Why regions? - Key role of regions in the economic development of Europe dr Paweł Wais Deputy Directort Department for Regional Development Marshal’s Office of the Podkarpackie Region

Issues tackled in the presentation Cohesion Policy as a tool for equalizing development disparities on a European scale. The role of regions in the European Cohesion Policy. Challenges and barriers in the development of Eastern Poland – justification of the dedicated support. Determinants of further development of the regions of the Eastern Poland.

Importance of European Cohesion Policy The Cohesion Policy aims at overcoming economic, social and territorial disparities in the EU by stimulating the development of less developed regions. It is an expression of solidarity policy, which is strongly justified in the treaty provisions on which the integration of the European Communities is based, and continues to be a strong pillar of the functioning of the European Union (in line with Article 174 TFEU). The Cohesion Policy has a strong influence on other EU policies, in particular on: social, agricultural and rural development, transport, industrial, energy, environment, innovation and R&D.

Role of regions in the EU Cohesion Policy, is an important mechanism of addressing disparities endured by the less developed regions, which due to their position benefit relatively less from the common market. Regional policy should be understood as a public intervention, which pursues the development goals of the EU and the country through territorially targeted actions, and whose main coordinator for planning and implementation remains the regions. Regions are an important participant in the process of European integration - there has been development of strategic thinking about the region - development of own strategic and program documents, ability to choose development goals. Territorial dimension - the need to take into account the specific conditions and needs of individual areas.

Role of regions in the EU Strong territorial targeting – allows to design better support instruments, take into account the specificities of the conditions and impacts, observe the effects of the intervention. Significant role of regions - successive increase of responsibility of regional authorities for development programming and fund management. Regions being responsible for regional policy should manage and coordinate local and itner-local policies – strengthening partnerships. Necessity to build effective mechanisms for the diffusion of development processes in the regional space. Coherence at EU level - intra-regional cohesion.

Role of regions in the EU Polish regions built awareness of responsibility for regional development and proper use of financial resources, including European ones: they have their own budgets and pursue an active development policy, they have the experience and successes in managing large scale CP resources, have made an indispensable and measurable contribution to the realization of the objectives of the CP, They have demonstrated that they can manage the EU funds themselves and act as managing authorities for regional operational programs. Regional government integrates entities responsible for shaping socio-economic processes in the region. It is a proven partner in relations with the EU institutions, with the government, local government and social and economic partners..

Regional diversity - Eastern Poland Large regional diversity on a European and national scale - Eastern Poland consists of 5 regions with the lowest socio-economic indicators in the country and one of the weakest in the European Union. Operational Programs of the Cohesion Policy dedicated to regions are an important tool for balancing development in the European Union. A need for more thematically targeted support – the manifestation of the principle of solidarity: Operational Program Development of Eastern Poland 2007-2013, Operational Program Eastern Poland 2014-2020.

Challenges and barriers in the development of Eastern Poland GDP per capita does not exceed 50% of the EU average, Low level of entrepreneurship of the inhabitants, Low innovation in industry and productivity, Significant employment in agriculture – in 2015 the macroregion was characterized by the largest share of the people employed in the agricultural sector that amounted 19.5%. Low employment and investment level in research and development - the last place in the ranking of the number of employees working in R&D sector per 1,000 employed population, The problem of population decline and aging society, Higher and negative balance of migration - all regions of the EP exceeded the national average, Weakness of urban centers - regional centers require strengthening of metropolitan functions, The problem of communication accessibility - both internal and external,

OP EPD 2007-2013 OP EP 2014-2020 Allcation 2,38 bln euro Allocation 2 bln euro

Development determinants of the Macroregion Eastern Poland - a macro-region which, thanks to the support of the Cohesion Policy, has begun the process of catching up with development delays and increasing its competitiveness. Despite a markedly reduced development gap with the EU, Eastern Poland continues to be one of the less developed macro-regions in Europe - the need for further support. The need to take on new challenges : the importance of innovation in business, the increase of the importance of environmental factors in socio-economic processes (including climate change, energy security but also quality of life issues). intensification of competition between countries, regions and other territorial units by development factors (territorial marketing), intraregional inequalities of development processes – they have been particularly deepening since 2006.

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