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European funds in Małopolska Region 1(13th) annual report

Summary

Małopolska Regional Development Observatory

Department of Regional Policy

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PROJECTS IMPLEMENTED IN THE MAŁOPOLSKA REGION AND CO-FINANCED BY EU FUNDS UNDER THE FINANCIAL PERSPECTIVE 2014-2020

At the end of 2016, there were 639 ongoing projects in the Małopolska Region, co-financed by the Structural Funds and the Cohesion Fund. They were worth PLN 5 291.5 million (EU: PLN 3 259.1 million), while the 671 contract which were signed – PLN 6 154.2 million (EU: PLN 3 782.9 million). The difference between the number of implemented projects and the number of signed contract is due to the fact that the implementation of several dozen projects- contract, which were agreed in 2016, will start as late as in 2017.

Figure 1. Change in the number of projects implemented in the Małopolska Region in 2014-2016 and co-financed by the Structural Funds and the Cohesion Fund

700

600

Number of implemented projects 500

400 number 300

200

100

0 July July July Mai Mai Mai June June June April April April March March March August August August January January January October October October February February February December December December November November November September September September 2014 2015 2016

Source: own study

Compared to other regions, the Małopolska Region is ranked 9th in terms of the number of concluded contract and 8th in terms of the value of signed contract for the implementa- tion of projects in its territory. National programmes put the Małopolska Region among lead- ers in the country in terms of the number of signed contract: in the case of the OP Knowledge Education Development – ranked 2nd in the country behind the Mazowieckie Region, in the case

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of the OP Smart Growth – 3rd behind Mazowieckie and Śląskie regions, in the case of the OP Infra- structure and Environment – 4th behind Mazowieckie, Wielkopolskie and Dolnośląskie regions. However, the number of contract concluded as part of the Regional Operational Programme for the Małopolska Region is slightly lower at present than in the case of 8 other regions.

Map 1. Value and structure of concluded contract by region – as at 31 December 2016

pomorskie

warmińsko-mazurskie

zachodniopomorskie podlaskie kujawsko-pomorskie

mazowieckie lubuskie wielkopolskie

łódzkie

lubelskie

dolnośląskie

Value of signed świętokrzyskie contacts opolskie (PLN '000 000) śląskie 1 860–2 923 2 923–4 781 podkarpackie Structure of signed 4 781–6 952 małopolskie contacts by programme 6 952–8 393 OP IE 8 393–9 151 9 151–18 032 OP SG OP DP OP KED ROP OP EP

Source: own study

The per-capita value of signed contractcontactcontacts for projects, which were implemented in the Małopolska Region, was PLN 1 820 (EU: PLN 1 118), accounting for about 61% of the national average. It ranks Małopolska only 14th among other regions, ahead of only Kujawsko- -Pomorskie and Zachodniopomorskie regions. After converting the value into the per-capita value, Małopolska was ranked lower with respect to all programmes and retained its “medal” position only in the case of the OP Smart Growth – ranked 2nd with PLN 428 ( – PLN 410), and the OP Knowledge Education Development – 3rd with PLN 93 (Poland – PLN 140).

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Map 2. Number of signed contract by operational programmes and total per-capita value of signed contract by region – as at 31 December 2016

pomorskie

warmińsko-mazurskie

zachodniopomorskie podlaskie kujawsko-pomorskie

wielkopolskie mazowieckie lubuskie

łódzkie

lubelskie

dolnośląskie świętokrzyskie

Per-capita value opolskie of signed contacts (PLN) śląskie 976–1 923 podkarpackie Number of signed małopolskie 1 923–2 313 contacts by programmes 2 313–2 943 OP IE 2 943–3 258 7 60 3 258–3 433 OP SG

3 433–5 844 11 147 OP DP

1 17 OP EP 9 61 OP KED 57 159 ROP

120 919

Source: own study

In Małopolska, projects which were co-financed by EU funds in 2014-2020, were implemented by 418 beneficiaries established in the Region. They represent 6.8% of all the beneficiaries in the country with which contract for project co-financing were concluded.

In the Małopolska Region, the leading county in terms of the number and value of con- cluded contract is the City of Kraków with its 135 ongoing contract, which were worth PLN 2 162.3 million (EU: PLN 1 211.3 million) at the end of 2016. In the Nowy Sącz County, which is ranked 2nd in terms of the number of projects, there are 82 ongoing projects worth PLN 38.0 million (EU: PLN 28.9 million). At the end of last year, there were no projects in

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Małopolska under the OP Digital Poland assigned directly to any county, hence only four operational programmes are presented. Among them, the Regional Operational Programme for the Małopolska Region is dominant, accounting for 48.1% of all the contract for the implementation of projects concluded in the Kraków County and 84.3% of all the contract for projects in the County.

Figure 2. Number of projects implemented in Małopolska counties by operational programme – as for 31 December 2016

Bochnia County Brzesko County Chrzanów County Dąbrowa County County Kraków County City of Kraków County Miechów County Myślenice County Nowy Sącz County City of Nowy Sącz County POIŚ 2014–2020 Oświęcim County PO IR PO WER Proszowice County RPO WM Sucha County Tarnów County City of Tarnów County County

0 20 40 60 80 100 120 140 number of concluded agreements

Source: own study

In terms of counties, the highest per-capita values were those of contract for the implementation of projects in the Oświęcim County – PLN 4 472 (EU: PLN 2 147), ahead of the City of Kraków – PLN 2 836 (EU: PLN 1 589), the City of Nowy Sącz – PLN 2 165 (EU: PLN 838), and the Miechów County – PLN 1 867 (EU: PLN 1 458). These counties are the only ones above the regional average.

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Map 3. Per-capita value of contracts for the implementation of projects in Małopolska counties

miechowski

olkuski dąbrowski krakowski proszowicki

chrzanowski Kraków Tarnów oświęcimski wielicki brzeski

bocheński wadowicki myślenicki tarnowski

suski

limanowski Nowy Sącz

gorlicki nowosądecki nowotarski

Value of projects (PLN '000)

189–439 tatrzański 439–520 520–865 865–1 160 1 160–2 165 2 165–4 473

Source: own study

In 39 Małopolska communes, there were no projects included in contract which were signed at the end of 2016 to be implemented in their territory. Among other communes, the highest per-capita values were recorded in the City of Oświęcim – PLN 12 073 (EU: PLN 4 696), ahead of Muszyna – PLN 6 657 (EU: PLN 3 506), Chełmek – PLN 4 967 (EU: PLN 3 761), and Zawoja – PLN 4 130 (EU: PLN 2 149).

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Map 4. Per-capita value of contract for the implementation of projects in Małopolska communes

miechowski

olkuski

dąbrowski

proszowicki krakowski

chrzanowski KRAKÓW Tarnów oświęcimski brzeski wielicki

wadowicki bocheński tarnowski myślenicki

limanowski suski

Nowy Sącz gorlicki

in PLN nowosądecki no projects nowotarski below 50 50-100 100-200 tatrzański 200-1000 over 1000

Source: own study

Article 39 of the Treaty on the Functioning of the European Union lays down specific objectives of the Common Agricultural Policy, both the social and economic ones. To achieve them, two pillars of support were adopted:

The 1st pillar covers two types of support:

• common organisation of the market in agricultural products (COAM),

• direct payments for farmers.

The 2nd pillar is oriented towards rural development. To implement it, the Rural Develop- ment Programme, which is financed by the European Agricultural Fund for Rural Development (EAFRD), was drawn up.

As part of the 1st pillar of the CAP, Małopolska farmers received – by the end of 2016 – a total of PLN 482.1 million under the 2015 campaign and PLN 318.3 million under the 2016 campaign. This amount comprises single area payments of PLN 222.9 million and PLN 146.2 million respectively for 2015 and 2016. It should be noted that payments from year

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2016 will be continued for several months more in 2017, hence the final amount paid will be signifi- cantly higher.

In 2004-2016, the Małopolska Region received nearly PLN 5 billion of direct payments which, compared to other regions, ranks it only 14th. The total amount comprises primarily of single area payments, i.e. PLN 3.1 billion secured by farmers.

Under the Rural Development Programme 2014-2020, being a tool for the implementation of the 2nd pillar of the CAP, Małopolska beneficiaries raised PLN 148.5 million which ac- counts for 4.3% of funds disbursed nationwide. The raised funds are relatively small, as further measures were successively launched.

By region, disbursed payments ranged from PLN 42.7 million in the Opolskie Region to PLN 519.5 million in the Mazowieckie Region. Małopolska is ranked 12th in this respect.

Under all RDP 2014-2020 measures, 118.4 thousand applications for EU co-financing were submitted in the Małopolska Region by the end of 2016. They account for 6.7% of all the applications submitted nationwide. The Region is mostly mountainous, thus Małopolska farm- ers most frequently opt for funds under M13: “Payments for areas with natural constraints…”.

Two of 15 measures are implemented by Marshal’s Offices. In the Małopolska Region, 31 local action groups from all rural counties benefited from LEADER support. The aid ranges from PLN 1.1 million in the case of the “ProKoPaRa” Association for the Development of the Pro- szowice Plateau to PLN 2.4 million in the case of the “Nad Białą Przemszą” Local Action Group Association. Support for the activity of LAGs totalled PLN 52.0 million.

Under the measure: “Basic services...”, 85 contract for the reconstruction, modernisation or construction of communal and county roads in rural areas were signed. One such contract is worth from PLN 91.2 thousand (EU: PLN 58.0 thousand) to PLN 4.6 million (EU: PLN 2.8 million). The largest number of RDP road projects is implemented in the Nowy Sącz County (18), including 7 in the Łącko Commune.

Considering the Region as a whole, both amounts seem somewhat incomparable: over PLN 6 billion for Cohesion Policy programmes and only PLN 178 million for the two RDP measures discussed. Nevertheless, this disparity is not so evident at the communal level. Firstly, the value of projects co-financed by the Structural Funds and the Cohesion Fund, which can be assigned to specific communes, is lower (by about PLN 2 billion) and, secondly, the support from agricultural funds itself is often the main, if not the only, source of support for investment efforts as far as rural communes are concerned. In the case of 45 Małopolska communes, the number of RDP contract is thus higher than or equal to the total number of contracts co-financed by the ERDF, the ESF and the CF. However, the value of RDP contractcis higher than the value of ERDF, ESF and CF contract in the case of 58 communes. This proves that both policies perfectly comple- ment one another at the local level.

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Map. 5 Number and quantitative structure of projects co-financed by the Structural Funds, the Cohesion Fund and the RDP, and implemented in Małopolska communes

miechowski

olkuski

dąbrowski

proszowicki krakowski

chrzanowski KRAKÓW Tarnów oświęcimski brzeski wielicki

wadowicki bocheński tarnowski myślenicki

limanowski suski

Nowy Sącz gorlicki

Number of projects nowosądecki nowotarski 0 1 2–3 4–5 tatrzański Projects co-financed by: 6–7 8–228 ERDF, ESF and CF RDP

Source: own study

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Map 6. Per-capita value of projects co-financed by the Structural Funds, the Cohesion Fund and the Rural Development Programme by Małopolska commune

miechowski

olkuski

dąbrowski

proszowicki krakowski

chrzanowski KRAKÓW Tarnów oświęcimski brzeski wielicki

wadowicki bocheński tarnowski myślenicki

limanowski suski

Nowy Sącz gorlicki

Per-capita value nowosądecki of ESIF and RDP nowotarski projects (PLN)

0 below 100 tatrzański Share in per-capita value of projects 100–200 co-financed by: 200–400 ERDF, ESF and CF 400–1 000 1 000–12 074 RDP

Source: own study

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Marshal Office of the Małopolska Region Department of Regional Policy 72B Wielicka Street, 30-552 Kraków, Poland

Free copy

Publication cofinanced by the European Union from the European Social Fund Under Technical Assistance Regional Operational Programme for the Małopolska Region 2014–2020

www.obserwatorium.malopolska.pl

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