Cross-border cooperation, economic and social cohesion: European Grouping of Territorial Cooperation (EGTC)

PURPOSE: to establish the tasks of the European grouping of territorial co-operation (EGTC).

LEGISLATIVE ACT: Regulation 1082/2006/EC of the European Parliament and of the Council on a European grouping of territorial co-operation (EGTC).

CONTENT: this Act enables the creation of legal entities, “European Groupings of Territorial Co-operation” (EGTC), which will oversee the implementation of trans-border programmes on the basis of an agreement between national, regional and local administrations. EGCT’s have been created in order to help reduce the significant difficulties currently encountered by the Member States, regional authorities and local authorities in implementing and managing actions of territorial cooperation given the differences in national laws and procedures. They form a new element to the reformed Cohesion Policy which is set to last from 2007-2013.

The Regulation has come into force alongside four other related legislative acts. They are:

-          Council Regulation 1083/2006/EC laying down the general provisions on the ERDF, ESF and the CF. For a summary of its provisions see AVC/2004/0163.

-          Council Regulation 1081/2006/EC on the European Social Fund. For a summary of its provisions see COD/2004/0165.

-          Council Regulation 1084/2006/EC establishing the Cohesion Fund. For a summary of its provisions see COD/2004/0166.

-          Council Regulation 1080/2006/EC on the European Regional Development Fund. For a summary of its provisions see COD/2004/0167.

They have also been created in response to new provisions which emphasise European territorial co-operation, as set out in Regulation 1083/2006/EEC on the general provisions of the ERDF, ESF and CF. Their development reflects the increased number of land and maritime borders in the Community following enlargement. To that end the objective of an EGTC will be to facilitate and promote cross-border, transnational and/or interregional co-operation. An EGTC will have a legal personality and can be composed of either the Member States, and/or a regional authorities and/or local authorities. Its tasks will be limited to facilitating and promoting territorial co-operation and to strengthen economic and social cohesion. Primarily, it will focus on the implementation of territorial co-operation programmes or projects that are co-financed by the Community through either the ERDF, ESF and/or the Cohesion Fund. Allowance has been made for the EGTC to pursue territorial co-operation without Community funding should they decide to do so. An EGTC will be composed of an assembly, a Director and any additional organs deemed necessary for its proper functioning.

ENTRY INTO FORCE: 1 August 2006. It will apply from 1 August 2007, with the exception of provisions requiring the Member States to ensure the effective application of the Regulation such as drawing up comprehensive list EGTC tasks, which will apply from 1 August 2006.