nep-ppm New Economics Papers
on Project, Program and Portfolio Management
Issue of 2015‒01‒03
seven papers chosen by
Arvi Kuura
Tartu Ülikool

  1. Toolkit to estimate the organizational structure of Arctic industrial complexes By Olga Tarasova
  2. Environmental Sustainability and Economic Development: Cost Benefit Analysis for Sustainable Development By Anastasios Xepapadeas
  3. Inter-regional Collaboration in Research and Innovation Strategies for Smart Specialisation (RIS3). S3 Working Paper Series no 6/2014. By Elvira Uyarra; Jens Sörvik; Inger Midtkandal
  4. Cambodia.s land management and administration project By Biddulph, Robin
  5. Fiscal Autonomy ? Opportunity or Limitation for Innovative Local Development in Croatia? By Dubravka Jurlina Alibegovic
  6. Quality of life and international standardization in the field of sustainable development of communities By Evgeny Avanesov
  7. Governing development of regions- case of Slovakia By Rudolf Bauer; Jana Knezova; Andrej Steiner

  1. By: Olga Tarasova
    Abstract: Severe climatic conditions, low population density, lack of infrastructure leave as the only possible nodular economic development of Arctic territories of the Russian Federation. In this case, a natural question arises: how to define points of growth, how to delineate those "patches of economic activity"? In today's economic conditions, growth points for Arctic territories will be resource projects. Analysis of the mineral complex projects in terms of minerals markets, as well as alternative approaches of transportation and energy supply stands for the main objective of the study. Necessity of active use of administrative and financial resources of the state, interdependence of projects and other characteristics of the new Arctic industrial complexes allow a methodological analogy with the classical TPC-approach. Proposed by the author earlier the system of arctic aqua territorial production complexes in this paper develops in the direction of the internal structure justification. At the first stage priority projects were highlighted and second stage projects listed. Then different variants of their realization were modeled. The constructed simulation model allows a comparison of costs and effects for business, regions and Russian Federation as a whole. Investment costs certainly will need to be distributed between actors of regional development, as conditions of economic activity require a widescreen public-private partnership in the Arctic. For the convenience of variant evaluation a "situation room" (specific interface of the model) was designed, the calculation results were visualized on the map. For justification of state expenses into Arctic infrastructure serve geostrategic factors. However, share of state participation required in terms of the commercial attractiveness of the projects could be defined in the simulation model framework. In this study effectiveness of various instruments of state support was estimated, the amount of government subsidies for domestic raw material supplies from said objects was calculated. The model includes blocks of individual projects, as well as built relationships within industrial complexes. With its help options of internal structure of the Taimyr-Yakutsk ATPC were evaluated. The priority projects here are Tomtorskoe field of complex niobium and rare earth ores and Popigai field of industrial diamonds. Having a wide range of applications in high-tech industries, those could give rise to the Russia' innovative development. It was determined that the priority transport infrastructure projects should be: ports Uriing-Khaya, Hatanga, Yenisei-NSR system objects, on deposits should be organized decentralized energy supply - separate electric station with diesel fuel. Also found that using the redistribution of effects the competition of neighboring regions for investment resources should be neutralized - the Krasnoyarsk Territory (as the leading party) and the Republic of Sakha (Yakutia). The author recommends the correction of development programs of the Russian Arctic regions based on the above aspects.
    Keywords: aqua-territorial production complexes; project evaluation; simulation modeling;
    JEL: R12 O22
    Date: 2014–11
  2. By: Anastasios Xepapadeas
    Abstract: Sustainable development, environmental sustainability, green economies and green growth are issues which are of great importance for both the research and the policy agenda. The present paper clearly defines the concepts of sustainability and environmental sustainability and provides a conceptual framework for developing sustainability-founded cost benefit rules. It shows that a certain policy cannot necessarily simultaneously satisfy sustainable development and environmental sustainability objectives, the development of green economies, and the attainment of development or green growth.This is important for decision makers because it suggests using more than one criterion depending on the combination of the objectives to be pursued.The cost benefit rules presented in this paper could provide a basis for a clear distinction among objectives and for project selection mechanisms that promote single or multiple objectives.
    Keywords: Sustainable development, wellbeing, comprehensive investment, accounting prices, cost benefit analysis, environmental sustainability, green economies, green growth
    Date: 2014–12–06
  3. By: Elvira Uyarra (Manchester Institute of Innovation Research); Jens Sörvik (European Commission – JRC - IPTS); Inger Midtkandal (European Commission – JRC - IPTS)
    Abstract: The objective of this Smart Specialisation (S3) Platform Working Paper is to examine the role of inter-regional collaboration in national or regional Research and Innovation Strategies for Smart Specialisation (RIS3). It provides a conceptualisation of inter-regional collaboration within the framework of RIS3. It draws from the literature on innovation policy to develop an analytical framework to better understand the multiple dimensions of inter-regional collaboration, namely the why, what, where, who and how of collaboration; and explores how inter-regional collaboration varies according to the six steps of the RIS3 process. Finally, it looks at experiences of inter-regional collaboration for innovation in the Baltic Sea region within this framework.
    Keywords: Inter-regional collaboration, Smart Specialisation, innovation policy, regional development, Baltic Sea Region, dimensions of collaboration, trans-national collaboration
    Date: 2014–11
  4. By: Biddulph, Robin
    Abstract: This paper presents the case of World Bank support to the mass titling component of the Cambodia Land Management and Administration Project. This was a project for which there was clear national demand, as evidenced by the fact that the Cambodian governme
    Keywords: Social spending, human development, aggregate welfare, child mortality, developing countries
    Date: 2014
  5. By: Dubravka Jurlina Alibegovic
    Abstract: This paper explores the role of Croatian large cities in financing local development projects. Croatian cities have limited autonomy in realization of public revenue. There are a small number of fiscal instruments to which cities can fully leverage or at least under the statutory limits can change the rates and thus affect the total amount of revenue collected. However, although they have limited ability to influence, cities insufficiently use fiscal instruments at their disposal for the planning and realization of budget revenue. Additionally there are several other factors that are recognized as major obstacles to local development financing. Most cities are unprepared to take on increased responsibilities for fund raising for economic development. In order to borrow responsibly, cities must have the ability to understand the impact of borrowing for infrastructure both annual debt service and annual operational and maintenance expenditures; and ability to identify, prioritize and plan capital investment. The additional problem for local development is structure of expenditures in local budgets. The majority of public expenditures in local budgets have been spent on providing a range of services aimed at ensuring access to education, health care and social protection to every citizen. Jointly these three public functions account for almost two-thirds of total sub-national government spending in Croatia. Contrary, public spending on investment amounts up to only 20% of sub-national budget expenditures. The key research questions of the paper are the following: (i) To what extent is the current structure of local budgets constraint to local development? (ii) What role has measurement of local fiscal capacity in providing transparent base for raising revenue at local level? (iii) How do large cities develop "joint visions" that integrate economic and social development? How can the governance system at local level promote better integration of these two objectives in transparent and effective way? (iv) What are the opportunities and limitations for financing development projects from various innovative financing sources such as: pooling private and public revenue, new revenue streams (e.g. voluntary contribution scheme) assigned to developmental activities on a multi-year basis, new incentives (financial guarantees, corporate social responsibility or other rewards) to remove market failures or to speed up ongoing developmental activities. The last section summarizes analysis and offers recommendations that can provide a platform for improvements in the field of financing of innovative local development in Croatia.
    Keywords: local development; local public finance; fiscal autonomy; Croatia
    JEL: H71
    Date: 2014–11
  6. By: Evgeny Avanesov
    Abstract: Public authorities, international organizations and non-profit associations are nowadays working on identifying and solving the problems of various communities (i.e., towns, villages and other administrative-territorial units) through the development of specialized programs. Sustainable development projects in rural or urban areas are flourishing all around the world today. Nevertheless stakeholders are confused because there are no international consensus on the evaluation of the above projects and therefore there is a need in the development of the international standards on sustainable development and resilience in communities. In order to efficiently organize the works on benchmarking and standardization in the field of sustainable development the relevant technical committee has been established: ISO/TC 268 "Sustainable development in communities". Among the current priorities of the TC is the development of a common "language" for all stakeholders in terms of unified terminology and thereby contribute to greater clarity and harmonization in this field. ISO/TC 268 will focus on the development of a management system standard, ISO 37101, 'Management systems ? General principles and requirements'. Successful implementation of requirements of the above standard will allow communities to increase the quality of their activities and management, as well as to encourage the interested parties to get involved in the process of improvement. It will enable communities to develop a strategy for ensuring sustainable development and resilience, establish objectives and processes to fulfill obligations and taking actions to improve performance. Another standard under development on the TC's agenda is ISO 37120, "Global city indicators for city services and quality of life", which will allow harmonization of performance indicators in the relevant fields. Having implemented such standard the cities will be able to share their experience and knowledge in a consistent way. Besides, comparative analyses will allow them to assess the respective performance levels and thus encourage a healthy competitive spirit. ISO/TC 268 includes a subcommittee dealing with the urban infrastructures, SC 1, "Smart community infrastructures", with two preliminary items already included in its work program: ISO/TR 37150, a technical report on smart urban infrastructures around the world, which will serve as a basis for the development of the future ISO 37151 standard on harmonized metrics for benchmarking smartness of infrastructures. ISO/TC 268 will thus lay the foundations for an international consensus on principles and approaches that each "community" will be further able to adapt considering its own needs and specificities.
    Keywords: quality of life; globalization; resilience; global city indicators; sustainable development; quality management system
    JEL: O5 R1
    Date: 2014–11
  7. By: Rudolf Bauer; Jana Knezova; Andrej Steiner
    Abstract: Dynamism of development and competiveness of regions, as spatially and administratively defined units, depend not only on their natural, economic, social, and territorial potential but also on quality of regional development governance. At the time of creation of the regional level of territorial management in Slovakia there was expected that by introducing this new governance level the regional governments would become strong players in the field of regional development policy and provide supra-local and sub-national public services more effectively and with better quality. The paper, in its first part, concentrates on critical assessment of the current position and performance of entrusted tasks of the regional self-governments after 12 years of their existence, particularly in terms of their real opportunities to influence integrated development of territories pursuing principles of 'good governance'. Emphasis is put on analysis of key determinants conditioning legitimacy and power of regional self-governments in the area of ensuring and coordinating regional development. Findings suggest that territorial and administrative definition of the Slovak regions for fulfilling their core mission is not optimal. Furthermore there are gaps in their competencies, financial strength, fiscal autonomy and quality of development processes. We can state that despite regional governments are responsible, pursuant to law, for the comprehensive integrative development of the region, their direct impact on economic, social and environmental development of their territories is relatively small. The current status is confronted with the focus of the European policy for the period 2014-2020 and the need to react also on this level on global challenges such as climate change, ageing, lack of renewable resources, opening disparity scissors between regions etc. The paper, in its second part, in order to achieve higher quality of governing regional development within existing legal, economic and institutional framework in Slovakia, presents the innovative model of good governance in conjunction with planning and implementation of development processes. Through the analysis of individual components of the model the set of recommendations has been elaborated with the aim of optimizing position of the regional self-government as the key actor in development of its territory having not only responsibility but also adequate conditions and tools. The paper is based on results of the three years research within the project Governance financed by the Norwegian financial mechanism.
    Keywords: good governance; regional development; regional government;
    JEL: R58 R59
    Date: 2014–11

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