Select Committee on European Union Minutes of Evidence


Examination of Witnesses (Questions 292-299)

Ms Monika Kapturska,Ms Anna Wasowicz, Ms Izabela Gorczyca and Ms Marta Lorens

6 MARCH 2008

  Q292 Chairman: Welcome to UKRep. It is very good of you to come and give evidence to us. We are putting this on the record so that we can use it. Sue is our shorthand writer and you will get to see what you said before it is published. Can I say that the general initial questions, which you have all seen, but I want to read them on for the sake of record, that your presentations will address are: what the role of a Regional Representation in Brussels is; how does your Office represent your region's interest; what is the size of each region's allocation from the EU and how is your allocation utilised, what kinds of projects, what kinds of activities are you doing with it. Since the Wielkopolska region has not yet had its presentation photocopied, could we ask Lubelskie to start.

  Ms Lorens: Of course. First of all, I would like to thank you very much for the invitation. It is an honour for me to be in such a distinguished assembly today. Before commencing with the presentation I want to make one point, a caveat. I cannot be called an expert on EU funds in our region, I simply represent my region here in Brussels in my Regional Representation and I co-operate with my friends and colleagues from the Marshal's Office of Lubelskie voivodship which is the managing body of the EU funds. We have prepared a presentation which has been supplied to you. It is a very detailed one full of facts and figures which can be left for evidence afterwards. I would like to make it presentation-friendly and it may have been better to have the projector and equipment to show it, but since we do not have that I will try to make it accessible in a different way. Referring back to the first question about the Regional Office, if I may start with that, our Office of the Lubelskie region is a small one. I am the only person who represents the region in Brussels for now. The activity so far has been focusing on two areas: promotional and representational. The Office is in the process of restructuring and at the end of this year we expect to have the Representation proper with staff and divisions and sections, but due to certain changes on the local authority level it has not been possible to arrange it so far. The promotional area means the participation of our region in different activities here, such as open days. This is an initiative in Brussels organised by the Committee of the Regions and DG Regio. It is a great event and regions from all over Europe present their good practices here, their co-operation, their programmes and projects. We do participate in that. The other part of my activities here in Brussels is simply representing the interests of the voivodship by liaising between the institutions and facilitating communication for the authorities supporting the actions undertaken by the authorities. That is the main thing. Maybe I should have started with a presentation of the region as such because that could be of some use. At the back of this document is a map of Europe and the Lubelskie region is the dark orange. We are at the very border of Europe bordering with Ukraine and Belorussia. Poland is divided into 16 regions and Lubelskie is quite a large one, the third biggest as far as Poland is concerned. It covers 25,000 square kilometres. This is eight per cent of the surface of Poland. The population last year was 2,180,000 inhabitants which ranks it twelfth in Poland as far as density is concerned. It is a sparsely populated region. It is 76 per cent of the European average as far as population density is concerned. It is also one of the regions with the lowest urbanisation indicators in the country, less than 47 per cent. The main city, Lublin, is an academic and economic centre, the biggest town, which is on the right-hand side of this map. Looking at the economy and the challenges for the regions, we are aware of the weaknesses and challenges. There are certain weaknesses typical of such poorly developed regions, such as a low level of economic development which translates to low income among the population, a poorly developed innovation market, a poorly developed SME sector, system of supporting companies and so on. However, these weaknesses are balanced by certain advantages and strengths, namely the potential for the production, for instance, of green food because agriculture is a stronger sector than industry. It is the potential of the region for the production of bioenergy, biomass, biofuels, but also tourism. Such characteristics will be important for the part of the presentation when I tell you about the Regional Operational Programme which has certain priorities that apply to the current situation and the challenges. I will not go through the previous Financial Perspective of the Integrated Regional Operational Programme, 2004-06, the current Financial Perspective is more important for us now.

  Q293  Chairman: Yes, please.

  Ms Lorens: If we look at the size of the allocation that Lubelskie receives, slide number eight shows quite a good visual representation of the allocation for 2007-13. I will try to describe it briefly. Within the National Cohesion Strategy for 2007-13, over €2 billion of EU funds were allocated for the region for investments. This amount includes allocation for the Regional Operational Programme, which is very important because this is the first ever large-scale programme, this multi-annual programme, financially stable programme, of development measures for the region. The ROP is crucial here. Also, a component of the Operational Programme is the Human Capital and Operational Programme—Development of Eastern Poland. On the graphic we show the share of Community assistance and national contribution which makes it clear that the EU funds constitute the basis of that. If I can focus on the Regional Operational Programme, that will show the principles that guide how we distribute the funds to different projects. We should have in mind one specific goal, that is improving the competitiveness of the Lubelskie region, which triggers faster economic growth and growth of employment complying with the natural and cultural qualities of the region. This is the main goal of the programme and it is divided into three sub-goals concentrating on the competitiveness of the region, on improvement in investment conditions, and also improving the quality of life of the region. Behind the Regional Operational Programme there is the strategy of the voivodship's development and there are certain criteria that allow projects to be co-financed. If we could look at the criteria, they would be the impact on the increase of economic activity, competitiveness, quality of inter-regional relations but also improving the environmental quality and promoting the image of the region, that is also important. What constitutes the core of the programme are the axes. The axes overlap certain levels of co-financing and there are nine such axes. The programme is divided into sections. The first one is entrepreneurship and innovations, then economy infrastructure, third attractiveness of urban areas and investment premises, fourth information society, fifth transport, sixth environment and pure energy, seventh culture and tourism and co-operation between regions, eighth social infrastructure and, finally, technical assistance. From that division we see the highest level of co-financing from the ERDF is attributed to the transport axis, and that is 22 per cent, and entrepreneurship and innovations. They have the highest level of co-financing.

  Q294  Chairman: Thank you Ms Lorens, we will read what you are doing afterwards. I would very much like to look at some of your specific projects. We are particularly keen to ask you, when you have told us that, how you find your dealings with the EU and how well it works, how useful it has been. If you could move us to that, because I do want to have time to discuss.

  Ms Lorens: Of course. The evidence that I was presented with was the evidence from the previous Financial Perspective 2004-06 and the evaluation of the main beneficiaries and the main activities focusing, for example, on improving the infrastructure, the educational and sport infrastructure as well as roads infrastructure and social ones. For the new Perspective, 2007-13, today I got the information that on 17 March we will start the call for the new applications, so the assessments of these new proceedings will be known in two months. That is the reply that I got, that in two months' time we will be able to give the reply on what are the main problems with utilising the funds and management. I can forward that question and supply you with it in written form as soon as possible, by Monday.

  Q295  Chairman: That would be very helpful. We are running an inquiry which says there are these Structural Funds and we know roughly how they are allocated, but we are very keen to find out the views of a recipient of these Structural Funds. Do the conditions strike you as onerous? Is there an awful lot of administrative cost? Has it been helpful? Anything you can tell us.

  Ms Lorens: The answer is they have been really helpful indeed. From the data I have with me today I cannot give you precise examples. As I have mentioned, the allocation from the previous Perspective was 80 per cent, so quite a high utilisation of the funding. I have no data on the present Perspective but just for indicative projects, which is at the end of the presentation.

  Q296  Chairman: That would be interesting to see.

  Ms Lorens: That is an indicative schedule for individual key projects. The key project for the city and region is the regional airport. As I said, the region is quite a big one but it does not have an airport, so that is the first thing. Another thing is the construction of a regional geographical system and culture meetings point and, finally, sports facilities such as a stadium. I understand what you need for your evidence and if I could put down the question and provide you with that, would it be okay if I provide you with that?

  Q297  Chairman: That would be most helpful. My Lords, is there anything else that we can ask Ms Lorens? We can always come back to her at the end.

  Q298  Lord Trimble: The amount of money the region is receiving is €2 billion per annum, is that right?

  Ms Lorens: That is the complete allocation.

  Q299  Lord Trimble: For the period from 2007-13 you have a total of €2 billion.

  Ms Lorens: €4 billion.

  Lord Trimble: That is quite a difference. This may be a silly question to ask you but could you handle more?


 
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