EESC: COHESION POLICY 2.0

In an ever-changing landscape marked by economic shifts, technological advancements, and demographic transitions, the European Economic and Social Committee (EESC) will put forth a comprehensive set of recommendations aimed at revitalizing cohesion policy. The EESC’s upcoming opinion underscores the enduring importance of the policy’s core principle: “no one should be left behind.” Despite the policy’s imperfections, it remains a valuable tool for bolstering regional convergence and addressing disparities.

In a dynamic landscape marked by economic shifts, inequalities of opportunity can stifle long-term growth and hinder competitiveness not only at the regional level but also nationally and across the EU. Organized civil society calls for a more adaptable and diverse cohesion policy that pays closer attention to citizens, particularly those who are most vulnerable.

During the preparation of the new cohesion policy, we should advocate for the broadening, modernization and revision of existing instruments and approaches. The upcoming opinion underscores the importance of a flexible and renewed cohesion policy that transcends mere investment and delves into areas such as capacity-building, interregional cooperation, effectiveness of outcomes, and opportunities for beneficiaries. To this end, several key recommendations are proposed in the opinion:

Territorial Strategies and Citizen Participation: The report proposes a stronger emphasis on territorial policy strategies, such as Integrated Territorial Investment (ITI) and Community-Led Local Development (CLLD). This approach empowers citizens to define development projects and set their own priorities, while also enhancing the fund management capabilities of local authorities.
Support for SMEs and large-scale companies: The EESC recommends innovative yet simplified utilization of existing European instruments, such as the European Social Fund and the European Regional Development Fund (ERDF), to support small and medium-sized enterprises (SMEs). The financing of large-scale companies, particularly in strategic technologies, is also regarded as pivotal for achieving convergence.

Cross-border Labour Markets and Innovation: The report highlights the potential of cross-border labour markets, particularly those hindered by legal and administrative barriers. Cross-border and interregional cooperation is deemed essential, especially for infrastructure development and fostering innovation.
Focus on Vulnerable Groups: Recognizing the significance of inclusive growth, the EESC calls for tailored training, reskilling, and support programs for individuals facing lower employment rates. This includes women, young people, immigrants, and those with lower education levels.
Rural Development and Demographic Changes: The EESC emphasizes the creation of new economic prospects for less developed rural areas, EU islands, and outermost regions. Bridging gaps between rural and urban areas, and addressing demographic changes, is deemed essential.
Integration of Cross-cutting Policies: The report encourages synergy between EU cross-cutting policies and cohesion policy to enhance regional convergence. Alignment with national policies is also deemed crucial.
Synergy with Recovery and Resilience Facility (RRF): The EESC stresses the compatibility of RRF investments with future cohesion policy. Disruptions to ongoing projects due to changes in financing could have detrimental effects on regional development and vulnerable groups, necessitating careful coordination.
Digital Investments and Skills: In response to the digital transition’s challenges, the EESC urges increased investment in digital skills training to bridge gaps and ensure equitable distribution of benefits across regions and demographics.
Inclusive Just Transition: The EESC underscores the importance of social partner involvement in territorial just transition plans. Creating quality jobs and maintaining working conditions during climate-related transitions is a priority.
Strengthening Administrative Capacity: To ensure effective policy implementation, the EESC advocates for enhancing the administrative capacity of various government levels and providing tailored technical support.

As the European Union navigates challenges like climate transition, demographic shifts, and technological evolution, Cohesion Policy 2.0 emerges as a potent tool for steering the course toward a competitive, inclusive and forward-looking Europe.