 and 5(b). It focuses on measures to encourage the use of 
information technologies, environmentally friendlier production techniques and strategic planning in 
SMEs. 
The three industrial conversion CIPs were also adopted. The Retex programme, adopted in May, 
covers various parts of areas eligible under Objectives 2 and 5(b) (Lower Austria, Styria and 
Vorarlberg), and is mainly geared to measures to improve technical knowledge, cooperation projects 
and vocational training. Adopted in July, the Rechar CIP covers the area of Styria falling within 
Objective 2 and that of Upper Austria falling within Objective 5(b). Funds are largely allocated to 
assistance for new technologies, promoting services and tourism, the rehabilitation of old pitheads and 
training measures. The programme is overseen by the Monitoring Committees competent for the areas 
concerned under Objectives 2 and 5(b). Lastly, the Résider programme, also adopted in July, covers 
regions in Styria, Lower Austria and Upper Austria, with the appropriations being allocated 
principally to innovation in the steel industry for materials or production techniques, the introduction 
of new technologies and quality control in SMEs, and training. Like the Rechar CLP, this programme 
is overseen by the Monitoring Committees competent for the various areas concerned under 
Objective 2. 
Lastly, eight Leader CIPs were adopted in 1996, comprising seven regional programmes and one 
technical assistance programme relating to the national network of local groups. The regional CIPs 
entail ECU 20.6 million in Community financing out of a total estimated cost of ECU 65.4 million. 
26 LAGs were set up and, in line with the strengths and weaknesses of their regions, opted for fairly 
widely diverging objectives. Some LAGs, albeit a minority, chose areas of technological development 
or research. In Burgenland (Objective 1 ), the projects selected by the Leader groups seek to achieve 
sustainable development. Owing to administrative problems, the programme took time to get off the 
ground but implementation is now going well. 
The human resources programmes were adopted in 1995. Under Employment, 54 projects were 
selected in 1996 pursuant to the last call for proposals (16 Now, 17 Horizon, 9 Integra and 12 
Youthstart projects), the programme being incorporated into the new Integra section. The Now 
projects concentrate on employment and the training of women in frontier technology sectors and on 
their access to management posts and the establishment of enterprises. The Horizon projects focus on 
quality training for the handicapped and their integration by providing assistance rather than shelter, 
and they involve action by advisers, trainers, social workers, human resources managers and the social 
partners. The Integra projects combine information on the employment market, advisory services. 
work experience and measures tailored to the individual to assist the socially marginalised, the target 
groups being the long-term unemployed, single mothers and persons threatened with social exclusion. 
The Youthstart projects give priority to young people in economically less-favoured regions, those 
under threat of marginalisation, young people who are experiencing learning difficulties or who have 
dropped out of the school system and young people of immigrant origin. In the case of Adapt, 30 
projects were selected, focusing on aid for innovation and modernisation of SMEs. Local networking 
is in place to cover SMEs and support structures with the participation of private and public training 
bodies. The projects also include innovation in the field of training in environmental protection work, 
quality assurance systems for industry' and the service sector and teach-yourself material. 

258 8th Annual Report on the Structural Funds (1996) 
Adopted in December 1995, the four Interreg programmes for the external frontiers with Slovenia, 
Slovakia, the Czech Republic and Hungary took off extremely slowly, in particular because of the 
difficulty of finalising cross-border cooperation measures with the countries concerned. Nevertheless, 
great strides were made in 1996 and implementation is now progressing satisfactorily in most cases. 
The next Monitoring Committee meetings will take place at the same time as those of the joint 
programming and inspection committee for each adjacent country in June 1997. 
Lastly, the distribution of the reserve for the Community Initiatives enabled an additional 
ECU 18 million to be allocated to Austria and apportioned among the Interreg, Urban, Leader, Emploi 
and Adapt Initiatives, Interreg's share amounting to one third66. 
Table V-45: Austria - Community Initiatives - 1996 in the context of programming for 1995-99 
(ECU million) 
Initiative 
(number of programmes) 
Adapt (1) 
Emploi ( 1 ) 
Leader (9) 
SMEs(l) 
Rechar ( 1 ) 
Résider ( 1 ) 
Retex ( 1 ) 
Urban (2) 
Total (17) 
Interreit/Reven (5)** 
CIPs adopted in 1W6: 
Leader Technical assistance (setting up 
national network) 
Leader Stvria 
Leader Salzbure 
Leader TVTOI 
Leader Lower Austria 
Leader Carinthia 
Leader Vorarlberc 
Leader Upper Austria 
SMEs Austria 
Rechar Stvria. Upper Austria 
Résider Styria. Lower Austria, Upper 
Austria 
Retex Lower Austria. Stvria. Vorarlberc 
Urban Graz 
Total (13) 
Interrev 11)'** Total 
25.S 
49.4 
72.7 
34.8 
7.0 
30.4 
16.2 
55.3 
2913 
0.5 
14.9 
2.8 
5.3 
14.0 
8.4 
1.0 
19.0 
34.8 
7.0 
30.4 
16.2 
234 
177.8 SF 
assista Dec*' 
m 
11.6 
23,0 
23.4 
9.0 
1.8 
5.2 
2.6 
13.4 
90.0 
0,3 
4.3 
0.8 
1.7 
5.6 
2.9 
0.4 
4.9 
9.0 
1.8 
5.2 
2.6 
3.6 
43,1 Commitments 
19% 
0,0 
0.0 
18,1 
9.0 
1,1 
4,4 
2,6 
5,8 
41.0 
0,3 
4.1 
0.6 
i.4 
4.5 
2.5 
0.4 
43 
9.0 
1.1 
4.4 
2.6 
2.9 
38,1 Commitments 
19V5-96 
(2> 
11,6 
23,0 
20.1 
9.0 
1.1 
4.4 
2.6 
12,7 
84.4 
0.3 
4.1 
0.6 
1.4 
45 
15 
0.4 
4.5 
9.0 
1.1 
4,4 
2.6 
2.9 
38,1 % 
f2V(l> 
100% 
100% 
86% 
100% 
60% 
84% 
100% 
95% 
94% 
100% 
95% 
80% 
80% 
80% 
85% 
100% 
91% 
100% 
60% 
84% 
100% 
81% 
88% Pavments 
1996 
0.0 
0,0 
5,7 
2.7 
0.6 
2.2 
1,3 
2.3 
14,8 
0.1 
1.2 
0.2 
0.4 
1.3 
0.7 
0.1 
1.3 
2.7 
0.6 
2.2 
1.3 
0.9 
13,1 Pavments 
1995-96 
f3) 
5,8 
11.5 
6,1 
2.7 
0,6 
2.2 
1,3 
5.8 
353 
0,1 
1.2 
0.2 
0.4 
1.3 
0.7 
0.1 
1.3 
2.7 
0.6 
2.2 
1.3 
0.9 
13,1 % 
f3Wl) 
50% 
50% 
26% 
30% 
30% 
42% 
50% 
43% 
40% 
40% 
29% 
24% 
24% 
24% 
25% 
30% 
27% 
30% 
30% 
42% 
50% 
24% 
30% 
* Excluding reserve, except for Urban Graz 
" For programme details see Chapter VII Table 2.2. 
*** For programme details see Chapter I.B.I. Community Initiatives. 
66 See also Chapiter I.B. 1. Community Initiatives. 
8th Annual Report on the Structural Funds (1996) 259 
12. PORTUGAL 
12.1. Implementation of assistance by Obiective in 1996 
Support for the development of technological potential in Portugal : 
The importance of technological development is recognised in both the main priorities of the CSF, improving 
the competitiveness of the economy and increasing skill levels. Within the 'Competitiveness' priority, a sub-
priority is devoted to telecommunications. It continues the progress on advanced services made during the 
first programming period (supply of ISDN and introduction of fibre optic links into the local network). The 
development of telecommunications as regards both quantity (infrastructure) and quality (reduction of the 
time to install lines and number of faults per line), and the promotion of advanced telecommunications 
services and stimulation of supply to meet market needs is being implemented by the Infrastructure OP, the 
Telecommunications strand of which has ECU 276 million (total cost: ECU 550.2 million). 
A larger budget is allocated to RTD in the priorities for the modernisation of the main sectors of the 
Portuguese economy. Under the the 'Modernisation of the economic fabric' OP, the 'Industry' sub-
programme, which has to deal with an industrial structure highly specialised in labour-intensive activities 
involving a low level of technology, stresses the development of scientific and technological infrastructure 
and encourages their use by firms through involvement in the research activities related to the design and 
improvement of new products and processes. This programme also includes grants to firms for the purchase 
and development of new technologies. Commerce and services are covered by a separate sub-programme 
which supports the modernisation of equipment in firms in the field of customer services and the management 
of payments (diversification of selling methods by using computer techniques and telecommunications). As in 
the 1989-93 CSF, the 'Agriculture' sub-programme contributes to the expansion of agricultural research and 
the training of farmers and technicians. Similarly, the 'Fisheries' sub-programme supports research into the 
fishing industry and better use of the resources available to the processing industry. In addition to these 
multiregional sub-programmes, support for the modernisation of agriculture and fisheries is provided by 
some of the regional programmes. The OP for Madeira lays particular emphasis on the importance of 
research in these fields. In general terms, this assistance also helps diversify economic activity in the various 
regions. Each of the regional OPs enjoys a differentiated budget for science and technology, and for 
telecommunications. 
The measures to assist firms and RTD infrastructure are complemented by education and skills for those 
working in science and technology as provided for in the CSF priority for human resources. This is 
implemented through the 'Bases for knowledge and innovation' OP, which seeks to consolidate the results of 
the earlier CIENCIA programme. The 'Education' sub-programme pays particular attention to the teaching 
of science and technology, at both non-compulsory secondary level and in higher education, and to the 
training of teachers. These measures should benefit 600 000 people. The 'Science and technology ' sub-
programme, which has ECU 376 million (total cost: ECU 525 millions), provides support for the 'Industry' 
sub-programme with regard to university research and the integration of research workers into industry by-
financing projects for cooperation between universities and firms and training laboratory assistants and 
research centre managers. 
The development of data transmission applications is covered not only by some of the measures considered 
but also in the strategy for the modernisation of the postal sector and the PRINEST OP, which supports the 
provision of infrastructure for computer applications to develop a system of statistical information able to 
assist in the modernisation and economic development of Portugal and which will build on the results of the 
earlier PREDER programme. 
In total, finance for technological development in Portugal accounts for 9,5% of the appropriations from the 
Structural Funds. 
Table V-46: Portugal - Financing directly related to technological development in programming 
for 1994-99 (ECU million) 
Financing by the Structural Funds 
21% 2% 
Objective. 1 TO' 
2 190.2 % 
1 WA­ST. 
1..???.7 Tr 
. 6] ft Member State 1994-96 
Y*MK 
627.6 Private 
222.? Total 
850.5 % 
39% 
NB: The programming procedures and different apprtachcs taken by the Member States 
invite caution in interpreting the figures, in particular spending on information society protects, 
which arc often linked to other fields such as RTD and industry. 77°/ 
— RTD -Telecom. B-Data trans. 
260 8th Annual Report on the Structural Funds (1996) 
OBJECTIVE 1 
Fie. V-57: Proerammine 1994-99 (ECIJ million -1996 prices): 
Priorities: 
Human resources and employment (a) 
Economic competitiveness (b) 
Living conditions (c) 
Regional economic base (d) 
Technical assistance M 3.079,2 
6.418.4 
1.264.0 
3.153.4 
-J-IZ 
Breakdown bx Fund: 
ERDF 
ESF 
EAGGF 
FIFG 
Total 8.730,5 
3.160,9 
1.947,9 
208,1 
_!_____. 62% 
23% 
14% 
1% 
100% 
1 CSF/17 OPs 
Avenge per Of 826.3 fe) 1% (d)22% _L4—__ (a) 22% 
(c)9% 
(b)46% 
Main features of 1996 
A significant feature of 1996 was the start of the interim evaluation of all the programmes and sub-
programmes in the CSF. This took place in a spirit of partnership between the Commission and the 
Portuguese authorities. Teams of independent experts were selected by means of a call for tenders for 
each item of assistance under the CSF. The Monitoring Committee for each sub-programme set up a 
technical working party on evaluation to which each assessor was required to present two progress 
reports prior to the definitive final report expected early in 1997. The whole process ran completely 
smoothly. Only the Technical Assistance OP is being evaluated as part of the evaluation of the whole 
of the CSF planned for 1997, but its design had already been decided on in 1996. These evaluation 
studies, for most of which the final report is already available, should ensure that the mid-term review 
of the CSF planned for mid-1997 is of a good quality. 
Some programmes were amended and/or reprogrammed. Among the multiregional programmes, the 
Technical assistance OP was amended as regards the financial implementation of the ESF strand by 
transferring to 1996 appropriations which had not been used in 1994 and which could not be absorbed 
in 1995. Following decisions taken by the Monitoring Committee in 1995, the 'Modernisation of the 
economic fabric' OP received a further Community contribution of ECU 101 million. Of this amount, 
ECU 61 million from the ERDF and ECU 11 million from the ESF were allocated to the Autoeuropa 
major project. The 'Infrastructure to support development' OP was reprogrammed to bring financial 
implementation in 1994 in line with actual implementation by the Energy, Transport and 
Telecommunications sub-programmes, to provide an extra ECU 10.9 million for the Transport sub-
programme and to cope with the varying rates of implementation of the Transport and Energy sub-
programmes. These changes balanced each other out and did not result in an amendment to the annual 
financing schedule for the programme. The 'Environment and urban renewal' OP was also 
reprogrammed both to include private social solidarity institutions (TPSS) among the beneficiaries of 
the Urban Renewal sub-programme and to make a transfer between measures in the Environment sub-
programme. This reprogramming also made it possible to increase the appropriations available for the 
setting up of small-scale economic activities in shantytowns (up to 15% of the total amount for the 
measure 'Renovation of shantytowns"). 
The 'Vocational training' and 'Bases of knowledge' OPs were also reprogrammed, as was the 'Health 
and social integration' OP. Following decisions taken by the CSF Monitoring Cornmittee in 
December 1995, the 'Bases of knowledge' and 'Innovation' OPs received an extra ECU 14.4 million 
from the ESF as a result of the 1995 indexation to provide finance for technical and vocational 
education. Implementation of the 'Vocational training and employment' OP, which accounts for 40% 
of assistance from the ESF under the CSF, continued to be very satisfactory, at almost 100%. The 
'Training of the civil service' sub-programme continued to experience some problems. In April, the 
programme received an extra ECU 10.2 million from the 'Agriculture' sub-programme to pay for 
agricultural training schemes devised by the Portuguese farmers' federation. The measures 
8th Annual Report on the Structural Funds (1996) 261 
'Apprenticeships' and 'Training of instructors' also received transfers of amounts not used by other 
measures. The CSF Monitoring Committee also decided to allocate to this programme ECU 18 
million from the 1995 indexation of the CSF for a pilot measure to train managers and workers in 
small firms. The 'Health and social integration' OP was reprogrammed on two occasions. In May 
1996, the amounts not used in 1994 were transferred to 1995 and 1996 and the measure 'Economic 
and social integration of the handicapped' received a further ECU 8.5 million not used by the 
measures 'Support for sociocultural development" and 'Economic and social integration of the CLD" 
under the 'Social integration' sub-programme. In December 1996, the 1995 instalment was adjusted to 
reflect implementation and the amounts not used were transferred to future years. This amendment 
concerned mainly the 'Health' sub-programme, since implementation of the 'Social integration' sub-
programme was 99%. 
Two regional programmes were also amended. The Community contribution to the Norte OP was 
increased by ECU 4.1 million in 1996. The Azores OP was amended to increase the ERDF's financial 
contribution by ECU 5 million and apply to measures financed by the EAGGF the ECU 5.1 million 
from the FIFG which had not yet been used. This decision was taken on condition that the FIFG's 
contribution was increased correspondingly when the measures financed by that financial instrument 
reached the degree of implementation originally estimated. 
While programming generally made satisfactory progress, there were some delays and difficulties. 
The delay in implementing the Technical assistance OP was due both to the late adoption of the 
programme and to changes in the structure for managing the ESF in Portugal. A great deal of this 
delay should be made up in 1997. The special features of the multifund programme 'Locally-
generated development' (PPDR-ERDF, EAGGF, ESF) continued to cause some problems in 
implementation, mainly because the PPDR is a programme which requires a high degree of 
participation in decision-making by regional and local bodies through partnerships between the public 
and private sectors. From the second half of 1996, however, its implementation generally improved 
thanks to the pace achieved by certain measures, particularly the RIME and SLR aid schemes. In the 
case of the 'Bases of knowledge and innovation' OP, there are still some problems in the 'Science and 
technology' sub-programme, which provides for the financing of research projects submitted by teams 
of research workers to be selected by means of a procedure based on a public invitation. Preparation 
of the rules for these invitations took longer than planned and it was not until 1996 that financing foi* 
this type of measure could begin. This meant that implementation of the sub-programme remained 
relatively poor. _ 
In the case of the 'Modernisation of the economic fabric' OP and the 'Industry' sub-programme 
(PEDIP II), it should be noted that, following improvements made to national procedures in Portugal, 
the time required to consider applications for investment aid has been considerably reduced. The main 
aid schemes are virtually exhausted. Within the 'Modernisation of the economic fabric' OP, the 
'Agriculture' sub-programme was implemented at a rate of 91% in 1996. Among the eight measures 
in this sub-programme, some significant variations should be noted: support for agricultural holdings 
reached a rate of 124%, agricultural infrastructure 84% and the processing and marketing of products, 
61%, which may be explained by the longer time required to complete these projects. The 'Support 
for commerce and services' sub-programme regained a certain vigour after a period of slow 
implementation. Under the 'Fisheries' sub-programme, which concerns continental Portugal, 223 
projects were approved in 1996, involving total public expenditure of ECU 32.4 million, 60% of the 
total programmed (the private sector contributed ECU 11.8 million). Public expenditure approved 
since the beginning of the sub-programme amounts to ECU 129.5 million and the implementation rate 
at the end of this period is 20% of the total programmed for 1994-99. Such a level of implementation 
required reprogramming to redistribute the balance not used in 1994 to 1997, 1998 and 1999. This 
reprograrnrning will make available the funds required to establish a new socio-economic measure 
arising from the changes introduced by Regulation (EC) No 1796/95 amending Regulation (EC) No 
3699/93. 
Turning to the two regional OPs containing measures for fisheries, 52 projects in the Azores were 
approved between 1994 and 1996 involving investment totalling some ECU 18 million, to which the 
262 8th Annual Report on the Structural Funds (1996) 
Community will contribute ECU 11.2 million and national public finances ECU 4.2 million (the 
private sector is contributing ECU 4 million). Financial implementation for that period is 17% of the 
total programmed. The trend is improving and the level is expected to be satisfactory by the end of 
1997. In Madeira, 1996 was mainly a year for retrieving the delays which had accumulated in 1994 
and 1995. The number of projects approved since the beginning of the programme (51 projects) 
involved a total investment of ECU 15.5 million with public expenditure approved for that period 
amounting to ECU 10.3 million, of which the FIFG will pay ECU 7.7 million. The rate of 
implementation for the first three years amounts to 19% of the total programmed for 1994-99, but the 
positive trend noted in 1996 suggests that this may improve substantially in 1997. 
1996 in the context of programming for 1994-99 
In general, implementation of the CSF is proceeding satisfactorily, although at a slightly slower pace 
than in 1995. The overall rate of implementation in 1996 was about 82%. The regional programmes 
are progressing well in financial and physical terms and their impact on the development of the 
regions is considerable (particularly in terms of basic infrastructure related to living conditions). Most 
of the sectoral programmes are also progressing without problems and some sectors, such as 
'Telecommunications' and 'Transports', have exceeded the rate of implementation planned for 1996. 
Implementation of the four multifund programmes to which the EAGGF is contributing was generally 
in line with estimates. More specifically, the rate of implementation of the 'Agriculture' sub-
programme of the 'Modernisation of the economic fabric' OP is in excess of programming (the 1997 
annual instalment was committed in 1996). The rate of implementation of the Azores OP (PEDRA) 
required its EAGGF component to be increased by ECU 5 million. 
Table V-47: Portugal - Assistance by Objective - 1996 in the context of programming for 
1994-99 (ECU million) 
Programmes 
(year of adoption) Total cost SF assistance Commitments) 
1996 Commitments 
1994-96 
_____ (21/(1) Payments 
1996 Payments 
1994-96 
(3) ___£!_. 
QbtotiYC ,1 
Regional OPs 
OP Azores (1994) 
OPAlentejo(1994) 
OPAlgarve(1994) 
OPCentro(1994) 
OP Lisbon-Tagus Valley ( 1994) 
OP Madeira (1994) 
OP None (1994) 
Multiregional OPs 
GG Support for local investment (1995) 
OP Technical assistance (1994) 
OP Knowledge and Innovation (1994) 
OP Locally-generated development (1994) 
OP Environment and urban renewal ( 1994) 
OP Training and employment ( 1994) 
OP Infrastructure ( 1994) 
OP Economic modernisation (1994) 
0PPRINEST(1)(1994) 
OP Health and social integration (1994) 
Technical assist;^ 840.2 
250.6 
101.9 
490.5 
517.2 
665.2 
729.5 
33.3 
135.6 
2.276.2 
1.231.8 
973.7 
1.890.7 
3.979,6 
10.490.1 
40.0 
940.0 
0.9 621.0 
182.0 
76.0 
362.0 
3X2.0 
369.3 
541.1 
25.0 
101.7 
1.689.4 
595.0 
559.0' 
1.389.8 
1.997,9 
4.420.5 
30.0 
705.0 
0.8 157.0 
29.8 
16,0 
71,5 
75,5 
124.7 
107,5 
0.0 
15.5 
307.9 
14.9 
174.3 
358.1 
659,8 
803.3 
7,7 
44.5 
0J_ 373.2 
108.4 
44,5 
197.5 
200.0 
273.3 
317.5 
25,0 
44,0 
895,5 
82.1 
229,4 
767,4 
1.278,3 
2.329.4 
30,0 
321,0 
08 60% 
60% 
59% 
55% 
52% 
74% 
59% 
100% 
43% 
53% 
14% 
41% 
55% 
64% 
53% 
100% 
46% 
96% 137,4 
29.0 
19,4 
82.8 
62.0 
85.2 
98,0 
7.5 
14.0 
254.1 
24,4 
158.5 
206.6 
342.7 
806.5 
3,7 
102.7 
0J. 318,6 
72.8 
38,2 
171.2 
151,5 
209,0 
246,2 
7,5 
31,0 
666,8 
62,1 
202,6 
553,4 
860,6 
1.804,9 
20,9 
280.9 
0.8 51% 
40% 
50% 
47% 
40% 
57% 
46% 
30% 
30% 
39% 
10% 
36% 
40% 
43% 
41% 
70% 
40% 
96% 
TOTAL ?X7.M 14.047.? 2.968.0 _Z__i2_4 54% 2,434.6 5.698.7 41% 
(1) Statistical infrastructure 
12.2. Implementation of the Community Initiatives in 1996 
Note: 
Portugal takes part in all the Initiatives and all the programmes were adopted between 1993 and 1995. Eleven 
CIPs are being implemented at national level (one per Initiative), plus two Interreg CIPs, one under the Regen 
strand and the other under the cross-border cooperation strand. 
8th Annual Report on the Structural Funds (1996) 263 
Support for the development of technological potential in Portugal : 
Although most of the Community Initiatives in Portugal promote technological development, the largest 
contribution comes from two measures under the SMEs Initiative: grants for projects to encourage 
technological skills in small firms through technical support or the transfer of technology from scientific and 
technological bodies to small firms (ECU 13 million; total cost: ECU 24 million), and training in advanced 
technologies for the managers of firms (ECU 11.8 million; total cost: ECU 21.6 million). 
The Adapt programme also includes a number of measures relating to the introduction of new technologies 
and support for the establishment of information networks and the Employment CIP supports uses of data 
transmission (new technologies, distance working, etc.) by less favoured groups in society and the purchase of 
equipment (ECU 4 millions; total cost: ECU 5 million). The Leader programme supports research and 
innovation in the processing of local products and the use of new technologies for information and 
communications in rural areas. Interreg is concerned with the installation of fibre optics and SDH 
connections between Spain and Portugal and the establishment of information networks in the tourism sector 
as a contribution to the development of the information society. 
A significant feature of 1996 was the Commission decision on the allocation of the reserve for the 
Community Initiatives. Portugal will receive an additional ECU 52.4 million, mainly for the 
extension until 1999 of the four industrial Initiatives (Retex, Konver, Résider and Rechar67) and the 
new strand Interreg II C. 
As far as the programmes already being implemented are concerned, Retex was amended to include 
the results of the indexation for 1994, 1995 and 1996 (a total of ECU 5.8 million). Community 
assistance for repayable loans was reduced, mainly to benefit measures to support internationalisation 
and greater productivity. During 1996, the proportion of finance from this programme to firms in the 
textiles sector fell: more than 757c of finance under the Retex CEP is now being used for economic 
diversification measures in regions of Portugal heavily dependent on textiles. 
There have been some delays in implementing programmes. Implementation of the SMEs CE? was 
delayed because of changes in national legislation but this programme should operate normally in 
1997. The delay in the financial and physical implementation of the Urban programme arose from 
difficulties in introducing an organisational system among the various partners and to some problems 
which proved more difficult to resolve than had originally been expected (mainly in the Casal 
Ventoso area of Lisbon, which has very poor housing and a severe drugs problem). There is a good 
chance of improvements in 1997 because the programme managers now have action plans, studies on 
securing the first urban indicators and methods of organising the local partnership. It should be noted 
that in December 1996, at the initiative of the Portuguese authorities, a seminar to exchange 
experiences was arranged for the managers of the six sub-programmes comprising the Urban CIP. 
This proved to be very useful. In the case of the Leader programme, the late selection of the local 
action groups led to some problems because of the excessively long gap between the first and second 
phases of prograrnming. However, the programme got underway: all the LAGs have now been 
selected and implementation of the financing, plans has begun. There was some delay too in 
implementing the cross-border cooperation strand of the Interreg II programme. The Regen 
programme, however, was implemented as planned and by the end of 1996, the national gas pipeline 
and its first link with the Spanish gas network had been completed. This strand was the subject of 
technical reprogramming during 1996. 
Under the Employment Initiative, some 130 projects were selected during the first call for proposals 
(40 under Now, 57 under Horizon and 33 under Youthstart). In all three strands, the stress was on 
training. The main theme of the Now projects was the development of employment programmes and 
encouraging women to set up businesses. A large number of projects under Youthstart concern 
vocational guidance and training for young people. Under Horizon, the stress was on creating 
conditions which encourage the employment of people with handicaps. 57 projects were selected 
under the Adapt Initiative, many of them to do with training. Most projects are designed to improve 
management systems and the restructuring of small firms in various sectors of the economy. 
67 See also Chapter I.B.I. Community Initiatives. 
264 8th Annual Report on the Structural Funds (1996) 
The first applications and selection of projects under Pesca began at the end of 1995 and the work of 
the Monitoring Committee concerned amendments to the programme and its launch. Information 
campaigns were held in the Azores and Madeira during 1996. 
Since the bulk of the CIPs had been approved by the Commission in 1995, 1996 was the first year of 
actual implementation, following the period required for introduction of the national legislation 
required, establishment of the teams to manage the programmes, etc. The levels of financial 
implementation for most of the Initiatives may be considered satisfactory in terms of the Community 
assistance planned in the programmes. 
Table V-48: Portugal - Community Initiatives 
1994-99 (ECU million) 1996 in the context of programming for 
initiative 
(number of CIPs) Total cost S.F. 
assistance" Commitments 
1996 Commitments 
1994-96 
______ -2-01 Payments 
1996 1994-96 
1994-96 
(3V(1) 
Adapt ( 1 ) 
Employment ( 1 ) 
Leader ( 1 ) 
Pesca ( 1 ) 
SMEs(l) 
Rechar (I) 
Resis(l) 
Konver (1) 
Résider (1) 
Retex ( 1 ) 
Urban (1) 
Total (11) 
lnxerrev/Reven (2)"'" 29.2 
54.7 
156.X 
53.2 
235.9 
1.1 
156.8 
10.7 
10.8 
45X.0 
62.4 
1-29.7 21.0 
40.3 
117.6 
29.3 
124.0 
0.9 
124.0 
7.9 
6.9 
194.X 
44.6 
711 17.0 
3.9 
4.0 
23.2 
1.2 
0,0 
58.3 
0.0 
0.0 
83.4 
0.0 
191.1 21.0 
9,6 
10.7 
27.5 
14,4 
0.9 
80,4 
7,9 
6.9 
194.8 
9.2 
383.3 100% 
24% 
9% 
94% 
12% 
100% 
65% 
100% 
100% 
100% 
21% 
54% 4.3 
2,1 
4.9 
4.5 
0.6 
0,4 
55.3 
0.0 
2,6 
27,4 
0.0 
102.0 6.3 
5,0 
8.4 
6.6 
7.2 
0.7 
72,9 
3,9 
55 
90,4 
4.6 
211,6 30' 
12% 
7% 
23% 
6% 
80% 
59% 
50% 
80% 
46% 
10% 
30% 
* Excluding reserve 
** For programme-details see Chapter VII. Table 2.2. 
8th Annual Report oh the Structural Funds (1996) 265 
13. FINLAND 
13.1. Implementation of assistance bv Obiective in 1996 
Support for the development of technological potential in the regions of Finland: 
Most of the development measures under the various objectives reflect the national strategy to foster the 
information society. The strategy aims to establish Finland as an advanced information society and global 
competitor in information and communications technologies by modernising the public and private sectors 
through the introduction of information technology and networks (e.g. use of the Internet), development of the 
information industry (e.g. multimedia), university courses in new technology (e.g. doctorates in information 
technology), popularisation of the information society (e.g. educational materials, virtual schools) and 
improvements to infrastructure (e.g. telecommunications liberalisation, expansion of digitisation, legislative 
reform). 
Objective 6: One its main goals is to prepare the population for participation in the information society and 
to use all the technologies it offers for economic growth, competitiveness and employment. Two priorities in 
the SPD are involved: 
• enterprise development: cooperation between research and educational centres and businesses, 
development of services linked to RTD and advanced technology; development of 
telecommunications services to facilitate innovation transfer to areas located far from advanced 
centres (ECU 9.4 million; total cost: ECU 33.1 million); development of data transmission services 
and applications in research, education and social services, the creation of telecentres in rural 
areas, etc. 
• development of human resources: investment in advanced educational establishments and in the 
RTD activities needed to improve training (ECU 16.7 million; total cost: ECU 35.3 million); aid 
for research and training in key economic sectors (e.g. funding researchers in enterprises, 
development of university RTD, etc.; ECU 9.5 million, total cost: ECU 19.3 million); improved 
cooperation between the research centres, local developpient companies, educational 
establishments and enterprises so that innçvation might be better directed and managed (e.g. 
technology transfers, development of technological management, etc; ECU 11 million, total cost: 
ECU 23.6 million), development of the information society, especially in telecommunications and 
tele-working so that the working place and time can be planned in alternative ways (distance 
education, training of businessmen in new technology, research in such fields, training for 
managers of research and education centres, etc. ECU 3.7 million; total cost: ECU 9.4 million). 
The Objective 6 regions do not all accord the same importance to these priorities: the regions of South and 
North Savo devote substantial funds to agri-food, forestry and environmental RTD; Central Finland and 
North Ostrobothnia emphasise the training system, data networks and distance learning; North Karelia is 
concentrating on forestry, metals and plastics research; Lapland is focusing on training in 
telecommunications methods, geographical information, environmental and spatial research and information 
technology. 
Objective 2 (1995-96): The SPD bases modernisation of the productive sector on using the opportunities 
offered by the information society. This explains the importance placed on technological development by two 
of the SPD's three priorities : 
• development and globalisation of enterprises: enterprise networking, the development of new 
products and production processes, transfer of technology to SMEs and the development of 
industrial niche markets. One characteristic of the SPD is that clean technology figures among the 
project selection criteria. These operations have a considerable impact on the development of 
environmental technology in Kymenlaakso, RTD in Pâijàt-Hàme and information technology in 
Central Finland. 
• improvements to training levels and technological support for economic activities (ECU 16.3 
million; total cost ECU 45.6 million): cooperation between enterprises and research and training 
centres (e.g. creation of a know-how centre in Uusimaa), introduction of innovation in enterprises 
(e.g. teleworking), development of data networks for technology transfer, development of 
environmental technology, technological cooperation with enterprises in neighbouring countries; 
use of existing university research infrastructure (e.g Universities of Jyvàskylà and Fori, Jyvdskyld 
Institute of Technology, etc.) 
Objective 5(b): The two SPDs support technological development as a tool for the SPDs' priorities. To 
shorten the distances between rural communities, the mainland Finland SPD concentrates on developing data 
communications services through experimental projects to create networks, telecentres and teleworking 
centres, build special communications links and provide connections by modem and software. In the Aland 
Islands information technology is used to reduce the region's isolation by developing SME networks and 
266 8th Annual Report on the Structural Funds (1996) 
communications infrastructures, for example, by creating technology and know-how centres, encouraging 
teleworking, distance learning and training, and by publicising the region's cultural heritage. 
In au\ the funds allocated to technological development in Finland represent 12.9% of the assistance from the 
Structural Funds (Objectives 6 and 2) 
Table V-49: Finland - Financing directly linked to technological development in 1995-99 (ECU million) 
Objective 2 
_________ 
TOTAL TOTAL 
45.6 
124.6 
170.2 27% 
7?% 
100% Struct. Funds 
163 
50.3 
66.6 _SL 
36% 
40% 
__-ft Public Private 
20,1 
50.3 
70.4 Member Stat? 
9,2 
24.0 
_____ Total % 
29,3 
______ 
103.6 64% 
60% 
__!% Financing by the Structural Funds 
20% 
NB: The programming procedures and different approaches taken by the Member States 
invite caution in interpreting the figures, in particular spending on information society projects 
which are often linked to otehr fields such as RTD and industry. 80% 
~RTD irrc 
OBJECTIVE 668 
Fie. V-58: proerammine 1995-99 (ECU million): 
By priority: 
Industrial development (a) 
Human resources development (b) 
Agriculture, forestry, fisheries,-rural dev. and 
environment (c) 
Technical assistance (d) 
By Fund: 
ERDF 
ESF 
EAGGF 
FIFG 
1SPD 172,5 
105,8 
177,6 
4,0 
45W 153.7 
87.9 
209,1 
__U 
38% 
23% 
39% (d) 2% 
(c) 46% (a) 33% 
(b)19% 
Main features of 1996 
The programme has been implemented at a relatively rapid pace. With rare exceptions, the funds were 
used appropriately for various groups of measures. At the end of the year, about 30% of the assistance 
was allocated to various projects. Among the main project categories benefiting from funding are the 
launch of SMEs and investment in business expansion, cooperation between associated enterprises 
under certain terms (especially as regards technology transfers within business niches), training, 
information society projects, tourism development and small-scale forestry and agricultural 
diversification projects. Investments in agriculture and rural development have suffered some delays, 
however, because of the need to check the conformity of the national aid schemes with Articles 92 
and 93 of the Treaty and because of the strict national policy adopted in the case of the investment aid 
schemes. With 70 projects launched, fishery measures are progressing satisfactorily, except for 
aquaculture where progress has been modest. 
In the first five months of the year, specific issues relating to implementation and procedure were 
addressed by the working group responsible for organising Objective 6. The national and regional 
authorities and the Commission were represented on the working group. The group's report served as 
a guide for the various partners implementing the programme and helped to improve mutual 
cooperation, particularly between the central government and regional authorities. However, it was 
hard to ensure proper monitoring of the funding and payment decisions because of the large number 
68 Eligible areas: Lapland, Kainuu, North Karelia, South Savo, North Ostrobothnia, South Ostrobothnia, North 
Savo, Central Finland. 
8th Annual Report on the Structural Funds (1996) 267 
of participants and shortcomings in the content and use of the data bases relating to the projects. 
Efforts to improve the monitoring system are continuing. 
The Monitoring Committee held two meetings, the most notable points of which were the 
appointment of an external evaluator and a decision to invest in a regional venture capital fund - the 
first investment of its kind in a Finnish programme. The November meeting also prepared the way for 
the mid-term assessment, to be carried out in autumn of 1997. 
1996 in the context of programming for 1995-99 
While commitments for projects progressed relatively quickly, the same can not be said for payments. 
By the end of the year, the Commission had paid out only 18% of the Structural Fund assistance. The 
problems arising from the slowness in payment are being closely examined as part of the work being 
done on monitoring and ongoing assessment. 
OBJECTIVE 269 
Fie. V-59: proerammine 1995-96 (ECU million. 1996 prices and status): 
By priority: 
Business development (a) 
Skills and technology (b) 
Environment infrastructure, tourism (c) 
Technical assistance (<tt 
By Fund: 
ERDF 
ESF 
Total 46,1 
9,7 
55.8 83% 
17% 
100% 
1SPD (c) 22% 
(b) 24% (d)2% 
(a) 52% 
1996 in the context of programming for 1995-96 
Of the three regional programmes, the Objective 2 SPD has progressed the most rapidly. At the end of 
the year, 76% of Community funding for the first two years (ECU 52.4 million out of an initial 
appropriation of ECU 69.2 million) had been committed. The remainder (ECU 14.4 million), plus the 
amount resulting from indexation for 1996, was transferred to the new 1997-99 programme. As in the 
case of the Objective 6 programme, payments to the beneficiaries progressed at a slower pace than 
commitments. At the end of the year the national authorities had paid out to projects only 16% of the. 
assistance for 1995-96, while the proportion committed was- 78%. Furthermore, the partnership 
between the central and regional authorities developed along the lines of the Objective 6 programme 
and the same difficulties with monitoring arose as a result. It became apparent that the checks on the 
results of the programme were not trustworthy, especially in terms of job creation: the aim of creating 
10 000 new jobs in the first period does not appear to have been achieved. 
Preparation of the 1997-99 programming period 
The proposal for the new programme was submitted in August and approved in principle by the 
Commission in December. The new programme was made more detailed but simpler in structure by 
reducing the number of measures from 15 to 9; an early evaluation of the results of the first period 
was also undertaken and ways of implementing the new financial arrangements and of using the funds 
more effectively were explored with the Finnish authorities. Thus, in the case of infrastructure and 
port infrastructure in particular, it was agreed to use EIB loans, experiment with financial packages 
combining grants and loans and encourage inter-regional projects. The evaluators' report also 
indicated the need to be more pro-active in the preparation of projects, especially in very small firms. 
The aim of the second period is to create or reskill 15 800 jobs. 
69 Eligible areas: Satakunta, Kokkola, Ita-Uusimaa and Kymenlaakso, Varsinais-Suomi, Lahti, Jyvàskylà, 
Lappeenranta. 
8th Annual Report on the Structural Funds (1996) 27 
A. ASSISTANCE BY OBJECTIVE1 
1. General overview 
1.1. The implementation of the Objectives in 1996 
The main feature of 1996 was the implementation on the ground of programmes already under way. 
Although 1996 was the third year of the 1994-99 programming period, it was, for most Objectives, 
Member States and regions, and for most measures, only the second full year of activity. The 
Commission adopted only 50 new measures (35 OPs, 8 SPDs, 3 major projects, 4 global grants), 
which concern Objective 1 of the Greek, Spanish, Irish and Italian CSFs, Objective 3 (United 
Kingdom only), Objective 5(a) with the adoption of all the OPs under the Italian CSF, and the final 
stages in launching programming in Sweden with the adoption of the Swedish SPDs under Objectives 
4, 5(a) and 5(b). The new assistance totals ECU 3 448 million (comprising 55% from the ESF, 32% 
from the ERDF and 13% from the EAGGF), and represents less than 3% of total assistance adopted 
for 1994-99 as a whole. 
Structural Fund programming now involves 492 forms of assistance (i.e. OPs, SPDs, global grants and 
major projects), by far the largest proportion in the form of SPDs and OPs, which account for 48% 
each of the total number of measures (global grants account for 2% and major projects for 1%). On 
average, taking all Objectives together, there are 33 measures per Member State; however, the range 
is wide, from 8 in Denmark and Luxembourg to 97 in Italy. 
Table 1-1: CSF/SPD - Assistance and number of programming documents at the end of 1996 (ECU 
million) 
Total Strurtural Fund assifitanrf 
F.ROF ESF EAGGF ELK. Total Forms, of assiittancr 
_____ SPD Forecasts 
Belgium 
Denmark 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Luxembourg 
Netherlands 
Austria 
Portugal 
Finland 
Sweden 
United, Kinpd ori 1.6183 
682^ 
18.723,2 
13-44,9 
29346,0 
11.177,9 
5.672,0 
17.9553 
733 
1.7803 
1.467,4 
14.0473 
1.413,0 
1.205,2 
8659.1 673.5 
65,6 
7.817.0 
9.360.0 
15.947,4 
3.483.6 
2.596.9 
9.721.7 
7,6 
305.8 
352.8 
8.730.5 
313.1 
314.9 
3.397.5 678,6 
328,3 
6.492.9 
2.5593 
8.265.3 
4.277,6 
1.979/7 
4.684.4 
24,6 
1.229.3 
530.7 
3.160.9 
491.3 
652.5 241,0 
148.9 
4.253,9 
1.795.4 
4.002,6 
3.187,9 
1.047,7 
3.182.4 
403 
190,1 
581.9 
1.947.9 
581,6 
193.7 
________ 25.6 
139,9 
159.5 
130.0 
1.130,7 
228.1 
47.7 
367,4 
1,1 
55.1 
2.0 
208.1 
27,0 
44.1 
_____ 
!_______ _________ 63.088.1 39.910.9 21.978.2 6«9,9 __. -_-L _1_ _-__. _H 
* Period 1994-99 for Objectives I, 3,4 (Spain, France, Netherlands), 5(a) agriculture, 5(a) fisheries. 5(b); period 1994-96 
for Objectives 2 and 4 (Belgium. Denmark. Germany, Luxembourg); period 1995-99 for Austria, Finland, Sweden (except Objective 2 in 
Finland: 1995-96) 
** Operational programmes; major projects; global grants; single programming documents; forecasts of implementadon for Objective 5(a) agriculture. 
Much of the delay in launching programmes that occurred in 1994 was made up in 1996 as 
programming was implemented. This is illustrated by financial implementation: commitments made in 
1996 represent 37% of total commitments since 1994, taking all the Objectives together; and, even 
more significantly, payments in 1996 alone represent 44% of total payments since 1994, which is a 
sign that the measures have now taken off. Implementation also involved more and closer monitoring 
of programmes under the Monitoring Committees, where the Corrimission encouraged the sound 
financial management of assistance, the selection of projects in line with by the Community's 
priorities (combating unemployment, conserving the environment, promoting equal opportunities, 
1 Throughout this Report, unless otherwise specified, sums of money are expressed at current prices, i.e. in the 
context of programming, prices for the year the assistance was adopted and amended, and in the context 
commitments or payments, prices for the year of financial implementation. 
268 8th Annual Report on the Structural Funds (1996) 
OBJECTIVES 3 AND 4 
Fie. V-60: Obiective 3: proerammine 1995-99 (ECU million -1995 prices): 
By priority 
Pathways of integration (a) 
Job creation and development of human 
resources in SMEs (b) 
Young persons' employment needs (c) 
Measures for the Aland Islands (d) 
Technical assistance (el 
Total 
1SPD ESF 
110.0 
61.5 
82.2 
0.8 
__£ 
258.4 (d)0,3% (e)2% 
(c)32% 
(b)24% (a) 42% 
Adopted in July 1995, the Objective 3 SPD had its first full year of activity in 1996. The three 
priorities progressed well in general. The measures to help the excluded find a route back into the jobs 
market and to train the unemployed in both SMEs and innovative workshops clearly exceeded the aim 
of the programme in quantitative terms. Additional training through apprenticeships was the only 
measure not to progress as rapidly as envisaged, but an information campaign directed at employers 
has been launched. The arrangements for monitoring and evaluation were finalised in 1996. Under 
Objective 3 300 projects were begun in 1996. The public can access a description of the ESF-funded 
projects through a dedicated Internet site. A publicity campaign was organised and the information 
was arranged on thematic lines for project leaders and potential participants. The territorial pacts for 
employment initiative was particularly well received: a call for proposals was launched at the end of 
the year and 78 municipalities applied to prepare the 15 employment pacts to which the Objective 3 
Monitoring Committee has decided to allocate the appropriations for technical assistance. 
Fie. V-6I: Obiective 4: proerammine 1995-99 (ECU million -1995 prices). 
By priority 
Career trends forecasting (a) 
Vocational training and retraining; careers 
guidance and advice (b) 
Development of know-how and innovative networks (c) 
Measures for the Aland Islands (d) 
Technical assistance (?) 
Total FSE 
7.6 
47,5 
25.5 
0.2 
_____ 
_S£_. 
1 SPD (d)0_% <e>4% (a) 9% 
(c)30% 
(b)57% .-
Much interest was shown in Finland in the Objective 4 SPD, adopted in July 1995. A large number of 
SMEs participated in the projects, especially in the industrial areas in the south of the country. There 
were 180 projects in the 1995-96 period and the number of participants on training or advisor}' 
courses amounted to more than 20 000 in the same period, 26% of them women, in about 7 000 
enterprises. At the end of 1996, 40% of the ESF budget had already been committed to projects. Most 
projects had been submitted by training bodies and public authorities and implementation of the 
programme was boosted by local agents responsible for researching and preparing projects on behalf 
of company directors who often lacked the time and resources to implement the training ideas or plan 
the project. 
OBJECTIVE 5(a) Agriculture 
Table V-50: Programme implementation 1995-99 (ECU million -1996 prices and status), 
______ 
3373 Measures 
Production 
Marketing 294,2 
43.1 87% 
13% 
Following the Commission's adoption in 1995 of the forecasts of aid to production structures 
(investment aid and the installation of young farmers), 1996 was the first full year of implementation. 
In parallel, similar but less extensive arrangements were adopted for the Aland Islands, thereby 
extending aid to improve production structures to all parts of Finland. The Community aid for 
production structures (a total of ECU 294.2 million) mainly comprises ECU 4 million in investment 
8th Annual Report on the Structural Funds (1996) 269 
aid, ECU 26.7 million in aid for young farmers and ECU 257.5 million in aid for less favoured areas. 
The Coinmission also authorised additional national aid schemes, especially in the horticulture, pigs, 
eggs and poultry sectors that are covered by special provisions in the Act of Accession. Aid for the 
processing and marketing of products was approved at the end of 1995. The eligible costs amount to 
ECU 359 million, with an EAGGF contribution of ECU 43.1 million. The aid is concentrated in 
particular on the meat (45%) and milk and milk products sectors (40%). The four other sectors (eggs 
and poultry, fruit and vegetables, potatoes, oilseeds) will qualify for ECU 6 million. At the end of 
1996, the Finnish authorities had approved 42 projects, 24 in the meat sector, 8 in milk and 6 in fruit 
and vegetables, costing a total of ECU 98 million. 
OBJECTIVE 5(a) fisheries 
Fie. V-62: Obiective 5(a) Fisheries - proerammine 1995-99 (ECU 
Adjustment and redirection of the fishing effort (a) 
Other fishing fleet measures (b) 
Renovation and modernisation of the fleet (c) 
Aouaculture (d) 
Protected marine areas (e) 
Port facilities ff) 
Processing and marketing of fisheries products (e) 
Promotion of fishery products fh) 
Socio-economic measures (i) 
Othgr mgasurgs f j) 
Total million): 
_______ 
4.1 
0.0 
2.4 
6.0 
0.5 
1.0 
6.5 
2.2 
pm 
JL2. 
23.0 (i) 0% 
(h)10% 0)1% (a)18% 
(g) 29% (b) 0% 
(c) 10% 
(f)4% (e)2% (d) 26% 
The programme was implemented satisfactorily in 1996, with the except of aquaculture, which made 
little progress. A total of 386 projects were launched, and physical commitments account for 24% of 
the total allocation for 1995-99, with payments standing at 13%. The Monitoring Committee has 
adopted its rules of procedure and has started the process for choosing an external evaluator. 
OBJECTIVE 5(b)70 
Fie. V-63: Obiective S(b) - nroerammine 1995-99: 
Population ('000) 
Area (km2) 
Bv Fund 
ERDF 
ESF 
EAGGF 
Total 
______ 
Average perSPDl 1.094 
95.219 
ECU million 
94,5 
32,8 
66,7 
______ 49% 
17% 
34% 
100% 
97.0 (f) 16% (9) 1% (a) 35% 
(c)8% 
(b) 30% DDiversification and development of 
agriculture and forestry (a) 
B Diversification and development of 
non-agricultural sectors (h) 
IEnvironmental protection (c) 
"Tourism (d) 
B Local development and village 
renovation (e) 
QHuraan resources (0 
'Technical assistance (g) 
As the two SPDs were adopted in November 1995, 1996 was their first full year of implementation. 
Implementation revolved around developing the national and regional procedures needed to take fuller 
account of an integrated approach to rural development and to reflect in the monitoring system the 
results achieved under the regional chapters of the SPD for mainland Finland, in particular by 
strengthening the regional Monitoring Committees. One of the other main tasks was to launch the 
ongoing evaluation process by selecting an evaluator for each programme and 'presenting an interim 
report in June 1997. The implementation rate has remained quite low, however, caused in part by 
delays in adopting the national aid schemes for agricultural measures in particular. 
70 Eligible areas: mainland Finland, land Islands. 
270 8th Annual Report on the Structural Funds (1996) 
report in June 1997. The implementation rate has remained quite low, however, caused in part by 
delays in adopting the national aid schemes for agricultural measures in particular. 
Table V-51: Finland - Assistance by Objective - 1996 in the context* of programming for 1995-96/99 (ECU 
million) 
Programmes 
(year of adoption) Total cost S.F. 
assistance 
(1) Commitments 
1996 Commitments 
1995-96 
(2) V. 
(2)/(l) Payments 
1996 Payments 
1995-96 
(3) % 
(3)/(l) 
Objective 6 
SPD Finland (1995) | 1.326.1 j 459,9| 77,2| I58.2| 34%| 42.l| 82.6| 18% 
Objective 2* 
SPD Finland (1995) | 341.l| 55,8| 21.3| 52.4| 94%| I4,2| 29.8| 53% 
Objective 3 
SPD Finland (1995) | 926,0| 258,4| 35,0| 95,3| 37%| 21.l| 5I,3| 20% 
Objective 4 
SPD Finland (1995) | 301.5| 84.6| 8.8| 23,6| 28%| 5.5| I2,9| 15% 
Objective 5(a) agriculture 
Forecasts for Finland Reg. 2328/91 (1995) 
SPD Finland Regs. 866 and 867/90 (1995) 
Total 1.156,2 
359,2 
LSI 5,4 294,2 
43.1 
337,3 53.3 
0.0 
53,3 107,8 
6,9 
114,7 37% 
16% 
34% 24,5 
2.1 
26,6 51,8 
5,5 
57,3 18% 
13% 
17% 
Objective 5(a) fisheries 
SPD Finland (1995) | 81,9| 23.0| 0,0| 23,0| I00%| 0.0| 6.9| 30% 
Objective 5(b) 
SPD Aland (1995) 
SPD Mainland Finland (1995) 
Total 
TOTAL 10,3 
613,8 
624,0 
5.116,0 2,6 
191,4 
194,0 
1.413,0 0,3 
16.0 
16,3 
211,9 2.6 
46,5 
49,1 
516,3 100% 
24% 
2.1% 
37% 0.1 
7.6 
7,7 
117,2 0,8 
22,8 
23,6 
264,4 30% 
12% 
12% 
19% 
* After deduction of transfers to 1997-99 
13.2. Implementation of the Community Initiatives in 1996 
Finland is not participating in 5 Community Initiatives: Rechar, Résider, Retex, Konver and Regis. Two 
Community Initiative programmes were approved in 1995 (Adapt and Employment); the remaining 
programmes (SMEs, Urban, 2 Leader, Pesca, 7 Interreg) were approved in 1996. 
Support for the development of technological potential in Finland: 
Information and communications technologies play an important role in most of the priorities in the Leader 
and SMEs programmes (creation of networks, internationalisation and cooperation, data bases, new 
activities under development - electronics, software, etc., electronic commerce, etc.) and in the Adapt 
programme (promotion of teleworking, distance learning, introduction of new technologies in enterprises and 
the creation of databases). The Interreg programmes also place particular importance on the new 
information technologies: 
• between Finland and Sweden: introduction of telecommunications technology and improvements to 
logistical systems to reduce the geographic isolation of the border area, improve the technological 
capabilities of enterprises and women and protect the region's environment; 
• between Sweden, Finland and Norway: in the Kvarken-MittSkandia region, coordination of the 
emergency services and new telecommunications technology (e.g., teleconferencing, cross-border 
networks, etc.) and training development through distance learning and technology transfers, etc.; 
in the northern Arctic region, as part of the efforts to improve the living conditions of the Sami 
people, human resources will be strengthened through information technology (e.g. multimedia 
training, development of technological capacities in support of business, teleworking, distance 
learning); 
• between Finland, Sweden, Norway and Russia: cooperation and dissemination of information 
between enterprises through networks, the organisation of networks between research centres and 
trade and industry, development of training in multimedia and distance language learning, 
improvements to the area's internal operating capacity by interconnecting telecommunications, the 
use of information technology for mapping purposes, shared data bases and emergency services, 
etc.; 
• between Finland and Russia: RTD networks to exchange experts, improvements to information 
services and the development of telecommunications for environmental purposes in Karelia; 
telecommunications improvements in the "Nordic Triangle", the application of new technologies to 
environmental protection and land planning, increased know-how through networking, distance 
learning, Open Universities and the development of information research and technology in south­
east Finland. 
8th Annual Report on the Structural Fund1; (1996) 271 
The Urban Community Initiative programme for Joensuu also makes full use of data transmission and 
information technology to prevent social exclusion and assist the long-term unemployed back into the jobs 
market. It is aiding the introduction and extension of the chain of Palveluelli data transmission services, 
information and support for the creation of SMEs through information technology and local residents' access to 
the information networks. Lastly, the Pesca programme seeks to create three data networks linking producers, 
fish processors, the markets and the advisory organisations with a view to improving the^vay the fish market 
operates. _^ 
Five national and seven Interreg programmes were adopted in 1996. Firstly, the Urban Community 
Initiative programme approved in July for the city of Joensuu aims to make its target group - families 
in difficulty and the unemployed living in a vast area of housing estates - more conscious of the 
responsibilities involved in living in society and self-reliant; it also aims to provide training and 
advice and involve the unemployed in improving their environment so that a return to more social 
behaviour is instilled in the area in question. The programme is operated directly by the municipality. 
Secondly, the SMEs programme, approved in November, concentrates mainly on technology transfer 
and development, the globalisation of SMEs and inter-enterprise cooperation and networks. One of 
the Leader programmes involves the Objective 6 areas and the other the Objective 5(b) areas. They 
were adopted in August and July respectively. The first has already chosen 10 local action groups and 
the second 12 local action groups, all of which have begun implementing the measures. Leader has 
been generally well received as the rural development model it fosters is highly relevant to the efforts 
made in Finland in this regard. Lastly, the Pesca programme adopted in March has not yet started but 
the Finnish authorities have introduced the legislative framework (application forms, evaluation 
forms, national rules and regulations) that will allow it to begin early in 1997. 
The seven Interreg programmes in which Finland is participating were also approved in July. Two of 
the programmes involve cooperation with Sweden (Aland Island and Kvarken-MittSkandia), one 
cooperation with Sweden and Norway north of the Arctic circle, three cooperation with Russia (the 
Barents programme, involving also Sweden and Norway, the Karelia programme and the South-East 
Finland programme) and one on cooperation between Finland and Estonia across the Gulf of Finland. 
Total investment in the programmes amounts to ECU 199 million, of which ECU 63 million (the 
combined Swedish and Finnish shares) comes from the Structural Funds. The figures show that there 
has been a significant expansion in funding possibilities for cross-border activities. On the Russian 
and Estonian side efforts are being made to fund activities that improve compatibility between the 
Interreg projects and the Tacis and Phare programmes. The programmes' originality lies in the 
pooling of funding and unified financial management along the Finno-Swedish border (a single region 
being responsible for managing the funds for the whole programme) and in the advanced 
decentralisation of decision-making. The first meetings of the programme Monitoring Cornmittees 
were held in October. 
The Employment and Adapt programmes, which had been adopted in 1995, selected projects at the 
start of the year which were subsequently launched during the year. In the first six months, 3 000 
individuals participated in a total of 31 Employment projects (11 Now projects, 9 Youthstart, 11 
Horizon - equivalent to 100 000 training days)) and involved 87 partners in other countries (in 
particular Ireland, the United Kingdom and Germany). The projects are directed towards the long-
term unemployed, drug addicts, immigrants, former prisoners and the handicapped, and the promotion 
of equal opportunities in the labour market. Support for social enterprises and assisted employment 
were the predominant themes. Under the Adapt programme (28 projects) aid was provided to assist 
workers adapt to industrial change through virtual work experience and teleworking projects. One 
hundred and fourteen (114) partners from other countries participated in the projects (mainly from the 
United Kingdom, Italy and Germany). Project promoters for the two Initiatives were mainly NGOs or 
public authorities, educational bodies in particular. 
Lastly, the decision to allocate the reserve for the Community Initiatives enabled an extra ECU 18.9 
million to be released to Finland for all the Initiatives, with the exception of SMEs Initiative.71. 
71 See also Chapter I.B.I. Community Initiatives. 
272 8th Annual Report on the Structural Funds (1996) 
Tableau V-52: Finland 
million) Community Initiatives - 1996 in the context of programming for 1995-99 (ECU 
Initiative 
(number of programmes) 
Adapt (1) 
Employment ( I ) 
Leader(2) 
Pesca (1) 
SMEi(l) 
Urban(I) 
Total (7) 
Interree/Reven (7)** Total cost 
42.90 
66.25 
76.47 
8.75 
27.93 
*28 
22738 S.F. 
assistance* 
. m 
19.70 
29.15 
28.09 
3,41 
11.09 
3,96 
95,40 Commitments 
1996 
0.00 
0.00 
28.09 
3,41 
7.39 
3.15 
42.04 Commitments 
1995-96 
19.70 
29.15 
28.09 
3.41 
7.39 
3.15 
904» _____ 
100% 
100% 
100% 
100% 
67% 
80% 
95% Payments 
1996 
1.21 
0.00 
8,43 
1.13 
2.22 
1.57 
14,56 Payments 
1995-96 
<3, 
9.85 
14.58 
8,43 
1.13 
2.22 
1.57 
37,77 _____ 
50% 
50% 
30% 
33% 
20% 
40% 
40% 
CIPs adopted in 1996: 
Leader Finland (Objective 6) 
Leader Finland (Objective 5(b)) 
Pesca Finland 
SMEs Finland 
Urban, Joensuu 
Total (5) 
Interred (7)' 32.1 
44.3 
8,8 
27.9 
5.3 
118,4 n,9 
16,2 
3,4 
11.1 
4.0 
46,6 11,9 
16,2 
3,4 
7,4 
3.1 
42,0 11,9 
16,2 
3,4 
7,4 
3,1 
42,0 100% 
100% 
100% 
67% 
80% 
90% 3,6 
4.8 
1.1 
2,2 
1.6 
133 3,6 
4,8 
1,1 
2.2 
1.6 
133 30% 
30% 
33% 
20% 
40% 
29% 
• Excluding reserve MUUUIU^ 1_0«1 VW 
For programme details see Chapter VII. Table 2.2. 
*•* For programme details see Chapter I.B.I. Community Initiatives 
8th Annual Report on the Structural Funds (1996) 273 
14. SWEDEN 
14.1. Implementation of assistance bv Obiective in 1996 
Support for the development of technological potential in the regions of Sweden : 
Objective 6: Each SPD priority contains support measures for the information society (16.2% of Community 
appropriations). This falls within the broader objective of spreading know-how, and includes the development 
of communication systems and associated technologies, encouraging the use of new technologies in 
businesses and developing regional databases. It also involves developing advanced telecommunications 
technologies to fill in the gaps in RTD for small businesses and applying these new technologies to education 
(basic and higher education through distance learning, new techniques for improving the quality of 
education, communication among Swedish schools and with schools in other countries to exchange 
experience). As part of the development of human resources, new teaching techniques are being used to 
strengthen cultural identity at local and regional level (e.g.: documentary databases, cultural and historical 
databases, etc.), to improve local public services and to improve health care and the quality of life in areas 
remote from the regional centres (e.g. remote medical prescriptions). Under the priority for supporting the 
Sami people, it is planned to create a database and multimedia facilities in Sami to promote their culture and 
to combine traditional reindeer rearing techniques with the use of new technology. Support for technological 
development is also essential in measures to support employment, trade and industry. Finally, the use of 
technology is being encouraged to develop agricultural, forestry and fisheries productivity and markets while 
preserving natural resources. 
Objective 2: RTD plays a key role in the strategy of all the SPDs (6.1% of Community funds), both in 
determining priorities and in selecting and implementing projects: 
• Blekinge : it is planned to introduce information technologies (ECU 2.5 million; total cost: ECU 11 
million) as a way of creating jobs and giving all citizens access to the information society. This 
involves promoting research and information technologies in all private and public socio­
economics activities (businesses, rural development, public health care, infrastructures, RTD, etc.), 
and infrastructure and industrial development (creation of innovation centres); 
• Norra Norrlandskusten : one priority (ECU 2.9 million; total cost: ECU 12 million) is to stimulate 
the use of information technologies, in particular in businesses, and another (ECU 9 million; total 
cost: ECU 40.5 million) is to encourage collaboration between businesses and research centres 
(spreading information on technology, technology transfer projects); 
• Àngermanlandkusten : this SPD does not have a priority for information technologies as such, but 
it has one for innovation in businesses (ECU 3.3 million; total cost : ECU 23.2 million). 
Furthermore, one of the project selection criteria is the application of new technologies.; 
• Bergslagen : here encouragement of the use of new technologies is focused on businesses, in 
particular in the least populated areas and the areas furthest from urban centres, through 
cooperation between businesses and research centres (ECU 5 million; total cost: ECU 
18.8 million) and training in R&D (ECU 3 million; total cost: ECU 11.3 million); 
• Fyrstad : technological development is integrated in local development measures, measures to 
develop human resources and to improve training, but also in measures to improve the capacities 
of businesses (ECU 3.3 million; total cost: ECU 17.9 million), particularly as regards 
environmental technologies. It is also one of the project selection criteria. 
Objective 5(b) : All the programmes have a technology component, with telecommunications, RTD and 
telematics treated as instruments for overcoming the isolation of rural areas: 
• Skâergarden : use of new telecommunication technologies and telematics to link the islands with 
the rest of the country; development of distance learning; 
• Vâstra Sverige and Vasterbotten/Gàvle/Dala : telecommunications development; 
• Sydbstra Sverige : support for RTD programmes; 
• Gotland: support for telematics applications. 
In total, the financing of technological development in Sweden accounts for 17.1% of Structural Funds 
assistance (Objectives 6 and 2). 
274 8th Annual Report on the Structural Fund* (1996) 
Table V-53: Sweden - Financing directly related to technological development in the 1994-99 
programming period (ECU million) 
Objective 2 
Objective 6 
TOTAL TOTAL 
138.1 
_____ 
24.9 __L 
61% 
100% Structural Funds 
29,6 
40.8 
70.5 _SL 
21% 
47% 
31% Public Private Total 
64.8 
.32.4 
___. Member State 
43.7 
_i__ 
_-_. 108.5 
_____ 
154.4 
NB: The programminj! procedures and diflcrent approaches 
iaken by the Member Slates invue 10 tauuon in interpreting these figures, in particular 
spending on inlormauon society projects, which arc nl'ten linked to other field'! such as RTD. 79% 
53% 
____t Financing by the Structural Funds 
27% 
73% 
OBJECTIVE 672 
Fie. V-64: Proerammine 1995-99 (ECU million): 
Priorities: 
Employment trade and industry (a) 
Promoting know-how (b) 
Agriculture, fisheries and natural resources 
(c) 
Rural development and community work (d) 
Sami community (e) 
Technical assistance (fl 
By Fund. 
ERDF 
ESF 
EAGGF 
FIFG 
Total 122,6 
63,9 
61,4 
4,1 
252.9 82.6 
66,1 
41.7 
7.6 
5.2 
49% 
25% 
24% 
2% 
100% 
1 SPD (e) 3% (1)2% 
(d) 17% 
(c) 26% (a) 33% 
(b) 19% 
Main achievements in 1996 
The Objective 6 SPD, approved in November 1995 aims to create 9 500 new jobs and 900 businesses. 
Cornmittees responsible for project selection have been established in each district for most of the 
measures, and a regional group has been set up with responsibility for measures relating to R&D 
measures, information technologies and tourism where these require a strategic approach. 
The pace of implementation of the SPD was disappointing in 1996. A working party for 
implementation had been set up by the Monitoring Committee to draw up guidelines for regional and 
local authorities responsible for project selection in each of the seven districts covered by Objective 6. 
These guidelines were not in the end published until the middle of 1996, with the result that 
implementation was delayed. However, the situation improved in the second half of the year, so that 
by the end of the year the projects approved accounted for about 80% of the financing package 
provided for 1995-96. Most progress was made under measures relating to local development, R&D 
and information technologies, while measures to support businesses lagged behind. Since Small 
businesses expressed concern about access to the SPD, a special group was set up to study the 
problem and report to the SPD's Monitoring Committee. Under the RTD measure the Monitoring 
Committee approved an allocation of ECU 9 million to the Kiruna Research Institute for the 
Environment and Regional Planning; this is the largest-scale project approved to date. 
Eligible areas: Jàmtland. Varmland, Kopparberg. Gàvleborg, Vàsternorrland, Vâsterbotten, Norrbotten. 
8th Annual Report on the Structural Funds (1996) 275 
1996 in the context of the 1995-99 programming period 
At the end of 1996 about 80% of Structural Funds assistance for 1995-96 had been allocated to 
various projects. However, only 6.5% of the 1995 and 1996 tranches had actually been paid to the 
final beneficiaries. The 1996 tranche could therefore only be opened for one of the Funds, the 
EAGGF, before the end of the year. 
OBJECTIVE 273 
Fie. V-65: Proerammine 1995-99 (ECU million at 1995 prices and 1996 situation). 
Priorities: 
Development of businesses (a) 
Innovation, research and technology (b) 
Working environment, toursim, local 
development (c) 
Training, qualifications (d) 
Technical assistance (g) 
Bv Fund. 
ERDF 
ESF 
_______ 121,7 
38,3 
160.0 
S SPDs 
Average per SPD 79.5 
17.8 
33,8 
24.3 
__4__ 
76% 
24% 
100% 
____ (d) 15% (e)3% 
(c)21% 
(b) 11% (a) 50% 
Main achievements in 1996 
The five Objective 2 SPDs were approved in November 1995 for the 1995-99 period. They focus 
principally on measures to improve the business climate, support local Small businesses and develop 
tourism, and they set ambitious targets in terms of job creation (about 21 000 new jobs). During the 
first half of 1996, the national and regional authorities made a considerable effort to establish 
adequate structures and procedures for the administration, monitoring and assessment of the 
programmes. The programmes' implementation fell somewhat behind. In the second half of the year 
the situation improved markedly. At the end of the year the projects approved at regional level 
accounted for 20% of the Structural Fund assistance available for the programming period. Moreover, 
in most of the regions many projects were nearing completion, which gives grounds to expect that 
most of the initial delays will be made up during 1997. """ 
The Objective 2 Monitoring Committees met three times in 1996. At their meetings they finalized 
implementation arrangements and the interim assessment process was initiated. They also analysed 
difficulties encountered in the implementation of SPDs (project approval procedures, delays in 
payments to final beneficiaries, participation by small businesses). 
1996 in the context of the 1995-99 programming period 
Despite the rapid improvement in project approval rates during the second half of the year, the level 
of payments to final beneficiaries remained very low (at the end of the year they accounted for hardly 
more than 5% of the appropriations available for the whole programming period). This was 
principally because of delays in approval during the first half of the year, but also to a certain extent 
because of the comparative cumbersome nature of the administrative procedures. As a consequence 
the Swedish authorities were not able to claim payment of the second advances, nor ask for the second 
tranche for the Bergslagen SPD to be opened. The other four SPDs are programmes with a single 
commitment. 
73 Eligible areas: Ângerlandskusten, Bergslagen, Blekinge, Fyrstad, Norra Noniandskusten. 
276 8th Annual Report on the Structural Funds (1996) 
OBJECTIVES 3 AND 4 
Fig. V-66: Obiective 3: Proerammine 1995-99 (ECU million at 1995 prices): 
Priorities 
integration of voung people in the labour market! (a) 
Combating long-term unemployment (b) 
Integration in the labour market of those in 
danger of exclusion (c) 
Technical assistance fd) 
Total ESF 
97.0 
173.0 
63,0 
____ 
____» 
1 SPD (c) 18% (d) 4% 
(a) 28% 
(b)50% 
The Objective 3 SPD was not approved until December 1995 - projects launched after 1 July 1995 
are, however, retroactively eligible - and so the establishment of structures and procedures for the 
programme held up its launch on the ground somewhat. That is why only 30 projects were selected for 
1995 (with retroactive financing). Between July 1995 and the end of December 1996, however, 643 
projects were financed and 33 636 participants benefited from ESF financing. 54% of the participants 
are long-term unemployed and 39% are young people. 46% are participating in schemes for 
integration into working life, 35% in skills development schemes and 14% are receiving guidance and 
counselling. 53% are women and 15% are immigrants. Preliminary results indicate that 32% of the 
participants registered as unemployed before taking part in the measures are no longer unemployed 
and that 23% gave up during the projects (because they had found work in 36% of cases, because they 
had started other training in the case of 15%, or for unknown reasons in the case of 27%). 
Fie. V-67: Obiective 4: Proerammine 1995-99 (ECU million at 1995 prices): 
Priorities 
Forecasting, planning and development (a) 
Skills development, guidance and counselling (b) 
Cooperation and transfer structures, networks (c) 
Technical assistance (d) 
Total 
1SPD ESF 
26.0 
112.4 
26.0 
8.6 
_____ (c) 15% (d) 5% (8) i5o/o 
(b) 65% 
The Objective 4 SPD was not adopted until February 1996. It focuses on employees of small 
businesses and 15% of the funding is specifically earmarked for small businesses in the public health 
care sector (networks of self-employed individuals may also submit projects). The general strategy is 
to orient production to customer demand by reorganizing working time and methods and developing 
employees' skills. The first, compulsory, stage of the projects is an analysis of the situation of each 
business prior to drafting an action plan. No project is launched unless it has been approved by and 
involves the participation of the business's employees. A new national agency is responsible for the 
daily administration of the programme while the national employment office is responsible for its 
financial implementation. Objective 4 has been greeted with a great deal of interest in Sweden. 3 066 
projects were selected in 1996. These involve 250 businesses with more than 50 employees, 2 856 
businesses with fewer than 50 employees and 1 467 with fewer than 10 employees. The total number 
of participants is 63 620, of whom 37% are women. However there is a risk that the slowness of 
financial implementation may dampen this enthusiasm. 
OBJECTIVE 5(a) Agriculture 
Table V-54: Implementation forecasts 1995-99 (ECU million.'situation 1996) 
________ 
92,2 Measures 
Production 
Marketing 6S.7 
23Ji ___ 
75% 
25% 
Since its accession, Sweden has been gradually establishing the support measures provided for by 
Community legislation for improving the efficiency of agricultural production structures. In 1995 it 
first introduced compensator)' payments which 23 000 farmers received in 1996 and which accounts 
for the largest part of Swedish provisions in this respect. Measures to support young farmers were 
8th Annual Report on the Structural Funds (1996) 277 
applied from 1996, in which year 149 beneficiaries were registered. This figure, which is lower than 
expected, may be explained by the fact that the aid mechanism is new to farmers in Sweden, who have 
still to become familiar with it. Finally, the support arrangements for investment in agricultural 
holdings, which were approved at the end of 1996, are to be implemented in 1997. The emphasis will 
be on protecting the environment, animal welfare and diversification of activities. 
The SPD for assistance with product processing and marketing was adopted in March 1996. Eligible 
costs total ECU 188 million. The meat and milk and milk product sectors will receive about 61% of 
the funds available. The five other sectors (poultry, fruit and vegetables, flowers and plants, potatoes 
and forestry products) will receive ECU 9 million. Implementation of the arrangements began at the 
end of 1996 with the approval of 210 projects with a total value of ECU 15 million. Milk and milk 
products account for the largest proportion (71%). 
OBJECTIVE 5(a) Fisheries 
Fie. V-68: Objective 5(a) fisheries - Proerammine 1995-99 (ECU million): 
Adjustment and reorientation of fishing effort (a) 
Other fleet structuring measures (b) 
Renewing and modernising the fleet (c). 
Aauaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of products (e) 
Promotion of products (h) 
socio-economic measures (i) 
Other measures (T> 
Total _E_2__L 
4.0 
0.0 
12.0 
5.1 
1.9 
2.2 
9.0 
2.2 
pm 
____ 
_____ (h) 6% (j) 9% (a) 10% 
(g) 22% ^__V :./ ~9_____| (c) 29% 
W 6% MSHflna* 
After the project selection procedures had been established, project financing began in mid-1996, the 
SPD having been adopted in November 1995. Eligible costs committed on the ground at the end of 
1996 totalled ECU 16.6 million, or 14% of the total provided for the period 1995-99. Investment is 
highest in the processing sector (43% of total eligible costs), followed by the adjustment of fishing 
capacity and modernization of the fleet (17% of eligible costs each). 
OBJECTIVE 5(b)74 
Fir. V-69: Obiective 5(b) - Proerammine 1995-99: 
Population (1000 nab.) 
Area (km2) 754 
______ 
m\tt\<>n fCK>y 
Bv Fund 
ERDF 
ESF 
EAGGF 
Total 70,6 
30,3 
40,2 
______ 50% 
21% 
28% 
100% 
5 SPD 
Average per SPDi 28.2 (f)21% 
(e) 8% 
(d)1l% 0)2% (a) 17% 
(c> 5% {b)36% O Agriculture and forestry 
diversification and development 
_<a) 
— Diversification and development 
of non-agricultural sectors (t>) 
• Protection of the environment 
(c) 
"Tourism (d) 
• Local development and village 
. renewal (e) 
—Human resources (f) 
•Technical assistance (g) 
The five Objective 5(b) SPDs were adopted in May 1996 and the first Monitoring Committee 
meetings were held in May and June in order to begin implementation as quickly as possible. 
Introducing Community rural development policy in Sweden involved new approaches: multiannual 
programming with long-term strategies and the monitoring of Objectives were innovations; the 
regional programmes, which include areas straddling traditional county boundaries, entailed active 
cooperation among the new partners, including the social partners. This also involved creating new 
authorities (the regional Monitoring Cornmittees) and adapting administrative and inspection systems 
to Community requirements. 
74 Eligible areas: Sydôstra Sverige, Vâsterbotten/Gâvla/Dala, Vâstra Sverige, Skàvgârden, Gotland (island of). 
28 8th Annual Report on the Structural Funds (1996) 
supporting small firms), and the introduction of an effective and efficient system of interim 
assessment. 1996 was also the year for preparing the second stage of progranrrning for Objective 2 
assistance and some Objective 4 programming2. 
1.2. 1996 in the context of programming for 1994-99 
By the end of 1996, practically all the assistance planned for 1994-99 had been adopted. Programme 
implementation had gathered pace rapidly over the three years and now reached cruising speed for 
most Objectives, Member States and assistance. Comparing 1996 with the first two years» we find that 
37% of commitments for the period 1994-96 were made in 1996, 28% in 1994 and 35% in 1995. On 
the payments side, the picture is even clearer: of payments made since 1994, 44% were made in 1996 
compared with 21 % in 1994 and 35% in 1995. . 
Table 1-2: CSFs/SPDs-Implementation 1994to 1996(ECUmillion) 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
EUR15 Commitments 
1994 
251,4 
121,0 
2 703,5 
1 884,6 
4 018,5 
1 903,7 
725,9 
1 572,6 
19,2 
323,0 
0,0 
3 169,8 
0,0 
0,0 
1 646,8 
18 339,8 1995 
86,4 
95,4 
2 422,2 
2 653,0 
5 837,4 
1 326,5 
954,2 
2 282,5 
9,4 
183,8 
300,5 
1 379,7 
304,5 
277,4 
1 331,2 
19 444,1 1996 
361,8 
120,9 
3 351,6 
1 590,0 
5 498,7 
2 022,6 
1 181,3 
2 606,2 
6,6 
287,1 
209,6 
2 968,0 
211,9 
140,4 
2 521,0 
23 077,6 1994-96 
699,6 
337,2 
8 477,2 
6 127,6 
15 354,5 
5 252,8 
2 861,5 
6 461,2 
35,2 
793,9 
510,2 
7 517,4 
516,3 
417,8 
5 499,0 
60 861,5 Payments 
1994 
108,1 
64,9 
1 605,2 
1 051,3 
1 975,4 
803,2 
513,2 
767,5 
9,4 
189,3 
0,0 
1 596,9 
0,0 
0,0 
965,6 
9 649,9 1995 
102,2 
87,5 
1 631,0 
1 705,8 
4 537,3 
949,4 
856,5 
1 191,9 
6,5 
178,2 
143,8 
1 667,2 
147,2 
115,9 
826,2 
14 146,5 1996 
262,7 
74,5 
• 2 967,2 
1 646,1 
4 460,9 
1 623,0 
900,8 
2 227,0 
9,3 
201,4 
216,8 
2 434,6 
117,2 
78,3 
1 751,4 
18 970,9 1994-96 
473,0 
226,9 
6 203,4 
4 403,1 
10 973,6 
3 375,6 
2 270,4 
4 186,4 
25,2 
568,9 
360,6 
5 698,7 
264,4 
194,2 
3 543,2 
42 767,3 
Fig. 1-1: CSFs/SPDs - Share of each year in implementation 1994 to 1996 
Commitments Payments 
• UK o a. US \ IX BXH • UK'liaE F BO. I LM.A FftfSUK HJU5 
Financial implementation in the first three years in relation to the overall financing planned for the 
period 1994-99 confirms this gathering momentum. Taking all the Objectives together, the share of 
financing committed represents almost half the total, and the share paid represents one third of that for 
the whole period. However, the situation varies from one Objective to another. Objective 2 is a 
special case: the rate of implementation during the first phase, 1994-96, should be assessed in the light 
of the delay in launching the programmes, which led to a reduction in the amount originally allocated 
to the first phase, with transfer of financing to the second phase, 1997-99. Of the financing originally 
2 See below section 3 for Objective 2. and section 4 for Objectives 3 and 4. 
278 8th Annual Report on the Structural Funds (1996) 
Financial implementation in 1996 reflected the fact that the programmes were being launched, and on-
the-ground implementation did not begin until autumn. However, they started up relatively slowly 
because of the novelty of the system and, to some extent, the uncertainty of potential beneficiaries 
about the timing and method of implementation. The state of implementation was discussed at the two 
Monitoring Committee meetings held in each region in November, and the importance of informing 
potential beneficiaries was stressed. The pace of implementation was stepped up somewhat at the end 
of the year and it may be hoped that this progress will continue in 1997. Monitoring the progress of 
implementation will be one of the main tasks of the assessors, who were selected at the end of the 
year and will submit their interim assessment reports in June 1997. 
Table V-55: Sweden - Assistance by Objective 
(ECU million) 1996 in the context of the 1995-99 programming period 
Programmes 
(year adopted) Total cost S.F. 
assistance 
(1) Commitments Commitments 
1996 1995-% 
(2) % 
(2)/(l) Payments 
1996 Payments 
1995-96 
(3) % 
(31/(1) 
Obiective 6 
SPD Sweden (1095) I 635.ol 252.o! 11,51 56.4| 22%! o.ol i\_*\ 12% 
Obiective 2 
SPD Àngermanlandskusten (1995) 
SPD Bergslagen (1995) 
SPD Blekinge (1995) 
SPD Fyrstad (1995) 
.SPD Norm Norrlnndskiisten (1995) 
Total 89,5 
321,4 
85,8 
145.5 
161.2 
803.4 18,0 
67.0 
15,0 
24,0 
36.0 
160.0 0.0 
0.0 
0,0 
0,0 
.0,0 
0,0 18,0 
12,8 
15.0 
24,0 
36.0 
705.» 100% 
19% 
100% 
100% 
100% 
66% 0,0 
0.0 
0.0 
0,0 
00 
0.0 6,2 
6,4 
5,0 
8,2 
12,3 
38.1 34% 
10% 
34% 
34% 
34% 
24% 
Obiective 3 
SPD Sweden (1995) 1 771,ol 347,ol O.ol 73.ol 21*1 O.ol 36.51 11% 
Obiective 4 
SPD Sweden (1996) 1 612.61 173.ol 37.51 37.51 22%l 18 si 18.81 11% 
Obiective 5(a) agriculture 
Forecasts Sweden R. 2328/91 (1995) 
SPD Sweden R 866 and 867/00 (1996) 
Total 267.8 
187,8 
455.7 68.7 
23.5 
92,2 15.5 
11.0 
26,5 29.2 
11.0 
40.2 43% 
47% 
44% 22,4 
f 5 
27.9 29.2 
55 
34.7 43% 
23% 
38% 
Obiective 5(a) fisheries 
SPD Sweden (199V, | 115.91 40.ol O.ol 40.0l 100*1 nol 17 ol ^0% 
Obiective 5(h) 
SPD Gotland (1996) 
SPD Skiirgàrden (1996) 
SPD Sydbstra Sverige (1996) 
SPD Vasterborten/Gavle/Dala (1996) 
SPD Vasrro Sverige (1996) 
Total 
TOTAL 50,1 
303 
327.0 
199.7 
120.1 
727.1 
4.120,7 11.2 
7.2 
49.0 
42,9 
30.7 
141.0 
1.205.2 11.2 
7,2 
7,8 
8,0 
30.7 
64.9 
140,4 11,2 
7.2 
7.8 
8,0 
30.7 
64.9 
417.8 100% 
100% 
16% 
19% 
100% 
46% 
35% 3,4 
2,1 
3.9 
4,0 
9.2 
22.6 
783 3,4 
2.1 
3,9 
4.0 
9.2 
22.6 
194J 30% 
30% 
8% 
9% 
30% 
16% 
16% 
8th Annual Report on the Structural Funds (1996) 279 
14.2. Implementation of the Community Initiatives in 1996 
Note : 
Sweden is not taking part in the Rechar, Résider, Retex or Regis Initiatives. Two of the programmes were 
adopted in 1995 (Employment and Adapt). In 1996 the remaining programmes were adopted: SMEs, Konver, 
Urban, Pesca, 2 for Leader and 8 for Interreg (1 together with Denmark, 1 with Finland, 2 with Finland and 
Norway, 3 with Norway, 1 with Finland, Norway and Russia). 
Support for technological development potential in Sweden : 
The Swedish programme for the SME Initiative gives priority to making small businesses more competitive 
through the use of new technologies. It stresses the importance of analysing the technological needs of 
businesses, and provides support for technology transfer and application. These measures, which have been 
allocated ECU 4.5 million (total cost: ECU 14.4 million) develop the role of new technologies in reducing 
geographical disadvantages and creating opportunities for small businesses. 
Information technologies also play a role in some of the industrial conversion Initiatives. The Konver 
programme in Karlskoga encourages the application of existing technological capacity for non-military 
purposes through cooperation between businesses and research centres via the Centre for Technological 
Development, while in Karlsborg it supports the creation of small businesses, all through the development 
and diffusion of technology (e.g. creation of networks) and training in technologies and business management 
(e.g. training in specialized technologies, distance learning, etc.). 
The Interreg programmes treat the new technologies as a way of developing cross-border cooperation: 
• between Sweden and Norway: improving communications and using new technologies in the 
media, training and investment in information technologies, innovative activities in small 
businesses, developing joint information systems on the labour market (Inre Skandinavia 
programme); technological cooperation between businesses, universities, local authorities and 
training institutions, the extension of communication and telecommunications networks and 
distance learning ( "No Frontiers" programme); 
• between Sweden and Denmark: measures to promote new technologies under priorities for 
industrial development, the media, RTD and higher education. 
The Leader programmes also take advantage of new technologies (remote marketing, communications, 
commercial management, new services and businesses, distance learning, etc.). In particular, the provide for 
the development of investment and training.in information technologies. The Urban programme supports the 
Facklan Development Centre at Malmo, which provides support for new businesses in the sphere of the media 
and technological equipment, the Culture and Media Centre at Augustenborgsskolan and four information 
centres which organize workshops and training in communications and the media, video conferences, etc. 
Finally, Adapt encourages the development of technology applications in small businesses and the 
development of networks between private individuals, businesses, organisations and research institutes. 
Most of the programmes for Sweden were adopted in 1996, with a total of six national programmes 
and eight Interreg programmes. Of the latter, one programme involves Sweden and Denmark, one 
Sweden and Finland, two programmes have been implemented between Sweden, Finland and Norway, 
another between Sweden, Finland, Norway and Russia, and three between Sweden and Norway. The 
first series of meetings on seven programmes were held in October 1996 (the only exception was the 
Sweden/Denmark programme, for which the first meeting was held earlier). The Urban programme, 
adopted in December, concerns the city of Malmô. It affects 22 000 inhabitants and will be used to 
finance an integrated set of economic, social and infrastructural operations with the aim of creating 
two to three hundred new jobs and setting up 25 new businesses. The SME programme, which was 
adopted in July, covers all Objective 2, 5(b) and 6 regions and areas and has three priorities: the 
development of markets for small businesses, more extensive use of new technologies in small 
businesses and encouraging the use of environmental quality as a way of increasing competitiveness. 
The Konver programme, which covers the municipalities of Karlskoga in the Ôrebro district and 
Karlsborg in the Skaraborg district, was approved in July 1996, while two Leader programmes were 
adopted in June and the other in July, covering Objective 5(b) areas and Objective 6 regions 
respectively. Under the 5(b) nine local action groups were selected, and under the Objective 6 
programme, three. They all started up their activities before the end of the year. Finally, the Pesca 
programme, adopted in March, covers 16 municipalities dependent on fisheries outside the Objective 
6 area, principally on the western coast of Sweden. A limited number of projects were submitted and 
selected in 1996, but the Monitoring Committee held meetings during the year. 
280 8th Annual Report on the Structural Funds (1996) 
The only two progranimes approved in 1995 were the Employment and Adapt programmes. In 1996, 
under the Employment Initiative, 47 projects were selected (10 under Now, 25 under Horizon and 12 
under Youthstart). Many of them, particularly under Now and Horizon, have an emphasis on job 
creation and the potential for self-employment. Under Youthstart the emphasis is on ways of 
motivating and supporting young people by developing their sense of initiative. Under Adapt 24 
projects were selected in 1996. They concentrate principally on the staff of small businesses. The 
priorities concern identifying new ways of organizing work, developing employee skills in sectors 
where information technologies play an important role, developing new forms of training in the work 
place, creating jobs in areas with low populations and encouraging women to go into or improve their 
position in business. 
Finally an extra ECU 15.8 million from the Community Initiative reserve has been allocated to 
Sweden as additional funding. It will be shared among all the Initiatives except SME and Konver, but 
more than half of it will go to Interreg75. 
Table V-56: Sweden - Community Initiatives 
(ECU million) 1996 in the context of the 1995-99 programming period 
Initiative 
(Number of programmes) 
Adapt (1) 
Employment (1) 
Leader (2) 
Pesca (1) 
SME(l) 
Konver (1) 
Urban (1) 
Total (8) 
Inierreg/Reeen (8)"* 
of which programmes adopted in 1996: 
Leader Sweden (Objective 5b) 
Leader Sweden (Objective 6) 
Pesca Sweden 
SME Sweden 
Konver Karlskoga, Karlsborg 
Urban Mai mo 
Toul (6) 
Interreg (8)*** Total cost 
21,7 
39,9 
85,9 
10.5 
48,8 
11,4 
11.9 
230.2 
71.8 
14,1 
103 
48.8 
11,4 
11.9 
168,6 S.F. 
assistance* 
(1) 
113 
20,7 
16,1 
4.0 
17.2 
3,3 
5.0 
77 _5 
12,1 
4,0 
4,0 
17.2 
3.3 
5,0 
45,6 Commitments 
1996 
0,0 
0,0 
13.4 
4.0 
13,0 
2,6 
3,1 
36.1 
10.0 
3,3 
4,0 
13,0 
2,6 
3,1 
36,1 Commitments 
1995-96 
(2) 
11,3 
20,7 
13.4 
4.0 
13.0 
2.6 
3.1 
68.1 
10,0 
33 
4.0 
13,0 
2,6 
3,1 
36,1 % 
(2)/(1) 
100% 
100% 
83% 
100% 
76% 
78% 
63% 
88% 
83% 
83% 
100% 
76% 
78% 
63% 
79% Pavments 
1996 
0,0 
0,0 
4.0 
1.2 
3.9 
0.8 
0.9 
103 
3,0 
1,0 
1,2 
3,9 
0,8 
0,9 
10^ Pavments 
1995-96 
(3) 
5,6 
10,3 
4.0 
1.2 
3,9 
0,8 
0.9 
263 
3,0 
1,0 
1.2 
3.9 
0.8 
0.9 
103 % 
(3)/(l) 
50% 
50% 
25% 
30% 
23% 
24% 
19% 
35% 
25% 
25% 
30% 
23% 
24% 
19% 
24% 
* Excl. reserve, except Urban Mai mo 
** See details of Chapter VII. Table 2.2. 
"* See details of programmes Chapter I.B. 1. Community Initiatives 
75 See also Chapter I.B.I. Community Initiatives. 
8th Annual Report on the Structural Funds (1996) 281 
15. UNITED KINGDOM 
15.1. Implementation of assistance bv Obiective in 1996 
Support for the development of technology potential in the regions of the United Kingdom 
Objective I: Most of the priorities in the three SPDs allocate an important role to technology development 
(7.9% of all Community funding). 
In the case of RTD: 
• Highlands and Islands: improved marketing through information technologies (ECU 2.3 million; 
total volume: ECU 4.6 million), RTD in small businesses (ECU 6 million; total volume: ECU 18.7 
million), and environmental research; 
• Northern Ireland: within the priority devoted to economic development are the programmes 
COMPLETE and Science and Technology, establishment of networks for disseminating technology 
and strengthening of research (ECU 31.9 million), and development of technology infrastructures 
(ECU 25.7 million; total volume: ECU 41 million • e.g. research centres, demonstration projects, 
calibrating and evaluation) and training in the new technologies (ECU 25 million; total volume: 
ECU 38.5 million), and environmental research. Outside this priority, research is also an essential 
element in the strategy for developing human resources (ECU 3.8 million; total volume: ECU 5.8 
million), transport and local infrastructure (ECU 9.8 million; total volume: ECU 13.6 million), 
agriculture and rural development (ECU 7.1 million; total volume: ECU 15.5) and protection of 
the environment; 
• on Merseyside: a whole priority (ECU 62 million; total volume: ECU 172 million) is being devoted 
to the development of advanced technologies and advanced industries. Support is going to 
research, technology and innovation at the service of businesses (including development of new 
products and processes), commercialising of research activities, participation in programmes of 
research and creation of new high-technology firms. Support is also going to developing clean 
technologies and to training in new techniques of environmental management, as well as training 
in the new technologies (e.g. encouraging science and technologyHn education centres, identifying 
industry needs,-establishing links between industry and the education sector, developing training 
centres for advanced technologies). 
In the case of the information technologies, their development in the Highlands and Islands (ECU 8.1 
million; total volume: ECU 36.4 million) includes defining the needs of firms and the impact of IT on the 
region, developing services based on the information technologies (for instance tourism), and improving 
access to and use of advanced telecommunications by firms and local authorities and developing support 
services to help absorb IT and communications technology. Turning to data-transmission applications, in the 
Highlands and Islands the emphasis is on distance learning and links between mobile units (ECU 4.4 million, 
total volume: ECU 8.8 million), while on Merseyside the emphasis is on advanced data-transmission networks 
within and between local businesses and on networks providing information about new technologies. 
Objective 2 (1994-96): All SPDs except the one for Gibraltar contain schemes to support technology 
development and in particular support for RTD. 10 SPDs make stimulating RTD a separate priority covering 
either the development of advanced technologies and high-skill industries or research and 
technology/innovation76. In detail, these priorities include: 
• development of research and technology to meet the needs of small businesses and industry 
(Eastern Scotland, West Midlands, Greater Manchester, Lancashire and Cheshire), innovation in 
small businesses and industry (East Midlands, Western Scotland, Eastern Scotland, East London 
and the Lee Valley, Industrial South Wales, Yorkshire and Humberside) and technology transfers 
for small businesses, including aid for the development of new products and processes (East 
London and the Lee Valley, Greater Manchester, Lancashire and Cheshire, Plymouth, West 
Cumbria and Furness, Yorkshire and Humberside, East Midlands); 
• strengthening skills in the fields of technology and innovation (Eastern Scotland, East Midlands, 
Eastern Scotland, West Midlands and North East of England, East London and the Lee Valley, 
76 By region, the funding breaks down as follows: East London and the Lee Valley: ECU 12.7 million (total 
volume: ECU 27.7 million); Greater Manchester, Lancashire and Cheshire: ECU 36.3 million (total volume: 
ECU 99.4 million); North East of England: ECU 49.2 million (total volume: ECU 109.9 million); Plymouth: 
ECU 4.1 million; total volume: ECU 9.3 million); Industrial South Wales: ECU 31.7 million (total volume: 
ECU 77.3 million); West Cumbria and Furness: ECU 6 million (total volume: ECU 17.4 million); Yorkshire 
and Humberside: ECU 42 million (total volume: ECU 102 million); Eastern Scotland: ECU 18.4 million (total 
volume: ECU 42.4 million); East Midlands: ECU 11.5 million (total volume: ECU 33.4 million); West 
Midlands: ECU 59.6 million (total volume: ECU 119.1 million). 
282 8th Annual Report on the Structural Fund* (1996) 
Greater Manchester, Lancashire and Cheshire, North East of England, Plymouth, Industrial South 
Wales, West Cumbria and Furness, Yorkshire and Humberside); 
• special attention to the environment by reinforcing skills in advanced and environmental 
technologies (West Midlands) and assistance for the introduction of clean technologies in 
businesses (North East of England, Plymouth, Industrial South Wales, West Cumbria and Furness, 
East Midlands, West Midlands). 
In Thanet, a priority devoted to industry and services contains a programme for the development and transfer 
of technologies, and the SPD for Western Scotland also devotes a scheme to applied research, technology 
development and innovation in the context of a strategy for developing regional businesses. 
In the field of telecommunications and data-transmission technologies, most SPDs provide support for their 
development. For instance, the SPD for the East Midlands is supporting projects for disseminating advanced 
telecommunications services (such as information about the availability of services, help with local access to 
them, etc.) and the SPD for Greater Manchester, Lancashire and Cheshire is encouraging participation in the 
information superhighways. The programmes for Yorkshire and Humberside and East London and the Lee 
Valley are providing support for advanced data-transmission services to strengthen high-skill industries and 
the adoption of data transmission technologies by small businesses and as well as training in advanced data-
transmission services. 
In total, the funding from the Structural Funds for technology development comes to 9.8% of total Community 
funding (Objectives I, 2, 5(b)). 
Table V-57: United Kingdom - Funding directly linked to technology development in the 
programming for 1994-99 (ECU million) 
Objective 1 
Objective 2 
_______i____i 
TOTAL TOTAL 
460.5 
719.4 
______ 
1.211.0 _2L 
38% 
59% 
100% -JL. 
186,1 
310,1 
13.9 
-SIM 40% 
43% 
45% 
42% Public Private 
120.6 
316.4 
_J2_i 
449,9 Member State 
153.8 
92.9 
______ 
251.0 Total 
274.4 
409.3 
17.2 
700.9 60% 
57% 
____ Financing by the Structural Funds 
4% 
NB: The programming procedures and different approaches taken by the Member Sûtes 
invite to caution in interpreting these figures, in particular spending 
on information society projects, which arc often linked to other fields such as industry and RTD. 89% 
JDRTD ~Telecoms *DatatransH; .àion | 
OBJECTIVE l77 
Main achievements in 1996 
Fie. V-70: Proerammine 1994-99 (ECU million): Merseyside 
Priorities: 
Major businesses (a) 
Local businesses (b) 
Technological development (c) 
Cultural sector (d) 
Local development (e) 
Technical assistance (P 
By Fund : 
ERDF 
ÈSF 
EAGGF 
______l 475,0 
338,0 
3,0 
816.0 
1SPD 186.0 
149.0 
62.0 
54.0 
361.0 
4.0 
58' 
41' 
0' 
100% (0 0,5% 
(e)44' (a) 23°, 
(b) 18% 
(d) 7% (c) 8% 
On Merseyside, definite progress has been made with the programme on the ground, although 
significant spending has still not occurred on a large number of projects already vetted and approved. 
A venture-capital fund, the Merseyside Special Investment Fund, has been set up and it received 
Commission approval in March. This is the first fund of its kind to qualify for ERDF support in the 
United Kingdom. The number of EAGGF-funded schemes is very small and mainly involves 
77 Eligible areas: Northern Ireland, Merseyside, Highlands and Islands. 
8tk Annual Report on the Structural Funds (1996) 283 
Objective 5(a); progress has been slow and it has been decided not to pursue the scheme for the 
processing and marketing sector (Regulation (EEC) No 866/90). An intermediate assessment of the 
SPD was carried out in 1996 by independent assessors, who indicated three improvements that could 
be made: the procedures for approving applications for funding from the ERDF and ESF should be 
speeded up; the integration between the ERDF and the ESF and between various schemes could be 
enhanced; projects should be considered in a wider context in order to encourage a more strategic use 
of funding for the environment, data transmission and growth sectors and areas such as the centre of 
Liverpool. The assessors concluded that the programme is basically on course to attain its overall 
targets in terms of new jobs and raising GDP, but that the quantification of targets in the SPD could 
be improved and refined. Work has started on proposals for amending the text and funding profile of 
the SPD. 
Example of a project on Merseyside 
Familiarisation with science and technology in schools: This project is running from 1996 to 1998 and is 
designed to develop knowledge about careers, in science and technology, scientific and engineering know-how 
and the links between schools and the science and technology industries. For instance, some pupils spent a 
week at the Centre for Alternative Technology of Mid-Wales monitoring the energy consumption and 
electricity use of their group. In another example, several schools have developed training activities for 
teachers in the field of new technologies, including IT, or have sent teachers into industrial firms to improve 
their knowledge of various technologies so that they can include them in classroom work. The project is being 
part-financed by the ESF with about ECU 127 000; the total volume is ECU 375 700 and 2 636 individuals 
will be involved. 
Fie. V-71: Proerammine 1994-99 (ECU million): Hiehlands and Islands 
Priorities: 
Business development (a) 
Tourism, cultural sector (b) 
Environment (c) 
Primary sector (d) 
Local development fe) 
Communications and services ff) 
Technical assistance (g) 
Bv Fund : 
ERDF 
ESF 
EAGGF 
FIFG 
Total 180,0 
55,2 
56.0 
19,8 
_____ '* 72.1 
24.2 
16.3 
68,7 
46,9 
79.7 
3_1 
58% 
18% 
18% 
6% 
100% 
1SPD (t)26% _Jf?J% ___, (a) 23% 
(e) 15% 
(d)22% 
In the Highlands and Islands, implementation of the SPD has picked up. The Monitoring Corrimittee 
has adopted new rules for monitoring projects so that, if necessary, support from the Structural Funds 
can be withdrawn where projects are not managing to generate the spending required to trigger ERDF 
funding. In the case of the EAGGF funding, all the schemes (reduction of production costs, product 
quality, animal welfare, diversification of holdings) are operational except those concerning the 
environment and woodland management, and financial implementation has kept to the financing plan. 
A number of innovations have been introduced into the programme management. The three-tier 
structure for the monitoring and implementation of the programme has been reduced to two tiers, a 
single Monitoring Committee and its consultative working parties. Thirteen local groups have also 
been created to define local strategies. Two studies, one on the environmental impact of the 
programme and one on local economic development, have been funded under technical assistance. 
Finally, the intermediate assessment of the SPD has begun, with an independent consultant being 
designated in November. The first assessment report is expected in April 1997. 
284 8th Annual Report on the Structural Funds (1996) 
Fie. V-72: Proerammine 1994-99 (ECU million): Northern Ireland 
Priorities: 
Economic development (a) 
Communities (b) 
Reducing remoteness (c) 
Agriculture and fisheries (d) 
Environment (e) 
Technical assistance (D 
Bv Fund. 
ERDF 
ESF 
EAGGF 
FIFG 
Total 685,6 
354,6 
186,9 
15,1 
1.2AZ.2. 55% 
29% 
15% 
1% 
1W% 
1 SPD (e)5% (00.1% 
(d)17% _««--__• -^ (a) 26% 
(c) 26% (b) 26% 
In Northern Ireland, economic life continues despite the political troubles. Spending under the SPD on 
economic development, improving the environment and developing tourism has reached the different 
targets, and decisions taken on routing of the trans-European networks will ensure that expenditure 
can be programmed. The underwater gas pipeline from Scotland has been terminated but the 
electricity interconnector has been delayed by planning problems. Implementation of the agricultural 
and rural development schemes has been uneven, influenced by a loss of confidence among farmers 
due to the BSE crisis. While the civil unrest during the summer temporarily slowed progress on the 
programme for the physical and social environment, the process of consultation and partnership begun 
under the 'Peace' Community Initiative has continued, making a valuable contribution to social 
cohesion in the region. A round of reprograniming took place in October but the preference was to 
hold back the additional money arising out of indexation until the results of the intermediate 
assessment were available in mid-1997. For the latter exercise, assessors have been appointed for each 
subprogramme and one for the whole of the SPD, including coordination of the subprogramme 
assessments, and the subprogramme reports were already available by the end of the year. 
1996 in the context of programming for 1994-99 
The stage reached in financial implementation varies according to SPD. In the case of the programme 
for Merseyside, cornmitment of the 1996 tranche from the ERDF could not take place because actual 
spending had been too little - only 1% - to trigger the ERDF contribution. By the end of the year, 
however, payments under the ERDF had come to ECU 109 million, about 23% of the total ERDF 
allocation. In the case of the programme for the Highlands and Islands, comrnitments speeded up 
during the year so that the 1996 tranche was committed. By the end of 1996, payments under the 
ERDF had come to ECU 39 million in total, about 22% of the ERDF allocation. Finally, in the case of 
Northern Ireland spending in 1996 slightly exceeded the year's targets, but although the outturn was 
comparable to 1995 some reprogramming was necessary to offset the under-implementation in 1994. 
Payments still reached 40% of the total allocation for the period. 
8th Annual Report on the Structural Funds (1996) 285 
OBJECTIVE 278 
1996 in the context of programming for 1994-96 
Fir. V-73: Proerammine 1994-96 (ECU million -1996 prices and situation) 
By sector: 
Production environment (a) 
Human resources fb) 
Improvement and rehabilitation (c) 
Protection of the environment (d) 
Technical assistance (e) 
By Fund : 
ERDF 
ESF 
Total 1.521,8 
495,7 
2.017,4 75% 
25% 
100% 
13 SPDs 
Average per SPD ______ (d)6%(e)i% 
(c)9% _6T> 
<b>35%^"(aM9% 
A major effort was required to implement expenditure before programmes were wound up. ERDF 
payments came in all to almost ECU 711 million by the end of the year, corresponding to more than 
47% of the total ERDF allocation to all programmes. The winding-up of commitments none the less 
meant that transfers had to be made to the next phase. All the regions except Gibraltar had to carry 
over unused appropriations to the 1997-99 prograrnming period, a total of ECU 155 million (at 1996 
prices; ECU 109.4 million from the ERDF and ECU 45.6 million from the ESF). In two instances 
(Manchester-Lancashire-Cheshire and West Midlands) only the ESF was involved, but both Funds 
were concerned in all the other cases. The transfer total amounted to 7% of the original allocation 
under Objective 2 to all programmes in the United Kingdom, although the carryover varied 
considerably according to region (from less than 1% in the case of Greater Manchester-Lancashire to 
37% in the case of Thanet). The greater levels of under-implementation did not necessarily mean, 
however, that spending was less efficient but reflected the concern of the regions to avoid committing 
funds too quickly where applications needed careful vetting to ensure that resources were in line with 
the strategic needs of the regional economy. 
Programmes were also amended to take account of indexation and to undertake some reprogi-mming. 
No decision on indexation had been taken before 1996, so that application of the deflator led to an 
increase for all programmes of ECU 30.5 million over initial allocations (ECU 24.3 million under the 
ERDF and ECU 6.2 million under the ESF). Reprogramming took two forms: transfers between years 
and transfers between schemes, the latter only being agreed where the regional partnerships could 
provide a strategic justification in terms of new jobs. 
Turning to progress on the ground, one innovation has been approval of several venture-capital funds. 
The fund approved under the SPD for Yorkshire and Humberside, in particular, is confined to this 
region but others are being supported in other regions. Nine major projects under Article 16(2) of the 
coordination regulation have been notified to and approved by the Commission79. Results have varied 
according to region. For example, the priority "New Community Economic Development" (CED, i.e. 
local economic development) has continued to encounter problems in Eastern Scotland and Industrial 
South Wales, but has been particularly productive of new jobs in East London. Other priorities in the 
field of innovation, for example environmental technologies, have made considerable progress in 
Yorkshire and Humberside and, after a slower start, in Greater Manchester-Lancashire-Cheshire. 
78 Eligible areas: Eastern Scotland, Western Scotland, East Midlands, Gibraltar, East London & the Lee Valley, 
Industrial South Wales, North East England, Greater Manchester-Lancashire-Cheshire, Plymouth, Thanet, 
West Cumbria & Furness, West Midlands, Yorkshire & Humberside. 
79 The Lowry Centre in Salford, an extension of the tram system in Manchester, the Scottish Exhibition and 
Conference Centre in Glasgow, the International Centre for Life in Newcastle, the Earth Centre in Doncaster, 
Sheffield's rehabilitation project "Heart of the City", the Sheffield Integrated Waste Management project, 
Middleton Botanic Gardens, and the London East Manufacturing Initiative. 
2fi6 8th Annual Report on the Structural Funds (1996) 
Some new features have been added to the management of programmes. The annual reports, most of 
them presented during the year, have adopted a new format as proposed by the Commission in 1995. 
This has generally led to a marked improvement in the content and quality of these reports. 
Implementation of the programmes will have to cope with the local government reorganisation in the 
United Kingdom. For example, Strathclyde Regional Council has been replaced by twelve different 
local authorities, with implications for the implementation of the Western Scotland programme. The 
reorganisation of local government is continuing and will probably have repercussions on other 
programmes in the 1997-99 period. 
Technical assistance has been used in several cases to finance a reinforcement of various functions of 
the Monitoring Committees and their secretariats. TA also made it possible to support studies to back 
up the implementation of programmes, analyse local training needs and survey project selection 
procedures in the North-East, as well as demand for industrial sites and premises in Eastern Scotland. 
The Commission also published a study on the implementation of innovative local development 
schemes in the United Kingdom programmes ("Social and economic inclusion through regional 
development"), the results of which were presented at a national conference. The UK Government 
also made a study of Structural Fund management in England and proposed various reforms, the main 
features of which are simplified procedures for part-financing by the national authorities and the 
introduction of local action plans. 
Preparations for 1997-99 
A basic task in 1996 was preparing, proposing and negotiating new programmes for the 1997-99 
prograrriming period. The eligible regions remain unchanged. The total of Structural Fund money 
available is ECU 2.5 billion. Draft conversion plans for each of the regions were tabled in August, 
assessed by independent experts, and then discussed in terms of actual programmes in meetings 
starting in October and November. One of the aspects discussed was greater involvement of the 
partnership compared with the previous period at all stages of the procedure, starting with the 
preparation of conversion plans; these talks were launched at the beginning of the summer in seminars 
held in some of the regions. This involvement was maintained in the detailed discussions which took 
place subsequently during the year, in which the main partners participated along with central and 
local government officials. Major progress was made by the end of the year in discussions with the 
regions, and agreement was reached with the partners to structure the programmes according to the 
priorities set out in the Commission's communication for this Objective. The main goals of the 
Commission in its meetings with the regions were in particular to maximise the creation of new jobs, 
to concentrate on promoters of change in each region, to develop more fully the priorities of local 
development (set for the first time in 1994), to continue reducing the share of the ERDF funds spent 
on infrastructure, to identify major physical investments better in terms of geographical location and 
link them into the local economy, to ensure better integration of ERDF and ESF, and to start schemes 
in the priority areas of the environment, innovation and equal opportunities. 
8th Annual Report on the Structural Funds (1996) 287 
OBJECTIVE 3 
Fig. V-74: Objective 3 - Programming 1994-99 (ECU million - 1996 priées) 
Priorities 
Reintegration of persons out of work for 
more than six months (a) 
Integration of young people into working 
Ufefb) 
Integration into working life of persons 
threatened with social exclusion (c) 
Equal opportunities (d) 
National projects (e) 
Local development (f) 
Technical assistance (g) 
Total 1994-96 
567,0 
4822 
383,1 
77,7 
12,2 
1-522,1 1997-99 
641,1 
783,6 
90,0 
40,7 
75,0 
25,0 
1.655,4 
2 SPDs 
Average per SPD 1.588,8 TOTAL 
1.208,1 
1.265,8 
383,1 
167,7 
40,7 
75,0 
37.2 
3.177,6 
2.416-5 (c) 8% (a) 38% 
(b) 3% 
The Objective 3 SPD was adopted in 1994 to cover the period 1994-96 and contained assistance 
worth ECU 1.501 billion at 1994 prices. The 1996 tranche was worth ECU 539 million. The SPD was 
implemented with funding contributed by central government and each of the following sectors, all of 
them represented on the Monitoring Committee: local authorities, the Training and Enterprise 
Councils, higher education and adult education establishments, and the voluntary sector. In 1996, 
there were 8 000 projects receiving funding, of which 10% were being managed by voluntary bodies, 
and so far 90% of the funding has gone to training schemes (many of the projects also involve an 
element of counselling and work experience). Implementation has continued to encounter problems, 
however, because of the apparent difficulty the various sectors have in meeting the financial 
requirements for each scheme in the programme. Modifications were once again requested in 
financing plans so that projects could continue, and this often delayed payments as a result of the 
necessary amendment procedures. In other words, the financing plans continue to be used more as 
accounting instruments than strategic management tools. Finally, discussions on the new SPD for 
1997-99 began in spring 1996 and the new programme was adopted in December. It introduces a 
regionalised implementation structure and a system for targeting within schemes so as to reinforce the 
concentration of funding and encourage integrated projects. 
OBJECTIVE 5(a) agriculture 
Table V-58: Proerammine implementation 1994-99 (ECU million 
Total 
185,7 Measures 
Production 
Marketing 134,5 
51.2 72% 
28% 1996 prices and situation) 
In the area of improving production structures, the scheme actively promoted in the United Kingdom 
in regions outside Objective 1 are compensatory allowances. In 1996, allowances were paid to 
holdings accounting for a total of 4 million hectares, the Community contribution being ECU 24.4 
million. Support for less-favoured areas goes to cattle and sheep farmers. Under other aid schemes, 
now wound up, a total of 2 600 beneficiaries continue to receive investment aid and other types of 
assistance representing 5% of EAGGF expenditure in 1996 under Objective 5(a). 
In the area of support for processing and marketing of agricultural products, the authorities in England 
have had problems providing public funding for the aid scheme because of government spending 
limits. Here the United Kingdom has been authorised to confine the scheme to projects submitted 
before the end of March 1996, while in Scotland and Wales the aid scheme will remain in place until 
the end of 1999. The original amount of the Community contribution (ECU 227 million) has been 
reduced to ECU 51.2 million. By the end of 1996, 177 projects had been approved (69% in England, 
16% in Scotland and 15% in Wales), mainly in the sectors involving meat (46), fruit and vegetables 
(43), potatoes (28) and milk (27). The total eligible volume of these projects is ECU 130 million and 
8th Annual Report on the Structural Funds (1996) 29 
provided for the first phase, 89% was committed, and 47% paid. The Objectives where most progress 
has been made on implementation are Objectives 1 and 6 and Objective 3, with over half the 
financing cornmitted and one third paid. Next come Objectives 5(a), for both agriculture and fisheries, 
for which between 40% and 50% of the financing was committed and a little over a quarter paid, 
implementation is least advanced under Objectives 5(b) and 4, where less than a third of the financing 
has been committed, and less than a quarter paid. 
There are also wide differences between Member States. In four Member States (the United Kingdom, 
Portugal, Spain, Ireland) rates of corrimitment exceed 50% of assistance, and in a further seven 
Member States (Denmark, Luxembourg, France, Germany, the Netherlands, Greece, Belgium) the rate 
is between 40% and 50%, ranging from 43% to 49% (Denmark and Luxembourg are both above the 
average, which is 48%). Only four Member States, Italy and the new Member States, have 
cornmitment rates under 40%, but even here the rate exceeds one third of available financing. This 
situation is broadly repeated on the payments side, with rates of 40% or over in three Member States 
(the United Kingdom, Portugal, Ireland), and rates between 30% and 40% in seven Member States 
(Spain, Denmark, Luxembourg, Germany, France, the Netherlands, Greece), of which the first four 
mentioned are above the average of 33%. In three Member States (Belgium, Italy, Austria) the rate of 
payment is between 20% and 30%, while in the remaining two new Member States (Finland and 
Sweden) implementation.is below 20%. 
Table 1-3: CSFs/SPDs -1996 in the context of programming for 1994-99- (ECU million) 
Financing 
Commitments 
% of financing 
Payments 
% of financin» 
No of measures • B 
I.6IX.X 
699.6 
43% 
473.0 
29'Â DK 
6X2.X 
337.2 
49% 
226.9 
"3% 
251 X n 
1X.7237 
X.477.2 
45% 
6.203.4 
33«i5 
_,,, ,._> Ft 
I3.X44.9 
6.127.6 
44 <*• 
4.403.) 
32<* 
32 F. 
29.346.(1 
15.354.5 
52% 
10.973.6 
37% 
94 F 
11.177.9 
5752.X 
ATZ 
3.375.6 
30% 
50 IRF. 
5.672.0 
2.X6I.5 
50% 
2.270.4 
40% 
u I 
17.955.8 
6.4612 
36% 
4.1X6.4 
23% 
97 1 
73.8 
357 
4X% 
257 
349 
8 NI. 
1.780.3 
793.9 
45% 
56K.9 
32% 
16 \ P 
1.467.4 14.047,5 
510.1 7.517.4 
35% 54% 
360,6 5.698.7 
rf!5~ 419 
17 17 FTN 
1.413,0 
516.3 
37% 
264.4 
19% 
9 S 
1.2057 
. 417.8 
35% 
1947 
16% 
16 UK 
8.659.1 
5.499.0 
64% 
3-5437 
41% 
32 T-ml 
127.667.7 
60.861.5 
48% 
42.767.3 
33% 
492 
' OP/SPD/GG/MP/ Rmxaxts ol iinplcmcntaliiHi 
Structural assistance and development of the technological potential of the regions 
Financing to encourage the technological development of the regions (research-development, innovation, 
information society) has been significantly increased in current programmes, as mentioned in the Introduction. 
The overall volume of financing increased from about ECU 3.5 billion to ECU 7.6 billion, or 7% of all 
Community financing. The increase is more marked in the Objective 1 regions than in those covered by the 
other Objectives, because the initial level of financing was lower. 
There are wide differences from one Objective and from one Member State to another. For all Objectives taken 
together, of the easily identifiable types of financing, the two most significant are financing for RTD and for 
telecommunications, which account respectively for 81% and 12% of Community financing for RTD and 
innovation; however, their relative weight varies from one Objective to another. For Objectives 1 and 6, RTD 
represents 83% of Structural Fund financing, followed by investment in telecommunications with 15% of 
appropriations. In areas eligible under Objectives 2 and 5(b), a major share (over a quarter of Community 
appropriations) goes to support the development of data transmission and investment in telecommunications, 
all directly linked to the information society. 
Table 1-4: CSFs/SPDs - Financing of technological development in the 1994-96/99 programming 
period (ECU million) 
TOTAL 
ERPF ESF EACrfiF Total Structural Funds 
Public Private Total Member States 
___ 
RDT<n 12354.37 80% 4485.334 1292.771 _________ ______ 81%-(4) 3.887.4 2.083.5 ________ 79% (51 
__________________________ ___________ 15% 1320.505 -2L-. _______ _________ i__74__ 850.2 1.430.4 ________! 
Data transmission <y\ 648.741 4% 136.692 121.172 ___J_________ _____ _i__ 60.1 190.3 ________ 
TOTAL 15368.09 100%l 5942.5311 1445.4431 336.6151 7.S06.8 49% 4.641.81 3.265.91 7.861.31 51% 
( I ) Including science parks, innovation, technology transfer 
(2) Infrastructure and services. This row does no! necessarily correspond to tbe sum of the two 
subcategories, as it is not always possible to identify them within programmes. 
(3) Within the framework of the information society, data transmission applications in such fields as health, education and transport. 
(4) as % of total Structural Funds 
(5) as % of total Member States 
NB: In view of the programming procedure and the different approaches adopted by the Member States, some caution should be exercised in interpreting the data, 
especially for expenditure related to the information society, which is often associated with other fields such as industry and RTD. 
288 8th Annual Report on the Structural Fund* (1996) 
the Community contribution comes to ECU 33 million or 65% of the allocation for the whole of the 
period. 
OBJECTIVE 5(a) fisheries 
Fie. V-75: Obiective5(a) fisheries- Proerammine 1994-99(ECUmillion) 
Adjustment and redirection of fishing effort (a) 
Other fleet structuring measures (b) 
Renewing and modernising the fleet (c) 
Aquaculture (d) 
Protected marine areas (e) 
Port facilities (f) 
Processing and marketing of fishery products (e) 
Promotion of fishery products (h) 
Socio-economic measures (i) 
Pth?r "içOTref (i) 
Total FIFG 
13.5 
18.5 
13.3 
3.8 
0.4 
4.3 
22.7 
12.1 
pm 
0.2 
LI (i) 0% 
(h)14% Û)°-2% (a) 15% 
(g) 26%' (b)21% 
(f) 5% 
. (e) 0,5% (d)4% (c)15% 
Following the adoption of national legislation on structural assistance for fisheries, various FIFG 
schemes were launched at the end of 1995 and the beginning of 1996. However, progress in 
implementing them is still slow but should speed up in 1997, in particular because applications for 
some schemes already exceed the funds available. A scheme for scrapping fishing vessels part-
financed by the FIFG was introduced in 1993 with a budget of ECU 72 million over five years, and 
578 vessels had been withdrawn by the end of 1996. Finally, assessors have been appointed for the 
mid-term assessment exercise. 
OBJECTIVE 5(b)80 
Fig. V-76: Objective S(b) - Pmgmmming 1994-99 
Population C000) 2.841' 
Surface area (km*) f 67.987 
ECU million 
By Fund 
, EAGGFl 535,01 65% 
ERDF 1343 16% 
ESF 151.2 18% 
Total! 820,51 100% 
11 SPDs ____^ 
Average per SPD| 74.6 (f) 1% 
(e)3%/ (a) 6% 
(d) 15% * 
(c)20% 
{b) 55% • Diversification of 
agriculture (a) 
• Easinesses (non-
agric.) (b) 
B Tourism (c) 
D Selection of the 
environment (d) 
• Human resource, (e) 
Q Technical assistance 
(f) 
Improving the procedures for implementing the various SPDs, all of them adopted in 1995, was one of 
the major concerns during the year. A number of regions developed local implementation plans 
(LIPS), for example the English Northern Uplands, with the aim of injecting a stronger "bottom-up" 
approach into the general strategy for implementing programmes. These plans were also designed to 
simplify local administrative problems due to the involvement of a large number of authorities. In 
other regions, attempts for improve programme management were less radical. In most of the regions 
the criteria for selecting projects were refined to enhance performance and pick the best projects. 
Progress in terms of financial implementation continued to be slow, reflecting in the case of 
commitments the low uptake of funds. The mid-term assessments will provide the Commission with 
independent assessments of progress with the programmes. The terms of reference for -these 
assessments were adopted by the Monitoring Committees by the end of the year and some of them 
have already been started. The reports are expected in March-April 1997. 
80 Eligible areas: the Borders region, Central Scotland/Tayside, Dumfries and Galloway, Grampian, 
Lincolnshire, Wales, East Anglia, the English Northern Uplands, South-West England, the English Midland 
Uplands, the Marches. 
8th Annual Report on the Structural Funds (1996) 289 
Table V-$9: United Kingdom - Assistance by Objective - 1996 in the context of programming for 1994-
96/99 (ECU million) 
Programmes 
(year of adoption) Total volume S.F. 
assistance 
(1) Commitments 
19% Commitments % 
1994-96 
m (2vii) Payments 
1996 Payments 
1994-96 
<3) % 
ravm 
Objective! 
SPD Highlands and islands (1994) 
SPD Northern Ireland (1994) 
SPD Merseyside (1994) 
Technical assistance 
Total 1.012.4 
2.683.0 
2.005.1 
0.1 
5.700.6 311.0 
1.242.2 
816,0 
0.1 
2.369.4 42.9 
338.6 
124.3 
0.1 
505.9 124.8 
626.9 
286.4 
0.1 
1.038.2 40% 
50% 
35% 
100% 
44% 53.9 
299.5 
131.1 
0.01 
484.5 -94,6 
489.7 
231,6 
0.01 
815.9 30% 
39% 
28% 
8% 
34% 
Obiective 2 
SPD East London & the Lee valley ( 1994) 
SPD East Midlands (1994) 
SPD Eastern Scotland ( 1994 ) c 
SPD Gibraltar (1994) 
SPD Greater Manchester. Lancashire. 
Cheshire (1994) 
SPD Industrial South Wales (1994) 
SPD North East Eneland (1994) 
SPD Plymouth (1994) 
SPD Thanet (1994) 
SPD West Cumbria and Furness (1994) 
SPD West Midlands (1994) 
SPD Western Scotland (1994) 
SPD Yorkshire and Humberside (1994) 
Total 187,6 
195.2 
287,0 
13.5 
818.8 
400.9 
729.0 
61.6 
25.2 
62.2 
983,8 
759.8 
738.0 
5.262,7 73.2 
66.2 
117.9 
5.1 
332.2 
151.1 
291,9 
27.1 
8,9 
24,2 
372.8 
262.1 
284.8 
2.017,4 43,6 
38,4 
40.8 
0.1 
196,4 
75.2 
104.6 
-0.4 
-2.3 
-0.3 
134.1 
78.8 
101.7 
810.6 732 
70.1 
119.3 
5.1 
333.7 
150,5 
298.1 
28.6 
11.7 
24.7 
375.0 
264.5 
306.2 
2.060,7 100% 
106% 
101% 
100% 
100% 
100% 
102% 
106% 
131% 
102% 
101% 
101% 
108% 
102% 19.2 
22.4 
71.6 
1.5 
44,9 
32.5 
87,0 
8.7 
0.6 
5,4 
192 
147.5 
50.9 
S71.5 35.3 
40.8 
97,4 
4.0 
124.8 
76.7 
173.3 
232 
7.6 
17.9 
1572 
211.4 
120.6 
1.090.3 48% 
62% 
83% 
80% 
38% 
51% 
59% 
86% 
85% 
74% 
42% 
81% 
42% 
54% 
Obiective 3 
SPD United Kingdom (1996) 
SPD United Kin-dom fl 994) 
Total 3.662.0 
4.012.4 
7.674.4 1.655,4 
1.522.1 
3.177.5 529,7 
547.1 
1.076.8 529.7 
1.522,1 
2.051,8 32% 
100% 
65% 0.0 
581.7 
581.7 0,0 
1.400.3 
1.400.3 0% 
92% 
44% 
Objective «a) agriculture 
Forecast U.K. Reg. 2328/91 (1994) 
SPD UK Re* 866 and 867/90 (1994) 
Touil 625.7 
204.7 
830.4 134,5 
51.2 
1*5.7 152 
0.0 
15,2 61,8 
38.6 
100.4 46% 
75% 
54% 22,4 
11.6 
34.0 44.9 
30.9 
75.7 33% 
60% 
41% 
SPD United Kin-dom (1994) 1 240.81 88.71 29.61 44.31 50%l 8.3l 20.11 73% 
Ohl-rtive *(h) 
SPD Borden Region (1995) 
SPD Central Scodand / Tayside (1995) 
SPD Dumfries and Galloway (1995) 
SPD Grampian (1995) 
SPD Lincolnshire (1995) 
SPD Wales (1995) 
SPD East Anglia (1994) 
SPD English Northern Uplands (1994) 
SPD South West England (1994) 
SPD English Midland Uplands ( 1995) 
SPD The Marches (I99S) 
Total 
TOTAL 76,6 
64.0 
125.3 
96.2 
133,6 
483.4 
132,4 
262.3 
514,5 
33.3 
90.8 
2.012.3 
21.721.2 30,4 
25,4 
47,7 
39,5 
53.7 
184.0 
60,0 
108.0 
219.0 
12.2 
40.6 
820.5 
8.65V.1 1.1 
0.9 
7.6 
5.6 
1.4 
22.9 
0.0 
12.7 
24.6 
0.6 
5.4 
82,9 
2.521.0 8.8 
4.7 
14,3 
1U 
9.0 
50,0 
8,6 
27.8 
55.8 
2.0 
11.5 
203.6 
5.499,0 29% 
18% 
30% 
28% 
17% 
27% 
14% 
26% 
25% 
17% 
28% 
25% 
64% 4,0 
1.9 
5.9 
5.6 
12 
19.2 
0.1 
8.7 
20,6 
0.6 
3.6 
71.4 
1.751.4 12 
3.9 
9.5 
8.5 
5,1 
34.5 
4.6 
16.8 
42.4 
1.4 
7.0 
140.9 
3.5432 24% 
15% 
20% 
21% 
10% 
19% 
8% 
16% 
19% 
_. 11% 
17% 
17% 
41% 
15.2. Implementation of the Community Initiatives in 1996 
Background 
The United Kingdom is involved in all the Community Initiatives except Regis, to which should be added the 
'Peace' programme for Northern Ireland. In all, 28 Community Initiative programmes for the UK were 
approved in 1994 and 1995, joining three Interreg programmes adopted in 1995. There were 13 other 
programmes still to be adopted, one for SMEs, one under Résider, nine under Urban and two under Interreg 
shared with France. All these Initiative programmes except the SME programme for England were adopted in 
1996. Regarding Northern Ireland, which is eligible under Objective 1, all the regionalised programmes 
covering it were adopted in 1995, i.e. those under Urban, Peace, Retex, SMEs, Employment, Adapt and 
Leader. The programmes under Konver and Pesca cover the United Kingdom as a whole. 
Support for development of technology potential in the United Kingdom 
The four SME Initiative programmes already approved give priority to the use of advanced 
telecommunications and to RTD in increasing the competitiveness of businesses. In the case of 
telecommunications, ECU 3 million (total volume: ECU 6.7 million) are going to Northern Ireland to assist 
small businesses in identifying their advanced telecommunications needs and doubling their use. In the 
Lowlands region, an awareness campaign in advanced telecommunications is being funded (ECU 1.6 million. 
290 8th Annual Report on the Structural Funas (1996) 
total volume: ECU 3.8 million), while in the Highlands and Islands a scheme is being supported to develop 
information sources by satellite using advanced telecommunications as a means of creating networks among 
businesses. In the field of RTD, the stress is on cooperation among businesses (Northern Ireland) or between 
businesses and research centres in order to strengthen technology transfers (Highlands and Islands, 
Lowlands, Wales), and on innovation (Lowlands). 
The national programme under Konver also makes provision for encouraging technology transfers and 
cooperation between small businesses, centres of research, universities and centres of technology transfer 
with a view to reinforcing the quality and flexibility of the links between firms and their suppliers and to help 
create networks among small businesses. Technology is to be used to enhance the competitiveness of 
businesses and to make various areas less dependent on defence activities and other traditional industries by 
developing civilian applications for advanced military technologies. Turning to the Community Initiatives 
dealing with human resources, the Adapt programmes aim to facilitate technology transfers towards the 
sectors most affected by changes in employment patterns. Staff of research bodies are being assisted in 
training firms to solve detailed technical problems, and support is also going to research connected with 
industrial change (innovative technologies, new production systems, IT and communications systems). The 
Adapt programmes also include schemes to disseminate information, raise technology awareness, develop 
databases on employment and set up infrastructure for transmitting data. Under the Employment Initiative, 
the Horizon schemes are targeted on adapting workplaces for the handicapped using new technologies (e.g. 
telecommuting for the handicapped), on using information technologies and interactive video for training 
purposes, and on training teachers how to adapt new technologies for handicapped users. 
The programmes under Leader also contain several schemes to support technology development, in 
particular data transmission services and information on technology. Support is being given for distance 
learning, distance working, Internet connections between businesses and 'telecottage' centres for use by 
small businesses, craft firms and service companies in order to improve access to services and cooperation 
among distributors, producers and suppliers. 
The main developments in 1996 were the approval of ten new programmes and allocations from the 
Community Initiatives reserve fund. Nine of the new programmes approved come under the Urban 
Initiative. The largest covers three urban areas on Merseyside (North Huyton, Liverpool Central and 
Netherton). By the end of the year, practically all the Monitoring Committees responsible for 
implementing this Initiative in each city area had been set up and a series of discussions had taken 
place with a view to creating or further developing local urban partnerships and preparing the first 
urban action plans. The Résider operational programme for England was also approved. 
Implementation of this Initiative was subsequently delayed by a disagreement, now resolved, over the 
participation of local elected politicians on the Monitoring Committee. All of the additional funding 
available from the Community Initiatives reserve fund, totalling ECU 188.8 million for the United 
Kingdom, was allocated among the Initiatives with the exception of the SMEs Initiative and Peace, 
most of the money going to Employment, Konver, Urban and Adapt81. A proposal setting out how to 
employ these resources was submitted by the UK authorities in July but no decision has been taken. 
Turning to programmes adopted in previous years, and first of all the Leader programmes, 31 of the 
33 intended local action groups had been selected by the end of the year. Progress has varied 
considerably, with the groups which benefited from experience of Leader I being the most advanced 
(Wales, South West England, Dumfries and Galloway in Scotland). However, the new groups have 
also made progress, although major efforts had to be devoted to getting the groups up and running and 
developing programmes. The national network of Leader groups, for which the Commission has 
proposed part-finance of ECU 0,7 million up to the end of 1999, has still to be formed. In the case of 
the programme under Pesca, which was adopted in June 1995, progress has been slow but most of the 
difficulties encountered in setting up its management and procedures have been overcome. 
Under the Employment Initiative, a total of 262 projects has been approved and launched in 1996. 
The number of projects in Great Britain (i.e. excl. Northern Ireland) is 239 projects (81 projects under 
Now, 104 under Horizon and 54 under Youthstart). The projects under Now mainly concern the 
certification of skills acquired and financial support for child-minding facilities. The projects under 
Youthstart are aimed for the most part at enhancing the basic qualifications of young people and 
developing less formal training-pathways. In the case of Horizon, the projects for handicapped people 
81 See also Chapter I.B.I. Community Initiatives. 
8th Annual Report on the Structural Fund<: (1996) ^ 29/ 
focus on the use of new technologies, transition to non-sheltered employment and awareness 
campaigns, while the projects for deprived groups also aim at less formal training pathways, with 
special attention given to single parents and migrant workers. In both strands, the majority of projects 
are based on, or include, direct training schemes and about a quarter seek to develop systems of 
training, guidance, counselling and employment. In Northern Ireland, the number of projects selected 
under Employment is 23 (7 projects under Now, 11 under Horizon, 5 under Youthstart). Examples of 
Now projects are training for trade-union staff and women in rural areas, the acquisition of 
management skills and training in new technologies. Among the Horizon projects are programmes for 
the pre-vocational and vocational integration of the mentally handicapped, while under Youthstart 
there is a programme of training in new technologies based on multimedia products. 
Under Adapt, a total of 87 projects have been approved. In Great Britain (excl. Northern Ireland) most 
of the 83 projects, as under Employment, involve training schemes, counselling and guidance, 
followed by projects to adjust support structures and systems. All the projects focus on strengthening 
the structure of local small businesses and improving their competitiveness. The main topics are the 
information society, teleworking, the creation of new jobs and flexible forms of training. In Northern 
Ireland, four projects have been selected and involve, for example, the introduction of technologies 
for exchanging data within small businesses and training in the craft industries leading to 
qualifications meeting industry standards. As part of the preparations for a second series of calls for 
proposals under Employment and Adapt in 1997, about twenty events within and between various 
sectors were organised with the cooperation of regional and industry bodies, helping potential 
applicants to learn about the priorities for the Initiatives, the timetable and procedures. 
As regards the Initiatives dealing with industrial conversion, above all Rechar, the first pan of the 
year was devoted to setting up Monitoring Committees and making administrative arrangements for 
each regional programme. Implementation of these programmes has been without major problems, 
and as an example it is worth noting the approach taken in North East of England, namely an action 
plan and strategic plans for each county in the eligible area. The Konver programme has made 
satisfactory progress, although payments have been a little slower. The same applies to Retex. In the 
case of the SMEs Initiative, as under the other Initiatives a part of the year was spent setting up the 
Monitoring Committees. Calls for project proposals were issued under the programmes for the 
Lowlands of Scotland and Wales. The UK authorities have still not submitted a proposed programme 
for England.. 
As for Interreg, finally, 1996 was the first full year of implementation of the Wales-Ireland 
programme. Major development work and frequent exchanges of experience were necessary to get the 
programme up and running, but all the projects except those for transport infrastructure in Ireland are 
joint projects with participation from Ireland and Wales. The programme involving Gibraltar and 
Morocco, which was approved in December 1995, saw its implementation held up in 1996 by 
difficulties over detailing the administrative arrangements required. 
292 8th Annual Report on the Structural Funds (1996) 
Table V-60: United Kingdom - Community Initiatives -1996 in the context of programming for 1994-99 
(ECU million) 
Initiative 
(number of programmes) Total volume SJ. 
assistance* 
_i__ Commitments 
1996 Commitments 
1994-96 
_____ (21/(1) Payments 
1996 Pavments 
1994-96 
_2) (3)/m 
Adapt (2) 
Employment (2) 
Leader(5) 
Pesca (1) 
SMEs (4) 
Rechar (8) 
Konver (1) 
Résider (3) 
Retex (2) 
Urban (10) 
Total (38) 
INTERREC/REGEN (5) • • 
PEACE (7) 650 
338.1 
160.4 
84.7 
43 
364 
230.6 
101.3 
78.2 
206.4 
2257.7 286.1 
146.5 
66.2 
37,4 
20.1 
1632 
101.9 
45.5 
36.6 
98.8 
1.002,9 18.7 
18.4 
10.1 
26.: 
0.4 
5.6 
2.5 
19.0 
6.2 
72.3 
1792 722 
49.8 
662 
31.3 
20.1 
87,1 
12.5 
422 
36.1 
892 
506.7 25% 
34% 
100% 
84% 
100% 
53% 
12% 
93% 
99% 
90% 
51% 0.8 
t 21.6 
14.8 
1.9 
0,1 
5.7 
62 
9.5 
4.0 
36,1 
100J 27,5 
37.3 
19.6 
4.5 
7.4 
43.6 
62 
21.1 
18.1 
43.0 
228.3 10% 
25% 
30% 
12% 
37% 
27% 
49% 
43% 
23% 
of which programmes adopted in 1996: 
Résider England 
Urban - London (Park Roval) 
Urban - Wales (Swansea) 
Urban • Western Scotland (Glasgow Paislev) 
Urban - Yorkshire and Humberside (Sheffield) 
Urban • East Midlands (Nottinehara) 
Urban - Greater Manchester. Lancashire and 
Cheshire (Manchester) 
Urban • East London and the Lee Valley 
(Hacknev Towers) 
Urban - West Midlands (Birmingham) 
Urban - Merseyside (North Huyton, Liverpool, 
Netherton) 
ToUl (10) 
INTERREG (2)»* 48.9 
16.3 
11.7 
32.7 
14.8 
14.9 
17,7 
17,3 
20.6 
35.7 
230,7 22.3 
7.7 
5.6 
13.6 
6.8 
6.8 
8.0 
8.0 
8.0 
17,3 
1042 19.0 
6.1 
5.6 
10.0 
6.8 
5.6 
8,0 
6.4 
6.4 
17.3 
912 19.0 
6.1 
5.6 
10.0 
6.8 
5.6 
8.0 
6.4 
6.4 
17.3 
912 85% 
80% 
100% 
73% 
100% 
82% 
100% 
80% 
80% 
100% 
88% 9.5 
3.1 
2.8 
5.0 
3.4 
2.8 
4.0 
32 
3.2 
8,6 
45,6 9.5 
3.1 
2.8 
5.0 
3.4 
2.8 
4,0 
3.2 
32 
8.6 
45.6 43% 
40% 
50% 
37% 
50% 
41% 
50% 
40% 
40% 
50% 
44% 
* Excluding reserve 
•• For programme details see Chapter VII. Table 2.2. 
•••For programme details see Chapter I.B. 1. Community Initiatives 
^5>3 
CHAPTERS 
FINANCIAL IMPLEMENTATION 1996 

8th Annual Report on the Structural Fundi (1996) 295 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 
TABLE 1.1: OBJECTIVE 1 - CSF 
Member State 
BELGIUM 
GERMANY 
GREECE 
SPAIN 
FRANCE 
IRELAND 
ITALY 
NETHERLANDS 
AUSTRIA 
PORTUGAL 
UNITED KINGDOM Fund 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL Commitments 
(1994-1999) 
Excludm; carryovers 
and appropriations made 
available acain 
74,25 
40,44 
R.(X) 
(),(X) 
122.69 
«97,35 
609,47 
506.65 
'27.50 
2.040.97 
1.157.34 
116.74 
315.93 
0.(X> 
1.590.01 
2.756,72 
1.160.33 
539,48 
158.32 
4.614.84 
132.83 
82.80 
8133 
0,(X) 
296.96 
591.86 
32120 
260.07 
821 
1.181.34 
1.64002 
171.47 
227,01 
0,(X) 
2.038.70 
0,00 
0,00 
4.80 
0.00 
4.80 
ERDF | <).<X> 
ESF 1 ().(X) 
EAGGF ! 4.96 
FIFG (MX) 
TOTAL ! 4.96 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
RFC 
TOTAL 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 1.R33.28 
73730 
377.03 
20.15 
2.967.97 
247.21 
159.46 
91.24 
7.97 
505.88 Including dccommilmenis. 
carryovers anil appropriations 
made available acain 
74.25 
40.44 
8,00 
0.00 
122.69 
89735 
609.47 
506.65 
2730 
2.040.97 
1.157.34 
116,74 
315.93 
().(X) 
1.590.01 
2.756.72 
1.160,33 
539.48 
15832 
4.614.84 
132.82 
82.80 
8133 
O.tX) 
296.95 
591.86 
32120 
260,07 
821 
1.181.34 
1.640.22 
171,47 
227.01 
O.(X) 
2.038.70 
O.tX) 
(MX) 
4.80 
(MX) 
4.R0 
(MX) 
O.(X) 
4.96 
(MX) 
4.96 
1.8332R 
73730 
377.03 
20,15 
2.967.96 
24721 
159.46 
91.24 
7.97 
505.88 
15.369.13J 15369,11 
9.331,07 j 9331,05 
3399,40 j 3399,40 
2.416.50 2.41630 
222.161 222.16 Payments 
(1994.1999V 
Excluding carryovers 
and appropriations made 
available again 
59.99 
2X.27 
330 
0,(X) 
91.77 
1.213,40 
458,46 
407,41 
15.14 
2.094.42 
1.243.11 
120.43 
272.89 
9.65 
1.646.08 
1.79932 
1230.17 
557.96 
229.47 
3.817.12 
113,43 
77,94 
59.R4 
0.00 
25121 
336,09 
306,01 
25024 
8,43 
9(K),76 
1.644,14 
12234 
140.42 
1923 
1.926.12 
8.(X) 
0,(X) 
3,84 
(MX) 
11.84 
5.99 
131 
5.11 
0,(X) 
12.61 
1.56929 
524.72 
315.48 
25.08 
2.434.57 
277,47 
153.95 
4R.64 
4.45 
4X430 
13.671,00 
8270.43 
3.023,79 
2.06533 
311.46 Including carryovers 
59.99 
28,27 
• 330 
0,00 
91,77 
1.213.40 
458.46 
407,41 
15.14 
2.094.42 
1243.11 
120.43 
272,89 
9,65 
1.646.08 
1.79932 
1230.17 
557.96 
229.47 
3.817.12 
113.43 
77.94 
59.84 
0,00 
25121 
336.09 
306.01 
25024 
8.43 
9(X).76 
1.644,14 
12234 
140.42 
1923 
1.926.12 
8.(X) 
(MX) 
3,84 
(MX! 
11.84 
5.99 
131 
5,11 
0,(X) 
12.61 
136929 
524.72 
315.48 
25.08 
2.434.57 
277.47 
153.95 
48.64 
4.45 
48430 
13.671.00 
8270,43 
3.023.79 
2.06533 
1 311.46 
Budget headings B2-1000, B2-1100, B2-1200, B2-1300. 
296 8th Annual Report on the Structural Funds (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 * 
TABLE 1.2: OBJECTIVE 2 - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE Fund 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL Commitments 
(1994-1996) 
Excluding carryovers 
and appropriations made 
available again 
65.47 
16,94 
R2.41 
19.90 
3.08 
22.98 
290.05 
94.23 
38428 
ERDF 1 246.03 
ESF 131.86 
TOTAL ' 377.89 
ERDF 
ESF 
TOTAL 
ITALY IERDF 
ESF 
1 
1 TOTAL 
LUXEMBOURG ERDF 
ESF 
TOTAL 
NETHERLANDS |ERDF 
ESF 
ITOTAL 
AUSTRIA 
FINLAND 
SUEDEN 
UNITED KINGDOM ERDF 
ESF 
TOTAL 
ERDF 
ESF' 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
TOTAL 
ERDF 
ESF 594,09 
68.<X) 
662.09 
193,45 
36,90 
230.35 
0.00 
().(X) 
(MX) 
77,02 
22.12 
99.14 
7.62 
3.77 
11.40 
21.32 
(MX) 
21.32 
0,00 
(MX) 
(MX) 
625,01 
18839 
R 13.60 Including decommitments, 
carryovers and appropriations 
made available acain 
61.50 
16.94 
7R.44 
19.7( 
3.08 
22.78 
284.84 
94.23 
379.07 
24532 
131.86 
377.1R 
587.77 
6R.(X) 
655.77 
177,12 
36.90 
214.02 
-1.47 
().(K) 
-1.47 
77.02 
22.12 
99.14 
7.62 
3.77 
11.40 
2132 
(MX) 
2122 
(MX) 
0.00 
(MK> 
622.03 
18839 
810.63 ECU million 
Payments 
(1994-1W6) 
Excluding carryovers 
and apprc—iations made 
available acain 
.10.02 
10,67 
20.69 
2.11 
137 
3.67 
126.34 
56.40 
1R2.75 
46.39 
112.87 
15926 
34536 
66.R0 
412.16 
69.33 
25.75 
95.08 
0.<X) 
039 
029 
21.01 
1R28 
39.29 
7.47 
4.12 
11.59 
1424 
(MX) 
14.24 
().(X) 
0,00 
(MX) 
41337 
158.11 
571.49 
2.705,4S| 2.66828 1.51031 
2.139,95j 2.102.78 1.055,64 
56530] 565301 454 XI 
\ ! Including carryovers 
10.02 
10.67 
20.69 
2.11 
137 
3.67 
126.34 
56.40 
182.75 
46.39 
112.87 
159.26 
34536 
66.R0 
412.16 
6933 
25.75 
95.08 
(MX) 
029 
0.29 
21.01 
1828 
3929 
7.47 
4.12 
11.59 
1424 
(MX) 
14.24 
(MX) 
(MX) 
0,(K) 
._-. 413.37 
15X.II 
571.49 
1.510.51 
1.055.64 
454JÎ7 
Budget headinss B2-1201. B2-1301. 
8th Annual Report on the Structural Funds (1996) 297 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 * 
TABLE 1.3 OBJECTIVE 3 - CSF 
ECU million 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SUEDES 
UNITED KINGDOM 
TOTAL Fund 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF Commitments 
(1994-1999) 
Excluding, —nyovos 
and appropriations made 
available again 
94.80 
42.00 
512.62 
239.91 
42139 
149.87 
3.40 Including decomrniuncnis, 
carryovers and appeonhauoas 
made available acain 
94.80 
42.00 
512.62 
239.91 
42139 
149.87 
3.40 
152.23 152.23 
65.69! 65.69 
34.991 34.99 
0.001 - 0.00 
i 
1.076.80 
2.7933*2 1.076,80 
2.793,92 Pavments 
(1994-1999) 
Excluding carryovers 
and appropriations made 
available acain 
81.91 
40.96 
28730 
272.12 
402.88 Including carryovers 
81.91 
40.96 
28730 
272.12 
402.88 
102.441 102.44 
i 3.36; 3.36 
124.62 124.62 
71.77 71.77 
1 ' 21.10] _ 21.10 
0.00 
581.69 
1.99034 0.00 
581.69 
1.99034 
• 
Budget heading B2-1302. 
8th Annual Report on the Structural Funds (1996) 
TABLE OF CONTENTS 
INTRODUCTION 9 
A.1996 11 
1. The first Cohesion Report 1 ] 
2. Support for employment 13 
3. The implementation of assistance in 1996 : The main points in this report 14 
B. A SPECIAL FOCUS ON RESEARCH AND TECHNOLOGICAL INNOVATION 17 
1. The context 17 
2. Structural Funds and development of the technological potential of the regions 20 
PART A THE STRUCTURAL FUNDS IN 1996 23 
CHAPTER I IMPLEMENTATION OF PROGRAMMING 25 
A. ASSISTANCE BY OBJECTIVE 27 
1. General overview 27 
1.1. The implementation of the Objectives in 1996 27 
1.2. 1996 in the context of programming for 1994-99 28 
2. Objectives 1 and 6 30 
2.1. Implementation of Objectives 1 and 6 in 1996 30 
2.2. 1996 in the context of programming for 1994-99 33 
3. Objective 2 34 
3.1. Implementation of Objective 2 in 1996 34 
3.2. 1996 in the context of programming for 1994-96 36 
3.3. Preparing for the period 1997-99 37 
4. Objectives 3 and 4 39 
4.1. Implementation of Objectives 3 and 4 in 1996 39 
4.2. 1996 in the context of programming for 1994/95-96/99 40 
5. Objective 5(a) 42 
5.1. Objective 5(a) agriculture 42 
5.2. Objective 5(a) fisheries 46 
6. Objective 5(b) 48 
6.1. The implementation of Objective 5(b) in 1996 48 
6.2. 1996 in the context of programming for 1994-99 49 
B. OTHER ASSISTANCE 51 
1. Community Initiatives 51 
1.1. Overview 51 
1.2. The individual Initiatives 56 
2. Innovative measures and technical assistance 74 
2.1. Innovative measures and technical assistance under Articles 7 and 10 of the ERDF 
Regulation 74 
2.2. Innovative measures and technical assistance under Article 6 of the ESF Regulation 80 
2.3. Innovative measures and technical assistance under Article 8 of the EAGGF Regulation 81 
2.4. Innovative action and technical assistance under Article 4 of the FIFG Reeulation S2 
30 8th Annual Report on the Structural Funds (1996) 
2. Objectives 1 and 6 
2.1. Implementation of Objectives 1 and 6 in 1996 
The forms of assistance still awaiting approval were adopted in 1996: 18 altogether, representing a 
contribution from the Structural Funds of ECU 1 331 million (77% ERDF, 19% EAGGF, 3% ESF). 
These measures comprise 11 OPs (1 in Greece, 6 in Spain, 1 in Ireland and 3 in Italy), 4 global grants 
(2 in Spain and 2 in Italy), and 3 major projects (Spain). They represent only 1.4% of total assistance 
adopted for the period 1994-99, and are much fewer in number than the programming documents 
adopted in 1995 (26) and especially in 1994, when the present programming period was launched 
(141). 
Objectives 1 and 6 are programmed through 6 CSFs and 14 SPDs. The various forms of assistance 
now number 185 SPDs, OPs, global grants or major projects. As to the breakdown of financing 
between different Funds, it is worth noting the following points. 
• Almost one quarter of the forms of assistance (but 29% of total financing) involve financing from 
three of the Funds, if not all four. Fourteen programmes are financed by all four Funds (including 
12 SPDs in Belgium, France, the Netherlands, Finland, Sweden, and the United Kingdom). These 
fourteen programmes represent 8% of the number of programmes, but a volume of financing of 
11% of the total contribution. Thirty-one measures are financed from three Funds (17% of the total 
number, and 18% of total appropriations), with the predominant combination being joint financing 
by the ERDF, the ESF and the EAGGF (30 programmes) and one programme receiving financing 
from the ERDF, the ESF and the FEFG. 
• On the other hand, 102 measures, or 55% of measures but 43% of total financing, are financed by a 
single Fund. They comprise 60 ERDF measures (32% of the total of 185 forms of assistance), 
including 7 global grants and 5 major projects, 22 ESF OPs, 17 EAGGF OPs and 3 FIFG OPs. 
• There are 38 measures financed by two Funds. They represent 21% of assistance measures, but 
28% of total financing. Most of them are OPs under the ERDF and the ESF (32 measures), with 
the others being financed either by the ERDF and the EAGGF (4 measures), or by the ESF and the 
EAGGF (2 measures), or by the ERDF and the FIFG (1 measure). 
The implementation of the various forms of assistance is predominantly regionalised. Regional 
measures account for 106 out of a total of 185, i.e. 57%, breaking down as follows. 
• SPDs represent 13% of the total, in contrast with the 92 OPs, global grants or major projects 
within CSFs. 
• Of the 92 regional measures within CSFs, almost half are in Spain (43), and none at all in Ireland. 
• The Member States where regional programmes account for the highest percentage of the total 
number of programmes for implementing the CSF are Germany (89% of the CSF), and Spain 
(67%); these are the only two Member States where over half the measures in the CSF are 
implemented as regional programmes. 
• The ratio between the regional programmes and the CSF as a whole in terms of the volume of 
financing is substantially similar, although slightly less than that for the number of measures: 52% 
of the financing under CSFs is implemented under regionalised measures. 
• The proportion of financing implemented regionally is once again highest in Germany (over 92% 
of appropriations within the CSF) and Spain (62%). In two Member States, Greece and Portugal, 
the share of regional programmes in total appropriations (33% and 18% respectively) is 
considerably smaller than the number of regionalised programmes relative to total programmes 
within the CSF (41% in both cases). 
298 8th Annual Report on the Structural Funds (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 * 
TABLE 1.4: OBJECTIVE 4 - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY Fund 
ESF 
ESF 
ESF 
l 
SPAIN ' ESF 
FRANCE 
ITALY 
LUXEMBOURG ESF 
ESF 
ESF 
i NETHERLANDS ! ESF 
AUSTRIA 
FINLAND 
SUEDEN 
TOTAL Commitments 
(1994-1999) 
- Excluding cdry overs 
and approprialiiins nude 
available again 
11.75 
7.<X> 
26.6» 
49.54 
91.68 
38.28 
0.37 
(UK) 
l 
ESF 1 0.00 
ESF 
ESF 
FSE 8.77 
37.50 including dccommiuncnis, 
carryovers and appropriations 
made available acain 
11.75 
7.(K) 
26.61 
49.54 
91.68 ECU million 
Payments 
O 994-1999) 
Excludinc carryovers 
and appropriations made 
available acain 
5.91 
7,68 
8,70 Lncluduic carryovers 
5.91 
7,68 
8,70 
10.02 10.02 
49.62 49.62 
. 38.28 19.14 19.14 
1 
0.37 (US 
I ().(K)j 0,00 
0.00 
X.77 
37.50 
1 271.501 271.50 
i 3.51 0.25 
0.00 
331 
5.5(>| 530 
I 
18,75 18.75 
129,08 129,08 
* Budget heading B2-1303. 
8th Annual Report on the Structural Funds (1996) 299 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE LN 1996 * 
TABLE 1.5: OBJECTIVE 5(a) Agriculture - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY Fund 
EAGGF 
EAGGF 
EAGGF Commitments 
(1994-1999) 
Excluding carryovers 
and appr<~nati<BU made 
available acain 
26,80 
22.08 
191.84 Including decommiunenu. 
carryovers and appropriations 
made available acain 
26.80 
22.08 
191.84 
* 1 1 SPAIN ! EAGGF 25,<X) 25.IK) Payments 
(1994-1999) 
Excludinc. carryovers 
and appropriations made 
available acain 
42.59 
22.07 
17734 
28,74 
FRANCE EAGGF 220,661 220.66 206.89 
I 
ITALY 1 EAGGF 
LUXEMBOURG : EAGGF 131.69 
431 
NETHERLANDS EAGGF j 9,05 
J 1 
AUSTRIA EAGGF 
FINLAND 75.94 131.69J 41.08 
431 
9.05 
75.94 Including carryovers 
42.59 
22.07 
17734 
28.74 
206,89 
41.08 
5.21] 5.21 
| 
6,49! 6.49 
1 77,13 77.13 
i ! i 
EAGGF 53.32 5332 26.60 
SUEDEN ! EAGGF 
1 
UNITED KINGDOM EAGGF 
TOTAL J EAGGF 26.60 
26.50 26.5()| * 27.86! 27.86 
1503 
802.43 15.23 
802,43 34.01 34,01 
696.00 696.00 
Budget headines B2-1001. B2-1002. 
300 8th Annual Report on the Structural Funds (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 * 
TABLE 1.6 : OBJECTIVE 5(a) Fisheries - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SUEDEN 
UNITED KINGDOM 
TOTAL Fund 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FIFG 
FÏFG Commitments 
(1994-1999) 
Excluding carryovers 
and appn^nauom made 
available «tain 
20.42 
2308 
12,77 
19.X9 
().(X) 
().(X) 
<>.(XI 
6.36 
0,(X) 
(MX) 
(MX) 
2935 
11207 Including decoramiunents, 
carryovers and anranrutxns 
made available acain 
20.42 
2308 
12.77 
19.89 
(MX) 
(MX) 
(MX) 
6.36 
(MX) 
0,00 
0,00 
2935 
11207 Payments 
(1994-1 »9) 
Excluding carryovers 
and appTupnauons made 
availableacain 
16.50 
(l.(X) 
3.88 
32,74 
().(X) 
11.93 
(),(X) 
6,46 
0.80 
(MX) 
(MX) 
807 
803» Including carryovers 
16,50 
(MX) 
3.88 
32,74 
(MX) 
11.93 
(MX) 
6,46 
0.80 
(),(X) 
0,(X) 
807 
8038 
Budget heading B2-1101 excluding measures under Article 4 of the FIFG Regulation. 
8th Annual Report on the Structural Funds (1996) 301 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 * 
TABLE 1.7: OBJECTIVE 5(b) - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SUEDEN 
UNITED KINGDOM TunrJ 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
FEDER 
FSE 
FEOGA 
TOTAL 
TOTAL 
FEDER 
FSE 
FEOGA Commitments 
(1994-1999) 
Excluding carryovers 
an) appropriations made 
available again 
(MX 
2.71 
4.16 
6.86 
(MX) 
(MX) 
3,73 
3.73 
72.65 
15.39 
99.68 
1X7.71 
37.33 
908 
125.69 
172.30 
127.16 
28.41 
18033 
335.91 
0.00 
0.42 
33.17 
33.59 
(MX) 
0.00 
(MX) 
(MX) 
2X19 
005 
1301 
15.56 
833 
13.85 
29.45 
51.62 Including decommiunenu, 
carryovers and appropriations 
made available acain 
(MX 
- 2.71 
4.16 
6.86 
(MX 
0.00 
3.73 
3.73 
72.65 
1539 
99.68 
187.71 
37.33 
908 
125.69 
17230 
127.16 
28.41 
18033 
335.91 
0.00 
0.42 
. 33.17 
33.59 
(MX) 
0.00 
0.00 
(MX) 
2J09 
005 
1301 
15.56 
833 
13.85 
29.45 
51.62 
15.16! 15.16 
l.lll 1.11 
(MX) (MX) 
16.27! 1607 
34.09 
12.83 
17.99 
64.91 34.09 
12.83 
17.99 
64.91 
64.17i 64.17 
17.76J 17.76 
I.OOj ).(K) 
82.931 82.93 
97138 
360.98 
102,00 
508,40 97138 
360.98 
102.00 
508.40 Payments 
(1994-1999) 
Excluding carryovers 
and appropriai» *n made 
available acain Including carryovers 
(MX) (>.(X) 
2.07 2.07 
1.40 1.40 
3.47 3.47 
0.(X) 0.0(1 
0.14 0.14 
(),(X) 0,00 
0.14 0.14 
9901 
11.46 
101.90 
21237 
33.49 
604 
84.67 
124.40 
117.63 
37.01 
14537 
3(X)00 
0.00 
007 
30.89 
31.15 
(MX) 
(1,00 
(MX) 
(MX) 
5.03 
038 
708 
12.70 
11.17 
12.96 
15.20 
39.34 
4.46 
0.08 
3.13 
7.67 
11.71 
439 
634 
22.64 
5336 
1538 
2.70 
71.44 
825.72 
336,07 
9038 
399,07 99.21 
11.46 
101.90 
21237 
33.49 
604 
84.67 
124.40 
117.63 
37.01 
14537 
3(X)O0 
().(X) 
007 
30.89 
31.15 
(MX) 
0.00 
0.00 
5.03 
038 
70* 
12.70 
11.17 
12.96 
15O0 
39.34 
4.46 
0.08 
3.13 
7.67 
11.71 
439 
634 
22.64 
53.36 
1538 
2.70 
71.44 
825,72 
336.07 
9038 
399,07 
Budget headings B2-1003, B2-1202, B2-1304. 
302 8th Annual Report on the Structural Funds (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 * 
TABLE 1.8: OBJECTIVE 6 - CSF 
ECU million 
Member State 
FINLAND 
SUEDEN Fund 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG Commitments 
(1995-1999) 
Excluding carryovers 
and appropriations made 
available acain 
3030 
13.48 
33.20 
(MX) 
77.18 
(MX) 
(MX) 
11.47 
(MX) 
11.47 
88,65 
3030 
13,48 
44.67 
0.00 Including decomntiunenu, 
carryovers and apfraon—uons 
made available acain 
3030 
13.48 
33O0 
(UK) 
77.18 
(MX) 
0.00 
11.47 
(MX) 
11.47 
8&6S 
3030 
13.48 
44.67 
0.00 1 Payments 
(1995-1999) 
Excluding carryovers 
and apnropnauom made 
available acain 
6.72 
7.76 
27.64 
(MX) 
42.12 
(MX) 
(MX) 
9.02 
(MX) 
9.02 
51,14 
6.72 
7,76 
36,66 
0,00 Including carryovers 
6.72 
7.76 
27.64 
0.00 
42.12 
(MX) 
(MX) 
9.02 
0.(X) 
9.02 
51,14 
6.72 
7.76 
36.66 
0,00 
Budget headings B2-1004. B2-1102, B2-1203, B2-1305. 
8th Annual Report on the Structural Fundi (1996) 303 
TABLE 2: FINANCIAL IMPLEMENTATION OF THE COMMUNITY INITIATIVES* 
millions d'ECUs 
Community 
Initiatives Fund Commitments 
(1994-99) 
Excluding carryovers 
and appropriations made 
available acain Including decommiunents. 
carryovers and annropnations 
made available acain Payments . 
(1994-99) 
Excluding carryovers 
and appropruuons nude 
available aratn Including carryovers 
ADAPT 22243 222.431 86,961 
ERDF 
ESF 0,00] 
222,43 o.oo] 
222.4» 0.00 
863* 0.001 
86.961 
EMPLOYMENT 1 I 246,70| 263J41 17035 
IERDF 
|ESF 339| 339 
2433V 259.75 149 
168.66 17035 
• 149 
16846 
LEADER 1 1 251481 
ERDF 1 99.93 
ESF . 1 «.«4 
EAGGF ! • 8W1 251461 1334l|' 13341 
993*31 50,94 
68,64 2536 
83.091 5730 50,94 
2536 
5730 
PESCA ! 1 13039| 134361 20441 
ERDF 
ESF 
FIFG 780SJ 79,05 
73-5 8,94 
4439J 4637 102 
2*5 
1636 2044 
102 
245 
1636 
PME 
ERDF 
EST 181^2! 
16738 
1434 181.9_l 88,7l| __7j 
16738J 83,40 
1434! 532 83,40 
532 
*M RECHAR 1193)31 I1953J 61.631 
ERDF 
ESF 103,77 
16.17 103.7T 
16.171 5334J 
848! 5344J 
848 
REGIS | 157,96 
ERDF 
ESF 
EAGGF 
FIFG 12807 
1149 
17,00 
040 157.9fi| U54S 
12807 
1149 
17.00 
0.80 12343 
540 
743 
030 I353S 
123,13 
5,10 
7.03 
030 
KONVER 1 I 133.00J 13340I 95,07) 95.07 
ERDF 
EST 90.91 i 904U j 7442 
42,09| 42.091 21,05 74,02 
21.05 
RESIDER I 13437| 13437| 79,591 793S 
IERDF 11842I 11842I 7049 70,69 
JEST I 15_75] ISTSj 849 849 
RETEX 1 
ERDF 
ESF 15443J 154.43 
14241 
1142 14241 
11.62 -74l| 6741 
62,00' 62,00 
541! 541 
21S40J =T URBAN 215. 10841 10841 
ERDF 
IESF 187,94 
27,06J 187,94! 
27.061 96,72j 
11391 96,72 
1139 
INTERREG/PEACE 84739) 84739! 46S.H 46SJ» 
ERDF 
ESF 
EAGGF 
FIFG 737,09 
70,66 
3938 
0,46 737491 
7046 
3938 
0.46, 41806 
3001 
1630 
003 41806 
3001 
1630 
0O3 
TOTAL ! 1 ^795391 
ERDF 
ESF 
EAGGF 
FIFG 145834 
752,10 
139.49 
45.65 2415.981 131302 1313-2 
1459.14J 1.035,62: 1.035.62 
7693» 37948j 37948 
139,48! 8043 8043 
4743! 17.09! 17.09 
Budget headings B2-1400, B2-1410, B2-1412, B2-1420, B2-1421, B2-1422, B2-1423, B2-1424, B2-1430, B2-1431, B2-
1432. B2-1433, B2-1440, B2-1450, B2-1460. B2-1470 
304 Sth~Annual Report on the Structural Fundi (1996) 
TABLE 3: FINANCIAL IMPLEMENTATION OF TRANSITIONAL AND INNOVATIVE 
MEASURES' 
ECU million 
Member State Fund Commitments 
Excluding carryovers 
and ar-nir*iauons made 
available train Including decommitmenis, 
carryovers and arfrnpruuons 
made available acain Payments 
Excluding carryoven 
and appropriations made 
available team Including carryovers 
BELGIUM 
DENMARK ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
GERMANY j 
GREECE ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
SPAIN i 
FRANCE 
IRELAND 
ITALY 
LUXEMBOURG 
NETHERLANDS ERDF 
ESF 
EAGGF 
FIFG 2708 
(MX) 
2633 
0.49 
006 
338 
ooo 
040 
(MX) 
2.3R 
4.91 
132 
1.95 
0.79 
0.R6 
1JM 
(MX) 
0,08 
034 
132 
1231 
204 
237 
235 
4,95 
646 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 0.06 
034 
507 
100 
23-5 
2138 
0.79 
1.08 
(MX) 
13.48 
100 
1.87 
9.48 
0.93 
OJrV 
(MX) 
0.09 
0.00 
(MX) 
1.67 
(MX) 
003 
007 
1.17 2844 
(MX) 
27.79 
0,49 
006 
743 
000 
435 
0.00 
2.38 
744 
131 
4.88 
0.79 
0.86 
2,79 
(MX) 
0.94 
034 
1.31 
14.46 
204 
4.78 
234 
4.90 
K59 
0.06 
2.46 
507 
100 
25J4 
2138 
2.68 
1.08 
(MX) 
1743 
loo 
632 
93R 
0.93 
031 
().(X) 
031 
' 0.00 
(MX) 
3,18 
(MX) 
1.75 
007 
1.17 2340 
0.04 
21.90 
134 
0,12 
444 
0,90 
2.91 
(MX) 
004 
836 
506 
2,68 
0.49 
0.14 
235 
(MX) 
035 
1.01 
0.7X 
2537 
17.48 
3.70 
2.61 
1.78 
17,49 
933 
3.43 
3.46 
1,07 
2436 
21.65 
233 
0.01 
0.36 
22,90 
0.75 
8.83 
1231 
0.80 
032 
(MX) 
032 
0.00 
(MX) 
446 
235 
1.19 
(MX) 
0.92 23*40 
0,04 
21.90 
134 
0.12 
444 
0.90 
2.91 
0.00 
0.24 
836 
506 
2.68 
0.49 
0.14 
235 
(MX) 
035 
un 
0.78 
2547 
17.48 
3.70 
2.61 
1.78 
17.49 
933 
3.43 
3,46 
1.07 
2436 
21.65 
233 
0.01 
036 
2X90 
0.75 
8.83 
1231 
0.80 
032 
(MX) 
032 
0.00 
(MX) 
4.46 
235 
1.19 
(>.(X) 
0.92 
Budget headings B2-1800, B2-1810, B2-1820, B2-1830. 
8th Annual Report on the Structural Funds (1996) 305 
TABLE 3: FINANCIAL IMPLEMENTATION OF TRANSITIONAL AND INNOVATIVE 
MEASURES ' (CONTINUED) 
ECU million 
Member State Fund Commitment; 
Excn—ng carryovcn 
•1 anpn^naiio— made 
available again Including decon__UK_—J 
made available mail Payments 
Eichiding canyovsn 
d apprnpnaliam nude 
available at am In—_iBf carryovers 
AUSTIUA 
PORTUGAL 
FINLAND 
SUEDEN 
UNITEDKINGDOM 
COMMUNITY 
TOTAL ERDF 
ESF 
EAGGF 
FIFG c 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
. 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 037 
005 
0.01 
(Ml 
(MX) 
3,74 
(MX) 
005 
1.44 
2,04 
146 
005 
003 
039 
0.59 
106 
005 
0.18 
(MX) 
(1.83 
847 
331 
0.83 
0.43 
3.90 
50,18 
50.01 
0.17 
(MX) 
(MX) 
16145 
80,67 
36.93 
23.03 
20.42 1J2 
005 
0,76 
0.11 
0.00 
437 
-0.18 
106 
1.44 
2.04 
2,43 
005 
1.00 
039 
039 
307 
005 
200 
(MX) 
0.83 
844 
331 
1.16 
0,43 
3.85 
S942 
59.48 
0.17 
-0,03 
0.00 
1963« 
89.95 
6300 
22,90 
20.31 0,49 
(MX 
0,44 
0.06 
(MJO 
1248 
9.66 
0.86 
1.14 
0.81 
032 
(MX) 
031 
0.01 
(MX) 049 
0.00 
0.44 
0.06 
0.00 
12.48 
9.66 
0.86 
1.14 
O.RI 
052 
(MX) 
031 
0.01 
(MX) 
X.17| U7 
(MX) 
1.02 
0.02 
«J 4 
740 
3,64 
134 
009 
1.62 
3242 
31.68 
0.94 
(MX) 
(MX) 
188X3 
102.93 
5334 
22,97 
8.79 0.00 
1.02 
0,02 
0.14 
7J0 
3.64 
134 
009 
1,62 
3242 
31.68 
0.94 
(MX) 
(MX) 
18843 
102.93 
53.34 
22.97 
8.79 
* Budget headings B2-1800, B2-1810, B2-1820, B2-1830. 

3o ^ 
CHAPTER Vn 
FINANCIALIMPLEMENTATION 1994-96 
8th Annual Report on the Structural Funds (1996) 31 
Table 1-5: Objective 1 - Share of regional and multiregional programmes in total assistance (ECU million) 
SPD CSF 
Total -EL IRL TOTAL 
Régional programmes 
Number 
™».o.Ootal..QbJ.l 14 
13% 92: 
87%j 16 13 43 13 106 
57% 
Financing 
fepHptalQfri,) 6-336,4 
___Sl 42.086,5; 12.520,6 
87%; 4.510,6 15.685,4 0,0 6.836,5 2.533,4 48.422,9 
_£_, 
Multiregional programmes 
Number 
S..9Î.ï9M.9.fei.-.i. 
Financing 
%oftoialQfriT1 0 
JS&. 
0,0 
0% 79j 
100%[ 19 21 11 16 10 
44.661,4: 1.160,2 
L_Q__i 9334-3 9.750,5 5.672,0 7231,1 11.513,3 79 
43% 
44.661,4 
48% 
Total 
Number 
S._9.U9M.Ql>J.-.L 
Financing 
%ofto^lQbj,l 14 
8%. 
6336,4 
7% 1711 18 32 64 11 29 17 
86.747,9! 13.680,8 13.844,9 25.435,9 5.672,0 14.067,6 14.046,7 
93%l 185 
100% 
93.0843 
100% 
•Number 
I Fin—icing 
1996 was first and foremost a year when programmes were implemented on the ground.3 For almost 
one half of the measures (86 altogether, or 46%), this implementation led to changes in the 
programmes. Basically, there were three sorts of changes: by far the most numerous were financial 
reprogramming of the measures (in 86% of cases); they also involved, in 37% of cases, financial 
decisions relating to an increase in assistance from the Funds, or more frequently, transfers between 
the different Funds and indexation of financial amounts; lastly, in one third of cases, they involved 
changes to the programmes such as amendments to planned actions or operations, but without 
necessarily adjusting priorities. Amendments were made in ten of the thirteen eligible Member 
States,4 and 10% of the changes concerned programmes amended more than once.5 
Promotion of technological innovation in the regions eligible under Objectives 1 and 6: 
Support for technological development is increasing in importance in relation to the period 1989-93. It more 
than doubled in the Objective 1 regions and countries, rising to 7% of all Community financing (from 2.5% 
between 1989 and 1993). This increase is partly the result of including new regions under Objective 1, with 
substantially higher levels of R&D expenditure than the original regions, but it is also due to an appreciable 
increase in financing in the original regions too, especially in Italy, Ireland and Greece. In general, common 
trends are emerging, including increased participation by the private sector, which reflects a shift towards an 
approach more closely geared to the demand for innovation and technology, the adoption by certain regions 
of technological development strategies — a step encouraged by the Commission in the first instance in pilot 
projects — and a relative increase in ESF financing. 
Objective 1 programmes give priority to RTD but also cover telecommunications (15%). The scale of RTD 
measures varies from one Member State to another. The types of measure financed relate to: 
• infrastructure (building and rehousing of research centres, university laboratories and centres for the 
dissemination of results) and support for the scientific and technological system (RTD and innovation 
3 For more details, see Chapter V. Country-by-country survey. 
4 The Dutch, Austrian and Swedish SPDs have not been changed. 
5 Five programmes were amended twice (Saxony-Anhalt (Economic development), Ireland (Local Development), 
Basilicata, Sicily, Northern Ireland) and one programme was amended 3 times. 

8th Annual Report on the Structural Fundi (1996) 309 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE* 
TABLE 1.1 : OBJECTIVE 1 - CSF 
millions d' Ecus 
Member State 
BELGIUM 
GERMANY 
GREECE 
SPAIN 
FRANCE 
IRELAND 
ITALY 
NETHERLANDS 
AUSTRIA 
PORTUGAL 
UNITED KINGDOM Fund 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG CommiUbcats 
(1994-99) 
Firlmhnt umymm 
and M|'|'r'i')'naliTf( nma 
available agau 
142.1* 
65.14 
22.0C 
0.37 
229.6<i 
2.742.32 
1.775.9* 
1.368-5 
46.50 
5933.05 
4.308J6 
X0I.44 
1.015.12 
37.10 
ft 16? 7? 
ft.I23.9I 
2.826.42 
1.519.15 
462.78 
12 932.26 
369.52 
268.27 
150.53 
6.30 
794.62 
1.340.46 
940.51 
59Z63 
17.41 
2891.00 
3.65U6 
633.82 
704.7V 
66.54 
5 063 S1 
24.30 
8_0 
6.70 
2.80 
42.00 
19.96 
5.04 
8.76 
0.00 
33.76 
4.758.66 
1.533.39 
1.153.17 
72.16 
751737 
548.45 
.321.57 
151.15 
17.03 
1.038.20 
42—37,69 
26J>36,67 
9.179,78 
6.692-S5 
728,99 u»iyu»ut and _-nropri___ 
ma— available again 
(1> 
142.18 
65.14 
22.00 
0.37 
229.69 
2.74132 
1.775.98 
1-368-5 
46.50 
5 933.05 
4.308.56 
801.44 
1.015.12 
37.10 
ft 162 2? 
8.123.91 
2.826.42 
1.519.15 
462.78 
12 932.26 
369.51 
268.27 
150.53 
6.30 
794.61 
1.340.46 
940.51 
592.63 
17.41 
2.891.0O1 
3.65L36 
633.82 
704.79 
66.54 
5063.5ol 
24.30 
8J20 
6.70 
2.80 
42.00 
19.96 
5.04 
8.76 
0.00 
33.76 
4.758.65 
1.533.39 
1.153.17 
72.16 
7 517.371 
548.45 
, 321.57 
151.15 
17.03 
1038.20 
42-37.67 
2-036—5 
9.179,78 
6.692-5 
728,99 Payments 
'1994-99) 
E»chi4i»g caryovcg 
and apf(D|~ia——Bade 
available again 
113.74 
40.62 
9.58 
0.19 
164.13 
2.240.46 
1.311.18 
986.08 
26.74 
. 4.564.47 
3.090.88 
531.96 
791.01 
23.89 
4437,74, 
5.381.87 
2.397.11 
1.226.58 
338.69 
9344.25 
221.32 
179.79 
97.49 
3.46 
904 M 
845-59 
535.70 
13.93 
2.299 75 
2.731.71 
308.36 
39Z06 
35-21 
3.467.341 
19.44 
5.06 
5.39 
1.58 
, 31.47 
15.97 
4.03 
7.01 
0.00 
3.73038 
1,149.09 
735.11 
58-2 
1I572..Q1 
446.88 
258.84 
101-33 
8.82 
81586 
31326J8 
18J97.19 
7.031,63 
4.S87J3 
510,73 uxi—ug carryo—r» 
(2> 
113.74 
48.03 
9.58 
0.19 
!71 U 
2.240.46 
1.311.18 
986.08 
26.74 
456447 
3.090.88 
531.96 
791.01 
23.89 
4 437 74 
5.381.87 
2.397.11 
1.249.04 
338.69 
9366.72 
22132 
208.59 
97.49 
3.46 
530.87 
904.54 
845.77 
535.70 
13.93 
2.299.93 
2.731.71 
322.60 
392.06 
35-21 
3 48159 
19.44 
5.06 
5J9 
1.58 
3! 47 
15.97 
4.03 
7.01 
0.00 
27.01 
3.730-38 
1.174.9C 
735.11 
58-2 
5 698 61 
446.88 
258.84 
101.33 
8.82 
81586 
31.42530 
18JS97.19 
7.10-08 
4.90930 
510.73 % 
am) 
80% 
74% 
44% 
50% 
75» 
82* 
74» 
72» 
58% 
77% 
72* 
66% 
78* 
64* 
72% 
66% 
85% 
82* 
. 73* 
72* 
60% 
78* 
65% 
55% 
67% 
67* 
90% 
90* 
80* 
80% 
75% 
51% 
56* 
53* 
69% 
80% 
62% 
80* 
56» 
75* 
80% 
80* 
80% 
0% 
80* 
78* 
77* 
64* 
81? 
76* 
Xl? 
80* 
675 
521 
79? 
74<ï 
73<3 
77<; 
73'; 
70'; 
Budget headings B2-1000, B2-1100, B2-1200, B2-1300. 
310 8th Annual Report on tie Structural Funds (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE * 
TABLE 12: OBJECTIVE 2 - CSF 
Member Slate 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SWEDEN 
UNITED KINGDOM Fond 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
ERDF 
ESF 
TOTAL 
TOTAL 
ERDF 
ESF Cinnmitmer-s 
(1994-96) 
EiduOmf —nynvc-, 
•mal an—. -*uono> nude 
available agaà) 
114.59 
2535 
139.94 
44.74 
8.53 
53.27 
488.10 
183.03 
671.13 
791.13 
245.97 
1.037.10 
1.345.77 
220.71 
1.566.48 
43Z74 
9736 
530.30 
6.03 
1.94 
7.97 
143.97 
60.18 
204.15 
4633 
19.01 
6535 
46.12 
6.30 
52.42 
83.22 
2236 
105.78 
132833 
535.12 
2.063.65 
6.497,73 
5.071,47 
1.42606 lAdndmc <k—n_—«am. 
_rry,ivt-i «nu _|i|»unn_—m 
made available agam 
(1) 
110.62 
29.98 
140.60 
4434 
833 
53.07 
482.89 
183.03 
665.92 
790.42 
245.97 
1.036.39 
1.339.46 
220.71 
1.560.16 
416.41 
9736 
513.97 
436 
1.94 
6.50 
143.97 
60.18 
204.15 
46.53 
19.01 
6535 
46.12 
630 
52.42 
83.22 
2236 
105.78 
132536 
535.12 
2.060.68 
6.465,19 
5.034-30 
1.43039 Payments 
(1994-96) 
Exchxlmg -«rryrrverx 
and an»m»_nms made 
available again 
34.41 
13.28 
47.69 
19.87 
3.79 
23.67 
230.83 
102.25 
333.09 
442.25 
164.97 
607.21 Indnduig carryover* 
(2) 
34.41 
1539 
50.00 
19.87 
3.79 
23.67 
230.83 
108.85 
339.68 
442-5 
164.97 
607.21 
671.80! 671.80 
160.7l| 163.65 
832.521 835.46 
188.98 
56.08 
245.06 
3.01 
1.26 
4.28 
54.48 
3731 
91.80 
21.27 
11.74 
33.01 
26.64 
3.15 
29.79 
26.78 
11-28 
38.06 
711.03 
371.79 
1.082,82 
33683* 
2.431 Je 
937.62 188.98 
56.08 
245.06 
3.01 
1.26 
4.28 
54.48 
3731 
91.80 
21.27 
11.74 
33.01 
26.64 
3.15 
29.79 
26.78 
11.28 
38.06 
711.03 
37931 
1.09034 
338835 
Z43136 
956.9» % 
(2)1(1) 
31%. 
52* 
36% 
45* 
44% 
45* 
48* 
59% 
51* 
56% 
67% 
59% 
50% 
74* 
54% 
45» 
57% 
48%i 
66% 
65%, 
66% 
38% 
62% 
45%. 
46% 
62% 
50% 
S8% 
50%. 
57* 
32* 
50% 
36% 
475 
71% 
53% 
525 
4X5 
675 
* Budget headings B2-1201, B2-1301. 
8th Annual Report on the Structural Funds (1996) 311 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE 
TABLE 1.3 OBJECTIVE 3 - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SWEDEN 
UNITED KINGDOM 
TOTAL Fund 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF Commitments 
(1994-99> 
E—tataf —rrymm 
and «inm^uunto made 
available again 
19236 
127.00 
820.40 
66630 
1.199.99 
350.34 
9.86 
434.50 lndiKfcni —eooDU—ioncnia. 
carryover* and an|¥upna_an% 
nude available again 
(1) 
192.56 
127.00 
820.40 
666.50 
1.199.99 
350.34 
9.86 
4343Û 
129.7SJ 129.75 
r 
9532 
73.00 
2.051.80 
6.15133 9532 
73.00 
2.051.80 
6.15133 Payments 
(1994-991 
—d—aag carryoven, 
and anpro-nauon made 
available agam 
148.34 
88.46 
513.77 
516.66 
90636 
202.67 
8.45 
377.93 
103.80 
51.26 
3630 
I.4O0.26 
435436 Inclinant -înyiivu.» 
<2> 
156.42 
115.19 
521.77 
516.66 
906.56 
202.67 
8.95 
377.93 
103.80 
51.26 
3630 
1.40026 
43973-7 % 
av(\) 
81* 
91%. 
64* 
78* 
76% 
58% 
91% 
87* 
80* 
54% 
50% 
68% 
71* 
Budget heading B2-1302. 
312 8th Annual Report on tie Structural Fundi (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE * 
TABLE 1.4: OBJECTIVE 4 - CSF 
ECU million 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SWEDEN 
TOTAL Fund 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF 
ESF Cummitments 
(1994-99) 
Ex—alas carryoven 
and ann-j^'UMoro made 
available again 
16.38 
13.00 
5622 
167.64 
187.07 
98.90 
0.90 
2223 
11.70 
23.60 
3730 
ESF 635,13 Including d—unoiBùaBcnt— 
canynven and annmpn_MM» 
made available again 
(II 
1638 
13.00 
5622 I Payments 
(1994^9) 
Excluding carryoven. 
and appropria—« made 
available agam 
8.23 
10.68 
2331 
167.64! 75.85 
1 
187.07 
98.90 
0.90 
2223 
11.70 
23.60 
3730 
635.13 9732 
49.45 
0.59 
11.12 
# 9.36 
12.92 
18.75 
317,76 indnifeng ia/ryoven 
CI) 
8.23 
10.68 
2331 
75.85 
9732 
49.45 
0.59 
11.12 
9.36 
12.92 
18.75 
317.76 % 
(2>/(l) 
50%. 
82% 
42* 
45* 
52% 
50% 
66» 
50* 
80* 
55% 
50% 
50% 
Budget heading B2-1303. 
8th Annual Report On the Structural Fundi (1996) 3)3 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE * 
TABLE 1.5: OBJECTIVE 5(a) Agriculture - CSF 
ECU million 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SWEDEN 
UNITED KINGDOM 
TOTAL Fund 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF 
EAGGF Commitments 
(19944*9) 
Excmdint i—ryovm. 
and ar-aunrmoom Bade 
available again 
79.83 
60.75 
51436 
10241 
739.39 
249.16 
1633 
3432 
137.44 
114.74 
4022 
100.40 
2.189.75 u•lyiMUji ami ^ifauiniaDaak 
made available again 
(1) 
79.83 
60.75 
514.56 
10241 
739.39 
249.16 
1633 
3432 
137.44 
114.74 
4022 
100.40 
2.189,75 Payments 
(1994-99) 
Fidudmg c-rvovm 
and appropnaoon made 
aval table agam 
59.10 
4126 
387.16 
8435 
449.86 
99.81 
10.58 
. 18.64 
107.88 
57.31 
34.72 
75.74 
1.42630 li—udug carryovers 
59.10 
41.26 
387.16 
8435 
449.86 
99.81 
10.58 
18.64 
107.88 
5731 
34.72 
75.74 
1.42630 % 
(2V(\) 
74%. 
68% 
75% 
83% 
61% 
40* 
64% 
54% 
78% 
50%. 
86% 
75% 
65% 
* Budget headings B2-1001, B2-1O02 (i.e. excluding budget headings B2-1000 - Structural measures directly related to 
market policies (1994 only - ECU 43.65 million in both commitments and payments), and refunds under Regulation (EEC) 
No 2328/91 for 1993 (ECU 356.6 million in commitments and ECU 417.02 million in payments). 
314 8th Annual Report on tie Structural Fundi (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE * 
TABLE 1.6 : OBJECTIVE 5(a) Fisheries - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY Fund 
FTFG 
FIFG 
FIFG 
i 
SPAIN j FIFG 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTR1A 
F1NLAND 
SWEDEN Oimmi—tents 
fl9V4-9V> 
Excluding carryover. 
and aprnipnanoiK made 
available again 
24.50 Indudmg d—snuninnenix 
carryovers and appropriations 
made available agam 
2430 
1 69.X7; 69.87 
37.64 
59.72 37.64 
59.72 
1 1 
FIFG 1 6327J 6327 
1 1 
FIFG 44.77 44.77 
I ; 
FIFG 1.10: 1.10 
FIFG 
FIFG 
FIFG 
FIFG 1532J 1532 
2.00J 200 
1 
23.00J 23.00 
i 
40.00l 40.00 
1 
! ! 1 
UNITED KINGDOM FIFG 44.3.3 4433 
TOTAL . 1 
FIFG 1 425.72 J 425,72 Payment» 
. (1994-99) 
Excluding carryover. 
and appropriation» made 
available again 
19.83 
3029 
20.02 
42.71 Including carryover). 
(2» 
19.K3 
3029 
20.02 
42.71 
41.13! 41.13 
1 
23.131 23.13 
0.11 0.11 
i 
12.66J 12.66 
l.OOl 1.00 
! 
6.90 
12.00 
20.10 
22936 6.90 
12.00 
20. n 
22936 ECU million 
% 
(2)/(l) 
81% 
43% 
53* 
72% 
655 
52% 
10% 
82% 
50% 
30%. 
30% 
45» 
54% 
* Budget heading B2-1101 excluding measures under Article 4 of the FIFG Regulation. 
8th Annual Report on the Structural Funds (1996) 315 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE * 
TABLE 1.7 : OBJECTIVE 5(b) - CSF 
Member State 
BELGIUM 
DENMARK 
GERMANY 
SPAIN 
FRANCE 
ITALY 
LUXEMBOURG 
NETHERLANDS 
AUSTRIA 
FINLAND 
SWEDEN 
UNITED KINGDOM Fond ' 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
ERDF 
ESF 
EAGGF 
TOTAL 
TOTAL 
ERDF 
ESF 
EAGGF Gmmitmetts 
(1994-99) 
Excludag _Tryove» 
and «|—opruiionv made 
available «gain 
4.82 
425 
6.95 
16.03 
5.93 
129 
6.30 
13.51 
171.69 
42.84 
234.92 
449.45 
81.97 
22.57 
229.84 
334.39 
28428 
93.12 
331.69 
709.09 
43.86 
14.78 
81.95 
140.59 IncU—fcog dcconflyBBcnu. 
carryovers and i|iyauoi_uoi_ 
made available again 
4.82 
4.25 
6.95 
16.03 
5.93 
1.29 
6.30 
13.51 
171.69 
42.84 
234.92 
449.45 
81.97 
2237 
229.84 
334.39 
28428 
93.12 
331.69 
709.09 
4336 
14.78 
81.95 
14039 
0.43! 0.43 
0.11 0.11 
0.30 0.30 
* 0.841 0.84 
16.11 16.11 
246| 246 
22381 2238 
41.16! 41.16 
41.671 41.67 
2733 2733 
60.75 60.75 
129.951 129.95 Payments 
'1994.991 
—dudmg carryovers 
and appropruona» made 
available agam 
241 
2.85 
279 
8.05 
3.74 
0.78 
1.29 
5.80 
139.53 
26.90 
18034 
346.77 
6921 
13.44 
160.19 
242.84 
201.44 
72.70 
233.99 
508.14 
21.93 
7.44 
5528 
84.65 
021 
0.05 
* * 0.15 
0.42 
12.44 
1.49 
1133 
2525 
27.84 
19.80 
30.85 
7830 
31.19J 31.19j 1224 
6.29 629J 267 
11.60 11.60J 8.69 
49.08! 49.081 23.61 
34.09 
12.83 
17.99 
64.91 34.09; 11.71 
1283 439 
17.99 634 
64.91 ! 22.64 
130.54J 130.54 
5423! 5423 
18.86! 18.86 1 203.631 203.63 
215233 
84638 
28231 
1.023.74 90.84 
38.41 
11.63 
140.88 
215233 j 1.48738 
1 
84638! 59335 
28231! 191.15 
1.023.74 70238 Indudug carryover. 
(21 
2.41 
285 
279 
8.05 
3.74 
0.78 
1.29 
5.80 
139.53 
26.90 
180.34 
346.77 
6921 
13.44 
160.19 
242.84 
201.44 
7270 
233.99 
508.14 
21.93 
7.44 
5528 
84.65 
021 
0.05 
0.15 
0.42 
1244 
1.49 
1133 
2525 
27.84 
1930 
3035 
7830 
1224 
267 
8.69 
23.61 
11.71 
4.59 
6.34 
22.64 
90.84 
38.41 
11.63 
140.88 
1.48738 
59335 
191,15 
70238 ECU million 
% 
(Did) 
50% 
67* 
40% 
50* 
63* 
61% 
20* 
43% 
81% 
63* 
77* 
77% 
84% 
60%. 
70* 
73%. 
71* 
78* 
71* 
72% 
50* 
50% 
67% 
60% 
50% 
50% 
50* 
50% 
77% 
60* 
50%. 
61* 
67* 
72% 
51% 
60% 
39% 
42% 
75% 
48% 
34* 
36% 
35* 
35* 
70* 
71% 
62% 
69% 
69% 
70% 
68% 
69% 
* Budget headings B2-1003, B2-1202, B2-1304. 
316 8th Annual Report on tie Structural Funds (1996) 
TABLE 1: FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE * 
TABLE 1.8 : OBJECTIVE 6 - CSF 
Member State 
FINLAND 
SWEDEN Fond 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG Commitments 
(1995-99) 
Ex——nf carryoven 
and appnipria—ns made 
available agam 
52.90 
3438 
70.00 
0.70 
15X.18 carryovc—* and _jHau|aianon\ 
made available at—i 
(1) 
52.90 
3438 
70.00 
0.70 
)58.18 
21.86! 21.86 
U39| > 11.39 
22.411 22.41 
0.731 0.73 
56.391 • 56.39 
21437 
74.76 
45.97 
9231 
1,43 21437 
74.76 
4537 
9231 
1,43 Payments 
(199S-99I 
Exclodaig carryoven 
and approonauo». made 
available agam 
17.92 
18.31 
46.04 
0.35 
82.62 
10.93 
5.70 
14.49 
0.37 
31.48 
, 114,10 
2835 
2431 
6033 
0,72 I—ladmg carryoven. 
(21 
17.92 
1831 
46.04 
0.35 
82.62 
10.93 
5.70 
14.49 
0.37 
31.48 
114,10 
2835 
2431 
6033 
0,72 ECU million 
% 
(2)1(1) 
34%, 
53% 
66% 
50% 
52% 
50% 
50% 
65% 
50% 
56* 
53% 
39* 
52% 
65% 
65% 
* Budget headings B2-1004, B2-1102, B2-1203, B2-1305. 
8th Annual Report on the Structural Funds (1996) 317 
TABLE 2 : FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
INITIATIVES* 
TABLE 2.1: OVERALL IMPLEMENTATION 
Community 
(1994-99) 
Excluding ——oven 
and ara*opria—at made 
available again InrhMlmg Pay—eats 
(1994-991 
Exdadini carryoven 
a—appiopnauoni made 
available again Incladmg carryover» (2)/(l) 
0.O9I 530391 23938J 239381 45% 
50% 
45% ERDF 
ESF 10,04! 
520.05 10,1 
520. .M 
.OS1 532 
23434 5.021 
2343*1 
•555371 32438) EMPLOYMENT 57* 
48% 
57% ERDF 
ESF 939 
54538 93» 
562.421 4391 
319.991 3193* 
LEADER 
ERDF 
ESF 
EAGGF «93,04: 720.42 
31635 
71.(0 
304.48 326.75 
74,40 
31936 2*«32J 266J3 
11335 
2834 
12431 11336 
2834 
124.41 37% 
35% 
38% 
39% 
r«scA 1 • 
ERDF 
ESF 
FIFG 18234 
8430 
8.91 18736 
85.60 
930 
9216 373»! 37UM 
430j 430 
"«j1 334 
»37l 29.97 26% 
5% 
34% 
33% 
SMEs i 3WJS 
ERDF 
EST 350,77 385.451 15632J 15632 
35637 
2838 144,141 144,14 
ttW 1228 411% 
40% 
43* 
292.46 
253—9 
39.17 13630| 47* 
46% 
50% ERDF 
ESF 25233! 
39,171 11721 
19381 11734 
1938 
REGIS 
ERDF 
ESF 
EAGGF 
FIFG J94.73 
165,04 
1139 
1730 
030 216.78 
18739 
1139 
1730 
030 1S737| 15737 
145.15 
5.10 
733 
030 145.15 
5.10 
733 
030 73% 
78% 
43% 
41% 
38% 
___-371_2j 371221 182301 49% 
49% 
50% ERDF 
ESF 31838 
52751 31838 
5275 156331 
2637) 15633 
2637 
293371 157391 51% 
51% 
48% ERDF 
ESF 26636| 
27.01 28136| 
30.41 143. 
143: 14336 
1432 
31935 14331 __s_%j 
45% 
50% ERDF 
ESF 305391 
13.96 3053»| 
13.96! 136331 
638! 1363a 
6.981 
URBAN ! 1 3»*»! 372371 1133J 16625 
ERDF 
ESF 30935 
4135 32137J M3J0I 14330 
51291 .18331 2235 45% 
45% 
45% 
INT£3——G/PEACE I 
JERDF 
|ESF 
1 EAGGF 
IFIFG 122U» 1.43230 70335 
o ft 8! 1 129031 
8835 
53.45 
0.60 64432 
38,06 
21,16 
030 70632 
644.02 
39.08 
2322 
030 49* 
50% 
44% 
43% 
50% 
TOTAL i 
ERDF 
EST 
EAGGF 
FIFG 538334 
3.476.16 
1.44731 
369.15 
9023 5.71238! 236836 
3.74534 
1.48327 
389.71 
9336 1.75732 
72737 
15260 
3037 237538 
1.757.75 
733.01 
154.66 
3037 47* 
47% 
49% 
40% 
33* 
Budget headings B2-1400, B2-1410, B2-1412, B2-1420, B2-1421, B2-1422, B2-1423, B2-1424, B2-1430, B2-1431, B2-
1432, B2-1433, B2-1440, B2-1450, B2-1460, B2-1470. 
32 8th Annual Report on the Structural Funds (1996) 
projects, developing and disseminating know-how). As a rule, assistance concentrates less on creating 
new infrastructure than on enhancing infrastructure financed in the previous period; 
• support for industry (grants and loans for the development of new products and processes and for 
technology transfer; services, standardisation and technological audit; setting up and supporting centres 
for innovation and technology transfer; support for participation in the Fourth Framework Programme 
for research); 
• co-operation between the various actors in technological development (businesses, especially small 
businesses; technology centres, universities, etc.) and technology transfer; 
• training measures (post-graduate training, training of research workers, management training in the field 
of research/technology). 
Financing of telecommunications mainly involves basic services and infrastructure, where there are wide 
disparities between Objective 1 regions and the rest of the Union; basic services and infrastructure are a 
condition for the development of information technology in these regions. This concerns digitalisation and 
the modernisation and extension of networks. Expenditure planned for advanced services covers: 
• better access to these services for business users; 
• extension of the ISDN (Spain, Portugal, Italy, Greece) and optical fibre links; 
• extension of GSM coverage (Spain, Italy, Ireland) and development of satellite telecommunications 
services (Italy). 
There are a few measures directly related to data transmission applications. They correspond to projects in 
the fields of government (Greece, Portugal), health services (Greece, Spain), education (France, Greece, the 
United Kingdom, Spain) or electronic transactions (Italy). 
A comparison between the various Member States shows four typical situations: some Member States 
(Netherlands, Germany, France) do not use Community appropriations for telecommunications, but rather 
for RTD, to an extent at least equal to the average for Objective 1; others (Spain, Greece, Portugal) have 
adopted the opposite priority, Le. they use a large proportion of appropriations for telecommunications and 
incur RTD investment expenditure below average for Objective I; the other Member States plan to spend 
Community appropriations in both areas, but some (Belgium, Ireland, the United Kingdom) concentrate on 
RTD, with above average expenditure, while their investment in telecommunications is below average for 
Objective 1. Italy is alone in planning above average investment both for RTD and for telecommunications. 
Table 1-6: Objectives 1 and 6 and technological development, 1994-99 (ECU million) 
TOTAL 
% ERDF Structural Fiinrtc 
ESF EAGGFM 
________ Total % Public M-mlrti r State 
Private Total % 
£-___. _________ 77% 3.632.2 1.062.5 -_-_ S.023.7 _______ _____ 1513.5 ______ 64% (5) 
_D-_____i_au---__-__-__. .____. 29% 1.303.0 ______ 00 1.334 JT _________ 1340.9 822.9 2.163.8 34% (5) 
Data transmission (3) 183.7 _•% _____ __Q_: J_- «1-Jt 1%(4) ___. -3-1 10*61 ____! 
TOTAL 11.«73.6 100% S.017.2 1.104.» 328.0 6.4S1.0 54% 4.007.9 2.372.4 ______ 54% 
( 1 ), (2), (3). (4). (5): See notes to Table 1-4 (Chapter I) 
The role of the information society in the SPDs of the Objective 6 regions is particularly important. Sweden 
and Finland take an overall approach to the information society, which leads them not only to devote more 
of the available financing to measures linked to the information society, but also to concentrate their efforts 
on improving the conditions of demand, by improving the technical knowledge of staff, supplying schools 
with the required connections and developing suitable services and applications. The overall priority is 
reflected in measures for the development of information technologies, RTD and education, but also in 
measures to enhance the competitiveness of businesses (by making available new applications and 
information networks) and in measures to correct the isolation of these regions (development of public 
services, health, and regional identity through information technology). 
318 8th Annual Report on tie Structural Funds (1996) 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
INITIATIVES 
TABLE 2.2: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME 
Community . 
Initiatives 
(number of CIPs) 
ADAPTOT) 
Belgium 
FUutders 
Walluniii 
Denmark 
Germany 
Greece 
Spain 
France 
IrtUad 
Italy 
Luxembour]; 
Netherlands 
Austria 
Portugal 
Finland 
United Kingdom 
Great Britain 
Nortliem Ireland 
EMPLOYMENT (17) 
Belgium 
Flanders 
WaUtmia 
Denmark 
Germany 
Spain 
Fraace 
Ireland 
Italy 
Luxembourg 
Nether—nos 
Austria 
Portugal 
Finland 
Sweden 
Liniled Kingdom 
Great Britain 
Northern treUmd 
LEADER (102) 
Denmark 
Germany 
Baden-Wuntemberg 
Lm.tr Saxony 
Bavaria 
Eastern Berlin 
Brandeburg 
Hesse 
Mecklrnhurg-Westem Pomerania 
Nonh rViinc-Westphalia 
RJiincland-Pulaluiale 
Sarrland 
Sajumy 
Saxony-Anhall 
SdilesKit-Holsiein 
Tluaintui 
Networks SF assistance 
(1) 
1,44437 
31.2(1 
14.96 
16.24 
293c: 
228.80 
30.1(1 
256.4(1 
249.7(1 
21.2(1 
190.(1(1 
0.31 
5735 
1137 
21.(XI 
19.7C 
1125 
2X6.6(1 
2833(1 
3.1(1 
1324.13 
32.1C 
1221 
19.89 
1036 
156.8(1 
64.40 
386.6(1 
14630 
76.111 
34*70 
0.3(1 
42.44 
23.01 
40.3(1 
29.15 
20.69 
14630 
134.60 
11.9(1 
13113» 
8.16 
177.43 
5.68 
18.84 
43.05 
024 
1833 
62(1 
1536 
334 
835 
1.82 
18.01 
1536 
6.64 
13.92 
I.IX: Commitments 
1996 
•• .22133 
2531 
12.3(1 
13.20 
24.19 
33.77 
2027 
33.69 
0.0(1 
3.46 
45.60 
025 
0.00 
o.<xi 
17.01 
O.0C 
0.(X1 
18.68 
1539 
279 
.26344 
10.41 
10.41 
0.0(1 
8.95 
2634 
43V 
56.05 
27.31 
21.73 
82.69 
o.(x: 
221 
0.0(1 
3.92 
0.0C 
0.0(1 
18.44 
17.43 
1.02 
25136 
633 
15.89 
0.U1 
0.63 
0.(X1 
0.1X1 
1.62 
031 
0.30 
o.(x: 
().(X1 
0.61 
0.1X1 
3.93 
6.64 
0.66 
I.IX Commitments 
1994-96 
(2) 
522.74 
31.2(1 
14.96 
16.24 
293(1 
76.69 
27.41 
81.79 
46.94 
i 
81.71 
0.3(1 
1131 
1137 
21.0(1 
19.7(1 
11.25 
7217 
69,07 
3.1(1 
.:.:.,-; • .-57231 
32K1 
1221 
19.89 
1036 
49.98 
1262 
114.67 
4938 
2934 
134.16 
0.3C 
6.45 
23.01 
938 
29.15 
20.69 
49.80 
37.90 
11.9C 
72032 
633 
140.46 
5.67 
18.84 
6.08 
0.24 
18.83 
6.2(1 
1536 
334 
835 
1.82 
18.01 
1536 
6.64 
13.92 
UK % 
(2W1) 
36* 
1<X>9 
HX» 
HX» 
HX» 
34* 
91* 
32* 
19* 
35* 
43* 
100* 
20* 
100* 
HX» 
HXr* 
100* 
25* 
24* 
too* 
-•••: '38* 
100* 
100* 
HX» 
100* 
32* 
209 
30* 
34* 
39* 
38* 
100* 
15* 
HX» 
24* 
100* 
100* 
34* 
28* 
1009 
48% 
80* 
79* 
100* 
1(X>* 
14* 
100* 
1009 
1(X)9 
1009 
KXI* 
100* 
100* 
100* 
MX» 
1(X>* 
HX» 
I(X» Payments 
1996 
UM 
631 
3.16 
3.35 
6.20 
17.29 
4.82 
18.7(1 
0.0(1 
4.00 
23.08 
0.06 
0.00 
0.00 
431 
1.21 
0.00 
0.77 
0.0(1 
0.77 
17*33 
520 
5.20 
030 
237 
29.47 
234 
3533 
1537 
1335 
41.91 
(MX) 
1.11 
0.00 
214 
0.(X1 
0.00 
2138 
2127 
0.30 
13331 
1.96 
1425 
0.00 
0.19 
0.0(1 
U.CXI 
6.08 
0.14 
0.08 
(>.(X 
0.(X 
0.18 
0.(X) 
5.02 
J.99 
0.17 
0.4( Payments 
1994-96 
(3) 
.•.23931 
9.36 
4.49 
4.87 
8.85 
38.75 
8.39 
42.75 
23.47 
5.95 
41.13 
0.09 
5.76 
5.79 
6.3(1 
9.85 
5.63 
2732 
2639 
0.93 
::••::•..-32*31 
16.05 
6.11 
9.95 
3.17 
41.04 
635 
64.64 
26.70 
16.95 
67.64 
0.15 
323 
1131 
4.97 
1438 
10.35 
3726 
3131 
5.75 
'. --«632 
1.96 
53.07 
1.7C 
5.65 
3.04 
0.07 
113(1 
1.86 
4.67 
1.06 
237 
035 
S3C 
8.63 
1.99 
4.18 
(>.4< (mi) 
17% 
30* 
30* 
30* 
30* 
179 
28* 
17* 
9* 
28* 
22* 
30* 
10* 
50* 
30* 
5(1* 
50* 
to* 
9* 
30* 
••>•: -2i% 
50* 
so* 
50* 
309 
269 
10* 
179 
18* 
22* 
19* 
50* 
8% 
509 
129 
50* 
50* 
25* 
23* 
489 
18% 
249 
30* 
309 
309 
79 
309 
60* 
309 
30* 
309 
30* 
30* 
30* 
559 
309 
309 
409 
8th Annual Report on the Structural Funds (1996) 319 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
INITIATIVES 
TABLE 2.2: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME (continued) 
Community 
Initiatives 
(number of CIPs) SF 
(1) Commitments 
1996 Commitments 
1994-96 
(2) (2)A1) Payments 
1996 Payments 
1994-96 
(3) (3)/(l) 
Greece 
Spain 
Andalusia 
Aragon 
Asturias 
Balearic Islands 
Canary Islands 
Cantabria 
Castile-La Mancha 
Castile-Lean 
Catalonia 
Extremadura 
Galicia 
La Rioja 
Madrid 
Murcia 
Navarre 
Basque Country 
Valencia 
France 
Alsace 
Aquitaine 
Auvergne 
Lower Normandy 
Burgundy 
Brinany 
Centre 
Champa gne-A rdenne 
Corsica 
Douai. Valenciennes... 
Franche-Comté 
Upper Norm andy 
Languedoc-Roussillon 
Limousin 
Lorraine 
Midi-Pyrénées 
Loire Region 
Poitou-Charentes 
Ptvvence-Alpes-Côte d'Azur 
Rhône-Alpes 
Ireland 
Italy 
Abruzzi 
Busilicatu 
Bolzano 
Calabria 
Campania 
Em ilia -Rom agna 
Friuli-Venezia Giulia 
Lazio 
Liguria 
Lombardy 
Marche 
Molise 
Umbna 
Piedmont 
Apulia 
Sard in in 148.00 
354.79 
68.81 
27.48 
13.00 
3,13 
12.33 
6,41 
41.00 
53.50 
13.62 
24.00 
43.80 
3.68 
3.60 
9.52 
4.81 
2,47 
23.63 
190.00 
3.67 
17.23 
12.78 
10.13 
8.53 
14.09 
6.42 
2.24 
3.05 
2.04 
5.78 
0.82 
14.39 
15.04 
7.44 
22.03 
9.28 
9.83 
12.06 
13.15 
67.92 
288.72 
15.97 
19.55 
4.80 
23.15 
25.82 
6.35 
4.90 
16.34 
3.95 
4.53 
8.45 
9.85 
8.41 
9.25 
26.60 
32.37 0.00 
9.52 
0.47 
3.30 
0.48 
0.06 
0.23 
0.09 
0.45 
0.41 
0.13 
1.56 
0.60 
0,25 
0.24 
0.05 
0.64 
0.16 
0,42 
92.73 
3.22 
2,17 
0.82 
1.01 
1.05 
9.83 
6.42 
2,24 
0.00 
0.79 
0.81 
0.82 
1.44 
0-54 
7.44 
22,03 
9.28 
1.82 
7.84 
13.15 
0,00 
49.29 
9.33 
0.66 
0.54 
0.99 
0.77 
1.05 
1.17 
3-57 
3.95 
4-53 
1.11 
0.27 
1.58 
1.23 
0.54 
0.52 22.56 
121.62 
10.32 
27,48 
13,00 
3.13 
2.07 
1.06 
4.92 
10.00 
2.25 
24.00 
3.50 
3.68 
3.60 
1.79 
4.81 
2.47 
3-54 
188.29 
3.22 
17.23 
12.78 
10.13 
8.52 
14.09 
6.42 
2.24 
3.05 
0.79 
5.78 
0,82 
1439 
15.04 
7.44 
22.03 
9-8 
9,83 
12.06 
13.15 
7.50 
77.91 
15.36 
2.38 
4.80 
6.95 
3.54 
1.74 
1.47 
3.57 
3.95 
4.53 
1.11 
0.27 
1.5X 
1.23 
6.5K 
1,09 15* 
34% 
15% 
100% 
100% 
100% 
17% 
16% 
12% 
19% 
16% 
100% 
8% 
100% 
100% 
19% 
100% 
100% 
15% 
99% 
88% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
39% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
100% 
11% 
27% 
96% 
12% 
100% 
30% 
14% 
27% 
30% 
22% 
100% 
100% 
13% 
3% 
19% 
13% 
25% 
3"* 0.00 
9.83 
0.23 
3.74 
1.45 
0,03 
0.11 
0.04 
0,22 
0.20 
0.06 
2.81 
030 
0.07 
0.07 
0.03 
0.19 
0,05 
0.21 
45.60 
1.61 
3,92 
1.88 
2.74 
1.30 
2.95 
1.93 
0.67 
0.42 
0.24 
0.24 
0.24 
3.42 
1-53 
3.18 
6.61 
4.64 
1.78 
2-35 
3.95 
0.00 
22.30 
4.67 
0.33 
0.16 
0.50 
0.38 
0.53 
0.58 
0.94 
1.61 
1.89 
0.56 
0.13 
0.62 
0.61 
0.27 
0.26 11.28 
44.69 
5.16 
8.24 
3.90 
1.25 
1.04 
0.53 
2.46 
5.00 
1.12 
720 
1.75 
1.10 
1.08 
0.90 
1,44 
0.74 
1.77 
61.13 
1.61 
5.17 
4.02 
3.24 
2.81 
4.23 
1.93 
0.67 
0.97 
0.24 
1.73 
0.24 
4.32 
4.65 
3.18 
6.61 
4.64 
3.31 
3.62 
3.95 
3,75 
36.29 
7.68 
1.19 
2.03 
3.48 
1.77 
0.87 
0.74 
0.94 
1.61 
1.89 
0.56 
0.13 
0.62 
0.61 
3.29 
0.54 8% 
13% 
8% 
30% 
30% 
40% 
8% 
8% 
6% 
9% 
8% 
30% 
4% 
30% 
30% 
9% 
30% 
30% 
7% 
32% 
44%. 
30% 
31% 
32% 
33%. 
30% 
30% 
30% 
32% 
12% 
30% 
30%. 
30% 
31% 
43%. 
30% 
50% 
34% 
30% 
30% 
6% 
13% 
48%. 
6% 
42% 
15% 
7% 
14% 
15% 
6% 
41% 
42% 
7%. 
1% 
7% 
7% 
125 
2% 
320 8th Annual Report on tie Structural Funds (1996) 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
-NITIATIVES 
TABLE 2.2: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME (continued) 
Community 
Initiatives 
(Bomber of CIPs) SF 
(1) Commitments 
1996 1994-96 
(2) Payments 
1996 . 
(2VU) Payments 
1994-96 
O) own 
Sicily 
Tuscany 
Trento 
Valle d'Aosta 
Veneui 
Networks 
Luxembourg 
Netherlands 
Drenthe 
Flevoland 
Noordoost Friesland/hoordwesl Gnmingen 
Noordwe.il Friesland 
Austria 
Lower Austria 
Burgenland 
Carinthia 
Upper Austria 
Salzburg 
Styria 
Tyrol 
Vorarlberg 
Networks 
Finland 
Obj. 5(h) areas 
Obj. a areas 
Sweden 
Obj. 5(b) areas 
Obj. 6 areas 
United Kingdom 
England 
Scotland 
Highlands and Islands 
Northern Ireland 
Wales -3238 
14.81 
224 
0.47 
16.34 
2(X1 
1.01 
8.46 
1.05 
211 
264 
2.65 
233S 
538 
237 
29(1 
4,9.1 
0.8(1 
427 
1.72 
036 
025 
11739 
28.09 
16.15 
11.94 
16.11 
1209 
4.02 
66211 
2535 
8.41 
11.96 
1135 
8.62 
I6.W1 7.23 
0.72 
138 
0.19 
5.98 
20(1 
0.00 
0.00 
0.0(1 
o.(x: 
0.(X! 
0.00 
18.11 
4.47 
0.0(1 
246 
4.48 
0.64 
4.07 
138 
0.36 
025 
4.01 
28.09 
16.15 
11.94 
1337 
10.03 
3.34 
10.03 
3.45 
0.77 
3.12 
1.66 
1.04 
4.09 7.23 
0.72 
138 
0.47 
5.98 
2(X1 
1.01 
8.18 
1.05 
202 
23<: 
2.61 
20.12" 
4.47 
201 
246 
4.48 
0.64 
4.07 
138 
036 
0.25 
10.74 
28.09 
16.15 
11.94 
13.37 
10.03 
334 
662(1 
25.85 
8.41 
11.96 
1135 
8.62 
7.83 229 
5* 
62* 
100* 
37* 
HX» 
HX» 
97* 
HX» 
96* 
95* 
98* 
86* 
80* 
78* 
85* 
91* 
80* 
95* 
80* 
HX» 
100* 
9* 
100* 
HX» 
IK» 
839 
83* 
83* 
lOT» 
HX» 
100* 
1009 
1009 
HX» 
499 3.62 
0.36 
0.41 
0.07 
299 
03(1 
0.(X1 
0.00 
0.(X1 
U.(X1 
0.0(1 
0.0(1 
5.73 
134 
0.27 
0.74 
135 
0.19 
122 
0.41 
0.11 
0.10 
4.85 
8.43 
435 
338 
4.01 
3.01 
1.1X1 
1431 
6.07 
1.89 
245 
237 
203 
134 3.62 
0.36 
0.41 
0.16 
2.99 
0.8(1 
0.41 
245 
032 
o.«: 
0.75 
0.78 
6.06 
1.34 
(1.60 
0.74 
135 
0.19 
1.22 
(1.41 
0.11 
0.1 C 
8.44 
8.43 
4.85 
338 
4.01 
3.01 
MX! 
19.63 
734 
232 
339 
3.13 
284 
4.73 119 
2* 
199 
33* 
189 
409 
409 
299 
309 
299 
289 
29* 
269 
249 
239 
259 
279 
249 
29* 
24* 
30* 
409 
7* 
30* 
30* 
3(» 
25* 
25* 
25* 
30* 
299. 
3(» 
309 
28* 
33* 
309 
nsexxts) 1343*1 SXtM 71 « : 30341 *73q 14% 
309 
139 
89 
99 
89 
309 
17* 
69 
169 
239 
339 
3(» 
129 
16% 
33* 
3<» 
34* 
3(» 
319 
50* 
3(» Belgium 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Netherlands 
Portugal 
Finland 
United Kingdom 20C 
I6.4C 
23.00 
27.1C 
413C 
283(1 
7.84 
34.17 
10.63 
2926 
3.41 
3.97 
37.42 1.67 
934 
1938 
2225 
0.0(1 
932 
6.06 
0.00 
9.34 
2322 
3.41 
3.97 
26.2(1 20(1 
1227 
2321 
26.76 
6.91 
283(1 
7.17 
4.42 
10.49 
27.48 
3.41 
3.97 
3127 100* 
75* 
101* 
999 
17* 
lOt» 
91* 
13* 
999 
949 
100* 
100* 
849 0. 
032 
(MX) 
031 
O.(X) 
8.49 
0.74 
0.1X1 
1.14 
4.46 
1.13 
1.19 
1.94 O.60 
218 
1.92 
236 
3.46 
8.49 
1.3C 
221 
1.72 
639 
1.13 
1.19 
4,48 
tSMEs<35) L00431 18132) 38 %| 88.71) 156.421 
Belgium 
Flanders 
Wallonia 
Denmark 
Germany 
Baden-Wumemberg 
Lower Saxony 12.H1 
269 
9.41 
235 
184.25 
0.85 
4.74 4.61 
269 
1.92 
235 
41.72 
0.85 
4.74 1210 
26V 
9.41 
235 
14292 
(1.85 
4.74 HX» 
IU» 
HX» 
HX» 
789 
HX» 
HX» 1.77| 
0.81 
0.96 
0.77 
26,28 
0.43 
1.42 4.01 
0.81 
321 
0.77 
57.13 
0.43 
1.42 
8th Annual Report on the Structural Funds (1996) 321 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
INHIATIVES 
TABLE 22: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME (continued) 
Initiatives 
(number of CIPs) SF 
1994-96 
(2) am) Payments 
1996 Payments 
1994-96 
(3) <?V(1> 
Bavaria 
Berlin 
Brumhburg 
Bremen 
Hesse 
Ueckienbtag-Western Pomerania 
North Rhine-Westphalia 
Khineumd-faUumate 
Sarrland 
Saxony 
Saxony-Anhalt 
Schleswig-HoLstein 
Thuringia 
Spain 
France 
Corsica 
Nord/fas-de-Calais/Haoumi 
Obj 2 and S(b) areas 
Ireland 
Italy 
_4B£—BlMUrf 
Austria 
Portagal 
Finland 
United Klagdam 
Scotland 
Highlands 
Northern Ireland 
Wales 6.97 
14.61 
14.9(1 
0.97 
1.16 
18.67 
7.92 
232 
134 
43.67 
35.10 
132 
29.0(1 
8333 
251.1(1 
58,49 
3.04 
6.29 
49.17 
28.81 
191.66 
035 
1034 
8.98 
123.98 
11.09 
1721 
20.09 
832 
3.04 
620 
233 0.1X1 
().(K1 
14.9(1 
0.0(1 
0.(X! 
0.37 
0.(X 
232 
134 
1.IW1 
1338 
132 
(MX1 
1832 
35.28 
038 
(MX1 
().(X1 
0.38 
230 
44.73 
025 
0,80 
8.98 
121 
739 
13.04 
035 
0.00 
0.00 
0.0(1 
0.35 6.97 
14.61 
14.90 
0.97 
1.16 
15.02 
7.92 
232 
134 
5.99 
35.1(1 
1.82 
29.0(1 
28.77 
3528 
15.79 
26C 
6.29 
6.91 
28.79 
44.73 
0.25 
1034 
8.98 
14.42 
73V 
13.04 
20.0V 
832 
3.04 
62(1 
233 HX» 
1009 
HX» 
KX» 
HX» 
80* 
HX» 
HX» 
KX» 
149 
HX» 
HX» 
HX» 
359 
149 
27* 
85* 
HX» 
14* 
HX» 
239 
729 
100* 
in» 
12* 
67* 
76* 
HX» 
100* 
1009 
100* 
KX» 0.1X1 
(UK! 
4.47 
0.(XI 
(MX! 
0.11 
0.00 
1.16 
0.77 
245 
1437 
0.91 
0.1X1 
9.16 
17.64 
0.19 
(MX! 
(MX! 
0.19 
0.69 
22.37 
0.08 
0.24 
269 
0.6(1 
222 
3.91 
0.11 
0.00 
0.0(1 
0.0(1 
0.1! 20V 
4.48 
4.47 
0.4V 
0.35 
4.77 
3.96 
1.16 
0.77 
4.64 
1735 
0.91 
9.65 
14.39 
17.64 
4.81 
0.78 
1.89 
215 
8.64 
2237 
0.08 
3.1(1 
269 
7.21 
222 
3.91 
7.45 
269 
0.96 
3.10 
0.70 30* 
31* 
3(» 
5(» 
3(» 
26* 
50* 
50* 
SO* 
119 
5(» 
50* 
33* 
17* 
7* 
8* 
26* 
309 
4* 
30* 
12* 
22* 
3(» 
30* 
6* 
21» 
23* 
37* 
32* 
31* 
5(» 
3<» 
REGIS (6) 30731! «73*1 •-2UM 3*%l 13535) I37.S* 26% 
28* 
v* 
7* 
y)'i 
7* Spain Canary Wands 
France 
Guadeloupe 
French Guiana 
Maninique 
Réunion 
Portugal 216.93 
26638 
6131 
2838 
6032 
11536 
12430 47.44 
5218 
835 
2838 
828 
7.47 
58.34 75.45 
60.94 
8.05 
2838 
8.28 
1624 
803V 35* 
239 
139 
1009 
149 
149 
659 5935 
20.41 
4.02 
832 
4.14 
3.74 
552V 59.85 
24.X0 
4.02 
832 
4.14 
8.12 
72.92 59* 
33% 
509 
SIM 
5<M 
329 
SIM 
SO* 
X'i 
Wi 
5<M 
509 
SIM pCEC—AXOO) 41122] 1193* 2923d 71*J «1331 137J3I 
Belgium 
Cluuelet 
Limburg 
Gcrmaay 
Lower Saxony 
Brandeburg 
North Rhine-Weslpimlia 
Sarrland 
Saxony 
Saxony-Anhalt 
Thmingia 
Spain 
France 
Burgundy • 
Ltuigurdoc-RoussUlan 
Lorraine 15.68 
0.93 
14.75 
158.63 
1.65 
30.25 
66.45 
6.26 
2930 
1922 
5.(X! 
132 
3421 
3334 
134 
1.01 
10.93 o.ix; 
IMX1 
0.0(1 
6260 
(MX! 
30.25 
21.86 
0.1X1 
9.99 
03C 
0,(X! 
0.15 
32.65 
1735 
0.1X1 
0.0C 
0.85 15.68 
0.93 
14.75 
118.48 
1.65 
3025 
29.6C 
436 
29.81 
17.62 
5.1X1 
132 
32.65 
3334 
134 
0.81 
10.93 HX» 
HX» 
HX» 
759 
HX» 
HX» 
45* 
73* 
HX» 
92* 
HX» 
HX» 
95* 
99* 
100* 
80» 
HX» 0.0(1 
(MX! 
0.(X! 
23.18 
0.00 
15.13 
1.67 
1.14 
5.1X1 
0.25 
(MX! 
0.08 
1633 
14.89 
(MX1 
0.4] 
5.47 7.84 
0.47 
738 
49.98 
0.83 
15.13 
534 
2.28 
14.91! 
8.81 
231! 
0.76 
1633 
16.67 
0.77 
0.41 
5.47 
322 8th Annual Report on tie Structural Funds (1996) 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
INITIATIVES 
TABLE 2.2: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME (continued) 
Omunuaity 
Initiatives 
(number of CIPs) Conunitments 
1996 Commitments 
1994-96 
tt) (2WD Payments 
1996 Payments 
1994-96 
(3) (3m) 
Midi-Pyrénées 
Nord/fus-de-Cain is 
Provencr-Alpes-Côle d'Aair 
Rhtme-Aipcs 
Italy 
Sordini)) 
Tuscany 
Austria Styria. Upper Alisiriu 
Portugal 
United Kingdom 
East Midlands 
Eastern Scotland 
North East England 
North West England 
Wales 
Well Midlands 
Western Scotland 
Yorksliire 1.15 
16.89 
1.01 
1.01 
1.68 
0.78 
0.9(1 
1.85 
0.86 
163.25 
4215 
10.IX 
23.46 
6.9C 
20.46 
12.66 
3.1 
4437 0.11 
16.89 
(MXI 
(MX! 
0.1X1 
0.0(1 
0.00 
1.11 
0.0(1 
537 
0.92 
0.1X1 
(MXI 
1.03 
0.1X1 
233 
o.(x: 
1.09 1.15 
16.8V 
1.01 
1.01 
1.68 
0.78 
0.9(1 
1.11 
036 
87.14 
5.16 
lo.txi 
23.46 
6.<x: 
20.46 
1266 
3.04 
5.46 HX» 
KX» 
HX» 
HX» 
KX» 
KX» 
KX» 
60* 
KX» 
53* 
12* 
HX» 
KX» 
KX» 
KX» 
KX» 
HX» 
12* 037| 
8 
(MXI 
0,(X! 
0.45 
(MX) 
0.45 
035 
0.43 
5.72 
0.46 
0.00 
0.1K1 
3.45 
0.0(1 
i.: 
0.0(1 
035 037 
8.44 
031 
031 
0.84 
0.39 
0.45 
035 
0.69 
4337 
238 
5.00 
11.73 
3.45 
10.23 
6.33 
132 
273 50* 
51» 
.V» 
50* 
509 
50* 
5(» 
3(» 
80* 
27* 
6* 
5(» 
S» 
50* 
50* 
50* 
50* 
6* 
KONVER (43) 30231 1333» 371221 74% 93371 182.401 36%l 
Belgium 
Brussels 
Flanders 
Wallonia 
Denmark 
Gen—uiy 
Badeii-Wurtlemberg 
Lower Saxony 
Bavaria 
Berlin 
Branaeburg 
Bremen 
Hambiug 
Hesse 
Mecklenburg-Western Pomerania. 
North Rliine-Westphulia 
Rliinelund-Palatinule 
Saarland 
Saxanx 
Saxony-Anlialt 
Schleswig-Holstein 
Tliunngiit 
France 
Alsace 
Aquitaine 
Auvergne 
Lower Normandy 
Brittany 
Centre 
Cliampagnc-Ardennc 
lle-dr-F ranee 
Languedoc-Roussillim 
Limousin 
Lorraine 
Midi-Pvrénêe.i 
Nord/Pas-de-Cuiais 
Picards 
Pmum-Charenies 11.45 
1.73 
4.81 
4.92 
238 
233.b 
12.67 
12.92 
1267 
11.76 
37.lt 
4.47 
1.24 
1264 
33.69 
14.9(1 
13.91 
124 
25.09 
11.16 
8.94 
19.45 
12.91 
71.02 
4.25 
13.16 
132 
233 
5.16 
4.15 
243 
532 
3.14 
4.05 
1.11 
4.05 
1.11 
9.4: 0.00 
0.0(1 
0.0(1 
0.00 
0.0(1 
89.01 
12.67 
0.(X1 
422 
13C 
37.10 
0.1X1 
0.1X1 
0.22 
0,00 
0.(X1 
4.87 
039 
25.09 
0.00 
275 
0.0(1 
0.0(1 
628 
0.21 
1.3(1 
0.3(1 
O.Od 
0.70 
023 
0.47 
0.78 
0.38 
0.00 
0.1X1 
0.41! 
0.1X1 
1.01 
0.1X1 11.45 
1.73 
4.8(1 
4.92 
238 
219.62 
1267 
12.92 
1267 
11.76 
37.1(1 
4.47 
124 
1264 
19.45 
14.9(1 
13.91 
124 
25.09 
11.16 
8.94 
19.45 
11.48 
711.71: 
4.25 
13.16 
132 
202 
5.16 
4.15 
243 
532 
3.14 
4.05 
1.11 
4.05 
1.11 
y.42 
132 HX» 
HX» 
KX» 
100* 
HX» 
94* 
HX» 
KX» 
KX» 
HX» 
KX» 
HX» 
101» 
100* 
58* 
KX» 
HX» 
KX» 
KX» 
KX» 
101» 
100* 
89* 
100* 
KX» 
KX» 
HX» 
87* 
KX» 
KX» 
KX» 
KX» 
HX» 
KX» 
1(K» 
KX» 
HX» 
KX» 
KX» 0.0(1 
0.1X1 
0.1X1 
O.tX) 
0.0(1 
70.81 
634 
(MX) 
211 
1.99 
1835 
0.00 
037 
539 
9.73 
0.1X1 
5.6(1 
038 
1235 
4.97 
264 
0.0(1 
1MX1 
3.14 
0.11 
0.65 
0,15 
(MXJ 
0.35 
0.12 
024 
0.39 
0.19 
0.1X) 
0.1X1 
0.20 
0.1X1 
1131 
0.1X1 5.73 
0.86 
240 
246 
1.19 
IW35 
6.34 
6.45 
6.34 
5.88 
1835 
224 
0.37 
6.32 
9.73 
7.45 
6.96 
0.62 
1235 
538 
4.47 
9.72 
5.74 
35.13 
213 
638 
0.76 
1.01 
238 
208 
122 
276 
137 
2U2 
' 0.33 
202 
036 
4.71 
0.76 51» 
50* 
50* 
50* 
51» 
47* 
S» 
SO* 
S» 
51» 
51» 
50* 
30* 
51» 
29* 
51» 
51» 
S» 
50* 
5(» 
509 
5(» 
449 
499 
5(» 
5(» 
509 
43* 
51» 
51» 
51» 
St» 
51» 
50* 
31» 
50* 
50* 
SO* 
SI» 
8th Annual Report on the Structural Funds (1996) 323 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
-NITIATIVES 
TABLE 22: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME (continued) 
Community 
Initiatives 
(number of CIPs) SF assistaitce 
(!) Oanmitnteats 
1996 Commitments 
(994-96 
(2) am) Payments 
1996 Payments 
1994-96 
<3» (3V(D 
Provence-Alpes-Côte d'Azur 
Rlume-Alpes 
Italy 
Netherlands 
Portugal 
Sweden Karlskoga. Karlsborg 
United Kingdom A Gibraltar 5.87 
223 
46.09 
12.05 
7.94 
3.35 
101.94 03( 
0.00 
2138 
11.02 
().(X1 
262 
249 537 
223 
2138 
11.02 
7.90 
2.62 
12.48 KX» 
HX» 
47* 
91* 
KX» 
78* 
12* 025 
(MX! 
10.79 
3.31 
(MX! 
0.79 
6.24 2.94 
1.11 
10.79 
3.31 
3.95 
0.7V 
624 51» 
51» 
23* 
27* 
50* 
24* 
6* 
RESIDER (27) 518341 13437} 311371 60» 79391 mw 30% 
48* 
47* 
50* 
27* 
50* 
51» 
50* 
50* 
8* 
36* 
50* 
50* 
50* 
50* 
5* 
47* 
5(» 
50* 
50* 
5(» 
34* 
30* 
34* 
IS* 
46* 
42* 
81» 
4ri* 
43* 
51» 
St» 
35% 
so* 
509 
stw 
249 
SIM 
SI 19 
M 9 
S09 
329 
399 
f,9 
SIM 
4119 
3X9 
129 Belgium 
Clutrierai 
Liege 
Germany 
Lower Saxony 
Bavaria 
Brandeburg 
Bremen 
Nonlt Rliine-Westphaliu 
Sarrland 
Suxony 
Saxony-Anhalt 
Tliuringia 
Spain 
France 
Lower Normandy 
Burgundy 
Lorraine 
Nord/Pas-de-Calais 
Picardy 
Provence-Alpes-Côte d'Aatr 
Rlume-Alpes 
Italy 
Netherlands 
Austria Styria. Lower Austria. Upper Austria 
Portugal 
United Kingdom 
England 
Wales 
Western Scotland 24.43 
11,9(1 
1233 
19277 
17.07 
5.39 
26.24 
3.28 
101,119 
12.9(1 
14.88 
5.<x: 
6.12 
4.69 
73.64 
621(1 
5.13 
1.84 
31.11 
14.35 
231 
5.18 
218 
85.60 
18.10 
534 
6.91 
45.46 
2228 
1296 
1033 (MXI 
(MX! 
tux: 
3636 
226 
0.00 
2624 
(MX; 
3.3(1 
o.ix: 
4.76 
(MX! 
0.0(1 
036 
7.62 
2330 
5.13 
0.01 
338 
1435 
0.00 
0.01! 
0.44 
4275 
0.(X! 
439 
0.0C 
18.98 
18.98 
0.00 
0.00 23.68 
11.15 
1233 
99.05 
17.07 
5.39 
26.24 
3.28 
11.69 
9,39 
14.88 
5.00 
6.12 
4.69 
7.62 
6210 
5.13 
134 
31.11 
1425 
231 
5.18 
218 
42.75 
18.1(1 
4.39 
6.91 
4217 
18.98 
1296 
1023 97* 
949 
HX» 
51* 
HX» 
KX» 
HX» 
100* 
II* 
73* 
KX» 
100* 
100* 
101» 
10* 
100* 
in» 
1009 
101» 
HX» 
101» 
HX» 
101» 
51» 
HX» 
849 
KX» 
93* 
85* 
KX» 
100* 6.27 
(MXI 
627 
20.80 
1.13 
0.00 
13.12 
(MXI 
4.17 
0.1X1 
238 
0.00 
0.00 
028 
3.81 
11.75 
237 
0.1X1 
1.79 
7.18 
(MX) 
0.00 
022 
2138 
1.02 
22(1 
26(1 
9.49 
9,49 
0.1X1 
0.00 11.84 
538 
6.27 
52.04 
833 
27(1 
13.12 
1.64 
8.36 
4.69 
7.. 
250 
3.06 
234 
331 
2930 
237 
0.92 
1535 
7.18 
0.7V 
135 
0.74 
21.38 
8.37 
220 
533 
21.08 
9.49 
6.48 
5.11 
RETEX (21) 6063d 154331 398391 66%l 6731] 2113A 
Belgium 
Flanders 
Wallonia 
Germany 
Baden- Wurttemberg • 
Lower Saxony 
Bavaria' 
Brandeburg 
Hesse' 
North Rhine- Westphalia ' 
Saxony 
Tliuringia 
Greece* 
Spain* 
France* 
Ireland* 4.4C 
1.411 
3.ix: 
70.32 
207 
1.81 
8.81 
3.29 
1.36 
137 
41.85 
936 
8732 
90.39 
28.89 
11.45 1.4C 
1.4(1 
0.1X1 
9.47 
1.84 
0.6C 
0,1X1 
329 
0.(X1 
1.05 
1.36 
132 
5021 
0.00 
0.1X1 
1.15 4.41! 
1.40 
3.00 
32.33 
207 
1.81 
8.81 
3.29 
035 
122 
5.02 
936 
621X1 
3833 
7.04 
8.08 HX» 
KX» 
KX» 
46* 
100* 
100* 
KX» 
HX» 
41» 
78* 
12* 
101» 
71* 
43* 
24* 
71* 0.7(1 
0.70 
(MXI 
839 
0.92 
03(1 
3.78 
1.65 
0.08 
033 
0.68 
0.66 
25.89 
0.00 
(MX! 
0.00 22(1 
0.7(1 
13U 
16.71 
1.03 
0.9C 
4.78 
1.65 
044 
0.61 
231 
4.78 
35.04 
34.16 
3.4 
4.1* 
' CIP adopted in 1993, assis—nee 1993-97. commitments and payments 1993-96 
324 8th Annual Report on tie Structural Funds (1996) 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
-NriTATIVES 
TABLE 22: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME (continued) 
Initiatives 
(number of CIPs) Cnmmlliwnts 
1994-96 
(2) am) Payments 
1996 Payments 
1994-96 
(3) am) 
Italy 
Objective I regions * 
Obj 2 and 5(h) areas * 
Netherlands Twente 
Austria Lower Austria. Styrui and Vorarlberg 
Portugal* 
United Kingdom 
Northern Ireland 
United Kingdom 78.99 
3937 
39.62 
1.01 
259 
194.81 
36.6C 
42C 
32.4(1 0.01! 
(MX! 
0.00 
0.00 
239 
83.45 
6.18 
0.0(1 
6.18 1205 
7.9(1 
4.16 
1.01 
23V 
19431 
36.15 
3,75 
32.4(1 15* 
21» 
109 
HX» 
KX» 
HX» 
999 
899 
1009 0,<X1 
(MX! 
0.1X1 
0.1X1 
1.29 
27.36 
3.97 
(MX! 
3.97 6.03 
3.95 
21» 
031 
1.29 
90.42 
18.07 
138 
16.21 89 
H» 
5* 
51» 
50* 
46* 
49* 
45* 
509 
URBAN (44) 631351 215301 372371 35W 148,111 M6351 24% 
509 
509 
SO* 
51» 
329 
359 
349 
349 
St» 
339 
309 
309 
5(» 
369 
469 
219 
59 
219 
319 
30» 
3<» 
3(» 
32* 
31» 
3t» 
23* 
40* 
6* 
II* 
SO* 
2S* 
24* 
279 
4.3' 
24* 
SIM 
KM 
401 
19'. 
439H 
4«9 
379 
4()9 
41M 
51» 
51» 
41* 
40* Belgium 
Antwerp 
Brussels 
Cluirieroi 
Denmark 
Germany 
Berlin 
Brandeburg 
Bremen 
Chemnitz 
Ouishurg 
Erfun 
Halle 
Magdeburg 
Rostock 
Sarrbrucken 
Spain 
France 
Amiens 
Aulnay-sous-Boii 
LesMureaux 
Lyon-Esl 
Marseille 
Mutliouse 
Rouhaix-Tourcoing 
Valenciennes 
Ireland 
Italy 
Luxembourg 
Netherlands 
Amsterdam 
Tlie Hague 
Austria 
Gr»e 
Vienna 
Portugal Lishtm and Oporui 
Finland Joensuu 
Sweden Muinui 
United Kingdom 
Bimunghum 
Glasgow 
Hackney 
Northern Ireland 
Manciuzster 
North Huywrt. Liverpool Nethenon 
Notungluuu 
Park Royal 10.45 
238 
22(1 
5.66 
132 
97.35 
16.11! 
72(1 
8.1X1 
9.2(1 
8.1C 
1289 
273 
,1238 
1225 
8.0C 
4521 
16260 
55.75 
7.0C 
838 
7.0! 
7.tx: 
731 
7.(X 
7.(X 
4.87 
1532 
117.65 
031 
93(1 
4.65 
4.65 
1336 
339 
9.77 
443V 
3.96 
4.97 
98.84 
8.04 
13.65 
8.04 
16.95 
8.04 
17.3C 
ft.79 
7.65 220 
o.ix: 
22(1 
(MXI 
0.18 
I2IX1 
O.tX! 
(MX! 
o.(x: 
0.00 
129 
0.00 
273 
024 
212 
5.62 
1.11 
33.19 
53.77 
7.00 
8.88 
7.00 
7.011 
7.1X1 
7.0C 
5.42 
4.48 
1.81 
26.36 
0.0C 
0.00 
0.011 
0.0(1 
5.82 
28V 
293 
(MX! 
3.15 
3.14 
7226 
6.43 
9.9V 
6.43 
O.»! 
8.04 
1730 
536 
6.12 10.45 
238 
2.2C 
5.66 
132 
91.0(1 
16.1(1 
720 
8.0(1 
92(1 
8.1(1 
1239 
273 
9.16 
120C 
5.62 
533 
56.04 
53.77 
73C 
838 
7.0C 
7.0C 
7,ix: 
7.rx: 
5.42 
4.48 
131 
2636 
031 
739 
3.67 
422 
1266 
289 
9.77 
9.22 
3.15 
3.14 
89.21 
6.43 
9.99 
6.43 
16.95 
8.04 
17.3C 
536 
6.12 100* 
KX» 
HX» 
HX» 
HX» 
93* 
HX» 
KX» 
KX» 
HX» 
101» 
100% 
1009 
71* 
989 
70* 
129 
34* 
96* 
1009 
100* 
100* 
1009 
HX» 
100* 
77* 
929 
119 
229 
10O9 
859 
799 
919 
959 
819 
HX» 
219 
809 
63* 
91» 
80* 
73* 
W» 
KX» 
HX» 
HX» 
82* 
80* 1.1(1 
(MX! 
l.ll! 
0.1X1 
0.09 
11.27 
3.81 
(MX! 
3.26 
(MXI 
039 
.0.00 
137 
0.12 
033 
1.69 
036 
2268 
17.14 
210 
266 
210 
221 
210 
210 
1.62 
224 
0.91 
13.18 
021 
(MX) 
0.00 
(MX) 
233 
037 
1.47 
(MX) 
137 
0.94 
36.13 
3.21 
4.99 
3.21 
0.1X1 
4.02 
8.65 
278 
3.06 522 
129 
1.1(1 
283 
0.4V 
34,46 
531 
241 
4,1X1 
299 
243 
3.91 
1.37 
438 
538 
1.69 
226 
34.10 
17.14 
2IC 
266 
21(1 
221 
210 
2.10 
1.62 
224 
0.91 
13.18 
0.23 
~237 
l.li: 
127 
5.75 
0.87 
4.89 
4.61 
137 
0.94 
42.98 
321 
4,99 
3.21 
6.85 
4.02 
8.65 
278 
3.06 
' CIP —lop—J in 1993. assis—nee 1993-97. uMimttraents and payments 1993-96 
8th Annual Report on the Structural Funds (1996) 325 
TABLE 2: FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY 
INITIATIVES 
TABLE 22: IMPLEMENTATION BY MEMBER STATE and BY PROGRAMME (continued) 
Community 
Inltln-vts 
(numberof CIPs) (1) 1994-96 
(2) am) Paynatuts 
199436 
(3) am) 
{Sheffield 
Swansea 6.791 
5.61 67* 
5,61 6.791 
5.61 10091 
100*1 3391 
281 33* 
231 509j 
50*1 
lOTc—BSG/PCACE (CO) 3.17034 «473H 13323d «*1 46S0J1 22% 
30* 
29* 
31* 
3(» 
28* 
30* 
31» 
309 
309 
79 
79 
79 
329 
439 
249 
309 
309 
30» 
40» 
309 
30» 
309 
309 
309 
309 
30% 
249 
7* 
199 
749 
209 
239 
249 
3* 
3* 
259 
27» 
47* 
7* 
79 
29% 
29» 
309 
89 
319 
39 
169 
159 
459 
99 
7* 
II» 
13* 
39* 
30* 
09 
17* 
249 
219 
199 Germany/Austria 
GermanyrTnmce/Swiaertand: Upper central and southern Rhine 
Germany/France: RhmelandPalalmale/SarTland/Lorraine 
Germany/Luxembourg: Euregio 
Germany/NeUterUtnds/Belginm: Euregio Meuse-Rliine 
Germany/Netlierlands: Ems-DoUard 
Germany/Netherlands: Euregio 
Germany/Netlierlands: Euregio Rliine-Meuse-Nnrtli 
Germany/Netlierlands: Euregio Rliiiw-Waal 
Germany/Potund/Czecli Republic: Saxony 
Germany/Poland: Brandenburg 
Germany/Poland: Mecklenburg-Western Pomerania 
Germany/Czech Republic: Bavaria 
Germany/Switzerland: Lake Constance 
Austria/Hungary 
AustriafCzedi Republic 
Austria/Slovakia 
Austria/Slovenia 
Belgium/France/Luxembourg: Wullonia-Lorruine-Luxembourg 
Belgium/France: Ardennes 
Belgium/Netherlands: Euregio Scheldemond 
Bdgium/Nctheritmds: Middengebtd 
Denmark/Germany: Fyns Amt/K.E.R-N. 
Denmark/Germany: Stoestr+m/OsthoLruutOMbeck 
Denmark/Germany: South Juuand/Plonungsraum V 
Denmark/Baltic Sea 
Denmark/Sweden 
Spain/Morocco 
Spain/Portugal 
Spain/Portugal (Regen Natural gas) 
Finland/Baltic States: Coastal Southern Finland 
Finland/Russia: Karelia 
Finland/Russia: Soutli-east Finland 
Finland/Sweden/Norway: Nonli Cape 
Finlmd/Sweden/Ntirway: Kvarken and Millskandiu 
Finland/Sweden: Islands 
France/Germany: PAM IN A 
France/Belgium: Nord/Pas-de Calais/Flanders 
France/Belgitau: Walloniu/Nord/Pa.i-de-Calais/Picardy 
France/Spain 
France/lusty: Corsica/Sardinia 
France/Italy: Corsica/Tuscuny 
France/United Kingdom: Upper Normandy. Picardy and East Sussex 
France/Unued Kingdom: Nord/Pas-de-Cuiais/Keni 
France/Switzerland: Franche-Comté 
France/Switzerland: Rlume-Alpes 
Greece/Albania/Bulgaria 
Greece/Italy (Regen Electricity) 
Greece: Completion of energy networks (Regen) 
Ireland/United Kingdom: Nonliem Ireland 
Ireland/United Kingdom: Wales 
Italy/Albania: Apulia 
Italy/France 
lutly/Switttriand 
United Kingdom/Morocco: Gibraltar 
Sweden/FinlanaVNorway/Russia: Barents Sea 
Sweden/Norway: Nordic green bell 
Sweden/Norway: Golhenburg/Boltits/Àlvsborg 
Sweden/Norway: Inner Scandinavia 
PEACE Ireland/Northern Ireland 24.60 
2438 
23.27 
8.04 
35.71 
2247 
22.01 
6.38 
1133 
149.44 
73.49 
63.07 
16.81 
6.91 
11.00 
430 
53C 
9.0C 
30.20 
1245 
11.09 
32.4) 
130 
520 
11.10 
200 
13.0C 
10137 
5520(1 
22030 
638 
1338 
9.63 
1221 
6.62 
4.04 
11.06 
17.99 
7132 
6244 
33.68 
1839 
34.06 
45.10 
7.10 
537 
314.04 
75.77 
183.67 
156.96 
84.64 
8133 
56.97 
20.0(1 
0.71 
10.46 
530 
53d 
43(1 
31X1.1X1 24.6(1 
0.00 
1.00 
(MXI 
0.1X1 
0.(X 
(MX! 
(MX! 
0.0C 
3.08 
(MX! 
0.87 
0.1X! 
205 
0.1X1 
036 
0.64 
3.12 
2623 
12.45 
129 
320 
036 
138 
235 
020 
10.60 
14.08 
165.14 
131.43 
4.04 
1032 
7.69 
8.80 
4.98 
3.65 
0.0(1 
16.91 
10.05 
8.77 
3231 
18.19 
34.06 
6.96 
0.U! 
o.ix: 
38.23 
17.77 
5820 
1.22 
0.9C 
1532 
15.07 
15.65 
034 
6.68 
3.07 
4.45 
3.08 
9536 24.61 
2335 
2327 
8.04 
33.46 
22.47 
22.01 
6.38 
1133 
19.68 
10.08 
8.83 
16.80 
6.90 
830 
43(1 
530 
9.00 
2623 
1245 
11.09 
32.41 
1.8C 
53C 
11.1C 
200 
10.6C 
14.08 
240.19 
19336 
4.04 
1032 
7.69 
830 
4.98 
3.65 
10.09 
16.91 
1035 
8.77 
3231 
18.19 
34.06 
6.96 
7.1(1 
0.60 
6630 
2202 
103.2(1 
28.08 
1131 
1532 
15.07 
15.65 
0.71 
6.68 
3.07 
4.45 
3.08 
126.66 1009 
959 
1009 
10(» 
949 
KX» 
HX» 
HX» 
KX» 
13* 
14» 
14» 
HX» 
KX» 
81» 
HX» 
101» 
KX» 
879 
HX» 
HX» 
HX» 
HX» 
100» 
1«» 
100» 
82» 
14» 
449 
88* 
669 
769 
809 
729 
759 
«» 
919 
949 
149 
149 
979 
989 
KX» 
IS* 
HX» 
11* 
21* 
29* 
56* 
18* 
14* 
19* 
26* 
78* 
100* 
64* 
56* 
819 
689 
42* 738 
0,1X1 
030 
0.00 
(MX! 
(MXI 
(MX! 
0.0(1 
0.00 
134 
0.1X1 
0.43 
(MXI 
035 
(MXI 
0.17 
0.19 
0.93 
12.18 
3.74 
039 
0.96 
0.11 
032 
0.86 
036 
3.18 
7.04 
5921 
118.99 
121 
3.16 
231 
033 
021 
1.1X1 
0.1X1 
8.46 
5.02 
43« 
9.89 
5.46 
1022 
3.48 
(MXI 
(MX) 
34.96 
8.89 
78.06 
0.61 
0.45 
7.76 
733 
732 
021 
0.00 
0.92 
134 
0.92 
41.68 738 
731 
7.18 
241 
10.04 
6,74 
6.6C 
1.91 
3.46 
934 
5.04 
4.41 
5.43 
298 
264 
135 
1.65 
27C 
1218 
3.74 
333 
9.72 
034 
13« 
333 
0.60 
3.18 
734 
10335 
16233 
121 
3.16 
231 
033 
0.21 
1.0Q 
3.03 
8.46 
5.02 
436 
9.8V 
5.46 
1022 
3.48 
222 
0.18 
48.99 
11.01 
8236 
14.04 
5.91 
7.76 
733 
732 
021 
0.00 
0.92 
134 
0.92 
S6.49 
___ ____c 8.78437, 47*| 13132-1 2.7443-T (TOTAL (4151 
326 8th Annual Report on tie Structural Funds (1996) 
TABLE 3: FINANCIAL IMPLEMENTATION 1994-96 OF TRANSITIONAL AND 
INNOVATIVE MEASURES * 
ECU million 
Member State Fund Cornmitments 
Excluding carryovers 
and appropnauo— made Indwling decomnai 
—ii)m»tii and a|-au|»—ion» 
made available again Payments 
Excludiar. uiiywui 
and appropria—— made 
available agam Inclut!inp carryoven 
BELGIUM 
ERDF 
ESF 
EAGGF 
FIFG 
DENMARK 
ERDF 
ESF 
EAGGF 
FIFG 
GERMANY 
ERDF 
ESF 
EAGGF 
FIFG 
GREECE 
ERDF 
ESF 
EAGGF 
FIFG 
SPAIN 
ERDF 
ESF 
EAGGF 
FIFG 
FRANCE 
ERDF 
ESF 
EAGGF 
FIFG 
IRELAND 
ERDF 
ESF 
EAGGF 
FIFG 
ITALY 
ERDF 
ESF 
EAGGF 
FIFG 75.64 
().(X> 
71.42 
3.68 
0.53 
622 
0,20 
1,61 
(MX) 
4_42 
10,18 
239 
3,73 
2.12 
1.74 
34.11 
2.11 
27.77 
036 
3.67 
80.16 
5724 
4,02 
8,09 
10.80 77.05 
0.00 
7232 
3.68 
0.85 
1032 
020 
6.31 
().(X) 
4,42 
17JM 
2.58 
11.50 
2.12 
1.74 
36.45 
211 
30.13 
036 
3,65 
82,46 
5724 
6.38 
8,09 
10,75 
17341 2036 
0.06 
322 
9.98 
4.09 
25.70 
2138 
1.80 
1,65 
0.88 
44.40 
120 
9.41 
30.45 
3,34 0.06 
6.11 
9,98 
4_22 
31,45 
2138 
735 
1.65 
0.88 7924 
6.65 
70.14 
2.14 
0.31 
9.17 
3.30 
4.11 
021 
1.55 
3826 
30.14 
5.84 
130 
0.78 793» 
6.65 
70.42 
214 
0.48 
9.17 
3.30 
4.11 
021 
1.55 
4038 
30.14 
827 
130 
0,78 
3534J 3534 
739 
18.77 
6.48 
2.70 "739 
18.77 
6.48 
2.70 
72-_| 78.11 
50,45 
6.85 
9,43 
5.87 50.45 
1235 
9.43 
5.87 
70251 7138 
31.79 
11.77 
2338 
3.11 
3633 
2233 
8.02 
523 
0.77 
49.481 11624 
120 
15.12 
29.82 
3.34 33.14 
19.1X1 
60.21 
3.89 32.79 
11.77 
2338 
3,25 
3635 
2233 
8.02 
5.23 
077 
11835 
33.14 
21.11 
«).:i 
1 3.K9 
LUXEMBOURG 1 032l i£l\ 0.711 1.16 
ERDF 
ESF 
EAGGF 
FIFG l).(X) 
(1.32 
O.tX) 
O.tX) 
NETHERLANDS 1 6,08 
ERDF 
ESF 
EAGGF 
FIFG 1.06 
1.06 
0.27 
3.69 ().(X)| (MX 
1.621 0.71 
0.00 (MX 
(MX)' (MX 
736 
o,tx 
3.7( 
0.27 
3.69 1433 
10.64 
1.87 
0.44 
1.99 I ().(X) 
! 
O.tX) 
DIX) 
1530 
10.64 
2.43 
0.44 
1 9V 
Budget headings B2-1800, B2-1810, B2-1820, B2-1830. 
8th Annual Report on the Structural Funds (1996) 327 
TABLE 3: FINANCIAL IMPLEMENTATION 1994-96 OF TRANSITIONAL AND 
INNOVATIVE MEASURES (continued) " 
ECU million 
Member State Fund Commitrnents 
Excluding, carryovers 
and appropriations made 
available acain lnuhidmi decon—ùmcnu. 
carryovers and appiopria—<ai 
made available acain Payments 
Eld—Mis' fay—oven 
and anpropr—iocs made 
available again lnct—inr carryovers 
AUSTRIA 
ERDF 
ESF 
EAGGF 
FIFG 
PORTUGAL 
ERDF 
ESF 
EAGGF 
FIFG 
FINLAND 
ERDF 
ESF 
EAGGF 
FIFG 0.63 
0.25 
0.25 
0.13 
(MX) 
79,49 
59.01 
7.60 
7,77 
5,10 
1,96 
025 
0.51 
0,61 
0.59 
SWEDEN 133 
ERDF 
ESF 
EAGGF 
FIFG 
UNITED KINGDOM 
ERDF 
ESF 
EAGGF 
FIFG 
COMMUNITY 
ERDF 
ESF 
EAGGF 
FIFG 
TOTAL 
ERDF 
ESF 
EAGGF 
FIFG 025 
0,40 
0.02 
1.17 
1823 
331 
3.70 
0,70 
10.32 
96,69 
9629 
0.18 
021 
0.01 
498,98 
245.40 
137.W 
6623 
50.35 138 
0.25 
1.00 
0.13 
(MX) 
8038 
58.76 
925 
7.77 
5.10 
273 
0.25 
128 
0,61 
0.59 
3-5 
0.25 
2,41 
0.02 
1.17 
2039 
331 
6.41 
0,70 
1026 
10639 
105.67 
0.17 
0.18 
0.16 
55130 
253,46 
181.46 
6537 
50.81 1-3 034 
038 
038 
0,06 
(MX) 
7859 
62.17 
6.12 
738 
2.72 
L23 
0,61 
0.61 
0.01 
(MX) 
230 
1.12 
1.12 
0.02 
0.14 
2322 
632 
9.62 
2.88 
4.19 
11036 
10739 
2.97 
0.00 
0.00 
690.74 
374.X3 
168.11 
119,78 
28.02 0.00 
0.58 
0.06 
0.00 
79.05 
62.17 
638 
738 
2.72 
032 
0.00 
0.61 
0.01 
0.00 
107 
(MX) 
1.12 
0.02 
0.14 
2322 
6.52 
9.62 
288 
4.19 
11036 
107,69 
297 
(MX) 
(MX) 
70130 
373.62 
179.88 
119.78 
28,33 
•Lignes budgétaires B2-18O0. B2-1810, B2-1820. B2-1830 
Budget headings B2-1800, B2-1810, B2-1820, B2-1830. 
8th Annual Report on the Structural Funds (1996) 33 
2.2. 1996 in the context of programming for 1994-99 
Table 1-7: Objectives 1 and 6 - 1996 in the context of programming for 1994-99 (ECU million) 
Financial; 
Commitments 
%afiman_ng 
Payments 
No of measure**** R 
740.1 * 
229.7 
31* 
1713 
23* 
r .1 I> 
13.680.9 ** 
5.933.1 
43* 
4.564.5 
33* 
IP Fl 
13.844.9" 
6.127.6 
44* 
4.403.1 
32* 
17 . F. 
25.435.9 " 
12987.3 
51* 
9.403.6 
37* 
M F 
2.199,4* 
• 794.6 
36* 
537.9 
24* 
6 IRI. 
5.672.0 " 
2.861.5 
50* 
2.270.4 
40* 
II I 
14.0682" 
5.0633 
36% 
3.481.6 
25* 
79 NI-
150.0* 
420 
28* 
31.5 
21* 
1 A 
165.6* 
33.8 
20* 
27.0 
16* 
1 P 
14.047.5 ** 
7317.4 
54* 
5.698.7 
41* 
17" FIN 
459.9 * 
158.2 
34*. 
826 
18* 
!. s 
252.0* 
56.4 
22* 
31.5 
125 
1 UK 
2.369.4 * 
1.038.2 
44* 
815.9 
34* 
•>. Toi-L. 
93385.7 
423432 
46% 
313193 
34* 
IKS 
' Prueninuned by SPD» 
•• Pmgramawx) by CSF» 
— OP.SPD.GG.MP 
After the first three years of the programming period, the forms of assistance adopted accounted for 
the full amount of financing provided for Objectives 1 and 6 and for each Member State. 
Implementation as a percentage of total assistance is progressing, since almost half the assistance was 
committed and one third paid. 1996 was the best year for implementation since 1994, providing 
further confirmation of the tendency to make up for the time lost at the beginning of the period. 
Commitments are an indicator of the launching of new measures at Community level and on the 
ground; those made in 1996 represented 36% of total commitments made between 1994 and 1996, 
compared with 30% in 1994, and 34% in 1995. Most significantly, payments really began to take off 
in 1996, showing that measures were being carried out on the ground. 1996 accounted for 44% of 
total payments made since 1994, compared with 22% in 1994 and 34% in 1995. However, it must be 
recognised that the slow start in 1994 and also to some extent in 1995 has not yet been fully offset, at 
least in certain Member States. Some countries have already committed the 1997 instalment for 
certain programmes (some German Lander, Greece, Ireland, Portugal, Northern Ireland). However, 
others have been able to commit the 1996 instalment only on the basis of reprogi_mming (Italy, 
France), which cut financing for the first two years to the actual take-up level, and increased financing 
for subsequent years. 
Table 1-8: Objectives 1 and 6 - Implementation 1994 to 1996 (ECU million) 
B 
D 
EL 
E 
F 
IRL 
I 
NL 
A 
P 
FIN 
S 
UK 
_______ _____ 
98,0 
1.869,5 
1.884,6 
3.593,5 
275,2 
725,9 
796,2 
20,0 
0,0 
3.169,8 
0,0 
0,0 
313,7 
12.746.4 Cftmmjtmgntfi 
_____ 
9,0 
2.022,6 
2.653,0 
4.778,9 
222,5 
954,2 
2.228,6 
17,2 
28,8 
1.379,7 
81,0 
44,9 
______ 
14.639.0 1996 
122,7 
2.041,0 
1.590,0 
4.614,8 
297,0 
1.181,3 
2.038,7 
4,8 
5,0 
2.968,0 
77,2 
11,5 
505,9 
15.457,8 ___________ 
229,7 
5.933,1 
6.127,6 
12.987,3 
794,6 
2.861,5 
5.063,5 
42,0 
33,8 
7.517,4 
158,2 
56,4 
1-038.2 
42.843.2 _____ 
50,2 
1.218,1 
1.051,3 
1.797,8 
139,3 
513,2 
379,3 
10,1 
0,0 
1.596,9 
0,0 
. 0,0 
___________ 
6-923,6 Payments 
1995 
29,6 
1.252,0 
1.705,8 
3.772,2 
147,4 
856,5 
1.176,1 
9,6 
14,4 
1.667,2 
40.5 
22,5 
163,8 
10-857,6 1996 
91,8 
2.094,4 
1.646,1 
3.833,6 
251,2 
900,8 
1.926,1 
11,8 
12,6 
2.434,6 
42,1 
9,0 
484,5 
13-738,6 1994.96 
171,5 
4.564-5 
4.403,1 
9.403,6 
537,9 
2.270,4 
3.481,6 
31,5 
27,0 
5.698,7 
82,6 
31-5 
______ 
_______ 

~^3 
CHAPITER Vm-
REGIONAL BREAKDOWN OFPINÀNCIAL IIV_PI__MEOTATION 

8th Annual Report on the Structural Funds (1996) 331 
TABLE 1 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1996 
TABLE 1.1 : COMMITMENTS 
oM-m— 
5<a)(a(r.) *a) Total 
(2) am) 
J___ ___* 3M» »AX] _*__, 453» •nVTMl 13*1 
2J0I 21» 
28* 
20* 
33* 
-J» 2n.8tt 
_____ _4__J_ 
10.59! 15,13 
Mnltneeic-ol 
333» SUg 
E—lofincC-—tBdi -3* 
Weal of tneOreai Bell 
_2__ïï 21*1 
GERMANY ~^*T» _____ 3473» U* 
70* 
17* 
l«* Mo-U—bort-Weac—, Purnaania 
Bnnr-.nliinii 
»* M4.4gl 19* 
14* 
20* 
27* 
26* 
13* 
38* 
36* 
II* 
It* 
25* 
IS* 
28* 
22* 
13* Thunnru £ _____2 
im.mi -12_Q 
S——iwit-Hobuan 
__3_ ___ffl mil 
37.19! W.6fl 
32341 
North Rhinc-Wptm—la _____! 
K.141 
Ï p~*"*r*^_t-Pal_rtimc 
BidetvWttfttephoT 
___r 
6.«tl 5.13 
7V1.4nl 
Sam—«I 
Mnruierional 19K.75 26.M 
CKEECE ___-. «73* :UB7^T 
Anal Sttrc-sfcaiK—a(l) 685.70J 3.3.1 0*1 
Kent Ke DIL M—cdooart __32____ P^ 23* 
10* 
19* Mop, ft Pit Sua-. EU. ai 
Thmalia,s 37S,Xol 71.23 
Krai* v-STJ 
________ 14*1 
15*1 jThn—a<4) 4<M.»I J7M31 
Noon Anaiolikoo Etouu (5) 8*J 
Molurcniw-I VflSUll 12* 
II* 
IV* 
I»* 
25* 
24* 
34* 
28* 
24* 
32* 
22* 
22* 
17* 
29* 
17* 
14* 
21* 
5* 
31* 
lft* 
)ft* [SPAIN 4-B434I »34j •»m\ __*__H 1723» •**«ffl 
—Mik4_M__a 
O.lol 
"_____ Basque Cuonirv 
LaRinia 
Aran» 3X.V»I 3.30-
27.77J 0.41 
l.Sftl 
15.7»! 
VOftl 0.42 
qopl 7133 
4.177.441 
Ccuui and Mclilki 102.571 
Canary —and». 
iMulurerior—I 
(l)ln—jdinithe OPforj 
(2) indndini tbe OPs lor 
(3) lncl—in? tbe Oft. for 
(4) lndudinf. the OPs fur 
(5) Indodinf the OP* lor —oUncnuI Gran—, western Greece and 
Entras and Inc Ionian—an—s 
Tura— and Eastern M_»Ionia 
the uian— in the non—n and soutnon _; Pclono_—e 
332 8th Annual Report on the-Structural Funds (1996) 
TABLE 1 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1996 
TABLE 1.1 : COMMITMENTS (continued) * 
ECUBMIIK-I 
OHKHW 
4 5(a) (ap-J SO*) Total 
Ct) amy 
_-_-_ 4113» ___l_a__l _______ .—3-Ql —»—»! l»*l 
7t* 
2»* 
14* 
3«* 
34* 
18» 
16* 
43» 
34» 
21» 
22* 
22* 
27* 
37* 
IS* 
32* 
21* 
14* 
29» 
16» 
25» 
11» 
13» 
S» 
27* 
II» 
14» 
rt* 
21» 
IS» 
21» 
31» jyrfiqr Ni-nMBdv, 0.82 
Lower Non-iwov L«?L 
PK-rdY 
I9.68J >|giw»Jy 
INotuyp-wie-C—— 
Bn_»v 32.»7l . 1033 «735 
___r_J___«__ 2r>1.46J V—II 
20.119 20.931 
-33 
F——Wi-O—lé 
2I.901 4935 
62.32J 
l43ol I.70! 3833) 7337 
r-wor-An-a. 2623oJ 
L-Bfuedoc-RottattUiit 133«) M37 
______________________ _9_r 
).6nl 28.V8I 5537 
29.491 
Ma—-wc 40JtOJ 
__________ ______ ____L 
28381 _____ ____4 S 5,r>7S.H ____ |l,~i[-|»>~ J-____________ ___________ •^ 1 •I 3631J 1.217.85 
ITALY ______•_] ______ j_!_SL _______ J. -Ml _____ Fimlii-Rr-naea» 
133 
______ __9_ 0.52 3* 
.___* ____ 12* 
26* 
22* 
12» 
34» 
30» -i-t_* 
3.9o[ 
2341 SJtXl 6.7fti 
______ 1331 ____. 56J3 
\Tmxnay 33X.97I ______ 
I7.42[ 6.40J 101.62 
4321 4* 
151.161 1439 10* 
13* 
43* 108301 ___t _t_L__l 
-F Ann— 2534 
Xn.OKJ 
l.3rV9jml 
5aniin_i 
Mnrurcrmnal 
LPXEMBOURC 
Mururcrkmjl 
NETHER-ANPS 
N.nnJ-NoJer—x! 
OnM-Ne-criand 
WcM-Naieriand 
Znid-Nc—rtind 
Mulurrrmnxl 3X38 
____! 
_______ ___*i 
36.6x1 _!____ 66.02 
____s}_ _a 
M37| 
23.371 31C31 10* 
10* 
19* 
»* 
9< 
14* 
IS* 
20* 
2* 
44» 
14* 
8th Annual Report on the Structural Funds (1996) 333 
TABLE 1 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1996 
TABLE 1.1 : COMMITMENTS (continued) 
U—tira—-/ 
Reek* Aaria__—t 
(1) OMec_*e 
1 2 3 4 «a) <aer.) 5(a) 
(l-h-n—) SO») 6 ECU million 
O 1 Total 1 « 1 
1 (2) 1 avtn 1 
—£-_-. 
31734 
212.031 n.4.1 •_>» _3_a _-_-_! >SM1 14* 
8* 
20» 
13» 
19» 
a» 
20» 
20» 
18» 
16» 
21» 
25» 
34» 
21* 
17» 
10* 
11* 
18* 
14» 
100* 
p* 
16» 
0» _!__> 2533 
2131 
J___ -__l 
Mdoieiio—I _____r ï____r 
7I,4S| 75.9* 158.93] 
I9U3I U»J» 
10730] 
Centre 
Lghno and Tatu» Valkv 4263 75301 
A——in 
62i.no! 
369.30J 124.681 J2_,__ 
Malûrertooa) 12.1IW.72 2.3X6.02 J-i-Uj L___ 
FIN—WP -»M»I nj- '343»| _£__! g-a| 42-M[ —a.»» 
I6.0tll 
03-1 Aland I——h 
___________ _4_L 21.32 34.99 5332 77,18 
___*_*•_ 
__L_1. 234.48 
_____! 44J1| ______ -m-B 
•Smihnrl n*— (—_ 1134 
24.no! 1134 -LL_4 
IV-aiyeriec 
19.971 
MeUen—Nop—- IK.00J 
I03.onl OvreNorrlaad 0» 
MntUterirHo) 1.106.4»! 3730J «"- "**. 33/>li ___ __________________ »•»—331 ______ m.o -•••-.awurt IS_3 _____! -S-Sl -TWJI 
117.02! 26» 
33» 
27» Y<—IfwhitT _ad Hu—henidc 109.61 
_4____ 
[Ea-Aat-a >.ool 
South Eaa 97351 __]__ _____ SS» 
10* 
36*. 
29* 
27» 
21* 
27* _______ 
437J ______ 2435 
393.461 
1.1-0391 
____[ _——_ _____ _____! 
385,04 22.941 
•F^ jog 42,93 
______ _i___L 
1395.93 _____! 
Mnlurerional 
CTMMTJNTTV 
hnoTAL 3,071 
________•) 
_________ _l______i 1.076.W» 
2MtM\ t.T96.n> -xrsM _____ 
—-,431 2933 
_______ T-
T-
_______ -51-7 
•ywl ___2j 
___•____ 29*1 
334 8th Annual Report on the Structural Funds (1996) 
TABLE 1 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1996 
TABLE 12 : PAYMENTS 
Mc—ba-Stale/ 
•tartan As——on 
0) Oblrettn 1 
1 2 3 4 *a>(a_T.) *a) 
(n_trit«) SO») « ci Total 
(2) (2WI) 
BELGIUM 1.7«_5¥ 
Brauet. 1 iv.72 •1.77 3»3» 
Flanders J 44S.X2! -! 4,70 
WallonB 1 1.165311 9I_77 
Mnlurermnal 1 13___t J 
DENMARK 753X1 
East of lac Great Bell I 6,96 
Wexl «f the Gnat Bell 
Mulurctiniul 4X.66 . «1*1 
1.50 
: 4537 £.»! 423» 
2.701 . 11.81 
IS.Vw! 27.67Î 0.54) . . 4.64 1*34 
. 
J 7,4*1 2.67! . 26.14.' 16.34 
*" 
2.11 
1.57 
69X.2ol -\ 
CEBMANY 24—«*-*» 
Saarta-dk— 1 X.OO 
Me—kahort-We—an Pi—«ran u ! 1.924.19 
Brand—norr j 2.304.39 
.—tmrv-Anhalt 1 2.46633 
Saxony 1 3.S4S.OS 
Tnuriafia | 2.135.45 
Berlin ' 992.06 
Sen leswir-Hobaero 1 IS6.3X 
Hamhurr ! 44.64 
Lower Sazonv 496.32 
Bremen ! 104,44 
North Rhme-Weanha— 1 902,33 
Hesie 1 1X9.29 
Rhineland-Palaiinair ! 208.15 
B__ovW_—tnherr 1 170.33 
Banna 
.—itaod 791.46 
140.45 
M-MreticmaJ 1 3666.91 rr»Mî| 182.75 
J 
299,17 
• 2X2.02 
360.65 
6IX.47 
339.11 
9432 15.X3 
1.69 48,9* 7,M! : 2137 
J J 
J 
40.9ft! 7ft|t! 22.OT1 
2873») 8,70 
J J 177.34 
j J J 
J J 
J j 
J.J 
-! J J 
. 6.67] J. 
9.57! J 
9.361 J J 
7.19Î 36.90i J 1.42 
J 6,67 
-i 127.11 
J 0.89 
J 237 
] ] 
-1 2.36 
-j 1X.44 
100.771 
GKBXT. 1*-S4».«I 1—«4_««| 
An—Sicre» k_N__(l> | 6X3.7o| I2U4J -4.I61 J 0.12 .. 
338 
. 
. 
. 
50.61! J 7.6x! 
X3X1 -j Mol 
3.—! -J 2.841 
8.101 J 4.9SJ 
8.161 J " I2.19J 
7.3lj J 130I 
134.2s! X.7ol H2.97I 3.XX 
.1 .1 • J 
J J J J 
Kent. Ke DiL M_edonias 1 8323o| 111.!*' -j -j J J J 
Prion. & DiL Ster. Ell. Q) 1 96830l 106.461 J J J J 
Tbm-liaN 1 375.M)j 44,llt! J J 
Krilis I 3123» 46.40 J.J 
IrarouO) 1 40730| 79.6x1 
Thral—<4) ! 494.30J 55.4*' 
Nix>nAi_ofa_guEfcou(S) i 434.3ol 6139! 
MuluetinnaJ 1 9.839.05J 1.019,92 
SPAIN 313144*1 3Xt_C2 
Castile-La Man—. ! 1.301.031 14935 
Gal KXI 
Astun» 2.073341 407.40 
VM.44I 144.78 
Canuhna ' 517.72, 
Basque Country 466.X2 
NanUK j 126.57 
La Rinia ! S632 
Aratim 
Madrid 
Casiik-Leon 
Exn—uunra 3X6. X4 
293.71 159J* 1 
-1 J 
•i 
-! -1 
272.12 
J J N32 
. 
J J J 
73.0oi -1 . J 
-1 -1 
J 30.32! 2036! J 
J J 9.Xl| 
J 3.151 034! J 
J I6.75J id 
-1 383 ll 93x! 
1196.031 3233» -1 J 
1.373,63! 162.56! J -I 
r,.i,.,. ! 704.4 il J 5536! X.8x! 
Vaien—i | 1.64X.9|I 251.44! -| -1 
B-—ncklands i 71.23J -' 2.64! 1,9x1 J 
Andalusia ! 4.177.44 ' 434.34' -1 J 
Mnroa 1 676.191 10n.65i -! -j ' • 
CemaadMe—la 1 102.571 I6.901 -| -j _..,.,_ .: 
r.n—<l_nds i 1.190.16 78.ft7i -i -1 J 
J . 
-
. 
3 • J 
• ... .~T'< 
J 32.74 
. 
. 
. 
. 
. 
J 
J j J 
4 
J 
J 3.47 
. 
0,25 
3,22 
»,14 
0.14 
212^7 
. 
. 
IV37 
36.76 
5.01 
1033 
15.04 
6,78 
118.34 
0,54 
. 
. 
. . 
. 
. 
. 
. 
. 
J 
J 
. 
. 
-
. 
. 
. 
. 
.. 
. 
. 
. 
J J 
J J 
H 
. . 
. 
J 
1243» . 
. 
J J 
J J 
] 
4.67J 21— 
1.10 
9X7 
10.5X 
°i44 
12.1» 
. 
0,09 
12.10 
2213* 
1.69 
10.55 
58.99 
2639 
23.05 2*447 
2.60 
74.61 
154.41 
53.05 
«.71 
2.11 
1.66 
X2.94 
J.WJ1 
)lM 
309.72 
341.02 
386.94 
641.5) 
0.83! 339.94 
5.X0l 122.52 
535| 36.08 
0.37| V.73 
3.04 
336l X531 
1421 
6.76! 197.17 
5.61 
6.76 
7.68 
5.89 
Z67 
47.17 
4343 2937 
31.04 
27 £ 1 
146.94 
30.16 
437,74 
—H»31 
12134 
J 111.14 
J 
J 
. 
. 
. 
43,43 
184.17 
032 106.46 
44.18 
4640 
79.68 
55.48 
6139 
1063.35 
4.C453* 
150.08 
0,30l 407.70 
1.45J 14633 
0.04! 73.10 
0.0$l 5530 
2132J J 0.191 3133 
10.991 J 0.07J 14.45 
533ol -| 3.74J 76.61 
6.I1J J 0.07J S4.07 
•1 -I 0,20l 323,70 
J J 23l| 165.37 
21351 J O.Oftl X5.55 
J J 031 
6.6ft! J 0,03 251.65 
11.31 
J .1 J J 0.23i 434.57 
J J 
J J J 0.03 
j 
J -! J 106.67 
16.90 
59.97| 138.64 
Mnluretmnal ! 12 90V.X?! 16X4.4X !2.K3i 21X.55! 10,02' 2K 7-J 32.741 J J 1144g! 2 101X4 l(« 
13* 
17* 
13* 
40*. 
' 12* 
30* 
3* 
12* 
14» 
21* 
16* 
15* 
16* 
18* 
16* 
12* 
23* 
22* 
17* 
14* 
22* 
16* 
15* 
16* 
19* 
21* 
12* 
12» 
18* 
13* 
11* 
12* 
15* 
20* 
11* 
14* 
11* 
15* 
11* 
20* 
16* 
14* 
12* 
25* 
26* 
20*. 
IX* 
15* 
12* 
12* 
!<* 
If.* 
10* 
16* 
16* 
12* 
16" 
( 1 ) __—mi the OP lor Attica 
(2) lndudin; the (>Ps lor uiotin— tal Greece, western Greece and 
(3) In—idinr the OPs tor Epulis and the Ionian Is—Kk. 
<4) lodudin? the OPs (or Tar—c and -astern Ma——nia 
(5) ln_ndai( the OPs lor the —lands in the northern and soainem the Péloponnèse 
8th Annual Report on the Structural Funds (1996) 335 
TABLE 1 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1996 
TABLE 12 : PAYMENTS (continued) 
Member State/ 
Recton Oht-ctWr 
SXaHajr.) «.) Total 
(2) 
-__- _______ ___4_Jfl I4»| 
Ile-de-France 5J5J 24* 
40* 
13* 
11* 
32* 
21* 
II* 
16* 
23* 
20* 
19* 
22* 
21* 
25* 
IX* 
2X% 
17* 
II* Upper Normandv 
Lower Norma—Jv 14.8W 
Chamr—insc-Aruenne 
____•__. 
12321 
Nwd/Pas-de-C—aIs 65.191 
Briuany 
Loire Rex*» 
Ptmoo-Charenle. 1530 1931 
15331 5338 
1737 
8.09 
24,6x! 2631 
Aaoilainc 
351.7o[ jm 
231.92! 
17,021 Rnnoe-Alpes 2ft2.5o! 9* 
_________________ 16,13 
103T! 3736 19* 
II* 
13* Pmvence-AincvCûte tTAzur 22532J 9.831 
413.281 7*1 
Guadeloupe _____ 6* 
IS* 
12* 
12* 
It* 
16~ 
12» 
_____ 
12* ____r 
206,8v) o.xol 
n__«JB> _____sl 
Muimtiir—_1 5.901,15! 
1TA-Y 1»-P»3»| .1JM.1-I 9538! ;413fl 1133 3135 23823» 
Ea_—-Romaxna 268.67J 
24381 -*m 0.271 
0.6s! 2*1 
1—-hardy X.7SH 
83x| 10361 J2S> 16* 
12*1 ____34J_ 
______ 8,97 
6361 34331 24* 
11*1 17331 
16.08! 
_44___. 
IV.Ttd 
Campania 
1230! Apulia 
I.99! 
132,70! 
_L__£_sl 0.2ftl 
1.56032; I33.301 ixt 
13* 
in 
II» 
12t 
KM LUXEMBOURG _&___ __.il ____. _____ 
Mnloreeional 76,321 
NETHERLANDS _________ _li__l 39391 _____ __-
Noord-Neoer—_ 164.701 1.337J 
I2.O2! ________________ 
iWesi-Neoerland 
Zmd-NederlaixJ 
Muliirctinnal 1,3X9,1 ft! 5,791 
336 8th Annual Report on the Structural Funds (1996) 
TABLE 1 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1996 
TABLE 1.2 : PAYMENTS (continued) 
IMe—ber State/ 
Rrfkw ObtrcQ. 
Urn) (ft.) | 5(a) | 50» 
(n—cries) Total 
(2) J 
AUSTRIA 1.557421 l_6ll 113»l 71.77 
South Ainuu 
West Aouru 
Mulurrnonal 3I734J 12.6|i -! 331 
. 
212.031 -1 10.17 -j 
1x4,53! J I.43J -I 
K4t.32! -' -' 71.771 3.51 
PORTUGAL 14.758,71 i 243*371 
N<«_ 
Centre 
UsN«i-Ta)ru.\ Valley 
Aleacr» 
Azure. 
Mulurrrion.il 541,lol 97.96.' 
362.(X>' X2,KV 
42ft.59| 61,95^ 
182.001 29.0l' . 
J 
-1 J 
J J 
7ft.00J 19.3X1 -1 -| 
621.no1 137.43! •! J 
369.W1 K5.I7; -j -1 
12 1X0,721 1930 M! -1 -
FINLAND —Wt4»| -| 1434! 21,1» 
Manner-Suoni 1 1953ft! -1 -j 
Aland—ands S3» 
2.ftW _' -1 -j -
1.310,45! -! 1434! 21.10' 5.50! 
SWEDEN L—X~»l -1 -1 -1 18.75 
Xtniland med ()ama 
Vastsverire 1134i J -! 
243fll J J ' _ 
Syib—rife j 19.97! J J J J 
MeHersa Ncmiand | IX.OOJ J .1 J -77.13 
. •4»! 3»34 
-1 8.33 
J 16.96 
J J I4,05i 
77.pl O.Kfl! 
. 
. 
. 
-
J 
. 
. 
244» 
2ft,60 .1 
' J 
J 
J J 
. 747 
7.59 
-' 0,08 
273* 
. 
. 
. 
OvreNorrtai«J ! 103.0oi J j J J « 
Mulu-mmal 1 1 lOft.491 J J J IX.7s! 27.86 
UNTTED KINGDOM 9.6—43' 4*43*1 571,4»! 5814»! -J 3441 
North 
Yort—lire and Hinnherudr 
East Midlands 
East Ane— 
South Easi 
Soot» West 
West Mid—Kb 447.60! J 92,44' J J J 
336.121 -j 50.94 
I68.xxl J 223X J J 
-1 J 
60.00! -! J -I -1 
97.85! - 1935! J J 
246,12' -' X.70* J J . J •1 1430 
3.08 
2.83 
-| Z06 
J 6X4 
1»243 Î3I3S 
24.02 
29.95 
1734 
160,04 
233*3» 
J 97.96 
J 
J 
J 
J 
J 102.03 
42,1- 1436 
J 1.57 
J 
42.1-! 12.98 
2244| Ml 
3.371 
J 
j J 
J J 
1 1644 
. 
0.94 
. 
-1 1V37I 9,o:[ 9.90 
*_T*I 7144 J IM.7* 
-i X.73! 
J J J 3.94 
-1 l.lftl -) 334 
-I O.Oftl J 
-I -i -j *M 
J 20.6ll J 
393.461 J 79.171 J -1 J -1 -J -I 4.4X 
NcmhWesi I.IX0.39I 131.Ill 44.V5I J J' J J J J 16.12 
Wate. 
Scot—_ 
Nonhian Ireland 
Gihraiur 
Mururcrnm-
aiMMDNTTY 
TOTAL 3X5.04! J 32,4*' J.J J J 19331 J 4.94. 
902.X41 53.891 219.03* J J J J 17.39! ., 
1.295.93! 299.49i j J J J J J . 9.33 
3,45 
• 5.07! -J 1351 J J J J J J . 
4.M2.74) 0,0]l J $8l_69i 
3.1XA30J -1 -i •[ 34,Oil X37I 4361 -! 48.9S 
-1 -1 -1 -1 4*744 
l3».*174ol I3_X73l! 1311311 I.V90J4! I29.a«l 69*,»» 1 M ,5»l 825.721 51 J- 131332 82.83 
61,95 
29,01 
1938 
137.43 
85,17 
2.022.87 
131.77 
9,16 
0,0* 
122.53 
«9,12 
3.37 
0,94 
84.80 
1J52J5 
101,17 
54.88 
26.79 
0.06 
26.12 
2931 
83.65 
192.18 
56.65 
299,65 
30194 
135 
677.22 
46744 
2*4X4.1 • 15* 
8* 
14* 
10* 
19* 
17* 
IX* 
23* 
15* 
16* 
25* 
22* 
23* 
17* 
»« 
5* 
31 
9* 
7* 
30* 
0*. 
5* 
0* 
0* 
X* 
1** 
23* 
16* 
16* 
0* 
27* 
12* 
21* 
16* 
15* 
33* 
23* 
309!. 
16* 
15* 
IS* 
8th Annual Report on the Structural Funds (1996) 337 
TABLE 2 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1994-96 
TABLE 2.1 : COMMITMENTS 
Reetea _-t-_' 
*•) lap-.) *a) 
(0——to) Total 
(2) 
BELGIUM 1.7413» 
Bntueh 
Flanden. 
Wallooi. 
MultireTitsnal 19.72 
44S.X2 
1.165.51 
131.51 
DENMARK 75342 
East of the Great Belt 
West or the Gre*i Belt 
MuhirerH*u1 6_96 
4X.66 Z2»4»l I4»,»0 
J 5X33 
_29,ft9) K2.37 
J 
-| 5347 
J 9.32 
J 43.7$ 
69X.20I ,> J 
GE—MANY 2034*49 
Sjiarla ih-xm 
Me—lenhorr-Wesiem Pnmerania 
Brandeabvrr 
S_xonv-Aahali 
Saxony 
Tbunntu 
Berlin 
Sthlerwir-Hols—D 
H—r—b—rs 
Lower Saxnnv 8.00 
1.924.19 
2.304.39 
2.46653 
3.S45.05 
2.135.45 
992.06 
I56.3X 
44.64 
496.32 
Bremen | 104.44 
Non- Rhine-Wesffba— ! 90135 
Hesse 1 1X939 
Rhinelano-r——naic ! 208.15 
Baooi-Waraemnert 
Bararia 
San—-I 
Miihirerincial 170.33 
791.46 
140.45 
3.666.91 
GREECE 1434*45 
Anal. Sure» kai N—» (1 ) 
KenL Ke DIL Makeor-_s 
Pdop. A r>L <__.. __. _) 
Thessalias 
Krhis 
hnma<3i 
ThrakisM) 
Niaoo Aaauilikou Ereou (5) 
Moluretirmal 5.9334s! «6532 
944.62! 
X5X.X2! 
X7004! 
1.53038' 
X74.25I 
330.3o! I lft.20 
J 15,61 
4 
-1 43.12 
-1 47.5X 
J 340.41 
J 1637 
•j 23.67 
- J J 
-j 14.18 
J 4839 I»237 163»! 7*33l 243»! 1*43! \ 1434» 
5.7(1 O.jrvl 0.27! J J J V93 
8937 
X__53 
16.77 
1274» 8.*s| 2735! -i 4.74) J <VM 
I.ixj I4,0»| .1 II3x! J X3.74 
5.«ft! ^&-L ^ir50 
133»! «avwl «»37 
J 4 J 
J \ l -i 4 2,00 
13311 J SSJI 
J J «4044 
10.19 
241ft4 
5019X 
X6.XS 
40232 
9,32 
4 J 1.52) 4537 
127.00l 13.0O1 60.75i 69.871 13,5li j 61.791 347.92 
82»4*1 ~32l S143s| 37441 44»,45 
. J -\ J J 
j .! 
-1 
J J -i J 
1 -j s-3,73| »47C — 
J 5.62! 5.62 
4 62.031 1.006.65 
4 137.81 
4 4 J 9633 996,63 
966.37 
J 4 4 J 108.001 1.63837 
-1 J J • J J J V5.93J 970.18 
24,22 
1331 
17.49 J J J J J 42.72! 513.44 
J 0.491 -! 41.131 -J 17.401 98.13 
J O.ft»! J J J 1.24! 19.42 
55.7fii J 10.4l| J 77,39.' J 5732! 243,71 
18.8ll J 0.23 
9844J 4 14.X4 4 -i J 16.72) X3.34 
4 114SI 4 76.97| $4171 
23—Si -J' 9.6f>! J 3*534,' 4 203st 104.90 
14_79 
24,97 
24,98 
19.09 
524.451 -! 474.28 
•32743! 
6X5,70l 301i« . 
83230l 432.93J -j .-j 6.57) - 42371 J 24,78i 112.39 
J 8.63! 
•) 2931 
56.2? 2.03 
431.26 23.04) J 2I3fti 77.90 
215.15! 
-I 3.991 39.92Î 324.03 
183Sl 9235 
37.ft4l j J ÎSO.X»! J 674,74 
-1 -i -j -! J 2SS4si 4-33141 
J 
! ' J, J 
J J -1 30110 
4 43195 
96X30J 3X1371 J J -j -J -1 J • J j «237 
37540) I82.X4! J J .1 J j J J J iR_g4 
312JOJ 14032! -1 J 
4073oj 200,4ll J J J J J J J - .4032 
, J 4 J 
494.30I 219.X4i J J J J j J J 200.41 
2I9.X4 
434.30I IXV.49I -1 -j J -1 -j J • J j 1X9,49 
9X39.051 4.077.12I -1 -i J J -i J J 203.45I 4.2X037 
STAIN 3I314J.I I2i-73_ 
Casdie-U Man—a 
Colicsi 
Asturias 1308.031 656.80 1.03*39 «**3*| IC73» 
2 073.341 1.323,02! 
934.44! 573.171 
C-mahria ! 517.72! 281,Oft| 
BawneOwntry 1 466.X- - 323.01 
Narane I 126371 J 22JS3 
LaRima i $632! 4 1137 
Anwue ! 3X6.841 J 52:X4 
Madrid 
Castile-Lcta 
rjtran—urj 
("aiTilnnh 
Valent— 
Balearic Islands 293.711 J 128.28 
2.I96.03! 1.030.021 -i ' 
J J IO231I S»,72J 334J»I J '57»37| 15*2544 
4 J J J 4.921 661.72 
J J • j J 3.S0I 1.32632 
.1 
-I J 
6232! 
23.771 J 
4.34] J J 
2032! -I 
43.70! J J 
J J 
1.373.63) 511.34' J J J . 
704 41 J 448.16! 46.9l] 4 
1.648.9IJ I.I7239! J -| \i --' J J I3.00J 5X6.17 
-1 4 J 13161 2tt.ll 
4 14.05! J 2.471 401.85 
-i 413X1 J 4,8|l ' 92.78 
-' 19.7l! -j 3,6x1 39.10 
-! 159.37! 4 27.4XJ 260.01 
-! 19.1X1 - 3.60l 194.76 
4 4 J 10,01)1 1040.02 
J J J 24,00) 535.34 
-i 62.44! 4 23$' 559.75 
-I J J 3.541 1.176.13 
71331 -i lO.lftl 12.95! J -' -i 1X3V -1 3,13' 44.5! 
Andalu.— i 4177.441 2.196.171 .1 J J J J J J 10321 2.206.49 
Mtn—i j 676.1vl 297.7l! J J J J J J J l.Tv! 299.50 
Ceou and Meulii 1 M23T| 7ft,49! -j B 
Canary Islands 1 1.190.1ft! $99.xv! -! j J .! J J J 76.49 
J -1 -1 J J 7732! 677.41 
MulumriimaJ 1 1290V.X7I 4 269,011 3V.75Î 452.2o! 167,8fV I024|i 59.72: J J 373,Sfli 5 464 3<* 4** 
52* 
S4* 
41* 
661 
S3* 
134* 
93* 
$0*. 
47* 
70* 
52* 
41* 
39*. 
46* 
45* 
52* 
63* 
43* 
491, 
XO* 
60* 
55* 
54* 
46* 
41* 
66* 
46* 
44» 
44* 
$2* 
39*. 
49* 
45*. 
4<M(. 
44* 
44* 
44* 
51* 
51* 
64* 
Ml 
54* 
861 
73* 
70S 
671 
w.1» 
47'* 
<V<5 
TW'i 
711 
fi?'« 
«IS 
4i'{ 
7VJ 
S7* 
J:1» 
( I ) Indudint the OP 1er At—a 
<2) Inc-idm; the OPs lor continental Crée—, western Greece and t 
(3) induthn? the OPs (or Entras and the Ionian Islands 
(4) ln_odu)£ tot : OPs lor Thrace and Eastern Ma—ifcnu 
(5) indudinj! the OPs (or the islands in the nunaern and south—11 > 
34 8th Annual Report on the Structural Funds (1996) 
Fig. 1-3: Objectives 1 and 6 - Share of each year in implementation 1994 to 1996 
Conwntxnents 
Payments 
lllllillll 
O EL E T KL I NL A F RN S IK EURJS llUlljlli •|~M 
•|~B 
D|~K> 
B DELE F DU. 1 NL A P RN 
Altogether, of the original Member States, appropriations committed represented over 50% of total 
assistance for three (Portugal, Spain, Ireland), over 40% for three (Greece, the United Kingdom, 
Germany), over 30% for three (France, Italy, Belgium) and less than 30% for only one (the 
Netherlands). On the payments side rates of implementation are 40% of assistance for Portugal and 
Ireland, over 30% in four Member States (Spain, Greece, United Kingdom, Germany) and under 25% 
in four (France, Italy, Belgium, the Netherlands). In the new Member States, commitments are well 
advanced in Finland (one third) and represent a quarter of total assistance in Austria and Sweden, 
whereas payments represent less than 20% of total assistance in all three new Member States. 
It is worth stressing that, in general, implementation in 1994-96 of commitments and payments in the 
three Member States that have made most progress (Portugal, Spain, Ireland: ECU 23 366 million in 
commitments and ECU 17 373 million in payments) represented 55% of total commitments and 
payments made between 1994 and 1996. Including in addition financial implementation in Greece, the 
United Kingdom and Germany, the share of the six countries that have made most progress with total 
implementation in 1994-96 is 85% (ECU 36 465 million in cornmitments and ECU 27 156 million in 
payments). In relation to total assistance under Objectives 1 and 6 (ECU 93 086 million), 
commitments in the three Member States that made most progress represented 25% of assistance, and 
payments 19%. Taking the six Member States that made most progress, the share was 39% of 
assistance for commitments and 29% for payments. 
3. Obiective 2 
3.1. Implementation of Objective 2 in 1996 
Formally, 1996 was the last year of implementation for the first phase of programming under 
Objective 2, which is divided into two stages: 1994-96 and 1997-99. In practice and on the ground, 
this was the second year of implementation, since the programmes were adopted with some delay, at 
the end of 1994. The Commission encouraged the various partners to speed up the implementation of 
programmes on the ground, and the effort in this direction enabled sufficient appropriations to be 
committed by the end of 1996 to ensure that transfers to the second stage (1997-99) did not exceed 
11 % of the assistance originally programmed. 
Thus implementation in 19966 largely made up the time lost owing to delays when the programmes 
were launched. Adjustments to programmes under way were very numerous. There were 101 
amendments to the total of 82 programmes, including 76 amendments affecting the amount of 
assistance, such as indexation of sums of money, or transfer to the second phase, 1997-99, of 
assistance that had not been taken up;7 73 programmes were subject to financial reprogramming, some 
of them more than once; and 35 slight adjustments had to be made to the programme content, 
involving the addition, removal or amendment of measures. The programmes of all the Member States 
6 For more details, see Chapter V. Country-by-country survey. 
7 Transfers involved 61 programmes out of 82, or 74% of programmes. 
338 '8th Annual Report on the Structural Funds (1996) 
TABLE 2 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1994-96 
TABLE 2.1 : COMMITMENTS (continued) 
M-_—' S«_U/ 
Htfion A_——act 
0) Oht-rti— 
1 2 3 4 «a) <agr.) «a) 
<n_MT_t) î(b) 6 Cl Total 
(2) * C2V(I) 
7»443 I.T»»^»| . ____ 54.937 47% 
100* 
X7* 
53* 
100* 
69* 
61* 
46* 
67* 
56* 
641 
55* 
75* 
63* 
65* 
501 
60* 
40* 
55* 
S3* 
52* 
66* 
321 
27* 
_____ 
41* 
37* 
_____ 
_____ 
SOI, 
34% 
39* 
56* 
52* 
321 
40* 
»<* 
441 
591 
Vri 
411 
;x-t 
intw 
201 
iw 
yrt 
2K'4 
ill ltc-dc-Francc 
I.Unpcr Normands 161,01 
jjnwtr Norm—rwiv 200,21 
__L 17,28 
F_anlv 14I.12 122.40i 
J_________e___ 
SI.14) fanrruiKrv 
______ 1048 5039; 
Nflnl/r-s-dc -Calais 
i^r ana—v 
1.461 J____£__ 12X.3ftl 
I 245,53 
833ft! 31,13 Î3h 
K.4XI 
Lunoutin 
Aquitaine 
M_i-FVr_u_s I.70J 
62341 
45,77! Rhûnc-Aipej. 262.50! 
__r_____________ 56,111 _L_L. 23.I4I 
I.44I 
______! 
4.79 
14.4ft! 
r 
______ 
_____) 
22.19J Provgncc-AipcyO'wc J Azur 
Corsica 
__________ 
____________ 
MulltrerKinaJ 
ITALY 
£i_l—-Ron—g—, 
Friuli-Vcnei— Giulu 
______ 
Ca______ 
MulnreyMwial 
LUXEMBOURG 
MuHirerKHui 
«HHEIILANDS 
_____________ 
Ou--N__r—KI 
____________ 
_a>J-Ncdcrtai_ 390.661 
«'¥«}• 
193.2V) 
775.33I 
268.67| 
374.X21 
17.82! 
166,lfti 
151.1ftl 
39_ol 98.37J 
113,14j 
51J3J 
270.72J 
0,02! 
24.147J 
2.861,471 
s4-vnj 
275_7l SiVrtt 
21J81 19999! 
________ 
7439i 
19.391 
9.90I 
5.7o! 
4-u.srJ 24«.1.l 
27.77] 
14.9x1 
t3" 
v.ti 
15,52 
153: _F 
___L 
6.6ni 
_____ -! 16241 
•j 138,77! 
-! »»H 
J 90.05| 
_I_________|_ 
433l 
33Ti 
______ 
0.27 
334 
____»!_ 
6.161 ___. 
_____ 
8th Annual Report on the Structural Funds (1996) 339 
TABLE 2 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 199496 
TABLE 2.1 : COMMITMENTS (continued) 
Mo-Mr State / 
R*X~a A-Maacc 
(1) n»|ec-~r 
1 2 3 4 5<a)(aer.) 5(a) 
(l-Wr->) SO,) * a Total 1 % 
(2) avm 
AUSTRIA 1337421 33.7.1 *S5si. 129.7S 
East Amtna 
Soutb Anflna " 
West Auslru 
M-ltnetionaJ 317.541 . 33,7ftl 22.411 
212.03! -J 2232 
184.53| -! 20.62 ÏI.7» 
X43.32I J -i 129.751 11.70 
PORTUGAL 14.751.711 ?3174ll 
North 
Centre 
__—n-Taxus Valley 
Alentei» 
Alrarvc 
A-res 
Madeira 
MalùmioruJ 541. loj 3I7.50J 
362.0ol I97.4S| 
42639! . 200,041 
IXiiml . 108.44 
76.0TT . 4431 
ft21.0ol 37.3.IX 
369.30l . 273.321 
I2IXD.72I 6002,97 
PD—AND L50X4»! 
Mar—cr-Simni 
Aland .lands 
Mnlûrenrma) 195_3cj 4 
2.60I 
1310.4S| 
SWEDEN L2JB.Ï»! 
SmiUa—l med <_n_ 
Vfcttwenrc 
Svdxvrai»e. 
Mel—r—a Nnrrland I.:M| 
24.00 
19.97 
18.00 . 
Ovre Ntorrland 1 103.0ol 
Maltirerirmal I 1.106 4»! 
ITNTTEDKINCDOM «4*2431 J43SJ» 
North 
Yor__ire and rta_—snide 
__lMid__ts 
Eau Anilia 
South Era 
Sooth Wen 
We_M_i_K_ 
North Wesi 
Wale. 
S____J 
Northern Ireland 
Gibraltar 
Malmerm—11 
COMMUNITY 
TOTAL 447.60I 
336.12! 
I68.X8I I-
S242I »£J2 
1 
-S2.42! 95.32 
l»S,7t| 734» 
. 
24.00 . 13744 
137.44 
. 
4 
-24» 
2.00 
J 
4 
\ 
• J 
-j 
J 
234» 
. 114,74 
23.ftfi 114.74 
373»! 40,22 
"I j J 
I5,00j 
IRjOol 
48.7x! 4 . . 
234» 12»4*! -1 (443 
3345 4 16_5 
. 4832 4 9.42 
473» -J 6.86 
. 
--j 5I.X9 
4 -UL31 
J 
4 9.22 
1 J 4 4 
,4 4 
4 4 374.09 
4»48l 158.1 - 904» 
4A.4XJ 4 3.1S 
2-601 J 
23.0T» J ISK.IR! R7.75 
4»,00J 64,»l| 5—«») «4» 
4 11_4| 
4 J J . 
4i 4 41 J ,.,«1 
J 4 -! J 
J J J J J 
4 73,00i 37.50l 40.221 40.f.ol 53.661 56.39 64.95 
24M4(! 24Î14» 
321831 -! W»4tl 4433 
4 J 
306.17! 4 4 
70.09) 4 
6O.O0! • J • J j J 
9745! -! X4491 J 
246.12 
393.46 
1.1X0.39 
3X5,04 
902,84 
1.295.93 
S.07 
4 142_74 
_I*ft_5» 
13».»t7,«» J 28.631 -! J . 20343J 4 5M.K 
27,7S! 4 23.46 
J j 
-! 8,95 4 12-4 
4 10.72 
4 4 8.59I 4 4 
" 4 4 ' J 4 ,235 5»<57 
I06_7 
X0.45 
75.06 
332,78 
74W.T2 
31730 
197.45 
209.26 
108.44 
4431 
373.18 
273.32 
6377.06 
«07,23 
49.63 
Z60 
555.01 
4XS48 
11-4 
24.00 
18.14 
18.00 
48.78 
365.72 
-•05.7» 
374.04 
318,41 
89,77 
839 
97,44 
4 4 554oi 4 J 84,43 
J 374.9ft! J J J j J J |9,09| M4.05 
286.401 333.6»! J -j -j -j 
J IM34I j J 4 J 50.02 - 32-4) 6S2_2 
J 49.98! 25033 
1244- 383.82) 4 4 4 4 38,95 J 65.18 
626-ol 
•j 5.06 J 4 - J 
4 4 
0.11! 4 2.051.80I 4 ioo_4o 4 4 S3_$ 
J 
44„33l I337! 4 227.95 
.1 J. .1 J J J -! J 14N.7S 
4242S4»! —4*4.711 t.l5I44l C3S—ti M8Mll 425.721 -ZIR4s! 2343^ S"»},— 612,78 
680.11 
5.06 
2 438,17 
1440.T3 
*44_tt_ 38* 
33* 
38* 
41* 
39* 
54% 
59* 
55* 
49* 
60* 
59* 
60* 
74* 
52* 
4»« 
25* 
100* 
42* 
31% 
100* 
100* 
91* 
100* 
47* 
33* 
—* 
X4* 
95* 
53* 
14* 
100* 
34* 
100* 
55* 
65* 
68* 
52* 
100* 
59* 
45* 
41* 
340 8th Annual Report on the Structural Funds (1996) 
TABLE 2 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1994-96 
TABLE 22: PAYMENTS 
Ma_ber State/ 
ReeW-Aaihtanr« 
(1) Ohltcth-
1 2 3 4 5<a)(ap-.) 
«tab—tes) 5(b) * a Total 
(2) * 
am) 
JM»i 
njii 
171.54 __a j_a -MS 
5.65! J__9 3»*; 
31* 
32* 
28* 
49* 
33* 
91* 
37* 
32* 
33* 
21* 
38* 
33* 
31* 
36* 
_32* 
28* 
40* 
33* 
30*. 
38* 
35* 
36* 
33* 
27* 
32* 
_____ 
29* 
31* 
41* 
36* 
31* 
35* 
3X* 
39* 
34* 
35* 
29* 
______ 
37* 
471 
Vi* ____£—__. 
___________ ______ ____. *__J _?a 
EaM of the Great Bel! 
10.68! Wcat of the Great Belt 
M—-lexional 
3»| <3*44TT __-. 
GERMANY 2a_4«j» 33*4» ____l _«-»w 
Me——-inrr-W«__rn ftup-w_i 1.924,19 
___S_—___-
.—-a-
Thm-tn 
Benin ___(. 201-3! 
___wr-Ho——m 9.391 
H_nh_y 
UnwrS—tony 3/791 
14,03 
Nenh R-ne-^eap—Uia 
Rh mrt-nl-l-,—matc. 143d 5-4 
6.70J 
1^97J 
I.4Si Ba_—-W_—aahent . 
San——I 
Molurenon-I 51 333.0ftl 105932 
_______ 
A-_S_r_s_p N-UOl ______ 
83-Sol 279-1 
Kg- He D,L Mak—ooias 
96X.50J 
375.X0I r_c-.-Dit.S_r EP (2> 
The—alias 
Kriti« 
]_______ 
Bkr___*l_ ___________*_ 
4073« 
494,30J 
434.30I 
9X39,0$! Nison A—unlikoo Eeeou (5) 
MuWtcrio—tl X9.ll! 
I STAIN 
ICa-Ue _a Man—a 31-14.1* 
1.308.031 »4»34S| <07_1 7440 ___3 __£__ _Sk*?i. 
2.4*1 
L7j[ _____________J 
3.W1 
BaMftie fnuntrv __4 
35,40) _0_._|l_ 
J/t* 27* 
LaRinia I.94! «JO 
3X6.X41 
293,711 13481 
Cam—-Leon 
_to___ara 374,9o| 
13" 
Bale—-khuids 71-31 
Cerna and Me__ 
Canarv Islands 
Muluretiorul X4.55! 
(1) ladadiai the OP (or Attica 
(2) In—adiai tbe OP» tor cuo_wital Grec—. 
(3) la-odint tbe OP» lor Enous and the: lotis 
(4) la-adine the OPs for Thrace and Eauern 
(5) Indedinf the OP» lor the -land* in tbe 1 Gn_ix and tbe Pclono—__ 
Ma——tenia 
a—tioa—_n) 
8th Annual Report on the Structural Funds (1996) 341 
TABLE 2 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1994-96 
TABLE 22: PAYMENTS (continued) 
M—nb— State/ 
-t*_* A_——_ct 
d» Ohkc_ — 
1 2 3 4 «•)(atr.) *•> (fkberl—) a» 6 ci Total I « 
(2) (2V(1) 
-t-MJl Ï j__a ___•__. _______ 2514*1 342-43 _____ 35* lle^ks-France -2_S 7.521 
_______________ 0.831 
32,Ool 67* 
33* 
50* 
49* 
37* 
26* 
29* 
35* 
35* 
33* 
44* 
39* 
39* 
36* 
41* 
25* 
35* 
21* 
32* 
25* 
24* 
17* 
20* 
24* 
26* 
27* 
3»* 
39* 
23* 
27* 
241 
26* 
14* 
13* 
21* 
221 
361. 
21* 
22* 
16* 
13* 
• 47* 
13* UTWP Normandv «40 
Chamnatnc-An—nac 
___—_—. 304: 
11.Mil Tool 
"j g-'6| 2848 
Nord/P-s-dc-Calais 
101-7 
___________ _____) 
),63l Poiino-Q_r_ile\ 
___-53 21,15 
^T 5.90J 
138! Francbe-Co_-
5242 
Aanitàine _____ 14639 
M-i-Pyitne— 351.701 20„2 
29.0ol _____<_ 
4X3o) A___v__r__c 
62.501 ____a Rhône-Aines 3035 
Lan toe— «c-Rou-sUIon ______ 21,95 
IX.IX! 6238 
________________________ ______ 
Cor—_ _____ 
G__—3-ne 
46.0M 
P—u—oc 
Mol—rrioi—I 5.675.1(1 1.560.15 
IRELAND S401J5 231145 
Multn-riona) 5901.151 2.270.3 2311.95 
ITALY __-____J_—_______ _24S_M! 2—47 __&__. j_____i ____ _____ mjU\ 44H42 
____________ 268.671 
_____* L°2l 
____• 1742 _i_2rt 0.30l 
3,04) 
8.31 
2O.O7! ___L 12,00! Fnuli-V———• » Giulia 
93of _____ 
_____ 17.77! 60,11 
—«I _0__l 
0.621 
151.161 l73o! 
0.561 
O.94I 
.301.85! 
Canipggo_ _ 1.353,72! _-_a. 7* 
1.200.001 __1 439) 3.29I 
602.75! 1.19 
3.4X1 16* 
16* 
15* 142.09! 
1.369.X0| 206.7X1 
•—rdinu 14* 
Molurr—or—1 2446 301 
34» 
341 
31* 
271 
251 
161 
_____ 
Mi LUXEMBOURG __2»i »38l <L33l 
_________ NETHERLANDS 
Nuord-Na—r__I 
__________ 
WcM-N__r_i-
|_-d-Nc-a—mI _____ 
93.V4I _______ 
29.9ft) 
30_ftl 
_____ 124* ___5___, 
342 8th Annual Report on the Structural Funds (1996) 
TABLE 2 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1994-96 
TABLE 22: PAYMENTS (continued) 
Member State/ 
R—to» AB__aare 
(I) Ohfcetl*-
1 2 3 4 5<a)<a*r.) 
(IM-rlta) 5(b) * a Total 
(2) * (2W) 
AUSTRIA I-5742! 2741 
East An—ria 
South Au*0— 
We—: Ai»0— 
Muturc-Kmal 317341 27.01 
212.031 
IX4.53J 3341 
7.62 
15.73 
9,67 
X43.32I 4 
PORTUGAL 14.7SI,7l| 54»X4-I 
North 
Centre 
L—hon-Tat as Vallcv 
AJentrm 
Alt—vc 
A_V_ 
Made— 
Mnlunmo—il 541. loi 246.24J 
362.0ol 171.1ft! 
426.591 151.481 
1x2.00) 72.79J 
76:OOJ 38.15J 
621.0o| 3IX.59 
369,toj 20X,97 
12 IXO.72I 4491.26 
FINLAND 130X4»! 
Manner-Snout 
Aland l-ands 195.3ft! 4 1»34» 
. »3* 
4 
lOt.XO.' V.36 
. 
. 
. 
"I J 
2*,7»l 514* 
-1 
2.J 4 4 
Mulurerkmal 1 1310.45! 4 29,7ml 51.2* 
S3*_DEN l_82,7»l 
Sr—idand mc«J (—n_ 
Vansverirc 11_4| 
24.0ol 
Svdsrerirc 1 19.97) 
Mellenia Non—«J | I8.O0I 
OvnrNontand ! 103.00I 31461 363» 
4 J . 
-10741 
« 
107.XX 
. 
4 
. 
. 
J 
12,92 
. 
12,92 
1X.7S 140 
. 
1.00 
. 
4 
. 
• 
4 J 
4 
57311 «.«o 
J . 
57,31 
34.72 
4 4 6.90 
—.00 
. 
X.20I 4 4 4-
5.04I 4 4 4. 
6.16* 4 4 4. 
ix.66i 4 J J 4 
M.lurerion-I 1 I.IO649I 4 4 36.5ol IX.75I 34.77J 12.00 
UNITED KINCDOM ».*«243| 8154») 14»»34J ) 4*0,2.. 
North 1 447.6fl( 4 • l»I_7i 4 7S.74I 20.1» 
4 
Yen—tare __H_nha__: 1 336.121 4 12038 4 4 4-715»! 4 3544 
18,9_ 4 6.83 
303ft! 
29.02! 
4 
-1 
4 ] 
1 •• '•"•_"n 
-j i 4 J 
4 
. 
2341 
2183 
0.7X 
2244 . 2.83 
106 
24.13 
21142 
. 
4.61 
_ 
J 
j 
4 207.01 
•24- 37.77 
4 137 
-r X2.62Î 36.20 
314- 2-81 
3.37! 4 
J 4 39-4» 
6038 
49.11 
40.75 
246.16 
54I03I 
246.24 
171.16 
1S6.09 
72.79 
38.15 
318.59 
208.97 
4 698.27 
302.17 
24.40 
0.78 
276.98 
2M.97 
337 
8.20 
4 -j O.94I 5.98 
•j -1 - 6.16 
J 4 4 
19.271 31,4x1 25,87 
14»4xi 4 2-L2X 
1643I 4 11.73 
. 
_nt Midlands j 168.8x1 4 40.79! J J 4 J 5.13 •1 6.12 
4 5.36 
E-tAnrlia j 6O.O0I -j -j -! -1 -1 -i 4.62J 
Sooth East i 97451 • 4 419T| -) 4 4 -| 4 6-8 
South West 1 246.12J -1 23-01 4 4 4 4 42.43! 4 
WeMMkOands 393.4ft! 4 157.231 4 4 4 4 J 4 935 
North West 
Wales 
Su—md 
Northern Ireland 
G>hr__r 
Moltirrrion—1 
COMMUNITY 
TOTAL 1.1X0.39! 231.57| 124.7ft! -! 4 - -1 J J lfi.12 
3X5.04J 4 76.6»! -j -4 4 . 34.4X! 4 23.05 
901X41 9438,' 308.8ll 4 4 j 
1.295.93! 489,70i 4 4 J 4 
5.07 
4 14174 29.051 - 26.39 
4 4 21.64 
4 4.05! 4 4 J J ,. J 4 
O.Oll 4 1400-6) 4 75.7*' 2fl.lo! 8.3s' 4 10104 
3.IX*3ol 
I39.917.4»! 314»5.72 J .! J .1 -J J J 71134 
3_X83î! -4JÏ7.V.I 317.»ll 1425.77! 22»4*1 IM75* IKl. 2.7443* IX.66 
178.59 
3.7714* 
219.82 
126.70 
Sl_8 
4.62 
49.73 
65.63 
166.78 
37145 
134.23 
458.83 
511.34 
4.05 
160630 
71134 
4531144 2S* 
19* 
23* 
22* 
29* 
4»* 
46* 
47* 
37* 
40* 
50* 
SI* 
571 
39* 
3»* 
121. 
30* 
21* 
17* 
30* 
34* 
30* 
34* 
IX* 
16* 
3»« 
49* 
38* 
30* 
8* 
50* 
27* 
42* 
32* 
35* 
51* 
39* 
so* 
39* 
22* 
33* 
^•N3 
<_HAPTERIX 
MAJORPROJECTS 

8th Annual Report on the Structural Funds (1996) 345 
MAJOR PROJECTS* 
Year of adoption/ 
Member Scale Obj. Total 
cost -RDF 
assistance 
0) National 
public 
contribution Private 
contribution Commitments 
1996 1995-96 
(Ï) % 
(2V(0 _ ECU Million 
Payments 
1996 1995-96 
(>) •/. 
PVU) 
199* 
SPAIS 
Gibraltar-Cordcbi gas pipeline 
Vilenciae-Carttgeiu gas pipeline 
Natural gas facilities in Huelva 1 
1 
1 29S.47 
60.69 
27.40 99.01 
23.81 
7.2S 0.00 
0,00 
0,00 199.46 j 89.81 
36,8S| 23.81 
20.12| 7,28 89.81 
23.81 
7.28 91% 
100*/. 
IvW/. 71.85 
19,05 
5.82 71.85 
19.05 
5,82 75V. 
80V. 
8Cr\ 
1995 
limASU 
Tallaght Hospital (Dublin) 
ITALY 
Port of Cioia Tauro (Calabria) 1 
1 131,33 
120.00 39,37 
40,00 91,96 
0.00 0,001 0.00 
80.0o| 0.00 39,37 
40,00 100*/. 
100V. 0.00 
20.00 31,50 
20,00 80*/, 
SC*i 
* Major projects within the meaning of Article 16(2) of the Coordination Regulation. 

^} 
CHAPTER X 
ERDF an<_ ESF PILOT PROJECTS 
8th Annual Report on the Structural Funds (1996) 35 
except Austria and Sweden, were amended.8 By far the greater number of adaptations resulted from 
the normal course of multi-annual programming: sums of money need to be indexed; content is 
adapted in the light of practical implementation, in particular the needs of the recipients. This does 
not reflect on the way the programmes were designed, as long as the adaptations are not too far-
reaching, which they were not. In general, while the adaptations had to take account of the initial 
delay with commitments, they enabled the lost time to be made up in 1996 and helped to limit the 
transfer of appropriations to the second stage (1997-99). 
The promotion of technological innovation in the areas eligible under Objective 2: 
When programmes were being drawn up for 1994-96, support for technological development in the areas 
eligible under Objective 2 was one of the general priorities, as a basic feature in the productive environment 
of declining industrial regions in the process of conversion. This support was appreciably increased in 
relation to 1989-93, rising from about 9% of Community financing under the CSFs to 17% in the SPDs for 
1994-96. The ERDF accounts for a total of 80% of this financing, and the ESF 20%. In comparison with the 
other Structural Fund Objectives, Objective 2 programmes are characterised by the veiy high priority given 
to RTD, which receives three quarters of Community appropriations. The low share of telecommunications is 
partly due to the fact that these areas have no pressing need for investment in basic services, since they are 
usually well equipped. However, Objective 2 programmes probably do involve expenditure on 
telecommunications and data transmission applications, although such expenditure cannot easily be 
identified in specific measures, since it will usually be spread over other measures of an economic nature. 
Measures involving R TD are resolutely geared to innovation and technology transfer for the benefit of 
businesses. They involve: 
• measures to promote innovation, 
• measures to support technology transfer, 
• measures to support research in firms, especially small firms, 
• the development of labour in activities linked to RTD. 
Expenditure in the field of telecommunications and data transmission applications represents one quarter of 
Community financing; it is shared more or less equally between basic and advanced services. However, it is 
dispersed among other measures, and corresponds to specific initiatives such as the development of a growth 
centre for advanced information technology (France) or regional infrastructure for advanced 
telecommunications (Spain). It is difficult to quantify these initiatives they are scattered over a variety of 
economic development measures. 
Table 1-9: Objective 2 and technological development, 1994-96 (ECU million) 
RTDd) 
Telecommunications (_i 
Data transmission O) 
TOTAL TOTAL 
2.736.6 
56,0 
56,2 
2.849,1 % 
96% 
2% 
2% 
100% Structural Funds 
ERDF 
811,2 
12,7 
21,1 
845,0 ESF 
221.7 
0,0 
0,0 
221,7 Total 
1.032,9 
12,7 
21,1 
1.066,7 % 
97% (A) 
1%(4) 
2% (4) 
37% Member States 
Public 
1.207,0 
16,2 
28.3 
1.251,5 Private 
497,0 
27.2 
6,7 
531,0 Total 
1.704,0 
43,4 
35,0 
1.782,5 % 
96% (5) 
2% (5) 
2% (5) 
63% 
(1 ). (2). (3), (4). (5): See notes to Table 1-4 (Chapter I) 
8 The most numerous changes were those to the Italian and French programmes (29 and 22 respectively). 15 
programmes were amended more than once, i.e. 43% of the adaptations made in 1996: 8 SPDs or OPs were 
amended twice (Liège, Bremen, North Rhine-Westphalia, Aragon, Lazio, Umbria, Veneto, Twente), 3 SPDs 
were amended 3 times (Lower Saxony, Emilia-Romagna, Tuscany), 3 SPDs were amended 4 times 
(Aquitaine, Liguria, Piedmont), and one SPD was amended 6 times (Marche). 

8th Annual Report on the Structural Funds (1996) 349 
PILOT PROJECTS UNDER ARTICLE 10 of the ERDF REGULATION 
Type of project 
Member State /Title /Region Year of 
adoption Total cost 
cost ERDF 
Assistance 
TECHNOLOGICAL NOVATION 
Regional strategies for Innovation (RIS) 
Belgium: Limburg 
Germany: Weser-Ems 
Greece: Western Macedonia 
Spain 
Aragon 
Extremadura 
Galicia 
France: Auvergne 
Ireland: Shannon 
Italy: Calabria 
Austria: Lower Austria 
Portugal: Norte regional technology plan 
United Kingdom: Yorkshire & Humberside 1996 
1996 
1996 
1996 
1996 
1996 
1996 
1996 
1996 
1996 
1995 
1996 0,499 
0,500 
0,400 
0,413 
0,309 
0,490 
0,501 
0,500 
0,500 
0,460 
0,400 
0.544 0,249 
0250 
0^00 
0206 
0,154 
0245 
0250 
0250 
0250 
023lD 
0,200 
0250 
Regional technology plan 
Greece: Central Macedonia 
Spain: Castile-Leôn 
Italy: Abruzzi 1995 
1995 
1995 0,400 
0,400 
0,400 0,200 
0200 
0200 
Transfer of technology 
Casttfle-La Manche/Northem "IMPLACE" project 
Spain: TRANSTEX" project Extremadura 
Italy: "REPORTING'' protect Apulia 1995 
1995 
1995 3251 
2,000 
2JXX) 1,000 
1,000 
1.000 
INPOltMATIQNSQCIETY 
Strategy for the development of the information society (TRISI) 
Germany: Saxony 
Greece: Central Macedonia 
Spain: Valencia 
France: Nord/Pas-de-Calais 
Italy: Piedmont 
United Kingdom: North West England 1995 
1995 
1995 
1995 
1995 
1995 0,866 
0,507 
0,500 
0,497 
0,496 
0.501 0260 
0,254 
0250 
0249 
0248 
0250 
Majtirygiona) Q>ta tranpfl frgipn 
WOLF project (Thessaloniki (EL), Sardinia (I), Galicia (E), Mangualde (P), 
Brandeburg (D), Northern Ireland (UK), Ireland) 19951 12331 0.530 
Strategiv for the development of the 'information society CRIST) 
Germany 
Infosh Schleswig-Holstein 
Bis 2006 Brandeburg 
Ireland: ShIPP Shannon 
Austria: TELEKIS Styria 
Finland: Paraddis Tampere 
Sweden: AC-DIREKT Vasterbotten 
United Kingdom: NiSTRAT North of England 1996 
1996 
1996 
1996 
1996 
1996 
1996 0,500 
0,500 
0,500 
0,577 
0.500 
0,500 
0.500 0,250 
0250 
0250 
0.250 
0250 
0250 
0,250 
NEW SOURCES OF EMPLOYMENT 
Germany 
"SDL" (Regional cooperation network creating new job opportunities for women 
in social services for children, youngs people and disadvantaged persons in run-
areas, Baden-Wurttemberg) 
"Contracting Biiro" (Setting up and running for a pilot period of an office 
providing information and contacts in energy saving) 
Spain 
Italy "ERNE" (Navarre) 
"ALEGRE" (local employment measures, Castile-Leôn) 
"NYEC" (New employment initiatives, Cantabria) 
"NIOVALLES" (New job initiatives, Catalonia) 
"REVOL" (Recycling of large urban waste, Asturias) 
"HOME" (A house for people: new quality for a new comfort, Apulia) 
"PICENUM 2000" (Active employment policy for the district of Ascoli Piceno. 
"SECT" (Education and child-minding, Tuscany) 1996 
1996 
1996 
1996 
1996 
1996 
1996 
1996 
1996 
1996 0.509 
0.632 
1.077 
0.818 
0.877 
0.887 
0.450 
0.800 
0.938 
0.512 0250 
0.316 
0.500 
0,500 
0.500 
0.430 
0.315 
0.470 
0.406 
JL25£ 
350 8th Annual Report on the Structural Funds (1996) 
PILOT PROJECTS UNDER ARTICLE 10 of the ERDF REGULATION (continued) 
Type of project 
Member State /Title /Region Year of 
adoption Total cost 
cost ERDF 
assistance 
SPATIAL PLANNING 
Netherlands 
Flood prevention: "Tungelroyschebeek" 
Flood prevention: "Dalemse sluis" 
Flood prevention: "Woolderbinnenbeek" 
Flood prevention: "Keersluis Haatlandhaven" 
Germany/Netherlands: Flood prevention "Hollandsch-Duitsche gemaal" 1996 
1996 
1996 
1996 
1996 5,900 
5,600 
3,300 
4,800 
11.600 2,950 
2,800 
1,650 
2,400 
4200 
8th Annual Report on the Structural Funds (1996) 351 
PILOT PROJECTS UNDER ARTICLE 6 of the ESF REGULATION 
Typ« of project 
-MtmbcrSatt/Title Year of 
nf-rtnprits-. Total 
miff ESF 
Ni-yc_wTRrarw*TrMWJWMi^^ 
Belgium 
Advice agency for the employment of disabled people 
IGLOO (New forms of partnerships in areas related to housing) 
Trainees from SME's replaced by unemployed 
LEHRMAS (Social economy enterprises in the areas of environment, housing, services and cultural restoration) 
OLA (Training as 'logistic assistant" for hospitals) 
Programme for immigrant families 
GREEN FUTURE (New sources of jobs in environmental activities) 
Incubator with experienced advisers (Business development Centre) 
Germany 
Local network to develop innovative methods of job creation 
TELA-START (Regional data tiansrnission network centres) 
Firm for social intégration in the recycling sector 
Women's Micro-Entreprise Birth and Adoption (Intermediate agency for women apprenticeships) 
Spain 
Assistance for the creation of very small firms by young people 
EVTV - FS (Feasibility study for the creation of health services) 
PROMETEO (Treatment of agriculuiral waste by marginalised youth) 
RESTAURA-NATURA (Local office to promote new jobs in the hotel trade) 
SARELAN (Network for protected employment for the disabled) 
SARELAN (Platform to solve problems of jobs offer and demand) 
SERDOM (Domestic services by nurginalised people) 
New jobs in the Basque Country through teleworking and management training 
France 
Experiments in enterprises to reduce working time 
ARDi-EL (Platform to network competing SMEs) 
CITY SERVICES (Development of neighbourhood services) 
Training in the construction industry for disadvantaged youth 
Pathways to employment 
('Mediation* agents in the area of public transport) 
MERCATOR (Teieworkiing training centre for disabled people) 
PEVERE (Training of youth in environment related professions) 
Job creation in neighbourhood services 
PRESENCE (Job creation in neighbourbood servcies for disadvantaged young people) 
RATP-BN92 (Partnership to develop quality transport) 
Training of disadvantaged groups in construction related trades 
Ireland 
Pathways to Work (Job creation in the areas of childcare, care for the elderly,...) 
RCCN (Training actions in the ain_ounity/ch-d/health care sectors) 
Italy 
Training and creation of employment in urban social firms 
Reinsertion in tbe labourmarket 
European Network of Agency for temporary work (Network of temporary work employment agencies) 
MARE VERDE (Creation of a Sea Agency in tbe harbours) 
Local initiatives for the creation of jobs 
Tekworking in privacy (Multimedia technology in SMEs) 
TRANSFER - COOP (Transfer of management skills between cooperatives) 
Portugal 
Employment, tbe environnent and the economy in integrated development 
PLACE (Network of local partners) 
Finland 
KUOPIO Dance Festival (Job creation for young people in the area of culture) 
RAIN (Network of rural small enterprises and farms using IT) 
YOPORE (NUOTTA) (Network to promote employment related to the environment) 
Sweden 
Creation of local work centres (co-ops with monitor) 
Trans-national Training Project (Training for self-employment) 
United I—ngdooi 
Growth Rural Employment Bureau (Employment service bureau lor very small businesses and individuals) 
Mobility for food wholesale workers (Three country network) 
SME Base Emansion Tbrouph Social Entemri ses (Local consortium to surmon SMEs) ,19% 
1996 
1996 
1996 
1996 
1996 
1996 
1996 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
1996 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
1996 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
19% 
J___ 790.400 
2.145.400 
614.668 
209.891 
875.477 
360.21)0 
1.7I9J02 
864.595 
804.298 
3.112.112 
240.608 
750.800 
326.750 
80.300 
177.812 
1.320.000 
874.062 
1.2(X).(XX) 
1.533.750 
333.625 
1.582-00 
415.000 
5.358.012 
304.000 
1.588.088 
2.785.000 
600.000 
504.571 
350.200 
2.215.900 
3.584.000 
406.200 
365.209 
334.000 
1.507.943 
3.063.125 
1.068.980 
300.00D 
760.120 
3.143-00 
363.200 
881.745 
134.600 
65.517 
698.655 
48Z800 
1.841.268 
1.204.000 
307.700 
39.624 
821,21V 439.500 
1.000.000 
245.900 
157.418 
377. KX) 
273.100 
1.000.000 
586. KX) 
643.400 
1.000.000 
192.500 
600.640 
163.375 
64.240 
15Z812 
750.000 
S00.000 
720.000 
720,(XX> 
266.900 
355.300 
220.300 
MXXI.OOO 
I73.(XX) 
760.0tX) 
788.000 
192.(XX) 
326.200 
265.400 
513.800 
l.(XXMXX) 
I62.4CKI 
276-00 
235.200 
I.000.0CX) 
1.000.000 
642.7<X) 
_XMXX) 
608. KX) 
l.tXX).(XX) 
259.200 
S54.(XX) 
118.100 
51.724 
86.207 
277.200 
l.ttXI.OCK) 
640.800 
149.1IX 
18.750 
______ 
352 8th Annual Report on the Structural Funds (1996) 
PILOT PROJECTS UNDER ARTICLE 6 of the ESF REGULATION (continued) 
Type of project 
McmhfrlSi.tr ffitlf Year of Total 
nfaflnirhfinl rmt EST • 
jsas_u_x. 
rWFO-MATION SOf-RTV. M_n»-_t hv the f_-.ir-T.i-. 
Germany 
Brise (Bremen) 
Greece 
Athens 
Spain 
Essimur (Murcia) 
France 
Teleparc (Midi-Pyrénées) 
Ireland 
Stand (Southwest Ireland) 
Finland 
Nokis (Northern Karelia) 
Sweden 
ITBIekinge (Blekinge) 
United Kingdom 
WliiTWalnl 19% 
19% 
19% 
19% 
19% 
1996 
19% 
____ 5(X>.00() 
5(XMXX) 
440.IXK) 
5IXMXX) 
498.5<X) 
500.000 
500.000 
*>:*» ax) 250.(XX) 
250.000 
220.(XX) 
250.IXX) 
249.450 
250.000 
250.000 
250 (XX) 
Pttiit Mw4iiii-i-.l«—vti—iM-f»«.M»t—-frttwf th-M«—iih—'Cratx 
Belgium 
Developine commercial activities for unqualified and marcinaliscd vounc people) 
Computer recisinuion svstem for the unemployed 
Denmark 
A further education and traininc protect for encineers and technicians 
Germany 
Technolocical and consultancy centre for women in Leipac 
Further education for women (East-German women, esp. in SMEs) 
Social cooperative enterprise with workshops 
Recvclinc from electronic refuse 
Innovative vocational and educational measures for people with a criminal record 
Greater flexibility and individual attention in tbe learomc processes of vocational traininc 
Greece 
Specialisation of encineers in the field of enercv manacement in buildinc and industry 
Study and pilot test for first implementation of occupational health it safety CAT distance leamine 
Seuinc up mobile traininc units at distria and local level 
Implementation of traininc usine multimedia 
Spain 
Vocational traininc for manacers of European funded projects 
France 
Resourcinc operation towards employment, activity and economic development 
Assessment centre for vounc people involved in two local assienments 
Ireland 
Employer resouces initiative 
Employabilitv throucb traininc 
Establishment of accreditation svstem of vocational traininc 
New employment - Arts — Culture 
New work orcanisation in Ireland 
Guidance for vounc people 
Italy 
START (DADO/TNTELFOR) Svstem for adroinistrative transparency throucb data transmission network 
Luxembourg 
Mobile traininc centre 
Netherlands 
Local centre for information exchance 
Portugal 
New model for vocational traininc of vounc people _ recurrent traininc for employees ' 
Development of policy measures for employment and vocational traininc 
Cwiperalives - an alternative source of employment for the over 40s 
United Kingdom 
Virtual traininc (Traininc in electronic manufacturinc industry usine multimedia —chniuues) 
Partnership for improved employment for disabled people 
Traininc vounc people for industry 
Dnve for youth (skills development^ 1994 
1994 
1994 2120838 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 
1994 144737H 
205702 
1830001 
524WX) 
114IXXX) 
944(XX) 
3012000 
607998 
490667 
542667 
430667 
554667 
201281 
1098849 
980916 
383000 
309000 
422000 
12961XX! 
144500(1 
129601X1 
90801X1 
1777188 
2498095 
2MXXX) 
348453 
238373 
2552(XX1 
1175CXX) 
215000 
82S(XX1 355264 
91423 
952044 
1373(101 
3NXXX1 
R55O00 
450000 
1506000 
303999 
368000 
407000 
323000 
416000 
150%1 
494482 
264029 
287000 
232000 
317000 
972(XX) 
1083000 
9721X10 
454(XX) 
888594 
1124143 
195(XX) 
261340 
178780 
127MXXI 
585(XX) 
161000 
37IXXXI 
8th Annual Report on the Structural Funds (1996) 353 
PILOT PROJECTS UNDER ARTICLE 6 of the ESF REGULATION (continued) 
Type of project 
Member State/Title Year of 
of adoption Total 
cost ESF 
assistance 
Belgium 
Integration measures in the social economy 
Pathways of integration evaluation 
Denmark 
EuroCab (Trans-national testing of a training model for the integration of young people) 
Green education and nature care in Storstrom County (environment consciousness training) 
A personal helper for physically disabled people 
Project 'Safe Habour* (training of young unemployed people) 
FR1GG (Training project aiming at recycling and environmental consciousness). 
Internet-pilots (IT for upskilling and improving labour market dynamics) 
Germany 
Apprenticeship corresponding to interests and aptitudes and ensure subsequent completion 
Improving the professional knowledge of employees 'lent* from START Zeitarbeit 
Transmission of "social competence" to young people entering the working world 
Working time system agency 
T O.P • (eco-friendly production methods &. products through training and research) 
Virtual community to assist handicapped people 
Labour exchanges for active job search through self-organisation 
Greece 
Systemic Methodology on the Design and Implementation of Vocational Training 
Development and Vst of Human Resources in Major Projects 
Work card, multi-use employment voucher (Training materials for the use of offenders and ex -offenders ) 
Spain 
Training of local development experts 
Support system to assist 50 firms in the field of exporting 
European University Summer School in Continuing and Vocational Education 
France 
European networks for young artists 
Job creation in the area of sport facilities construction work 
Training, action and reserarch between the Fourth World and the University 
500 jobs in 1995 and 1996 
Ethical saving in solidarity with people exposed to exclusion. 
DIOGENE (Design and construction of timber-frame social housing) 
Ireland 
Tallaght Telemarketing Initiative 
Ans Awareness Intervention 2 
European Computer Driving Licence in Ireland 
Early Years Tutor Training, course development and certification 
Innovative training and development for computer applications in the health services 
Italy 
Arianna (New forms of facilitation in matching job supply and demand) 
CARONTE (improving the operation of the labour market) 
Monitoring and channelling economic events 
JOBN_T (New organisational and administrative models) 
Luxembourg 
Flexmobil (greater flexibility in working hours) 
Netherlands 
Examining the scope for leave of absence arrangements 
Austria 
"Work book" for individuals to assist life-long learning 
Cooperation between local business and training organisations 
Effects on employment of laws and regulations in environmental policy and ecology 
Portugal 
ALICE - (to increase the capacity of local agencies) 
Interactive distance learning for small firms 
Living in a multicultural Europe 
Finland 
Flexibility through 6-hour shifts 
Development of quality of working life and lifelong learning 
Medcn 
SALT - Resource and Development Centre 
A model for directing a company's Competence cevelopment 
Matching competence to action through joining a network 
Healthy and productive workplaces 1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
1995 
199 
199: 
1995 
1995 
1995 
199 
1995 
1995 
1995 
1995 
199. 
1995 
199: 
1995 
1995 
1995 
1995 
199? 
1995 
1995 
199 
1995 
199 
199 1825000 
1090263 
1781160 
2278979 
1224720 
2562527 
1017236 
1527521 
1028837 
1520017 
42000 
546896 
531655 
1994375 
9637S9 
91900 
574580 
478739 
1852772 
338331 
1253402 
2706870 
741000 
449361 
1903847 
282110 
299458 
428500 
551466 
346000 
346150 
847511 
264000 
329655 
166500 
1441949 
97)460 
6796195 
454232 
103291 
3SSS70 
514127 
337800 
504147 
910000 
800000 
571000 
2652100 
550000 
699000 575000 
490263 
801513 
1025540,55 
492950 
338468 
423823 
667038 
439685 
684007,65 
18000 
246104 
345607 
776930 
433705 
68925 
430935 
359054 
1389750 
254123 
564030,9 
993283 
300000 
202212.45 
400000 
126949,5 
134756,1 
321000 
413600 
259500 
259612,5 
635633,25 
1ISS00 
14S344.75 
108225 
576779 
1559196 
204854 
46481 
174992 
385595,25 
253350 
378110 
409500 
360000 
256950 
1193445 
247500 
314550 
354 8th Annual Report on the Structural Funds (1996) 
PILOT PROJECTS UNDER ARTICLE 6 of the ESF REGULATION (continued) 
Type of project 
Member State /Title 
United Kingdom 
Flexibility, choice and quality of life 
Glasgow Works 2 (new and cost-effective ways to use public funds earmarked for unemployment benefit) 
Cyber Café (innovative use of new technology u an information source and training mechanism) 
City Fringe : One thousand Jobs (deliver brokerage services, reduce employers' resistance to employing local people) Year or 
of adoption 
1995 
1995 
1995 
1995 Total 
cost 
212671 
3)6038 
940799 
906 147 ESF 
assistance 
95701,95 
137861 
374152 
405.000 
8th Annual Report on the Structural Funds (1996) 355 
ABBREVIATIONS AND ACRONYMS 
356 8th Annual Report on the Structural Funds (1996) 
Adapt 
CAP 
CEEC 
CEEP 
CES 
CI 
CIP 
CSF 
EAGGF 
Ecos-Ouverture 
ECSC 
EFTA 
EIB 
EIF 
Employment 
ERDF 
ESDP 
ESF 
Europartenariat 
FIFG 
Forcem 
GG 
Horizon 
Interreg 
ISDN 
Konver 
LAG 
Leader 
MP 
NIS 
Now 
OP 
Pacte 
Peace 
Perifra 
Pesca 
Phare 
Rechar 
Recite 
Regen Community Initiative for the adaptation of workers to industrial change 
Common agricultural policy 
Central and eastern European countries 
Centre européen de l'entreprise publique (European Centre for Public Enterprise) 
European confederation of trade unions 
Community Initiative 
Community Initiative programme 
Community support framework 
European Agricultural Guidance and Guarantee Fund 
Cooperation network with central and eastern European cities 
European Coal and Steel Community 
European Free Trade Association 
European Investment Bank 
European Investment Fund 
Community Initiative for the development of human resources 
European Regional Development Fund 
European Spatial Development Perspective 
European Social Fund 
Events to promote contacts between businesses in regions eligible under the 
Structural Funds and businesses elsewhere in the Community and/or non-member 
countries 
Financial Instrument for Fisheries Guidance 
Foundation for continuing training (Spain) 
Global grant 
Community Initiative for the occupational integration of handicapped and 
disadvantaged persons 
Community Initiative for the promotion of cross-border and inter-regional 
cooperation 
Integrated Services Digital Network 
Community Initiative for the conversion of regions dependent on the defence 
sector 
Local action group 
Community Initiative for rural development projects 
Major project 
Newly independent states 
Community Initiative for the occupational integration of women 
Operational programme 
Programme for sharing of experience among local and regional authorities of 
Europe 
Community Initiative for reconciliation and peace in Northern Ireland and in the 
border counties of Ireland 
Action programme for the remoter regions and declining activities 
Community Initiative for the fishing industry 
Programme of aid for the economic conversion of central and eastern European 
countries 
Community Initiative for the conversion of coal-mining areas 
Programme to create networks among the regions and cities of Europe 
Community Initiative for energy networks 
8th Annual Report on the Structural Funds (1996) 357 
Regis 
Résider 
Retex 
R&D 
RIS 
RISI 
RTD 
SMEs 
SME(s) 
SPD 
Stride 
TEN(s) 
UNICE 
Urban 
WHO 
Youthstart Community Initiative for the most remote regions 
Community Initiative for the conversion of steel-rnaking areas 
Community Initiative for the diversification of economic activities in regions 
heavily dependent on the textiles and clothing industry 
Research and development 
Regional Innovation Strategy 
Regional Information Society Initiative 
Research and technological development 
Community Initiative for the adjustment of SMEs to the Single Market 
Small and medium-sized firm(s) 
Single prograrnrning document 
Community Initiative on science and technology for regional innovation and 
development 
Trans-European network(s) 
Union des industries de la Communauté européenne - employers' federation for 
industrial relations 
Community Initiative to assist declining urban areas 
World Health Organisation 
Community Initiative for the occupational integration of young people 
36 Sth Annual Report on the Structural Funds (1996) 
3.2. 1996 in the context of programming for 1994-96 
Table 1-10: Objective 2 -1996 in the context of programming for 1994-96 (ECU million) 
Assistance 1994-96 before transfer» 
Assistance 1994-96 after transfers 
1994-96 More transfers 
Commitments 
*/• of assistance 
Payments 
% of assistance 
" TransrcToTIW4:9«:Tin9»)7:W 
isu ol measures — 
Indicative allocation 1997-99 
Assistance 1997-99 after transfer B 
lt.0.0 " 
133.5 
160.0 
140.6 
105% 
5ll.it 
__ 
j 
180.0 
214.7 UK 
56.(1 * 
54.1 
56.0 
53.1 
98% 
23.7 
44% 
2 7 
2 
65.(1 
67.7 D 
733.0 ' 
703.4 
733.0 
66?.') 
95% 
339.7 
48% 
40.1 
y 
«54.(1 
«94.1 L 
1 130.0 " 
990.2 
1 130.0 
1.036.4 
104% 
6o:.: 
61% 
139.3 
* 1.318.0 
1 4?:.;. r 
1 763.2 ' 
1.5X1.0 
1 763.2 
1 560.2 
99% 
«35.5 
53% 
208.0 
1" 
2059.0 
2.2o7.o 1 
• 684.0 " 
524.(1 
684.0 
514.0 
9X% 
245,1 
47% 
169.7 
II 
798.0 
9677 L 
7.0 " 
5.3 
7.0 
6.0 
113% 
4.3 
«0% 
l.x 
1 
8.0 
9.8 NL 
300.0 ' 
224.1 
300.0 
204.2 
91% 
91.X 
41% 
XO 1 
< 359.1) 
439.1 UK 
2 142.0 * 
2 017.4 
2 142.0 
2060.7 
102% 
1 090.3 
54% 
155.1 
n 
2 5oo.o 
2 655.1 ELR9 
6.975„ 
6.239.7 
6.975.2 
6.241,11 
100% 
3.2X7,5 
53% 
X26.ll 
7; 
X.I 47.11 
X.973.1 A 
1(11.0 Mi 
101.0 
65.5 
65% 
33.0 
33% 
4 FIN 
69.2 *>-> 
55.8 
69.2 
52.4 
94% 
29.8 
53% 
144 
1 
119.1 
133.5 S 
160.0 Ml 
160.0 
105.8 
66% 
38,1 
24% 
S EUrU 
330.: 
JI6Jt 
2.I42.H 
223.7 
71% 
100,9 
32% 
14.4 
119.1 
1335 
• I'rivnimmcd b> S\'l)<. 
(1) I'NJ.W 
(2) I'MJ-"*. 
At the end of the first phase (1994-96), 100% of the adjusted financial allocations to the original 
Member States had been committed, and 53% paid, which corresponded to a rate of commitment of 
the initial assistance of 89% and a rate of payment of 47%. For the new Member States, commitments 
represented 71% of adjusted assistance and payments 32%). For Objective 2 as a whole, 1996 was 
certainly a year of catching up for financial implementation, since the amounts committed in 1996 
represented 41% of commitments for the three-year period, compared with 31% of the total 
committed in 1994 and 27% in 1995. This applies even more to payments, since the appropriations 
paid in 1996 represented 45% of all appropriations between 1994 and 1996, with payments in 1994 
accounting for 29% and those in 1995 for 26%. 
Table 1-11: Objective 2 - Implementation 1994 to 1996 (ECU million) 
B 
DK 
D 
E 
F 
I 
L 
NL 
A 
FIN 
S 
UK 
TOTAL Commitments 
1994 
57,5 
24.3 
248.8 
0.0 
591.3 
300,0 
8.0 
95.9 
0.0 
0.0 
0.0 
731.8 
2.057,6 1995 
4.6 
6,0 
38.0 
659,2 
313,1 
0,0 
-0,5 
9.2 
54.2 
31.1 
105,8 
518.3 
1.738,9 1996 
78,4 
22,8 
379.1 
377,2 
655,8 
214,0 
-1.5 
99.1 
11,4 
21.3 
0.0 
810.6 
2.668,3 1994-96 
140,6 
53,1 
665,9 
1.036,4 
1.560,2 
514,0 
6,0 
204,2 
65,5 
52,4 
105,8 
2.060,7 
6.464,7 Payments 
1994 
17,6 
11,7 
. 124,4 
0,0 
278.2 
150,0 
4.0 
40.2 
0,0 
0.0 
0.0 
365.9 
991,9 1995 
11.8 
8,4 
32.5 
44S,0 
145,1 
0.0 
0.0 
12.3 
21.4 
15.6 
38.1 
153.0 
885,9 1996 
20.7 
3.7 
182.8 
159.3 
412.2 
95.1 
0.3 
39.3 
11.6 
14.2 
0.0 
571.5 
1.510,5 1994-96 
50,0 
23,7 
339,7 
607,2 
835,5 
245,1 
4,3 
91,8 
33,0 
29,8 
38.1 
1.090,3 
3.388,4 
Fig. 1-4: Objective 2 - Share of each year in implementation 1994 to 1996 
Cormitmits l\nn_t_> 
'£-> tf 
ISSN 0254-1475 
COM(97) 526 final 
DOCUMENTS 
EN 05 08 13 
Catalogue number : CB-CO-97-547-EN-C 
ISBN 92-78-26044-4 
Office for Official Publications of the European Communities 
L-2985 Luxembourg 
8th Annual Report on the Structural Funds (1996) _^ 37 
Progress with payments varied from one Member State to another. In two .of the original Member 
States (Luxembourg, Spain), the rate of implementation of adjusted assistance was over 60%, it was 
over 50% in another two Member States (United Kingdom, France) and over 40% in four Member 
States (Germany, Italy, Denmark, the Netherlands). Only in Belgium was the implementation rate for 
payments as a proportion of adjusted assistance below 40%. Of the new Member States, Finland has a 
very good rate of implementation of payments — over 50% in two years —- while rates of payment for 
Austria and Sweden are below 40% (at one third and one quarter respectively), but programming 
covers the period 1995-99. 
The Commission has decided, pursuant to Article 9 of the Framework Regulation, to transfer, by 
means of a formal Commission decision reducing assistance for 1994-96, appropriations not taken up 
by the end of the period 1994-96 to programmes for 1997-99 for the same regions, thus making for 
easier financial management and avoiding overlapping between the two phases of prograjriming for 
Objective 2. The proportion of initial assistance transferred varies considerably from one Member 
State to another. For three of the original Member States (Denmark, Germany, the United Kingdom), 
it stands at between 5% and 7%. In three Member States (Spain, France, Belgium), transfers account 
for less than 20%, with Spain and France at the average level for the nine countries concerned. For a 
further three Member States (Italy, Luxembourg, Netherlands), transfers represent a quarter of the 
initial assistance. For the new Member States, only Finland programmed Objective 2 in two phases 
(1995-96 and 1997-99); it also transferred an appreciable fraction of the appropriations to 1997-99 
(21%). Transfers for the French and Italian programmes alone represented 45% of total Objective 2 
appropriations transferred (while the share of these countries in total assistance is 35%). With the 
addition of the transfers for the Spanish and United Kingdom programmes, the total for these four 
Member States represents 80% of transfers for the ten Member States (which is comparable to the 
share of the four Member States concerned in Objective 2 assistance as a whole). 
3.3. Preparing for the period 1997-99 
In the context of Objective 2, a large part of the year was spent preparing for the second phase of 
programming in 1997-99. In accordance with Article 9 of the Framework Regulation, the Commission 
established the list of regions eligible under Objective 2 for the period 1997-999 in the nine Member 
States concerned10 on 26 July 1996, after receiving a favourable opinion from the Advisory 
Committee on the Development and Conversion of Regions. The list is the same as the one for the 
period 1994-96, with the exception of a few minor changes in Italy, the Netherlands and Spain, where 
the extension of eligibility to certain areas of the Madrid region brought in areas inhabited by a 
further 5 000 people. As this increase was offset by a reduction in Zaragoza, however, the population 
eligible under Objective 2 as a percentage of total population has not changed, and it remains constant 
within each Member State. The overall percentage covered is still 16.4% of total population of the 
Union. Total financing available between 1997 and 1999 is ECU 8 147 million (at 1996 prices), a real 
increase of 13.8% in relation to the period 1994-96, as decided by the Edinburgh European Council. 
On 19 July, the Commission had established the indicative allocation of commitment appropriations 
by Member State for 1997 to 1999.11 
9 Commission Decision 96/472/EC of 26 July 1996, OJ No L 193, 3.8.1996. 
10 The areas eligible under Objective 2 in the three new Member States were defined in 1995 for the period 
1995-99. 
1 « Commission Decision 96/468/EC of 19 July 1996, OJ No L 192, 2.8.1996. 
38 8th Annual Report on the Structural Funds (1996) 
Table 1-12: Indicative allocation by Member State of total financing 1997-99 (ECU million -1996 prices) 
Belgium 
Denmark 
Germany 
Spain 
France 186 
65 
854 
1.318 
2.059 
TOTAL Italy 
Luxembourg 
Netherlands 
United Kingdoi 798 
8 
359 
2.500 
8.147 
B DK D I L NL UK 
On 30 April 1996 the Commission sent the Member States guidelines for preparing new programmes 
for the second phase 1997-99. Job creation was to be the paramount priority in the new programmes, 
and was to be achieved by improving production structures and raising qualification levels in the 
labour force. This general aim should be supported through four priorities: competitiveness and 
development of SMEs, which means paying special attention to locally-generated potential and 
exploiting local potential through local development and employment initiatives; research and 
development and innovation (see, box); environment and sustainable development, targeted especially 
on remedying the damage caused by industry and on exploiting eco-products and environmental 
services; and finally, equal opportunities for men and women, with the central issue of reconciling 
working and family life. 
Promotion of technological innovation: apriority under Objective 2 for 1997-99 
One of the four priorities in the Commission's guidelines for the preparation of programmes for 1997-99 is 
research and development along with innovation. The guidelines stress the importance of R&D in increasing 
competitiveness, and they encourage the regions to seek greater synergy and effectiveness from actions for 
research, development and innovation, and to establish regional innovation and technological development 
strategies. Specifically, the Commission urges that programmes should aim at taking advantage of certain 
factors: 
• better use should be made of those facilities which already exist in the area for industrial research: such 
facilities are usually already in place in Objective 2 areas, and they provide a basis for improving co­
operation between firms and research institutes in areas such as production processes, the introduction of 
advanced technologies and new product development; 
• priority should be given to the practical application of research results and the transfer of technological 
innovations to local business and industry; 
• innovation should be encouraged, not only in terms of technology but also, since it underpins the 
emergence of new sectors of economic activity, in terms of human and organisational factors, especially in 
relation to the capacity of firms to absorb technology and their access to information regarding customer 
needs for new products and services; 
• the emphasis in small firms should be on practical ICT applications services within firms, and measures to 
raise awareness, disseminate best practices and improve information services, and set up co-operation 
networks between firms for the transmission of data; 
• training of workers should concentrate on specific measures to encourage adjustment and raise awareness 
of the new technological environment with special reference to the increasing links between service sector 
activities and industrial production. 
Initial information available on the programmes prepared by the Member States in the last quarter of 1996 
indicates that the RTD effort has been substantially increased, rising to over 18% of Community financing for 
the period 1997-99. 
The Commission guidelines also highlight a number of ways in which the content and quality of 
conversion plans and programming documents for 1997-99 might be improved. They involve 
improved application of the principles of partnership and additionality, and the use of appropriately 
quantified impact indicators, especially as regards job creation. 
Most of the Member States' conversion plans were presented to the Commission in August and 
September 1996; after prior appraisal, the preparation of SPDs began in October and lasted until early 
1997. 
8th Annual Report on the Structural Funds (1996) 39 
4. Objectives 3 and 4 
4.1. Implementation of Objectives 3 and 4 in 1996 
1995 was not a full year of implementation for Objective 3 because the CSFs and SPDs of the three 
new Member States were adopted in the course of the year; in 1996, however, all the programmes 
were established and implemented. Although there was still some concern about the low level of 
commitments in certain Member States, the implementation of Objective 3 was encouraging.12 In 
most of the Member States, the initial stage of implementation enabled the programmes to gather 
momentum and structures and aims were established. The advertising effort was a significant factor 
here. Moreover, all the programmes were successful, to a varying extent, in achieving concentration 
of Objective 3 measures on the most disadvantaged groups. In all the Member States, the notion of 
"integration pathways" was reflected in practical measures. The results clearly show that integrated 
projects providing a wide range of aid, such as back-up, counselling and periods of work experience, 
attract much more attention than individual training measures. 
Measures under Objective 4 really got under way in late 1995 and early 1996, with a few exceptions 
(Spain, Ireland, Luxembourg and Finland, where the level of implementation was fairly high in 1995). 
The CSF for Belgium and the SPDs for Denmark, Germany, France, and Luxembourg, which had 
been approved for 1994-96, were extended until 1999. The programming documents of the other 
Member States (Spain, Italy, the Netherlands) had been approved in 1994 for the entire period 1994-
99. The SPDs for Austria and Finland, approved in July 1995, and that for Sweden, approved in 
February 1996, also cover the period to 1999. 
A progress report on the implementation of Objective 4 and Adapt13 was sent at the end of 1996 to the 
Council, the European Parliament, the Economic and Social Committee and the Committee of the 
Regions. According to that report, the main effects of implementing Objective 4 were: to reinforce 
active labour market policies to reach workers in employment; the establishment and involvement of a 
wide partnership in the design, implementation and monitoring of actions; the organisation and 
strengthening of continuing training structures in a number of countries. It proposed addressing 
certain weaknesses in implementation. This means in particular reinforcing anticipation and linkage 
with training plans, the need to focus on SMEs and giving priority to the workers most at risk of 
unemployment as a result of industrial change. 
The promotion of technological innovation in the areas eligible under Objectives 3 and 4: 
Information technologies are an important factor in measures under Objective 3, which encourages the 
emergence of job potential in the context of the information society. The relevant measures concern training 
to provide a wide range of basic IT skills, often the first stage in the process of reintegration into the world of 
work, especially for people previously employed in traditional sectors or for young people. Objective 3 
measures also contribute to the development of more advanced skills to make full use of new technologies. 
Example of project: the use of communications technologies in Germany (Objective 3). In Kiel an 
association is helping women who wish to re-enter the labour market after dedicating several years to 
their families by providing them with a year's training in using information and communications 
techniques and project creation. Working within social institutions, the women draw up the forma for 
information brochures, develop Internet sites and produce and distribute calendars of events intended for 
children. Their abilities are assessed at the beginning of the course and this provides the basis for 
individual training plans. The training is intended both to utilise information and communications 
technologies and to develop creativity and a sense of initiative among those taking part. The ESF is 
contributing ECU 63 500 towards the total cost of the measure amounting to ECU 325 000. 
The ESF Regulation specifies that Objective 4 "should concentrate on operations in the areas of training 
related to the introduction, use and development of new or improved production methods, in particular new 
organisational techniques and new technologies ". Thus a large part of the measures implemented under this 
12 For more details, see Chapter V. Country-by-country survey. 
13 SEC(96) 2150. See also Chapter V. Country-by-country survey. 
8th Annual Report on the Structural Funds (1996) 
CHAPTER 11 BUDGET IMPLEMENTATION, CHECKS AND FINANCIAL 
MANAGEMENT, COORDINATION OF THE VARIOUS FINANCIAL 
INSTRUMENTS, COMPLEMENTARITY WITH THE OTHER COMMUNITY 
POLICIES 85 
A. BUDGETARY IMPLEMENTATION OF THE STRUCTURAL FUNDS 87 
1. Budget implementation in 1996 87 
1.1. General implementation in 1996 87 
1.2. Implementation of each Fund in 1996 in the context of 1994-99 94 
2. Implementation of programming for 1994-99 101 
2.1. Implementation 1994-96 101 
2.2. Implementation of each Fund in 1994-96 in the context of 1994-99 102 
B. CHECKS AND FINANCIAL MANAGEMENT 107 
1. Checks 107 
1.1. Checks carried out by the Commission's Structural Funds departments 107 
1.2. Inspections carried out by Financial Control 109 
1.3. Enquiries carried out by the anti-fraud unit 109 
1.4. Notification of irregularities by the Member States 109 
2. Improving financial management 110 
C. COORDINATION OF THE VARIOUS FINANCIAL INSTRUMENTS 110 
1. Cohesion Fund 110 
2. The EIB 111 
3. ECSC 112 
4. European Investment Fund 112 
5. The financial mechanism of the European Economic Area 113 
D. COMPLEMENTARITY WITH THE OTHER COMMUNITY POLICIES 113 
1. The Structural Funds and employment 113 
2. The Structural Funds and equal opportunities 114 
3. The Structural Funds and the environment 115 
, 4. The Structural Funds, the common agricultural policy and rural development 116 
5. The Structural Funds and the common fisheries policy 117 
6. The Structural Funds and SMEs 118 
7. The Structural Funds and tourism 120 
S. The Structural Funds and energy 120 
9. The Structural Funds and trans-European Networks 121 
10. The Structural Funds and the transparency of public contracts 123 
11. The Structural Funds and competition policy 124 
12. The Structural Funds, education and training 125 
13. The Structural Funds and culture 125 
14. The Structural Funds and disability 126 bis 
CHAPTER III INTER-INSTITUTIONAL DIALOGUE, REGIONAL 
PARTNERSHIP DIALOGUE WITH THE ECONOMIC AND SOCIAL 
PARTNERS, INFORMATION AND COMMUNICATION 127 
A. INTER-INSTITUTIONAL DIALOGUE 129 
1. Dialogue with the European Parliament 129 
2. Dialogue with the Economic and Social Committee 130 
3. Relations with the Committee of the Regions 131 
4. Informal meetings of the ministers responsible for regional policy and spatial planning 132 
5. Committee opinions 133 
40 8th Annual Report on the Structural Funds (1996) 
Objective are directly related to technological development. They aim at: 
• improving the technical skills of employees through training in new technologies, especially information 
and communication technologies (ICT). This may involve, for example, training relevant to the 
introduction of "green " technologies, design software and computer-assisted design, data transmission, 
the development of automated techniques, the application of ICT, total quality management and the 
introduction of EDI (Electronic Data Interchanged between producers, suppliers and customers on the one 
hand, and contractors and subcontractors on the other; 
• the use of Hew technologies as a basis for training measures in the context of improving training systems. 
This involves the application of ICT to training methods and the design of new teaching tools (especially 
multimedia training techniques), and the development of co-operation networks between training 
institutes (public and private training establishments, scientific and research institutes, chambers of 
commerce, social partners, etc.). 
Example of project: hypermedia training in Finland (Objective 4). The HYPMED project is aimed at the 
staff of small firms in the region ofJyvàskylâ and is being carried out jointly by the Jyvàskyla Technology 
Centre Ltd, firms and the research institute on information technologies of the University of Jyvàskyla. It is 
intended to improve know-how among the staff of small firms in the sectors which are currently of greatest 
importance to the region (paper, energy, the environment, information and communications technology) to 
encourage them to use the hypermedia and devise their own applications, for example, in the areas of staff 
training and customers, product documentation and marketing. Training in running a multimedia project 
is an integral part of the project and may be carried out alongside preparation for a university diploma. 
Firms which took part in the first phase of training and which apply this technology will take part in a 
number of national and Community research projects on multimedia and hypermedia technologies. 
42. 1996 in the context of programming for 1994/95-96/99 
Table1-13: Objectives 3 and 4 - 1996 in the context of programming for 1994/95-96/99 (ECU million) 
JUL __L_ ____. J___ Tntal 
Objective 3 
Financing 
Commi tments 
% of financing 
Payments 
%nffin-nrin-401.9 ' 
192.6 
48% 
156.4 268.1 ' 
127.0 
47% 
115 2 
m4^m 1.68Z1 ' 
820.4 
49% 
521.8 
31* 1.480.3 ' 
666,5 
45% 
516.7 
35% 2.562.4 " 
1.200.0 
47% 
906.6 
35% 1.300.1 ' 
350.3 
27% 
202,7 
16% 20.7' 
9.9 
48% 
8.9 
43% 935.3 ' 
434.5 
46% 
.377,9 
40% 334,0" 
129,8 
39% 
103.8 
31% 258,4' 
953 
37% 
51.3 
20% 347.0" 
73.0 
21% 
36.5 
11% 3.177.5 " 
2.051.8 
65% 
1.400,3 
44% 12,767.9 
6.151.0 
48% 
4398.0 
34% 
Nftgfm_Miirai*** 12 11 16 
Objective 4 
Financing 
Commitments 
% of financing 
Payments 
% of fin-nrin-70,3 " 
16.4 
23% 
8.2 
12% 38.9* 
13.0 
33% 
10,7 
27% 265.3 ' 
56.2 
21% 
23.5 
9% 368.8 " 
167.8 
46% 
76.0 
21% 653,4 ' 
187,1 
29% 
97.3 
15% 398.8 " 
98.9 
25% 
49,4 
12% 23* 
0.9 
38% 
0.6 
25% 156.2 ' 
22.2 
14% 
11.1 
7% 61.0' 
11.7 
19% 
9,4 
15% 84.6' 
23.6 
28% 
12.9 
15% 173.0" 
37.5 
22% 
18.8 
11% 2_573 
6353 
28% 
317.9 
14% 
Nonfmramr"» _1_ 
' PniErammcil by SPD. •• Pn>sr_nmed by CSF; ••• OP/SPD 
Objective 3 programmes are progressing satisfactorily on the whole, and financial implementation 
was better in 1996 than in the two preceding years. In general, this progressive acceleration reflects 
the trends initially provided for in the multiannual programme budgets. However, the commitments 
and payments made by the Commission are only an imperfect reflection of actual achievements and 
payments at the level of the Member States. ESF programmes are closed each year, and actual 
achievements for a given year are known only at the end of June of the following year, when the 
Member States send the Commission the annual reports on implementation. The Commission's 
figures for financial implementation do, however, reflect a trend towards greater implementation. 
Within this general tendency, -implementation of the programmes of the new Member States (Austria-
Finland and Sweden), which were adopted in 1995, lag somewhat behind the general trend. The 
decline in payments for Sweden and Finland is more apparent than real, since the level of 
implementation actually rose in 1996. The table does not take account of the share of appropriations 
unused in the initial year of 1995, which was carried over to 1996, since these appropriations already 
paid were used for payments for measures carried out in 1996. 
8th Annual Report on the Structural Funds (1996) 41 
Table 1-14: Objective 3 - Implementation from 1994 to 1996 (ECU million) 
B 
DK 
D 
E 
F 
I 
L 
NL 
A 
FIN 
S 
______ 
TOTAL ______ 
64.4 
44,0 
259,6 
219,6 
381,6 
200,5 
3,2 
138,4 
0,0 
0,0 
0,0 
478.0 
1.789.2 Commitments 
J___L 
33,4 
41,0 
48,2 
207,0 
396,8 
0,0 
3,3 
143,8 
64,1 
60,3 
73,0 
___LÛ 
_______ 1996 
94,8 
42,0 
512,6 
239,9 
421,6 
149,9 
3,4 
152.2 
65,7 
35,0 
0,0 
1,076,? 
2,793,? _L22__& 
192,6 
127,0 
820,4 
6663 
1.200,0 
3503 
9,9 
4343 
129,8 
95_3 
73,0 
___2_L_ 
-.1.1.0 -122-L 
32.2 
35.2 
129.8 
74.9 
190.8 
100.2 
1.6 
110.8 
0.0 
0.0 
0.0 
____! 
JL__2__ Payments 
J22_-
42,3 
39,0 
104,5 
169,7 
312,9 
0,0 
4,0 
142,6 
32,0 
30,2 
36,5 
436.2 
_L_____ J2___ 
81,9 
41,0 
287,5 
272.1 
402,9 
102,4 
3,4 
124,6 
71,8 
21,1 
0,0 
581.7 
1.990.3 ______£ 
156,4 
115,2 
521,8 
516,7 
906,6 
202,7 
9,0 
377,9 
103,8 
513 
363 
1-400-3 
________ 
Fig. I~5: Objective 3 • Share of each year in implementation 1994 to 1996 
0_iii_iiH—» Rçjjnrts 
MU*— 
=1 i 1 .^ •AW 
n -»* 
II KIK, 
JO* 
X* . 
i 1 s _ 
Ï —fl 1 1 .-_. •HW 
•MR 
0|9» 
B IX D E F 1 1.H.AHNSIX -R-
The level of implementation of Objective 4 was fairly low in 1994 and 1995. This was mainly 
because Objective 4 is a new Objective, because the problems of industrial change are complex, and 
because of the need to set up a wider partnership. All this made it necessary in most of the Member 
States to raise awareness and provide information, and to support the setting up of projects. However, 
the rate of implementation did rise throughout 1996. Measures are concentrated mainly on further 
training for workers, so as to improve their technological skills and their adaptation to new ways of 
organising work. 
Table 1-15: Objective 4 - Implementation 1994 to 1996 (ECU million) 
B 
DK 
D 
E 
F 
I 
L 
NL 
A ' 
FIN 
S 
TOTAL Commitments 
1994 
4,6 
1.0 
29,6 
55,6 
95,4 
60,6 
0,3 
22,2 
0,0 
0,0 
Q_Q 
_______ 1995 
0,0 
5,0 
0,0 
62,7 
0,0 
0,0 
0,3 
0,0 
11,7 
14,8 
___Q 
_2___ -_____. 
11,8 
7,0 
26,6 
49,5 
91,7 
38,3 
0,4 
0,0 
0,0 
8,8 
37.5 
271.5 1994-96 
16,4 
13,0 
56,2 
167,8 
187,1 
98,9 
0,9 
22,2 
11,7 
23,6 
37.5 
6353 Payments 
1994 
2,3 
0,5 
14,8 
27,9 
47,7 
30,3 
0,1 
11,1 
0,0 
0,0 
CLQ 
1M.7 ______ 
0,0 
2,5 
0,0 
38,1 
0,0 
0,0 
0,2 
0,0 
5,9 
7,4 
-JLQ. 
-__J 1996 
5,9 
7,7 
8,7 
10,0 
49,6 
19,1 
0.3 
0,0 
3,5 
5,5 
L8__ 
1291 1994-96 
8,2 
10,7 
233 
76,0 
973 
49*4 
0,6 
11,1 
9,4 
12,9 
-8__ 
317.9 
42 8th Annual Report on the Structural Funds (1996) 
Fig. 1-6: Objective 4 - Share of each year in implementation 1994 to 1996 
Cuiiiiilii—its I_vm__ 
KIM. 
WW,' 
WW-
nr», 
«K. 
sw. 
«NI. ill JJilhlfliil p»i 
BIXDEF1LNLAFTNS BJU5 -CDEF1LN.ARSS 
5. Obiective 5(a) 
5.1. Objective 5(a) agriculture 
Objective 5(a) is a horizontal Objective, relating to farming throughout the Union and supporting the 
modernisation of agricultural structures. This ties it closely to the common agricultural policy. 
Objective 5(a) measures are taken pursuant to specific regulations, the most important being 
Regulation (EEC) No 2328/91 for production structures, Regulations (EEC) No 866/90 and No 
867/90 for marketing and processing of products, and Regulation (EEC) No 1360/78 for aid to 
producer groups. 
Measures financed under Objective 5(a) agriculture:14 
Objective 5(a) may be summarised as follows: 
Competitiveness and employment: These two basic objectives are pursued 
through: aid for training,15 setting-up aid to young farmers,16 aid for 
investment in agricultural holdings,17 back-up measures to assist agricultural 
holdings (management services, self-help, accounting),18 aid to producer 
groups,19 investment aid for processing and marketing of agricultural and 
forestry products.20 
Territorial balance and employment: This objective is to be achieved in 
particular through specific measures to assist mountain and hill farming and 
farming in certain less-favoured areas,21, which are intended to compensate 
for the natural handicaps faced by farming in those areas. 
Following amendments to several programming documents coming under 
Regulations (EEC) No 866/90 and No 867/90, and updating of the forecasts 
for expenditure under Regulation (EC) No 2328/91, the indicative financial 
programming for Objective 5(a) measures outside Objective 1 and 6 
regions22 for 1994-99, in force on 31 December 1996, is as follows: ____ 
14 For more details, see Annual Reports for 1994 and 1995. 
15 Regulation (EEC) No 2328/91, Article 28. 
16 Regulation (EEC) No 2328/91, Articles 10 and 11. 
17 Regulation (EEC) No 2328/91, Articles 5 to 9. 
18 Regulation (EEC) No 2328/91, Articles 13 to 16. 
19 Regulation (EEC) No 1360/78. 
20 Regulations (EEC) No 866/90 and 867/90. 
21 Regulation (EEC) No 2328/91, Articles 17 to 20. 
22 In Objective 1 and 6 regions, measures under Objective 5(a) are programmed within CSFs/SPDs. 
8th Annual Report on the Structural Funds (1996) 43 
Table 1-16: Objective 5(a) agriculture - Forecasts of implementation 1994-
99 (ECU million) ' 
Indicative total: 5.195,9 Production 
Processing and marketing 4.190,3 
_______ 81% 
19% 
Promotion of technological innovation under Objective 5(a) agriculture: 
Measures under Regulations (EEC) No 866/90 and No 867/90 on improving the processing and marketing 
conditions for agricultural and forestry products contribute to the application of new processing techniques, 
which, in particular through innovative investment, help to develop new products and to open up new 
markets. A clear indication of the importance of these activities in the framework of the Regulations is the 
priority given to such investment among the selection criteria governing the aid arrangements. Although it is 
not the main purpose of the measures to encourage the development of new technologies, they have a major 
role to play in technology transfer, and in the practical application on an industrial or commercial scale of 
research and demonstration projects. They may, organise and facilitate the dissemination of technological 
innovation with a view to improving the competitiveness of production, processing and marketing of 
agricultural products. In practice, the measure offers the following opportunities: 
• the main aspect of the development of new products is the creation of new types of packaging, not 
only in response to evolving demand but also to contribute to improving product quality; 
• new markets are opened up by promoting products for non-food use, such as new packaging 
materials and products for the strengthening and treatment of plants (organic plant protection 
methods). 
Implementation of Objective 5(a) agriculture in 1996 
Table 1-17: Objective 5(a) agriculture - physical implementation 1995 
Member State Setting-up aid for young fanners 
(Art. 10) 
Number of henefitjiaries 
______ ______ Total Investment aid for 
young farmers (Art. 11) 
. Number of beneficiaries 
Obi.l Other Total Investment aid 
(Art. 7) 
Number of beneficiaries 
Obi.l Other Total Compensatory 
allowances (Art. 19) 
Number of holdings 
Belgium 
Denmark 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Luxembourg 
Netherlands 
Portugal* 
United Kingdom 71 
402 
1.085 
4.623 
156 
884 
222 
n.a. 
1.059 
__ 557 
514 
3.443 
998 
7.631 
1.489 
72 
n.a. 628 
514 
3.845 
1.085 
5.621 
7.787 
884 
1.711 
72 
n.a. 
1.059 
__. 39 
46 
371 
2.458 
29 
32 
25 471 
394 
548 
316 
2.681 
540 
41 
24 510 
394 
594 
371 
2.774 
2.710 
32 
565 
41 
26 
_Z 123 
1.877 
2.726 
10.241 
67 
133 
447 
9 
2.353 
______ 1.344 
1.384 
2.793 
2.837 
9.146 
3.852 
71 
217 
_____ 1.467 
1.384 
4.670 
2.726 
13.078 
9.213 
133 
4.299 
71 
226 
2.353 
1,77? 6.636 
n.a. 
228.919 
180.825 
185.373 
131.997 
92.636 
49.969 
2.402 
4.850 
82.139 
______ 
Total EV12 _____ 14.704 23.206 ____ _____ 8.064 _____ ______ ______ '-"22.927 
Austria 
Finland 
Sweden n.a 
n.a. 
0 n.a. 
J__ n.a. 
n.a. 
JLH n.a. 
n.a. 
JUL n.a. 
n.a. 
J__ n.a. 
n.a. 
JUL n.a. 
n.a. 
___ n.a. 
0 92000 
23181 
7*7^ 
Total EUlf 
n.a.: not applicable 
* 1994 figures 3-511 14.809 23T320 3.025 5.0391 8.064 _____ 22.339 __-___- 1..1..M1 
In 1996, the Commission proposed that the Council should consolidate Regulations (EEC) No 866/90 
and No 867/90, along with Regulation (EEC) No 1360/78 on aid to producer groups,23 to incorporate 
a number of amendments to these Regulations. The purpose of consolidation is to insert successive 
amendments to the original texts and to simplify and clarify certain aspects. The Council and the 
European Parliament had not completed their examination of this proposal by the end of 1996. The 
implementation for 1996 is shown below. 
23 COM(96) 58 final, OJ No C 115, 19.4.1996. The consolidated regulations were adopted by the Council on 20 
May 1997 (Regulations (EC) Nos 950/97, 951/97 and 952/97 - OJ No L 142, 2.6.1997). 
44 8th Annual Report on the Structural Funds (1996) 
Table 1-18: Objective 5(a) agriculture -financial implementation 1996 (commitments - ECU million) 
Member State 
Belgium 
Denmark 
Germany 
Spain 
France 
Italy 
Luxembourg 
Austria 
Netherlands 
Finland 
Sweden 
United Kingdom 
TOTAL! Indirect measures 
"production 
structures" 
21,8 
17,0 
143,3 
0,0 
174,8 
0,0 
4,3 
44,8 
2,1 
53,3 
15,5 
_____ Processing and 
marketing (Reg. 
866/90) 
__2__l 5,0 
5,1 
48,5 
25,0 
45,9 
131,7 
0,0 
31,2 
7,0 
0,0 
11,0 
00 Total 
-10.4 26,8 
22,1 
191,8 
25,0 
220,7 
131,7 
4,3 
75,9 
9,1 
53,3 
26,5 
-J___ 
802.4 
In general, the implementation of measures to improve the conditions for the processing and 
marketing of agricultural and forestry products as provided for in Regulations (EEC) No 866/90 and 
No 867/90 continued in the framework of prograirtining for 1994-99. The work of the Monitoring 
Committees showed that, after some delay getting started, the rate of implementation of programmes 
gathered pace in most of the Member States. Monitoring and assessment procedures continued to 
improve in the framework of partnership. More specifically, the implementation of measures in the 
Italian CSF led to the approval of 13 OPs to improve the conditions for processing and marketing 
agricultural products and 12 OPs for forestry products. Objective 5(a) measures got under way in 
Sweden when the SPD was adopted in 1996. The SPD for the United Kingdom was amended in 1996 
to take account of the decision to limit application of the measure to Wales and Scotland from 31 
March 1996. There was also a Council decision defining new less-favoured areas in Ireland. This 
extension covers about 105 000 hectares and increases the less-favoured areas in Ireland to 73% of 
total usable agricultural area. 
On 4 September 1996, the Commission adopted a report on young farmers and the problem of 
succession in European agriculture for presentation to the Council, to Parliament and to the Economic 
and Social Committee and the Committee of the Regions. This report, the Commission's contribution 
to the debate on the establishment of young farmers, considers the economic, social, legal and fiscal 
difficulties encountered by new farmers. It goes on to examine the present Community measures for 
promoting their installation and assisting young people in rural environments, describing how these 
are applied and with what results in the Member States. Proposals and recommendations are made for 
action at both Community and national level to make help for young farmers in the Community more 
consistent and effective. 
Several Member States have sent the Commission their ideas on strengthening Community policy in 
favour of mountain and hill-farming areas. The Commission is continuing the dialogue with the 
Member States on practical needs in the different mountain regions. 
8th Annual Report on the Structural Funds (1996) 45 
1996 in the context of programming for 1994-99 
Table 1-19: Objective 5(a) agriculture - financial implementation of programmes (ECU million) 
___ X __L_ _____ -UK. Total 
Assistance 
Commitments 
% of assistance 
Payments 
No of measures*** 170.4 ' 
79,8 
47% 
59,1 
35% 626.1 ' 
249,2 
40% 
99.8 
16% 38.4" 
164 
43% 
10.6 
28% 118,0' 
34.3 
29% 
18.6 
16% 392,8' 
137,4 
35% 
107.9 
27% 337,3 
114.7 
34% 
57.3 
17% 92.2' 
40.2 
44% 
34.7 
38% 185,7 ' 
100.4 
54% 
75.7 
41% 5.195.8 
2.188.9 
42% 
1.4253 
____ 
26 61 
* Programmed by SPD (Reg. No 866/90 and No X67/90) and forecasts of implementation (Reg. No 2328/91 ) 
* * Programmed by CSF (Reg. No 866/9(1 and No 867/90) and forecast, of implementation (Reg. No 2328/91 ) 
•" OP/SPD/Forecasts d'exécution 
The first two years of the period 1994-99 were marked by delays in the approval and implementation 
of programmes. In 1996, lost time was made up in most of the Member States. In terms of financial 
commitments, this is reflected in the rate of implementation of the amount entered in the programmes, 
which rose to 84% in 1996 compared with 66% in 1995. For the whole range of programmes in force, 
budget commitments in 1996 represented 37% of commitments made between 1994 and 1996. The 
problems with implementation in 1996 were concentrated in certain countries, as most of the Member 
States had achieved a normal rate of annual implementation. There are a number of reasons for the 
problems, and they vary from one Member State to another. They include changes in the method of 
granting investment aid, technical problems arising at the beginning of the period of implementation 
in one of the three new Member States and the lack of interest in the measures proposed among 
potential beneficiaries, owing to the difficult economic environment. The under-utilisation of 
appropriations explains why two Member States in 1996, Spain and Luxembourg, transferred 
appropriations within Objective 5(a) to measures relating to the processing and marketing of 
agricultural products. ' 
For the first three years of programming, the rate of financial implementation was fairly satisfactory 
in terms of commitments, as 42% of total assistance entered in the programmes was committed 
between 1994 and 1996. However, the level of payments is still quite low: at the end of 1996, 
payments represented 27% of the assistance provided for in 1994-99. 
Table 1-20: Objective 5(a) agriculture - implementation 1994 to 1996 (ECU million) 
_l____ Commitments 
1995 ______ ______ 1994 Payments 
__2S__ ______ ______ 
B 
DK 
D 
E 
F 
I 
L 
NL 
A 
FIN 
S 
____ 22,8 
21,9 
157,6 
56,3 
265,8 
117,5 
6,7 
20,4 
0,0 
0,0 
0,0 
62.4 30,2 
16,7 
165.1 
21,1 
252,1 
0,0 
5,5 
4,9 
61,5 
61,4 
13,7 
_____ 26,8 
22,1 
191,8 
25,0 
220,7 
131,7 
4,3 
9,1 
75,9 
53,3 
26,5 
_____ 79,8 
60,8 
514,6 
102,4 
738,6 
249,2 
16,5 
34-3 
137,4 
114,7 
40,2 
______ 3,8 
2,7 
48,9 
28,2 
0,0 
58,7 
3,4 
10,2 
0,0 
0,0 
0,0 
___l 12,8 
16,5 
160,9 
27,7 
242,1 
0,0 
2,0 
2,0 
30,8 
30,7 
6,9 
_____ 42,6 
22,1 
177,3 
28,7 
206,9 
41,1 
5.2 
6,5 
77,1 
26,6 
27,9 
34.0 59,1 
41,3 
387,2 
84,6 
449,0 
99,8 
10,6 
18,6 
107,9 
573 
34,7 
75,7 
TOTAL 731.4 655.1 ______ _______ 175J 554.6 696.0 _______ 
46 
8th Annual Report on the Structural Funds (1996) 
Fig. 1-7: Objective 5(a) agriculture - Share of each year in implementation 1994 to 1996 
0_rn_n__> i_*TTEr_> 
BtXD E F I.LMAFNS UK EJUS 
5.2. Objective 5(a) fisheries 
Implementation of Objective 5(a) fisheries in 1996 
The purpose of FIFG structural assistance in the fisheries and aquaculture sector is to achieve a 
sustainable balance between resources and exploitation by adjusting fishing efforts, and to support 
and strengthen the entire European fisheries sector. For the adjustment of fishing effort, the FIFG 
contributed in 1996 to financing the reduction of the European fleet in accordance with the Multi-
annual Guidance Programmes for 1993-96, through the permanent withdrawal of vessels (scrapping, 
exportation or the creation of joint enterprises). Efforts to strengthen the European fisheries and 
aquaculture industry also continued, especially in the areas of modernisation of the fleet, processing 
and marketing of products, aquaculture and port facilities. The main developments in 1996 were as 
follows.24 
Suspension of FIFG aid to the fishing fleet: After the breakdown of negotiations on the 4th Multi-
annual Guidance Programme for 1997-2002,25 the Commission concluded on 23 December 1996 that 
from 1 January 1997 arrangements for FTFG contributions to the fleet (aid towards adjusting fishing 
effort and for the renewal or modernisation of the fleet) should be suspended. Such aid represents 
about 50% of FIFG appropriations altogether. The Council set a deadline of 30 April 1997.£or taking 
a decision. 
Specific measures for conversion of the Italian fleet using drifting gillnets ("Spadare").26 Under 
the conversion plan drawn up for this segment of the fleet by the Italian authorities, the Commission 
proposed to the Council the adoption of a specific measure to enable aid to be granted to the 
fishermen and shipowners involved.27 The tide-over allowance for fishermen (granted on condition 
they undertake to switch to another type of fishing or to a different job outside the industry) may not 
exceed ECU 918.23 a month per person (with a maximum duration of six months). It may be 
combined with a severance grant of up to ECU 50 000 for those giving up economic activity 
altogether, or up to ECU 20 000 for those switching to another job inside or outside the fishing 
industry. For shipowners, aid between ECU 20 000 and ECU 156 000 is offered for definitive 
withdrawal from fishing, or between ECU 10 000 and ECU 146 000 for conversion to other types of 
fishing, depending on the engine power and the year of departure or conversion. 
24 For more details, see Chapter V. Country-by-country survey. 
25 This programme defines fishing efforts for each country and each segment of the fleet. The Council did not, in 
the course of 1996 (meetings in October, November and December), reach an agreement on the reduction of 
effort proposed by the Commission (COM(96) 203 final of 30 May 1996 and COM(96) 237 final of 29 May 
1996). 
26 These are fishing vessels flying the Italian flag and fishing for tuna and swordfish in the Mediterranean with 
drifting gillnets. 
27 COM(96) 682 final of 16 December 1996. 
8th Annual Report on the Structural Funds (1996) 47 
Amendments to the* FIFG Regulation: Regulation (EC) No 3699/93 laying down the criteria and 
arrangements regarding Cornmunity structural assistance in the fisheries and aquaculture sector, 
amended twice already in 1995, was amended twice more in 1996. The third amendment28 adapted 
the arrangements for FIFG premiums by capping appropriations by country and year for temporary 
cessation of activity, and by holding constant premiums for permanent withdrawal of vessels over 
thirty years old. The fourth amendment29 introduced official recognition of origin, with reference to a 
specified geographical zone for a product or process, under promotion campaigns part-financed by the 
FIFG. 
1996 in the context of programming for 1994-99 
The rate of consumption of appropriations returned to a satisfactory level in 1996, following the 
difficulties of the previous year, which had been one of preparation for this new financial 
instrument.30 However, in many cases, actual implementation (expenditure implemented as a 
percentage of that planned) was well below budget implementation because the budgetary 
implementation of programmes was faster at the beginning of the period (virtually automatic 
commitments) than later. This means that the actual implementation off the programmes on the 
ground has to be monitored carefully. However, programme implementation has made considerable 
progress in a number of countries thanks to a closer partnership between the Corrimission and the 
national authorities and a greater ability to submit coherent and appropriate projects by those engaged 
in the industry. 
Table 1-21: Objective 5(a) fisheries -1996 in the context of programming for 1994-99 (ECU million) 
Assistance 
Commitments 
% of assistance 
Payments 
% of assistance 
No of measures B 
24.5 
24.5 
100% 
19,6 
80% 
1 DK 
139.9 
69,9 
50% 
30,3 
22% 
1 D 
76,0 
37,6 
50% 
20,0 
26% 
. 1 E 
121.9 
59.7 
49% 
42,7 
35% 
1 F 
189.9 
63.3 
33% 
41,1 
22% 
1 I 
134.4 
44.8 
33% 
23,1 
17% 
1 L 
1.1 
1,1 
100% 
0,3 
30% 
1 NL 
46.6 
15,5 
33% 
12,7 
27% 
1 A 
2,0 
2,0 
100% 
1,0 
. 50% 
1 FIN 
23,0 
23,0 
100% 
6,9 
30% 
1 s 
40.0 
40.0 
100% 
12,0 
30% 
1 UK 
88,7 
44,3 
50% 
20,1 
23% 
1 Total 
888.0 
425.7 
48% 
229.9 
26% 
12 
Table 1-22: Objective 5(a) fisheries - Implementation 1994 to 1996 (ECU million) 
-____. Commitments 
______ _____ ______ _______ Pavments 
______ ______ ______ 
B 
DK 
D 
E 
F 
1 
L 
NL 
A 
FIN 
S 
____ 4,1 
23,3 
12,4 
19,9 
31,7 
22,4 
0,2 
7,8 
0,0 
0.0 
0,0 
J4_8 0,0 
23,3 
12,5 
19,9 
31,6 
22,4 
0,9 
1,4 
2,0 
23,0 
40,0 
_____ 20,4 
23,3 
12,8 
19,9 
0,0 
0,0 
0,0 
6,4 
0,0 
0,0 
0,0 
29.6 24,5 
69,9 
37,6 
59,7 
633 
44,8 
1,1 
15,5 
2,0 
23,0 
40,0 
_____ 2,0 
11.7 
6,2 
10,0 
15,8 
11,2 
0,1 
3,9 
0,0 
0,0 
0,0 
7.4 1,2 
18,6 
9,9 
0,0 
25,3 
0,0 
0,1 
2,3 
0,2 
6,9 
12,0 
4.4 16,3 
0,0 
3,9 
32,7 
0,0 
11.9 
0,2 
6,5 
0,8 
0,0 
0,0 
_____ 19,6 
30,3 
20,0 
42,7 
41,1 
23,1 
03 
12,7 
1,0 
6,9 
12,0 
_____ 
_______ 136.5 176.9 112.3 425.7 _____ 81.0 ___$ 229.9 
28 Council Regulation (EC) No 965/96 of 28 May 1996, OJ No L 131, 1.6.1996. 
29 Council Regulation (EC) No 25/97 of 20 December 1996, OJ No L 6, 10.1.1997. 
30 Taking all the Objectives together, from 1994 to 1996 ECU 748 million (64%) was paid of the ECU 1 168 
million committed. The percentages were 70% for Objective 1, 54% for Objective 5(a) and 50% for Objective 
6. By the end of 1996, 45% of the total programme assistance for the programming period (including FIFG 
assistance to programmes under Objectives 1 and 6) had been committed. 
48 8th Annual Report on the Structural Funds (1996) 
Fig. 1-8: Objective 5(a) fisheries - Share of each year in implementation 1994 to 1996 
Grtnrrttm—__ Payments 
BUKDEF1LM.ARNSUK EURU BDKDEFILNLARNSUC ELRIS 
6. Obiective 5(b) 
6.1. The implementation of Objective 5(b) in 1996 
The main effort in 1996 involved continuing the implementation of the SPDs approved in earlier 
years, but in many cases 1996 was the first year of effective and full application of the programmes. 
The Commission also approved some new programmes, the five Swedish SPDs. This brings the total 
number of SPDs implementing Objective 5(b) to 83. 
The programmes31 were implemented in the framework of partnership. The various Monitoring 
Cornmittees for Objective 5(b) ensure that implementation is properly monitored, and that evaluation 
procedures are organised and carried out. In 1996, the 83 different Monitoring Committees continued 
their work on a number of important questions. The first relates to information systems to ensure that 
the committees are informed of the type of projects actually approved and the financial implications 
of the commitments and payments made during the year. The second is the organisation of programme 
assessment, i.e. the preparation of an assessment plan, terms of reference for the contract assessors 
and monitoring of the actual appointment of assessors.32 The preparation of assessment procedures 
was a challenge to which most of the Monitoring Cornmittees rose satisfactorily. The Monitoring 
Cornmittees also specified the arrangements for providing technical assistance and the details of the 
communications programmes. 
Promotion of technological innovation in the areas eligible under Objective 5(b): 
Measures identified as being directly linked to technological development in rural areas represent about 
1.2% of Community appropriations programmed in the SPDs. Within this assistance, the ERDF represents 
75% of Community financing, the ESF 15% and the EAGGF 10%. Measures in favour of RTD represent over 
two thirds of the technological development and innovation measures financed, a figure comparable to that 
for the Objective 1 programmes. They concentrate on technology transfer, diversification of production and 
the identification of new markets. A distinctive feature of Objective 5(b) programmes is the share of Structural 
Fund appropriations spent on data transmission applications, i.e. contributing to the penetration of the 
information society in rural areas that are often isolated. These measures account for 27% of Community 
appropriations for technological development, the development of new applications such as distance working 
and distance learning. Expenditure in the sector of telecommunications is fairly low (less than 10%) and 
concerns the improvement of infrastructure in the most isolated areas. • 
31 For more details, see Chapter V. Country-by-country survey. 
32 See Chapter IV. Evaluation. 
8th Annual Report on the Structural Funds (1996). 49 
Table 1-23: Objective 5(b) and technological development, 1994-99 (ECU million) 
__QT___ 
______ Structural FinnK 
EST _______ ______ Publjç iyf_-mlwrS__.es 
Private Total 
_______ '11.7 41.9 8.6' -Ll ___£ _______ «1.1 _7___ ___. _____ 
Telecommunications 12) •21.9 jsfe ___; ___. j__ ___ ______ JJ_ ___t ______ _z___i 
Dnt_ transmission C\> _____ ____ IRQ ___. 0.6 ____. _______ ____ J___ J_L_ _______ 
TOTAL __!__. 100% J___ -UI j__ «s.i -___. ____. ____ 23^.0 ____, 
(1). (2). (3). (4), (5): See notes to Table 1-4 (Chapter 1) 
6.2. 1996 in the context of programming for 1994-99 
Table 1-24: Objective 5(b) - 1996 in the context of programming for 1994-99 (ECU million) 
Assistance 
Commitments 
% of assistance 
Payments 
% of assistance 
No of measures B 
78,1 
16,0 
21% 
8,1 
10% 
3 DK 
54,8 
13.5 
25% 
5,8 
11% 
1 n 
1.229,0 
449,5 
37% 
346,8 
28% 
8 E 
666.9 
334,4 
50% 
242,8 
36% 
7 F 
2.245,8 
709,1 
32% 
508,1 
23% 
20 I 
904,3 
140,6 
16% 
84,7 
9% 
13 T, 
6,0 
0.8 
14% 
0.4 
7% 
1 NT. 
150,0 
41,2 
27% 
25,3 
17% 
5 A 
411,0 
130,0 
32% 
78.5 
19% 
7 FTN 
194,0 
49,1 
25% 
23,6 
12% 
2 s 
141,0 
64,9 
46% 
22,6 
16% 
5 l']K Total 
820.5 6.901J 
203.6 2.152.6 
25% 31% 
140,9 1.487.6 
17% 22% 
11 83 
At the end of 1996, the rate of financial implementation was satisfactory on the whole, as most of the 
programmes were approved between 1995 and the first quarter of 1996. For the total of 83 SPDs, 
commitments represented 31% of assistance for the period as a whole. In some Member States, the 
regional authorities succeeded in implementing programme measures quite rapidly, and were able in 
1996 to request commitment of the appropriations for 1997. It is clear, however, that some Member 
States are too slow, and will have to make a major effort if they are not to be left behind. This is the 
more important as the Commission does not make payments until the projects have been fully 
completed, and as at the end of 1996, the level of payments had reached 22% of assistance for 1994-
99. With this in view, care should be taken to promote measures enhancing information and 
advertising to potential beneficiaries. In certain Member States, the Commission, in agreement with 
the authorities concerned, paid special attention to the situation of conunitments and payments, in 
view of the especially difficult progress of the projects. 
Table 1-25: Objective 5(b) - Implementation in 1994 to 1996 (ECU million) 
B 
DK 
D 
E 
F 
I 
L 
NL 
A 
FIN 
S 
____ 
TOTAL 1994 
0,0 
6,4 
126,0 
73,5 
262,7 
75,5 
0,8 
18,3 
0,0 
0.0 
0,0 
_____ 
______ Commitments, 
1995 
9,2 
3,4 
135,8 
88,6 
110,5 
31,5 
0,0 
7,3 
78,3 
32,8 
0,0 
______ 
.71.? ______ 
6,9 
3,7 
187,7 
172,3 
335,9 
33,6 
0,0 
15,6 
51,6 
16,3 
64,9 
______ 
971.4 !______. 
16,0 
13,5 
449,5 
334,4 
709,1 
140,6 
0,8 
41,2 
130,0 
49,1 
64,9 
203.6 
2.152.6 1994 
0,0 
3.2 
63,0 
36,8 
131,4 
37,8 
0,2 
3,1 
0,0 
0,0 
0,0 
_____ 
298.4 P-Yrpenti 
-L2___ 
4,6 
2,5 
71,2 
81,7 
76,6 
15,8 
0,2 
9,5 
39,2 
15,9 
0,0 
_46_4 
363.4 1996 
3,5 
0,1 
212,6 
124,4 
300,2 
31,2 
0,0 
12,7 
39,3 
7,7 
22,6 
71.4 
_____ ______ 
8,1 
5,8 
346,8 
242,8 
508,1 
84,7 
0,4 
253 
78,5 
23,6 
22,6 
______ 
1.487.6 
8th Annual Report on the Structural Funds (1996) 
B. REGIONAL PARTNERSHIP 134 
1. Consideration and promotion of new forms of partnership 134 
2. Increasing the partners' capacities 136 
3. Opinions of the other institutions on the application of the partnership principle 137 
C. DIALOGUE WITH THE ECONOMIC AND SOCIAL PARTNERS 137 
1. The socio-economic partnership in the implementation and monitoring of structural assistance 137 
2. The economic and social partners at Community level 138 
D. INFORMATION AND COMMUNICATION, SPREADING GOOD PRACTICE 141 
1. Information and communication 141 
2. Spreading good practice and exchanges of experience 143 
CHAPTER IV EVALUATION 147 
INTRODUCTION 149 
A. PRIOR APPRAISAL OF OBJECTIVE 2 (1997-99) 149 
B. ON-GOING ASSESSMENT 152 
C. EX POST EVALUATION 154 
1. Objective 2 1989-93 154 
2. Other ex post evaluations 158 
D. ASSESSMENT OF MAJOR PROJECTS 15S 
1. Introduction 158 
2. Assessment of the appraisals 160 
E. THEMATIC EVALUATION AND OTHER EVALUATION ACTIVITIES 161 
PART B THE STRUCTURAL FUNDS IN DETAIL 163 
CHAPTER V SUMMARY BY MEMBER STATE 165 
1. BELGIUM 165 
1.1. Implementation of assistance by Objective in 1996 165 
1.2. Implementation of the Community Initiatives in 1996 171 
2. DENMARK 174 
2.1. Implementation of assistance by Objective in 1996 174 
2.2. Implementation of the Community Initiatives in 1996 177 
3. GERMANY 180 
3.1. Implementation of assistance by Objective in 1996 180 
3.2. Implementation of the Community initiatives in 1996 189 
4. GREECE 192 
4.1. Implementation of assistance by Objective in 1996 193 
4.2. Implementation of the Community Initiatives in 1996 196 
5. SPAIN 198 
5.1. Implementation of assistance by Obiective in 1996 19S 
5.2. Implementation of the Community Initiatives in 1996 207 
50 8th Annual Report on the Structural Funds (1996) 
Fig. 1-9: Objective 5(b) • Share of each year in implementation 1994 to 1996 
C-.-iifii_-__, t_yir-9_t 
BOKO E f I LMARNSIK BJFflS -KDEF t L M. A FIN S IK EUU5 
8th Annual Report on the Structural Funds (1996) 5J 
B. OTHER ASSISTANCE 
1. Community Initiatives 
1.1. Overview 
Allocation of the reserve and new strands 
A major event in 1996 was the adoption by the Commission on 8 May of a Decision allocating the 
reserve for Community Initiatives. Financial decisions adopted in the two preceding years33 meant 
that the total reserve available for a supplementary allocation between the Member States was ECU 1 
665 million (at 1995 prices), comprising ECU 690 million for Objective 1 and Objective 6 areas, and 
ECU 975 million for areas not eligible under those Objectives. After a series of consultations, the 
Commission endorsed the allocation of the reserve between Initiatives and between Member States as 
agreed with.all its institutional partners and in particular in accordance with the code of conduct 
agreed with Parliament. The allocation took into account the following priorities: the fight against 
unemployment; equal opportunities for men and women; the environment; and the strengthening of 
the territorial and spatial aspects of the structural policies. It allows industrial conversion Initiatives 
(Rechar, Résider, Retex and Konver) and the Leader, Pesca, Urban, Adapt and Employment 
Initiatives to be strengthened and extended until 1999. The Commission also endorsed changes to the 
guidelines for the Urban, Adapt and Employment Initiatives, as well as new guidelines for Interreg II 
C: 
• the guidelines for Urban were amended with a view to promoting: equal opportunities; the fight 
against long-term unemployment; and the urban environment in medium-sized towns; 
• the Employment and Adapt Initiatives were each strengthened and supplemented by a new strand: 
Employment - Integra (combating social exclusion) and Adapt - BIS ("Building the Information 
Society") respectively; 
• Interreg II C provides for action on three separate fronts, in each case involving general trans­
national cooperation: development planning; flood prevention and drought control. 
33 See 1995 Annual Report. 
52 8th Annual Report on the Structural Funds (1996) 
Table 1-26 : Allocation of the reserve for the Community Initiatives and allocation for 1994-99 (ECU 
million, at 1996 prices) 
B 
DK 
D 
GR 
E 
F 
IRL 
I 
L 
NL 
AT 
P 
RN 
S 
UK 
Networks 
TOTAL 
of which: O» All 
Reserve 
6,80 
1,62 
23.24 
2.81 
31.52 
23.65 
6.21 
25.82 
10.94 
1.76 
3,42 
1,62 
24.36 
16T78 
51*9 ant 
1994-99 
38.63 
31.73 
256,70 
33.53 
278.44 
27.84 
219.69 
0.31 
69.62 
13.59 
21.43 
23.56 
13.12 
316.81 
1.6*8.16 
525.33 Reserve 
13.04 
2,87 
40,99 
4.97 
55.65 
41.71 
10.96 
45,57 
19.31 
3.09 
435 
3.42 
2.86 
44.28 
29*08 
9*o* 1994-99 
45.79 
14.10 
200.99 
70.69 
450.14 
191.20 
88.61 
401.39 
0.31 
62.58 
26.56 
45,47 
33,16 
23.96 
193,77 
1.84*72 
1.068.99 , ft-S-P__ 
2,06 
1,80 
30.67 
15.01 
48.31 
38.29 
15.68 
41.00 
002 
3.03 
3.26 
11.92 
3.46 
1.98 
11,83 
M.» 
115.62 1994-90 
10.22 
9.96 
208^2 
163.98 
405.45 
229.11 
84.05 
328.76 
1.24 
11.60 
27.05 
130.29 
28.72 
16,47 
78.46 
34.69 
1.76X26 
1.086.11 ,. Rwr^e 
0,45 
3.15 
334 
339 
5,29 
1.01 
2.87 
2,02 
3.16 
0,42 
0.49 
5.92 
31.71 
12.08 1994-99 
2.49 
19.88 
23.47 
30.99 
45,94 
33.76 
7,85 
37.26 
12.94 
29.28 
3.49 
4,06 
43.57 
5.10 
300.08 
153.92 SMEs 
RettPT 
2.25 
2.25 1994-99 
12.35 
235 
188.98 
83,88 
252.75 
58.88 
28.98 
191.63 
031 
10.41 
8,98 
124.80 
11,09 
17,21 
68,78 
25.51 
1.087.07 
845.61 Rtf-Pc 
. 1994-99 
218.37 
267.35 
126.53 
612.24 
612.24 Dj-han 
Rçwrç 
830 
17,03 
5,35 
27.16 
24,98 
4.86 
18.36 
13.11 
339 
5.16 
3.87 
134 
24,96 
158.49 
61.58 1994-99 
1902 
133 
115.81 
51.48 
241.85 
81.10 
20.68 
136.02 
0.51 
22.60 
13,54 
49,75 
7,83 
4.97 
124.14 
891.02 
«EJtt 
B 
DK 
D 
GR 
E 
F 
IRL 
I 
L 
NL 
AT 
P 
RN 
S 
UK 
Networks 
TOTAL 
of which; ftt R«-h_r 
Reserve 
1.01 
21.66 
1.51 
2.55 
0.19 
1.37 
18.22 
46.52 
15 48 1994-99 
16.96 
183.05 
3.04 
34.21 
36.25 
1.88 
1.85 
2.25 
182.28 
461.76 
l-S.fifl Knnv-r 
Reserve 
2,96 
115,19 
9,77 
15.63 
18.47 
15.13 
6.05 
38.44 
221.64 
110.24. 1994-99 
14.61 
2.39 
338.40 
22,74 
23.70 
87,00 
6435 
0,36 
27.28 
13.99 
335 
140,89 
7*9.27 
2R1.?7 Recidrr 
Reserve , 
331 
15.54 
131 
4.73 
630 
1.01 
5,04 
2.02 
4.76 
44-42, 
11-ft 1994-99 
28.16 
20936 
6.22 
'73,64 
6733 
92.11 
13.55 
23.69 
5.24 
9.05 
50.36 
578.70 
17*02 Rrtfv 
R^fFf 
1.01 
6.48 
3,03 
29.64 
12.10 
6,69 
10.08 
3.96 
72.99 
*919 1994-99 
5.48 
76,07 
78,82 
. 105,43 
37.33 
9.46 
75.05 
1.02 
239 
174.90 
40.79 
«Wi.95 
m__ p. 
Reserve 
. 
. 1994-99 
60,44 
241.74 
«12.18 
M2.1R lnf#r~M> 
Reserve 
16,09 
4,03 
44,61 
25.21 
117.09 
18.78 
3.03 
3338 
115,97 
631 
832 
431 
707 
12.05 
416.66 
1*5.51 ! 994-99 
99,76 
22.10 
455.02 
632.35 
693.31 
269.80 
165.78 
388.07 
3,67 
189,44 
49.83 
354.95 
48.91 
4732 
123.68 
5.544.19 
2610.66 TOTAL 
..Rescryf 
5502 
13.47 
317,67 
72.52 
312,96 
187.72 
41.75 
199.06 
103 
184.55 
18.00 
52.43 
18.91 
15.76 
188.80 
1.680.05 
7.5.72 1994-99 
293.68 
104.23 
2056,07 
1.177,72 
2344.79 
1.63734 
493,69 
1.936.41 
20O5 
431,17 
14901 
1.082.67 
156,75 
130.67 
1.60508 
65.31 
14*78.59 
072.11 
For the purpose of conducting new operations following the adoption of the reserve, the Member 
States were invited to propose to the Commission the incorporation of the additional financing until 
1999 through adjustment of the financing tables for the current programmes. In the case of the 
changes to the Urban, Adapt and Employment guidelines and the new Interreg II C strand, the 
Member States were invited to propose to the Commission new programmes or supplements to 
existing programmes. The time-limits, calculated from the date of publication of the amended 
guidelines in the Official Journal,34 were four months in the case of Adapt and Employment and six 
months in the case of Urban and Interreg 33 C. The final months of the year were given over to talks 
on those changes, which were expected to lead to Commission decisions from the beginning of 1997 
onwards. 
Implementation of the Community Initiatives in 1996 
Altogether 123 of the 430 operational programmes scheduled for 1994-99 were adopted in 1996. They 
entail an aggregate contribution from the Structural Funds of ECU 2 380 million, i.e. 17% of the 
Community Initiatives total for 1994-99 (including the reserve and the appropriations intended for 
Peace). All the programmes under the following Community Initiatives have now been adopted: 
Rechar H, Retex H, Urban, Pesca, Adapt, Employment and Regis H. Only eleven programmes remain 
to be approved in respect of 1997: three Interreg II "A", two Konver, one Résider E, one SMEs and 
four Leader. 
34OJNoC200, 10.7.1996. 
8th Annual Report on the Structural Funds (1996) 53 
Table 1-27: Community Initiative programmes adopted in 1996 and since 1994 
_ fimatoymnH Leader. 
te, I94-V6 «» "»"* L_t_ 
______ J—sca_ _SME__ Ems. _-i_ a V» IfM-Vft -frmwr 
I v-«xs a ______£ ____! Urban TOTAL 
B 
DK 
D 
EL 
E 
F 
IRL 
1 
L 
NL 
AT 
P 
R 
SE 
UK 0 
1 
15 
1 
17 
20 
1 
22 
1 
4 
« 9 
1 
2 
2 
5 1 
0 
2 
0 
0 
8 
I 
1 
0 
0 
l2 
0 
1 
1 
9 3 
1 
10 
1 
1 
8 
I 
1 
1 
2 
25 
I 
1 
1 
10 3 
2 
16 
0 
3 
23 
I 
14 
1 
1 
13 
0 
5 
6 
10 19 
7 
83 
9 
26 
70 
7 
33 
5 
13 
17 
11 
7 
8 
38 
171 34 102 3 _!__ 14 39 30| 431 25 98 3531 
Planned 17 110* 13 36 30 45 28 21 367 
'"""T" _2_ 54 
Planned Jl 
Peace 
TOTAL 123 4131 
Planned 430 
Includin. programmes adopted in 1993 and amended since 1994 
' Including one nrocramme adopted in respect of the reserve 
' Includinc 98 proiirammes. three national networks adopted in 1996 and the Community network 
Including the national networks 
The Initiatives must have a demonstration value and give rise to exchanges of experience that are 
likely to enhance the usefulness of the innovative operations and sound practice featured in the 
programmes, the aim being to include the subjects concerned in a CSF or an SPD. Since almost every 
programme has now been approved by the Cornmission, implementation cannot be limited to 
individual projects selected by Member States or regions. The programmes must be seen in a wider 
national or regional context than that of their implementation, particularly in the case of the least 
developed regions, where the demand for the transfer of know-how is strongest. It is for this reason 
that the Commission has decided to implement a number of trans-national measures. Accordingly, in 
order to enhance the usefulness of the measures implemented in the context of the four industrial 
conversion Initiatives (Résider H, Rechar H, Retex II and Konver), the Cornmission has decided to 
launch various operations aimed at exchanging experience and sound practice. Similarly, in 
connection with the SMEs Initiative, the Commission opted, in the context of its 1994 DecisiTJh on the 
initial allocation of appropriations, to earmark ECU 25 million for trans-national operations. This 
allowed the following three operations to be launched at the end of 1996: a call for proposals for the 
creation, at European level, of an Internet network for SMEs operating in the field of tourism in 
Objective 1, 2, 5(b) and 6 regions;35 financial support for the holding of purchaser exhibitions (Ibex) 
for SMEs in Objective 1, 2, 5(b) and 6 regions;36 exchanges of experience specific to SMEs by way of 
awareness, information and communication measures aimed at identifying "sound practice". 
Trans-national cooperation, exchanges of experience and the transfer of know-how constitute one of 
the new fields of the Leader Initiative, which is bolstered by a network (the European Observatory of 
Rural Innovation and Development), one of whose tasks is to provide technical assistance in the 
context of trans-national cooperation. An indicative amount of 2.5% of the total financing for Leader 
is intended to fund the activities of the Community network and the national networks. In 1996 the 
body selected by the Commission to organise and run Leader's European Observatory proceeded with 
its work: publications, seminars, exchanges of experience and setting-up of a multilingual information 
system on the Internet. Trans-national measures were also launched in the context of Pesca in 1996, in 
the shape of invitations to tender and calls for proposals. The three calls for tenders issued concerned: 
the dissemination of an information bulletin; the organisation of inter-regional meetings and thematic 
conferences; and the organisation of two partnership meetings, scheduled for 1997 and 1999, between 
35 See 1.2 below: Presentation of each Initiative in turn - The SMEs Initiative. 
36 See Chapter II.D.6. Structural Funds and SMEs. 
54 8th Annual Report on the Structural Funds (1996) 
firms belonging to the industry. The call for proposals was aimed at the part-financing of trans­
national cooperation and networking projects in the field of training, retraining, economic 
diversification, local development, etc. A total of seven projects received Community support in the 
context of that call for proposals. In the case of Adapt and Employment, the trans-national technical 
assistance programme launched in 1995 to help the Commission and the Member States implement 
the two Initiatives continued to operate in 1996. The support frameworks at national and at European 
level (Europs) served to coordinate the setting-up of trans-national partnership projects throughout the 
Union, underpin the execution of projects and collate the first structured data on the work carried out. 
Community Initiatives and development of technological potential: 
Many Community Initiatives underpin technological development in the process of attaining their principal 
objectives. In the case of the most representative Community Initiatives, under the SMEs Initiative, promoting 
competitiveness among firms and job creation is achieved through the development of new information and 
telecommunications technologies, RTD networks and innovation. The Interreg programmes are aimed at 
alleviating the adverse effects of cross-border location by extending cross-border cooperation to research 
and the new technologies. Technological development also plays a major role in the diversification of 
economic activities and the strengthening of the regional capacities that are the subject of the industrial 
conversion Initiatives. In terms of human resources, the new technologies are one of the principal fields in 
which close cooperation is developing between training centres and the public and private sectors in the 
context of Adapt and, in the case of Employment, they facilitate the development of reliable databases and the 
integration into the labour market of the unemployed, the disabled and other disadvantaged groups. For their 
part, the Leader programmes highlight the importance of data transmission in rural development, in 
particular in providing support for local production centres. 
1996 in the context of programming for 1994-97/99 
All the institutional partners have recorded delays in the approval of certain programmes, delays 
which are due to the very nature of the Community Initiatives which, in relation to the CSFs and 
SPDs, have certain special features that make them specific instruments of the Union's structural 
policy: implementation from the bottom up; a high profile in the field in the context of a broad-based 
partnership; innovative approach (in certain cases); and trans-national, cross-border and inter-regional 
cooperation. It is not always easy to incorporate these special features at the prograrnming stage. The 
requirement of a broad-based partnership, for instance, represents a major challenge. It may be the 
first experience some of the socio-economic actors involved in a programme have had of this working 
method. These multiple partnerships feature numerous levels of intervention which are sometimes 
difficult to manage. Moreover, in order to give Community Initiatives a true trans-national, 
cross-border or inter-regional dimension, pride of place is given to trans-national cooperation between 
projects. This is a new and complex process on this scale. Innovative action and measures featuring 
strict selection criteria at regional and national level often call for lengthy analysis at Member State 
level. 
The Commission is, however, keen to endorse quality programmes satisfying those requirements. On 
the whole, with the industrial conversion Initiatives, it has more often than not been a question of 
consolidating existing experience. For other Initiatives approaching new issues, further negotiations 
with the Member States on the content of the programmes proved necessary. This was the case for 
instance of the SMEs Initiative, the programmes for which gave rise to numerous adjustments, in 
particular concerning the innovative and internationalisation aspects of SMEs. 
8th Annual Report on the Structural Funds (1996) 55 
Table 1-28: Community Initiatives -1996 in the context of programming for 1994-97/99 (ECU million) 
| Adapt | mploymenl U*der | Pen» | SMEs | Ret» | Rechar | Konver | Résider | Retes" | Urban | Interrer" 1 Total 
1994-99 allocation"" 
Assistance adopted 
% adopted 
Commitments in 1994-96 
•/.of assistance 
Payments in 1994-96. 
*/• of assistance 1638.2 
1 444.9 
88% 
530,1 
37% 
239.6 
17% 1 848.7 
I 524,2 
82% 
572.0 
324,6 
21% 1.768,3 • 
1.511.9 
86V. 
720.4 
48% 
266.3 
18% 300.1 • 
265.0 
88% 
187,7 
71% 
37,8 
14% 1.087.1 • 
1.004,3 
92% 
385.4 
38% 
156,4 
16% 612.2 
607.0 
99% 
216.8 
36% 
157,6 
26% 461.8 
411,2 
89% 
292.5 
71% 
137,2 
33% 739.3 
503.0 
68% 
371.2 
74% 
182.4 
36% 578.7 
518.9 
90% 
311.5 
60% 
157,9 
30% 606,9 
526,5 
87% 
319,6 
61% 
143.3 
27% 891.0 
681.9 
77% 
-. 372,4 
55% 
166.2 
24% 3.846.4 
3.170.5 
82% 
1432,9 
45% 
706.6 
22% 14.378,6 
12.169,2 
85% 
5.712,4 
47% 
2.676,0 
22% 
* Including networks 
•* Includes only 1994-97 appropriations 
•*• Including Peace 
••** At 1996 prices, including reserve 
Table 1-29: Community Initiatives in 1994-96 (ECU million) 
Adapt 
Employment 
Leader 
Pesca 
SMEs 
Regis 
Rechar 
Konver 
Résider 
Retex* 
Urban 
Interreg** 
Total Commitments 
1994 
0,0 
201,2 
0,3 
23,7 
0,0 
0,0 
-0,0 
0,0 
4,3 
79,7 
0,0 
0,0 
309,2 1995 
307,7 
107,7 
468,5 
29,4 
203,5 
58,8 
172,5 
238,2 
172,8 
164,8 
157,4 
585,3 
2.666,7 1996 
222,4 
263,1 
251,7 
134,6 
181,9 
158,0 
119,9 
133,0 
134,4 
154,4 
215,0 
847,6 
2.816,0 1994-96 
530,1 
572,0 
720,4 
187,7 
385,4 
216,8 
292,4 
371,2 
311,5 
399,0 
372,4 
1.432,9i 
5.791,8 Payments 
1994 
0,0 
100,6 
0,0 
11,8 
0,0 
0,0 
0,0 
0,0 
1,3 
68,7 
0,0 
0,0 
182,5 1995 
152,6 
53,6 
132,7 
5,3 
67.7 
22,0 
75,6 
87,3 
77,0 
75,4 
58,1 
241,4 
1.048,9 1996 
87,0 
170,3 
133,6 
20,6 
88,7 
135,6 
61,6 
95,1 
79,6 
67,8 
108,1 
465,2 
1.513,2 1994-96 
239,6 
324,6 
266,3 
37,8 
156,4 
157,6 
137,2 
182,4 
157,9 
211,9 
166,2 
706,6 
2.744,6 
Including 1993. 
k* Including Peace 
Fig. 1-10: Community Initiatives - Annual figures in relation to the total for 1994-96 
Gon-iitncnts Payments 
•wo* 
80% 
80% 
70* 
flOH 
SIM 
40* f-
30% 
20% 
10% 
0% • 1—4, 
• 1—5 
urns' 
o>-5" illlMl • 19B4 
aises! 
01—61 
S 2 s g i s 
- tr 
For the Community Initiatives generally, about 47% of the commitments entered into since 1994 have 
been implemented. The overwhelming majority of the programmes totalling less than ECU 40 million 
were the subject of a single commitment when the programmes were approved. The total annual 
commitment mirrors the rate of approval of the programmes. The four industrial conversion 
Initiatives and Pesca recorded the highest percentage of commitments, this being attributable to the 
fact that the programmes under those Initiatives are mostly below the ECU 40 million level and are 
under regional management. Since most of the programmes were approved at the end of 1995 or, in 
some cases, in 1996 they are at the start-up phase. This explains why the level of payments (about 
22% of all Structural Fund assistance for Community Initiatives generally) is in some cases low. The 
bulk of the implementation and monitoring of the programmes is expected to take place in 1997. 
56 . . . • 8th Annual Report on the Structural Funds (1996) 
12. The individual Initiatives 
Adapt (1994-99) 
Adapt (ECU 1 638 million37) is aimed at encouraging the adaptation of the workforce to industrial change, 
helping firms increase their productivity, and fostering the emergence of new activities. The measures 
concerned cover: training, counselling and guidance, anticipation and promotion of new employment 
opportunities, adaptation of support structures and systems, information, dissemination and greater awareness. 
Ilie main beneficiaries are workers affected by industrial change. 
Adapt and the anticipation of technological change: 
The initial Adapt guidelines provided for encouragement for cooperation and exchanges between enterprises 
and research centres with a view to assisting the transfer of technology, and for studies focusing on the 
introduction of new production processes and systems and the use of communication and information systems. 
In the programmes that have been adopted, measures relating to telecommunications and the Information 
Society are provided for by a number of Member States, namely Italy, Greece, Portugal, France, Ireland, 
Finland and the United Kingdom. In particular, the programme for France earmarks 4% of the overall 
budget for training in the new technologies and the use of flexible systems and distance learning, while under 
the programme for Portugal 10% of the overall budget is to be allocated to data transmission applications 
and 20% to RTD in measures to introduce new technologies and encourage the setting-up of information 
networks. 
In 1996 a new strand was added to Adapt: Adapt-BIS (Building the Information Society), which will 
encourage programmes to take into account the emergence of the Information Society and its consequences 
as far as the competitiveness and the way in which European firms operate are concerned. In particular, 
Adapt-BIS is aimed at encouraging: 
• the identification and transfer of sound practices as regards the use of new information and 
communications technologies that are suited to local development conditions, requirements and levels; 
• large-scale experimentation and. dissemination of the findings in Europe, to include the results already 
obtained thanks to Community RTD and vocational training programmes. 
A significant feature of the implementation of Adapt in 1996 was the build-up of projects selected 
following the first call for projects in 1995. Some 1 400 projects were launched or, as was mostly the 
case, were-implemented for their first full year. Calls for tenders for the evaluations in the Member 
States were also issued in 1996. A first series of interim reports was expected to be submitted to the 
monitoring committees by the end of March 1997 at the latest. This first series of projects - now being 
implemented - has already revealed concerns and interests that are common to the various Member 
States and regions. Many relate to at least one of the principal themes of the Initiative: development 
of, and support for, SMEs; nature and impact of changes in the way work is organised; anticipation of 
labour market trends; qualifications; effectiveness of local labour markets; job creation; and the 
impact of the Information Society. The projects are supported and organised by labour market 
agencies generally: enterprises (in particular SMEs), groups of firms, sectoral organisations, chambers 
of commerce, craft industries and agriculture, trade unions and other workers' organisations, public 
and private training agencies and universities, local and regional authorities, local development 
agencies and NGOs. 
This increased level of activity has had an impact on the Commission's level of financial 
implementation in 1996. Total commitments rose from ECU 307.7 million to ECU 530.1 million and 
payments as a whole went up from ECU 152.6 million to ECU 239.6 million. 
37 At 1996 prices, including the reserve. 
8th Annual Report on the Structural Funds (1996) 57 
Table 1-30: Adapt - 1996 in the context of programming for 1994-99 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (2) 
Denmark (1) 
Germany ( 1 ) 
Greece (1) 
Spain (1) 
France (1) 
Ireland (1) 
Italy (1) 
Luxembourg (1) 
Netherlands (1) 
Austria (1) 
Portugal (1) 
Finland (I) 
Sweden ( 1 ) 
United Kingdom (2) 
Total (17) Assistance* 
(1)' 
31,2 
29,5 
228,8 
30,1 
256,4 
249,7 
21,2 
190,0 
0,3 
57,6 
11,6 
21,0 
19,7 
11,3 
286,6 
1.444,9 Commitment 
1996 
25,5 
24,2 
33,8 
20,3 
33,7 
0,0 
3,5 
45,6 
0.2 
0,0 
0,0 
17,0 
0,0 
0,0 
18,7 
222,4 Commitment 
1994-96 
(2) 
31,2 
29,5 
76,7 
27,4 
81,8 
46,9 
7,4 
81,7 
0,3 
11,5 
11,6 
21,0 
19,7 
11.3 
72,2 
530,1 % 
(2)/(l) 
100% 
100% 
34% 
91% 
32% 
19% 
35% 
43% 
100% 
20% 
100% 
100% 
100% 
100% 
25% 
37% Payments 
1996 
6.5 
6,2 
17,3 
4,8 
18,7 
0,0 
4.0 
23.1 
0.1 
0,0 
0,0 
4.3 
1,2 
0,0 
0,8 
87,0 Payments 
1994-96 
(3) 
9,4 
8,9 
38,8 
8.4 
42.7 
23,5 
6,0 
41,1 
0,1 
5,8 
5,8 
6,3 
9,9 
5,6 
27.5 
239,6 % 
(3)/(l) 
30% 
30% 
17% 
• 28% 
17% 
9% 
28% 
22% 
30% 
10% 
50% 
30% 
50% 
50% 
10% 
17% 
* Excluding reserve 
Employment and Human Resources (1994-99) 
Employment and Human Resources (ECU 1 849 million38): the aim is to use an integrated approach to 
underpin the recover)' of employment and promote solidarity and equal opportunities on the labour market. A 
total of four strands - each with its own budget - are currently covered: 
• Now (ECU 496 million) supports innovative approaches to vocational training for women; 
• Horizon (ECU 513 million) encourages the disabled and other disadvantaged groups to enter working 
life; 
• Youthstart (ECU 441 million) helps young people without qualifications enter working life; 
• Integra (ECU 385 million), a new strand adopted in 1996, is aimed at making access to the labour market 
easier for vulnerable groups that are excluded or at risk of being excluded from it. This strand now covers 
Horizon measures in favour of disadvantaged persons. 
Employment and adaptation to the new technologies : 
Thanks to each strand of Employment, measures can be funded that encourage new information and 
communications technologies (Now : training in new skills in the field of RTD and innovative technology; 
Horizon : adaptation of the workplace through the development of new technologies and distance working 
and flexible training and learning, such as distance learning and learning by computer; Youthstart : giving 
young people access to the labour market through distance learning). The new technologies constitute a 
major avenue towards possible improvements in the employment prospects of the Employment Initiative target 
groups: firstly they afford interesting possibilities of innovation in terms of training methodology, be it in the 
case of distance learning or of training assisted by modern means of information technology; secondly 
introducing new technologies changes working methods and, in some cases, contributes to creating new jobs 
or occupations. 
Accordingly, to take account of that impact and give a greater share of the working population access to 
those new jobs, the training needs to be adapted in terms both of content and methods. For example some 7% 
of the projects covered by Youthstart focus on activities relating to jobs arising from new information 
technologies, and one fifth of the Horizon projects explore the ways in which new technologies can help the 
disabled secure employment. 
As in the case of Adapt, a significant feature of the implementation of Employment in 1996 was the 
strong showing of projects selected at the time of the first call for projects in 1995. Some 2 400 were 
launched or, in the majority of cases, completed their first full year of implementation. Activities 
focusing on training - which have always constituted a major component of this type of programme -
are increasingly integrated in more general measures based on cooperation between local actors and 
aimed at providing the target groups with integrated solutions in terms of access to the labour market 
38 At 1996 prices, including the reserve. 
58 8th Annual Report on the Structural Funds (1996) 
or training systems. Notable also are the search for new jobs and the desire to encourage the creation 
of new firms (in particular under Now), above all in what are regarded as promising sectors. 
Generally speaking, training centres remain major players, although there is also a strong showing by 
local and regional authorities, in particular in Southern Europe, and by NGOs and associations. On 
the other hand, the two sides of industry do not appear to be playing a sufficiently prominent role in 
the implementation of the projects. The Commission would like to see greater activity on their part in 
the second phase of the Initiative, the aim being to forge a link between the projects and the concerns 
felt by economic operators. 
The impact of this increased level of activity on financial execution in 1996 is significant. 
Commitments went up from ECU 236 million to ECU 572 million and payments from ECU 117.8 
million to ECU 324.6 million. 
Table 1-31: Employment - 1996 in the context of programming for 1994-99,(ECU million) 
Member State 
(number of 
programmes) 
Belgium (2) 
Denmark ( 1 ) 
Germany ( 1 ) 
Greece (1) 
Spain (1) 
France (1) 
Ireland (1) 
Italy (1) 
Luxembourg (1) 
Netherlands (1) 
Austria (1) 
Portugal ( 1 ) 
Finland (1) 
Sweden (1) 
United Kingdom (2) 
Total (17) Assistance* 
(1) 
32,1 
10,6 
156,8 
64,4 
386,6 
146,5 
76,1 
348,7 
0,3 
42,4 
23,0 
40,3 
29,2 
20,7 
146,5 
1.524,2 Commitment 
1996 
10,4 
9,0 
26,8 
4,6 
56,0 
27,3 
21,7 
82,7 
0,0 
2,2 
0,0 
3,9 
0,0 
0,0 
18,4 
263,1 Commitment 
1994-96 
(2) 
32,1 
10,6 
50,0 
12,6 
114,7 
49,6 
29.3 
134,2 
0,3 
6,5 
23,0 
9,6 
29,2 
20,7 
49,8 
572,0 % 
(2)/(D 
100% 
100% 
32% 
20% 
30% 
34% 
39% 
38% 
100% 
15% 
100% 
24% 
100% 
100% 
34% 
38% Payments 
1996 
5.2 
2,4 
29,5 
2,3 
35,3 
15,6 
13,3 
41.9 
0,0 
1,1 
0,0 
2,1 
0,0 
0,0 
21,6 
170.3 Payments 
1994-96 
(3) 
16.1 
3,2 
41,0 
6,4 
64,6 
26,7 
17,0 
67,6 
0,2 
3,2 
11,5 
5.0 
14,6 
10,3 
37,3 
324,6 % 
(3)/(D 
50% 
30% 
26% 
10% 
17% 
18% 
22% 
19% 
50% 
8% 
50% 
12% 
50% 
50% 
25% 
21% 
* Excluding reserve 
Leader II (1994-99) 
Leader (ECU 1 768 million39) supports rural development projects devised and managed by local partners in 
which the emphasis is on measures that are innovative, have a demonstration value and are transferable. The 
projects have to be based on development strategies that are consistent and adapted to the areas concerned. 
Assistance from Leader II is available only to local action groups (public and private partners jointly devising 
a development strategy) or other rural collective bodies (local authorities, chambers of agriculture, commerce 
and industry, cooperatives, etc.), provided their operations fit in with a development strategy at local level. 
Leader II applies to rural areas covered by Objectives 1, 5(b) and 6 (with ECU 1 086 million earmarked for 
Objective 1 and Objective 6 regions). 
Leader and technological innovation in rural areas: 
Through its "rural innovation programme" strand, Leader encourages innovation - adapted in the light of the 
local context - in terms of methods, products, processes and markets and the demonstrability and 
transferability of projects. It accordingly fosters local development initiatives aimed at achieving new 
dynamism. The operations receiving assistance are varied and may concern: measures that supplement those 
relating to agricultural markets (including the environmental aspects and renewable sources of energy); the 
application of new information and communication technologies to the rural environment; or the design and 
marketing of new products and services. Among the measures eligible are those for rural tourism (innovative 
investment and the introduction of booking systems based on information technology); SMEs (measures to 
improve access to technology transfer services and the development of distance working, the aim being to 
At 1996 prices, including the reserve. 
8th Annual Report on the Structural Funds (1996) 59 
obtain the best return from agricultural products or promote the transfer of technology, telemarketing and 
alternative and renewable sources of energy); and the environment (waste recycling). Quantifying the funds 
made available for technological development is no mean task. The appropriations for technological 
innovation are, however, allocated to the use of information technology applications, seen as a means of 
reducing the isolation of rural areas. These operations concern distance working, communication centres and 
the development of telecommunications for firms. While few resources are allocated to RTD as such, applied 
research projects are aimed mostly at obtaining the best return from local produce. 
Examples of innovative applied research projects: 
• the ARCA Umbria area (Perugia), which specialises in ceramics - an industry facing a pollution/waste 
problem - had developed a waste-recycling process that was in need of experimentation. Leader made it 
possible for the experimentation phase to begin and for the system - which can be applied to the 
management of other pollutants - to be developed. 
• the Sierra de Bejar Francia group (Salamanca), which is situated in an olive-growing area threatened by 
low farm incomes, has, thanks to a study financed by Leader, developed a new process for the treatment of 
olive oil waste. The process allows the waste to be transformed into reusable by-products, thus alleviating 
a major environmental problem. 
• the Creuse programme (Limousin) is aimed at updating traditional know-how by creating new products, 
encouraging apprenticeships; and promoting products commercially. A prototype workshop designs new 
productsbased on local know-how, in particular in the field of screen printing and furnishing fabrics. 
• atAnogia (Crete), the Leader group has, thanks to the programme, been able to build premises and equip 
the centre for the diagnosis and control of zoonoses, infectious animal diseases that are transmissible to 
man. The research centre is operating in collaboration with the University of Crete and the Anogia health 
centre and is recognised by WHO as a collaborating centre for research and training for Mediterranean 
areas affected by zoonoses. 
Since 1994 the Cominission has received from the fifteen Member States 102 proposals for 
programmes (not including technical assistance programmes) under Leader. It has seen to it that, in 
accordance with Leader .II guidelines, the proposais are the outcome of broad-based concertation 
between local actors. Following on from the 67 programmes and global grants it adopted in 1995, the 
Commission adopted 34 programmes in 1996 - 31 regional programmes (11 of which concern the new 
Member States) and three technical assistance programmes (implementing national networks). The 
new programmes represent a total of ECU 253.4 million in Structural Fund assistance and account for 
14% of the total budget for Leader (including the reserve). Only the Belgian programmes and the 
balance of the technical assistance programmes remained to be adopted. By the end of 1996, 
Commission-approved programmes accounted for 99% of the overall budget for Leader (not including 
the reserve). 
Slh Annual Report on the Structural Funds (1996) 
6. FRANCE 209 
6.1. Implementation of assistance by Objective in 1996 209 
6.2. Implementation of the Community Initiatives in 1996 218 
7. IRELAND 221 
7.1. Implementation of assistance by Objective in 1996 221 
7.2. Implementation of the Community Initiatives in 1996 223 
8. ITALY 225 
8.1. Implementation of assistance by Objective in 1996 225 
8.2. Implementation of the Community Initiatives in 1996 ' 11 
9. LUXEMBOURG 237 
9.1. Implementation of assistance by Objective in 1996 237 
9.2. Implementation of the Community Initiatives in 1996 240 
10. THE NETHERLANDS 242 
10.1. Implementation of assistance by Objective in 1996 242 
10.2. Implementation of the Community Initiatives in 1996 248 
11. AUSTRIA 251 
11.1. Implementation of assistance by Objective in 1996 251 
11.2. Implementation of the Community Initiatives in 1996 256 
12. PORTUGAL 259 
12.1. Implementation of assistance by Objective in 1996 259 
12.2. Implementation of the Community Initiatives in 1996 262 
13. FINLAND 265 
13.1. Implementation of assistance by Objective in 1996 265 
13.2. Implementation of the Community Initiatives in 1996 270 
14. SWEDEN 273 
14.1. Implementation of assistance by Objective in 1996 273 
14.2. Implementation of the Community Initiatives in 1996 279 
15. UNITED KINGDOM 281 
15.1. Implementation of assistance by Objective in 1996 281 
15.2. Implementation of the Community Initiatives in 1996 289 
CHAPTER VI FINANCIAL IMPLEMENTATION 1996 293 
TABLE 1: FINANCIAL IMPLEMENTATION BY OBJECTIVE IN 1996 295 
TABLE 2: FINANCIAL IMPLEMENTATION OF THE COMMUNITY INITIATIVES 303 
TABLE 3: FINANCIAL IMPLEMENTATION OF TRANSITIONAL AND INNOVATIVE 
MEASURES 304 
60 8th Annual Report on the Structural Funds (1996) 
Table 1-32: Leader II - Programmes adopted in 1996 (ECU million) 
Denmark 
Germany 
Technical assistance (national network) 
Schleswig-Holstein 
France 
Alsace 
Centre 
C 'hampagne-Ardenne 
Douai, Valenciennes 
Upper Normandy 
Lorraine 
Midi-Pyrénées 
Loire Region 
Rhône-Alpes 
Italy 
Technical assistance (national network) 
Lazio 
Liguria 
Lombardy 
A iarche 
Kiolise 
Piedmont 
Sicily 
Trento 
Veneto 
Austria 
Technical assistance fnational network) 
Lower Austria 
Carinthia 
Upper Austria 
Salzburg 
Styria 
Tyrol 
I 'orarlberg 
Finland 
Finland (Obj. 5(b)) 
Finland (Obj. 6) 
Sweden 
Sweden (Obj. 5(b)) 
Sweden (Obj. 6) Total cost 
26.7 
18.6 
2.0 
16,6 
158,1 
A'.-/ 
15.1 
6.9 
4.5 
1.8 
16.0 
58,5 
IS.S 
28, I 
319.6 
3,1 
60.6 
15,6 
U.6 
35,9 
Jfi.l 
39,9 
65,2 
8,6 
5'.9 
66,0 
0.5 
N.I) 
8.4 
19.0 
2.8 
14.9 
5,3 
1.0 
76,5 
413 
32,1 
85,9 
-J.8 
14,1 Total 
8.2 
7.6 
1.0 
6,6 
67,1 
3, ~ 
6,4 
2.2 
2.0 
0.8 
~,4 
22,0 
9.3 
13,2 
105.5 
2,0 
16,3 
3,9 
4,5 
8.4 
9.8 
9.3 
32,6 
2,2 
16,3 
20.8) 
0,3 
5.6 
2.9 
4,9 
0,8 
4,3 
/." 
0,4 
28.1 
16,2 
11.9 
16.1 
12,1 
4.0 Assistance from the Structural Funds* 
ERDF 
3.3 
3.7 
0.0 
3,~ 
35.0 
I 
2.9 
1.0 
1.3 
0.4 
4.0 
13,9 
4.6 
5,3 
41.7 
0.0 
6,5 
2.1 
2~ 
3.4 
2.9 
5.0 
11.9 
0.9 
6,3 
9.0 
0.0 
3.0 
1.3 
2.2 
0.3 
1,6 
0.5 
0,1 
11.2 
6.5 
4.8 
8.1 
6.1 
2.0 ESF 
1.6 
0.5 
0.0 
0.5 
10.5 
0.4 
1.0 
O.i 
0.1 
0.2 
0 
3.1 
2.0 
2,-
16,6 
0,0 
2.5 
0.5 
0.5 
1.5 
1,9 
0.6 
6.1 
0.2 
3.2 
2.7 
0,0 
1.1 
0.4 
0.5 
0.2 
0.2 
0.3 
0.0 
4,2 
2.4 
1.8 
2,7 
2,1 
o.~ EACGF 
3.3 
3.4 
1,0 
2.4 
21,6 
1.6 
2.6 
0.9 
0. 
0.3 
2~ 
5.1 
7 _ 
5.2 
47,3 
2,0 
".4 
1.4 
1.4 
3.S 
5.1 
3.6 
14.6 
1.2 
6,8 
9,2 
0,3 
1,5 
1.2 
2,3 
0.4 
2,5 
0.9 
0.2 
12.6 
5.4 
5.3 
4.0 
1.3 FIFG For 
Objective 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
o.o 
0.0 
o.o 
0.0 
0.0 
0.0 
0.0 
o.o 
0.0 
o.o 
0.0 
o.ol 
0.0 
0.0 
0.0 
o.o 
0,0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 0,0 
0.0 
0.0 
0.0 
2.0 
0.0 
0.0 
0,0 
2.0 
0,0 
0.0 
0,0 
0.0 
0.0 
42,4 
0.0 
0.0 
0.0 
0.0 
0.0 
9.8 
0,0 
32,6 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0,0 
0,0 
0,0 
0,0 
11.9 
0.0 
11.9 
4,0 
0.0 
4,0 % for 
Objective 
areas 
0% 
0% 
0% 
0% 
3% 
0% 
0% 
0% 
100% 
0% 
0% 
0% 
0% 
0% 
40% 
0% 
0% 
0% 
0% 
0% 
100% 
0% 
100% 
0% 
0% 
0% 
0% 
0% 
0% 
0% 
0% 
0% 
0% 
0% 
42% 
0% 
100% 
25% 
0% 
100% 
TOTAL 751,31 253,4 111,8 38,9 102,7 o,q 60,4 24% 
* Excluding reserve 
Most of the programmes adopted in 1996 include the three measures provided for in the Commission 
guidelines for Leader II, namely: 
• acquiring skills: this measure provides for finance for informing and motivating local people, 
analysing the area's strong and weak points and drawing up a development strategy; 
• rural innovation programmes: this measure provides support for the development strategies drawn 
up by local operators for the area concerned; 
• trans-national cooperation: this measure helps with joint projects undertaken by local action 
groups or other potential beneficiaries from more than one Member State. 
A total of four national networks (three of them assisted) were set up in 1996 with a view to fostering, 
in each Member State, the exchange of information and experience between Leader II beneficiaries 
and, more generally, those' involved in rural development. The national networks are expected to be 
set up in the other Member States in 1997. 
8th Annual Report on the Structural Funds (1996) 61 
Table 1-33: Leader II - 1996 in the context of programming for 1994-99 (ECU million) 
Member State 
(number of 
programmes) 
Denmark (1) 
Germany (15) 
Greece ( 1 ) 
Spain (17) 
France (20) 
Ireland (1) 
Italy (22) 
Luxembourg ( 1 ) 
Netlierlands (4) 
Austria (9) 
Portugal (1) 
Finland (2) 
Sweden (2) 
United Kingdom (5) 
Eur. network ( 1 ) 
Total (102) Assistance* 
(1) 
8,2 
177,4 
148.0 
354,8 
190.0 
67,9 
288,7 
1,0 
8.5 
23,4 
117.6 
28.1 
16,1 
66,2 
16.0 
1.511,9 Commitment 
1996 
6,5 
15,9 
0,0 
9,5 
92,7 
0,0 
49,3 
0,0 
0,0 
18,1 
4.0 
28,1 
13,4 
10,0 
4,1 
251,7 Commitment 
1994-% 
(2) 
6,5 
140,5 
22,6 
121,6 
188,3 
7,5 
77,9 
1,0 
8,2 
20,1 
10,7 
28,1 
13,4 
66,2 
7,8 
720,4 % 
(2)/(l) 
80% 
79% 
15% 
34% 
99% 
11% 
27% 
100% 
97% 
86% 
9% 
100% 
83% 
100% 
49% 
48% Payments 
1996 
2,0 
14,3 
0,0 
9,8 
45,6 
0,0 
22.3 
0,0 
0,0 
5.7 
4,9 
8,4 
4,0 
14,8 
1,8 
133,6 Payments 
1994-96 
(3) 
2,0 
53.1 
11,3 
44,7 
61,1 
3,8 
36.3 
0,4 
2,5 
6.1 
8.4 
8,4 
4,0 
19,6 
4.7 
266,3 % 
(3)/(D 
24% 
30% 
8% 
13% 
32% 
6% 
13% 
40% 
29% 
26% 
7% 
30% 
25% 
30% 
30% 
18% 
Including national 
networks but not 
reserve 
Pesca (1994-99) 
Pesca (ECU 300 million40) provides financing to complement the structural aid available under CSFs, 
helping fishermen to retrain and firms in the sector to diversify. Operations relate to diversification in the 
fisheries sector (into tourism and crafts), improvement of occupational skills of fishermen, or obtaining the 
best return from fisheries products and improving distribution channels. Pesca applies mainly in areas 
dependent on fisheries situated in Objective 1, 2, 5(b) and 6 areas, with half the funding being earmarked for 
Objective 1 and Objective 6 regions. 
In the wake of the difficulties that affected its launch in 1995 (late adoption of the programmes, 
complex nature of the management machinery, etc.), the Pesca Initiative had a slow but steady start. 
While several projects were already being implemented in Germany, Denmark, Spain, Ireland and the 
United Kingdom, a number of major difficulties remained to be resolved in France, Italy and the 
Netherlands. Other significant events in 1996 were the adoption of the Pesca programmes for Sweden 
and Finland and the launch of the trans-national Pesca measures.41 
Table 1-34: Pesca - Programmes adopted in 1996 (ECU million) 
Finland 
Sweden 
TOTAL Total cost 
8.8 
10,5 
19.3 Assistance from the Structural Funds* 
Total 
3,4 
4.0 
7,4 ERDF 
0.9 
0,8 
1,6 ESF 
0,5 
1.0 
1.5 EAGGF 
0,0 
0.0 
0,0 FIFG 
2,1 
2.2 
4,2 For 
Objective 
areas 
0,6 
0.0 
0,6 V.. for 
Objective 
areas 
17% 
0% 
8% 
* Excluding reserve 
Compared with 1995 there has been a marked improvement in financial implementation in terms of 
commitments: a total of ECU 134.6 million was committed in 1996 - in many cases in single 
instalments - bringing the total for 1994-96 to ECU 187.7 million (71%) of the ECU 265 million 
earmarked for the entire programming period prior to the allocation of the reserve. In the case of 
Belaium, Germany, France, Sweden and Finland, all the appropriations provided for in the 
40 At 1996 prices, including the reserve. 
41 See above. 
62 8th Annual Report on the Structural Funds (1996) 
programming plans have been committed. The extent to which payments have been taken up remains 
relatively low, however: altogether, ECU 20.6 million has been paid to the thirteen Member States 
concerned, bringing the total for the period to ECU 37.9 million, i.e. 14% of the assistance. 
Table 1-35: Pesca - 1996 in the context of programming for 1994-99 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (1) 
Denmark ( 1 ) 
Germany ( 1 ) 
Greece (1) 
Spain (1) 
France (1) 
Ireland (I) 
Italy (1) 
Netherlands (1) 
Portugal (1) 
Finland (1) 
Sweden (1) 
United Kingdom (1) 
Total (13) Assistance* 
(I) 
2,0 
16,4 
23,0 
27,1 
41,5 
28,3 
7,8 
34.2 
10,6 
29,3 
3,4 
4,0 
37,4 
265,0 Commitment 
1996 
1,7 
9,5 
19,4 
22,3 
0,0 
9,5 
6.1 
0,0 
9,3 
23,2 
3,4 
4,0 
26,2 
134,6 Commitment 
1994-96 
(2) 
2.0 
12,3 
23.2 
26,8 
6,9 
28,3 
7,2 
4,4 
10,5 
27,5 
3,4 
4,0 
31,3 
187,7 % 
(2)/(D 
100% 
75% 
101% 
99% 
17% 
100% 
91% 
13% 
99% 
94% 
100% 
100% 
84% 
71% Payments 
1996 
0,4 
0,8 
0,0 
0,3 
0,0 
8,5 
0,7 
0,0 
1.1 
4,5 
1,1 
1,2 
1,9 
20,6 Payments 
1994-96 
(3) 
0.6 
2,2 
1.9 
2,6 
3,5 
8,5 
1.3 
2.2 
1.7 
6.6 
U 
1.2 
4,5 
37,8 % 
(3)/(l) 
30% 
13% 
8% 
9% 
8% 
30% 
17% 
6% 
16% 
23% 
33% 
30% 
12% 
14% 
* Excluding reserve 
SMEs Initiative (1994-99) 
The SMEs Initiative (ECU 1 087 million42) responds to the need for SMEs to adapt to the constraints of the 
internal market and the globalisation of economies. The SMEs Initiative is intended in particular for Objective 
1 and Objective 6 regions, where close on 80% of the appropriations will be spent. 
Technological innovation at the heart of the SMEs Initiative: 
This is the principal Community Initiative that fosters technological development in small firms. Under the 
programmes, more than 15% of the Structural Funds appropriations are allocated to research and 
development, to telecommunications services and to data transmission applications, the latter being the 
subject of close attention. It should be recalled that the SMEs Initiative is a continuation of the Stride 
(strengthening technological potential in less-favoured regions), Prisma (improved services for firms) and 
Télématique (using advanced telecommunications services) Initiatives, some of the current programmes being 
based on the experience gained and the progress achieved in the context of those Initiatives. Measures 
eligible for support cover, on the one hand, improvements in production and organisation systems in small 
firms through non-tangible investments (technological innovation and advanced communication and 
information systems) and, on the other, cooperation between research centres and SMEs, the aim being to 
match regional research activities and local needs and thus better satisfy SME requirements in terms of 
technological transfer and applications. Under the programmes, adapting to the new information and 
communication technologies and applications thereof within firms qualifies for about 40% of the Community 
appropriations intended for technological innovation. The measures concern in particular improved access 
for SMEs to data transmission services and networks and distance working. As regards measures to 
encourage RTD, which attract over a third of the appropriations for technological innovation, there are 
significant differences as between programmes with none provided for under the Greek programmes whereas 
they constitute a major component of other programmes (e.g. 47%> both for the United Kingdom and for the 
Netherlands). Such measures include support for innovation, technological transfer and cooperation between 
SMEs and research and technology transfer centres). . 
42 At 1996 prices, including the reserve. 
8th Annual Report on the Structural Funds (1996) 63 
Tourism SMEs on the Internet: 
Encouraging SMEs operating in the tourist industry to advertise and trade via the Internet is one of the three 
trans-national measures launched by the Commission in 1996.43 It is aimed at helping tourism SMEs to be 
present on worldwide multimedia networks, and thereby enable them to benefit from electronic advertising 
and commercial activities. In an industry such as that of tourism, in which the emphasis is increasingly on 
large-scale markets and on highly integrated supply, it is very difficult for SMEs to fund marketing strategies 
on a pan-European scale, hence the need for coordination at local, regional and Community level. The aim is 
accordingly: 
• to create, at European level, a coordination structure that will constitute a common Internet access point 
for tourism SMEs; 
• to set up a system of regional or local agents responsible for concentrating and managing the provision, 
via the Internet, of services to tourism SMEs and for creating an interface between potential clients and 
local SMEs. 
The Commission has received more than 180 proposals for projects relating to agents whose task would be to 
coordinate the regional or local initiatives. Selection was expected to take place in the first half of 1997, the 
programmes themselves being launched before the end of that year. 
In relation to the 36 programmes planned overall, a total of 14 new programmes were adopted in 
1996, accounting for ECU 511.8 million in assistance from the Structural Funds, i.e. about 47% of the 
total (ECU 1 087 million including the reserve and ECU 1 062 million without it). Since 21 
programmes were adopted in 1995, there remained only one SMEs Initiative programme to be 
adopted (that for the United Kingdom). 
Table 1-36: SMEs Initiative - Programmes adopted in 1996 (ECU million) 
Be\aium-Flanders 
Denmark 
Germany 
Baden- Wurltemberg 
Lower Saxony 
Brandenburg 
Rhineland-Palatinate 
Saarland 
Schleswig-Holstein 
Spain 
Italy 
Luxembourg 
Austria 
Finland 
Sweden 
TOTAL Total cost 
8,6 
5,1 
43.5 
1.8 
9.5 
20.9 
4.6 
3.1 
3.6 
1.383,1 
645.5 
1.4 
34,8 
27.9 
48.8 
2.198,8 Assistance from the Structural Funds* 
Total 
2.7 
2.6 
26,2 
0,9 
4,~ 
14.9 
2.3 
1.5 
1.8 
251,1 
191,7 
0.3 
9.C 
11.1 
17,2 
511.8 ERDF 
2,7 
2,6 
21,2 
0.9 
4.3 
10,4 
2.3 
1.5 
1.8 
251,1 
184,0 
0,3 
7,6 
7.4 
13.0 
489,9 ESF 
0,0 
0,0 
5,0 
0.0 
0.5 
4.5 
0.0 
0.0 
0.0 
0,0 
7,6 
0.1 
1,4 
3,7 
4,2 
21,9 EAGGF 
0,0 
0,0 
0.0 
0.0 
0.0 
0.0 
0,0 
0.0 
0.0 
0,0 
0.0 
0.0 
0.0 
0.0 
0.0 
0,0 FIFG 
o,c 
0,0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0,0 
0,0 
0,0 
0.0 
0.0 
0.0 
0,(1 For 
Objective 1/6 
areas 
0.0 
0,0 
14,9 
0.0 
0.0 
14.9 
0.0 
0.0 
0.0 
226.8 
160.4 
0,0 
0,8 
5,1 
3,6 
411,6 % for 
Objective 1/6 
areas 
0% 
0% 
57% 
0% 
0% 
100% 
0% 
0% 
0% 
90% 
84% 
0% 
8% 
46% 
21% 
80% 
Excludinu reserve 
In 1996 the Commission committed ECU 181.9 million, corresponding to 35% of the amount for the 
programmes approved in 1996 and 18% of the total for programming under the SMEs Initiative 
approved since 1994. In terms of commitments these are fairly low figures compared with other 
Initiatives. Of the fourteen programmes adopted in 1996, two are financially sizeable programmes 
under national management (Spain and Italy). Since these are Community Initiative programmes of 
upwards of ECU 40 million, the commitments concern the 1996 instalment only. The twelve other 
programmes, covering smaller amounts, were the subject of a single commitment. The total 
commitment in respect of the SMEs Initiative since 1994 is 38% of the total for the programmes 
approved under that Initiative. The level of payments (less than half that of commitments) shows that 
the programmes are still at an initial phase. 
43 See 1.1 above: Overview. 
64 8th Annual Report on the Structural Funds (1996) 
Table 1-3 7: SMEs Initiative - 1996 in the context of programming for 1994-99 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (2) 
Denmark (1) 
Germany (15) 
Greece (1) 
Spain (1) 
France(3) 
Ireland (1) 
Italy (1) 
Luxembourg (1) 
Netherlands (1) 
Austria ( 1 ) 
Portugal ( 1 ) 
Finland (1) 
Sweden ( 1 ) 
United Kingdom (4) 
Total (35) Assistance* 
(1) 
12,1 
2,6 
184,2 
83,3 
251,1 
58,5 
28,8 
191,7 
0,3 
10,3 
9,0 
124,0 
11,1 
17,2 
20,1 
1.004,3 Commitment 
1996 
4,6 
2,6 
41,7 
18.3 
35,3 
0.4 
2,3 
44,7 
0,3 
0,8 
9,0 
1,2 
7,4 
13,0 
0,4 
181,9 Commitment 
1994-96 
(2) 
12,1 
2,6 
142,9 
28,8 
35,3 
15.8 
28,8 
44,7 
0,3 
10,3 
9,0 
14,4 
7,4 
13,0 
20,1 
385,4 % 
(2)/(D 
100% 
100% 
78% 
35% 
14% 
27% 
100% 
23% 
72% 
100% 
100% 
12% 
67% 
76% 
100% 
38% Pavments 
t 
1996 
1,8 
0,8 
26,3 
9,2 
17,6 
0,2 
0,7 
22,4 
0,1 
0,2 
'2,7 
0,6 
2.2 
3,9 
0,1 
88,7 Payments 
1994-96 
(3) 
4.0 
0,8 
57,1 
14,4 
17,6 
4,8 
8,6 
22,4 
0,1 
3,1 
2,7 
7,2 
2,2 
3,9 
7,4 
156,4 % 
(3)/(l) 
33% 
30% 
31% 
17% 
7% 
8% 
30% 
12% 
22% 
30% 
30% 
6% 
20% 
23% 
37% 
16% 
* Excluding reserve 
Regis (1994-99) 
Regis (ECU 612 million44) is intended to improve integration into the Community of the most remote 
regions. The measures are aimed at achieving diversification of economic activity, consolidation of links with 
the rest of the Union, cooperation between remote regions, natural risk prevention and vocational training. 
Regis and the development of the technological potential of the most remote regions: 
The measures being considered with a view to forging closer ties between the most remote regions and the 
rest of the Community include in particular the upgrading of telecommunications infrastructure and training 
in the new technologies. They represent 5.5% of Structural Fund appropriations for Regis programmes. 
Measures in the field of RTD - in particular support for the transfer of know-how - make up the bulk of the 
appropriations earmarked for technological development. Access to advanced telecommunications and data 
transmission services also accounts for a major share, the aim being to bring the regions concerned closer to 
the sources of information and thus reduce their isolation. 
In 1996 three new programmes for France were adopted which together attracted a contribution of 
ECU 150.5 million from the Structural Funds, i.e. about 25% of the total of ECU 612 million 
earmarked for Regis. Following the adoption of three other programmes in 1995, all the programmes 
under Regis have now been approved. 
Table 1-38: Regis - Programmes adopted in 1996 (ECU million) 
France 
(iuudeloupc 
French (iuiana 
Xlartmiaue 
TOTAL Total cost 
295,0 
123.9 
4~,3 
123.8 
295,0 Assistance from the Structural Funds* 
Total 
150,5 
61.3 
28.4 
60.8 
150,5 ERDF 
79,2 
33.8 
16,3 
29.1 
79,2 ESF 
25.3 
10.0 
4.2 
11.1 
25,3 EAGGF 
44.5 
16,5 
',4 
20.6 
44.5 FIFG 
1.5 
1.0 
0.5 
0.0 
1.5 For 
Objective 
areas 
150,5 
61,3 
28.4 
60.8 
150,5 % for 
Objective 
areas 
100% 
100% 
100% 
100% 
100% 
Excluding reserve 
In 1996 the Commission committed ECU 158 million, with the commitment in respect of the second 
instalment for 1996 for the two programmes with the largest amounts (Portugal and Spain) 
accounting for about 80% of this figure. Altogether 36% of the Structural Funds assistance for this 
Initiative has 
44 At 1996 prices. 
Slh Annual Report on the Structural Funds (1996) 65 
been committed since 1994. This level of commitment and the level of payments show that the 
implementation of these two programmes is progressing satisfactorily. 
Table 1-39: Regis - 1996 in the context of programming for 1994-99 (ECU million) 
Member State 
(number of 
programmes) 
Spain (I) 
France (4) 
Portugal (I) 
Total (6) Assistance* 
(1) 
216,9 
266,1 
124,0 
607,0 Commitment 
1996 
47,4 
52.2 
58,3 
158,0 Commitment 
1994-96 
(2) 
75,4 
60,9 
80,4 
216,8 % 
(2)/(D 
35% 
23% 
65% 
36% Payments 
1996 
59,9 
20,4 
55.3 
135,6 Payments 
1994-96 
(3) 
59.9 
24,8 
72.9 
157,6 % 
(3)/(l) 
28% 
9% 
59% 
26% 
* Excluding reserve 
The industrial conversion Initiatives (Rechar, Résider and Konver) and technological innovation: 
The industrial conversion Initiative guidelines attach a great deal of importance to adapting to the new 
technological environment. They encourage cooperation between firms and research centres, universities, 
technology transfer and training centres; innovation in industry and services through the gathering of 
information on innovative products and processes; and, in particular in the case of Konver, the dissemination 
of innovative methods of production and new systems of business organisation. It is difficult, however, to 
draw up a detailed list of the measures and, therefore, of the appropriations specifically allocated to those 
measures under the various programmes since they are more often than not part of larger industrial 
conversion measures. 
Rechar (1994-99) 
Rechar (ECU 462 million43) supports conversion in the areas worst affected by the decline of the coal 
industry, with priority being given to environmental protection, to the rehabilitation of former mining 
buildings, to new economic activities (in particular for SMEs) and to training and employment. 
In relation to the planned overall total of 30 programmes, four new programmes were adopted in 1996 
which together accounted for a Structural Funds contribution of ECU 83.2 million, i.e. 18% of the 
ECU 462 million earmarked for Rechar II (including the reserve - ECU 408 million without). All the 
Rechar II programmes have now been adopted, since 26 had already been adopted in 1995. 
Table 1-40: Rechar - Programmes adopted in 1996 (ECU million) 
Germany: Urandenhurg 
Spain 
France; Xord-'l'as-de-t 'alais 
Austria: Stvria. Upper Austria 
TOTAL Total cost 
49,3 
60,0 
39,3 
7,0 
155.6 Assistance from the Structural Funds* 
Total 
30,3 
34,2 
16,9 
1.8 
83,2 ERDF 
21.2 
34.2 
16,9 
1.4 
73,7 ESF 
9,1 
0,0 
0.0 
0,4 
9.5 EAGGF 
0.0 
0.0 
0.0 
0.0 
0,0 FIFG 
0.0 
0.0 
0.0 
0,0 
0,0 For 
Objective 
areas 
30.3 
28,4 
8.3 
0,0 
66,9 % for 
Objective 
areas 
100% 
83% 
49% 
0% 
80"/,. 
* Excluding reserve 
Rechar - Example of a programme adopted in 1996 : Nord/Pas-de-Calais region (France) 
The programme will, in the context of the redevelopment of former industrial land, encourage 
the setting up of schemes to restructure sites for multi-purpose uses and enhance the value of 
the industrial heritage. Part-financed operations will have to be fully integrated into the 
development strategy of the areas concerned and give due importance to quality. Priority is in 
particular given to the three sites steeped in the region's mining history (Pit 11/19 at Loos-en-
45 At 1996 prices, including the reserve. 
66 8th Annual Report on the Structural Funds (1996) 
Gohelle, Pit 9/9a at Oignies and the Aremberg pit at Wallers), the aim being to link up in a 
network with the mining centre of Lewarde. The heritage and historical value of the three 
sites is officially recognised and there is, by virtue of the location (proximity to the mining 
belt, the future Dourges hub and the State forest), genuine potential for development. 
The 1996 commitments correspond to 29% of the Structural Funds assistance for programmes 
approved since 1994. With the exception of some programmes adopted in 1995 (Rhineland-
Westphalia, East Midlands and Yorkshire), Rechar programmes fell under the ECU 40 million mark 
and, when they were adopted, ^were the subject of a single commitment. Accordingly, the 1996 
commitments largely concern programmes adopted in 1996. The 1996 payments also relate above all 
to programmes adopted in 1996. Aggregate payments in 1994-96 represent 33% of the assistance 
from the Structural Funds for programmes adopted during that period. Since this is an Initiative which 
was initially scheduled for 1994-97, the level of payments in 1994-96 suggests that some CI 
programmes might, with the benefit of the flexibility afforded in the context of the allocation of the 
reserve, be extended until 1999. 
Table 1-41: Rechar - 1996 in the context of programming for 1994-97 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (2) 
Germany (7) 
Greece (1) 
Spain (1) 
France (7) 
Italy (2) 
Austria ( 1 ) 
Portugal (1) 
United Kingdom (8) 
Total (30) Assistance* 
(I) 
15.7 
158,6 
1,5 
34.2 
33,5 
1,7 
1.8 
0,9 
163,2 
411,2 Commitment 
1996 
0,0 
62.6 
0.2 
32.7 
17,9 
0,0 
1,1 
0,0 
5,6 
119,9 Commitment 
1994-96 
(2) 
15,7 
118,5 
1,5 
32,7 
33.3 
1-7 
1,1 
C9 
87,1 
292.5 % 
(2)/(l) 
100% 
75% 
100% 
95% 
99% 
100% 
60% 
100% 
53% 
71% Payments 
1996 
0,0 
23,2 
0.1 
16.3 
14,9 
0.5 
0,6 
0.4 
5,7 
61,6 Payments 
1994-96 
(3) 
7,8 
50,0 
0.8 
16.3 
16,7 
0.8 
0,6 
0,7 
43,6 
137,2 % 
(3)/(l) 
50% 
32% 
50% 
48% 
50% 
50% 
30% 
80% 
27% 
33% 
Excluding reserve 
Konver (1994-99) 
Konver (ECU 739 million46) supports economic diversification in areas that are heavily dependent on the 
defence industry, through the conversion of activities related to that sector and the encouragement of activities 
in non-military industrial sectors. At least 50% of the financing is earmarked for Objective 1, 2, 5(b) or 6 
areas. 
In relation to a planned total of 45 programmes for 1994-99, six new programmes were adopted in 
1996. The Structural Funds assistance was ECU 136.3 million, i.e. about 18% of the total of ECU 739 
million (including the reserve - ECU 509 million without it). After the adoption of 37 programmes in 
1995 only two Konver programmes remained to be adopted, one for Spain and the other for 
Luxembourg. 
46 At 1996 prices, including the reserve. 
8th Annual Report on the Structural Funds (1996) 
Table 1-42: Konver - Programmes adopted in 1996 (ECU million) 
Germany 
Baden- Wuritemberg 
Brandenburg 
Saxony 
Italy 
Netherlands 
Sweden: Karlskoga. Karlsborg 
TOTAL t Total cost 
146.4 
sir 
53.9 
40.9 
250.4 
32.0 
11.4 
440.3 Assistance from the Structural funds* 
Total 
74.9 
12.-
3-.1 
25.1 
46.1 
12,0 
3.3 
136,3 ERDF 
54,9 
11.3 
26,0 
1~,6 
46,1 
11,0 
2,6 
114,6 ESF 
20.0 
1.3 
11.1 
~t5 
0.0 
1,0 
0,7 
21,7 EAGGF 
0.0 
0.0 
0.0 
o.o 
0.0 
0.0 
0.0 
0,0 FIFG 
0.0 
0,0 
o.o 
o.o 
0.0 
0.0 
0.0 
0,(1 For 
Objective 
areas 
62.2 
0.0 
3'.1 
25.1 
6,3 
0.0 
0.0 
68,5 % for 
Objective 
areas 
83% 
0% 
100% 
100% 
14% 
0% 
0% 
50% 
' Excluding reserve 
With the exception of the Italian programme, Community assistance for the programmes adopted in 
1996 was less than ECU 40 million and, accordingly, was generally committed in full. Moreover, 
most of the 1996 commitments concern programmes adopted in the course of that year. Altogether, 
commitments and payments up to 1996 account for 74% and 36% of total assistance respectively. 
Since this is a new Initiative, delays in the implementation of certain programmes could well justify 
possible requests that they be extended beyond the period originally planned. 
Table 1-43: Konver - 1996 in the context of programming for 1994-9 7 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (3) 
Denmark (1) 
Germany (16) 
Greece (1) 
France (17) 
Italy (1) 
Netherlands (1) 
Portugal (1) 
Sweden (1) 
United Kingdom (1) 
Total (43) Assistance* 
(1) 
11,5 
2,4 
233,9 
12,9 
71,0 
46,1 
12,0 
7,9 
3,3 
101,9 
503,0 Commitment 
1996 
0,0 
0,0 
89,0 
0,0 
6,3 
21,6 
11,0 
0,0 
2,6 
2,5 
133.0 Commitment 
1994-96 
(2) 
11,5 
2,4 
219,6 
11,5 
70,7 
21,6 
11,0 
7,9 
2,6 
12,5 
371,2 % 
(2)/(D 
100% 
100% 
94% 
89% 
100% 
47% 
91% 
100% 
78% 
12% 
74% Payments 
1996 
0,0 
0.0 
70,8 
0,0 
3.1 
10.8 
3,3 
0,0 
0.8 
6,2 
95.1 Payments 
1994-96 
(3) 
5,7 
1.2 
109.5 
5,7 
35,1 
10,8 
3,3 
3,9 
0,8 
6,2 
182,4 % 
(3)/(l) 
50% 
50% 
47% 
44% 
49% 
23% 
27% 
50% 
24% 
6% 
36% 
Excluding reserve 
Résider (1994-99) 
Résider (ECU 579 million47) supports conversion in steel-producing areas. Like Rechar II, it gives priority to 
environmental protection, to new economic activities and to human resources, the aim being to speed up 
adjustment to radical change in the economic conditions in the areas concerned. The measures planned are of 
the same type as those under Rechar II. 
In 1996 a total of seven new programmes were adopted out of the 28 planned, the assistance from the 
Structural Funds being ECU 232.5 million, i.e. 40% of the total of ECU 579 million (including the 
reserve - ECU 524.6 million without it) allocated to Résider. This leaves only one Résider programme 
to be adopted - a programme for Luxembourg - since twenty were adopted in 1994 and 1995. 
47 At 1996 prices, including the reserve. 
68 8th Annual Report on the Structural Funds (1996) 
Table 1-44: Résider - Programmes adopted in 1996 (ECU million) 
Germany: Brandenburg 
Spain 
France 
Lower Normandy 
X'ard/Pas-de-C 'alais 
Italy 
Austria-S/yriu, Lower Austria, Upper Austria 
United Kingdom: England 
TOTAL Total cost 
42.4 
464.3 
67,5 
2ir 
45.' 
505.6 
30.4 
48.9 
1.159,0 Assistance from the Structural Funds* 
Total 
26.2 
73.6 
19.5 
5.1 
14.4 
85,6 
5.2 
22.3 
232,5 ERDF 
18,4 
73.6 
19.5 
5.1 
14.4 
85,6 
4.4 
19,0 
220,5 ESF 
7.9 
0.0 
0.0 
0.0 
0.0 
0.0 
0.8 
3.3 
12,0 EAGGF 
0.0 
o.o 
0,0 
0.0 
0.0 
0,0 
0.0 
0.0 
0,0 For 
FIFG Objective 
areas 
0.0 
0,0 
0.0 
o.o 
0.0 
o.o 
0.0 
0.0 
o.c 26.2 
35.4 
2.8 
0,0 
2.8 
29.0 
0.0 
0,0 
93,5 % for 
Objective 
areas 
100% 
48% 
15% 
0% 
20% 
34% 
0% 
0% 
40% 
• Excluding reserve 
Résider - Examples of programmes adopted in 1996 : 
In Spain the Avilés area is using Résider to equip and launch an enterprise 
centre housed on the former site of the "Curtidora" firm. The conversion work 
is being funded by Résider. The new facilities will comprise 23 office units 
totalling 4 200 m2 and 1 200 m" of workshops. 
In France (Lower Normandy), the cessation of steelworking at Caen has 
made it imperative to define a strategy for converting the employment area 
(industrial and port activities, training and land use). The central concern is to 
define a new economic activity, the aim being firstly to establish a link with 
the conurbation, by including the' converted site in the local public transport 
network and by involving local SMEs in the work, and secondly to set up, 
with the help of firms, a prospecting and engineering method that can lead to 
the creation of a sizeable agri-foodstuffs site at Caen. Several stages are 
planned: 
• surveys covering potential major international investors and SMEs within 
the industry, the aim being to identify the most dynamic sectors and 
investors' actual expectations; 
• development of the area: clean factories, technological and display area; 
reception area for firms from other sectors (biotechnology, 
pharmaceuticals, cosmetics) and joint services. 
Most of the Community assistance has been committed, except for the three biggest programmes in 
financial terms (Rhineland-Westphalia, Italy and Spain), for which only the first instalment has been 
committed. The 1996 commitments accordingly concern programmes adopted in the course of the 
year. They correspond to about 26% of the Structural Fund assistance approved up to the end of 1996. 
Cumulative commitments and payments since 1994 amount to 60% and 30% respectively of the 
Community assistance for approved programmes. 
Table 1-45: Résider - 1996 in the context of programming for 1994-97 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (2) 
Germany (9) 
Greece (1) 
Spain (1) 
France (7) 
Italy (1) 
Netherlands ( 1 ) 
Austria (I) 
Portugal (1) 
United Kingdom (3) 
Total (27) Assistance* 
(1) 
24,4 
192,8 
4,7 
73.6 
62.1 
85,6 
18,1 
5,2 
6,9 
45,5 
518,9 Commitment 
1996 
0,0 
36,6 
0,6 
7,6 
23,5 
42.8 
0,0 
4,4 
0,0 
19.0 
134,4 Commitment 
1994-96 
(2) 
23,7 
99,1 
4,7 
7,6 
62,1 
42,8 
18,1 
4,4 
6,9 
42,2 
311,5 % 
(2)/(D 
97% 
51% 
100% 
10% 
100% 
50% 
100% 
84% 
100% 
93% 
60% Payments 
1996 
6.3 
20,8 
0.3 
3.8 
II.7 
21,4 
1,0 
2.2 
2.6 
9,5 
79,6 Payments 
1994-96 
(3) 
11,8 
52,0 
2,3 
3,8 
29,3 
21,4 
8,4 
2,2 
5,5 
21,1 
157,9 % 
(3)/(D 
48% 
27% 
50% 
5% 
47% 
25% 
46% 
42% 
80% 
46% 
30% 
Excluding reserve 
8th Annual Report on the Structural Funds (1996) 69 
Retex (1994-99) 
Retex (ECU 607 million48) aids economic diversification in areas heavily dependent on textiles and clothing 
by: encouraging counselling services and non-productive facilities that can improve the expertise of firms; 
and providing support for local groups of firms and for cooperation measures, staff training and business 
services. 
In 1996, of the 21 CIPs, three new programmes were adopted and one programme (Baden-
Wurttemberg) extended until 1997. Assistance from the Structural Funds totalled ECU 7.3 million, 
i.e. about 1% of the ECU 607 million (including the reserve - ECU 525 million without it) allocated 
until 1999. All Retex II programmes have now been approved or - in the case of those adopted in 
1993 at the time of the launch of the Initiative - extended. 
Table 1-46: Retex - Programmes adopted in 1996 (ECU million) 
Belgium: Flanders 
Germany: Brandenburg 
Austria: Lower Austria. Styria and Vorarlberg 
TOTAL Total cost 
3.0 
6.0 
16.2 
25.3 Assistance from the Structural Funds* 
Total 
1,4 
3.3 
2.6 
7,3 ERDF 
0.9 
2,3 
1.9 
5.1 ESF 
0.5 
1.0 
0," 
2.2 EAGGF 
0.0 
0,0 
0.0 
0.0 FIFG 
0.0 
0.0 
0.0 
0.(1 For 
Objective 
areas 
0,0 
3.3 
0.0 
3,3 % for 
Objective 
areas 
0% 
100"!'. 
0% 
45% 
* 1994-97. excluding reserve 
Since this is the only Initiative covering the period 1993-97, Community assistance and the 
commitments and payments also concern programmes adopted from 1993 onwards. In the case of 
programmes adopted in 1996 the commitments and payments for 1996 substantially exceed the 
assistance from the Structural Funds. For 1994-96, commitments and payments account for 66% and 
35% respectively of the assistance from the Funds. 
Table 1-47: Retex - 1996 in the context of programming for 1994-97 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (2) 
Germany (8)** 
Greece (1)** 
Spain (1)** 
France (1)** 
Ireland (1)** 
Italy (2)** 
Netherlands (I) 
Austria (1) 
Portugal (1)** 
United Kingdom (2) 
Total (21)* Assistance* 
(1) 
4,4 
70,3 
87,5 
90.4 
28,9 
11,4 
79,0 
1.0 
2.6 
194.8 
36.6 
607,0 Commitment 
1996 
1,4 
9,5 
50,2 
0,0 
0,0 
1,1 
0,0 
0,0 
2,6 
83,4 
6,2 
154,4 Commitment 
1994-96 
(2) 
4,4 
32,3 
62,0 
38,5 
7,0 
8,1 
12,1 
1,0 
2,6 
194,8 
36,1 
399,0 % 
(2)/(l) 
100% 
46% 
71% 
43% 
24% 
71% 
15% 
100% 
100% 
100% 
99% 
66% Payments 
1996 
0,7 
8,6 
25,9 
0,0 
0.0 
0.0 
0,0 
0,0 
1.3 
27,4 
4.0 
67,8 Payments 
1994-96 
(3) 
2.2 
16,7 
35,0 
34,2 
3.4 
4,1 
6.0 
0.5 
1.3 
90,4 
18.1 
211,9 % 
(3)/(l) 
50% 
24% 
40% 
38% 
12% 
35% 
8% 
50% 
50% 
46% 
49% 
35% 
* Excluding reserve 
** Including programmes adopted in 1993 (1993-97 assistance, commitments and payments). 
Urban (1994-99) 
Urban (ECU 891 million49) helps in the search for solutions to the crisis affecting a number of urban areas. It 
does so by supporting economic and social revitalisation via the launch of new economic activities: the 
renewal of social, health and safety infrastructure and facilities; employment for local people; and the 
improvement of the environment in connection with the above-mentioned measures. The projects must have a 
demonstration effect as regards other urban areas and should be part of longer-term urban integration 
strategies. Two thirds of the financing is earmarked for Objective 1 regions. 
48 At 1996 prices, including the reserve. 
4Q At 1996 prices, including the reserve. 
8th Annual Report on the Structural Funds (1996) 
CHAPTER VII FINANCIAL IMPLEMENTATION 1994-96 307 
TABLE 1 : FINANCIAL IMPLEMENTATION 1994-96 BY OBJECTIVE 309 
TABLE 2 : FINANCIAL IMPLEMENTATION 1994-96 OF THE COMMUNITY INITIATIVES 317 
TABLE 3: FINANCIAL IMPLEMENTATION 1994-96 OF TRANSITIONAL AND 
INNOVATIVE MEASURES 326 
CHAPITER VIII REGIONAL BREAKDOWN OF FINANCIAL 
IMPLEMENTATION 329 
TABLE 1 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1996 331 
TABLE 2 : REGIONAL BREAKDOWN OF FINANCIAL IMPLEMENTATION 1994-96 337 
CHAPTER IX MAJOR PROJECTS 343 
MAJOR PROJECTS 345 
CHAPTER X ERDF AND ESF PILOT PROJECTS 347 
ABBREVIATIONS AND ACRONYMS 355 
70 8th Annual Report on the Structural Funds (1996) 
In relation to a total of 44 programmes submitted by the Member States, 25 new programmes were 
adopted in 1996, including one in respect of the reserve. Assistance from the Structural Funds totalled 
ECU 296.6 million, i.e. about 33% of the ECU 891 million (including the reserve - ECU 668 million 
without it) allocated to Urban. All Urban programmes have now been adopted, since eighteen had 
already been adopted in 1995. 
Table 1-48: Urban - Programmes adopted in 1996 (ECU million) 
ToUl cost ToUl ERDF Assistance from »h> Stn.ri.,r_l Fynilc 
ESF EAGGF FTFG For 
Objective 
areas % for 
Objective 
area. 
Belgium: Brussels 
Germany 
Saxtmy-Anhalt (Halle) 
Saarhruek 
France 
Alsace (Mulhouse) 
Ile-de-France (Aulnay-sous-Bois) 
Ile-de-France (Les Mureaux) 
Nord/Pas-de-Calais ( Rtmhaix-Tourcoing) 
Nord/Pas-de-Calais (Valenciennes) 
Picardy (Amiens) 
Provence-Alpes-Côte d'Azur (Marseille) 
Rhône-Alpes (L\on-£st) 
Ireland 
Italy 
Austria: Graz** 
Sweden: Malmtl*** 
Finland: Joensuu 
United Kingdom 
East London and the Lee Valley (Hackney) 
East Midlands (Nottingham) 
Scotland (Glasgow) 
London (Park Royal) 
Manchester 
Merseyside (North Huvton. Liverpool. Netherton) 
Wales (Swansea) 
West Midlands (Birmingham) 
Yorkshire and Humberside (Sheffield) 11.1 
.27.7 
5.2 
22.6 
152.7 
20.9 
22.8 
17.0 
17.6 
9.7 
20.5 
17.6 
26.6 
21,1 
280,7 
23,4 
11,9 
5.3 
181.9.. 
17.3 
14.9 
32.7 
16.3 
17.7 
35.7 
11.7 
20.6 
14.8 2,2 
10,7 
2.7 
8.C 
55,7 
7.0 
8.9 
7.0 
7.0 
4.9 
7.0 
7,0 
7.0 
15,8 
117.7 
3.6 
. 5.C 
4,C 
81.S 
8.0 
6.8 
13.6 
7,7 
8,0 
17.3 
5.6 
8.0 
6.8 1.8 
8.3 
2.7 
5.6 
45.9 
6.0 
7.8 
6.5 
5.4 
4.5 
5.3 
3.9 
6.4 
7.9 
102,0 
2,9 
3,1 
3,1 
64.61 
6.4 
5.6 
10.0 
6.1 
5.8 
14.8 
4.4 
6.4 
_______ 0.4 
2.4 
0.0 
2.4 
9.8 
1.0 
1.1 
0.5 
1.6 
0.4 
1.7 
3.1 
0.6 
7,9 
15.6 
0,7 
1.8 
0,8 
17,2 
1.6 
1.2 
3.7 
1.5 
2.2 
2.5 
1.2 
1.6 
1.7 0.0 
0,0 
0.0 
0,0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0,0 
0.0 
0,0 
0,0 
0.0 
0.0 
0.0 
0,0 
0.0 
0.0 
0,0 
0.0 
JUL 0.C 
0.C 
o.t 
o.c 
o.c 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
o.c 
o.c 
o.c 
0.C 
0.C 
0.C 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
0.0 
____> 0,0 
2.7 
2.7 
0,0 
4.9 
0.0 
0,0 
0.0 
0.0 
4.9 
0.0 
0.0 
0.0 
15.8 
97.8 
0.0 
0.0 
4,0 
17.3 
0.0 
0.0 
0.0 
0.0 
0.0 
17.3 
0.0 
0.0 
_____ 0% 
25% 
100% 
0% 
9% 
0% 
0% 
0% 
0% 
100% 
0% 
0% 
0% 
100% 
83% 
0% 
0% 
100% 
21% 
0% 
0% 
0% 
0% 
0% 
100% 
0% 
0% 
0% 
TOTAl 71S.7I 296-til 239.81 -___J 0.01 0.C 142.51 0% 
* Excluding reserve, except for Austria and Sweden (see notes below) 
** Programme adopted in respect of the reserve 
*** Amounts include those of tbe reserve 
Urban - Examples of programmes adopted in 1996 : 
In France the programme of the city of Tourcoing (Nord/Pas-de-Calais) 
primarily supports a technology centre planned and built in partnership with 
local firms in one of the most disadvantaged neighbourhoods ("la 
Bourgogne")- It will each year provide technical training for fifty young 
people up to CAP (Certificat d'aptitude professionnelle) level. In the context 
of this project there will be a general neighbourhood educational project, the 
aim being to address the shortage of skills and the exclusion of young people. 
As well as being innovative and partnership-based, it will be in keeping with 
the strategy of redevelopment and monitoring of industrial changes in the area 
(Objective 2). 
In Italy the cities of Syracuse and Bari are each planning to revitalise their 
historical centre ("Isola d'Onigia" and "Borgo Antico" respectively). Poverty 
and a diminishing population will in both cases be addressed, firstly by the 
development of new tourism-related activities and targeted training for 
residents, and secondly by improving living conditions and controlling urban 
delinquency. 
In Finland the city of Joensuu (Northern Karelia, covered by Objective 6) is 
facing the country's worst unemployment problem. Much of its population, 
exeluded from the employment market, lives in the "Rantakylà-Utra" 
neighbourhood, a municipal housing area where alcohol, drugs and the 
break-up of families are major problems. The Urban programme will take 
action in the area by introducing measures to encourage employment and 
businesses, improve living conditions and promote training. 
8th Annual Report on the Structural Funds (1996) 71 
The large number of programmes adopted in 1996 accounts for the year's good showing (58% and 
65% respectively) in terms of commitments and payments for the period 1994-96. By the end of 1996 
about 55% of the assistance from the Structural Funds for the Initiative had been committed and 
about 24% had been paid. The level of payments (less than half that of commitments) shows that 
most of the programmes are still at the start-up phase. 
Table 1-49: Urban - 1996 in the context of programming for 1994-97 (ECU million) 
Member State 
(number of 
programmes) 
Belgium (3) 
Denmark ( 1 ) 
Germany (10) 
Greece (1) 
Spain (1) 
France (8) 
Ireland (1) 
Italy (1) 
Luxembourg (1) 
Netherlands (2) 
Austria (2) 
Portugal (1) 
Finland (1) 
Sweden (1) 
United Kingdom (10) 
Total (44) Assistance* 
(1) 
10,4 
1,5 
97.3 
45,2 
162,6 
55,7 
15,8 
117,7 
0,5 
•9,3 
13,4 
44,6 
4,0 
5,0 
98,8 
681,9 Commitment 
1996 
2,2 
0.2 
12,0 
1,1 
33,2 
53,8 
1.8 
26.4 
0,0 
0,0 
5,8 
0,0 
3,1 
3,1 
72.3 
215,0 Commitment 
1994-96 
(2) 
10,4 
1,5 
91,0 
5,6 
56,0 
53,8 
1,8 
26,4 
0,5 
7,9 
12,7 
9,2 
3,1 
3,1 
89,2 
372,4 % 
(2)/(D 
100% 
100% 
93% 
12% 
34% 
96% 
11% 
22% 
100% 
85% 
95% 
21% 
80% 
63% 
90% 
55% Payments 
1996 
1,1 
0.1 
11,3 
0,6 
22,7 
17,1 
0,9 
13,2 
0,2 
0,0 
2,3 
0,0 
1,6 
0,9 
36,1 
108,1 Payments 
1994-96 
(3) 
5,2 
0,5 
34,5 
2,3 
34,1 
17,1 
0,9 
13,2 
0,3 
2,4 
5,8 
4,6 
1.6 
0,9 
43,0 
166,2 % 
(3)/(l) 
50% 
32% 
35% 
5% 
21% 
31% 
6% 
11% 
50% 
25% 
43% 
10% 
40% 
19% 
43% 
24% 
* Excluding reserve, except for Austria (one programme) and Sweden 
Interreg II (1994-99) 
Interreg II (ECU 3 544 million50) Now has three strands: cross-border cooperation (ECU 2.4 billion at 1994 
prices, 75% of which is for Objective 1 areas); Regen (ECU 500 million at 1994 prices), i.e. the completion of 
energy networks to link them up to wider European networks; and the new Interreg II C (ECU 412.8 million 
at 1996 prices), i.e. cooperation in the field of development planning. 
Interreg IIA and the technological development of border areas: 
In the Interreg II A guidelines, the Commission invited the Member States to increase inter-regional 
cooperation in the field of research, technology and telecommunications. This applies in particular to aid for 
SMEs, for which cross-border technological transfer and cross-border networks of SMEs can be developed. It 
applies also to areas with a shortfall in terms of amenities, where improving the systems of 
telecommunications can serve to supplement the trans-European networks. Similarly, Interreg encourages 
cooperation in the field of education and culture, including cooperation between research centres in border 
areas. Although the programmes generally earmark 2.5% of the Structural Funds appropriations for this type 
of investment, the situation varies between Member States. The Netherlands, Spain, Greece and Ireland place 
the emphasis on telecommunications, in the shape of measures to develop cross-border networks and services 
(fibre optic links, advanced telecommunications centres, promotion of data transmission activities, and 
information networks). Other Member States with joint programmes focus on RTD: France, Belgium and the 
Netherlands, which provide for measures aimed at technological transfer, cooperation in the field of research 
and training in new technology. 
Example - Technical cooperation between France and Belgium: The WallonidNord/Pas-de-Calais/Picardy 
programme, which was adopted in 1996, is aimed at supporting technological innovation among SMEs. Two 
cross-border multidisciplinaiy teams have been created, one to conduct a technology watch and the other 
dealing direct with enterprises with a view to providing technical assistance and a technological transfer 
service. The teams ' tasks are as follows: 
• to provide direct technical assistance in the form of product-testing, identifying raw materials and solving 
technical problems or technological advice; ^ 
50 At 1996 prices, including the reserve. 
72 8th Annual Report on the Structural Funds (1996) 
making available to firms a test laboratory using the facilities and expertise, of the two cross-border 
teams; 
introducing new ceramic materials as an alternative solution; 
transferring technical and scientific expertise gained at the two research centres, in particular in the field 
affine ceramics; 
monitoring technological developments as regards products and processes; 
transferring technology via a specific training scheme for the workers concerned. 
In the case of the cross-bordée cooperation and Regen strands, out of a total of 62 programmes 
presented by the Member States for 1994-99, 25 were adopted in 1996, for a total of ECU 701.9 
million in assistance from the Structural Funds, i.e. about 23% of the total of ECU 3 063 million (not 
including the reserve). Altogether, three Interreg II cross-border cooperation programmes remain to be 
adopted (Italy/Slovenia, Italy/Austria and Italy/Greece), since 34 were adopted in 1996. 
Table 1-50: Interreg II - Programmes adopted in 1996 (ECU million) 
Total cost ToUl ERDF Awktanre from the Stnirtiiral Flunk' 
ESF EAGGF FIFG For 
Objective 
areas %for 
Objective 
?rwff 
Gcnnany/AuMriu 
Bclgium/Francc/L-Xcmhourj:: Wallnnia-Lt>rraine-Luxemhourg 
Belgium/France: Ardennes 
Denmark/Sweden 
Spain/Morocco 
Finland/Baltic Stales: Southern Finnish coastal area 
Finland/Russia: Karelia 
Finland/Russia: Southeast Finland 
Finland's wcden/Norwuy: North Cape 
Finland/Swedcn/Norway: Kvarken and Mittxkundia 
Finland/Sweden: islands 
France/Belgium: Nord/Pas-de Calais and Flanders 
France/Belgium: Wallonia. Nord/Pas-de-Calais and Picardy 
France/Spain 
France/Italy: Corsica/Sardinia 
France/Italy: Carxica/Tuxcanv 
France/Unilcd Kingdom: Upper Normandy. Picardy and East 
France/United Kingdom: Nord/Pas-de-Calais and Kent 
Italy/Albania: Apulia 
Italy/France 
Italy/Switzerland 
Swcden/Finland/Norwuy/Ru.-ax Barents Sea 
Sweden/Norway: Nordic Green Belt 
Sweden/Norway: Gothenburg/Bohus/Àlvshitrg 
Sweden/Norway: Inner Scandinavia 56,3 
62,2 
27.8 
28,0 
185.3 
22,7 
31.8 
4<),7 
29.2 
14,6 
93 
38,3 
148.4 
142,6 
74.2 
58.2 
80,8 
95.3 
178.2 
160,3 
52.7 
23.4 
13.0 
13.0 
10.8 2A,( 
30.2 
12.5 
13.C 
101.4 
6.1 
13.S 
9.< 
i2 a 
6/ 
4.C 
1X,( 
713 
62.4 
33.7 
18.f 
34.1 
45.1 
81.5 
57.C 
20.C 
10.5 
5.5 
5.5 
4. 17.5 
25.5 
9,7 
10.6 
100.3 
3.2 
92 
7.2 
7.2 
4.1 
3.0 
16.9 
58.6 
483 
30.0 
17.9 
29.8 
413 
70.1 
492 
15,6 
6.7 
2.1 
4.5 
3_l 3.8 
4.7 
22 
2,4 
1.1 
2,0 
3.4 
1.9 
3,4 
1.6 
0,4 
1.1 
10,7 
33 
0.7 
0,4 
43 
3,8 
8.9 
3.1 
0,0 
3,8 
2,4 
1,0 
1.4 33 
0.0 
0.6 
0,0 
0,0 
0,8 
13 
0,5 
1.6 
0.9 
0,6 
0,0 
12 
10.9 
2,9 
03 
(),() 
0.0 
23 
4.7 
4,4 
0,0 
1,0 
0,0 
0.0 0,C 
0.(1 
0,C 
(),( 
0,t! 
o.r. 
o.c 
0.C 
o.c 
0,(1 
o.c 
o.c 
().(! 
o.c 
(),( 
0.C 
o.c 
0.C 
0,( 
(),(] 
0.C 
o.c 
o.c 
o.c 0.0 
0.(1 
1.0 
0,0 
101,4 
0,0 
12.7 
4.8 
9.4 
1.1 
0,0 
0.0 
573 
0.(1 
33.7 
11.6 
0.0 
0.0 
813 
0,0 
0,0 
9.4 
53 
0.0 
L4 0% 
0% 
8% 
0% 
100% 
0% 
91% 
50% 
77% 
17% 
0% 
0% 
80% 
0% 
100% 
63% 
0% 
0% 
100% 
0% 
0% 
90% 
100% 
0% 
30% 
TOTAL, _1___2__ 701.' S913I 71.91 3831 o.rtl 330.91 47%1 
1 Excluding reserve 
The Interreg IIC strand, which was adopted in 1996, is a new instrument of trans-national cooperation 
in the field of development planning. Its purpose is to contribute to more evenly balanced land 
development in Europe by seeking a better spatial allocation of activities and the correction of 
disparities as part of a strategy of sustainable development. Interreg II C is also aimed at improving 
the impact of Community policies on land development and at encouraging, in the context of land 
development priorities that are common to adjoining geographical areas, trans-national cooperation 
between Member States and the authorities responsible for land development. Interreg II C is also 
expected to help Member States and their regions adopt a preventative and cooperative approach to 
water-management problems caused by drought and floods. It covers three main themes: general 
trans-national cooperation, flood prevention and drought control. The programmes are of a trans­
national nature and tend to concern at least three countries, of which at least two must be Member 
States, except for drought control, which can concern a single Member State, and flood prevention, 
where bilateral programmes are allowed. At the end of 1996 the Member States let it be known that 
they intended to develop jointly 14 operational programmes, which were expected to be proposed and 
approved in 1997. 
8th Annual Report on the Structural Funds (1996) 
Table 1-51: Interreg IIC - Proposals for programmes received in 1996 (ECU million) 
Field/Programme Overall budget/countries taking part 
General transnational cooperation 120,69 
A. Western Mediterranean and Latin Alps 
B. Southwest Europe 
C. Atlantic area 
D. Central and northwestern metropolitan area 
E. North Sea area 
F. Baltic Sea area (Spain, France, Italy) 
(Portugal, Spain, France) 
(Portugal, Spain, France, United Kingdom, Ireland) 
(France, Luxembourg, Belgium, Germany, Netherlands, United Kingdom, Ireland) 
(United Kingdom, Netherlands, Germany, Denmark, Sweden. Norway) 
(Germany, Denmark, Sweden, Finland, Baltic States) 
G. Centre. Adriatic, Danube and southeast Europe (Germany, Austria, Greece, Italy) 
Flood prevention 148,15 
H. Rhine-Meuse 
1. France and Italy 
J. Greece and Bulgaria (France, Belgium, Luxembourg, Netherlands, Germany, Switzerland) 
Drought control 114,00 
K. Portugal 
L. Spain 
M. Italy 
N. Greece 
TOTAL 382,84 
The commitments and payments made since 1994 concern only cross-border cooperation and energy 
networks (';A" and "B"), no decision having been taken on the programme proposals for the "C" 
strand - trans-national cooperation - transmitted to the Commission at the end of the year. Community 
assistance for five of the 25 programmes adopted in 1996 (Spain - Morocco, France - Belgium 
(Wallonia/Nord/Pas-de-Calais/Picardy)8 France - Spain, Italy - Albania and Italy - France) accounted 
for more than half (54%) of the assistance approved in 1996. Only the first instalment of those five 
programmes was committed in 1996. The commitments in 1996 exceed those in respect of the 
programmes adopted in the course of the year since they also cover the second instalment of 
programmes adopted in earlier years. Payments amount to 23% of the assistance from the 
Community, showing that the programmes are mostly still at the start-up phase. 
Table 1-52: Interreg II - 1996 in the context of programming for 1994-97 (ECU million) 
(number of 
programmes) 
Total (59) Assistance* 
(1) 
2.870,5 Commitment 
1996 
752,0 Commitment 
1994-96 
(2) 
1.306,2 % 
(2)/(l) 
46% Payments 
1996 
423,5 Payments 
1994-96 
(3) 
650,1 % 
(3)/(l) 
23% 
* Excluding reserve 
Peace (1994-97) 
Peace (ECU 302 million51): The programme for peace and reconciliation in Northern Ireland is aimed at 
supporting the construction of a more peaceful and stable society by providing the resources needed to 
maintain the local social and economic fabric. The objective is to promote the social integration of people on 
the margins of economic and social life, to restore economic growth and encourage social renewal in the areas 
that have suffered most from the conflict. 
In 1996 the programme became fully operational. One of its features is that, where possible, the 
process of decision-making and implementation involve the persons concerned. Implementation itself 
is built around eight non-governmental bodies (groups and cooperatives, including one cross-border 
structure) and 26 district partnerships (bringing together representatives from political, economic and 
trade union circles, industrial promotion associations and private initiatives), which is why setting up 
the programme proved time-consuming. The first awards of aid by the non-governmental bodies were 
announced in March 1996 and, by June, all were in a position to fund projects. The 26 district 
51 At 1996 prices. 
74 8th Annual Report on the Structural Funds (1996) 
partnerships were approved and issued calls for local projects to be included in the action plans, the 
first part-financing of which was adopted at the end of the year. Decentralised structures are currently 
responsible for 57% of the funding provided for in the programme. Standard activities include aid for 
industrial promotion associations and private schemes, which often operate in collaboration with 
victims of violence and with women, young people, ex-prisoners and the long-term unemployed. The 
emphasis is on access to the employment market, in particular by providing resources for those who 
are excluded from it and by helping them take part in decision-making. Support for local potential is a 
key component, especially at district partnership level, and includes measures aimed at urban and 
rural renewal and the revitalisation of the physical, economic or social environment. The granting of 
interest rate subsidies in respect of investment loans and related services, in particular for SMEs and 
tourism, is another activity that has proved very successful. 
Events in 1996 suggest that achieving lasting peace may well be a slow process. By putting the 
emphasis on consensus, on a joint approach aimed at achieving concrete results and on forward 
planning, however, the programme is a constructive component able to underpin initiatives at various 
levels. Introduced for the first time in a Structural Funds programme, the Consultative Forum - an 
instrument within which representatives of all sectors and allegiances are responsible for the 
management of the programme - highlights these indispensable principles of participation, 
cooperation and concrete action in a new European context. 
Table 1-53: Peace - 1996 in the context of programming for 1994-97 (ECU million) 
Total Assistance 
(D 
300,0 Commitment 
1996 
95,6 Commitment 
1994-96 
(2) 
126,7 % 
(2)/(D 
42% Payments 
1996 
41,7 Payments 
1994-96 
(3) 
56,5 % 
(3)/(l) 
19% 
2. Innovative measures and technical assistance 
Each Structural Fund may finance its own specific measures covering surveys, pilot schemes or 
technical assistance. There are ceilings in respect of each Fund: 1.5% of the ERDF's annual allocation 
and 1%, 0.5% and 2%'in the case of the EAGGF, the ESF and the FIFG respectively. 
2.1. Innovative measures and technical assistance under Articles 7 and 10 of the ERDF 
Regulation 
Innovative measures under Article 10 of the ERDF Regulation 
The Commission has, for 1995-99, defined four priorities - each with a multiannual budget -
implemented by pilot projects selected following a call for proposals. Following the definition of the 
priorities in 1994,52 and the issuing of the calls for proposals in 1995,53 the process of selection took 
place in 1996, with the help of independent panels of experts, and innovative measures funded under 
Article 10 of the ERDF Regulation were launched in the field. It is worth underlining the success of 
the calls for proposals for the various innovative action programmes: for external inter-regional 
cooperation, the new sources of employment and cultural cooperation programmes, for instance, the 
Commission received a total of 865 proposals for projects (the actual figures were 243, 357 and 265 
respectively) but, because of the overall budget and the amounts earmarked for each project, it was 
able to select only 123 (50, 41 and 32 respectively). Similarly, 142 and 503 proposals have been 
received for development planning projects and urban pilot projects, of which 14 and 25 respectively 
may well be selected (in 1997). 
52 See 1994 Annual report. 
53 See 1995 Annual Report. 
8th Annual Report on the Structural Funds (1996) 75 
Table 1-54: Innovative measures (Article 10 of the ERDF Regulation) - Main areas of assistance in 
1995-99 (ECU million, at1995 prices) 
Main area of assistance 
Inter-regional cooperation 
- internal inter-regional cooperation 
- external inter-rerional cooperation 
Innovative regional development 
measures 
- promoting technological innovation 
- Information Society 
- culture and economic development 
- new fields of employment 
Development planning 
Urban pilot projects 
Total 180,0 
110,0 
90,0 
15,0 
15,0 
15,0 
___!__ 
45.0 
MSL 
395.0 
Inter-regional cooperation: 
Pacte 1996programme: 38 Pacte (initiation to inter-regional cooperation) projects had been selected 
in July 1995, with an implementation phase running from February 1996 to December 1997. On the 
programme launch days in Brussels on 11 and 12 March 1996, project leaders and partners took part in 
training sessions and meetings with the programme's managers. Mid-term review days to be held in 
1997 will provide an opportunity for project leaders to present the results. 
Recite internal inter-regional cooperation programme: 1996 saw the closure of the Recite I 
programme and the launch of Recite H An evaluation report on Recite I was drawn up in January 
1996 by the programme's technical assistance office. A total of thirteen* projects were completed and 
brought to a close, leaving a further 23 to be closed*. Recite I facilitated the creation of 36 cooperation 
networks, in which a total of 405 partners, regional and local municipalities, development agencies, 
chambers of commerce and private partners took part. Some of the partners were involved in more 
than one network. The work consisted of joint measures and transfers of expertise via technical 
workshops and working parties, exchanges of staff, technical fact-finding missions and public 
conferences. Concomitantly with these exchange activities, some projects developed training activities 
for staff participating in the networks and for those involved in regional development. Numerous 
theme-based studies have been carried out, supplemented by comparative studies that have enriched 
the mutual understanding between partners from different regions. Exchanges of expertise have helped 
to forge closer links and develop common approaches, develop and put into practice new information 
and communication technologies and test evaluation methodologies. 
The significant features of the launch of Recite II are the publication of the terms of the call for 
proposals and the setting-up of a technical assistance bureau. The call for proposals, which was 
published in the Official Journal on 31 October 1996 with 15 May 1997 as the closing date, selected 
five fields for cooperation: developing specific local potential, particularly for the creation of 
permanent jobs; improving access to the European market for SMEs through appropriate techniques 
for cooperation between firms; improving the supply to SMEs of services that encourage them to 
innovate; establishing and developing resource centres to enhance the value of work and improve the 
integration of women into economic life; preserving and improving the environment, in particular by 
promoting renewable sources of energy and energy saving and introducing - in particularly vulnerable 
areas - new methods and techniques to prevent the degradation of the environment. Community part-
financing per project (one third of the partners in which must be from areas eligible under Objectives 
1 and/or 6) will be between ECU 1 and 3 million. 
76 8th Annual Report on the Structural Funds (1996) 
Ecos-Ouverture external inter-regional cooperation programme: In 1996 the programme entered a 
new phase, with an increase in the overall budget and coverage extending for the first time to cities 
and regions in non-member Mediterranean countries. A call for proposals was issued at the end of 
1995 with 1 April 1996 as the closing date. A total of 243 proposals were submitted in response to that 
notice, a considerable increase on the 160 submitted in November 1994. Of the 243 proposals, fifty 
were selected for funding by the ERDF and Phare. They cover an eighteen-month period and some 
were launched as early as the autumn of 1996. 
Innovative regional development measures 
New sources of employment: In the White Paper on Growth, Competitiveness and Employment, the 
Commission identified the sectors of activity with the greatest potential for employment, and the main 
obstacles to the development of that employment. It is in that context that measures under Article 10 
are aimed, on the one hand, at promoting regional or local strategies in terms of new fields of 
employment and, on the other, at testing the creation of proximity jobs by promoting pilot projects. 
This applies to a number of priority areas, namely services to people (children, the aged, etc.), living 
conditions (renovation and modernisation of housing, collective transport, proximity shops in rural 
areas, etc.) and the environment (recycling, nature reserves, the control of pollution, etc.). The pilot 
projects are implemented for 24 months and are based on a wide-ranging partnership between local 
authorities and the private sector in areas with a population of at least 200 000. By the time of its 
closing date (3.1 January 1996) the call for proposals, which was issued in September 1995, had 
attracted 357 projects, mainly from Spain (97), Italy (82) and France (47). After evaluating them the 
Commission selected a total of 41 projects.54 
Table 1-55: Pilot projects - New sources of employment - Breakdown of projects selected in 1996 
freographical origin Principal them. 
Belgium 
Denmark 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Portugal 
Finland 
Sweden 
United Kingdom Personal services 7 
Services related to living conditions 1 
Services related to the environment 5 
Combination of the various themes 28 
Total __U .41 
The selected projects will receive an average of ECU 371 000 in Community part-financing (total: 
ECU 15.2 million) towards an average total budget of ECU 823 000. A launch seminar was held at 
Oberhausen in November 1996 in collaboration with the Land of North Rhine-Westphalia. This 
enabled the representatives of the 41 projects to engage in an exchange of views and experience, to 
receive expert advice in terms of management and monitoring and for the seeds of network 
cooperation based on topics of common interest to be sown. 
Cultural inter-regional cooperation: In response to the call for proposals published in September 
1995, the Commission received 265 proposals for pilot projects on inter-regional cultural cooperation, 
of which it selected 32. The aim of the pilot projects is to enhance the value of the regional and local 
cultural heritage and to establish cultural networks between EU regions and cities. A total of ECU 15 
million has been earmarked for these measures, with part-financing limited to ECU 600 000 per 
project. Implementation of the projects was expected to begin on 1 January 1997 and last two years. 
Cooperation could cover in particular the enhancement of the value of the historical, architectural, 
industrial and craft-industry heritage. The projects selected concern mainly the enhancement of the 
54 For projects adopted, see Chapter X - Pilot projects under Article 10 of the ERDF Regulation. 
8th Annual Report on the Structural Funds (1996), 77 
value of the heritage, the transfer of know-how with a view to carrying out restoration work, devising 
cultural itineraries and the use of new information technology in the creation of a virtual museum. 
Table 1-56: Pilot projects - Inter-regional cultural cooperation • Breakdown of the projects selected in 
1996 
Geographical origin Sample themci 
Belgium 
Germany 
Greece 
Spain 
France 
Ireland 
Italy 
Netherlands 
Austria 
Portugal 
Sweden 
United Kingdom 
Total 1 
3 
4 
5 
4 
3 
3 
1 
1 
3 
1 
-1 
31 Revitalizing the rural heritage in 
mountain areas 
Redeveloping mining sites for 
tourism purposes 
Enhancing the value of the maritime heritage 
Integrated development of spa towns 
Technological innovation and the Information Society in ERDF innovative measures: 
Promoting technological innovation, underpinning technology transfer and helping the regions adapt to the 
Information Society are the major themes of the measures financed under Article 10 of the ERDF Regulation. 
The measures are based on a coordination of the Commission's measures in favour of innovation (Action 
Plan for Innovation). In particular, Community action is aimed, on the one hand, at providing firms with 
appropriate technology and making them aware of the advantages of innovation and, on the other, at 
promoting an environment that lends itself to the use of technology by firms, thanks to': 
• better understanding of the process of innovation, the dissemination of best practice and the exchange of 
experience; 
• an improvement in the professional capabilities of the intermediaries providing support for innovation; 
• a greater ability on the part of businesses and/or research centres to make the best possible use of 
innovative techniques and processes; 
• a financial environment that encourages innovation. 
Innovative measures funded under Article 10 of the ERDF Regulation are in keeping with this approach, 
which is based on closer cooperation between the public and the private sector and on cooperation between 
regional firms and the regional infrastructure offering or services related to technological innovation and the 
Information Society. They consist of social engineering measures aimed at bringing about socio-economic 
and institutional conditions that lend themselves to the development of technological innovation and the 
Information Society. The thinking behind these measures can be summed up as "cooperating (and thus 
innovating) at local level in order to become competitive at global level". Such cooperation is seen as a key 
factor in the establishment of a innovative regional environment. 
Innovative measures and promoting innovation: 
A total of ECU 15 million is earmarked for funding regional innovation strategies in 1995-99. Implementation 
is in two parts, the first being an experimental phase covering 1994-96. In both cases two types of measure 
have been selected: innovation strategies and technology transfer projects. The period I994-9655 saw the 
implementation of eight regional technological plans (four in Objective 2 areas and four in Objective 1 
regions56) and three technology transfer projects.57 
• Example - the Regional Technology Plan for Wales: is aimed at making businesses more 
competitive by way of an action plan drawn up in the light of two years' consultations with nearly 
600 regional firms and organisations. It provides for more than sixty projects and measures, of 
which forty are expected to be launched in 1996. 
• Example • the Implace project: This is a technology transfer project coordinated by the Castile-
La Mancha and Northern Ireland regions, both of which are eligible under Objective I. It is 
aimed at encouraging the use of advanced information and communication technology by 
manufacturing SMEs in less-favoured regions. 
55 See 1995 Annual Report. 
56 Saxony, Wales, Lorraine and Limburg (Objective 2) and Castile-Leôn, Central Macedonia, Abruzzi and None 
(Objective 1) respectively. 
57 Coordinated by Extremadura, Apulia, Castile-La Mancha and Northern Ireland respectively. 
7$ 8th Annual Report on the Structural Funds (1996) 
For 1995-99 a total of 19 RIS (Regional Innovation Strategies) and seven RTT (Regional Transfer of 
Technology) projects have been selected following a call for tenders. The Commission formally adopted 12 
RIS in 199658. Regional Innovation Strategies are aimed at promoting, within the traditional productive 
tissue, the various expressions of innovation: technological innovation and research, plus economic and 
institutional innovation. 
Innovative measures and promotion of the Information Society: 
Innovative measures for the Information Society also feature two project phases (1994-96 and 1995-99) and 
two types of measures (drawing up regional strategies and developing data transmission applications). A 
total of ECU 20 million (ECU 15 million from the ERDF and ECU 5 million from the ESF) is earmarked for 
1995-99. 
The period 1994-96 saw the launch of six Irisi pilot schemes and one multiregional data transmission 
application project involving seven regions: . « 
• Irisi projects: In each of the regions,59 a broad-based partnership has been forged between local 
and regional institutions and representatives of the world of business, training, education, trade 
unions, chambers of commerce and the cooperative movement with a view to devising a regional 
strategy for the development of the Information Society. The project is aimed at developing, and 
facilitating access to, various fields: distance working, distance learning, university/research 
networks, data transmission services for SMEs, the use of data transmission for health-care 
purposes, etc. 
• The Wolf project (World Wide Web opportunities for less-favoured regions): Seven regions are 
working together to identify social, economic and technical factors that stand in the way of the 
deployment of telecommunications services in less-favoured regions. The project supports the 
development of about 100 SMEs from these regions through the use of the Internet and related 
services. 
For 1995-99, a total of 22 pilot projects introducing RISIs (Regional Information Society Initiatives) and nine 
RISI 2 regional data transmission application projects are planned. Altogether 15 RIS1 projects were 
adopted in 199660: 
• The RISI (14 funded by the ERDF and eight by the ESF) are aimed at identifying the economic 
opportunities and risks inherent in the Information Society so as to anticipate their effects. The 
focus will be on forging a regional consensus as to how to integrate the Information Society-
concept within regional development. Each region draws up a strategy and action plan approved 
by local operators and featuring, in the case of the strategy, an analysis of the current situation 
with regard to human resources and employment and scenarios for the integration of new services 
and, in the case of the action plan, a feasibility study on the applications considered. 
• The RISI 2 (seven funded by the ERDF and two by the ESF) are aimed at demonstrating the best 
practices as far as regional responses to the Information Society are concerned. Several 
municipalities will work together to prepare and launch data transmission applications, with 
priority being given to applications involving at least three regions, each of which must belong to 
a different Member State, and one third of the regions at least must qualify under Objective 1. 
Major emphasis is placed on applications that are likely to produce economic and social benefits 
and dovetail with regional development priorities on a larger scale. 
Altogether these pilot projects in favour of regional innovation and the Information Society are being 
implemented by about fifty regional authorities and will mobilise more than a thousand public or private 
regional operators. Included among the first generation of pilot projects were four Regional Technological 
Plans completed in 1996 and six Irisi about to be completed with promising results, especially as regards 
mobilising and drawing the attention of local operators to the importance of innovation and the Information 
Society in the context of economic development. The results will also prove useful in terms of the development 
of a regional strategy for public intervention in these two fields and in terms of identifying priority objectives 
in the context of the second programming phase (1997-99) in Objective 2 regions. 
Development planning: Two types of measures are provided for in the field of development planning 
under Article 10 of the ERDF Regulation. Firstly the Terra programme of pilot projects (to which 
about ECU 20 million has been allocated) is aimed at implementing innovative projects with a high 
European content/value concerned with the integrated development of specific areas, viz. coastal 
58 For projects adopted, see Chapter X. Pilot projects under Article 10 of the ERDF Regulation. 
59 Saxony, Central Macedonia, Valencia, Piedmont, Nord/Pas-de-Calais and Northwest England. 
60 For projects adopted, see Chapter X. Pilot projects under Article 10 of the ERDF Regulation. 
8th Annual Report on the Structural Funds (1996) 79 
areas, river basins, mountain areas, areas whose natural or cultural heritage is being threatened, etc. 
The projects relating to coastal areas are also part of the Community demonstration programme of 
integrated development of coastal areas. A call for proposals was issued, in respect of the Terra 
programme to regional and local authorities in the Union in 1996, in response to which 142 proposals 
were received. A limited number of proposals was preselected following their evaluation by an 
independent panel of experts and by the Commission and five were approved in 1996.61 
Moreover, pilot measures implemented in close collaboration with Member States under the ESDP 
(European Spatial Development Perspective) cover large trans-national European areas: These 
measures are supplementary to and concomitant with the Interreg II C Initiative and have been 
allocated a total of ECU 20 million. In 1996 Member States were invited to put forward joint pilot 
measures with the same objectives as the Interreg II C Initiative, of a trans-national nature and 
involving three different countries (including at least two Member States). The Member States' 
expressions of interest served to indicate five areas: the northern rim (Denmark, Finland, Sweden and 
Norway), the eastern Alps (Austria, Italy and Germany), the southeastern Mediterranean (Greece, 
Italy, Malta and Cyprus), the Rhineland-Lotharingian area (Belgium, Luxembourg, France, Germany 
and Switzerland) and a cooperation area involving Portugal, Spain and Morocco. The pilot measures 
are expected to be presented, assessed and approved in 1997. 
Urban pilot projects: Following the call for proposals issued in 1995 with an April 1996 closing date, 
the Commission received 503 proposals for urban pilot projects, of which only 25 could be selected 
(this was scheduled for the beginning of 1997). The theme that recurred most often in (in more than 
20% of the proposals) was that of an integrated approach to the development of urban areas. Dealing 
with obsolescent amenities and improving the environment also featured prominently. The themes 
vary according to the geographical provenance of the proposals: in France, Italy and Austria a 
significant number of projects focus on exploiting the assets of medium-sized cities, whereas in 
France, Spain and Italy a number of projects also concerned aspects of suburban development not yet 
brought under control. Other themes/topics, such as equal opportunities and information technology, 
have been incorporated in broader strategies. Moreover, some twenty of the pilot projects for 1989-93 
remained to be completed in 1996. They had reached the final phase, with upwards of 80% of ERDF 
appropriations paid. 
Table 1-57: Measures financed under Article 10 of the ERDF Regulation (ECU million) 
Inter-regional cooperation 
- internal inter-regional cooperation 
- external infer-retnonal cooneration 
Innovative regional development 
measures 
- promoting technological innovation 
- Information Society 
- culture and economic development 
- new sources of emnlnvmem 
fMhM-
Total overall budeet 
1995-99 
m 
180,0 
110,0 
70.0 
90,0 
15,0 
15,0 
15.0 
450 
45.0 
80.0 
395.0 Commitments 
1996 
18,0 
2,0 
16.0 
8^ 
2,5 
0.0 
\9 
14.0 
1.0 
«.0 
47J Commitments 
1994-96 
m 
23,0 
7,0 
16 0 
14,1 
6,4 
0.0 
\9 
14.0 
1.0 
7.2 
59.3 % 
13% 
6% 
23% 
16% 
42% 
25% 
0,0 
9% 
31% 
1% 
15% Payments 
1996 
1,9 
1.9 
03 
0.1 
0,7 
0,0 
0.0 
4.9 
0.0 
2ft 
9.5 Payments 
1994-1996 
4,7 
4,7 
4,0 
2,6 
1.4 
0.0 
00 
4.9 
0.0 
2.7 
16.4 % 
3% 
4% 
0% 
4% 
17% 
10% 
0% 
0% 
11* 
0«7-
4% 
* 1995 prices 
61 For projects adopted, see Chapter X. Pilot projects under Article 10 of the ERDF Regulation. 

80 8th Annual Report on the Structural Funds (1996) 
Technical assistance under Article 7 of the ERDF Regulation 
Subject to a limit of 0.5% of the ERDF's annual allocation, preparatory, prior appraisal, monitoring 
and ex post evaluation may be funded under Article 7 of the ERDr] Regulation. Such measures include 
studies, technical assistance and information by experts not belonging to the Commission or by the 
Commission itself. In 1996 commitments for these accompanying measures conducted at the 
Commission's initiative totalled ECU 17.9 million, ECU 3.9 million up on the preceding year. This 
accounts for 0.12% of the ERDF allocation (0.11% in 1995). 
Table 1-58: Measures funded under Article 7 of the ERDF Regulation (ECU million) 
Preparatory measures and monitoring 
Evaluation 
Regional studies 
Conferences, symposia and seminars 
Information and publicity 
Technical assistance and equipment 
TOTAL Commitments 
122É 
4.6 
1,4 
0.2 
1,8 
6,2 
__L7 
Jill Commitments 
13,5 
1,4 
1,5 
2,7 
14.6 
43.9 
The appraisals (8%) begun in 1996 deal primarily with programmes relating to Objective 2 during the 
1989-93 programming period and with a number of pilot projects funded under Article 10 of the 
ERDF Regulation. Information measures (35%), including the publication of the first Report on 
economic and social cohesion, contributed to making regional policies and projects funded by the 
Commission more visible. Preparatory and follow-up measures (26%) led to studies covering the 
implementation of Community policies, in particular as regards equality of opportunity between men 
and women, job creation, sustainable development and the environment. Expenditure on seminars and 
conferences (10%) includes, for instance, preparing for the April 1997 Forum on economic and social 
cohesion, the regional seminars in Objective 2 areas and a conference on inter-regional cooperation. 
The regional studies (0.2%) launched in 1996 are of a statistical nature. The various technical 
assistance measures (21%) covered experts' reports on regional policy. 
2.2. Innovative measures and technical assistance under Article 6 of the ESF Regulation 
With regard to innovative measures, the Commission decided in 1996 that the allocation of 
appropriations under Article 6 of the ESF Regulation would from then on be the subject of a call for 
proposals administered at Community level. A call for proposals was accordingly issued on 26 
October 1996 on the theme of new fields of employment. An initial selection of 52 projects (from the 
210 received) was carried out in respect of 1996 for a total of ECU 25 million (the projects still have 
to be formally approved in 1997). A second selection was due to take place in mid-1997. Compliance 
with, and the strengthening of, of Community measures centred on priority political themes have been 
key factors in project selection (equality of opportunity, overcoming exclusion, etc.). With regard to 
projects selected in earlier years there were thirty or so projects selected in 199462 and 58 projects 
selected in 199563 and formally adopted in April 1996, for a total of ECU 23.8 million. All these 
projects cover the strengthening of the employment systems, in particular the search for sharper 
growth in employment, improving the labour market and underpinning training systems. An evaluation 
system was set up for those projects in 1996 in order to assess their degree of innovation and the best 
practices, the results of the evaluation were expected to lead to a seminar in which, depending on the 
topics of concern to them, project managers, officials from the ministries of the Member States and 
experts would take part. 
62 See 1994 Annual Report. 
63 See 1995 Annual Report. 
8th Annual Report on the Structural Fundi (1996) 81 
ESF pilot projects and Information Society: 
In the context of the above-mentioned RISI and RISI 2 projects the ESF is providing funding totalling ECU five 
million for eight RISI projects in regions or cities in Wales, Midi-Pyrénées, Murcia, South West England, 
Attica, Bremen, Northern Karelia and Blekinge. It is also funding two RISI 2 projects. Other pilot projects 
funded under Article 6 of the ESF Regulation also underpin the process of adapting to the Information Society. 
Example - Internet in the school Pilot project in Castile-Leôn: This project is aimed at introducing 
the Internet in four schools situated in rural areas. Its purpose is to make Information Society 
concepts an integral part of the practice of teaching, to enable teachers and pupils to gain access to 
the Internet for teaching and culture purposes, to provide schools with the necessary measures, and 
to promote the creation of networks between the region's schools and the rest of the world in order to 
exchange experience, form discussion forums and promote the teaching of foreign languages. In the 
context of this project a server containing cultural and educational information will be set up in the 
region's technology park. 
With regard to technical assistance, implementation of the Employment and Adapt Community 
Initiatives was actively supported, as in 1995, by the support structure set up in 1995, Europs. The 
year 1996 was essentially one of gathering and analysing information on the first series of projects and 
preparing a series of publications on the various strands of the two CIs. Thanks to collaboration with 
national support structures a guide on. trans-nationality was prepared for the benefit of project 
promoters. Work preparatory to the launch of the second phase of projects has begun. Moreover, the 
intermediate support structure specialising in public relations and communication activities has begun 
the information and communication activities for the ESF. 
Table 1-59: Innovative measures and technical assistance funded under Article 6 of the ESF Regulation 
(ECU million) 
Commitments Commitments 
1996 1994-96 
Innovative measures, studies 34,4 56,6 
Technical assistance , ____l ____% 
TOTAL I _M 122_1 
23. Innovative measures and technical assistance under Article 8 of the EAGGF Regulation 
Under Article 8 of the EAGGF Regulation, funding may be given for measures concerned with 
evaluation, monitoring and technical assistance, pilot projects relating to the adaptation of farming 
structures and promoting rural development, demonstration projects, and measures necessary for the 
dissemination of the results of experience and work on rural development and the improvement of 
farm structures. Measures funded in 1996 in respect of Article 8 of the EAGGF Regulation concerned 
35 pilot and demonstration projects, four dissemination projects and three studies. The commitments 
entered into in this respect in 1996 total ECU 15.4 million and payments ECU 9.2 million. Since 1994, 
commitments in respect of Article 8 of the EAGGF Regulation have totalled ECU 21.2 million and 
payments ECU 23.9 million. 
Evaluation, follow-up, technical assistance and study work was aimed at prior appraisal of two 
multiregional OPs in Objective 1 regions in Italy, the ex post evaluation of the Leader I Initiative64 and 
the setting up of a programme of rural indicators for underpinning a rural development policy. 
The pilot and demonstration projects (35 altogether), the call for proposals for which was due to 
close in 1995,65 were launched in 1996. They were selected on the basis of four priority fields and 
covered the following topics: 
64 See Chapter IV. Evaluation. 
65 See 1995 Annual Report. 
82 8th Annual Report on the Structural Funds (1996) 
• non-food production: growing of herbaceous species intended for the building industry, 
introduction of crops intended for the pharmaceutical or cosmetics industry (Malaleuca 
alternafolia, myrrh, liquorice, Aloe Vera, fine lavender), processing of castor in order to extract 
natural aromas; 
• agri-environmental aspects: marketing of biocomponents and biological farming products, restoring 
cultivation terraces in Mediterranean areas, introducing a system of mineral accounting; 
• forestry: regenerating burnt forests, conservation of periurban woodlands, obtaining the best return 
from coppice wood, optimising farming-forestry systems; 
• rural development: diversification in a rural environment towards high value added activities while 
taking conservation into account (introduction of biological products in the schools and business 
sector, marketing of typical agricultural products, farm tourism, etc.), innovative schemes to 
encourage young people to take up farming. 
A fresh call for proposals was issued in September 1996 for pilot, and demonstration projects for 
"innovative measures for female farmers and women generally in the countryside"66 (closing date: 20 
February 1997). Proposals must be aimed at supporting and promoting women in the countryside, e.g. 
measures undertaken by women or female farmers to promote and obtain the best return from 
agricultural products and retrain or diversify , measures to create jobs and integrate into society and 
the labour market, training or supervision measures, or the development of networks enabling them to 
pass on their know-how and experience. 
Pilot projects in the field of research and technological development: 
Pilot and demonstration projects eligible for funding under Article 8 of the EAGGF Regulation 
provide an ideal opportunity for testing research findings on a scale approaching actual conditions 
and for demonstrating the feasibility of an innovative system, method or production technique. 
Measures funded in 1996 thus concerned, for instance, the demonstration of a simple and effective 
technique for processing vegetable fibres (giant reeds and sorghum) into chipboard, the feasibility 
of a new technique for extracting - at farm level - natural flavourings from castor, or the 
application to rural firms of a technology based on the new ISO 9000 quality concept. 
Dissemination measures concerned the creation of a visual identity for rural development (logo), the 
publication of cards on rural development and the holding of a seminar on the ecological benefits of 
sustainable agriculture. 
2.4. Innovative action and technical assistance under Article 4 of the FIFG Regulation 
In accordance with Article 4 of the FTFG Regulation, the measures carried out in 1996 consisted of 
studies, pilot projects, publications, information campaigns and technical assistance. The studies 
covered: fleet diagnostics and identifying measures to be carried out in the three types of fisheries 
occupations in the Mediterranean (tuna seine fishing, trawling and minor occupations); the use made 
of fisheries products withdrawn from the market; and the impact of the Community's autonomous 
quotas and suspensions on the extractive producer sector and the fisheries products processing 
industry. With regard to publications, the Commission edited information brochures on measures to 
assist fishing,67 republished the report entitled "Aquaculture and Environment" and the record of the 
"Shellfish Farming and Coastal Development" Conference. Work began on two major events 
scheduled for 1997: the first Euro-Moroccan partnership meeting between firms from the fishing 
industry (Casablanca '97 Partnership - Fishing Industry) and a European Information campaign 
designed to encourage the consumption of fisheries and aquaculture products. Lastly, in the field of 
technical assistance, the Community register of fishing vessels was updated and there was funding for 
training in the "Infosys" information technology system of monitoring and evaluation of FTFG-
financed structural measures. 
66 Call for proposals 96/C 284/10, OJ No C 284, 27.9.1996. 
67 See Chapter III.D.l. Information and communication activities. 
8th Annual Report on the Structural Fundi (1996) 83 
Table 1-60: Measures funded under Article 4 of the FIFG Regulation (ECU) 
Studies 
Publications 
Technical assistance» 
TOTAL Commitments 
156.250 
17.520 
.585,741 
_252_511 Commitments 
4.027.736 
79.908 
__L_H2_2_£ 
i&ijm Payments 
867.213 
37.068 
685.145 
1-S89.426 Payments 
im-n 
2.766.949 
67.863 
_U_Z______i 
3-857.71» 
Including pilot projects and events 

s s 
CHAPTERII , 
BUDGETIMPI_EM^ATÏON, 
CH£CKS_^WFlNÂN(^A^À6__ME^ 
COORDINATION OF THE VARIOUS E.NANOAL INSTRUMENTS, 
COMP___EMENTARITY WITH THE OTHER COMMUNITY POLICIES 

8th Annual Report on the Structural Funds (1996) 87 
A. BUDGETARY IMPLEMENTATION OF THE STRUCTURAL FUNDS 
1. Budget implementation in 1996 
1.1. General implementation in 1996 
The aim of this section is to look at implementation of the 1996 budget as a whole, that is, of 
appropriations for 1994-99 and those for previous periods. In the case of 1996, it distinguishes between 
implementation of appropriations newly entered in the budget and the implementation of appropriations 
carried over to the 1996 budget from the previous year. 
Table II-l: Origin and implementation of commitment appropriations in 1996 (ECU million) 
CSF 
ERDF CSF 
ESF CSF 
__________ CSF Community Transitional Anti-fraud Former 
-EEC laitiatixcs mcaaus TOTAL 
Initial budget 
Transfer of appropriations 
Supplementary and amending budget 
Total appropriations 1996 11.KX3.70 
().(X) 
().(X) 
ll.XX3.70 7.145.80 
0.00 
().<X) 
7.145.X» 3.772,00 
(MX) 
(UK) 
3.772.(X) 450.35 
0.(X) 
(MX) 
"50,35 2.968.10 
(),(X> 
(MX) 
2.968.10 296.10 
0,(X) 
(MX) 
296.10 0.75 
0,00 
0,(X) 
0.75 26-516,80 
0,00 
0,00 
26-?1..80 
Appropria-ions made available again 
Appropriations carried over (MX) 
(MX) O.(X) 
4.32 (MX) 
(MX) (MX) 
(MX) 0.00 
20.42 O.(X) 
45.88 (MX) 
(MX) 0,00 
70.63»)| 
Appropriations Mnckçd (MX) (MX) (MX) (MX) 0.01 7.14 
Appropriations available 1-1.883.70 7.150.12 3.772.00 450.35 2.988.52 341.9X 0.75 tt.?87.43 O) 
Implementation 
Rate of implementation 11.862.50 
•99.8% 7.150.12 
100% 3.772.IX) 
100% 337.19 
75% 2.81937 
94% 19936 
58% 0.70 
94% 26.141.24 
98% 
Appropriations not implemented 
Appropriations carried over to 1997 
Decommitmenis excluding appropriations 
made available acain 
Appropriations reentered in the budget for 
subsequent years 
D-Commitmenls 21,20 
(MX) 
21,20 
216.30 0,00 
0,(X) 
101.42 (MX) 
(),(X) 
51.73 113.16 
0,(X) 
113.16 
126.34 169,16 
(MX) 
169,16 
_£___]_ 142.62 
4.65 
142,62 
29.81 0,05 
0,00 
j__2_ 446,19 
4,65 
446,14 
________ 
(1) Of which ECU 7.16 million blocked. 
(2) ECU 26 480.27 million after deduction of tbe ECU 7.16 million blocked. 
Table 11-2: Implementation of appropriations in 1996 (excluding carry-overs - ECU million) 
Budget headings Appropriations onolabU (A) 
Cfflnmittn.nl. P-Tmtm. Vtibzntion ofapprops. (B) 
Cwnmittntnt- P-Turcirt. Appropu carried over to 1997 (C) 
CrfflnmitinMte _____m_ Approps. not implemented (AMBHQ 
______________ Parmtnt-
Objective 1 
Objective 2 
Objective 3 
Objective 4 
Objective 5(a) agriculture 
(excluding Objectives I and 5(b)) 
Objective 5(a) agriculture (in Obj. 5(b) 
Objective 5(a) fisheries 
Objective 5(b) 
Objective 6 
Community Initiatives 
Transitional and innovative measures 
Anti-fraud 
Former GPR 15.438.65 
2.726.40 
2.793.92 
271 JO 
425.83 
376.60 
156.00 
971.50 
91.45 
2.968.10 
296.10 
0.75 
0.00 14.777.51 
1.66438 
2.188.25 
129.08 
599.84 
505.10 
148.10 
1.033.80 
53.14 
2.115.16 
314.00 
0.70 
148.69 15369.13 
2.705.45 
2.793.92 
271.50 
425.83 
376.60 
115.03 
971.38 
88.65 
2.798.96 
161.05 
0.70 
fl.00 14.699,47 
1.636.02 
2.18825 
129.08 
388.87 
3433 
86.03 
922,89 
51.14 
1.69139 
188.03 
0.45 
______ 0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
4.65 
0.00 
0.00 0.00 
0,00 
0,00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
0.00 
29.18 6933 
20.95 
0,00 
0.00 
0.00 
0.00 
40.97 
0.12 
. 2,80 
169.14 
130.40 
0.05 
0.00 78.04 
2836 
0.00 
0.00 
210,97 
161.81 
62.07 
110.91 
2.00 
423.77 
125.97 
0.25 
0.00 
TOTAL. .3,677.7.1 -6.078.-l) 22.444.41 4.65 29.181 433.95 1.204.15 
Taking all the assistance and all the Funds together, during 1996 the Commission committed ECU 26 
078 million and paid ECU 22444 million from the 1996 appropriations (excluding carry-overs and 
appropriations made available again). In addition, ECU 63 430 000 was committed from appropriations 
carried over from the previous year. These figures should be compared with the ECU 26 517 million 
available for commitment appropriations (ECU 26 587 million including carryovers) and the ECU 23 
678 million available for payment appropriations. In all, ECU 439 million in commitment appropriations 
(ECU 446 million including carryovers) and ECU 1 234 million in payment appropriations remained 
unused, i.e. 2% and 5% respectively of thev available appropriations. Of these appropriations, ECU 4 650 
000 in commitment appropriations and ECU 29 180 000 in payment appropriations were carried over to 
the 1997 budget and ECU 446 140 000 in commitment appropriations will entered in budgets for later 
years. 
88 8th Annual Report on the Structural Funds (1996) 
Table II-3: Implementation of appropriations in 1996 by budget heading (excluding decommitments 
and carry-overs) 
Number Hiding Commitments Payments 
CSF 
o 
tu 
o 
< 
_u B2-100 CSF 
B2-1000 Objective 1 
B2-1001 Objective 5(a) (excluding 1 and 5(b) areas) 
B2-1002 Objective 5(a) (in 5(b) areas) 
B2-1003 Objective 5(b) 
B2-1004 Obiective 6 2.416.500.000 
425.830.000 
376.600.000 
508.400.000 
44.670.000 2.157.600.000 
388.871.575 
343.290.916 
455.173-295 
36.657.000 
Total EAGGF 3.772.000.000 3-381-592.786 
P 
tu B2-110 CSF 
B2-1100 Objective 1 
B2-1101 Objective 5(a) 
B2-1102 Objective 6 
B2-1110 Social measures linked to forced tving-up 222.155.100 
115.033.372 
0 
0 335.559.359 
86.025.422 
0 
0 
Total FIFG 337.188.4721 421-584.781 
tu 
O 
ft. 
a B2-120 
B2-1200 
B2-1201 
B2-1202 
B2-1203 CSF 
Objective 1 
Objective 2 
Objective 5(b) 
Obiective 6 9.331.069.380 
2.139.947.430 
360.982.929 
30.500.000 9.095.903.618 
1.149.818.694 
357.814.862 
6.720.000 
Total ERDF 11.862.499.7391 10.610-257.173 
tu 
00 
tu B2-130 
B2-1300 
B2-1301 
B2-1302 
B2-1303 
B2-1304 
B2-1305 CSF 
Objective 1 
Objective 2 
Objective 3 
Objective 4 
Objective 5(b) 
Obiective 6 3.399.403.000 
565.500.000 
2.793.917.000 
271.500.000 
102.000.000 
13.480.000 3.110.408.000 
486.200.000 
2.188.250.174 
129.081.826 
109.900.000 
7.760.06*5* 
Total ESF 7.145.800.000 6.031.600.000 
œMMUMiir^ 
B 2-140 PESCA (restructuring the fisheries sector) 
B2-1400 ESF 
B2-1400 FIFG 
B2-1400 ERDF 7.946.110 
47.759.926 
78.251.000 2.854.655 
16.870.669 
1.224.900 
Total Pesca 133.957.036 20.950-224 
B2-141 Inter-regional cooperation 
B2-1410 ESF 
B2-1410 EAGGF 
B2-1410 FIFG 
B2-1410 ERDF 35.335.858 
31.256.000 
461.000 
684.972.620 12.547.628 
12.436.506 
230.500 
398.298.651 
Total Interreg 752.025.478 423.513-285 
B2-1412 
B2-1412 
B2-1412 
B2-1412 ESF 
EAGGF 
FTFG 
ERDF 35.321.500 
8.125.000 
0 
52.114.000 17.660.750 
4.062.500 
0 
19.956.500 
Total Peace 95.560.5001 41.679.750 
8th Annual Report on the Structural Funds (1996) 89 
Number Heading Commitments. Payments 
B2-142 Emplyment and development of human resources 
B2-I420 ESF 1.925.000 
B2-1420 ERDF 1.555.002 12.683.663 
792.501 
Total Now 3.480.002 13.476.164 
B2-1421 
B2-1421 ESF 
ERDF 147.654.076 
1.832.705 99.902.820 
898.353 
Total Horizon 149.486.781 100.801.173 
B2-1422 
B2-I422 ESF 
ERDF 
Total Integra 
= H i B2-1423 t: * , 
O £ i B 2-1423 
>- f ESF 
ERDF 93.731.429 
0 56.068.962 
0 
Total Youthstart 93.731.429 56.068.962 
B2-1424 
B2-1424 ESF 
ERDF 222.428.048 
0 86.962.641 
0 
Total Adapt 222.428.048 86.962.6411 
B2-143 Industrial restructuring 
B2-1430 ESF 
B2-1430 ERDF 16.167.800 
103.765.360 8.083.900 
53.542.693 
Total Rechar 119.933.1601 61.626-593 
B2-1431 
B2-1431 ESF 
ERDF 15.749.500 
118.620.644 8.894.750 
70.693.622 
Total Reader 134-370.144 79-588372 
B2-1432 
B2-1432 ESF 
ERDF 42.093.000 
90.908.620 21.046.500 
74.024.226 
Total Konver 133.001.620 95.070.726 
B2-1433 
B2-1433 ESF 
ERDF 11.620.000 
142.812.118 5.810.000 
61.996.767 
Total Retex 154.432.118 67.806.767 
B2-144 Regis (most remote regions) 
B2-1440 ESF 
B2-1440 EAGGF 
B2-1440 FIFG 
B2-I440 ERDF 11.886.000 
17.002.000 
800.000 
128.267.000 5.100.200 
7.027.000 
300.000 
123.125.700 
Total Regis 157.955.0001 135-552.900 
B2-145 Urban (urban areas) 
B2-1450 ESF 
B2-1450 ERDF 27.063.500 
187.938.458 11.391.550 
96.722.929 
Total Urban 215.001.958 108.114.479 
B 2-146 Leader (rural development) 
B2-1460 ESF 
B2-1460 EAGGF 
B2-1460 ERDF 68.638.607 
83.110.837 
99.926.948 25.357.755 
57.304.395 
50.944.274 
Total Leader 251.676392 133.606.423 
5) 
INTRODUCTION 
90 8th Annual Report on the Structural Funds (1996) 
Number Heading Commitments Payments 
B2-147 
B2-1470 
B2-1470 SMEs Initiative 
ESF 
ERDF 14.540.000 
167.378.400 5.315.000 
83.396.120 
Total SMEs 181.918.400 88.711.1201 
5 => < 2 
if," B2-148 Reserve for earlier and future measures 
B2-1480 ESF 
B2-1480 EAGGF 
B2-1480 ERDF 
B2-1480 RESERVE 45.623.082 
22.117.352 
110.117.803 
Total earlier measures (*) 177-858-237 
ESF 
EAGGF 
FIFG 
ERDF 752.100.428 
139.493.837 
49.020.926 
1.858.342.875 425.303.856 
102.947.753 
17.401.169 
1.145.735.039 
Total Community Initiatives 2.798.958.0661 1.691387.817 
B2-150 OTHER ASSISTANCE 
703.000 453.350 
Total Anti-fraud 703.0001 453350 
"§ .5 B2-180 
B2-181 
B2-182 
B2-183 EAGGF 
FIFG 
ERDF 
ESF 23.031.897 
20.424.764 
80.666.861 
36.928.208 22.965.810 
8.788.863 
102.932.766 
53.343.102 
Total Transitional and innovative measures 161.051.730 188.030-541 
B2-190 Structural measures under Reg. (EEC) No 3575/90 (former GDR) 
B2-1900 ESF - 52.243.683 
B2-1900 EAGGF - 24.517.342 
B2-1900 FIFG - 196.699 
B2-1900 ERDF . - 42.552.901 
Total Former GPR 119-510.626 
(*) Payment for 1989-93 
Table II-4: Commitments in 1996 (excluding decommitments and carry-overs - ECU million) 
ToUl available 
Total •mpi-mented 
% 
ERDF 
ESF 
EAGGF 
FIFG 
Other * TOTAL 
26-516.80 
26.07S.20 
9*JS% 
13-M>1_51 
7J>34__3 
3_»34_53 
406.63 
0_70 
100% % 
text* 
53% 
30% 
15% 
7% 
....I». CSF 
Ohi. 1 
15.43X.65 
15369.13 
100* 
9331.07 
3.399.40 
2.416-50 
222.16 
59% Ohi. 2 
2.726.40 
2.705.45 
99% 
2.139.95 
565-50 Ohi •» 
2.793.92 
2.7934)2 
100% 
2.793.92 
11% Ohi 4 
271.50 
271.50 
100% 
271-50 Ohi. ««•> 
958.43 
917.46 
96% 
802.43 
115.03 
4% Ohi «M 
971-50 
971.38 
100% 
360.98 
102.00 
508.40 Ohi.« 
91.45 
88,65 
97% 
30.50 
13.48 
44.67 
0% Total 
CSF, 
23.251.85 
23.117,49 
99% 
11.862-50 
7.145.80 
3.772.00 
337.19 
DJK 
KV% Community 
2.968.10 
X798_»6 
94% 
1.858.34 
752.10 
139.49 
49.02 
//* Transitional 
296.10 
161.05 
54% 
80.67 
36.93 
23.03 
20.42 
1% Anti-fraud 
0.75 
0.70 
94% 
0.7.0. 
09-
In terms of progranimiiig, 1996 saw the adoption of the last SPDs and Community Initiative 
programmes. Budget implementation was therefore primarily concerned with implementing the 
programmes decided on in 1994 and 1995. The commitment implementation rate thus improved 
appreciably in 1996, increasing from 91% in 1995 to 98% of the available appropriations, or ECU 
26 078 million, excluding carry-overs and appropriations made available again. 
8th Annual Report on the Structural Funds (1996) 91 
Implementation of the various Objectives varies little from one Fund to another and within each Fund, 
except for the FIFG. Implementation always stands at or near to 100%, except for the Community 
Initiatives, which are still at early stage. Similarly, the slower implementation of the FIFG (98.66%) 
has little effect overall, which is understandable given the amount of appropriations involved. 
Commitments on the Community Initiatives amounted to ECU 2 799 million (excluding carry-overs 
and appropriations made available again), leaving ECU 169 160 000 unused, representing 6% of the 
funding available in 1996. 
Table II-5: Payments in 1996 (excluding carry-overs - ECU million) 
Total available 
Total implemented 
ERDF 
ESF 
EACCF 
FIFX; TOTAL 
23-577,75 
22.444.42 
94,79% 
11.901,48 
6.56149 
3.53-42 
447,97 
imn Vt 
ItXfi 
53% 
29% 
16% 
2V 
tn CSF 
Ohi 1 
I4.777.J1 
14.699,47 
vv% 
9.095.90 
3.110.41 
2.157.60 
335.56 Ohi ? 
1.664.38 
1.636,02 
VK% 
1.149.82 
486.20 
7% Ohi 1 
2.188.25 
-.18JU5 
2.1K8.25 
un <*i? * 
129.08 
129X18 
mn 
129.08 
1% Ohi w*\ 
1.253.04 
818.19 
65% 
732.16 
86.03 
4% Ohf Cfh> 
1.033.80 
922-» 
K9% 
357.81 
109.90 
455.17 
4% Ohi « 
53.14 
51,14 
V6% 
6.72 
7.76 
36.66 
m T.lttl 
LSF Cummonitv 
21.099.20 2.115.16 
20.445,03 1.691.39 
97% KIH 
10.610.2(1 
6.031.60 
3.381.59 
421-58 1.145.74 
425.30 
102.95 
17.40 
R% Transitional 
314.00 
188.03 
6rn 
102.93 
53.34 
22.97 
8.79 
1% Anti-frao-
0.70 
0.45 
6i<7. 
VA5 tn Former 
envt 
148.69 
119-51 
K<)% 
42.55 
52.24 
24.52 
0.20 
/* 
Payment appropriations implemented in 1996 totalled ECU 22 444 million (excluding carry-overs), 
i.e. 94.8% of the available appropriations (ECU 23 678 million). Appropriations unused therefore 
totalled ECU 1 233 million. Implementation improved because a large number of programmes had 
already been adopted. The variation in the implementation of payment appropriations is significantly 
greater than for commitment appropriations. Objectives 1, 3 and 4 had implementation rates of or 
close to 100%. Those Objectives with lower implementation rates (Objective 5(a) in particular) 
account for the smallest amounts in terms of the overall total, however. 
The above paragraphs refer to the implementation of appropriations entered in the 1996 budget for the 
first time, that is, excluding carry-overs. Commitment appropriations carried over from 1995 to 1996 
and used in 1996 represent only a limited proportion of total budget implementation (ECU 
70 630 000). They comprise ECU 4 320 000 for the ESF (Objective 3 - United Kingdom) (100% 
implementation), ECU 20 420 000 for the Community Initiatives (Employment) (100% 
implementation) and ECU 38 310 000 for innovative and transitional measures (out of a total of ECU 
45 880 000 available). In total, ECU 63 040 000 was committed in 1996 using appropriations carried 
over or made available again (89% implementation). Payments from appropriations carried over 
related only to the ESF for Objective 3 (United Kingdom) and represent ECU 4 320 000 (100%). 
92 8th Annual Report on the Structural Funds (1996) 
Table 11-6: Payments in 1996 for assistance prior to the second programming period (including carry­
overs - ECU million) 
ERT>F EST Objective 1 
_________ Fisheries Total ERDF Objective I 
______ Total Obi. 3_ 
ESF. _2__________al 
_________ _________ _______ 
1994 
1989-93 
B 
DK 
D 
EL 
E 
Fx 
IRL 
I 
L 
NL 
P 
UK 
C<mm 861.93 138*7 _U ___._. mtâmLmwlltlmLmL 94.18 -i___ 25.5 
460.21 
42-55 (1) 
90.23 
225.53 
4.08 
29.36 
31.45 
16.64 
20.23 
0,1? 13X.35 
52.24 (1) 
45.89 
7.48 
19.80 
12.94 116.78 
24.52 (I) 
7.71 
5.67 
0,97 
7.58 
66,15 
3,46 
0,72 23.92 
0.17 
0.25 (I) 
3.47 
2.42 
2.88 
0,64 
7.29 
0.03 
5,35 
1.41 739,27 
0.17 
119-57 (1) 
101.41 
279.5) 
15.41 
37.59 
124.70 
0.03 
38.39 
22.36 
0.13 94.18 
0.34 
3.26 
13.52 
51.82 
8.22 
>K.21 
8.81 31.33 
0.03 
1.41 
19,81 
1.18 
5.39 
3.52 125.51 
0.37 
1.41 
23.07 
13.52 
53.00 
13.61 
11.73 
8.81 702.24 
202.24 ______ 3.99 
0.11 
19.84 
111.91 
36.00 
30.05 
4.32 36.16 
1.20 
3.74 
0.98 
22.97 
0.02 3.99 
0.29 
0.33 
0.59 
1.31 4(U5 
40.15 
1.50 
4,07 
1.57 
6.11 
24.44J 
0.02 
2.46 
Objective S(h) f*nn^np|nif Initiative* TOTAL m 
________ ______ _LâJ___£_ Total _______ ______ _____£__. Total ERDF ESF _________ Efcherie Total 
1989-93 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
P 
UK 
(""mm ______ 
1.10 
13.15 
2.42 
4.65 
0,43 19.32 
0,38 
1.52 
7.58 
0.34 
7.77 
1.09 
0.64 _______ 
55.98 »7.0* 45.62 --___. 087.97 
1334 
3.26 
1939 
19.72 
0.06 97.04 
0.38 
2.61 
34.27 
6.03 
31.81 
20.81 
0,43 
0.64 
0.06 110.12 
0.41 
6.66 
13.48 
8,47 
16.28 
15.00 
10.67 
3.58 
1.97 
24.17 
2,81 
6 6? 45.62 
0.72 
1.26 
10,29 
7.65 
10.32 
8.40 
0.39 
3.37 
0.17 
2.36 
0.70 22,12| 
0.04 
0.35 
13,05 
4.46 
0.67 
0.06 
2.82 
0.67 177.86 
1.17 
1.26 
16,95 
21,48 
31.83 
29.14 
16.05 
14.10 
3.58 
2,14 
29.35 
4.18 
662 686,25 
0.75 
1.10 
65.62 
103,71 
249,94 
76.83 
44.36 
50.34 
4.01 
10.18 
40.81 
31.84 
6.76 ,437f38 
436.87 
1,13 
4.30 
109.76 
7.65 
168.46 
24.83 
0,39 
65,64 
34.39 
15.30 
5.02 231.04 _22_ 
231.04 
1.24 
3.74 
39.04 
8,06 
21.98 
30.93 
8.25 
108.90 
0.02 
6.28 
Z60 27.91 
0.47 
0.33 
0.84 
3.47 
2.42 
2.88 
0.64 
8,76 
0.03 
5,35 
2.73 1.784.68 
1.382,07 
3,59 
9,46 
215,26 
122-89 
44241 
135,46 
53,64 
233,65 
4,02 
44,60 
67,74 
42-20 
______ 
(1 ) Including former GDR (heading B2-1900). 
(2) No payment was made under Objective 4. 
A significant number of payments were also made in respect of operations decided on before 1994 for 
the first programming period (1989-93), or earlier in some cases. The overall figure amounted to 
ECU 1 785 million (7% of all payments made in 1996), of which ECU 1 382 million (77%) 
corresponded to the commitments in the period 1989-93. These are payments made as normal as the 
first programming period comes to a close. Assuming that the commitments on these operations were 
made as required before the end of 1993 (except where programmes are extended), the Member States 
had a period of two years until 31 December 1995 to make payment to the final beneficiaries and a 
further six months, until 30 June 1996 at the latest, to send the expenditure statements to the 
Cornmission. The Commission's payments in 1996 thus reflect the closure of the programmes for the 
first programming period. 
In 1996, 796 ERDF operations relating to the period before the reform of the Structural Funds in 1988 
were settled, often automatically under Article 12 of Regulation (EEC) No 4254/88. The closure of 
operations involved paying outstanding amounts totalling ECU 401 700 000, of which ECU 378 
million related to Italy (645 cases), ECU 12 million to the United Kingdom (97 cases), ECU 10 
million to Greece (22 cases) and ECU 2 million to other Member States (32 cases). Some 170 
operations in respect of 1989-93 were closed in 1996, the outstanding amounts paid totalling ECU 
535 million, of which ECU 241 million related to Spain, ECU 91 million to Greece, ECU 44 million 
to Ireland, ECU 42 million to Italy, ECU 40 million to Portugal and ECU 77 million to other Member 
States. 
ESF payments related almost entirely to the first programming period and represented one more step 
towards closure of the programmes concerned (some have been extended). The programmes before 
this first period involve Italy and Portugal. EAGGF payments made in 1996 in respect of the 
programming period 1989-93 amount to ECU 231 170 000. It should be noted that the Member States 
were somewhat slow in submitting applications for outstanding balances. At the end of 1996 ECU 
83 100 000 for all the Objectives was still not settled because the Member States had not submitted 
applications, Portugal and France in particular for Objective 1 and France and Italy for Objective 5(b). 
8th Annual Report on the Structural Funds (1996) 93 
In the case of fisheries, the payments include the appropriations needed to, settle the commitments 
relating to the structural measures decided before the entry into force of the FTFG (Regulations (EEC) 
Nos 4028/86 and 4042/89). 
Table II-7: Appropriations outstanding at 31 December 1996 (ECU million) 
Total oumanriing 
end 1996 
(A+B4C) 
1996 commitments 
outstanding (A) 
1994-95 commitments 
outstanding 
(B) 
Commitments from 
before 1994 (C) ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
FIFG 
ERDF 
ESF 
EAGGF 
ELFQ. Obj 1 
14.180:34 
8.874.49 
2.888.97 
2.053.08 
363.79 
8.145,64 
5.180.91 
1.333.23 
1.516.68 
114.82 
3.114,54 
1.984.24 
752.55 
271.41 
106.34 
2.920,15 
1.709.33 
803.20 
264.99 
J42.63 Obj 2 
3.686,70 
3.149.64 
537.06 
1.856.33 
339.24 
863,61 
747.65 
115.96 
607,51 
545.66 
61.85 Obj 3 
2.064.62 
2.064.62 
1.408,50 
1.408.50 
454,56 
454.56 
201,56 
201.56 Obj 4 
317.37 
317.37 
.....2S-A.J 
223.19 
J_UI 
94.18 
O/» 
0.00 Obj 5(a) 
1.064,59 
852.03 
212.56 
«60,39 
581.91 
78,48 
301£8 
181.23 
120.65 
10232 
88.89 
13.41 Obj 5(b) 
961,53 
381.07 
125.94 
454.52 
1 48630 
145.76 
58^2 
28232 
.....ISA?» 
107.44 
3194 
45.90 
i 288,95 
127.87 
34.79 
126-29 Obj 6 
100,47 
45.91 
21.97 
31.88 
0.72 
«.Î.0 
30.50 
5.72 
31.88 
0,00 
15.41 
16.25 
0.00 
0.72 
0,00 Total 
<-SF 
2-375,62 
12.451.12 
5.955.93 
3.391.51 
577.07 
13307,7} 
7.213.51 
3.388.10 
2412.79 
193.30 
5.047,42 
2.854.74 
1.466.43 
498.55 
227.70 
4.120,50 
2.382.86 
1.101.40 
480.17 
156.06 3.76V» 
1.671^37 
1.376,46 
718,76 Transit 
36634 
L »%P3 
79,26 
169A05 Former 
RDR 
131,49 
0,00 
o,op 
131,5? Anti-
0,30 
[ Sri?. 
1 0,03 
0.00 TOTAL 
M»tlOQ« 
26.640,43 
14.997,37 
6.503,17 
5.139,90 % 
100» 
569-
24* 
19* 
The increase in commitment appropriations available arising from the Edinburgh undertaking and 
carryovers from 1995 and the failure to use all the payment appropriations has an impact on the 
payment appropriations outstanding at the end of the year. The rate of settlement has however 
improved, rising to 56% in 1996 as against 46% in 1995. There were two reasons for this: the 
settlement of commitments for the current year and the settlement o£ appropriations committed in 
previous years. The appropriations outstanding that correspond to the first programming period (1989-
93) represent 19% of all outstanding appropriations at the end of 1996, whereas they represented a 
third of those outstanding at the end of 1995. This reduction results from the closure of a very large 
number of programmes in 1996. Thus, taking all Objectives and Funds together, payments have been 
made in respect of 85% of the appropriations committed in 1992 and 1993. The results of this closure 
have been most notable in the case of the ERDF: outstanding ERDF commitments made before 1994 
were reduced from ECU 4 465 million to ECU 2 913 million in 1996. 
The shares of each Fund in the total appropriations outstanding at the end of 1996 are: ERDF: 55.6%; 
ESF: 26.6%; EAGGF: 15.2%', FIFG: 2.6%. These figures differ slightly from those for 1995 (ERDF: 
56%; ESF: 27%; EAGGF: 13%; FIFG: 4%) and, with the exception of the EAGGF, the rate of 
settlement has clearly improved. 
Table II-8: Trend of outstanding appropriations (ECU million) 
(Current prices) 
Total outstanding 
ÙS+B.+Ç). 
Annual variation 
Appropriations oustanding 
for the year (A) 
Annual variation 
Appropriations outstanding 
1994(B) 
Annual variation 
Appropriations outstanding 
from before 1994 (C) 
Annual variation TOTAL 
end 1996 
26.640,43 
14.99737 
6-503,17 % 
100% 
+13% 
56% 
+25% 
24% 
+68% 
5.139,901 19% 
-33% TOTAL 
end 1995 
23.529,46 
12.030,77 
3.880,02 % 
100% 
+22% 
51% 
+34% 
16% 
-
7.618,68 32% 
-26% TOTAL 
end 1994 
19324,88 
9.009,96 
-% 
100% 
47% 
0% 
_ 
10315,10 53% 
-
94 8th Annual Report on the Structural Fund* (1996) 
1.2. Implementation of each Fund in 1996 in the context of 1994-99 
The aim of this section is to look at the implementation of appropriations, for 1994-99, excluding 
implementation for previous years. 
Table 11-9: Implementation in 1996 for the period 1994-99 (including decommitments, carry-overs and 
appropriations made available again - ECU million) 
rOMlvnTMFNTS 
Available 
imfr CSF 
Obi. 1 Ohi ? Obi. 3 Ohi 4 Ohi SfntA Ohi S(a>F Ohi Sml Ohi 61 _______ Community 
Initiatives TOTAL 
f.) 
Total 
ft f-Vfl) 26.244,66 15-369,11 2.668.28 2.793,92 271,50 802.43 112,27 971J8 88,65 23.077,54 
&£__ 2-815,98 
Li-., 25JS9332 
99* 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
Comm 122,69 
2.040.97 
1.590.01 
4.614.84 
296.95 
1.181.34 
2.038,70 
4.80 
4.96 
2.967,96 
505.88 78,44 
22.78 
379,07 
377.18 
655,77 
214,02 
-1.47 
99,14 
11,40 
21,32 94,80 
42,00 
512,62 
239,91 
421.59 
149,87 
3,40 
152.23 
65,69 11.75' 26.80 
7,00 22.08 
26.61 191,84 
49,54 
91.68 25,00 
220.66 
34.99 
810.63 1.076.80 38.28 131.69 
0,37 4,31 
9,05 
75,94" 
8.77 53,32 
37.50 26.50 
15,23 20,42 
23,28 
12,77 
19,89 
0.00 
0,00 
0.00 
6.36 
0,00 
0.00 
29.55 6,86 
3,73 
187,71 
172.30 
335.91 
33.59 
0,00 
15.56 
51.62 
16.27 
64.91 
82.93 77.18 
11.47 361.76 
120.87 
3.351,59 
1.590.01 
5.498,67 
2.022.55 
1.18134 
2.606.15 
6.62 
287,14 
209.61 
2.967.96 
211.86 
140.37 
2.321,03 58.04 
56.44 
357,42 
129.29 
256,26 
295,79 
37.83 
316-55 
0.86 
23.37 
46.62 
191.13 
44,71 
40,28 
223,85 
7?7.S? 419,80 
177,30 
3.709,01 
1.719 JO 
5.754.93 
2.318.34 
1.219,18 
2.922,70 
7,47 
310.51 
25603 
3.159.10 
256.57 
180.65 
2.744,87 
737.55 
PAYMENTS 
Total 
________ Toul 
tmpfcm.m 
22-260,26 CSF 
________ __bL2 Obi,4 Q-j, ?f.)A obi, iffalF Ohi .sft?) QfaL-i 
13.671,00 1-510,51 1.99034 129,08 696,00 8038 825,72 51,14 Total 
18.95437 
____; Community 
Initiatives 
1.513,22 TOTAL 
L__— 
20.46739 
2 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
Comm, 91,77 
2.094,42 
1.646,08 
3.817,12 
251,21 
900,76 
1.926,12 
11.84 
12.61 
2.43437 
48430 20.69 
3.67 
182.75 
159,26 
412,16 
95.08 
0,29 
39,29 
11,59 
14,24 
571.49 81,91 
40,96 
28730 
272,12 
402,88 
102.44 
3.36 
124.62 
71,77 
21,10 
581.69 5,91 4239 1630 
7,68 22.07 
8,70 177.34 3.88 
10.02 
49,62 
19.14 
0,25 
331 
530 
18,75 28.74 
206,89 
41.08 
5,21 
6,49 
77.13 
26,60 
27.86 
34,01 32,74 
11,93 
0,00 
6.46 
0.80 
0,00 
0.00 
8,27 3.47 
0.14 
21237 
124.40 
300,20 
31,15 
0,00 
12,70 
39,34 
7,67 
22,64 
71,44 42,12 
9.02 262,85 
74.52 
2.967,17 
1.646.08 
4.444.39 
1.622.96 
900,76 
2.226.95 
9.11 
201.38 
216,75 
2.43437 
117.22 
78,27 
1.751.40 26.41 
1334 
225.89 
4935 
184.75 
141,60 
20,45 
156,95 
0.46 
6,81 
16,49 
102.10 
15,36 
11,77 
123,05 
________ 289,26 
88.05 
3193.05 
1695,43 
4629,14 
176436 
921,21 
2383,90 
937 
208.20 
233.24 
2536,67 
132.57 
90.04 
1874,44 
418-26 
8th Annual Report on the Structural Fund* (1996) 95 
ERDF 
Table IhlO: ERDF implementation in 1996 for the period 1994*99 (including decommitments, carry-overs 
and appropriations made available again - ECU million) 
COMMïTMFIvrrS 
Available 
1 ??.(!) -CSE. 
Ohi. 2 Ohi.gfh) Ohi 6 "Total Community 
Initiative TOTAL 
(2). % 
am) Objective 1 
Objective 2 
Obj. 5(b) 
Obiective 6 
CIs 
Total 9.331,20 
2.160,90 
361,10 
1.901-30 
13.78S.0fl 9.331,05 
2.102,78 
360.98 
30.50 9.331,05 
2.102.78 
360.98 
3030 
11.825.31 1.859,14 
-L___2_14 9331,05 
2.102,78 
360,98 
3030 
1-359,14 
13.flH.4g 100% 
97% 
100% 
100% 
98% 
99% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
Çv-rom, 74,25 
897,35 
1.157,34 
2.756.72 
132,82 
591,86 
1.640,22 
0,00 
0,00 
1.833,28 
247,21 61,50 
19,70 
284.84 
24532 
587.77 
177,12 
-1,47 
77,02 
7,62 
21,32 
0,00 
622,03 0,00 
0,00 
72,65 
37,33 
127,16 
0.00 
0,00 
2,09 
8,33 
15,16 
34,09 
64,17 30,50 
0,00 135.75 
19,70 
1.254,84 
1.157,34 
3.039,37 
847.75 
591,86 
1.817,34 
-1,47 
79,12 
15.95 
1.833.28 
66,98 
34.09 
933,42 
_____ 5,33 
10,82 
20937 
84,17 
15430 
156-25 
7,01 
146,66 
0,25 
15,79 
26,46 
151.32 
22,63 
27,67 
103,63 
73709 141,08 
3032 
1.464,41 
1.241,51 
3.193,87 
1.004,00 
598,87 
1.964,00 
-1,22 
94,90 
42,41 
1.984.60 
89,61 
61,75 
1.037,04 
7?7,Q9 
PAYMENTS 
Total 
impl.m CSF 
-__-i-i-JL Obi. 2 Qhi. stb\ ohi 6 _______ Community 
Initiative TOTAL 
_______ nvm 
Objective 1 
Objective 2 
Obj. 5(b) 
Objective 6 
CIs 
Total 9.138,46 
1.14932 
35731 
6,72 
1.145,74 
___________ 8.270,43 
1.055,64 
336,07 
6,72 8.270,43 
1.055.64 
336,07 
6,72 
________$ 1.035,62 
1035 62 8.270,43 
1.055,64 
336,07 
6,72 
1.035,62 
1..7ft4.48 91% 
92% 
94% 
100% 
90% 
91% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
UK 
Çwm 59,99 
1.213,40 
1.243.11 
1.799,52 
113,43 
336,09 
1.644,14 
8.00 
5,99 
1.569,29 
277,47 10,02 
2,11 
126,34 
46,39 
345,36 
69,33 
0,00 
21,01 
7,47 
14.24 
0,00 
41337 0,00 
0,00 
99,21 
33,49 
117,63 
0.00 
0,00 
5,03 
11,17 
4,46 
11.71 
53,36 6.72 
0.00 70,01 
2,11 
1.438,95 
I_243,ll 
1.879,40 
576,42 
336,09 
1.713,47 
0,00 
34,04 
24,63 
1369,29 
25,42 
11,71 
744,201 8,39 
1,74 
131,28 
33,76 
119,47 
70,10 
1.71 
72.94 
0,29 
3,31 
9,61 
88,63 
7,42 
830 
60,41 
*).,261 78,41 
3,85 
1370,24 
1.276,87 
1.998,87 
64632 
337,80 
1.786,41 
0.29 
37.35 
34,24 
1.657,92 
32.83 
20,01 
804,61 
4 > ?,26 
Total implementation of ERDF appropriations in 1996 was very high, amounting to 99% of the 
commitment appropriations and 96.8% of the payment appropriations. The amounts entered in the 
budget were sufficient to cover the overall funding needs for each chapter. 
In the case of implementation of the CSFs and SPDs, Objective 1 operations were yet again the most 
dynamic this year in terms of their ability to draw down appropriations. The relevant budget line 
(B2-1200) had to be increased by ECU 115 300 000 in commitment appropriations and 
ECU 700 million in payment appropriations through transfers from other Objectives. 1996 is a special 
year for Objective 2 in that it is the last year of the first phase established for this Objective (1994-
96). In budget terms this means that all the aid had to be committed before the end of 1996 and 
explains why the Objective 2 budget heading (B2-1201) had to be increased by ECU 162 500 000 in 
96 8th Annual Report on the Structural Funds (1996) 
commitment appropriations. On the other hand, that same budget heading transferred ECU 
584 500 000 in payment appropriations to Objective 1. Furthermore, as a result of the decisions to 
reduce the Community contribution for certain Objective 2 operations, ECU 37 million committed in 
1994 and 1995 was decommitted. In the case of Objective 5(b),, ECU 223 500 000 in commitment 
appropriations and ECU 80 700 000 in payment appropriations were transferred to other Objectives 
while no commitment or payment was made in 1996 for Italy, Belgium, Denmark or Luxembourg. 
Implementation of this Objective is being hampered by funding difficulties at Member State level. 
Under Objective 6, ECU 54 300 000 in commitment appropriations and ECU 34 800 000 in payment 
appropriations has been transferred to other headings. Sweden in particular has not recorded any 
commitment or payment operations. 
In the case of the Community Initiatives, the implementation rates overall for ERDF appropriations 
(Chapter B2-14) amounted to 97.8% for commitment appropriations and 79.8% for payment 
appropriations. In 1996, the initial ERDF allocations were maintained overall (ECU 7 400 000 in 
commitment appropriations and ECU 8 million in payment appropriations were released to other 
Funds). Large movements of appropriations between Initiatives proved necessary, however, to satisfy 
the varying paces at which funding was being taken up. Thus, the commitment appropriations for the 
Pesca, Interreg, Regis and Urban Initiatives had to be supplemented using appropriations taken from 
other Initiatives. The total amount of ERDF appropriations transferred between Community Initiatives 
amounted to ECU 276 400 000, of which Interreg alone accounted for ECU 127 800 000. In addition, 
a significant proportion of the commitments (ECU 730 700 000) arose directly from the adoption of 
new programmes. This is particularly the case for the three new Member States but also for those 
other programmes whose approval by the Cornmission was delayed. Lastly, the first decisions to grant 
aid from the financial reserve for the Community Initiatives were taken in 1996. The amounts 
engaged were not large, however. 
Lastly, as regards the transitional and innovative measures, ERDF implementation (Article B2-182) 
amounted to ECU 52.5% in commitment appropriations and ECU 72.8% in payment appropriations. 
This budget heading finances measures adopted by the Commission under Articles 7 and 10 of the 
ERDF Regulation and Article 16 of the Regulation coordinating the Structural Funds. The new 
procedures adopted by the Commission for adopting Article 101 pilot projects ran into unexpected 
implementation difficulties, which resulted in delayed approval of the projects and, as'a further 
consequence, slack take-up of commitment appropriations. The late start will be made up for in 1997 
and 1998. 
See Chapter I.B.2. Innovative measures and technical assistance 
8th Annual Réport on the Structural Funds (1996) 97 
ESF 
Table 11-11: ESF implementation in 1996 for the period 1994-99 (including decommitments, carry-overs 
and appropriations made available again - ECU million) 
Available H COMMITMENTS 
_£SE-
_______ ___i_i Obi,. Total Community]! TOTAL 
(2i/m 
Objective 1 
Objective 2 
Objective 3 
Objective 4 
Obj. 5(b) 
Objective 6 
CIs 3399,40 
56530 
2.798,20 
27130 
102,00 
1330 
861,70 
8.011.80 3.399,40 
0,00 565,50 
2.793,92 
271.50 
102,00 
13.48 271.50 
102.00 
13,48 
_____£_ 769,53 
769.53 3399,40 
56530 
2.793,92 
27130 
102,00 
13,48 
76933 
_L__L___i 100% 
100% 
100% 
100% 
100% 
100% 
89% 
_22___ 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
_____ 40,44 
609.47 
116,74 
1.160,33 
82,80 
321,20 
171,47 
0,00 
0,00 
737,50 
159.46 16.94 94.80 
3,08 42.00 
94.23 512,62 
131,86 
68,00 
36.90 239.91 
421,59 
149.87 
3.40 
22.12 152,23 
3.77 65,69 
0,00 
0.00 
188.59 34,99 
0.00 
1,076,80 11,75 
7,00 
26,61 
49.54 
91,68 
38.28 
0.37 
0,00 
0,00 
8.77 
3730 2,71 
0,00 
15.39 
9.28 
28,41 
0,42 
0,00 
0.25 
13.85 
1,11 
12,83 
17.76. 13,48 46,51 
37.81 
141,68 
29,27 
99,48 
99,96 
27,61 
143.18 
0.61 
3,01 
7.99 
21.83 
4,72 
0,99 
104.88 213,14 
89,89 
1.399,99 
146,01 
1.690,41 
792,44 
348.81 
540.13 
4.38 
177.61 
91.30 
759,33 
63.08 
51.32 
1.M7.IW 
PAYMENTS 
Total 
imnl.fll CSF 
_______ Obi. . _______ ______ ohi. sfhi ohi t> Total Community 
Initiative* TOTAL 
Objective 1 
Objective 2 
Objective 3 
Objective 4 
Obj. 5(b) 
Objective 6 
CIs 
IfltaJ 3.162,65 
486.20 
2.19237 
129,08 
109,90 
7,76 
42530 
____LL____ 3.023.79 
454,87 
1.990.34 
129,08 
90,58 
7.76 3.023,79 
454.87 
1.990,34 
129,08 
90,58 
7.76 
5,_9..41 379,68 
_______ 3.023,79 
454,87 
1.99034 
129,08 
9038 
7,76 
379,68 
_________ 96% 
94% 
91% 
100% 
82% 
100% 
89% 
93% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
______ 28,27 
458,46 
120,43 
1.230,17 
77,94 
306.01 
122.34 
0,00 
131 
524.72 
1??,?* 10.67 
137 
56,40 
112,87 
66,80 
25.75 
0.29 
18.28 
4.12 
0.00 
0,00 
________ 81,91 
40,96 
287.50 
272,12 
402,88 
102,44 
3,36 
124.62 
71.77 
21.10 
0.00 
_______ 5,91 
7.68 
8.70 
10,02 
49,62 
19,14 
0,25 
0.00 
3,51 
5,50 
18,75 2,07 
0,14 
11.46 
6.24 
37,01 
0,27 
0,00 
0,38 
12,96 
0.08 
4.59 
15.38 7,76 128,84 
50.34 
822,53 
120.43 
1.631.41 
634.251 
306.01 
269.93 
3.90 
143.28 
93,88 
524.72 
34,44 
23.34 
________ 15,59 
10.00 
83,04 
9.36 
57,57 
43.34 
17,90 
71.91 
0,17 
2.37 
3.20 
6.97 
2.73 
0.30 
55.24 144,43 
60,34 
905.57 
129,79 
1.688.99 
677,59 
323,91 
341,84 
4,07 
145,64 
97.08 
531.68 
37.17 
23.64 
964 36 
To take account of actual progress on the ground, the ESF appropriations (both commitments and 
payments) available in 1996 were rebalanced in the Chapter, resulting in rates of implementation of 
almost 100% for commitment appropriations and 93% for payment appropriations, compared to 1995, 
when implementation was 76% for commitment appropriations and 81% for payment appropriations. 
The result was achieved thanks to close cooperation with the Member States through the introduction 
of a forecast system that will now be maintained. 
As for progress under each Objective, in the case of Objective 1 it is likely that Portugal and, to a 
lesser extent, the United Kingdom will offset the feeble results achieved in Greece and Italy. In the 
case of Objective 2, work in Spain and Germany is helping to offset the slow progress made by the 
French, Italian and United Kingdom SPDs. Germany and the United Kingdom are making good 
98 8th Annual Report on the Structural Fund* (1996) 
progress under Objective 3, while all Member States are experiencing delays, under Objectives 4 and 
5(b). Sweden is somewhat behind in implementing Objective 6. 
Various transfers were made between the Community Initiatives during the year to take account of the 
reprogramming of numerous programmes due to their late launch in 1994 and the inclusion of 
amounts from the reserve. Overall, 89% of the ESF commitments appropriations relating to Article 
B2-14 were used, as were 81% of the payment appropriations. Under Article B2-142, the 
implementation rates were 96% and 91% respectively. In the case of the Employment Initiative, 
implementation reached almost 100% for both commitment and payment appropriations while the 
rates for Adapt were 92% for-commitments and 80% for payments. The late adoption of the 
programmes and the ESF's specific computer requirements were the root cause of these relatively 
poor rates. 
8th Annual Report on the Structural Fund* (1996) 99 
EAGGF 
Table 11-12: EAGGF implementation in 1996 for the period 1994-99 (including decommitments, carry­
overs and appropriations made available again - ECU million) 
COMIVITTMENTS 
Available 
_1__2_L_11_ CSF 
Qhi.1 Obi. Sa Ohi. f ft) Qhi.fi Total Community 
Initiatives, TOTAL 
(2) (ZVil) 
Objective 1 
Obj. 5(a) 
Obj. 5(b) 
Objective 6 
CIs 
Tfttal 2.41630 
802,40 
508,40 
44,70 
173,60 
3.945.60 2.416.50 
802.43 
508.40 
44.67 2.416.50 
802.43 
508.40 
44,67 
3.772.00 139.48 
JL______ 2.416,50 
802,43 
508,40 
44,67 
139,48 
?.?.1.4fi 100% 
100% 
100% 
100% 
80% 
99% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
JUL 8,00 
506,65 
315,93 
539,48 
81,33 
260,07 
227,01 
4,80 
4,96 
377,03 
?1,24 26.80 
22.08 
191.84 
25.00 
220,66 
131,69 
4,31 
9,05 
75,94 
53,32 
26,50 
_JL____L 4,16 
3,73 
99.68 
125.69 
180.33 
33,17 
0,00 
13,21 
29,45 
0,00 
17,99 
1.Q0 33,20 
11,47 38,96 
25,81 
798,17 
315,93 
690.17 
482.32 
260,07 
391.87 
4.31 
27.06 
110,35 
377,03 
86,52 
55,96 
107.47 4.52 
3.27 
6,17 
11.83 
2.27 
38,78 
0,00 
26,70 
0,00 
0,00 
12,17 
0,88 
15.31 
9,44 
8.13 43,48 
29,07 
804.34 
327.76 
692.44 
521,10 
260,07 
418.57 
4.31 
27.06 
122.53 
377.92 
101,83 
65,40 
115.59 
PAYMENTS 
Total 
impl.fl) CSF 
Ohi i Qbi.Sa __________) ________ Total Community 
Initiatives TOTAL 
(2) % 
J2___L 
Objective 1 
Obj. 5(a) 
Obj. 5(b) 
Objective 6 
CIs 
Total 2.182,12 
732,16 
455,17 
36,66 
102,95 
___MM 2.065.33 
696.00 
399,07 
36,66 2.065,33 
696.00 
399,07 
36.66 
3.197.06 80,83 
_££____ 2.06533 
696,00 
399,07 
36,66 
80,83 
2.277.8? 95% 
95% 
88% 
100% 
79% 
93% 
B 
DK 
D 
EL 
E 
F 
IRL 
I 
L 
NL 
A 
P 
FIN 
S 
_____ 3,50 
407,41 
272,89 
557,96 
59,84 
250,24 
140,42 
3,84 
5.11 
315,48 
48.64 42,59 
22,07 
17734 
28.74 
206,89 
41,08 
5,21 
6,49 
77.13 
26.60 
27.86 
34.01 1.40 
0.00 
101.90 
84.67 
14537 
30.89 
0.00 
7,28 
15,20 
3,13 
6.34 
2.70 27,64 
9,02 47,49 
22.07 
686,66 
272,89 
671,37 
412,29 
250,24 
212,38 
5-21 
17,61 
97,44 
315,48 
57,36 
43.22 
85.35 1,99 
0,98 
11,57 
5.91 
7,71 
22,23 
0,00 
12,10 
0,00 
0,00 
3,68 
2.23 
4,59 
2,52 
5.33 49,49 
23,05 
698.22 
278.81 
679,08 
434,52 
250,24 
224,48 
5.21 
17,61 
101,12 
317,7] 
61,96 
45.73 
90,67 
As in the case of the other Funds, the amounts entered in the budget for the EAGGF had to be 
adjusted in 1996 as a result of the decisions approving new programme, in particular those assisting 
the new Member States and for Leader. The adjustments resulted in transfers of appropriations within 
chapter B2-10 (CSFs/SPDs). Implementation of the available commitment appropriations stood at 
99%, i.e. 100% for the CSFs/SPDs but 80% for the Community Initiatives. In the case of the latter, a 
significant number of Leader II programmes were committed in a single instalment in 1995, so that no 
commitment was made in 1996.