Opinion of the Committee of the Regions on "The European Commission's Communication 'Sustainable urban development in the European Union: a framework for action'"

(1999/C 293/12)

THE COMMITTEE OF THE REGIONS,

having regard to the Communication from the Commission to the Council, the European Parliament, the Economic and Social Committee and the Committee of the Regions "Sustainable Urban Development in the European Union: A Framework for Action" [COM(1998) 605 final];

having regard to the decision taken by the European Commission on 4 November 1998, under the first paragraph of Article 198c of the Treaty establishing the European Community, to consult the Committee of the Regions on the matter;

having regard to the decision taken by its Bureau on 15 July 1998 to direct Commission 4 for Spatial Planning, Urban Issues, Energy and Environment to draw up the relevant opinion;

having regard to the Draft Opinion (CdR 115/99 rev. 1) adopted by Commission 4 on 16 April 1999 (rapporteurs: Mrs Sally Powell and Mrs Eva-Riitta Siitonen),

adopted the following opinion at its plenary session of 2 and 3 June 1999 (meeting of 3 June) unanimously.

1. Introduction

1.1. The Committee of the Regions welcomes the development of urban policy achieved within the Framework for Action, and is particularly pleased to see the urban agenda move forward so promptly after the previous communication "Towards an Urban Agenda in the European Union". The latest communication, "Sustainable Urban Development in the European Union: A Framework for Action", represents an important step forward in the recognition of urban areas and in the co-ordinating of the urban policy and actions within the EU. The Committee of the Regions also supports and welcomes the integrated approach to urban policy set out in the Framework. The Framework is a positive step on the way to developing a truly integrated approach to urban policy. It will usher the EU's urban policy into the new century and act as a guide for future urban policy. Nevertheless, action in the field of urban policy must not be allowed to lead to an extension of the EU's powers.

1.2. The recognition given to the central role played by cities, towns and urban areas, and the importance of urban policy on the EU agenda, is the result of many years of work, especially on the part of local authorities and the organisations that represent them. The COR has itself argued for such recognition, for example in its Opinion on "Urban development and the European Union" (1995), which commented on the need for a greater urban dimension to EU policies and in its opinion on the European Spatial Development Perspective (ESDP), which focuses on the vital role of towns in regional economic dynamism and in EU competitiveness. The Committee of the Regions particularly welcomes the Commission's recognition of the decisive role of cities in the implementation of the EU's main objectives - economic and social cohesion, employment, competitiveness, and environmental sustainability. The recognition of the role of cities in this process demonstrates the need for close involvement of local and regional authorities in all future policy formulation, and recognises that cities - and the organisations and institutions that represent them - should be true partners in the process.

1.3. The Framework for Action promotes a broad-based, integrated strategy for the development of cities and towns, and considers a number of the recent EU programmes and policy documents relevant to urban areas. At the same time, however, the Framework has been successful in avoiding long lists of specific issues, and has helpfully distilled its thoughts into four broad headings. The structure of the Framework is clear and accessible, and the Committee of the Regions commends the Commission for producing such an accessible and useful document.

1.4. However the Framework is only the first step. The Commission and Member States must ensure that the Framework's recommendations are followed up with real action and, in particular that the statements in the framework are implemented during the new Structural Funds programming period 2000-06. Equally, now that the Commission has produced such a valuable document - in effect a Green Paper - they should take the next step and produce a White Paper that will move urban policy into the next century. The Committee of the Regions also looks forward to seeing the recommendations for follow-up work delivered swiftly and effectively, and urges the Commission to ensure that the resources needed to deliver this are identified.

1.5. The Committee, however, emphasises that it is not yet possible to fully determine whether certain measures proposed by the Framework for Action comply with the requirements of Article 3b of the EC Treaty. In this respect, the safeguarding of the subsidiarity principle in each individual case will have to be verified if the measures are developed further.

2. General comments

2.1. The concept of sustainable, integrated urban development underpins the framework, and the Committee of the Regions agrees that this should be the over-arching principle to be followed in the development of urban policy. The sustainable development of cities, towns and urban areas can only be achieved by looking at economic competitiveness, social cohesion and environmental sustainability as mutually supportive agendas. The London Study, the first of a number of city studies supported by the European Commission, addresses this issue, calling for: "a recognition that our quality of life rests on three key dimensions of development: we need to live within the capacity of the environment to provide us with energy; we need to maintain an economy that is innovative, competitive and productive; and we need development that does not erode social cohesion and undermine families and communities".

2.2. The need for such policy integration, both vertically and horizontally, is clearly recognised by the framework document. The four interdependent policy aims set out in the Framework for Action, and the urban policy objectives based on them, together offer a clear and holistic framework for action.

The strategic role played by European cities, towns and urban areas deserves greater recognition in formulating EU policy, and it is important that more research is undertaken to help us understand the position and the prospects of Europe's cities, towns and urban areas. With 80 % of all EU citizens living in cities, towns and urban areas, there is an important role in bringing the Community closer to its citizens. In terms of urban governance that means that partnerships and local empowerment have to be everyday practice in EU-funded projects - from the planning phase to implementation. This needs to receive greater recognition in the framework document. Furthermore, the Commission should take better account of the diversity of cities and their specific features.

2.3. Culture is not included in the Framework for Action's challenges or policy aims. The Committee of the Regions takes the position that culture is extremely significant both as a growth sector and for the overall well being of a city, and needs to be included as part of the EU urban policy. To cities, culture has great economic importance: the culture industry is one of the fastest-growing sectors. Cities are the bearers of Europe's values, cultural tradition, and identity - and cities pass that heritage on to future generations. Along with cohesion and sustainable development, maintenance of Europe's culture and identity should be a primary goal of European urban policy - and a goal for the whole EU. It is an important signal that the Fifth Framework for RTD programme includes "The City of Tomorrow and the Cultural Heritage" as a key action. For the first time, cities have thus been mentioned explicitly in the Commission's Framework for RTD programmes.

2.4. The Framework for Action examines the challenges of globalization primarily from the perspective of the urban economy and urban employment. For cities, globalization means both possibilities and threats, both competition and co-operation. One important aspect of globalization that was not discussed in the Framework is urbanisation and migration. Urbanisation continues globally, and issues associated with migration, both within and from outside the EU, will remain acute in the next century. The challenges of urban growth - housing, for example - should also be examined in the context of EU urban policy.

2.5. The importance of taking a cross-sectoral integrated approach to urban policy actions, likely to be more effective than the sector-specific approach still applied at EU level, should be given special emphasis by the Commission.

3. Strengthening economic prosperity and employment in towns and cities

3.1. Combined with the intellectual strength of urban universities, the cultural traditions of European cities offer yet-untapped possibilities for innovation policy. From the standpoint of the competitiveness of Europe as a whole, the central question is how the innovative potential of European cities can be transformed into a practical creativity that generates new products and services. In the view of the Committee of the Regions, the EU's urban policy must strongly support the role of cities as centres of innovation and creativity. In this context the EU's innovation and research and development policies, particularly the City of Tomorrow strand within the Fifth Framework Programme, occupy a key position.

3.2. The Committee of the Regions emphasises that this in no way means abandoning the balanced development of cities of different sizes. Through networking and co-operation, the vitality of innovation centres will spread to other centres and to the regions surrounding the cities, too. It is important, from this point of view, that towns should be able to point to increasingly functional links with the surrounding rural areas. Distance work in rural areas, which has been made possible by the new communications technology, could be mentioned as an example of networking. Strengthening this interaction is a cornerstone of urban policy. The urban dimension must be an integral part of Structural Funds reform. It should apply to Objective 1 areas as well as to the other objectives, as it is towns and cities that often act as the motor for the economic development of the whole region. Under the new objective 2 programme, the urban dimension should be strengthened and greater complementarity between urban and rural areas should be sought in order to promote a properly integrated spatial development.

3.3. According to the Framework for Action, the Structural Funds are the EU's most important instrument for promoting prosperity and employment. The targeting of support should be based on an integrated approach. Actions and programmes must involve a flexible combination of measures and respond to the current challenges faced by the city concerned. It is the opinion of the Committee of the Regions that the Commission's proposal points in the right direction. It conforms essentially with the subsidiarity principle and, when properly used, offers a possibility for bolstering local autonomy and supporting partnership.

3.4. In general terms, the issue of resources must be tackled. Many of the most intractable problems and the most difficult challenges to social and economic cohesion are faced in today's cities. If social and economic cohesion is to be achieved, it is crucial that cities receive a fair share of resources. This would demonstrate a real commitment to addressing urban issues. In particular, the European Commission and Member States must work to ensure a fairer distribution of Structural Fund resources in favour of urban areas.

3.5. For the cities and towns of Europe, the improvement of the employment situation is one of the most burning questions. Integrated urban management is essential to the success of employment and objective three strategies in cities and towns. It is extremely important that increasing employment be one of the Union's key objectives. The Framework for Action emphasises the need for a stronger urban dimension in the EU's employment programmes. The Committee of the Regions considers it important that the challenge of long-term unemployment, which has been concentrated in cities, receive greater attention than before in the co-ordination of the EU's employment actions. This viewpoint is absent from the document now in hand. Within the framework of the new Objective 3 in the Structural Funds reform, the urban dimension must be emphasised, and the urban viewpoint must be incorporated into the employment programmes being drafted by Member States and by the Commission.

3.6. Cities are playing an especially crucial role in the development of the information society. First, innovations in new technology that offer the potential for dynamic new sources of livelihood and employment are born in cities. Secondly, by using new technology, cities can improve public services in such fields as social services, health care and education, so that social exclusion can be effectively reduced. Thirdly, data networks are making it possible to get feedback directly from city residents, and offer the potential for strengthening local democracy. Furthermore, data networks are offering opportunities for bolstering interaction between the countryside and urban areas. In the view of the Committee of the Regions, the urban-policy nature of these challenges has not yet been adequately clarified. The connections between urban policy and information-society policy must be studied, and must bring these policy sectors closer together.

3.7. Implementation of the objectives of the Framework for Action will require active promotion of innovations and the "learning city". To become reality, economic competitiveness, a just society, sustainable development and functional administration will make lifelong learning a necessity. Providing the necessary learning and skills for residents and people who work in cities is a basic prerequisite for the prosperity and competitiveness of cities. Learning should be highlighted more clearly as a leading principle of urban policy. Special attention must be given to EU measures that support data systems, research, and international assessments and comparisons of innovative activity in cities. Co-operative networks between cities on the one hand and universities and cultural and research institutions on the other must be activated.

4. Promoting equality, social inclusion and regeneration in urban areas

4.1. The Committee of the Regions welcomes the Commission's aim to tackle social exclusion by pursuing integrated policy objectives. The integration of social equity, economic competitiveness and protecting and maintaining the environment is key to delivering sustainable regeneration. The Committee of the Regions would urge the Commission to ensure that this commitment to sustainable urban regeneration underpins all its activities.

4.2. Social exclusion - although more visible and concentrated in our towns and cities - is not exclusively a problem of urban areas. However it is in our towns and cities where we witness the most severe forms of social and economic exclusion. In many otherwise wealthy regions there exist pockets of the most deprivation, reflecting the sharp divisions between the socially excluded and included that has been recognised by the Commission. The EU's First Report on Economic and Social Cohesion identified this trend:

"...The co-existence of areas with high added value and high income residents alongside areas with low incomes, high unemployment, high dependence on welfare benefits and overcrowded and poor housing has become increasingly common throughout Europe."

4.3. The Commission has recognised the existence of areas of serious deprivation within otherwise wealthy cities in its proposals for the new Objective 2 priorities, which identify urban areas in difficulty a priority. The recent Eurostat statistics on GDP provide a startling example of just such a phenomenon, whereby some cities have scored very highly in the table but have some of the most deprived local authority areas in the whole of the EU.

4.4. Many of the most disadvantaged of our citizens are affected by multiple levels of deprivation and poverty - they live in inadequate housing, are unemployed and have little or no prospect of getting a job, are poorly educated, and are unskilled. These issues are even more acute within certain social groups: minority ethnic communities are amongst those who suffer the severest form of deprivation within the EU. It is this multiple deprivation which demands a co-ordinated policy approach by the EU and Member States. Non-discrimination as described in Article 13 of the Amsterdam Treaty needs to be mainstreamed if it is to be truly effective.

4.5. Developing routes out of exclusion - pathways to employment - is a fundamental tenet of urban management. In order to achieve links to the wider economy, the 'functional urban regions' first identified by the Committee of the Regions, are an essential element of opening up access to employment opportunities throughout the region. This concept should be looked at in greater depth and should be viewed by the Commission document as a territorial reference unit for action. The Commission should examine the interdependancy and complementarity between city and regions as well, and the need for harmonious relations between them. The Committee of the Regions wholly supports the intention of the Commission in the new guidelines for the next programming period 2000-06 for Structural and Cohesion Funds, to specifically address the needs of urban areas. This will be one of the most effective means of ensuring that there is a strategic approach to dealing with the needs of urban areas in each region.

4.6. The Committee of the Regions acknowledges the need for a partnership approach to finding solutions. This partnership should span both horizontal and vertical levels of decision making, ensuring complementarity of policy actions at Member State and EU level. In addition, there is a growing recognition that local partnerships are the key to achieving sustainable regeneration and ensuring a more inclusive society. The Commission's URBAN Community Initiative was specifically developed to encourage a community led approach to tackling social and economic exclusion. The Committee of the Regions welcomes the development of this principle which now under-pins the new Objective 2 priority for tackling the structural problems of towns and major urban population centres on the one hand and rural areas on the other. The Committee also welcomes the move prompted by the European Parliament to press ahead with the URBAN Community initiative.

4.7. The Framework for Action document recognises the need for area-based targeted actions, which actively involve all sectors of society in bringing about change and pursuing these objectives. In supporting the partnership approach, the Committee of the Regions would urge the Commission to take account of the fact that true capacity building amongst the partnership, which is fundamental to the successful implementation of local programmes, takes time; and that the need for resources to support this must be recognised.

4.8. The Committee of the Regions welcomes the emphasis throughout the Urban Framework document on the need for exchange of know-how and experience. However it stresses the importance of the involvement of local and regional authorities, which are responsible for the implementation of national and EU policies and have a wealth of expertise on which to draw.

5. Protecting and improving the urban environment: towards local and global sustainability

5.1. In terms of both objectives and action measures, the section on the urban environment, in the view of the Committee of the Regions, is comprehensive and focuses on the essential questions. To strive for sustainable development and to curb the negative environmental impact of urban functions have quite correctly been designated as the primary objective. The other objectives cover the main challenges facing the urban environment. In the implementation of these objectives, the cities are in a central position. For the cities, that represents a great challenge. The most important thing is the integration of environmental policy into other policies at all levels of administration (local, regional, national, EU). The EU's main departments and the Governments of the member countries must harmonise their policies so as to ensure the greatest multiple benefit.

5.2. Improving the urban environment entails overhauling the management of urban eco-system resources. These include water and sewage services, selective sorting and recycling of waste, an energy saving drive and improved multimodal, environment-friendly public transport. Environment quality standards for air, water etc. can play an active part in steering development towards sustainable systems.

5.3. From the standpoint of improving the urban environment, EU activities aimed at streamlining the enforcement of Union environmental legislation are especially essential. The EU must work with cities and towns at an early stage of the preparation of new legislation in order to ensure the implementation and enforcement of directives. Taking account of the urban dimension means that new actions are planned in cooperation with both representatives of local administration and other stakeholders. The action proposal in question must be fully supported. In the preparation of directives, there must be adequate clarity as to their impacts at the local level, and special local features must always be taken into account.

5.4. Transport questions are among the most important environmental questions everywhere. The constant growth in road traffic does not conform with the principle of sustainable development. Improvement of public transport and a substantial increase in its market share are decisive factors. Action and an integrated approach will be needed here, at all levels of government. In addition to measures aimed at a more compact local community structure, the EU should develop economic guidance measures, such as steps aimed at favouring and supporting public transport so as to ensure its competitiveness, for example.

Through voluntary agreements, the EU is promoting product development in vehicular technology in order to reduce vehicular emissions. The Auto-Oil Programme will have an impact on the quality of fuel in the years immediately ahead. The EU must continue and expand this sort of activity in a consistent fashion. Cities and towns must seize the opportunity to promote the use of the most advanced environmentally friendly vehicles and engines through initiatives like Alter.

5.5. In the years immediately ahead, the enforcement of the Kyoto Protocol will pose a key environmental challenge. From the standpoint of cities, linking public transport planning and land use policy is an important means of reducing greenhouse gas emissions.

5.6. With regard public procurement, cities can and must serve as a good example to others. The substantial purchasing power of local and regional authority will play a central role. The objective has to be the "greening" of procurement policy and the promotion of life-cycle thinking. Unfortunately, environmental and internal-market policies often conflict with each other in practice. The EU's political will and action are needed in this context. The EU can support cities and towns by accelerating the progress of the EMAS and Public Procurement Regulations, and the introduction of eco-labelling - by publicising and harmonising the labelling systems. This work will require a substantial research and development investment by the EU.

5.7. The Committee of the Regions believes that citizen participation in decision-making processes, including dialogue on local agenda 21, will require an enhanced public consciousness of the environment. That in turn will demand the production of clear, comprehensible information on the consequences of human actions for the environment. For sustainable development, the greatest challenges are consumer behaviour and people's lifestyle. Changing public attitudes is essential to the implementation of sustainable development. In training, educational curricula and day-to-day life, we must concentrate on the sustainable-development perspective.

6. Promoting public influence and good urban administration

6.1. The Committee of the Regions fully supports the Commission's commitment to enhance and develop their dialogue with local and regional authorities about EU policy formation. We warmly welcome the proposal for the creation of a group of experts to discuss progress in the implementation of the Framework for Action. The Committee of the Regions would like to see local and regional authorities strongly represented on the group: municipalities often take a leading role in the development of urban policy. It is also essential to ensure that those actively engaged in the practical implementation urban development and regeneration activities be included in the group. The Committee of the Regions urges the Commission to establish the expert group without delay.

6.2. It is essential that the expert group on urban policy considers more than the monitoring of the framework. It should be closely involved in influencing future actions. Initiatives aimed at towns and cities, such as the Urban Community initiative, or actions funded under the new innovative actions budget heading allowed for in the structural funds, should be closely guided by the views of the expert group.

6.3. The Committee of the Regions would like to see a greater commitment from the Commission to work closely with the Committee of the Regions as well as other European-wide, national or regional groupings of local authorities in the development of policy. In particular, the Committee of the Regions would like to see better inter-institutional arrangements so that the Committee is involved from the outset in policy development discussions.

6.4. The Committee of the Regions agrees that policy integration has to be an essential guiding principle, applied to all aspects of strategy and policy development. Through partnership and joint working, partners are able to recognise and understand the objectives of others and that, for example, economic growth is hindered if social exclusion is not tackled or that environmental improvements often require growth in order to be funded.

6.5. The appointment of a new Commission and a possible Intergovernmental Conference early next century provide a golden opportunity for the European institutions to reassess their decision making and administrative arrangements to co-ordinated action for urban areas. A positive reform would be to give one Commissioner overall responsibility for co-ordinating urban policy actions.

6.6. The COR welcomes the support of the Commission in the draft Structural Fund regulations for the continued funding of projects that support local capacity building.

6.7. The Commission has an important role in encouraging the exchange of experience between cities to support local capacity building and to increase awareness about innovative work in the area of sustainable urban development. Support should continue for work in this area, such as European-wide databases, training schemes and award schemes.

6.8. Good urban governance requires an advanced model of citizenship. Electoral apathy and a top-down approach to policy development are not compatible with the development of sustainable urban communities.

6.9. The Community has a role in studying and disseminating information about new models of urban administration and community consultation. Work should be undertaken at the European level to discover effective ways of involving all sections of local communities, and in the socially and economically excluded.

6.10. Local and regional authorities have developed innovative approaches, such as surveys of public opinion, citizens' juries and panels, but this is often undertaken in isolation. It is difficult for cities to justify using scarce resources to test different consultation mechanisms, and the piloting of innovative projects and the dissemination of information about best practice is a legitimate and valuable role for the EU.

6.11. The European Commission must ensure that there is meaningful community involvement in area based regeneration initiatives funded by the European Union, in particular Structural Fund interventions. Full participation of the community is vital to ensuring that that economic development initiatives are effective in meeting local need, and to ensuring a sustainable benefit when funding programmes come to an end.

6.12. The Committee of the Regions welcomes the proposal for European-wide civic forums to look at urban issues. Every effort must be made to ensure that the forums are constructive and that all sections of the Community are represented.

6.13. The framework promises to encourage and support local authorities to develop locally relevant indicators and to undertake more work on bench marking, building on pilot benchmarking exercise in urban transport. The COR is currently involved in a study to develop a limited set of indicators of quality of life that can assist in the management of urban policy. The study will seek to identify indicators that are consistent with existing data availability and that go beyond current crude traditional measures of quality of life based on population density, GDP and unemployment. The Commission is asked to consider the results of the study in future work.

7. Conclusions

7.1. In the final analysis, the success of an urban policy depends on the cities' own activism. According to the subsidiarity principle, the urban policies of the EU and the national Governments must by nature support and complement the cities' own actions. Such being the case, the role of urban regions' own integrated development plans, which are local and based on self-government, must be recognised as the key instrument of urban policy.

7.2. The Committee of the Regions emphasises that towns and especially cities are engines of economic growth and sustainable development across Europe. The European Commission should support cities in fulfilling their responsibilities to the surrounding region. Meaningful dialogue and interaction is in the interests of both the city and the surrounding region. The methodology presented in the ESDP can, if developed in dialogue with cities and regions, be an effective instrument for coordination.

7.3. The EU must introduce the urban dimension as a guiding principle in those sectors of policy that are crucial to sustainable urban development. The proposal for continuing the operation of the Commission's Interservice Group must therefore receive strong support. The cities must be brought into the development and monitoring of urban policy as active players and implementers.

7.4. Information is becoming more and more important as a resource for the development of cities, towns and urban areas. Research and public information directly related to urban policy must be increased at the level of the Commission, too. The Urban Audit Project is a modest but important step in this direction. It is, however, important that information on towns and cities should not be confined to those major cities which are currently covered by the Urban Audit, but that it be extended to medium-sized and smaller towns too. Eurostat must develop a uniform system of urban statistics. Both the monitoring of the condition of the cities and the assessment of actions that promote sustainable urban development lack jointly agreed-upon gauges and indicators, for which the Commission should provide financial assistance.

7.5. Mechanisms and financing for the exchange of experience and information between cities, and for the dissemination of the best practice, must be developed on an ongoing basis in conformity with all four of the Framework for Action's policy areas. This increasingly applies also to activity that crosses the Union's outer borders.

7.6. The proposal for the establishment of an urban-policy expert group is to be supported. The Committee of the Regions must be represented alongside other EU institutions in the expert group that is to be established. Only in this fashion will it be possible to ensure an integrated approach to urban affairs. European cities and city networks should also be represented in the group.

7.7. The regular organisation of Urban Forums is an effective way of developing and giving profile to urban policy issues. Smaller-scale follow-up programmes, concentrating for example on certain themes, would complement the Forums and offer the opportunity to discuss specific issues in greater detail, possibly with more opportunity for detailed discussion and sharing of experience.

7.8. Having drafted what is in effect a Green Paper, the Commission must now take the next step and produce an Urban White Paper to move urban policy into the next century. Its preparation must take place through co-operation among all the main parties, in a genuine spirit of partnership.

Brussels, 3 June 1999.

The President

of the Committee of the Regions

Manfred DAMMEYER