Norwegian policies for developing sustainable small rural communities: A heart for the whole country or national
policies for sparsely populated areas in Norway
Prof. Jørgen Amdam
Volda University College
Nesna 23.07.07
Content
• What is happening in Norway – especially rural districts – and why
• Regional policy– The small regional policy– The big regional policy
• Policy for marginal areas – sustainable small rural communities
• Summing up
What is meant by rural areas?
RURAL – OUTSIDE COMMUTINGAREAL, BUT HIGH URBAN INFLUENCE
URBAN – RURAL”RURBAN” – COMMUNTING AREA
URBAN - METROPOL
”SUPER-RURAL”:PHERIPHERALAREAS OUTSIDEURBAN INFLUENCE
Rural Norway:Sparsely populatedLong distancesFjords and mountainsFerriesTransport through Sweden and Denmark to Germany,France, Italy ..
EU PERIPHERY INDEX:100 % OF NORWAY ARE UNDEREU AVERAGE – MOST ARE VERY PERIPHERAL
Town andCity structure
Norway is almost “empty”
Population density 2000NORWAY VERY LOW
GDP PER CAPITANORWAY VERY HIGH
Gjennomsnittleg årleg endring i prosent
-0,40
-0,20
0,00
0,20
0,40
0,60
0,80
1,00
1,20
Storby Småby Stor bygdeby Liten bygdeby Rural Vestlandet Landet
Befolkningsutvikling 1980-90
Befolkningsutvikling 1990-2000
Befolkningsutvikling 2001-2005
Population change 1980 – 2005.
50000 15000 5000 1000 Norway
Employment and type of regions – urban/rural 1986-2001,
1986=100
80
85
90
95
100
105
110
115
120
1986 1989 1992 1995 1998 2001
Storbyer ByerBygdebyer Små bygdebyerLandsbygd Totalt
Urban
Rural
Population and type of regions – urban/rural: 1970-2002,
1970=100
70
80
90
100
110
120
130
140
1970 1975 1980 1985 1990 1995 2000
Inde
ks
Storbyer Byer Bygdebyer Små bygdebyer Landsbygd Landet
City
Rural
Sysselsetting Sogn og Fjordane
Primær
Sekundær
Handel og transport
Off og priv tjeneste
0
5000
10000
15000
20000
25000
30000
35000
40000
45000
1946 1950 1960 1970 1980 1990 2001
Primær Sekundær Handel og transport Off og priv tjeneste
THE RURAL COUNTY SOGN OG FJORDANE - EMPLOYMENT
AGRICULTURE AND FISHING
MANUFACTURING
PUBLIC AND PRIVATESERVICES
SHOPPING ANDTRANSPORT
Sysselsetting Rogaland
Primær
Sekundær
Handel og transport
Off og priv tjeneste
0
20000
40000
60000
80000
100000
120000
140000
160000
1946 1950 1960 1970 1980 1990 2001
Primær Sekundær Handel og transport Off og priv tjeneste
THE URBAN COUNTY OF ROGALAND
AGRICULTURE AND FISHING
MANUFACTURING
SHOPPING ANDTRANSPORT
PUBLIC AND PRIVATESERVICES
NorwayAverageregions
Østfold Indre Øst-land
Sogn and FjordaneMøre and Romsdal
Nam-dalen
Finn-mark Nord-Troms
GDP/ inh. NOKEURO:
18407023.000
17032921.000
15792020.000
17259222.000
15110619.000
15672620.000
Public spending and transfers % *
38 40 49 39 53 55
Commuting %
1 9 9 5 6 7
Sum External income %
39 49 58 44 59 62
* Public spending, economic support to business (agriculture), public insurance
GDP per person in some rural regions
Urban change1990 – 2003:
Rural change1990 - 2002
POPULATION CHANGE IN LABOUR MARKET REGIONS 1990 - 2003
Urban Population:
VOLDA
Migration balance related to education - Ytre Søre
0 0,2 0,4 0,6 0,8 1 1,2
Inntil eitt år i vidaregåande
To-tre år i vidaregåande
Høgare utdanning til og med 4 år
Høgare utdanning meir enn 4 år
Bufaste Tilbakeflyttarar Nykomarar
Volda University College region - Ørsta/Volda
0 0,1 0,2 0,3 0,4 0,5 0,6 0,7 0,8 0,9 1
Inntil eitt år i vidaregåande
To-tre år i vidaregåande
Høgare utdanning til og med 4 år
Høgare utdanning meir enn 4 år
Bufaste Tilbakefl yttarar Nykomarar
35-YEARS OLD
Over 4 year University
BA-level
CollegeNot Back New
Basic
100%
“The small regional policy”
The budget of the department for regional development in the Ministry of Local Government and Regional Development
• Support to private industries
• Differentiation of labor taxes
• Special programs - support to small communities
• International cooperation – Interreg ++
Sone/Type industries – investments support max. Big Medium Small
Sone IV 15 25 35Sone III 10 20 30
Total support 2006: 1500 mill NOK+ 1100 mill NOK as compensation for increasedLabor taxes
Labor taxes for health insurance ++:General: 14,1% of salary
According to the peripheral localizationof private or public employer this isFrom 0 to 10,6%
Total support 2004: app. 8000 mill NOK
Support to small communities
• Support 2007: 50 mill NOK
• Pilot projects including local youth activities
• Support to shops in marginal societies
• Start up support to a “Centre for regional development”
The small regional policy in general
• The most important means are general and automatic support like reduced labor taxes
• Project support organized regionally:– Innovation Norway for business support– The County Municipality for other support –
infrastructure etc• Small national pilot projects • Project support have been reduced a lot the last
20 years • From project support to general support “tax
systems”
The big regional policy
The urban-rural profile in use of public money
• “The Welfare Commune” – the economy of Municipalities
• Infrastructure – roads etc.
• State spending – health, university …
• The Effect Group 2004 - Ørbeck
State spendings per capita NOK Transfer to municipalitiesSalary to state employeesTransfer to private industriesTransfer to individualsState tax
State spendings 1978 – 2001 1000 mill NOK
Individual support
Municipalities
Salaries
Production support
Municipal income per capita 2000
Other income (renovation ..)Taxes on income etc.State support for specific tasksBasic state support
Total income per capita 2000
Income from capital, pensions ..Other incomeIncome from public pentionAgriculture s.Public salaries
Regional policy
• The profile of total state spending are a lot more important then regional development means– Municipal economy– “Folketrygda” – the public insurance system
• Both are dependent of where people are living – under 18 and over 60
• From jobs create population to population create jobs?
Local development
• From the top – allocation and transfers – need someone that can use the system – instrumental
• From below – mobilization – participation .. - communicative
The civil society
Public
activity
Private
industries
Challenges
Rural capacity
Response and results: Substance Process: Visions Strategies Collaboration Mobilization Partnerships Projects Learning …
CONTEXT
SITUATION
STAKEHOLDERS: RURAL CAPABILITY – CAPACITY BUILDING AND RESPONSE
The sivicso c ie ty
Pub lic a c tivity
Rura lC a p a c ity
Re g io ns d o m ina te db y use o f na ture -lo w lo c a l d e p e nd e nc y
Ro b ust re g io ns -fle xib le , d ive rsifie d ,hig h lo c a l d e p e nd e nc y
Re sp o nsea ndRe sults
Privateindustries
URBAN CONCEN-TRATIONS
RURAL STRUCTURE
MANUFAC-TURING(Focus on natural and economic capital)
Big scale manufacturing regions
“Traditional” rural areas - production based on land and nature – agriculture, fisheries, mining, mass tourism …
KNOWLEDGE(Focus on social capital)
Diversified metropolitan and urban regions
“Flexible” rural areas – diversified, focus on life quality for inhabitants
National(Oslo)
”Landsdel”
County
”Region”
Commune
State bureaucracyLevels
Political structure
StortingGovernment
County Commune
Commune
NORWAY
Ja 2 6 .1 9 9 6
P U B L IC A D M IN IS T R AT IO N A N D A L L O C AT IO N
P U B L IC P R O D U C T IO N O F S E RV IC E S E T C .
U ser p a rtic ip a tio n
M O N O P O LY
P U B L IC - P R IVAT EC O M P E T IT IO N
"T H E G O O D S O C IE T Y ”P U B L IC A N D P R IVAT E C O O P E R AT IO N IND E V E L O P M E N T O F T H E S O C IE T Y
C O M M U N EO R G A N I-S AT IO NP o litic ia n sA d m in is tra to rsP ro d u c e rs....
C O M M U N EIn h a b ita n tsVo te rsU sersC lien tsA ctiv is tsO w n e rs....
In te rn a tio n a l
P R IVAT E
P U B L IC
L ocal an d reg io na l p lan n ing
R eg ion al dev elop m en t
E duca tion
L ab or m arke t
A g ricu ltu re
In dustrie s
H ealth
S E G M E N T S
T H E P R O B L E M O F C O -O R D IN AT IO N INR E G IO N A L D E V E L O P M E N T A N D P L A N N IN G
S ta te
C o u n ty
C o m m u n e
H o u seh o ld
C iv i l s .C o rp e c
S ta te a d mP o lit ic a l c o m
D O M A IN S
P O L I T I C A L L E V E L S
Local and regional political role:Government - reactive:Dependent position –
strategies "Top down"Outside interests dominateNational role models
dominateConcerned mainly with
implementation of national policy
Sluggish response, static of low national priority
Inflexible, “law and rules”Individual, separate sector
programmes
Governance – proactive:Leadership position,
organise "Bottom up"Local interests dominateLocal collaborative models
dominateConcerned with leadership
and local development – ”The good local society”
Rapid response,change oriented if local agreement
Flexible – challenges/needsIntegrated programmes and
projects, problem oriented
What stimulates and prevents regionally initiated development• Entrepreneurs - collective and private key
individuals
• Networks and arenas
• External threats
• High local mobility of relevant knowledge and information
• Local identity
Dialogue, trust and partnership ‑ strategies for the development of regional
competence
Knowledge
Relational
Mobilisation
Strategies:• Production of knowledge that is related to the region
itself, to the business and industrial situation in the area - increase knowledge capital
• The capture and sieving of external knowledge that can help to increase the capability to meet new challenges and to implement changes - increase relational capital
• The linking of internal knowledge production and the grasping of knowledge externally into joint learning processes which further the development of the region as a special area - mobilise
CONCLUSIONSProactive work involves systematic differential
treatment in order to reach concrete goals
• Political Legitimacy
• Knowledge
• Capacity
• Capital
• Trust and Self-confidence
• Planning for the Region/Commune
• Talk and Cooperation