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STRUCTURAL INSTRUMENTS AND SUSTAINABLE

DEVELOPEMNT
Marin ANDREICA
Daniela HNCU
Carmen URLEA
Bucharest Academy of Economic Studies
Email: marinandreica@yahoo.com
ABSTRACT
For the period 2007-20! "tr#$t#ral repre"ent one third o% the E#ropean Union &#d'et( a total o%
EUR !!)* &illion( the aim i" to red#$e the di"paritie" &et+een E#ropean Union and mem&er "tate"*
,he paper" #nderline the relation amon' in-e"tment thro#'h "tr#$t#ral in"tr#ment" and "#"taina&le
de-elopment( %inan$ial a""i"tan$e that $an $ontri&#te to a$hie-ement o% Li"&on "trate'.*
KEY WORDS
"#"taina&le de-elopment( "tr#$t#ral in"tr#ment"( en-ironmental in%ra"tr#$t#re( Romania
In 2005, the European Council ased the Commission to re!launch the "is#on Strate$y #y
deli%er stron$er, lon$er!lastin$ $ro&th and to create more and #etter 'o#s. (ne of the ma'or tas
of the )nion is to ensurin$ sustaina#le de%elopment, to maintainin$ a hi$h le%el of
en%ironmental protection. Cohesion policy #ein$ in all its dimensions an inte$ral part of the
"is#on and *othen#ur$ A definite role in main$ pro'ects is held #y the financin$ sources
&hich include Structural Instruments. +he main aim of these funds is to support the country in
transition to achie%e inte$ration o#'ecti%es.
(n ,uly 200- the Commission adopted a proposal of fi%e ne& re$ulations. (%er the period
200.!20/0 the structural funds represent one third of the European )nion #ud$et, a total of
E)1 00-./ #illion. (%er the ne2t period 1omania e2pects an European Commission
contri#ution of a#out Euro 3.5 #illion for en%ironmental in%estments.
+he ma'ority of this amount &ill #e spent in less!de%eloped 4em#er States and re$ions.
Structural 5unds are focuses on three o#'ecti%es con%er$ence, competiti%eness and co!
operation.
Con%er$ence o#'ecti%e aims to 4em#er States and less de%eloped re$ions, under the +reaty
are ey priorities for cohesion policy. +reaty, in Article /56, proposes reduction of le%els of
de%elopment #et&een different re$ions, the most fa%ored re$ions, includin$ rural areas. +his
o#'ecti%e concerns, first of all, those re$ions &hose *78 is less than .59 of the community.
Commission also can pro%ide temporary support to those re$ions that ha%e a *78 per capita
less than .59 of E) /5 mem#er states :so!called statistical effect of enlar$ement;.
1e$ional competiti%eness and employment o#'ecti%e :/59 funded in the #ud$et for
structural funds and cohesion; ! aims to re$ions not eli$i#le under the Con%er$ence o#'ecti%e.
European territorial cooperation o#'ecti%e :financed &ith 59 of #ud$et for structural funds
and cohesion; ! refers to:
+ransnational cooperation<
Cross!#order cooperation<
Interre$ional cooperation.
Since 2006, the Commission has proposed a series of measures to speed up the
implementation of European cohesion policy pro$rammes for the 200.!20/0 period to ensure
that all cohesion policy resources are fully mo#ili=ed to support 4em#er State and re$ional
reco%ery efforts.
+hese measures are #ased on recommendations to 4em#er States and specific le$islati%e an
non!le$islati%e measures desi$ned to accelerate in%estment and simplify the implementation of
European cohesion policy pro$rammes. +he idea is to introduce $reater fle2i#ility, $i%e re$ions
a head start and tar$et cohesion policy pro$rammes on smart in%estment.
+he e2istin$ cohesion policy pro$rammes already ha%e a stron$ strate$ic focus on 'o#s,
#usiness, infrastructure and ener$y, and research and inno%ation. +hese &ill continue to #e
priority areas of in%estment for cohesion policy pro$rammes. In%estin$ in areas of hi$h $ro&th
potential is also nessesary, for e2ample, in%estin$ in ener$y efficiency, clean technolo$ies,
en%ironmental ser%ices, infrastructure and interconnections, #road#and net&ors, forecastin$
and matchin$ sills &ith future la#our maret needs or openin$ up ne& finance for S4Es;.
Structural 5unds has its o&n specific thematic area:
the European 1e$ional 7e%elopment 5und :E175; &ill promote pu#lic and pri%ate
in%estment in order to reduce the $aps #et&een re$ions< fundin$ priorities include research,
inno%ation, en%ironmental protection and ris pre%ention, infrastructure in%estment in the least
de%eloped re$ions<
the European Social 5und :ES5; promotes the return of the unemployed and
disad%anta$ed $roups to the &orforce, &ill increase adapta#ility of &orers and enterprises
and reinforce social inclusion<
the 5inancial Instrument for 5isheries *uidance :5I5*; helps moderni=e the fishin$
industry< the *uidance Section of the European A$ricultural *uidance and *uarantee 5und
:EA**5!*uidance; finances rural de%elopment measures and pro%ides aid for farmers, mainly
in re$ions la$$in$ #ehind in their de%elopment.
(ther financial instruments e2ist in addition to these Structural 5unds, includin$ the
Cohesion 5und< that &ill finance pro'ects in the en%ironment infrastructure and transport< the
fund &ill contri#ute to multi!annual in%estments pro$rams.
+hrou$h Structural 5unds, the Commission &ould lie to impro%e the monitorin$ and
assessment of the en%ironmental impact of re$ional pro$rammes. It &ould also lie to
stren$then up the criteria on &hich pro'ects are selected to ensure that they ha%e a mared
impact in economic, social and en%ironmental terms. All pro'ects financed must #e compati#le
&ith the European +reaties and instruments adopted and &ith Community policies, especially
those concerned &ith protection of the en%ironment, transport, trans!European net&ors, and
competition.
+he Cohesion 5und and the Structural 5unds directly support en%ironmental infrastructure
&ithin the eli$i#le 4em#er States or re$ions.
4easures include the protection and mana$ement of &ater resources, the collection,
treatment and recyclin$ of &aste as &ell as actions to clean up coastal areas and ri%er #asins.
Acti%ities also comprise the treatment and reha#ilitation of industrial sites as &ell as the
up$radin$ of depri%ed ur#an areas.
+he Cohesion 5und &ill support the follo&in$ measures
e2tension and moderni=ation of &ater and &aste&ater system, #y pro%idin$ ade>uate
&ater and se&era$e ser%ices, at accessi#le tariffs< ade>uate drinin$ &ater >uality in all ur#an
a$$lomerations< impro%in$ the purity of &atercourses< creatin$ inno%ati%e and efficient &ater
mana$ement structures<
reduction of pollution from ur#an heatin$ systems in the identified local en%ironmental
hotspots< #y reducin$ pollutant emissions from ur#an heatin$ plants in the identified local
en%ironmental hotspots< decreasin$ $round le%el concentrations of pollutants in the localities
concerned and impro%in$ the health condition of the population in the localities concerned<
implementation of ade>uate infrastructure of natural ris pre%ention in most %ulnera#le
areas< #y contri#utin$ to a sustaina#le flood mana$ement in most %ulnera#le areas<
ensure protection and reha#ilitation of Blac Sea shore.
+he European 1e$ional 7e%elopment 5und &ill finance the follo&in$ measures:
de%elopment of inte$rated &aste mana$ement systems and reha#ilitation of historically
contaminated sites< #y increasin$ the population co%ered #y municipal &aste collection and
mana$ement ser%ices of ade>uate >uality and at afforda#le tariffs< reducin$ the >uantity of
landfilled &aste< increasin$ the >uantity of recycled and reused &aste< settin$ up efficient &aste
mana$ement structures< reducin$ the num#er of historically contaminated sites
implementation of Ade>uate 4ana$ement Systems for ?ature 8rotection, conser%in$
#iolo$ical di%ersity, natural ha#itats, &ild species of fauna and flora< ensure efficient
mana$ement of protected areas, includin$ ?atura 2000.
+he o%erall o#'ecti%e of these funds is to protect and impro%e the en%ironment and li%in$
standards in 1omania, focusin$ on particular on meetin$ the en%ironment ac>uis. +he
Community financial assistance constitutes for the 4em#er States the most important
instrument to address their needs, particularly in the field of protection and mana$ement of
&ater resources, as &ell as the collection, treatment and recyclin$ of &aste.
+he >uality of the en%ironment determines re$ional attracti%eness and as such is a location
factor for in%estment. (%er!e2ploitation as &ell as de$radation of the natural resource #ase can
ha%e se%ere conse>uences not 'ust for the en%ironment #ut for economic acti%ity. +he
de%elopment of en%ironmental infrastructure &ill contri#ute to the impro%ement of the >uality
of life of the population and to e2pandin$ the possi#ilities for in%estments in the country.
By reducin$ the $ap in en%ironment infrastructure, the in%estment &ill pro%ide more and
effecti%e and efficient ser%ices, tain$ full account of the need for sustaina#le de%elopment and
@the polluter payAs principleB.
+he en%ironmental infrastructure represents also a stron$ incenti%e for local authorities to
apply strate$ic reforms re>uirin$ re$ionali=ation of pu#lic ser%ices as a predominant tool in
order to fulfill short!term en%ironmental tar$ets, #ut also to ensure lon$!term sustaina#ility and
re$ional #alanced $ro&th.
Basic infrastructures and ser%ices &ill need to #e created, up$raded and e2panded in order
to esta#lish an effecti%e #usiness support frame&or, capa#le of unlocin$ the re$ional and
local economies and e2ploitin$ the opportunities afforded #y the European maret.
+hou$ht this financial assistant is also e2pected to impro%in$ $o%ernance in the
en%ironmental field. *o%ernance is a ey element underpinnin$ all actions in the interest of an
impro%ed, more efficient mana$ement and for impro%in$ the >uality of pu#lic policy!main$ in
the field of en%ironment. +his &ill help not only to impro%e the implementation of E) cohesion
policy, #ut also to raise the o%erall economic performance.
Besides the 'o#s $enerated #y the construction and maintenance of en%ironmentally
infrastructures, more and more attention is $i%en to the employment potential offered #y the
#usiness that produce $oods and ser%ices for measurin$, pre%entin$, limitin$ or correctin$
dama$e to &ater, air and soil and also acti%ities related to &aste and noise reduction and
treatment. +his opportunities &ill contri#ute to reducin$ &orforce mi$ration :#y pro%idin$ the
local population &ith possi#ilities for successful #usiness de%elopment; andCor to attractin$
in%estors :cheaper resources %alua#le natural areas.;. 5urther more these in%estments &ill help
to promote of rene&a#le ener$y and the use of ener$y and cleanin$ technolo$ies
+he de%elopment of such en%ironmental industries, application and inno%ation oriented :i.e.
production of $oods lined to pollution control, applications for #etter inte$rated approaches to
local and re$ional en%ironmental mana$ement for pre%ention of natural and man!made riss
and for natural resource mana$ement, ener$y sa%in$ technolo$ies or rene&a#le ener$y;, offers
a promisin$ potential for employment.
En%ironmental technolo$ies can ha%e an ma'or contri#ution to economic $ro&th and
contri#ute to employment o#'ecti%es. +he uses of eco industry in European )nion $enerate 'o#s
for o%er 2 million people. +he 4em#er States in their national reform pro$rammes ha%e
reco$ni=ed these opportunities. +hey focused on research and de%elopment, the promotion of
ener$y efficiency, and the use of $reen pu#lic procurement and economic instruments such as
ta2ation.
It is estimated that 609 of the people currently employed in eco!#usiness are relati%ely lo&
silled. Do&e%er, 209 of the &orforce in%ol%ed in the mana$ement and technical acti%ities
are hi$hly silled and e2tensi%ely trained. Eith chan$in$ technolo$y, and as pollution control
and ener$y efficiency #ecome an inte$ral part of producti%e processes, there &ill #e a need for
proper technical specialists, mana$ers, en$ineers, and those in%ol%ed in ur#an plannin$,
landscapin$, mana$in$ nature reser%es, forests, etc.
4oreo%er en%ironmental ser%ices includin$ de%elopment and maintenance of the necessary
infrastructure :i.e. &aste mana$ement, pollution control, &ater mana$ement, maintenance of
natural areas, e%en acti%ities #eyond the en%ironment sector, &hich also contri#ute su#stantially
to a hi$her >uality of life for citi=ens, such as conser%ation of national herita$e, ur#an rene&al,
etc.; &ill contri#ute si$nificantly to create 'o#s.
In%estments in en%ironmental infrastructure are stron$ly connected to sustaina#le economic
$ro&th and 'o# creation. +hey also contri#ute to promotin$ con%er$ence and increasin$ the
competiti%eness of re$ions. In this respect and also for complyin$ &ith European )nion ac>uis,
moderni=ation of en%ironmental infrastructure represents an important re>uirement.
1omania can afford the in%estments in this pu#lic infrastructure and its future operation and
maintenance &ith reasona#le add!on tariff increases that remain #elo& the ma2imum afforda#le
tariffs set at 0!0.59 of the a%era$e household income for &ater and &aste&ater ser%ices and /9
of for solid &aste ser%ices.
In the ne2t 25 years, &ith moderate *78 $ro&th, tariffs are e2pected to reach a lo&er le%el
compara#le to those no& common in most de%eloped. +he applica#ility of the ac>uis &ould
impro%e the frame&or conditions for competiti%e enterprises as &ell as for employees and
citi=ens in $eneral. Ehere the implementation of the ac>uis &ould #e too e2pensi%e for the
enterprises or the $o%ernment, there is either Community support a%aila#le or a transition rule
applies.
En%ironmental trainin$ and an ade>uate human resources policy, closely lined to the
employment effect of the en%ironment, are of t&ofold importance for sustaina#le re$ional
de%elopment: (n the one hand, they can help the la#or force to adapt to chan$ed sill demands
and at the same time assist the re$ionsF con%ersion to&ards more en%ironmentally sustaina#le
industries and sectors. (n the other hand, they increase pu#lic a&areness of en%ironmental
protection issues and thus raise pu#lic support for sustaina#le de%elopment.
Besides the financial assistance directly addressed to&ards the en%ironment, support of
producti%e in%estment can also ha%e si$nificant indirect positi%e effects on the en%ironment.
+hese measures #y their distinct pre%enti%e nature are particularly %alua#le in terms of
sustaina#ility.
Also, the in%estment in pu#lic transport throu$ht the Cohesion 5und and the Structural
5unds promotes en%ironmentally friendly transport systems.
+he promotion of producti%e acti%ities relyin$ directly on a hi$h >uality of en%ironment,
health and G$reen tourismG, as &ell as or$anic farmin$ and nature conser%ation #y the Structural
5unds $i%es rural areas especially the opportunity to capitali=e on their natural assets &hile at
the same time protectin$ them.
By en%ironmental trainin$ courses &ill increase pu#lic and #usiness a&areness of
en%ironmental issues &hile at the same time impro%in$ the >uality of &orersF sills and hence
their capacity to adapt to chan$ed la#or demands.
5urthermore, the funds are also an opportunity for the de%elopment of 888 : pri%ate!
pu#lic!partnership; in the en%ironmental field and increasin$ the en%ironmental a&areness, any
le$al person may #enefit from financin$ if complies &ith the eli$i#ility criteria, accordin$ to
8ro'ect (peratin$ 4anual. As &ell as tenderin$ of ser%ices and &ors afferent to European
8ro$rammes, technical assistant and participation to co!financin$.
As $eneral conclusion, the financial assistance throu$h structural instruments &ill promote
sustaina#le de%elopment and protect the en%ironment for present and future $enerations. By
European )nion actions promoted #y the Sustaina#le 7e%elopment Strate$y and under the
"is#on. European )nion underline that en%ironment protection is important for economic
$ro&th.
+he Commission has shaped en%ironmental policy measures to promote economic $ro&th
and employment, reducin$ trade!offs and promotin$ &in!&in solutions. As en%ironment policy
is a shared responsi#ility, 4em#er States need to en$a$e on a similar direction. In this respect
structural funds &ill #e an important moti%ation for de%elopment of in%estments in en%ironment
infrastructure as &ell as other sectors< in the same time &ill contri#ute to economical $ro&th,
a#sorption of #est a%aila#le technolo$y< create an attracti%e #usiness en%ironment and 'o#s for
society.
REFERENCES
Ioan, I., Bran, 5. :200H; Con"e/#en$e" o% e$onomi$al $ri"i" on e#ropean Union0" $ohe"ion poli$.,
Administration and 8u#lic 4ana$ement Conference @8u#lic Institutions capacity to implement the
administrati%e reform, Bucuresti
1o'ansi I, Bran, 5., *ri$ore, 5., Ioan, I. :200-; C#anti%i$area de1-olt2rii d#ra&ile, BucureJti,
Editura Economica
Council 1e$ulation ?o /060C200- la.in' do+n 'eneral pro-i"ion" on the ERDF( the E3F and the
Cohe"ion F#nd(
Commision 1e$ulation ?o /626C200- settin$ out rules for the implementation of Council
1e$ulation :EC; ?o /060C200-
National 3trate'i$ Re%eren$e Frame+or4 :200-;
ec.europa.euCre$ionalKpolicy
&&&. infoeuropa.ro
&&&. fonduristructurale.ro
&&&.fonduri!ue.ro

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