PHOTO: RASMUS OLE RASMUSSEN, NORDREGIO Sustainable Regional Development in the Nordic Arctic Policy recommendations The Nordic Arctic Working Group on sustainable regional development. Anna Karlsdottir, Lise Smed Olsen & Lisbeth Greve Harbo (eds.) The regional sector of the Nordic Coun- Members of the Nordic Working Group on Sustainable cil of Ministers (NCM) wishes to initiate Development in the Arctic a thematically broad and in-depth study Lisbeth Nylund, Ministry of Local Government and Modernisation, of the future development of the Arctic Norway (Chair) using possible scenarios. The objective of Kari-Mette Lullau, Ministry of Local Government and Modernisation, Norway this work is to provide input to the further Fredrik Juell Theisen, Ministry of Climate and Environment, development of the NCM Arctic Co-opera- Norway tion Programme by collecting, reviewing Margretha Nónklett, Ministry of Foreign Affairs, Faroe Islands and analysing existing information, as- Paula Mikkola, North Calotte Council, Finland sessing different preconditions for future Sari Saarela, County Administrative Board of Norrbotten, Sweden development in the area and developing Snorri Björn Sigurðsson, Icelandic Regional Development Institute, future scenarios. This will contribute to the Iceland political debate and give a more holistic Klaus Georg Hansen, Department of Economic Planning, Ministry overview of the scientific knowledge. of Finance, Greenland 1 POLICY RECOMMENDATIONS • Sustainable Regional Development in the Nordic Arctic 2 POLICY RECOMMENDATIONS • Sustainable Regional Development in the Nordic Arctic Background and objectives In 2013, the Nordic Working Group on Sustainable Develop- tions within the overall themes that have been identified. In the ment in the Arctic initiated a foresight analysis to assess oppor- initiation of the project, three key questions were identified for tunities and challenges for sustainable regional development in the foresight process: the Nordic Arctic and identify future development perspectives. 1. What social and resource conditions can be expected to have Foresight analysis is a facilitated, participative process for sys- a decisive influence on regional development in the Arctic over tematically obtaining relevant knowledge and visions for the the next 10, 20 and 30 years? medium- to long-term future, which is aimed at improving cur- 2. How will the management of these conditions affect the living rent policymaking and mobilizing joint actions. Thus, this pro- standards and future prospects for the regions? ject provides new knowledge and input to advance the Nordic 3. What are the implications of the identified challenges and op- Council of Ministers’ (NCM) Arctic Co-operation Programme portunities for future planning and regional policy? and contributes to the development of Nordic Arctic policy. Citizens and representatives from business associations, edu- The Nordic Arctic is multifaceted. This observation is often cation institutions and local, regional and national authorities not considered during the debate on sustainable development in have discussed and contributed their experiences at the foresight the Arctic. Actors outside the Arctic are mostly concerned about workshops. The bottom-up approach adopted in this process environmental issues, while peoples living in the Arctic expe- was particularly focused on bringing together a range of citizens rience the situation differently. Therefore, the ambition of this with different ages and occupations from local Arctic communi- project has been to obtain perspectives from the peoples living in ties to discuss future development opportunities. The bottom-up the Nordic Arctic. Based on the specific challenges and rich op- process can be seen as being in line with the contemporary no- portunities, the Nordic Working Group agreed that exploration tion of citizen consultations as part of planning activities. of sustainable opportunities for socio-economic development Attention has also been given to the indigenous Sami pop- would be the main focus of the project. A bottom-up approach ulation in the Arctic; three local workshops were organised in was adopted, which directly involved people living in the Arctic. communities with reindeer herding districts and a Sami popula- Special attention was given to youth perspectives by involving tion. Particular consultation with Sami stakeholders continues young people in the foresight process. to be important wherever there are development and planning The Nordic Working Group wishes to highlight the general projects that may affect Sami interests directly, such as reindeer need for more regional and local perspectives in Arctic develop- herding, the use of Sami symbols in destination marketing and ment policy. The relevant stakeholders, including state, regional other ways in which Sami stakeholders are impacted. authority, municipality and strategic stakeholders, intergovern- mental forums like the Arctic Council, West Nordic Council, North Calotte Council, Barents Co-operation, Northern Dimen- sion and European Union, and even the World Economic Fo- rum’s Global Agenda Council on the Arctic, can benefit from the results of the foresight project and its focus on a broader societal perspective. This publication presents the foresight project’s main conclu- sions and policy recommendations, which are based on existing knowledge, new analyses and the three-year process. The fore- sight project included foresight workshops in 12 local communi- ties in the Nordic Arctic, six workshops with national, regional and local representatives, and two transnational workshops, one for the West Nordic countries and one for the North Calotte re- gion. Background studies on the topics of sustainable business development, demography and youth perspectives on their fu- ture in the Nordic Arctic have been performed. Based on their experiences from each of the Nordic Arctic regions, the Nordic Working Group members have prioritised policy recommenda- 3 POLICY RECOMMENDATIONS • Sustainable Regional Development in the Nordic Arctic Conclusions and policy recommendations The diversity of the social, environmental and economic char- nections and a diversified business structure to take advantage acteristics of rural communities, towns and cities in the Nordic of new opportunities in bioeconomy and natural resources. This Arctic is remarkable. Most Arctic regions have particular chal- would also build on improving actors’ cross-border connections lenges related to their remote locations and sparse populations, to take advantage of both different and complementary skills, demographics, cold climate, remote communities and long dis- knowledge, experiences and opportunities. tances from markets, lack of venture capital and connectivity. The policy recommendations prioritised by the Nordic However, the Nordic Arctic also features development opportu- Working Group largely aim to develop and better adapt and nities, vibrant Arctic towns and cities with high-tech universi- co-ordinate public policy to meet the specific challenges and ties, research and innovation organisations, and a rich cultural opportunities of the Nordic Arctic. The NCM and national life. Business activities range from tourism, large-scale indus- governments can play an important role in providing frame- trial operations based on forestry, mining and oil, and from fish- work conditions for the local and regional levels of governance ing businesses and aqua farming to science and innovation in concerning infrastructure, job creation and business develop- energy, blue growth, information and communication technolo- ment, education and skills development, and culture and social gies (ICT) and the creative industries. activities through the Nordic Arctic Co-operation Programme The Nordic Arctic regions are characterised by their wealth and Nordic sector programmes and networks. This work also of natural resources. While this is a strength of the region, it highlights the need for regional and local societies to take an is also a challenge, particularly for large-scale industries where active role in the policy-development process and take the lead multinational corporations extract the natural resources and the in developing their regions and societies. developed skills and turnover seldom stay in the region. These raw materials are also the most sensitive to global price fluc- tuations, which can have ‘boom and bust’ effects and negatively impact communities that have come to depend on large-scale I. Infrastructure industries. The Nordic Working Group encourages Nordic Arctic stake- A well-functioning infrastructure can be seen as the main holders to explore and take advantage of the different funding precondition for regional development: connection to mar- schemes and programmes that are available to support co-oper- kets, business development, research and development ation on regional development, research, technological develop- (R&D), education, social life, commuting, energy supplies ment and innovation projects, and investments and operation and attractiveness of the local society. subsidises for large-scale projects. These possibilities are numer- The remote and sparsely populated areas of the Arctic imply ous and include: Nordic Investment Bank, European Advisory specific infrastructural challenges. Building physical infrastruc- Hub and Project Portal, European Structural and Investment ture such as roads, railways, airports, harbours, energy supply Funds,