Programme for Development of the Northeast Planning Region 2015-2019 Table of Contents Introduction .................................................................. Error! Bookmark not defined. Development characteristics of the Northeast Planning Region .................................. 6 Location ....................................................................... Error! Bookmark not defined. Demographics .............................................................. Error! Bookmark not defined. Economic characteristics ............................................................................................. 9 Production and new employments ............................................................................ 10 Social development...................................................... Error! Bookmark not defined. Tourism ........................................................................ Error! Bookmark not defined. Agriculture .................................................................... Error! Bookmark not defined. Infrastructure ................................................................ Error! Bookmark not defined. Transport infrastructure ................................................ Error! Bookmark not defined. Road infrastructure ...................................................... Error! Bookmark not defined. Railway infrastructure .................................................. Error! Bookmark not defined. Air traffic. .................................................................................................................... 47 Energy infrastructure.................................................................................................. 47 Environment ................................................................. Error! Bookmark not defined. Solid waste ................................................................................................................ 50 Water ......................................................................................................................... 52 Water supply. ............................................................................................................. 55 Wastewater .................................................................. Error! Bookmark not defined. Water quality .............................................................................................................. 57 Soil ............................................................................... Error! Bookmark not defined. Industrial contamination ............................................... Error! Bookmark not defined. Erosion......................................................................... Error! Bookmark not defined. Air ................................................................................ Error! Bookmark not defined. Nature ........................................................................................................................ 63 2 Planning the development of the Northeast Planning Region .... Error! Bookmark not defined. Vision ........................................................................... Error! Bookmark not defined. Mid-term goal 1 ......................................................................................................... 67 Mid-term goal 2 ......................................................................................................... 81 Mid-term goal 3 .......................................................................................................... 91 Mid-term goal 4 ....................................................................................................... 101 Financing the implementation of the Programme for Development of the Northeast Planning Region ..................................................................................................... 115 3 Introduction The Programme for Development of the Third Northeast Planning Region is a strategic document which defines and interprets the mid-term goals, priorities and measures for development of the region for the period 2015-2019. The Programme defines guidelines for development of the region by way of organised and intergrated approach to achieve sustainable development of the region. The second in line Programme for Regional Development ensures further regional development and is in line with the Strategy for Regional Development of the Republic of Macedonia. Regional development means applying sustainable development on regional level. Regional development is based on regional competitive values, utilising all available resources, businesses and people for achieving region’s prosperity. The central government plays a key role in regional development, especially with regard to improving the effectiveness and reducing the expenses of its regional policy, which incorporates implementation of regional solutions which refer to the strategies for future development and their utilisation in identifying regional priorities. The Programme for Development of the Northeast Planning Region was developed in line with the main principles on which regional development policy is founded, as well as with the objectives of regional development policy in the Republic of Macedonia, stipulated in Article 3 of the Law on Balanced Regional Development. Pursuant to the Law on Balanced Regional Development, the Programme for Development of the Northeast Planning Region shall define the mid-term goals and priorities of the region, by which the defined regional development policy for the period 2015-2019 will be implemented. In the elaboration of the Programme, the respective national documents in the field of regional development were used, as well as the strategies for local development of the six municipalities which comprise the Northeast Planning Region, national sector strategies and priorities, as well as official data of the State Statistical Office. 4 The process of development of the Programme was coordinated by the Centre for Development of the Northeast Planning Region, whereas technical assistance in the elaboration of the Programme was provided by the GIZ RED programme which is financed by EU, GIZ and SDC. For the needs of elaboration of the Programme, a working team was established composed of experts from various fields, whereas in the process of definining the vision, strategic objectives, measures and indicators, the opinions of all stakeholders were expressed through a process of workshops. The participatory approach was maintained by involving all stakeholders in the work of working groups within each workshop. In the course of the elaboration of the Programme, special attention was paid to the findings and recommendations of the impact assessment report on the implementation of the Programme for Development of the Region for the period 2009 – 2014, that is to say, on the analysis of the effects produced by the implementation of this Programme over the region’s development results, and in accordance with the initially set priorities therein. 5 Development characteristics of the Northeast Planning Region Location The Northeast Planning Region covers the north easternmost part of the Republic of Macedonia and stretches along the flow of Pchinja River and Kriva River. The region is one of the smallest by area; it covers 9.3% of the total area of the Republic of Macedonia. The Northeast Planning Region encompasses the municipalities in the north easternmost part of the Republic of Macedonia, along the border with Kosovo, Serbia and Bulgaria, that is to say, the river basin of Pchinja River and Kriva River. The region covers a total area of 2310 km2, i.e. 9% of the total territory of the Republic of Macedonia. The region numbers 6 municipalities. Municipalities in the Northeast Planning Region Municipality Area km2 Inhabitants per km2 Populated areas Urban population 6 Kratovo 375 26 31 66,30% Kriva Palanka 480 42 34 69,90% Kumanovo 509 213 48 72,30% Lipkovo 273 109 22 0% Rankovce 241 16 18 0% Staro Nagorichane 432 10 39 0% Total 2310 76 192 56,60% Source: State Statistical Office, population estimation on 30.06.2013 and 31.12.2013 according to gender and age, by municipality and by statistical region There are 192 populated ares within its composition, 189 of which are rural settlements. Population density amounts to 75 inhabitants/km2 and is approximately on the same level as the national average (81 inhabitants/ km2). Demographics Demographic trends characteristic for the Republic of Macedonia, such as low natural population increase and its slow ageing are also reflected in the Northeast Planning Region. Population increase has practically ceased, having a tendency to gradually change to depopulation: Population by year Republic of Macedonia Northeast Planning Region 2009 2010 2011 2012 2013 2.052.722 2.057.284 2.059.794 2.062.294 2.065.769 174.876 175.211 175.323 175.560 175.863 The population index in 2013, compared to 2009 as the base year, marked growth of 0.56%, which is less than the corresponding national index. Namely, for the same time period, population in the Republic of Macedonia increased by 0.64%. Population index 2009 2010 2011 2012 2013 Republic of Macedonia 100 100.22 100.34 100.47 100.64 Northeast Planning Region 100 100.19 100.26 100.39 100.56 7 Therefore, there is practically no change in the percentage share of population of the Northeast Planning Region in the total population of the Republic of Macedonia. Share in the total population of the country 2009 2010 2011 2012 2013 Republic of Macedonia 100 100 100 100 100 8.52% 8.52% 8.51% 8.51% 8.51% Northeast Planning Region Population density in the Northeast Planning Region amounts to 76.1 inhabitants per square kilometre. The population in the region in 2013 lived in 59.488 housing units, and the average size of one household was 3.7 members. In the course of one year (2013), there were 2006 newborn babies which equal a birth rate 11.4 pro mil. The natural population increase rate in the Northeast Planning Region amounts to only 2.4 pro mil. In 2013, there were 114 persons who immigrated to the Northeast Planning Region, whereas only eight persons who emigrated, officially at least. Otherwise, even under the population census in 2002, the population literacy rate was satisfactory (94.8%), and year by year, as a result of the natural change of generations, this rate has most probably increased even more. Unfortunately, a large number of the data relating to the demographic statistics is not available due to not having implemented an additional population census. Nevertheless, this data show that the Northeast Planning Region seems to slowly enter a depopulation zone with all the usual effects of that phenomenon, such as decrease in the demand of goods for youth, increase in the demand of services for the elderly, seeming improvement of the relative economic activity indicators caused by narrowing the comparison and measuring base, high unemployment rate, and in practice – a real lack of young labour force and similar problems requiring the Northeast Planning Region to address such issues in timely fashion, since these are issues that development brings with itself, and the region should do everything in its power to divert this trend in the desired direction. 8 Economic characteristics The Northeast Planning Region is the economically most underdeveloped planning region in the Republic of Macedonia. Its share in the gross domestic product of the Republic of Macedonia is on a level of modest 5.5%, which is much less than the share of the region in the total territory and in the total population number in the country. 2009 2010 2011 Republic of Macedonia Gross domestic product (in millions of Denars) 410.734 434.112 459.789 Share 100.0% 100.0% 100.0% 18.299 19.021 25.511 4.5% 4.4% 5.5% Northeast region Gross domestic product (in millions of Denars) Share Measured per capita, in the year of 2012 the Northeast Planning Region had a GDP of 25.511 million MKD or 145.554 MKD. GDP per capita (MKD) 2009 2010 2011 2012 Republic of Macedonia 200.293 211.246 223.357 222.519 Northeast region 104.775 108.664 145.554 150.556 The acceleration of the economic activity in the region and the gradual coming out of the crisis at the end of the last decade has conditioned the level of GDP per capita in the region, compared to the national average, to grow faster and from modest 51.4% of the average level in the Republic of Macedonia to rise to 67.7%, which is a relatively sound result, indicating a realistic revival of the economy in this region as well. GDP per capita (MKD) 2009 2010 2011 2012 Republic of Macedonia 100.00% 100.00% 100.00% 100.00% Northeast Planning Region 52.31% 51.44% 65.17% 67.66% 9 As a whole, the Northeast Planning Region has developed relatively faster than some other regions, especially the ones it is compared with. So, for instance, Polog region had the lowest gross domestic product per capita compared to the national average, amounting to modest 43.9% of the average. Still, according to the Decision on classification of planning regions according to their level of development, the Northeast Planning Region has a development index of 0,56, economic and social index of 0,33 and a demographic index of 0,701. Thus, the Northeast Planning Region remains to be ranked last of the eight planning regions in Macedonia. Production and new employments The fact that gross value added is on the rise also speaks about the revival of economic activity in the region. Gross value added 2010 2011 2012 Republic of Macedonia 381,148 402,392 395,335 Northeast region 16,700 22,326 22,769 Share of the region 4.38% 5.55% 5.76% 100 133.69 136.34 (Millions of Denars) Index (2010=100) The structure of gross value added per activity is as follows. The share of agriculture is on the level of the country, the share of industry is lower than the average, the share of construction is almost twice as high than its share in the national average, which is a result of the construction boom after the liberalisation of construction in general, but is also due to the fact that in the region one of the traditional construction regions is located (Kriva Palanka). 1 Source: Decision on classification of planning regions according to their level of development for the period 2008-2012, Official Gazette No.162/2008 10 Republic of Macedonia Northeast Gross value added 395,335 22,769 Agriculture 40,705 2,351 Growth 10.30% 10.33% Industry 70,198 3,519 Growth 17.76% 15.46% Construction 31,166 3,383 Growth 7.88% 14.86% Trade 85,261 6,141 Growth 21.57% 26.97% Other activities 168,005 7,375 Growth 42.50% 32.39% The Northeast Planning Region had a total of 4.303 active business entities in 2013. Below an overview of how the dynamics of the number of active enterprises in the previous time period shifted, by year: Active business entities 2009 2010 2011 2012 2013 Republic of Macedonia 70.710 75.497 73.118 74.424 71.290 Northeast region 4.190 4.397 4.279 4.283 4.303 Nevertheless, speaking about the size of business entities, it turns out that most of them (91%) are practically micro enterprises with a low accumulation power and they have been established for the purpose of economic existence of its founders and employees, and not for some higher business purposes. The whole region had only 86 bigger enterprises and only 5 really large ones. 11 Employees 0 139 1-9 3,760 10-19 175 20-49 145 Total small 4,219 50-249 79 Total medium 79 250 + 5 Total large 5 Total 4,303 The most important sectors of economic activity are industry (food, chemical and metal industry, tobacco and cigarettes) and construction. The gross fixed capital formation in the region is low and is below the national average. National data on the gross fixed capital formation show growth of 15.8% (2011/2009), whereas the corresponding growth in the Northeast region amounts to 9.56%. Gross fixed capital formation 2010 2011 2012 Gross fixed capital formation 82,968 94,698 105,443 Northeast region 2,150 1,145 2,454 Share 2.59% 1.21% 2.33% (Millions of Denars) The share of the region in the total gross fixed capital formation is exceptionally low (in 2012, only 2.33% of the total investments in the country were in the region, which is the worst result of all eight planning regions). In addition, the investment structure is also unfavourable. Even 59% of them all are in construction. 12 RM Total gross fixed capital formation Northeast 105,443 100 2,454 100 In agriculture 2,557 2.43% 66 2.69% In industry 26,428 25.06% 272 11.08% In construction 34,679 32.89% 1,437 58.56% In trade 15,860 15.04% 485 19.76% Other 25,919 24.58% 194 7.91% Otherwise, construction has marked an increase also measured by the value of construction works. In 2013, there were 136 construction permits issued, and the value of construction works was 1.73 billion MKD. The number of finished apartments in the region is presented below: Year Apartments 2010 154 2011 122 2012 442 2013 363 Agriculture, that is to say, agricultural production in the Northeast region from the perspective of crops has decreased almost with all cereal crops, industrial and garden areas. Year Crop 2008 2009 2010 2011 Wheat 47568 34699 44921 40809 Maize 7664 13013 7456 5932 Tobacco 71 67 112 75 Potatoes 15951 17473 16551 15 876 Onion 2944 2602 3520 2687 13 Tomatoes 2388 1800 2298 3044 Pepper 3209 2012 2555 3157 Fruit Cherries 242 224 188 231 Sour cherries 96 103 104 96 Apricots 220 230 183 191 Apples 2044 1853 2293 2153 Pears 1322 1223 1091 1102 Plums 7362 5917 4755 5765 Peaches 178 174 174 148 Walnuts 502 472 489 524 Grapes 13427 17843 17649 21446 Farming production is also in decline, whereby only the number of poultry has marked an insignificant increase. Year 2010 2011 2012 2013 Cattle 27,541 33,365 27,166 30,459 Swine 23,396 23,518 22,335 27,159 Sheep 52,307 53,855 35,523 28,869 Goats 11,510 7,585 6,936 6,081 Poultry 252,690 234,986 198,447 168,504 The economy is far from innovative. In the Northeast Planning Region, there are no research development units, registered patents or centres of excellence. The relative share of energy per product unit is high, and the labour force is insufficiently productive, especially compared with the developed regions, such as Skopje Planning Region for instance. 14 Labour force market The population activity rate in the region has decreased, but the employment rate is on the rise and unemployment is in decline. However, compared to the national average, these indicators, in total, are insufficient for the assessment of the situation on the labour force market in the Northeast region to be positive. RM Northeast 1.672.460 139.836 Activity rate 57.2 54.2 Employment rate 40.6 29.9 Unemployment rate 29.0 44.9 Working-age population An overview of employment growth in the region by year: Republic of Macedonia 2009 2010 2011 2012 629,377 642,005 647,874 651,009 2.01% 0.91% 0.48% growth compared to 2009 100 102.01 102.94 103.44 Northeast 27,725 30,222 30,384 34,554 9.01% 0.54% 13.72% 109.01 109.59 124.63 annual compared to 2009 100 Labour productivity measured as a GDP per employee by hour of work (2.184 hours per year) shows that the region has made a significant step forward. Macedonia 2011 GDP - million 459,789 Employees 709,689 GDP by hour of work 325 MKD Northeast GDP - million 2011 25,511 15 Employees 28,475 hours of work (000) 62.19 GDP by hour of work 410 However, results produced in this way should not be taken literally. Since the use of available overtime work in the private sector is almost complete, the real productivity indicator is set somewhere on 80% of the one calculated as afore. Nevertheless, global indicators such as general productivity are sound indicators for relative relations. The comparison of employment indices with the indices of the gross domestic product determines labour productivity dynamics in the region. In the period 2010/2009, the productivity index was negative due to the high employment index, but in the period 2011/2010, on the other hand, productivity growth in the Northeast Planning Region was indeed remarkable. 2010/2009 2011/2010 Republic of Macedonia 105.69 105.91 East region 121.15 99.79 Northeast region 103.95 134.12 Republic of Macedonia 100.78 100.52 East region 99.19 99.39 Northeast region 108.50 100.00 Republic of Macedonia 104.87 105.37 East region 122.13 100.40 Northeast region 95.80 134.12 GDP indices Employment indices Productivity indices 16 The ratio of unemployed population in towns and population in villages seeking for a job shows that unemployment is in decline both in towns and in villages, by which the decline in towns is somewhat lower. Unemployed ratio Total Town Village town-village 2008/2012 2008/2012 2008/2018 Republic of Macedonia -29.11% -28.21% -30.90% Northeast -29.28% -27.49% -32.63% However, the structure of unemployed people in the region, compared to the national average both in total and according to gender and place of residence is very unfavourable when it comes to the Northeast region: Republic of Macedonia East Northeast Total 29.0 19.5 44.9 Men 29.0 22.0 44.4 Women 29.0 16.6 45.7 Urban 30.6 22.4 42.5 Men 30.8 26.3 40.7 Women 30.4 17.9 45.0 Rural 26.7 14.0 48.6 Men 26.7 14.1 49.3 Women 26.6 13.8 47.1 Social development Population in the Northeast Planning Region lives under relatively good living conditions. Populated areas have urban infrastructure, and the region also has a measuring station for air pollution. It may be stated that living conditions are in line with the regional economic possibilities, and as a result of the informal economic activity and remittances from abroad, the standard of life of the population is even better than what would be expected for a relatively 17 insufficiently economically developed region. Both the health and social protection in the Northeast Planning Region are overall relatively sound. The number of insured people is in decline. In 2010, the region had 146,095 health insured people, whereas in 2012 only 135,367. 2010 2011 2012 2010 2011 2012 Republic of Macedonia 1,902,945 1,835,529 1,744,237 92,5% 89,2% 84,6% Northeast 146,095 140,578 135,367 83,4% 80,2% 77,1% The number of children in kindergartens is low. Whereas for the Republic of Macedonia, this number amounts to 21% for children up to the age of 5 years, the number in the Northeast region was only 14.6% or 69% of the average. There are more families – recipients of child care allowance than the average (4.5% vs. 3.8% or by 18.4% more than the average), while the number of recipients of special allowance up to 26 years of age is 1%, just as the national average. In the whole Northeast region, 3.46% of households were recipients of social financial assistance, vs. 2.11% in the Republic, which is a result higher by even 64% than the national average. Republic of Macedonia East region Northeast region Children aged 0 to 5 in kindergartens (%) 21.0 34.4 14.6 Recipients of child care allowance, children up to 18 years of age (%) 3.8 8.0 4.5 Recipients of special allowance, people up to 26 years of age (%) 1.0 1.1 1.0 Households – recipients of social financial assistance per 000 population 21.1 16.2 34.6 The number of recipients of social financial assistance has decreased significantly, but it still remains twice as high than the national average. Recipients of social financial assistance per 1.000 inhabitants 2008 2009 2010 2011 2012 Republic of Macedonia 101,9 94,1 85,8 74,5 64,8 18 Northeast Planning Region 142,5 128,9 114,5 118 103,6 The number of recipients of child care allowance in the Northeast Planning Region has decreased from 22 children per 1.000 inhabitants to 17.5, whereas the number of kindergartens per 10.000 inhabitants has remained to 1, but this is yet again better than the national average which amounts to 0.9. The figures have not changed throughout the whole planning period. Within the region, there are 123 functioning primary schools, holding 18.078 pupils. There are 12 secondary schools and they have 8.187 students. Pupils in primary schools 2009/10 2010/11 2011/12 2012/13 Republic of Macedonia 210.381 204.439 198.856 195.311 Northeast Planning Region 20.062 19.436 18.476 18.078 Students in secondary schools 2009/10 2010/11 2011/12 2012/13 Republic of Macedonia 95,343 94,155 93,064 89,884 Northeast Planning Region 8,843 8,337 8,316 8,187 Below an overview is provided of the number of enrolled students in undergraduate university studies in the Northeast Planning Region (according to the place of residence of the student). Enrolled studies students in undergraduate university 2007 2008 2009 2010 Republic of Macedonia 210.381 204.439 198.856 195.311 Northeast Planning Region 20.062 19.436 18.476 18.078 There is one private college in the region and several regional units of state universities. Below an overview is provided of the number of graduated students by year, in the region, compared to the average for whole Macedonia. Republic of Macedonia Northeast 2010 2011 2012 9.807 9.707 10.210 618 652 696 19 Tourism Tourism trends have undergone relatively profound changes over the past years. Tourist clientele has changed, not only in its structure, but also in its demands. Their needs have become specific and segmented, and the tourist offer has adapted on these grounds. Destinations unknown for the tourist clientele in the past mark today an ever higher number of visits. Much greater attention is given to drafting tourism development plans, programmes and strategies for those destinations. Thus, the analysis of tourism trends, involving determining the scope, dynamics and structure of tourists and their nights spent, as well as the percentage share and the variable features over the years has appeared as an inevitable need. These parameters have been designed and presented in the following tables, and they refer to the 5-year analysed period (2009-2013) in the Northeast Planning Region of the Republic of Macedonia. In the following table, it can be noticed that the number of tourists changed taking both an upward, and a downward trend in the period analysed. So, the total number of tourists who have visited the region goes up in general, except for the year of 2010, when there was a decline of 13%, that is to say 3.098 tourists were registered, which is less than the figure of 2009 (3.560 tourists). During the next years, the number rises beyond the value in the base year of 2009. In 2013, an increase can be noticed of 56.9%, i.e. 5.584 tourists. There is a different trend in the number of registered domestic tourists in the Northeast Planning Region. In almost every year, there are lower values compared to the base year of 2009, that is to say, index values lower than 100. An exception to this trend is the last year – of 2013 – when there was an increase of 29,2% compared to the first analysed year (2009) and there were 1.856 tourists registered which was more than the figure in 2009 (1.436). 20 Scope, dynamics, structure and percentage ratio of tourist visits to the Northeast Planning Region and to the Republic of Macedonia Year Number of Index base Number of foreign Index base domestic tourists 2009 tourists 2009 Total number of tourists in the region Percentage share of the total Index base Total number of number of tourists in the region 2009 tourists in RM in the total number of tourists in RM 2009 1436 100,0 2124 100,0 3560 100,0 587770 0,61 % 2010 1093 76,1 2005 94,4 3098 87,0 586241 0,53 % 2011 1379 96,0 2424 114,1 3803 106,8 647568 0,59 % 2012 1166 81,2 3280 154,4 4446 124,9 663633 0,67 % 2013 1856 129,2 3728 139,2 5584 156,9 701794 0,80 % Source: State Statistical Office 21 Scope, dynamics, structure and percentage ratio of nights spent in the Northeast Planning Region and in the Republic of Macedonia Nights spent by Year domestic tourists Total number Index base Nights spent by Index of nights Index 2009 foreign tourists base 2009 spent in the base 2009 region Total number of nights spent in RM Percentage share of the total number of nights spent in the region in the total number of nights spent in RM 2009 2781 100,0 3466 100,0 6247 100,0 2101606 0,30 % 2010 1706 61,3 3922 113,2 5628 90,1 2020217 0,28 % 2011 1978 71,1 4829 139,3 6807 109,0 2173034 0,31 % 2012 1815 65,3 6105 176,1 7920 126,8 2151692 0,37 % 2013 2553 91,8 5691 164,2 8244 132,0 2157175 0,38 % Source: State Statistical Office 22 The movements in the number of foreign tourists show similarities with the total number of tourists. Thus, in all the years within the period analysed, there is a decline marked in view of the first year, except for the year of 2010, when the decline was insignificant, but there are stagnation values. In 2013, the region was visited by 3.728 tourists, which is an index value of 139.2 compared to the base year (2.124 tourists). When looking at the percentage share of the number of tourists who have visited the region in the total number of tourists in the Republic of Macedonia, alarming values may be noticed. Thus, this share amounts to less than 1%, whereas the registered change of decline and rise is insignificant. In 2013, the share was 0.8% which is a very slight increase compared to the year of 2009 (0.61%). From the data presented in the table afore, it may be unambiguously concluded that urgent measures are necessary in the field of raising the number of domestic and foreign tourists to the region, as well as in increasing the percentage share in the forthcoming period. In the tabular overview (Table 2) presenting the scope, dynamics, structure and percentage share of nights spent in the Northeast Planning Region, similarities may be noticed with the same parameters on the number of tourists who have visited the region. So, in the total number of nights spent in the region, the only decline was marked in the second year of the analysed period (2009-2013). More precisely, the index amounts to 90.1, whereas in the following period it amounts to over 100, which is the value for the base year of 2009 with 6.247 nights spent. In 2013, the number increased to 8.244 nights spent. The number of nights spent by domestic tourists in the analysed period marks fluctuating values. However, despite the upward and downward features, values in all consecutive years (after 2009) show lower amounts (index values lower than 100). This speaks of an exceptionally negative occurrence. Foreign tourists, on the other hand, show more favourable values. Thus, the number of their nights spent in the analysed period has continuously increased, except for in 2013, when there were 5.691 nights spent registered, which was a 23 slight decrease compared to the previous year when the highest number of nights spent was determined (6.105), with an index value of 176.1. The Northeast Planning Region has an insignificantly small percentage share in the total number of nights spent on national level, that is to say, the value amounts to approximately 0.3% in the overall period. It can be stated that the increase in that share in the 5-year period is unnoticeable. A logical conclusion of this overview would be the need for urgent activities to be undertaken in increasing all the parameters of tourism development in the Northeast Planning Region. Percentage share of the number of visitors and the number of nights spent in the regions of the Republic of Macedonia in the year of 2013 Visits of tourists by statistical region in 2013 TOTAL 701794 Vardar region 17196 East region 20747 Southwest region 264826 Southeast region 109982 Pelagonia region 70312 Polog region 30823 Northeast region 5584 Skopje region 182324 Domestic tourists TOTAL 302114 Vardar region 4120 East region 13582 Southwest region 130020 24 Southeast region 59977 Pelagonia region 49635 Polog region 15491 Northeast region 1856 Skopje region 27433 Foreign tourists TOTAL 399680 Vardar region 13076 East region 7165 Southwest region 134806 Southeast region 50005 Pelagonia region 20677 Polog region 15332 Northeast region 3728 Skopje region 154891 Source: State Statistical Office 25 Percentage ratio of the number of visitors to the regions of RM in 2013 In the diagram and the table above it may be noticed that there is a different percentage share in the total number of tourists having visited the regions in the Republic of Macedonia in 2013. As it may be noticed, the Northeast Planning Region has an insignificant share, which is an alarming state. Even the regions that are ranked right before this region – in terms of the number of tourists (Vardar, East and Polog region), mark a higher degree of percentage share. This means that this region has marked values lower than 1% which in itself speaks of the need for activities in all fields of tourist operations in the forthcoming period and a more balanced distribution among regions. 26 Nights spent by tourists by statistical region in 2013 Total TOTAL 2157175 Vardar region 30840 East region 42222 Southwest region 1152651 Southeast region 327279 Pelagonia region 162752 Polog region 61652 Northeast region 8244 Skopje region 371535 Domestic TOTAL 1275800 Vardar region 6194 East region 24987 Southwest region 763788 Southeast region 231870 Pelagonia region 112637 Polog region 30806 Northeast region 2553 Skopje region 102965 Foreign TOTAL Vardar region 881375 24646 27 East region 17235 Southwest region 388863 Southeast region 95409 Pelagonia region 50115 Polog region 30846 Northeast region 5691 Skopje region 268570 Source: State Statistical Office Percentage share of nights spent by visitors in the regions (2013) In the diagram and the table above presenting the different percentage share of the regions in terms of nights spent, similarities may be noticed just as in the visual overview of the share according to the number of tourists. These indicators refer to 2013 when the Northeast Planning Region had a share of only 0.38% in the total number of nights spent in the Republic of Macedonia. What causes 28 concern is the fact that in only one region (Southwest Planning Region), more than a half of the total number of nights spent was achieved, whereas the rest is distributed among the remaining seven regions. The share of the Northeast Planning Region is extremely low and is ranked last. It is understandable that in the forthcoming period it should be worked on eliminating the causes of this negative state. Based on the previous indicators on the number of visitors and nights spent in the various regions, the average number of nights spent by tourists in the Northeast Planning Region may be analysed. This analysis refers to the last 5year period, and the results are provided in the following table. Average stay of tourists in the Northeast Planning Region by days Average stay of domestic Average stay of foreign Average stay of the total tourists tourists number 2009 1,94 1,63 1,75 2010 1,56 1,96 1,82 2011 1,43 1,99 1,79 2012 1,56 1,86 1,78 2013 1,38 1,60 1,48 Year Source: State Statistical Office, own calculations In the previous table, what can be noticed is fluctuation in the values regarding the average stay of tourists in the Northeast Planning Region over the last 5-year period. The average stay of domestic tourists marked an almost continuous decline from 1,94 days in 2009 to 1,38 days in 2013. There was a slight increase only in the year of 2012 (1,56 days) compared to the previous year (2011, with an average stay of 1,43 days), but that is insignificant. Foreign tourists in the region mark almost the same values in terms of their average stay as domestic tourists. In spite of the growing tendency of the stay up to 2011 (1,99 days), in the last two years there was a fall in the stay, so in 2013 it 29 amounted to 1,6 days, which is less even compared to the first analysed year (1,63 days). As a consequence of the average values regarding the stay of domestic and foreign tourists, the total number of tourists shows similar indicators. So, values show a descending pattern, by which the value of the average stay in 2013 is lower than the first analysed year and amounts to less than 1,5 days. It is quite simple to notice the disadvantages in the values of the average stay of domestic, foreign and total number of tourists. Namely, the stay is too short and it amounts to less than 1,5 days. In the forthcoming period, rigorous measures should be adopted immediately in order to eliminate this negative and unfavourable situation. Accommodation establishments in the Northeast Planning Region Apart from the dynamics of tourists’ visits and stay (domestic and foreign) on the territory of the Northeast Planning Region, tourism development may be also monitored through the changes and movements relating to tourist capacities. However, this capacity cannot be analysed individually, but this needs to be done in comparison with other regions, in a certain time frame. The table and diagram below give an overview of how tourist establishments are presented in the various planning regions for the already mentioned 5-year analysed period. Accommodation establishments by statistical region 2009 2010 2011 2012 2013 Number of rooms TOTAL 26390 26189 26448 26877 26887 Vardar region 508 554 589 689 690 East region 598 533 544 599 620 16369 16013 16033 16035 16050 Southwest region 30 Southeast region 2152 2105 2277 2298 2346 Pelagonia region 3102 3390 3330 3497 3322 Polog region 1080 1011 1018 1014 1072 Northeast region 297 292 302 306 300 Skopje region 2284 2291 2355 2439 2487 Number of beds ВКУПНО 69561 69102 69737 70287 70297 Vardar region 1360 1496 1701 1829 1819 East region 1718 1591 1606 1721 1826 Southwest region 42103 41458 41454 41458 41411 Southeast region 5750 5724 6069 6088 6298 Pelagonia region 8999 10229 10165 10310 10001 Polog region 3182 3057 3058 3059 3153 Northeast region 805 633 645 653 647 Skopje region 5644 4914 5039 5169 5142 Dynamics of accommodation establishments in the Northeast Planning Region by year 31 Discussing the diagram above, as well as the table presented afore, the dynamics of accommodation establishments may be determined for the analysed period. This analysis shows stagnation features. Namely, the increasing and decreasing values in the number of rooms are insignificant and the medium value amounts to approximately 300. More alarming are the values relating to available beds in accommodation establishments in the analysed period. Thus, after 2009, when the highest number of beds (805) was noticed in the region, their number started sinking rapidly in the following year (633 beds), and afterwards it remained almost at the same low level. The Northeast Planning Region shows exceedingly negative values both in terms of available beds and rooms in other regions. It has the least accommodation establishments in the Republic of Macedonia, and that applies to all analysed years. Adequate measures and activities need to be adopted urgently in the field of tourist offer provision, i.e. the available tourist facilities need to be increased in the forthcoming period. Accommodation establishments by type in the Northeast Planning Region in 2010 Type of Number of Number of establishments apartments Total 14 2 641 Hotels in total 4 / 137 Hotels *** 1 / 78 Hotels ** 2 / 47 Hotels * 1 / 12 Guesthouses 1 / 10 Motels 2 1 105 Inns 1 1 13 establishment Number of beds 32 Uncategorised 6 / 368 establishments In the tabular overview provided, data refer to the year of 2010, since this is the last official data of the State Statistical Office of the Republic of Macedonia. It may be noticed that most represented are uncategorised accommodation establishments per number of establishments with a total of 6, as well as hotels with a total of 4 establishments. What is characteristic is representation of hotels of lower category, as well as 2 motels and 1 inn, which only have per 1 apartment. The largest number of beds is present in uncategorised establishments (368), followed by hotels (137) and motels (105) with a total of 625 beds. In the following period, efforts should be invested in increasing the number of the remaining accommodation establishments of higher category. Tourism consumption Tourism consumption can be presented by the achieved turnover in catering establishments. Achieved turnover on the territory of the Republic of Macedonia, as well as on the territory of the Northeast Planning Region is given in the table below. 33 Tourism turnover in catering establishments in RM and in the Northeast Planning Region 2011 Food and 2012 Leisure accommodation Tourism turnover in catering establishments in RM, in thousands of Denars Food and 2013 Leisure accommodation Food and Leisure accommodation 7428958 387385 7782534 383730 6389528 398687 327572 9785 353575 2239 311084 2208 4,41 % 2,53 % 4,54 % 0,58 % 4,87 % 0.55 % Tourism turnover in catering establishments in the Northeast Planning Region, in thousands of Denars Percentage share of the tourism turnover of the Northeast Planning Region in the total turnover of RM 34 In the table presented above, a difference can be noticed between the food and accommodation consumption and the leisure consumption within the last 3-year period, which is logical. The amount of the total consumption compared to the turnover of catering establishments in the Republic of Macedonia marks an extremely low percentage share. Food and accommodation consumption of the region has an average share of somewhat more than 4% and it increases in the analysed period with insignificant values. In 2013, food and accommodation consumption amounted to 4.87%, whereas leisure consumption was in decline in the analysed period and had an insignificant share of 0.55% in the last year. It goes without saying that the Northeast Planning Region should unambiguously adopt strict and urgent measures and activities also with regard to the achieved turnover of catering establishments in order to alleviate this unfavourable condition. Agriculture The Northeast region is one of the smallest regions by area and it covers 9.3% of the total territory of the Republic of Macedonia. Natural conditions and resources of the Northeast region offer a potential for development and enhancement of livestock husbandry and development of the dairy and meat industry. There is a total of 172 225 hectares agricultural land, 45.7% of which or 78 828 hectares are arable areas, whereas 54.3% or 93 391 hectares are pastures. Of the arable areas in this region, plough lands and gardens predominate covering 64 551 hа, orchards 857 hа, vineyards 1 570 hа and meadows 11 850 hа. The percentage representation of agricultural lands is depicted in the following diagram. 35 Source: State Statistical Office Over the last few years, from 2008 to 2011, the total agricultural production in tonnes in Northeast region was relatively stable, but in 2012 it decreased by 33.51% compared to 2008. The following diagram gives an account of the annual agricultural production in tonnes and of the trend of agricultural production. Northeast region – total agricultural production in tonnes Northeast region – total agricultural production in tonnes Source: State Statistical Office The share of the region in the total agricultural production of the country has decreased insignificantly, from 7.27% in 2008, to 5.09% in 2012. 36 A total of 16 agricultural holdings cultivate 4 475 ha, whereas 20 448 individual agricultural producers cultivate 51 133 hectares. According to this, the average size of cultivated lands by agricultural holdings is approximately 279 ha. Individual agricultural producers cultivate on average 2.5 ha, which indicates a high average size compared to the national average (1,84 ha). Production of some farming and garden crops 2011 Wheat Maize Tobacco Potatoes Onion Tomatoes Pepper Cucumbers Republic of Macedonia 256103 126096 26537 192675 44540 165642 153842 49879 Northeast region 40 809 5 932 75 15 876 2 687 3 044 3 157 164 % of R. Macedonia 15,93% 4,7% 0,2% 8,23% 6,03% 1,83% 2,05% 0,32% 2012 Wheat Maize Tobacco Potatoes Onion Tomatoes Pepper Cucumbers Republic of Macedonia 214963 115928 27333 168859 43732 145818 166247 50093 Northeast region 27 056 3 137 33 11 878 2 050 2 832 2 609 138 % of R. Macedonia 12,58% 2,7% 0,12% 7,03% 4,68% 1,94% 1,56% 0,27% 2013 Wheat Maize Tobacco Potatoes Onion Tomatoes Pepper Cucumbers Republic of Macedonia 258960 131043 27859 189590 50787 130960 152153 36834 Northeast region 43 693 8 381 58 15 222 2 177 2 806 3 147 123 % of R. Macedonia 16,87% 6,39% 0,2% 8,02% 4,28% 2,14% 2,06% 0,33% Source: State Statistical Office The poor image regarding the overall production in 2012 improved in 2013, by which some crops, such as wheat and maize, did not only return to previous levels, but they also surpassed 2011 quantities. In 2013, wheat had a share of 16.87%, maize 6.39%, and also it is worth mentioning potatoes which had a share of 8.02% of the total production in the country. All other listed garden crops 37 in the region, as well as tobacco, have a very insignificant share in the overall production. Production of fruit and grapes 2011 Cherries Sour cherries Apricots Apples Pears Plums Peaches Walnuts Grapes Republic of Macedonia 6019 6514 3747 124552 7460 35448 9039 5480 235104 Northeast region 231 96 191 2 153 1 102 5 765 148 524 21 446 3,83% 1,47% 5,09% 1,72% 14,77% 16,26% 1,63% 9,56% 9,12% % of R. Macedonia 2012 Cherries Sour cherries Apricots Apples Pears Plums Peaches Walnuts Grapes Republic of Macedonia 5539 8127 4503 127171 6937 35444 8987 4952 240461 Northeast region 237 91 160 1 890 984 4 975 107 364 11 515 4,27% 1,11% 3,55% 1,48% 14,1% 14,03% 1,19% 7,35% 4,78% % of R. Macedonia 2013 Cherries Sour cherries Apricots Apples Pears Plums Peaches Walnuts Grapes Republic of Macedonia 6037 8867 3968 112929 7265 38902 11034 5467 292075 Northeast region 253 129 161 2 232 1 145 4 955 158 466 17 258 4,19% 1,45% 4,05% 1,97% 15,76% 12,73% 1,43% 8,52% 5,9% % of R. Macedonia Source: State Statistical Office Of the fruits listed in the table above, it can be easily seen that apart from pears, plums and walnuts, the others are in insignificant quantities of the overall production. The following table gives an overview of some of the more represented fruit crops, which had a large share in the total production in 2013. Republic of Macedonia Almonds Hazelnuts Raspberries Blackberries 132872 138656 24230 3797 38 Northeast region 6563 47283 14384 691 % of R. Macedonia 4,9% 34,1% 59,4% 18,2% Source: State Statistical Office In the table above it is clearly seen that almost 60% of the total production of raspberries in the Republic of Macedonia comes from this region. In addition, the share that hazelnuts take is also large, being 34.1%, as well as blackberries with 18.2%. These crops are on the rise and it is expected to have an even higher production. Following is an account of crops cultivated on areas falling under plough lands and gardens, as well as figures on livestock in the region. Areas under plough lands and gardens Plough lands and gardens Cereals Industrial crops Fodder crops Leguminous crops Vegetable total Potatoes Flowers and ornamental plants Seed and seedlings Fallow lands 236 291 158314 24 717 23 561 2 283 12 722 5 053 34 26 9 581 Northeast region 37 877 32 225 814 1 947 293 862 564 2 1 1 170 % of R. Macedonia 16% 20,35% 3,29% 8,26% 12,83% 6,49% 11,16 % 5,88% 3,84% 12,21 % hectares/ha Republic of Macedonia Source: State Statistical Office From the analysis of the representation of crops, it may be stated that cereal crops have a high representation in the total production (20.35%) and most of them are concentrated in the Municipality of Kumanovo. Having large areas under barley 9 513 ha or 25% of the total areas under barley in Macedonia indicates developed livestock husbandry. This fact is also supported by having clover (1234 ha) and forage pea (376 ha) planted the most in terms of fodder crops, and these are some of the largest areas in the Republic of Macedonia under these crops. Total number of livestock, poultry and bee families 2013 Republic of Macedonia Northeast region Horses Cattle Swine Sheep Goats Poultry Bee families 20 682 238 333 167 492 731 828 75 028 2 201 550 68 294 905 28 516 25 699 74 215 19 774 322 054 12 653 39 % of R. Macedonia 4,37% 11,96% 15,34% 10,14% 26,35% 14,62% 18,52% Source: State Statistical Office Swine husbandry has a long-lasting tradition in this region and it has a share of 15.34% in the total number of swine in the country. There are 19 774 head of goats or 26.35% of the total number representing the largest share of all types of farming animals of this region in the total number in Macedonia. Furthermore, bee families in the region, numbering 12 653 or taking 18.52% of the total number in the country are an important factor in the overall agricultural production. Having 2,21 livestock units per agricultural holding, this region is ranked fourth right after Pelagonia (2,7), Skopje (2,3) and Polog region (2,27). In this region, far the most individual holdings have been registered providing services by way of mechanisation, more precisely 28.7% of the total number of such registered services in Macedonia. This indicates an effective utilisation of available mechanisation and a large-scale cooperation among farmers. This region also numbers most of the agricultural holdings processing animal and plant products as an additional activity. Their share in all such holdings in Macedonia is 21.6% for animal processed products and 38.8% for plant processed products. This mostly applies to meat and dairy products, as well as pickle and spices, which are in fact activities for generation of additional income among smaller farmers. The high number of cattle, sheep, goats and poultry, as well as the available arable lands suitable for cultivation of cereal and fodder crops is a good basis for an even stronger development of livestock husbandry, that is to say meat and dairy farming, as well as egg industry. Most of the dairies in Macedonia are concentrated in this region, which apart from supplying the region itself, also supply Skopje region. The proximity of Skopje and the sound transport communication provide for extraordinary benefits in placing the products on the biggest market in a fresh condition. 40 Infrastructure Transport infrastructure Road infrastructure The road infrastructure in the Northeast region consists of local, regional and A road network. The European corridors VII and X pass through the region. SERBIA Road network in the Northeast Planning Region The existing road infrastructure in the Northeast Planning Region comprises 888 km local roads, 99 km state A – motorways and 370 km regional roads. Structure of road network Regional A-motorways 7% Local 41 Major road routes connecting this region to other regions are the state A1 motorway (Skopje - Kumanovo – border with Macedonia) and the state А2 motorway (Kumanovo – Kriva Palanka – border with Bulgaria). The road network in this region is well-developed. The present condition of a part of the A2 motorway (Kumanovo – Kriva Palanka – border with Bulgaria) is in a relatively poor condition, above all due to damaged roadway surfaces and inappropriate technical elements present in these sections. This especially applies to the motorway section between Stracin and the border with Bulgaria, where the road itself does not correspond to the A – motorway criteria, since it has a small roadway width, and the horizontal elements fail to correspond to the technical conditions for such a road. Certain sections of the regional road network R 1104 (Arachinovo - Kumanovo), R 1107 (border with Serbia – Kumanovo), R 1204 (Kumanovo – Sveti Nikole), R 1205 (Kratovo - Probishtip – junction to A3), R 1207 (junction to А2 - Pelince – border with Serbia), as well as certain sections of regional roads of second category R 2244 (junction to R1207 - Arbanashko), R 2133 (Nikushtak - Lipkovo - Kumanovo), R 2248 (junction to А2 - German), R 2245 ( Kriva Palanka - Ogut), R 2250 ( junction to А2 - Luke) and R 2247 (junction to R1205 - Tatomir) are also in a relatively poor condition. In the region, parts of the following regional roads have a dirt roadway or have not been built: R 1210 Kriva Palanka - Toranica – Makedonska Kamenica (Sasa) R 2244 (Arbanashko - Ramno – border with Serbia) R 2248 (German - Nerav) R 2245 (Ogut – border with Serbia) R 2250 (Luke – border with Serbia) R 2247 (Tatomir – junction to R 1205) 42 The state A1 motorway being the only exception, the condition of the remaining A – motorways and of a large part of the regional roads is not in compliance not only with the requirements for economic growth, but also with traffic safety standards. Due to lack of investments and insufficient maintenance of the road network, the access to the main road corridor is made difficult for some of the region’s municipalities (Kriva Palanka and Kratovo). The local road network in the Northeast Planning Region is in a poor condition, and in certain sections the quality of the local road network is on such a low level that it poses a potential threat for normal regulation of the traffic. It is essential that we emphasise that even the funds available are not used for maintenance of local roads, but construction of new sections is forced and mainly streets in urban centres are maintained. Only some of the municipalities have a sound database on the condition of the road network, and the necessary resources, on the basis of which maintenance and development of the local road network could be planned in a proper manner. Over the past few years, by using own resources, as well as resources of the Ministry of Transport and Communication, some of the local roads have been reconstructed and upgraded (6%). Condition of the local road network by municipality Kumanovo Lipkovo Rankovce Staro Nagorichane Kratovo Kriva Palanka Asphalt 77 125 23 64 61 89 Cobbled - - - - 1 1 Macadam 17 - 8 74 - 1 Dirt 34 80 35 80 83 71 - 14 11 - 17 8 128 219 77 218 162 170 Project truck Total 43 Types of local roads Project truck Asphalt Dirt roads Cobbled 0% Macadam 10% The road network density in the Northeast Planning Region amounts to 0.59 and is higher by 7.3% than the road network density on the level of the Republic of Macedonia (0.55). Road infrastructure in the Northeast Planning Region compared to the road infrastructure in the Republic of Macedonia Republic of Macedonia Northeast region % А – motorway network 1153 99 8,59% Regional roads 3771 370 9,81% Local roads 9258 888 9,59% Total 14182 1357 9,57% There are three border crossings in the Northeast Planning Region. Two border crossings with the Republic of Serbia (Tabanovce and Pelince) and one with Bulgaria (Kriva Palanka). The average daily traffic on the state A – motorway network in the year of 2013 in the Northeast region is shown in the following table. 44 Motor way Average annual daily traffic Motorway section C1 C2 C3 C4 C5 C6 Total А1 border with Serbia - Kumanovo 4514 673 101 95 60 331 5774 А1 Kumanovo – Miladinovci 6244 685 204 64 89 476 7762 А2 junction vil. Konjare – Stracin 1539 468 54 99 23 68 2251 А2 Stracin – Kriva Palanka 2564 422 24 77 19 41 3147 А2 Kriva Palanka – border with Bulgaria 1458 181 26 58 12 71 1806 The average annual daily traffic on the regional road network in the Northeast region in the year of 2013 is presented in the table below. Average annual daily traffic Road Road section K1 K2 K3 K4 K5 K6 Total R 1104 Skopje – Arachinovo – Umin Dol 3614 804 89 414 424 201 5546 R 1104 Umin Dol – Kumanovo 3402 789 83 301 307 174 5056 R 1204 Kumanovo-Pavleshenci-Sv. Nikole 842 301 15 62 46 48 1314 R 1207 Staro Nagorichane – Pelince 816 98 22 57 48 27 1068 R 1205 Stracin - Kratovo 1148 102 38 89 71 78 1526 R 1205 Kratovo – Crn Vrv – Probishtip 1102 97 40 96 75 69 1479 Railway infrastructure Apart from the roads within transport corridors, there are railway lines as well. There are two railway lines located in the Northeast region, as follows: in Corridor VIII there is the railway line from Kumanovo connecting it to the railway line from Corridor X, continuing via Kriva Palanka to the Republic of Bulgaria. This railway line has not been completed yet (it has been built only to Beljakovce). In Corridor X there is the railway line starting from the border with Serbia – Kumanovo – Skopje – border with Greece. 45 This railway connection is especially important for the economy, both of the country and the region. Over the last few years measures have been undertaken to reconstruct this rail track. The total length of this railway line located in the region is 31 km. On the other hand, the railway track Kumanovo – Beljakovce has a total length of 33 km, but it is not functional. Railway network in the Northeast Planning Region The railway network in this region has a density of 13.27 km’ per 1000 km2 (27 km’ on average in Macedonia), and the length of the rail tracks per 100 thousand inhabitants is 17.94 km’ (33,9 km’ on average in Macedonia). The railway network in the Northeast region features low density and it does not provide for appropriate level of services to the region’s municipalities. Only the municipalities of Kumanovo and Lipkovo are well-provided with rail services. The quality of rail services offered is on a very low level which in fact is a feature of rail transport in the Republic of Macedonia. One more important railway station is located in the region, in Kumanovo. Number of passengers carried Number of passengers carried Year Goods carried (tonnes) Kumanovo Republic of Macedonia % Kumanovo Republic of Macedonia % 2010 12.541 1.489.000 0,84% 59194 2198206 2,69% 2011 10.258 1.408.000 0,73% 60184 1902581 3,16% 46 2012 6.125 1.000.000 0,61% 74670 1875974 3,98% The number of passengers carried by means of the railway has significantly decreased over the period 2010 – 2012. The decrease in the number of passengers carried amounts to 48.83% (a decrease of 32.84% on the level of the Republic of Macedonia), whereas in terms of transportation of goods we have an increase of 26.15% (2012 – 14.65% decrease on the level of the Republic of Macedonia). The main problem of not having an efficient rail transport is the incomplete railway network in the Northeast Planning Region. It is necessary to finalise the construction of the railway line in the direction of the Republic of Bulgaria. The relatively poor state of the road network in the Northeast Planning Region and the low railway network coverage are factors that limit the opportunities for a more intensive development of the region. Air traffic The airport “Alexander the Great” is located in close proximity to Kumanovo. The proximity of this airport ensures that some of the municipalities in the Northeast region are served. These are above all those municipalities which are located close to Kumanovo. Near Kumanovo, close to the village of Rezhanovce, there is also a class 2B sports airport with a grass landing strip (850 х 100) and an area of 51,37 ha, as well as a commercial aviation airfield “Klechovce” covering an area of 6 ha. Energy infrastructure Following the construction of the hydro power system Zletovica, conditions have been created for production of electricity by way of the planned small hydro 47 power plants of the system Zletovica. Furthermore, locations have been identified for the construction of small hydro power plants. Springs Water supply system Regional water economy system Water storages Natural lakes Irrigated areas Sewage system Refinery Oil pipeline Industrial thermal power plants Coal mine Pellet plant Gas pipeline Regulation stations Thermal power plants Hydro power plants Power transmission lines Transformer stations Energy infrastructure in the Northeast Planning Region The gas pipeline system in the Republic of Macedonia is a part of the Russian transit natural gas pipeline which passes through Ukraine, Romania and Bulgaria. The connection point of the system of the Republic of Macedonia with the Bulgarian one of the pipeline is in the border area of Deve Bair. The gas pipeline stretches across the Northeast region, more precisely in the areas of Kriva Palanka, Kratovo and Kumanovo. From the perspective of regional development, capacity building for enhanced use of the gas pipeline system may contribute towards stimulating development of the regions. Existing infrastructure: main transmission gas pipeline Deve Bair – Skopje having a length of 98 km, transmission gas pipeline network having a length of 26 km (for Kriva Palanka, Kratovo, Kumanovo and Skopje) and a city network with a length of 31.5 km (for Kriva Palanka, Kratovo, Kumanovo and Skopje). The total capacity of the natural gas transmission system amounts to 800 million m 3/year. Taking into account the fact that there are no developed distributional networks for use of natural gas by households and small and medium enterprises, a small number of consumers, exclusively industrial consumers (tariff consumers) are connected 48 to the natural gas transmission system, which results in use of the natural gas transmission system capacity of approximately 9% to 15%. City gas network Length (km) Kratovo 5.902 Kumanovo 5.026 Gas pipeline system facilities Facility Length (km) Pipe diameter (mm) Main transmission gas pipeline 98.197 530 Transmission gas pipeline to Kriva Palanka 1.521 108 Transmission gas pipeline to Ginovci 1.692 108 Transmission gas pipeline to Kratovo 4.592 108 Transmission gas pipeline to Kumanovo 6.972 219 Installed electricity production capacity in the Northeast Planning Region MW Republic of Macedonia Northeast region % 2011 1849 0 0% 2012 1913 0 0% 2013 1938 1 0,05% In this region there is almost no electricity production capacity installed. According to the data for the period 2011-2013, the total average annual electricity consumption in industry in the Northeast Planning Region amounted to 36 GWh, that is to say, approximately 1.5% of the total consumption in industry in the Republic of Macedonia. GWh Republic of Macedonia Northeast region % 2011 2194 38 1,73% 49 2012 2693 39 1,45% 2013 2369 36 1,52% Potential has been identified in the region for the use of renewable energy sources. Solar energy can be exploited across the geographic width of the region throughout most of the year. According to the findings up to now, the region features modest wind energy potential. The mountain areas of Kozjak, Bilino and Osogovo Mountains have higher potential (with a mid-flame wind speed of over 4-6 m/s). Flat terrains are marked by a mid-flame wind speed of 2-3 m/s. The well-known hydrothermal resources in the Northeast Planning Region are marked by relatively low temperature and energy potential. Certain research has indicated the existence of geothermal waters that would be suitable for energy generation. With a view to intensifying and promoting the use of geo-thermal energy in the region, it is necessary to undertake the following activities: Search for new hydrothermal resources according to indications of mineral and thermal water springs; Develop litho heat exploitation systems from the surface layer up to 200250 m depth; Search for resources with high geothermal potential in the subsurface layer up to depth of over 2.0 km. Environment Environment protection is an exceptionally important segment of regional development policy. The environment quality situation in the Northeast Planning Region is similar to the one in the other regions of the Republic of Macedonia. 50 Solid waste Solid waste management in the Northeast Planning Region is brought down to its collection, transport and depositing. Municipal public enterprises are responsible for solid waste management. Quantities of collected and generated waste Quantity of generated waste (tonnes) Quantity of collected waste 2011 2012 2013 2011 2012 2013 2011 2012 2013 735 250 786.909 793.000 543 954 550.760 555.250 73,98 69,99 70,02 Northeast region 57182 72365 84214 47058 53.495 61222 82,30 73,92 72,70 % 11,05% 10,53% 9,14% 12,79% 12,80% 11,18% +8,32 +3,93 +2,68 Republic of Macedonia % of collected waste There are 4 landfills in this region which, in line with the National Waste Management Plan, and according to the environmental pollution risk have been classified as follows: high-risk landfill “Konopnica” in the Municipality of Kriva Palanka, medium-risk landfill “Krasta” in the Municipality of Kumanovo, and lowrisk landfills site “Zheleznica” in the Municipality of Kratovo and site “Bel Kamen” in the Municipality of Lipkovo. On the territory of the Northeast Planning Region, there are many so called illegal dump sites, especially in the rural part which is not encompassed by the service of collecting and depositing garbage. Landfills Landfill sites In accordance with the National Waste Management Strategy, problems in solid waste management can be overcome by introducing regional integrated solid waste management, in line with EU directives. It is planned for the Northeast 51 region to establish integrated municipal waste management by using EU funds through the IPA Programme. Kumanovo Kratovo Rankovce Lipkovo Staro Nagorichane Kriva Palanka TOTAL Monday Tuesday Wednesday Thursday Friday Saturday Sunday TOTAL 27.06 0.00 0.00 0.00 0.00 Daily average 69.14 7.31 2.27 7.65 0.91 84.38 8.19 0.00 8.75 2.76 98.80 8.40 0.00 5.96 0.00 111.16 9.46 0.00 12.43 0.00 79.62 8.46 9.14 8.97 0.00 53.90 8.38 6.77 14.15 0.00 29.06 8.29 0.00 3.26 3.60 15.40 15.40 15.40 15.40 15.40 1.05 0.00 11.15 78.5 119.48 128.56 148.45 121.59 98.6 45.26 27.07 98.43 689.00 483.98 51.18 15.91 53.52 6.36 Measured waste quantities Recycling, that is, selection of recyclable fractions of the municipal solid waste is performed to a very small part of the waste, by selecting waste in waste containers set in several municipalities. The informal sector collects waste plastics and metal directly from waste collection containers. There is organised waste collection in place only in terms of packaging waste. A Regional Waste Management Plan has been developed and a regional solid waste management enterprise has been established. Other types of waste, such as waste rubber, batteries and accumulators, waste fats and oils, used vehicles and waste of electrical and electronic equipment are not selected and end up in municipal waste landfills. 52 Water The territory of the Northeast region covers the drainage sub-basins of Pchinja River and Kriva River and most of it is covered by Vardar River drainage basin and a very small part by the international drainage basin of South Morava. Vardar River drainage basin Drainage basin of Morava (Danube) Drainage basins in the Northeast region In its hydrographical structure, the region features various types of water springs and two artificial storage lakes (Lipkovsko Lake and Glazhnja). The water potential is due to the relatively high above sea level altitude that a part of the region is situated at, as well as the geological soil composition. The region is abundant in numerous rivers and small drainage basins belonging to Kriva River and Durachka River. On the territory of the Municipality of Kriva Palanka, two water storages have been built: Bazjachko Brdo with a capacity of 14.100 m3 of water and the water storage Vlashki Kolibi on the site Kalin Kamen with a capacity of 6.200 m3 of water at an above sea level altitude of 1.590 m. One of the main symbols in this region’s area are the quite attractive artificial water storage lakes – Lipkovsko Lake and Glazhnja – in the Municipality of Lipkovo. The former was accumulated on Lipkovska River, in the immediate vicinity of village Lipkovo. It was built in 1958, covering an area of 0,40 km2, 53 whereby 2.250.000 m3 water is stored in the lake; located upstream is the larger Glazhnja Lake (built in 1973), which is situated on the north-eastern slopes of Skopska Crna Gora Mountain and accumulates approximately 22.000.000 m3 water. Zletovska River, on the other hand, is a typical example of an open and highly positioned mountain water entity, characterised by cold and swift waters in the upper flow, flowing in the mountain area and having a sound water potential with a medium annual flow of 1,98 m3/s. By help of the newly constructed multipurpose hydro system Zletovica, water will be provided for over 200.000 inhabitants, above all for the needs of the municipalities in the Northeast Planning Region. Two water storages have been built on the territory of the Municipality of Kriva Palanka: Bazhjachko Brdo, with a capacity of 14.100 m3 water and the water storage Vlashki Kolibi in the site Kalin Kamen, with a capacity of 6200 m3 water, at above sea level altitude of 1590 m. When it comes to the water potential in the region, there is a possibility for construction of storages or dams on several locations: dam on Staneshka River for water supply and other needs, dam on Moshtenichka River (site Prosechnik), dam on Upranichka River, dam on Dubrovnichka River, dam on Matejchanska River, dam on Otljanska River, dam on Slupchanska River and dam on Lojanska River. Water economy areas Springs Water supply systems– present condition Water supply systems – 2020 Sewage systems – present condition Sewage systems – 2020 Regional water economy systems Treska Treska – after 2020 Gjavato Water storages Water storages – 2020 Water storages after 2020 Irrigated areas Irrigated areas – 2020 Irrigated areas after 2020 Water economy infrastructure (Spatial Plan of the Republic of Macedonia) 54 Water supply Water supply and drainage of municipal wastewater in all the municipalities is performed through enterprises established for those purposes. In 5 municipalities, these services are provided by municipal public enterprises (MPE) which have been established by municipalities and are owned by them, whereas only in the Municipality of Kratovo the provision of services has been entrusted upon a private company by means of concession. In the Municipality of Lipkovo, the enterprise exists only formally and legally (with only one employee) and is not involved at all in the provision of services, and services on the level of the Municipality of Lipkovo in general are on a much lower level than in other municipalities in the region. Some of the populated areas face shortage in drinking water, including the Municipality of Kumanovo as the largest urban area, but at the same time the largest municipality in RM. The connection of population to central water supply systems is present only in urban centres. In rural areas, the water supply issue in each populated area is resolved individually, partially and gradually. Water supply and drainage of wastewater Number of populated areas Population Apartments % Population % Apartments % Populated areas Water supply and sewage 21 119910 37519 69,4 63,1 10,9 Only water supply 59 35382 13261 20,5 22,3 30,6 Only sewage 1 1996 476 1,1 0,8 0,5 Without water supply and sewage 90 14120 6751 8,2 11,3 46,6 No data 22 1379 1481 0,8 2,5 11,4 Total 193 172787 59488 100 100 100 55 No water supply and sewage No data Only sewage Water supply and sewage Only water supply 22% Supply of apartments with water supply and sewage Shortage in drinking water occurring in certain periods of the year, in almost every municipality of this region, can be alleviated, and in some municipalities it can be even fully eliminated by repairing and reconstructing existing networks, thereby also reducing technical water loss in distribution networks. The construction of new containers is indispensable, as is the connection of rural settlements to water supply systems. Water supply, use and protection against pollution in industry and mining Republic of Macedonia Northeast region % (in thousands of m3) 2010 2011 2012 2010 2011 2012 2010 2011 2012 Water supply 6.368.589 5.869.979 5.006.246 1.890 3.098 1.313 0,03% 0,05% 0,03% Water used for technological purposes 6.251.678 4.953.364 4.923.165 1.766 2.650 1.160 0,03% 0,05% 0,02% Discharge of untreated water 6.224.267 5.062.710 4.808.627 1.758 3.021 890 0,03% 0,06% 0,02% 20.131 77.573 92.492 11 6 14 0,05% 0,01% 0,02% 1.435.562 820.679 1.045.121 867 3.091 277 0,06% 0,38% 0,03% Discharge of treated water Discharge of wastewater in industry and mining 56 Wastewater The collection and urban network is predominantly located in municipalities’ urban centres. When it comes to population sewage network coverage in urban areas, it is in the range between 80% and 100%, whereas in rural areas it is in the range from 0% (septic tanks) to 100%. Some of the rural populated areas do not have wastewater systems or appropriate wastewater septic tanks at their disposal. In general, the state of wastewater drainage systems is relatively poor, except for Kumanovo, since these systems are characterised by discharging a part of the wastewater during transport, which increases the risk of pollution of soil and groundwater. In the Municipality of Lipkovo, wastewater drainage is on a critical level. According to the percentage of population coverage with wastewater treatment plants of 60%, the Northeast Planning Region is far beyond the national average (12.7% on the level of the Republic of Macedonia). In the region, there is only one wastewater treatment plant located in Kumanovo and has a capacity of 100.000 ERU. The remaining five municipalities do not treat wastewater at all and it is discharged untreated into the recipients, which negatively affects the environment in the region. With a view to improving the situation in terms of water supply and sewage, it is necessary to achieve: increase in the investments necessary for extension of sewage networks in urban areas, completion of collection systems and construction of new sewage networks in larger rural areas, construction of storm water drainage networks in urban areas, construction of municipal wastewater treatment plants in the towns Kriva Palanka and Kratovo. 57 Water quality Springs are an important water resource for water supply and a source of highquality drinking water. The Municipality of Kumanovo has a large number of registered springs, a total of 311, but the total amount of water is small, since most of them have a capacity of 1 l/s, whereas wealthier springs (over 10 l/s) are rare. In the Municipality of Kriva Palanka, there are 100 springs registered, 55 of which have a capacity of 1 l/s, 18 have a capacity of 1-3 l/s and the rest over 3 l/s. In the Municipality of Kratovo, there are 74 springs registered, 32 of which have a capacity of 0,1 l/s, 29 have a capacity of 0,1-1 l/s, and 13 have a capacity of 1-2 l/s. Most of the springs are located in mountain terrains, under the high summits and sides of valleys. Mountain springs are mildly mineral, cold and of excellent quality. Some of them are used for bottling purposes. Apart from these, on various sites there have been registered thermo mineral springs, especially near the village Proevce – Kumanovo, the village Strnovac – Staro Nagorichane and near the village Topolovik – Kratovo vicinity. Categorisation of river flows in the Northeast Planning Region according to water quality River Toranica Kiselichka River Kratovska River Konjarska River Slupchanska River Category III III III III II 58 Irrigation The current condition of almost all hydro-ameliorative systems in the Republic of Macedonia features weak technical condition of their facilities, stations and equipment, high losses of water, low efficiency of use, insufficient capacity for changes of the flow through channels, no regulation of flow in transmission structures (channels and pipelines), etc. The situation is similar in the systems located in the Northeast Planning Region. According to the Ministry of Environment and Physical Planning, the reasons for having such a poor condition of the systems are as follows: insufficient maintenance of channels, poor quality of the original construction, incomplete construction according to the design, inappropriate solutions and design, insufficient and low quality of the hydro mechanical equipment, large number of water consumers, small size of plots, poor financial condition of water management organisations and emigration from rural areas. There is only one irrigation system in the region: 1. Pchinja area – rivers Lipkovska, Pchinja River and Kriva River, covers an area of 8.002 ha and has a quantity of water of 52.277.000 m3. Situation of protection against floods and other features of channels in the Northeast region: Settlements exposed to floods: Kumanovo and settlements that are less exposed Kriva Palanka and settlements on Slavichko Pole plain; Rivers degraded due to excavation of gravel in the settlements Gorno Konjare and Dolno Konjare; Banks naturally encroached with vegetation and Settlements that are also exposed to floods: Proevci, Dobroshane, Klechovce and Dovezenche. 59 Soil The impairment of soil quality in the region is a result of: Open mines and depositing of ore residues across a large space; Inappropriate processing in agricultural areas, cultivating crops with intensive artificial fertilisers and pesticides; Increased and uncontrolled use of pesticides; Destruction of soil layers, erosion, deforestation and excessive grazing; Changes in the physical and chemical structure of soil under the influence of existing industrial facilities, as well as depositing of sediments from polluted air; Use of polluted water for irrigation purposes; Inappropriate waste and wastewater management, etc. Airports Watercourses Bodies of water Land mainly covered by agricultural crops, with significant areas with natural vegetation Annual crops linked to permanent crops Bare rocks Landfills Green urban areas Permanently irrigated land Industrial and commercial units Internal swamps Vineyards Mixed forests Complex of cultivated areas Swamps and grasslands Mines Discontinued urban areas Rarely vegetating areas Non-irrigated arable land Forest trees and nuts plantations Rice fields Pastures Roads and railway network and associated land Beaches, dunes, sands Continued urban areas Natural grasslands Sclerophyll vegetation Sports and recreation facilities Transiting forests/ bushes Coniferous forests Temperate deciduous forest Land use in the Northeast region 60 Industrial contamination Industrially contaminated area Industrial area Factories Industrial contamination in the Northeast region In тхе Northeast region, one industrially contaminated site – hotbed – has been identified: 1. Lojane chromium/ antimony mine – Municipality of Lipkovo, with a total of 1.000.000 m3 deposited waste and stretching across 95.000 m2. Erosion In the Republic of Macedonia, the greatest quantity of eroded sediments is present in the Pchinja River water economy area. On annual basis, the total quantity of eroded sediments amounts to 2.285.278 (m3/year), whereas the quantity of intercepted sediments amounts to 845.553 37,0 (m3/year). The percentage of intercepted sediments is 37%. Active landslide Unstable slope Rockslide Torrential stream Forests under threat of fire Zones potential of: Liquefaction Slides Landslides Falling rocks Zones of inverse fogs Areas under threat of floods Zones with rains up to 700 mm Erosion and natural hazards - Spatial plan of the Republic of Macedonia 61 The erosion intensity of the water economy area in the Northeast Planning Region is as follows: Area Area category I-III (km2) Area category IV-V (км2) General category and coefficient Pchinja 1.410,08 (59,45 %) 962,99 (40,55 %) III z=0,58 Air Air quality in the Northeast Planning Region is monitored by a static monitoring station and a device taking a large sample, located in the town hospital of Kumanovo, as part of the National Air Quality Monitoring Network organised by the Ministry of Environment and Physical Planning (MEPP). The static monitoring station in Kumanovo monitors the environmental and meteorological parameters: carbon monoxide CO (mg/m3), sulphur dioxide SO2 (μg/m3), ozone O3 (μg/m3), suspended particles sized to particles of 10 microns (μg/m3), wind speed and direction, temperature, humidity and other parameters. Air quality in the Northeast Planning Region is relatively good with the exception of certain urban areas, where during the winter season there is a certain increase in the concentration of pollutants, and this predominantly applies to PM particles and a low exceeding of О3 concentration. The table below gives an overview of air quality data: Highest average mid-day concentration of PM10 (μg/m3) Average annual concentration of NO2 (μg/m3) Border-value 2009 2010 2011 50 μg/ m3 which should not be exceeded for more than 35 days in one calendar year 144 104 88 40 μg/m3 medium annual border-value 17,95 13 15 120 μg/m3 142 125 126 125 μg/m3 61 72 74 th 26 highest maximum eighthour medium concentration of О3 (μg/m3) th 4 highest average mid-day concentration of SO2 (μg/m3) 62 The main source of pollution in Kumanovo is industry, which emits gases, steam, smoke, fog, dust and aerosols in the ecosystem. Air pollution happens most often as a result of processing of sulphide concentrates of coloured metals, as well as burning of coke and other fuels in industry and households. Based on the available data on defining air quality in the region in terms of waste incineration installation, it may be concluded that the main sources of air pollution at the moment in the region are stationary sources (industrial capacities and SMEs pursuing production activities), mobile sources (vehicles using fuels) and emissions in the air from households in settlements where firewood is used for heating. Nature Nature in the Northeast Planning Region is characterised by protected natural areas and ecological corridors of the national ecological network to connect protected areas and ecologically important areas (including the future NATURA 2000 sites as well). There have been several sites defined as representative areas, such as for instance Kumanovo Kozjak, which has been proposed as a Nature Park, and apart from the rocky outcrops significant for nesting of several species of birds of prey, the area presents a northernmost area of distribution of some Mediterranean species (Greek tortoise, Eurasian blackcap, Western rock nuthatch, etc.). In the remaining oak and beech forests in the northern slopes, there are also other important species of birds present (semi-collared flycatcher, Ficedula semitorquata). The site Kokino, apart from its enormous cultural significance, also has an immense geo-morphological value. It is a geological occurrence, outflow (excretion) of pyroxene andesites and andesites aged 32-33 million years. Petroshnica River has a considerable ornithological and botanical value. The area is especially important in the context of nesting of several species of birds of 63 prey and is the core area of the significant ornithological site Pchinja – Petroshnica – Kriva River. The site Kuklica, as a natural monument, presents a rare geo-morphological shape. Northeast Planning Region – representative network Map Representative protected areas Areas proposed for protection in line with SP Newly identified areas for protection Bislimska Gorge is a short gorge with expressed sub-Mediterranean influence, rich in underground and surface rocky shapes. In the caves, there are significant colonies of bats and presence has been registered of troglophiles. It is of utmost importance for nesting of some Mediterranean bird species and birds of prey: Egyptian vulture, peregrine falcon, golden eagle, long-legged buzzard, black stork, etc. There is hasmophite vegetation developing on rocks and this site has an abundance of biological and geo-morphological diversity. Kiselica River gorge is of great zoological significance, even though this small gorge has been still insufficiently researched in terms of its natural values. It is significant due to the presence of otter, but presence is also possible of some additional important species of vertebrates. In addition, on the territory of the Northeast Planning Region, Osogovo Mountains spread out partially, and these are mountains of significant biological value. A large number of internationally and nationally important species of flora and fauna have been identified, a significant part of which are endangered, endemic or rare species. Furthermore, Osogovo has been identified as: Important Plant 64 Area (IPA), Important Bird Area (IBA), Important Wildlife Movement Corridor within the Pan-European Ecological Network in South East Europe (PEEN SEE) and Emerald area. There are 18 habitats registered according to the EUNIS habitat classification system, five of which are important in view of preservation according to the Habitat Directive. There are 1007 species and sub-species of plants registered, 18 of which are registered only in Osogovo, among which: Viola biflora, Anemone narcissiflora, Myriophyllum verticillatum, Pulsatilla montana ssp. Slaviankae, etc. The summit Carev Vrv is the only site for Genista fukarekiana (endemic plant, found only on Osogovo Mountains), Hypericum maculatum ssp. Мaculatum and Viola biflora. There are 258 species of macromycetes registered on Osogovo. Presence of 24 mammals has been determined. 133 species of birds have been registered, 36 of them important species. Especially important is the ornithological site “Ratkova skala”. There are 10 species of amphibian identified, as well as 21 species of reptiles. 11 species of fish are known, eight of which have been included in the IUCN Red List. 16 Balkan endemites of the group of snails have been identified on Osogovo, a total of 243 types of spiders (14 endemic), 37 types of grasshoppers (5 Balkan endemites), 15 types of dragonflies, 99 types of butterflies (Erebia aethiops and Minois dryas are found only on Osogovo), and 203 types of ground beetles – Carabidae. Osogovo is characterised by interaction among people and nature, and the biological diversity and human heritage, preserved within natural landscapes, has contributed to the development of characteristic lands. 65 Northeast Planning Region – newly proposed areas On the territory of the Northeast Planning Region, other important natural values are also distributed, which are defined as sites: Vaksince – botanical values Mramor – geo-morphological value Planning the development of the Northeast Planning Region Vision The vision of the Northeast region is a clear concept of the desired and realistically achievable progress in the region. The vision is defined on the basis of the results of the analysis of current situation, especially of development trends in various segments of the region, as well as development opportunities or, more precisely, financial possibilities for programme implementation. The Northeast Planning Region is a socio-economically developed region, which has a more dynamic pace of development, with a higher economic growth rate, more developed infrastructure, clean environment and a higher quality of life. 66 Mid-term goal 1 Enhanced utilisation of competitive advantages, small business development and forms of organised attraction of investors in the region Economic growth acceleration in the region is an imperative if the region aims at gradual mitigation of development disparity measured by the economic and social index. Situation on the field should be carefully observed and improved local conditions should be provided for investors, but also a team should be set up which will systematically deal with promotion and utilisation of the investment potential. This mid-term goal is directed towards identifying competitive advantages of the region and their adequate promotion. However, active support to regional development also means organised support to small businesses; there is a considerable potential among emigrants and temporarily employed people abroad. The achievement of this mid-term goal will be monitored by the following indicators: Base year Indicator 2019 Share of the region in national GDP 5.5% 8.5% Rate of GDP per capita with regard to the average 67.7% 80% Share of the region in the newly created value of the country 5.76% 8.7% Volume of gross fixed capital formation 2.3% 6.0% Share of industry in the total gross fixed capital formation 11% 25% Indicator The following priorities are set for the forthcoming period in the field of economy and development: Priority 1.1 Utilisation of competitive advantages and available resources for region’s promotion and attraction of investors 67 Outputs Competitive advantage activities identified Indicators Number of potential and active investors having used some of the studies Number of new investments in the region Preliminary designs for potential investments elaborated Number of potential and active investors having used some of the studies Number of new investments in the region The region and its potentials, symbols and advantages presented to the target audience Region’s profile in the business community raised in the country and abroad Number of new investments Recognisable products from the region mapped Number of products and concepts for which the region is widely known Number of events Human capacities strengthened in terms of attracting investments in the region Participants involved Number of new potential meetings Number and value of new investments Under the priority of utilisation of competitive advantages and available resources for region’s promotion and attraction of investors, the following measures have been identified: Measure 1.1.1 Studies of competitive advantage activities, preliminary studies on utilising the identified competitive advantages of the region In order to utilise competitive advantages, it is necessary for them to be first of all identified and appropriately mapped. Namely, it is known that the region has ore deposits of copper, lead, chromium, arsenic, antimony, zinc, bentonite clay, quartzite and opalite. Ore explorations performed in the region have shown that apart from lead and zinc, there are also precious metals, gold and silver. Near Kratovo there are approximately 5 million tonnes of quartzite and toph, but there is also granite and other non-metals. There is uranium near Lukovo, and arsenic, antimony and chromium on the territory of Lipkovo. In the proximity of Matejche and Nikushtak, there are sites of marble and granite. If there is a will to put these natural and economic potentials of the region into service of economic development, they should be systematically explored and mapped, and the same 68 applies to natural potentials and cultural and historical heritage, which can also be a source of comparative advantage of the region. Indicative activities Mapping mineral sites Mapping products for which the region is widely known Mapping sites for which the region is widely known and they can serve as a source of comparative advantage Conducting studies on investment potentials in the region Measure 1.1.2 Organised presentation of the region and its potentials Successful mapping is a precondition for the implementation of this measure and for utilisation of its capacity. The presentation should assist in making the region known on a broader scale, in informing about its advantages in the sense of being the crossroad of the two biggest regional European corridors, as well as about the investment potentials of the region all for the benefit of utilising these competitive advantages. Nevertheless, in order for the presentation to be successful, it needs to be conducted according to a previously designed scenario and it needs to be professionally elaborated. Indicative activities Development of professional materials (printed, video, Internet) Dissemination of materials to embassies and to economic promoters Visiting and appearing on respective regional investment forums and conferences, etc. Production of TV broadcasts Development of Internet portals and sites Development of brochures in several languages and their dissemination to target addresses 69 Measure 1.1.3 Recognisability of the region, its specific features, symbols and advantages Should the campaign for raising the region’s profile be successful and last long enough, in time the region will become recognisable for its leading resources, products and business locations. However, in order to achieve this, the indicative activities will involve: Indicative activities Identification of region’s specific products, concepts, traditions and business locations Nurturing the recognisability in media in an organised way Controlling the quality of those very same products and locations in order not to disrupt the hardly obtained recognisability Production of TV broadcasts for their promotion Development of Internet portals and sites Development of brochures in several languages and their dissemination to target addresses Measure 1.1.4 Human capacity building of all stakeholders in the process of attracting investments in the region With a view to meeting the first priority, it is of critical importance to have skilled staff on time, ready to handle the task of raising the level of recognisability of the region and attracting investments therein. In that sense, the following indicative activities have been identified: Indicative activities Cooperation with more developed regions in joint trainings Study visits and exchange of staff Scholarships for Master’s and PhD studies in regional development Volunteers from EBRD, USAID, EU, experienced in regional development and clusters 70 Priority 1.2 Development of entrepreneurship and small businesses in the region Outputs Indicators Entrepreneurship and small businesses are Number of new small business enterprises successfully promoted in the region Increase in employment Number of established regional and local cluster associations, small business Number of new regional clusters, business associations, chambers, chambers of commerce and counselling links to similar ones in the world services Having the Diaspora regularly animated and Events aimed at animating emigrated workers invited to invest in the homeland Increase in investments by emigrated workers in their homeland This priority will be met by means of the following measures and indicative activities: Measure 1.2.1 Promotion of entrepreneurship and small businesses in the region Small businesses are exceptionally important for the region, since almost 99% of all economic entities therein are small enterprises. Small businesses are also a generator of new ideas and innovation, and they are the post of first employment for many graduated students. However, small businesses are also very sensitive to surrounding influences, so practically all countries and regions, including the most developed ones, regularly implement programmes for promotion of small business advantages. The following indicative activities have been identified for the implementation of this measure: 71 Indicative activities Cooperation with the Agency for Promotion of Entrepreneurship of the Republic of Macedonia and with other players for small business promotion on national level Support to the Government’s active labour market measures for promotion of small business employment Support to training centres in terms of potential and active small business entrepreneurs Measure 1.2.2 Support to the establishment of clusters, chambers of commerce and other similar small business associations For the purpose of achieving its role of a driving force of development, small businesses and entrepreneurship need to associate in various formal and informal associations, clusters or clubs with a business mission. Success of small businesses today is impossible without cooperation and associating, thereby having maintained business independence of enterprises and their owners. This measure involves the following indicative activities: Indicative activities Support to small businesses by assisting the establishment and operation of various business associations and small business chambers, and local and regional clusters Support to networking of regional clusters and associations with other similar ones in the country and abroad. Measure 1.2.3 Involvement of the Diaspora in stimulating regional economic development The Diaspora has an immense investment capacity. It also knows the region and it is much easier when foreign investors are animated by its help. They prefer to associate with a partner from the region by descent, than to enter alone. In that sense, the region will adopt activities specifically intended for the economic 72 emigration entities when they are present in their homeland, for the purpose of annual leave, holidays, etc. Indicative activities Activities to promote the region as an investment location among our emigrants Assistance in the development of their business plans and feasibility studies Drawing up concrete business proposals, independent or by PPP for utilisation of the region’s competitive advantages Priority 1.3 Retaining young labour force and expert staff in the region Outputs Indicators Stopping or slowing down youth migration from the region Reduced migration index, especially among youth Business – science cooperation, by which young people New employments in sophisticated and highly would be stimulated to remain in the region profitable work posts and businesses With the purpose of retaining the young, highly qualified labour force in the region, it is necessary to ensure more than just a mere employment. Youth require employment in dynamic industries, where they will gain more and have possibilities for career development. In order to meet this priority, the following measures have been identified: Measure 1.3.1 Stopping youth migration It is practically impossible to stop migration completely, neither would that be rational. Still, slowing it down to a larger extent is possible, and that depends on the opportunities offered in the region. Nevertheless, youth do not want employment in traditional industries, where they see no personal prospects. 73 Youth require modern enterprises, based on innovation and patents, and they want to develop themselves together with those enterprises. Indicative activities Activities on retaining skilled young labour force, or seriously slowing down the pace of brain drain from the region Promotion of employment benefits of the region by offering facilities for youth businesses in industrial parks, incubators, free-of-charge locations, business premises, etc. Measure 1.3.2 Business – science cooperation, by which skilled young people would be stimulated to remain in the region At this moment, the region does not have a single scientific research institution, and without such institutions it is very difficult to have an agile and sophisticated business sector, as desired by skilled young people. Under such conditions, it is understandable that many of them decide to leave the region, to Skopje in the first line, but some even further. If they had the offer of sufficiently attractive jobs in the region, as well as possibilities to start up their own business, it is realistic that many of them would decide to stay. Indicative activities Founding various development centres in enterprises having the required potential Cooperation with educational institutions and offering various benefits if they locate their research centres in the region Advantages for locating sophisticated and highly profitable businesses of domestic and foreign investors 74 Priority 1.4 Transport infrastructure and information society Outputs Indicators Length of “A” sections and regional roads reconstructed; Average annual daily traffic Length of local roads reconstructed; Number of passengers in road transport; Number of railway stations reconstructed; Number of passengers carried in rail transport; Length of reconstructed and built local roads; A total of goods carried in rail transport; Length of railway and railway stations reconstructed Gas consumption; Length of gas pipeline network constructed Number of gas consumers; Regional spatial plan elaborated Number of activities implemented from the regional spatial plan GIS established on the level of the region Number of GIS layers; E-services introduced Number of applications filed via e-services Trainings in improving e-skills Number of users of adapted applications Internet access established Internet access coverage of populated areas Number of applications adapted for use by persons with special needs In order to meet this priority, the following measures have been identified: Measure 1.4.1 Improvement of the road infrastructure The Northeast region is characterised by a road network which is far below the desired level. Even though the two European corridors VIII and X pass through the region, still the road network quality is perhaps on the lowest level compared to the other regions. The main state A - route leading from Kumanovo to the Bulgarian border is in a poor condition, just as most of the regional routes are. The present level of development and quality of the road infrastructure limits the possibilities for a more intensive economic development of the region. Road transport of goods and passengers is the only means of transport used in the region. Only a small share of the region is served by the railway (Kumanovo and Lipkovo). As a consequence, it is foremost necessary to modernise existing 75 roads of various categories, but also to invest in further development of the road infrastructure. Under the measure, the following activities will be implemented: Modernisation of “A” motorways and construction of new sections Modernisation of the existing and construction of new regional roads Modernisation of the existing and construction of new local roads Indicative activities Modernisation of the existing network of “A” motorways and construction of new sections Reconstruction of „А1“ section: Kumanovo – Miladinovci Construction of „А2“ section: Rankovci – Kriva Palanka Construction of new regional roads R 1210 Toranica - Sasa (Kriva Palanka – Makedonska Kamenica) R 29217 Konjuh – Beljakovce (Northeast region) R 29272 Opae - Stanchikj – border with Kosovo Modernisation of the existing and construction of new local roads Measure 1.4.2 Reconstruction of the railway infrastructure The railway line of Corridor 10 passes through the region in the area of the municipalities Lipkovo and Kumanovo. As a result of the lack of investments in the railway for years now and of the low quality of services, data on passengers and goods carried show an immense decrease in transportation. With a view to overcoming the present situation, it is essential that a reconstruction of the railway infrastructure is done: Reconstruction of the existing infrastructure Increase in the safety of level crossings - railway lines crossing roads 76 Indicative activities Reconstruction of sections of Corridor 10 Reconstruction of the railway station in Kumanovo Vertical signalisation and signalitics on level crossings Start of the construction of the rail track Beljakovce – Bulgarian border Measure 1.4.3 Gasification The gas pipeline system stretches across the Northeast region, more precisely in the areas of Kriva Palanka, Kratovo and Kumanovo. Today’s use of gas is on a very low level, above all as a result of the incomplete distribution network in the towns of Kumanovo, Kriva Palanka and Kratovo. From the perspective of regional development, capacity building for improved utilisation of the gas pipeline system may contribute to stimulation of regional development. Natural gas, as one the most cost-effective fuels, increases competitiveness of industry and of the economy as a whole, but it also enables low-cost and environmentally friendly household heating. The finalisation of the distribution network construction in the aforementioned towns is a development imperative for the Northeast Planning Region. Indicative activities Preparation of feasibility studies Preparation of technical documentation Construction of a secondary network Measure 1.4.4 Urban plans for populated areas and outside of populated areas, and spatial planning Regional spatial planning is a basis for the spatial development of a region. It defines the spatial distribution of the various types of human activity and it contributes to having harmonised spatial development and defining the main elements of how to achieve an optimum distribution of population in the region. 77 At the same time, it is indispensable to update the current and to develop new general and detailed urban documentation. A large part of rural populated areas is not covered by the spatial planning documentation, which is one of the main obstacles in developing these areas. Indicative activities Development of a regional spatial plan; Update and development of General Urban Plans (GUP); Update and development of Detailed Urban Plans (DUP); Preparation of planning documentation for rural populated areas; Measure 1.4.5 Information society Information and communications technologies are used in everyday work and life. Modern way of working and functioning means using this technology in all fields of the economy, by which competitiveness of enterprises is increased. Ensuring access to these technologies for all citizens regardless of their level of education, their age, place of residence, whether these are persons with special needs or persons from marginalised groups, etc. is a precondition for sustainable development of the region as a whole. E-governance, by introducing e-services by local self-governments is a process requiring relatively high financial resources and skilled staff. E-governance, according to the European Council, encompasses the use of IT in the following three areas of public operation: relations between public institutions and the civil sector, functioning of public institutions in all stages of the democratic process of a country and offer of public services. At the same time, the electronic operation of the public sector is also a part of modern-day functioning of one public institution. This measure will be implemented by: Enhancing e-accessibility and digital literacy Introduction of e-services and development of e-governance 78 Indicative activities Installing Internet hotspots in rural populated areas; Opening free-of-charge Internet clubs in rural populated areas; Procurement and distribution of assistive appliances for persons with disabilities; Provision of broadband Internet in rural areas; Support to projects enhancing e-accessibility; Implementation of trainings in basic IT skills for marginalised persons, persons with special needs, elderly people, unemployed people, etc. Development of educational and promotional materials and holding educational seminars and workshops; Software procurement; Improvement of infrastructure; Public administration trainings; Projects on introduction of e-services on regional level (PPP, cloud-computing service providers) and promotion of e-services Development of web portals where citizens will be able to participate in decision making on local level; E-government training and projects on development of e-governance; Introduction of IT operations of local self-governments; Priority 1.5 Areas with special development needs Outputs Indicators Length of constructed water supply systems in populated areas with special development needs Number of inhabitants in areas with special development needs Length of constructed local roads towards populated areas with special development needs Number of populated areas with special development needs that have a sewage system Number of populated areas with special development needs that have a water supply system The following key measures have been identified in order to meet this priority: Measure 1.5.1 Provision of traffic connection between areas with special development needs and municipal centres, and construction of a basic municipal infrastructure 79 Access infrastructure, that is to say, road infrastructure in areas categorised as areas with special development needs is in principle inadequate for securing safe and modern conditions of traffic regulation. Apart from the lack of adequate road infrastructure, most of these areas are also in shortage of basic municipal infrastructure, thus these areas today do not have clean drinking water and adequate municipal wastewater collection and drainage systems. The lack of infrastructure is one of the main reasons for low quality of life and inappropriate working conditions in these populated areas. By implementing this measure, it will be contributed towards fighting the causes of developmental difficulties in these areas falling behind in terms of their development. Measure 1.5.2 Creating conditions for new investments Apart from the infrastructural problems that these areas face, their shortage of vacant posts and low level of social development also contribute to the present situation of areas with special development needs. Improvement of living and working conditions, i.e. creating conditions for boosting investments in these areas will contribute towards reducing the causes of emigration and dying out of populated areas in these areas. Apart from the measures for stimulating growth in these areas noted down under this priority, all populated areas defined as areas with special development needs will also be encompassed by the remaining measures for stimulating regional development, which relate to planning regions as units of development. The measure will be implemented by: Planning documentation for areas with special development needs; Stimulating cross-border cooperation of border areas for economic, cultural, social and other purposes; Revitalisation of these areas. 80 Mid-term goal 2 Improvement of the quality of educational, labour, social and health care conditions in the region With the purpose of raising the quality of life in the region, apart from increase in investments, it is also necessary to appropriately raise the standard of social affairs. In order to achieve this purpose, in parallel to the increase in investments, it is essential to accordingly invest in the development of social, educational and health care facilities in the region. Solid child care protection must be ensured, as well as solid and standardised education on all levels, care for the elderly and for those in need of professional expert assistance. Indicator Unemployment rate Children in kindergartens Families – recipients of child care allowance Households – recipients of social financial assistance Base year Indicator 2019 44,9% 38% 69% of the average 80% of the average 118% of the average 100% of the average 3,46% (164% of the average) 2.5% (120% of the average) Recipients of social financial assistance per 1000 inhabitants 103,6% of the average 90% of the average 1 1.5 Primary schools 123 123 Secondary schools 12 12 High schools 1 1 Students 18.000 18.000 Persons with health insurance 135.000 135.000 Kindergartens / 10.000 inhabitants Priorities set in order to reach this mid-term goal: 81 Priority 2.1 Building labour force profiles in line with the needs of economy Outputs Indicators Studies on the needs for training of certain vocational Number of such studies, number of initiated changes, profiles in line with the labour market number of students involved Establishment of an inter-municipal centre for informal Centre established, informal education activities, education participants involved Projects on promotion of technical vocations in education Number of such projects, students involved Projects on re-qualification, further training and adult education Number of such projects, number of students involved in trainings, number of students having successfully made a change in career The following measures have been identified under this priority: Measure 2.1.1 Surveys on the need of vocational profiles and staff, and development of informal education in the region Building appropriate profiles in accordance with the labour market needs is a precondition for economic development. Therefore, the importance of informal education and of trainings in re-qualification and further qualification is immense. In developed countries, it is quite normal for people to change their profession several times throughout their working life, and this is considered a positive change. In our case, change of career is seen as something unfavourable and unwanted. Even though figures show that employment in the region has increased and that unemployment is in decline, compared to the national average these indicators are insufficient for the assessment of the situation on the labour force market in the planning region to be fully positive. 82 Indicative activities Municipal and inter-municipal surveys and analysing the economy in terms of current and especially in terms of future labour needs (per vocational profile) Promotion of informal education in the region through forms of PPP and cooperation with a view to obtaining staff with expertise in accordance with the requirements of employers in the region Measure 2.1.2 Promotion of technical vocations in education As a rule, economy demands various types of technical vocations and professions which, on the other hand, are not very popular among youth. That is why it is necessary to approach this issue by popularisation of these professions and to use successful businesspeople of those professions who would serve as models among youth. Young people would get to love their technical professions as well, especially when it is explained to them that these professions are much more paid than general profiles, such as high school profiles. Indicative activities Roundtables and meetings with businesspeople of technical vocations Open days in technical schools Job fairs in technical schools Youth career guidance and similar activities Measure 2.1.3 Promotion of lifelong learning and change of career In developed countries, change of career is a normal occurrence. In ours, it is considered not as a possibility for progress in life, but as a hardship. The views are similar with regard to the forms of lifelong learning. On the other hand, the state organises many activities for promotion of lifelong learning through the Employment Service Agency and the Agency for Promotion of Entrepreneurship, which also offer many activities for enhancement of employees’ skills and change 83 of career. However, in order to achieve complete success with these activities, it is necessary for regions and local units themselves to appropriately support them in their areas. Indicative activities Establishment of lifelong learning centres by help of the local self-government and the private sector Stimulation of employers to send their employees to trainings in an organised way Offering free-of-charge trainings through active programmes of the Government Promotion of change of career as a positive event in life Priority 2.2 Improvement of spatial conditions and equipment of schools Outputs Spatial conditions and equipment of schools in the region improved Indicators Number of renovated schools, value of purchased equipment Equipment utilisation in the educational process Under the priority “Improvement of spatial conditions and equipment of schools” in the region, the following measure has been identified: Measure 2.2.1 Equipment of schools with cabinets, laboratories and sports halls Even though schools and their development are under the scope of the respective ministry and local self-governments themselves, the need arises on the level of the region to harmonise and coordinate these activities and to balance the interventions with the purpose of not having a single of the regions neglected in terms of these activities. 84 Indicative activities Activities to identify the needs for improvement of conditions and equipment in line with schools’ mid-term plans Preparation of projects on equipping the schools with modern equipment, laboratories and sports halls Stimulating mayors and municipalities’ councils to take greater care of the condition of schools in their region Forming teams of trained persons for appearance before international organisations with the mission for them to financially support education development, and regularly applying on their calls Priority 2.3 Improvement of multiethnic and multicultural integration Outputs Multiethnic and multicultural integration of students and teachers in the educational process in the region improved Multiethnic tolerance and multiculturalism recognised as values of contemporary societies Indicators Multiethnic climate in education improved Students acquainted with the culture of their neighbours across the border Number of such projects in education in the region Cooperation established with educational institutions of neighbouring countries The following measures have been identified under this priority: Measure 2.3.1 Promotion of joint multiethnic activities in and out of class Improved multiethnic climate in education will also positively reflect on society. Tolerance of differences of any kind will develop and they will be seen as an advantage, not as a problem in the region. The number of joint enterprises and other activities between members of various ethnic communities will increase, 85 etc. This will play a very positive role in creating the desired socio-cultural image of the region. Indicative activities Diverse multiethnic projects and activities in lessons Joint multiethnic activities in and out of the educational process Promotion of good co-existence as a condition both for economic and social development of the region and stopping youth migration Joint activities for securing funds for such activities before domestic and foreign donors Measure 2.3.2 Promoting cross-border cooperation in the field of education Cross-border cooperation in the field of education is exceptionally important for raising the awareness and recognising multiculturalism as a value of contemporary societies. Having cooperation established with educational institutions in neighbouring countries in time will result in staff that will see the broader picture when seeking alternatives for more complex projects, and internationalism promoted in such a way will also positively affect the desired multiethnic cooperation inside the region. Indicative activities Participation of educational institutions in the region in calls for international cooperation with Bulgaria, Serbia and Kosovo Joint activities in and out of the educational process with partners from neighbouring countries Joint activities in education with partners from the neighbourhood for identifying broader Euro regions Joint teams for organised appearance before the respective EU funds for those purposes 86 Priority 2.4 Improvement of the conditions in primary and secondary health care in the region Outputs Indicators Number of renovated and equipped health care units Number of new hospital beds Spatial conditions in health care on the level of the region improved Institutions are adequately equipped with modern equipment in accordance with the needs of population Number of equipment purchased Number of newly opened field hospitals in rural and mountain areas in the region Brain drain among doctors and medical staff in search of better conditions and standards prevented or visibly reduced Number of doctors and medical staff in the region, especially in rural areas Population coverage with field hospitals The following measures have been identified under this priority: Measure 2.4.1 Improvement of infrastructural conditions in health care units Activities on determining the current state of health care in the region should start and be performed from the perspective of recipients of primary and secondary health care services. Only in this way will the needs of highest priority be identified for which the region should lobby with the respective ministry, but also local self-governments themselves should offer their participation, not only financial, but also in the form of premises and other advantages of their field. Indicative activities Activities on determining the current state of health care in the region Lobbying for the need for intervention with the respective ministry Participation of the local self-government both financially and logistically Securing funds from other sources (donations, etc.) for modernisation of health care in the region 87 Joint activities with partners from neighbouring countries in this field within the respective calls for using EU funds Measure 2.4.2 Improvement of the staff situation in health care and prevention of brain drain of medical staff from the region In spite of the generally limited spatial and financial conditions, the private initiative thrives excellently in certain parts of health care, as for instance in modern diagnostics, dental prosthetics, baths, etc. In these activities, private investors, especially emigrant workers, could decide very easily to invest money, and then there are the EU funds and the funds of international organisations. The region should organize itself systematically to gain access to these funds. Indicative activities Activities to animate young experts, especially doctors, to pursue a career in their own region Involvement of local self-governments in determining certain benefits for doctors who would decide to stay in the region, such as scholarships, locations and place to work, exemption from duties in the field of local self-government Animating private investors, especially emigrant workers, to invest in health care in areas where there is sufficient demand for paid services Joint activities with partners from neighbouring countries in this field within the respective calls for using EU funds (regional health care tourism) 88 Priority 2.5 Institutional child protection and protection of other vulnerable categories in society Outputs Indicators Children from the region are better covered with Number of new kindergartens, day-care centres and kindergartens, day-care centres and other other appropriate child care and protection facilities appropriate care facilities Number of children covered by this type of protection Professional protection of the emotional and mental Number of counselling services and day-care centres for health of youth and other vulnerable categories of protection of the emotional and mental health of youth population organised and other vulnerable categories of population Number of events and activities for promotion of Events and activities for promotion of inclusion of inclusion of people with special needs and educating the people with special needs and educating the community to accept them community to accept them Number of participants trained The following measures have been identified under the priority “Institutional child protection and protection of groups with special needs”: Measure 2.5.1 Opening kindergartens, day-care centres and other appropriate child care and protection facilities When designing the activities under this measure, the region will need to start from the changing needs of families and parents. Traditionally speaking, our families are bigger, and the need for child care in a day-care facility is not as present as in the pre-transition period. However, children taken care of at home now need flexible and inventive forms of child care which will promote socialising, multiculturalism and creativity. Such forms, on the other hand, may be organised using the private initiative and in partnership with local self-governments, and 89 these can of course serve an additional purpose of retaining skilled youth in the region. Indicative activities Screening activities on the field in terms of child protection Coordination of activities and initiatives of the region with the ones of the respective ministry Animating skilled youth for a career in this field of child protection Stimulating the opening of other types of child care and protection facilities, more corresponding to the needs of children in the region (Montessori centres, math centres, creative workshops, etc.) Involvement of local self-governments in determining special advantages for such centres Joint activities with partners from neighbouring countries in this field within the respective calls for using EU funds (regional health care tourism) Measure 2.5.2 Opening counselling services and day-care centres for youth protection and protection of other vulnerable categories of population Transition and modern times, as well as social alienation, have an impact of increasing the number of persons in society requiring expert assistance with regard to their emotional or mental condition, which is not pathological. Most appropriate for them are the counselling services, day-care centres or similar institutions offering help when such help is most needed, and in such cases people themselves still remain with their families and within their social circles. These are European and world standards and they are the best ones that could only contribute to perceiving the region as a good place to live and work in. Indicative activities Screening activities on the field Coordination of activities and initiatives of the region with the ones of the respective ministry Animating skilled youth for a career in this field Stimulating the opening of day-care centres, etc. Involvement of local self-governments in determining special advantages for such centres Joint activities with partners from neighbouring countries in this field within the respective calls for using EU funds (regional health care tourism) 90 Measure 2.5.3 Promotion of inclusion of persons with special needs and educating the community to accept them Inclusion of these people in social flows is a condition for their rehabilitation. Unfortunately, unprepared social groups and societies often see them with some kind of stigma. This is especially expressed among children, who, if not appropriately taught, can be even cruel. Involvement of the region in developing and promoting activities in this regard will help these persons, but it will also raise the perception about the overall quality of social life in the region. Indicative activities Screening activities on the field in terms of adapting the urban infrastructure for the needs of these persons Coordination of activities and initiatives of the region with the ones of the respective ministry Involvement of local self-governments in determining special advantages for the construction of such facilities (access ramps for instance) Involvement of local media in raising the awareness within the local community, especially with a view to eliminating the stigma and raising the awareness about the needs of these categories of people Joint activities with partners from neighbouring countries in this field within the respective calls for using EU funds (regional health care tourism) Mid-term goal 3 Healthy environment and proper natural resource use and management The Northeast Planning Region can boast with a relatively healthy and clean environment. The main reason for this is the fact that the region has no heavy industry, and populated areas (towns and villages) are evenly distributed across the whole territory of the region and are surrounded by forests and fields. Unlike other planning regions, the Northeast Planning Region is characterised by a lower number of natural wealth and protected areas. The region is characterised by protected natural areas and ecological corridors of the national ecological network to connect protected areas and ecologically important areas (including the future NATURA 2000 sites). 91 Natural resources in the region are in a good shape taking into account that they had not been affected by infrastructural urbanisation, the number of visitors is low and local population has preserved the authenticity of these areas. Natural resources as a potential ensure population economic development, but to a very low extent, by using natural resources, developing tourism, etc. Sustainable development is a priority for the region, which has a great potential, but the region needs to strive towards sustainable use of natural resources and their proper management. Indicators Indicator Indicator Base year 2019 Percentage of collected waste out of a total of generated waste 72,70% 88 % Percentage of treated water discharged in industry and mining 0,63% 25% Population coverage with municipal wastewater treatment plants 68 % 80 % 70.187 ha +15% Forest area Achieving the purposes of sustainable development, as well as developing all branches of economy is not possible without securing environmental protection. The strategic goal is planned to be achieved by meeting the following priorities: 92 Priority 3.1 Regional access to the waste management process Outputs Indicators Number of trainings; Functional regional public enterprise; Number of functions performed by the regional enterprise; Construction of a regional landfill (1 or 2) launched depending on the feasibility study; Number of staff trained; Implementation of regional waste management initiated; Equipment purchased; Percentage of recycled waste; Study conducted; Percentage of collected waste; Application prepared; Quantities of organic waste ending up in landfills; Technical documentation prepared; Population coverage with a waste collection system; Number of analyses and surveys; Number of re-loading stations; Number of implemented activities on introducing waste selection and recycling; Number of installed urban equipment for municipal waste separation. Number of projects implemented; The following measure has been identified in order to meet this priority: Measure 3.1.1 Establishment of regional waste management and improvement of the existing waste management system Waste management in the Northeast Planning Region is the responsibility of every municipality. In every municipality, the local public municipal enterprise performs municipal solid waste collection and depositing. In the past two years, a regional waste management plan has been developed and efforts have been made to implement the plan and to construct a regional landfill. Priority is given to strengthening the capacities of the regional public waste management enterprise. The process of introducing regional solid waste management is complex and within the programme period it will focus on: Strengthening capacities Introduction of primary waste selection and recycling Feasibility study on regional landfill/s sites Improvement of the existing waste management system 93 Raising the awareness about waste management Indicative activities Human resource education; Institutional strengthening; Procurement of equipment; Association and education of individual waste collectors; Setting up urban equipment and waste collection containers; Preparation of a feasibility study; Conducting accompanying studies (socio-economic analysis, payment opportunity study, etc.); Preparation of technical documentation for (a) regional landfill/s and inert waste landfills; Construction works contract award procedures; Activities to reduce waste generation; Activities for remediation of existing landfills; Activities for introduction of waste selection and recycling; Extension of waste collection services in rural areas; Campaign to raise the awareness about waste reduction and conscientious use of resources; Activities for separation of hazardous waste from municipal waste (batteries); Priority 3.2 – Biodiversity protection Outputs Number of projects implemented; Forested areas; Areas with autochthonous tree species; Number of projects implemented; Regional climate change plan developed - green agenda; Indicators Number of protected areas in the Northeast Planning Region; Surfaces of newly declared protected areas; Number of various game species; Number of fish species; Areas covered by forests; Number of projects prepared; Number of fish species; Number of projects implemented with other financing sources; Number of autochthonous or rare plant and animal species Protection of biological diversity means implementation of the Biodiversity Strategy of the Republic of Macedonia, implementation of the Law on Nature and declaration of protected areas, as well as development of protected area management plans. Natural resource management is a complex process requiring financial resources and institutional support from the region. The following key nature protection measures have been defined: 94 Measure 3.2.1 Valorisation, declaration of protected areas, development of management plans and institutional management plans Nature and biodiversity protection is most efficient by declaration of protected areas. These areas ensure continuous development and survival of the various animal and plant species. However, in order to reach optimum nature and biodiversity protection, it is indispensable to elaborate plans on sustainable management of protected areas, but also to strengthen the capacities for their institutional management. The implementation of the measure will create conditions for declaration of new protected areas and will improve the process of management of these protected areas. The measure will be implemented by: Valorisation Declaration of protected areas Management plans Strengthening the capacities Indicative activities Mapping and valorisation of endemic species Initiatives for declaration of new protected areas Development of protected area management plans Organisation of educational events and trainings Trainings of protected area rangers or guides Measure 3.2.2 Development of a marketing plan for promotion of natural resources in the region Natural resources in one region are a resource which undoubtedly also belongs to future generations. Sustainable use of these resources will ensure their preservation. Using natural resources for achieving economic gain is normal for 95 human survival. Their optimum sustainable use is an imperative for all regions. Today, natural wealth present in the Northeast region is benefited from to a very low extent. Thus, it is necessary to adopt activities for promotion of natural resources in the region and their sustainable economic use. Indicative activities Development of marketing plans Promotional and educational activities Construction of access infrastructure and other types of infrastructure Informative points, boards, roadmaps and other type of signalisation and signalitics Measure 3.2.3 Setting up regional forest fire protection points The greatest damage to forests is caused by fires. Due to the inaccessibility of certain forest areas, the only possibility for their extinguishing is by using appropriate auto-mechanisation. Fires are small at the beginning when they break out and, if timely intervened, they can be prevented. However, if it is not intervened on time, fires assume big proportions and the consequences of that might be detrimental. As a result, it is essential that a forest fire protection system is put into place which will react on time and every time a fire breaks out. Indicative activities Needs analysis Fire protection plan Setting up regional points Organisation of educational events and trainings Conducting educational campaigns on biodiversity protection and the significance of protected areas 96 Measure 3.2.4 Regional mapping of fruits of the forest and healing herbs, licensing fruit collectors and education Fruits of the forest and healing herbs that the Northeast region has at its disposal are a source of additional income for a large number of families. With the aim of ensuring sustainability in collection of these fruits and herbs, it is necessary to control the quantities collected, as well as to educate collectors on how to properly collect fruits and herbs. Improper collection of these fruits and herbs is one of the reasons for their damaging and destruction. Indicative activities Regional mapping of fruits of the forest and healing Licensing collectors of fruits of the forest and plants Setting up info boards and development of educational materials Organisation of educational events and trainings 3.3 Environmental protection Outputs Indicators Number of projects implemented; Number of measuring stations (water, air, soil); Regional plan on media pollution reduction developed; Number of measurements annually; Analysis of data from measuring locations; Measures adopted in accordance with the data analyses; Monthly measurements of soil, air and water pollution; Number of public campaigns organised; Implemented measures envisaged by the river basin management plan; Length of newly constructed water supply systems; Population coverage with treatment plants; Water management plan developed; Monthly reports of the operational plan of industries on integrated pollution prevention and control; Number of measuring locations; Number of treatment plants; Length of newly constructed wastewater systems; Number of public campaigns organised; Category of water resources; Concentration of SOx, NOx, and PM10 particles in the air; Number of implemented projects on reducing the effects of climate change; Mapping of areas susceptible to erosion; Analysis of the effects of climate change in agriculture and biodiversity in the last 5 years; Climate change strategy; Number of new landslides; Financial resources for handling the effects of climate change. Financial analysis of the effects of climate change in the region. 97 In order to adopt any measures aimed at environmental protection, data is necessary with a view to identifying appropriate measures that will have an influence directed towards reducing environmental pollution. Macedonia in general faces a lack of data on the environmental situation, due to the low number of analytical data that expert services have. In general, environmental protection means measures addressing air, water and soil pollution, climate protection, protection against noise and ionising radiation, integrated pollution prevention and control, etc. With regard to all these topics, the region should develop a plan on environmental pollution management in all media. Measure 3.3.1 Analytical data The shortage in adequate data on the environmental quality is a limiting factor which disables proper and realistic planning of environmental protection. Environmental quality monitoring systems are still not sufficiently developed and water and air quality monitoring is brought down to one or two monitoring stations. For a region which has 3 larger urban areas and a large number of rivers, the number of monitoring stations is small. If taking into account the fact that several mines are also located in the region, for which there are no measurements whatsoever as regards to what they discharge into the surface water, then it may be stated that the environmental quality monitoring system in the region is inappropriate and insufficient. 98 Indicative activities Procurement of mobile regional stations Increase in the number of monitoring stations Conducting an analysis on sources of pollution and level of pollution Designing a strategy on management measures for sources of pollution Establishment of a regional cadastre of polluters Measure 3.3.2 Protection of water, air and soil against pollution Protection of water resources is an obligation not only of present-day generations, but also an obligation for future generations. Groundwater pollution causes consequences that will be felt even by generations not born yet. Surface water and groundwater is under continuous pressure, both from municipal wastewater and wastewater from industry and agriculture. There is no other alternative for the air we breathe. That is why protection of air against pollution needs to be a priority in the field of environmental protection. Even though there are no more significant industrial plants in the region and the air quality is relatively good, still climate change as a global occurrence obliges us to take actions to fight the causes of this change, but also to take actions for adaptation towards the already emerged climate change. Soil in the region is under pressure of erosion. The implementation of this measure will contribute towards reducing pollution in surface water and groundwater, higher air protection and reducing and recovering from the consequences of erosion, and it will be implemented by: Introduction of contemporary river management Wastewater Preservation of fish stocks Adaptation to climate change and fight against the causes of climate change Energy savings and renewable sources 99 Erosion Indicative activities Projects on reducing greenhouse gas emissions Mobile regional stations for all media Enlarging urban green spaces Construction of urban and regional bike lanes Construction of storm and sanitary sewer Implementation of measures for EE in public buildings Gasification of industry and public buildings Strengthening the capacities in municipalities for environmental protection Energy efficiency in street lighting Preparation of project documentation on wastewater management Organisation of public campaigns Founding a regional environmental inspectorate Educating population about the effects of climate change Securing financial resources to handle climate change Organisation of public campaigns, educational workshops Regulation of water flows and flood protection measures Forestation Drawing up a regional strategy on climate change Protection against erosion by identifying potential landslides Implementation of measures on reducing the effects of erosion by forestation and other measures Measure 3.3.3 Protection against noise High levels of noise may cause serious hearing impairments, increased blood pressure, fatigue, disruption of home tranquillity and people’s sleep, decreased working capacity and disruption of the human nervous system. All this shows that noise is a dangerous polluter to the environment and to humans. The level of noise in an area has a large influence over the quality of life in that area. Quality of life in large urban areas is often disrupted by high levels of noise. Houses and other buildings located immediately next to roads also have a disrupted quality of life, above all due to the level of noise. 100 Indicative activities Development of a noise map in urban areas Development of an action plan on protection against noise Setting up noise barriers throughout urban areas where the main road passes Mid-term goal 4 Sustainable rural development by designing a competitive regional tourist offer, revitalising rural areas and creating conditions for an enhanced agriculture development Rural areas in the Northeast Planning Region are abandoned by the population ever more. Nowadays, there is a great difference in the level of development in the region when it comes to urban populated areas and rural areas. Sustainable rural development will be achieved by developing tourism and agriculture. The region has an abundance of natural conditions for development of agriculture, where plant production, livestock husbandry and gardening have an advantage. The proximity of Skopje as the largest market in the country, but also of Kosovo, Serbia and Bulgaria bordering this region, gives possibilities for placement of much larger quantities than the ones being produced at the moment. This advantage is at the same time a threat for facilitated emigration of youth and leaving the lands and rural areas which has been much more expressed in the last decade, and that has also been reflected in reduced production. The placement of agricultural products and processed products from this region has rarely been an issue, so the challenge is how to expand it and to continuously supply markets with standardised products. Not only does this advantage apply to agricultural products, but also to various tourist offers related to rural development in general. Possibilities for development of selective types of tourism are above all defined by determining trends in tourism. At the same time, such trends are indispensable for creation of development tourism plans. Tourism as an industry generates many jobs. Possibilities for development of 101 tourism in the Northeast region predominantly provide for development of mountain, rural and spa tourism. These types of tourism are located to a large degree in the region’s rural areas. By developing tourism, sustainable rural development will also be achieved. No. Indicator Indicator Base year 2019 Indicators 1 Total number of tourists in the region 5584 7000 2 Average number of nights spent in the region 1,48 2 3 Total agricultural production in tonnes 70.056 90.000 4 Value of the production of agricultural business branch in millions of Denars 4.368 6.000 Priorities set in order to reach this mid-term goal: Priority 4.1 Development of alternative types of tourism The Northeast Planning Region has attractive cultural and natural heritage which enables the development of cultural, mountain, rural, hunting and spa tourism. The development of selective types of tourism will ensure attracting tourists who will get acquainted with the region’s rare natural and cultural heritage, interesting cultural landscapes, as well as rich ethnographic values and traditional food. The region is rich in game which offers the possibility for development of hunting tourism. Outputs Number of urban architectural plans adopted Number of reconstructed and paved roads Number of constructed and adapted accommodation establishments Number of information centres and info points Tourism programmes developed Number of tourist arrangements sold Participation in specialised tourism fairs Cooperation of the region with other regions in the neighbourhood Indicators Accommodation establishments put into service Info points and info centres put into service Amount of funds invested in reconstructed infrastructure Number and length of paved roads in km Number of tourists Tourism consumption 102 established Tourist stay Number of promotional materials printed Number of tourists having purchased thematic tours Number of info boards set Number of thematic tours defined Number of meetings held between the business sector and other tourism stakeholders The following measures have been identified in order to meet this priority: Measure 4.1.1 Valorisation and mapping of natural and cultural heritage The Northeast Planning Region has an abundance of cultural and natural heritage, but this does not mean that the overall heritage has a certain tourism value as well. For that purpose, it is necessary, by conducting studies, to identify which heritage is attractive for the purposes of tourism. The measure would be implemented by: Conducting studies and mapping tourism potentials of cultural and natural character Activities for promotion of tourist attractions of cultural and natural heritage Thematic and programming linkage of attractions Indicative activities Tourism valorisation of values of tourism and plans for their sustainable use Development of interactive maps with new programming packages Development of promotional materials on tourist attractions GIS localisation of the most significant attractions Research and conservation of more significant sites Measure 4.1.2 Creating and promotion of regional tourist products The Northeast Planning Region has various possibilities for development of several selective types of tourism. The region, as a separate regional entity, 103 should gradually develop into a recognisable tourist destination. This could be achieved by combining attractive motive resources that the region has at its disposal into tourist arrangements and their promotion to the tourist clientele. This measure would be implemented by: Selection and prioritisation of cultural and natural resources in the region for their inclusion in alternative types of tourism Organisation of meetings between travel agencies and other tourism service providers in the whole region Selection of the best proposed ideas of tourist programmes and promotion Setting up tourist arrangements which involve selective types of tourism Selection of means and methods of promotion intended for defined market segments Indicative activities Organisation and participation in specialised fairs on alternative forms of tourism Support to travel agencies for promotion of regional tourism programmes Support to cultural and sports events Promotion of gastronomy as a part of the region’s culture Promotion of a monastery tour and connection with monasteries from the East Planning Region Promotion of a cultural landscape tour – Kokino, Kuklica, Cocev Kamen Promotion of a rock art tour Development of promotional materials in the field of tourism Development and printing of an event calendar Revitalisation of rural areas rich in ethnographic features Linking the administrative structure with the tourism business sector Updating the regional website Marking and mapping of tourist attractions in global mapping systems 104 Priority 4.2 Improvement of tourist infrastructure Accommodation establishments, access to and marking of tourist sites, and information dissemination are the basis that the region needs to have, if it wants to become an attractive tourist destination. Outputs Indicators Number of urban architectural plans adopted Accommodation establishments put into service Length of paved roads in km Info points and info centres put into service Number of parking lots in the region Amount of funds invested in reconstructed infrastructure Number of info centres and info points constructed Number of constructed and reconstructed facilities Number of information boards set The following measures have been identified in order to meet this priority: Measure 4.2.1 Preparation of urban planning documentation In order to ensure conditions for tourism development, first of all it is necessary to undertake activities to overcome the issue of urban planning documentation in the region. The measure would be implemented by: Preparation of elaborates of the most significant tourist sites Conducting an appropriate categorisation of tourist facilities Indicative activities Development of urban architectural plans, documents Implementation of a process of categorisation of tourist facilities Outlining proposals on regulating the degree of protection of natural and cultural values Preparation of an elaborate on the capacity of the space surrounding the tourist site Adoption of spatial planning documentation on info points and info centres Preparation of architectural draft projects on revitalisation of old houses into accommodation and catering establishments 105 Measure 4.2.2 Provision of infrastructure to tourist sites In order for a tourist destination to be able to welcome tourists, it needs to have modern tourist infrastructure, that is to say, to ensure accommodation establishments and adequate infrastructure to tourist sites (access roads, parking lots, restrooms, souvenir shops, etc.). The measure would be implemented by: Conducting studies regarding tourist sites Reconstruction of roads to tourist attractions Equipping the site with tourist equipment Indicative activities Improvement of the infrastructure in monasteries in the region (Staro Nagorichane, Lipkovo, Kriva Palanka, Kumanovo) Improvement of the infrastructure in Kokino and Kuklica Tracing and marking rock art Tracing and marking mountain tracks and bike lanes, Kriva Palanka, Staro Nagorichane Setting up hiking routes, bike and motor lanes, Bislimska Gorge Construction and assembly of fishing platforms and installing solar street lights, Bislimska Gorge Parter development, Kumanovo Bath Мeasure 4.2.3 Provision of favourable conditions for construction of accommodation establishments and their categorisation The purpose of increasing the number of visits to a certain destination can be achieved by increasing the accommodation establishments and improving their quality. In order to achieve this, favourable conditions should be ensured for construction of accommodation establishments for tourism purposes. This measure would be implemented by: Consistent implementation of categorisation Investment facilitation 106 Use of funds for the purposes of building/ adapting old houses into accommodation establishments Indicative activities - Finalisation of the construction of hunting houses in Pklishte – Rankovce, Bilijno, Kratovo and Glabochina, Staro Nagorichane - Projects on support from private investors - Trainings and education in using funds and other methods of financing - Categorisation - Construction of accommodation establishments and camps Measure 4.2.4 Improvement of the signalisation and visualisation of tourist attractions Natural and cultural tourist attractions would remain unknown if their precise location is not known. For that purpose, it is essential to secure simple access for tourists, that is, it is necessary to mark them and to set up a multilingual signalisation. At the same time, tourist sites should have general information available on site, i.e. info boards, where basic data would be presented regarding the tourist attraction. On the other hand, opening of info points and info centres would also ensure provision of information and promotion of both tourist potentials and individual service providers represented in the region. The informative contents would refer to natural and cultural tourist potentials, their location, working hours, how to reach them, possibilities on additional and accompanying tourist activities. All this would contribute towards promotion of the image of the Northeast Planning Region as a tourist destination, as well as to the experiencing quality of tourists themselves. This especially applies to individual tourists. The measure would be implemented by: Plan for construction and equipment of info points and info centres Setting up informative boards 107 Mapping and setting priorities of tourism resources which will be signalised, as well as determining locations where boards will be set up Signalisation plan of important tourist attractions on the main roads Selection of activities for which a visualisation software will be developed Indicative activities Opening of a regional tourist bureau Plan development and opening of info points, centres in the region Improvement of the existing and setting up new roads and signalisation Electronic informative boards throughout the region Integration of software inside the info points with information on tourist attractions in the whole region Preparation of applications (programmes) for presentation of more significant cultural attractions in the region Visualisation of Kokino Rock art signalitics Measure 4.2.5 Use of e-booking systems Modern way of life enables provision of information regarding tourist destinations from home, as well as booking using electronic media, i.e. by e-booking. That is why the Northeast Planning Region should adapt to these modern conditions by implementing diverse electronic systems which enable that. This measure would be implemented by: Presentation of the benefits of e-booking to accommodation service providers Linking institutions collecting data with all stakeholders in tourism Indicative activities Creation of appropriate web portals Procurement of software Trainings in booking systems Initiative to amend legislation which will be in line with the current situation on the tourism market 108 Measure 4.2.6 Support for using domestic and foreign funds There are various domestic and foreign funds in the country (IPA, IPARD, World Bank, etc.) which fully or partially finance projects on rural areas, on protection of cultural and natural heritage, construction of accommodation establishments, trainings, etc., which would help in the intention of the Northeast region to develop itself into an attractive tourist destination. This measure will be implemented by: Trainings for the local population, the administrative structure and the business community in funding opportunities Creation of a funding database, public calls for project proposals Indicative activities Trainings in applying and use of domestic and foreign funds Establishing application teams with draft projects Making a subsidy policy for investment in rural areas Measure 4.2.7 Creating a climate for public-private partnership Public-private partnership is one of the most significant models for successful implementation of projects in terms of tourism, where cooperation is needed between different participants in the region, and by which the interests of the public and private sector are aligned. This measure will be implemented by: Information dissemination and trainings in applying for public-private partnership Promotion of the benefits of public-private partnership 109 Indicative activities Drafting public-private partnership and concession procedures Holding trainings for parties interested in PPP Conclusion of PPP agreements Establishment of joint tourist attraction management bodies by a PPP model Priority 4.3 Strengthening the capacities with the purpose of tourism development Tourism development in the Northeast Planning Region is not possible without having high-quality human resources. Well-skilled staff and its continuous upgrade, in line with trends, is the main element of the development of any activity, including tourism. Apart from upgrading the skills of employees in the sector of tourism (administration, business sector, catering industry), it is also necessary to raise public awareness and education of local population about hospitality and accepting tourists. Joining all these participants in the field of tourism in a joint body – cluster will ensure improvement of the service of tourist service providers. Outputs Indicators Number of employees – persons responsible for tourism development in municipalities Number of tourist information bureaus Number of organised meetings and gatherings of all stakeholders related to tourism Number of concluded agreements in tourism Informal educational centres established Number of workshops and trainings held Number of campaigns implemented Tourism sectors/ departments put into service Tourist information bureaus put into service Number of trained candidates in training centres and certificates issued Centres of tourism put into service Functional website Leaflets and brochures disseminated Services standardisation and quality certificates 110 Measure 4.3.1 Strengthening human resources in tourism, raising public awareness, capacity building and strengthening on local level Tourism development depends to a large extent on the abilities, knowledge and competences of people involved in tourism. For this purpose, education and continuous upgrade of involved parties in tourism is necessary, as well as education and strengthening the capacities of local population – service providers. At the same time, it is necessary to hire qualified persons in the field of tourism in municipalities and to potentially form tourism departments. When arriving at the tourist destination, tourists have the need for information about the values of tourism, service providers and tourist activities offered in that place. For that purpose, it is essential that tourist information bureaus or centres are established. This measure would be implemented by: Appointing persons in the local administration in charge of tourism Implementing lifelong learning programmes for the already employed persons Exchange of experiences and positive practices from abroad (for the executive management) Education of local population Establishing municipal tourist bureaus Indicative activities Training for service providers in rural areas Establishing informal education training centres Organising study visits abroad Functional municipal bureaus Networking of tourist bureaus in the region Organisation of meetings for all stakeholders involved in tourism in the region on cyclic intervals 111 Measure 4.3.2 Establishment of a tourism cluster in the Northeast Planning Region In order to become an attractive tourist destination, the Northeast Planning Region needs to achieve linkage and cooperation of all direct and indirect tourism stakeholders in a common tourism cluster. Thus, the services of tourism service providers would improve, i.e. their products and services would be specialised. This measure would be implemented by: Promotion of cluster benefits Holding cyclic meetings Indicative activities Establishment of a tourism cluster Establishment of an organisation structure of the cluster Strengthening the capacities of the cluster Linking with travel agencies and the business sector Promotion of the operation of the cluster Networking of all participants Measure 4.3.3 Introducing a complex tourist record system In the Northeast Planning Region there is no tourist record system, and for that purpose, it is necessary to introduce a record system, where apart from the number and structure of guests, also their needs would be taken into consideration, as well as the reasons why they visited the region, their satisfaction with the visit, whether they would return again, etc. This measure would be implemented by: Selection of methodologies and methods of keeping records of tourists on various grounds Cooperation between the tourism business sector, municipal administrations, experts on developing survey tools and methods 112 Linking institutions that collect data with all tourism stakeholders Indicative activities - Introduction of a tourist record system - Processing and presentation of data by municipal tourism sectors/ departments - Development and dissemination of standardised survey questionnaires Priority 4.4 DEVELOPMENT OF COMPETITIVE AGRICULTURE Outputs Number of mapping analyses Indicators Total amount of investments for processing and use of alternative energy sources Production and quality increased Number of trainings Production expenses decreased Local irrigation projects Number of households using irrigation increased Regional cooperation body established Regular meetings of the regional cooperation body (number of meetings) Events for promotion of local products Value of agricultural production The following measures have been identified in order to meet this priority: Measure 4.4.1 Mapping the agricultural potential With the aim of completely using the potential of the region for production of primary agricultural products, final stage products and end-products, as well the potential of reducing production expenses, the following indicative activities are proposed: 113 Indicative activities Study on the potential of competitive agricultural products from the region Study on the irrigation potential Study on the need for capacities for added value of agricultural products Regional study on the potential for using alternative energy sources Measure 4.4.2 Strengthening the capacities for profitable agriculture by education Target group of proposed trainings as indicative activities for the forthcoming period of 5 years is young population from urban and rural areas working in or willing to work in agriculture. One of the informal education capacities is also the school centre “Kiro Burnaz” from Kumanovo, which has been registered as an adult education institution by the Ministry of Education and Science. Indicative activities Education in GAP and organic production Preparation of local projects on using the irrigation potential Organisation of trainings in modern irrigation systems and other technologies Education in use of organic waste Organisation of trainings in using alternative energy sources in agriculture and rural development Events for promotion of public-private partnership for purchasing centres and other agriculture and rural development facilities Trainings in agro-technical measures for silage, milk hygiene, wild fruits, processing of nuts… Promotion of the National Credit Guarantee Fund Promotion of fisheries and aquaculture 114 Financing the implementation of the Programme for Development of the Northeast Planning Region The Northeast Planning Region has been classified as the most underdeveloped region in the Republic of Macedonia compared to other regions, in accordance with the Decision on classification of planning regions according to their level of development for the period 2013-20172, by which planning regions have been classified on the basis of the Decision on defined criteria and indicators for assessing the level of development of planning regions3. According to this Decision, there is 17.4% foreseen for the Northeast Planning Region from the funds distributed within the Regional Development Programme of the Republic of Macedonia. The Law on Balanced Regional Development states the following sources as regional development financing sources: Budget of the Republic of Macedonia, Budgets of the units of local self-government, EU funds intended for the Republic of Macedonia, Other international sources, Donations and sponsorships from physical persons and legal entities and Other funds regulated by law. The Law on Balanced Regional Development prescribes that at least 1% of GDP should be annually alloted from the Budget of the Republic of Macedonia towards stimulating balanced regional development. Funds are necessary to stimulate development of planning regions and to ensure reduction of disparities existing between planning regions. The Strategy for Regional Development of the Republic of Macedonia states that the practice used until now in alloting funds for 2 3 Official Gazette of RM No. 88/14 Official Gazette of RM No. 88/14 115 stimulating development of underdeveloped areas in the Republic of Macedonia had shown that there had been funds alloted in a much lower quantity than the foreseen ones. The continuation of the same practice would disable achieving the planned objectives of regional development policy and, therefore, a main precondition for regional development is securing funds in the amount as prescribed (or more) by the state. The Law on Balanced Regional Development defines the following instruments on stimulating regional development: capital investments; irretrievable grants; financing and co-financing of elaboration of analyses, studies, planning documents and action plans; financing of institional capacity building for regional development of the Republic of Macedonia, as well as state aid in the form of loans under favourable conditions, loan guarantees, credit insurance, tax reliefs, subsidies and other instruments, as pursuant to law. The financing of foreseen measures requires relatively large financial resources and the main challenge in achieving economic growth as regards other planning regions will depend to a large extent on the amount of secured financial resources. The necessary financial resources will not be able to be secured either from the budgets of municipalities, or only from the resources aimed at supporting balanced regional development. Thus, it is of utmost importance that sector programmes of ministries are put into service of regional development of the region. When defining mid-term goals, priorities and key measures within the Programme, the corresponding sector documents have been taken into consideration with a view to linking planned development with the relevant sector documents. The linkage has been done in order to ensure more efficient implementation of measures foreseen. The functional linkage of policies and programmes will ensure stimulation of the development of the Northeast Planning Region and by help of other ministries, accelerated achievement of the objectives set will be ensured. Apart from national financing sources, it is essential that various donor programmes in the country are used, which are significant financial sources for 116 stimulation of regional development. Of course, EU IPA assistance is the most important one, since a large part of the prioirity lines of IPA components focus on support and promotion of areas of importance for regional development. Therefore, securing conditions for using these funds should be of priority to regional development policy makers. The use of IPA funds could also serve to build the capacities of the region in applying for projects, which will be exceptionally important from the perspective of the future EU membership of the Republic of Macedonia and its access to the various EU funds. Of course, the existing programmes of GIZ, SDC, USAID, UNDP, the World Bank and other donor programmes are significant funding sources in the areas of importance for regional development as well. 117
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