EU Regional Policy and Canary Islands Integration

EU Regional Policy and Its Objectives

The European Regional Policy has two main objectives: addressing regional imbalances and promoting development. A previous regional policy implemented in 1986 was deemed ineffective. Its purpose is to increase territorial cohesion (solidarity). This is based on three principles:

• Solidarity among regions.
• Development of autonomy status.
• Further integration into the European Community.

The consequences of integration include the receipt of funds, which are integrated into the EU's regional policy. A new EU regional and cohesion policy was introduced for 2007-2013 (focused on competitiveness) with three objectives for sustainable development:

• Strengthening competitiveness.
• Boosting the economy (R&D).
• Improving the social model.

It proposes:

• Convergence (pure and transitional aid).
• Competitiveness (pure and transitional aid).
• European territorial cooperation through projects.

Instruments of the European Regional Policy:

• ERDF (European Regional Development Fund): Provides funding, primarily for convergence, competitiveness, and cooperation.
• ESF (European Social Fund): Focuses on human development and employment.
• Cohesion Fund: Funds public works, environmental projects, and transport infrastructure.

From 2007 to 2013, Spain received over €35 billion. Impact of the European Regional Policy:

• Some cession of national sovereignty (the EU could accept, change, or deny projects).
• Spain has received convergence aid, which has favored its development within Europe.

Canary Islands' Integration into the EU

The integration of the Canary Islands into the EU marked Spain's opening to European Community membership (1979). The Canary Islands considered three possibilities:

• Integration under the same conditions as the rest of Spain.
• Integration with special conditions adapted to the transition from the Franco regime to market principles.
• Exclusion from integration.

In 1983, very complex negotiations culminated in accession to the EU (EEC). Key aspects included:

• Exemption from VAT.
• Flexible application of the Common Agricultural Policy (CAP).
• Waiver of the Common External Tariff (CET) for essential products.

The Canary Islands are an Outermost Region (OR) of the EU (along with the Azores, French Guiana, Reunion, and Guadeloupe). Common disadvantages of ORs include:

• Geographical distance from Europe and proximity to less developed countries.
• Adverse natural conditions (relief, climate, and natural hazards) that limit development and create strong economic dependence.

There are market problems due to the remoteness from Europe. The consequences are:

• Low production, as it is more expensive and less profitable.
• The economy of scale cannot reach the minimum size for efficiency.

The EU and ORs consider these problems permanent and have adopted special economic measures, such as creating a fund or strategic measures. ORs have structured their cooperation with the EU to address their status. Their objectives are:

• To make their situation known to member countries.
• To study how globalization affects them.
• To develop joint proposals on key and strategic issues.

Canary Islands as an Outermost Region

Disadvantages include:

1. Its location: Insularity, which creates accessibility and transport dependency problems.
2. Double insularity.
3. Distance from Europe and, therefore, the market.
4. Scarce strategic natural resources.
5. Uneven terrain.

Community Action in ORs

The purpose of these measures is the creation of a specific fund. Specific economic measures include: POSEICAN, REF, SIC, SAC, SF, RE, and PPC. The Canary Islands were a lagging region, but with this aid, they have caught up with the rest. In 2007-2013, they were no longer considered one of the most backward regions but will receive transitional, not permanent, aid.