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Mining affected regions reconstruction fund (MARR Fund): Main component, Romania
Mining affected regions reconstruction fund (MARR Fund): Main component, Romania

CATEGORY: Socioeconomic development, Economic Development, Social Inclusion and Equal Opportunities, Public Administration

LOCATION: Romania

START/END: 2000-2002

CONSULTANCY BUDGET: 5,899,125 €

CLIENT: European Commission

ORIGIN OF FUNDING: PHARE

PARTNERS: Rheinbraun Engineering & Wasser GmbH

LDK’s BUDGET SHARE: 66%

STAFF PROVIDED: 17

Mining affected regions reconstruction fund (MARR Fund): Main component, Romania

Description

The European Commission agreed to allocate a total of €10 million for a fund to aid the reconstruction of two specific mining affected regions (Jiu Valley and Gorj County), which were the most significantly affected by restructuring and the subsequent reduction in employment opportunities in the mining industry. The total fund was split into two components, one to provide SME credits, and one to provide grants towards individual projects to assist the social and economic redevelopment of the areas. The contract awarded regarded the management of this Grant Fund.

The fund supported the Romanian Government in the two regions, based on the achievement of two specific objectives:

  • institutional strengthening in order to decentralize authority and increase the local authorities' competence in defining the development strategies of their regions, and strengthen the local institutional framework for active labour market measures;
  • support to infrastructural and economic development projects, which meet the development objectives and strategy for the affected areas, in order to improve local economic development.

Projects in the following fields were specifically targeted for funding under the fund:

  • local development initiatives and infrastructure projects with a regional impact;
  • development and growth of SMEs;
  • local initiatives for the development of the social economy;
  • participation in international programmes for local institutions;
  • establishment of local labour offices;
  • initiatives to improve Vocational Education and Training institutions;
  • development of training skills for the market;
  • job creation and community actions.

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