The document discusses strategies for implementing economic diversification in regions transitioning away from carbon-intensive industries. It provides examples of the Just Transition Platform Groundwork program providing technical assistance to several European regions. The assistance includes developing economic diversification strategies, building regional capacity, and strengthening stakeholder collaboration. It also discusses lessons learned from helping the Łódzkie region in Poland design a new support scheme for small and medium enterprises. Developing a shared vision of regional assets was found to be important for attracting investment. Involving local stakeholders proved important for understanding existing support opportunities and business needs. Long-term measures are needed to achieve meaningful job creation during a transition.

1. Implementing economic
diversification strategies
Insights from technical
assistance (JTP Groundwork)
27 October 2023

2. • Tailored support: strategy development,
capacity building, mobilising stakeholders,
strengthening collaboration, project planning
& development
• Capacity building and networks:
Facilitation of in-person workshops and
events, hands-on assistance
• Next application round: early 2024
• Additional services:
JTPeers Exchange - expert-to-region, region-
to-region exchanges
JTPeers Experts - a web database of JT
experts
Just Transition Platform Groundwork
Assistance in developing and implementing the
just transition on the ground
Médio Tejo
Łódzkie
Vidzeme & Latgale
Hunedoara, Gorj & Dolj
Västerbotten
Sokolovsko

3. JTP Groundwork interventions
for economic diversification
More and
resilient SMEs
Workers for
green industries
Clear vision
& understanding
of assets
Capacity to
attract investors
and funds
Diversification
needs
• How to effectively support the SMEs
in the transition area?
• Where to find workers for green
industries, e.g., e-vehicles production?
• How to attract them?
• How to build a sustainable industry?
• How to choose what to invest in?
• How to stimulate investment – how to
deploy funds, how to attract investors?
Łódzkie
Västerbotten
Médio Tejo
Jiu Valley
Challenge Approach
• Ask SMEs what they need and business
institutions what they can offer
• Assess what is currently missing
• Build on international best practice
• Identify needed skills
• Identify EU regions to supply labour
• Identify what potential employees need
• Examine example success stories
• Conduct an asset mapping
• Bring stakeholders together and develop
a common vision
• Conduct local focus groups
• Analyse funding opportunities
• Support development of project ideas

4. Poland – Łódzkie
Designing a support scheme for SMEs
Learnings:
• Reaching out to potential beneficiaries was
a novelty for the region and a great success
• The involvement of the target group can disprove top-down
assumptions, e.g., that it is difficult for SMEs to apply for funds
• More support measures exist than anyone expected (>120) –
no overview of active support schemes exists
• Main questions to be tackled:
o How can we create added value and not just give away funds?
o How to help business develop beyond the status quo? How to
raise ambition?
New support scheme for SMEs:
• Responds to needs of over 50 stakeholders
• Based on learnings from past schemes
• Provides funding for new companies and is paired with
business counselling
• Mature enterprises receive help in unlocking potential for
further development – ‘how can we create more added value?’
• Strategic economic activities receive premium points

5. High-level takeaways
• Regions struggle to align on a vision for
economic diversification
• A vision needs to be linked to regional assets
and is key for investments to be channelled
• Involving the business environment and
public alongside public sector stakeholders is key
to design vision and strategy
• Involving affected stakeholders is important to
effectively design technical aspects of an
intervention
• We overestimate knowledge of existing
materials, support schemes and even regional
assets – mapping of assets and resources needs
to be revisited regularly
• Communicating success stories and clear,
concise approach to project development and
financing access can effectively engage local
communities
• Job creation happens slowly, and it cannot be
achieved with short term measures – long-term
focus is key

6. Thank you
Wiktoria Beckmann
Senior Consultant
wbeckmann@guidehouse.com