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Increase of the allocation for the action 4.4 of the polish operational programme innovative economy as a ministry of economy' response to negative trends in the economy in the period 2008-2009

From EPSA - European Public Sector Award

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The Polish Operational Programme Innovative Economy 2007-2013 is co-funded by the European Regional Development Fund (ERDF). The overall objective of the Programme is to stimulate development of the Polish economy based on innovative enterprises. The Managing Authority of the Programme is the Ministry of Regional Development. Three intermediate bodies: the Ministry of Economy, the Ministry of Science and Higher Education and the Ministry of Interior and Administration, in cooperation with several Implementing Authorities, share the responsibility for implementation of the particular Priorities of the Programme. In the beginning of 2009, the Ministry of Economy observed that a threat for proper implementation of projects appeared within Action 4.4 of the Programme: new investments of high innovative potential. For instance, the Polish Agency for Enterprise Development – Implementing Body of the Action, received several requests from Beneficiaries to postpone starting dates of implementation of their projects and increase their co-financing due to difficult economic situation. Particularly, Beneficiaries put stress on the unfavourable trends of financial markets, poor economic performance of certain business branches and depreciation of the Polish złoty, influencing raise of cost of investments. These factors affected specifically projects co-financed within the framework of the Priority Axis 4 of the Programme – requiring relatively significant financial contribution along with maintenance of enterprises’ liquidity. Knowing that responsibility for the above difficulties had not lied on the Beneficiaries’ side and that these problems were effects of a general slowdown in the world and Polish economy, the Ministry of Economy decided to request the Managing Authority to introduce certain solutions to this issue in the implementing system.

In reply to the request of the Ministry of Economy, the Ministry of Regional Development not only allowed the starting dates of implementation of the projects to be postponed, but also agreed to increase the allocation of funds for those Beneficiaries of the Action 4.4 who had not been able to predict the economic crisis and the euro currency fluctuations at the moment of application for co-financing. It was therefore agreed that allocation amount for this Action for 2008 would be raised by 5%. It was decided that it would be possible to grant additional co-financing for a project only on the individual request of its Beneficiary, and that these requests would be analysed case by case.

The change of institutional practices in the implementing system concerned: Increased elasticity of payments during the period of implementation of projects that required relatively high constant financial inputs; Introduction of the possibility of extra co-financing, compensating negative effects of the economic crisis while maintaining intensity of support.

With the sources allocated additionally for the Action 4.4 in 2008, approximately 90 Beneficiaries of the Action 4.4 of the Operational Programme Innovative Economy took advantage of the extended co-financing and received in total zł 103,7 million in order to continue with the implementation of their projects.

Award info
Award category: smart public service delivery
Award type: submission
Award year: 2011
Project type
Sector: Economic affairs, competition, SME
Type of activity:
Keywords: Operational Programme Innovative Economy, facilliation of implementation
Short English description: New investments of high innovative potential. For instance, the Polish Agency for Enterprise Development – Implementing Body of the Action, received several requests from Beneficiaries to postpone starting dates of implementation of their projects and increase their co-financing due to difficult economic situation.
Further information
Organisation: Ministry of Economy
Other applicants:
Homepage:
Level of government: national level
Size of organisation: >100
Number of people involved: >15
Country: Poland
EU membership: EU member
Language code: en
Start date:
End date:


Increase of the allocation for the action 4.4 of the polish operational programme innovative economy as a ministry of economy' response to negative trends in the economy in the period 2008-2009 (52.2285077, 21.0217065)
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