SPESP, Theme2.3: Rural-Urban Relationship

Ib Jørgensen

31 August 1999

CASE-STUDY:

Telecommunication in urban/rural partnerships

A case study from the island of Bornholm, Denmark

Prepared by the Danish National Focal Point

Contact person: Ib Jørgensen, University of Aalborg

In building the case we have tried to follow as conscientiously as possible the scheme developed by the working group. In some instances, however, our reply is more a comment to and questioning of this scheme than a proper response. After having received comments from the working group, we are, of course, prepared to alter this in the final version of the case which will be part of the final overall report of the SPESP .

A.Main objectives

1. To deepen the partnership between rural and urban areas problematic by means of examples and innovative experiences.

Comment: There still is a need for a closer definition of the phenomenon “partnership between rural and urban areas”. It should be obvious that “areas” cannot be partners. Individuals, institutions, organizations, firms, political bodies, etc. can join partnerships. The case studies, accordingly, should strive to identify the agents involved. Also a partnership may be of several types: mutual, voluntary, forced, lop-sided, commercial, non-profit, professional/client, etc. Such information should also be included in each case.

2. Evaluate if the main issues selected in Paris meeting are the most suitable for the partnership between rural and urban areas problematic.

Comment: None so far.

B. Key issues to guide the analysis of case studies

Themes addressed in the case

The Bornholm-case deals first and foremost with Main issue 3.2: Diversification of the economy in a wider context/New opportunities on communication technologies.

Several objectives may be found in the documents reporting the case.

"The study identifies specific technologies and the regional, national and international network which determines the development of technology and which can be active in establishing specific actions - EU or national - to better the opportunities on Bornholm." (Jæger & Storgaard 1997:9-10)

“There are two purposes for our study about the technological development on the island of Bornholm. One is to develop plans for actions in the field of technological development. The other is to develop a theoretical framework to understand technological development in the context of regional development.” (Jæger 1997:94)

“In this project the technology in three business segments is analysed. Network for technological innovation and adaptation is identified and initiatives which can better the situation on the island are identified. Two of the segments are traditional business sectors: tourism and part of the metal industry. The third sector is telework, which cuts across the traditional sectors. This is a new way of organizing work which seems to cut across geographical barriers, and to be of specific interestfor an island like Bornholm[…]located in the middle of the Baltic Sea.” (Storgaard 1997:106)

Integrative perspective

The overall character of the case is that of a research project based upon a Social Construction of Technology (SCOT) frame of reference.

“The study is mainly financed by the Danish Research Council and it is carried out in a cooperation between Research centre of Bornholm (RCB), Danish Building Research Institute (SBI) and Institute of Local Government Studies (AKF).” (Jæger & Storgaard 1997:Preface)

An estimation of the integrative effects thus will have to rely upon the findings reported and our interpretation of these findings.

Two of the above agents, SBI and AKF are definitely urban whereas RCB, located on Bornholm but mainly state financed and manned by extraneous experts, probably is best characterised as being in-between urban and rural.

Besides the researchers other agents are the individuals and groups selected for analysis in the project. That such selection represents a problem in itself has been realized from the outset:

“…the SCOT theory makes us aware of the fact that also the weak actors have a part to play in the development of technology….As the theory does not in advance ascribe greater importance to some relevant groups than to others, there is nothing in it to condition the exclusion of some groups either. The responsibility for tracing all the actors is thus left with the researcher. To single out some groups as irrelevant is a political project and the researcher should abstain from it under all circumstances. If we as researchers refuse to participate in the exclusion of some groups in advance, but lack the representation of the weak groups in the development process, we all of a sudden find ourselves facing the problem of our own participation in the democratization of technological development.” (Jæger 1997:102-3)

The last sentence is less than transparent. It seems to say that if only all groups are represented in the project, then the researchers are not participating in the process of democratization. And does “all groups” mean the entire population? Anyway, the next statement reveals the method used in the project. Three possible such are mentioned: action research, consensus conferences and social experiments “in which you let the users test the technology themselves”. It is the last of these which has been applied in this project.

“In the study of Bornholm we want to set up social experiments where we include the weak actors as well as the stronger more institutionalized actors.” (Jæger 1997:103)

It remains to be seen to what extent the research has succeeded in this noble aspiration.

Indication of spatial planning relevance

“But what is the message for the regional planner and developer? Does this ICT (Information & Communication Technology) mean any changes in the possibilities of the peripheral regions?” (Storgaard 1998b:205)

The researchers raise the issue but to my mind they do not come up with convincing answers.

But a sombre warning:

“The risk to actors of being involved in a project often goes far beyond the project itself. The risk of project failure is often quite high. Seen from a researcher’s point of view, even experiments taht fail have important facts to tell, but seen [from] the point of view of the participants, the room for mistakes is very close to nil and the consequences can be deadly for them. And not all actors share the intellectual interest of researchers.” (Storgaard 1998b:214)

Since this specifi case study mainly relates to ESDP ch. 3.3.4. Diffusion of Innovation and Knowledge it might be useful to enumerate the relevant policy options of that section of the document, namely options 35-39 (ESDP:30):

35. Wide-ranging integration of knowledge-relevant policies, such as the promotion of innovation, education, vocational training and further training, research and technology development, into spatial development policies, especially in remote or densely populated areas.

36. Securing Europe-wide access to knowledge-relevant infrastructure taking account of the socio-economic potential of modern SMEs as motors of sustainable economic development.

37. Fostering networking among companies and the rapid diffusion of innovations, particularly through regional institutions that can promote innovations.

38. Supporting the establishment of innovation centres as well as co-operation between higher education and applied R&D bodies and the private sector, particularly in economically weak areas.

39. Development of packages of measures which stimulate supply and demand for improving regional access and the use of information and communication technologies.

In our further scrutiny (section E) of the Bornholm-case - which in many respects deals with exactly the issues raised in these policy options - we shall try to estimate to what extent such desired objectives have been achieved.

Reference to typology of regions and urban-rural partnership

In relation to mainland Denmark the island of Bornholm must be characterized as a peripheral region, somewhere between urbanised rural and deep rural (depending upon how distinctions are made). How do we, for instance, define the 'accessible rural' criterion of the Selected Issues scheme ?

Conditions and instruments of success

Was it ever decided that the case studies necessarily would or should be success-stories? However, we shall strive to assess as accurately as possible the institutional framework; the underlying political structures; and the modes and instruments of co-ordination which have had influence on the outcome of the experiment of the Bornholm-case.

C. Identification

1.Bornholm county - a NUTS 3 region

2.NUTE ???

3.NUTE level ???

4.Map/Figure which gives the localisation of case-study (to be attached)

D. General data about the region

5. Total population

January 1999: 44.259

January 1989: 46.105

6. GDP/capita

1997: Bornhom county Dkk 156.500, Denmark Dkk 212.500

7. % of population 15-69 yrs with higher education

1997: Bornholm county 9.3%, Denmark 18.6%

8. Population by age structureJan. 1999:

B'holm abs. / B'holm % / Denmark %
0-14 / 7922 / 17.8 / 18.2
15-44 / 16018 / 36.0 / 41.6
45-59 / 10015 / 22.5 / 20.5
60+ / 10574 / 23.7 / 19.7
Sum / 44529 / 100 / 100

9. Active population by activity sectors

B'holm abs. / B'holm % / Denmark %
Agriculture, fisheries, etc. / 1680 / 8.3 / 4.3
Industry, construction, energy / 4073 / 20.1 / 24.3
Trade, transport, service / 14478 / 71.6 / 71.4
Sum / 20231 / 100 / 100

10. Number of cars/1000 inhabitants

Jan. 1999: B'holm county 330/1000, Denmark 342/1000

11. Regional functionality/productive specialization (industrial region, public services, commercial, tourism…)

The county of Bornholm, an island in the Baltic Sea, until recently was predominated by fisheries, agriculture and tourism and the subsidiary industries as the most important economic activities. Furthermore deployment of troops (draftee training) and military infrastructure is of economic significance. Recently, however, because of decline in the stock of fish and ensuing limitations on permissible catches this sector has undergone considerable reduction. Even when fishing was at its peak the county had problems with high levels of unemployment and out-migration of young people to mainland Denmark presented a severe problem for the islanders.

12. Type of political administration and main powers (federal system, central system,…)

1 county council and 5 municipal councils (totalling abt. 100 elected politicians) are in charge of the administration of public activities in accordance with the general Danish system. This means that between 50-60% of public expenditure is administered locally with a considerable amount of autonomy for local government and a corresponding active local participation in public affairs.

13. Identification of the main actors on the process of development (population, local authorities, entrepreneurs, regional development agencies,..)

The county, municipalities, unions, business associations, NGOs, etc. of Bornholm are involved in a number of national, EU, and international development schemes and organizations.

National:

The county of Bornholm and its municipalities are on the receiving end of a general, complicated national system of inter-municipal levelling of tax revenues, a system of considerable significance for the local economy, public and private.

In 1994 the Danish government specifically launched the so-called "Bornholm Package" - a number of support programmes to ameliorate the economic crisis caused by the decline in fisheries. One element in the package was the establishment of Research Centre of Bornholm and the ensuing project Bornholm's Technological Development. The present case study was part of this latter project.

EU:

The EU-Initiative "Employment Pact Bornholm" is administered by Bornholm Business and Industry Circle (Det Bornholmske Erhvervsknudepunkt) - a coalition of municipalities, the county, the regional Labour Market Council and the Trade and Industry Development Council of Bornholm. Four strategies have been pursued: 1) business development and training of workers, 2) promotion of distance work, 3) establishment of educational institutions, and 4) integration of marginalised groups.

Furthermore Bornholm has received support from Objective 3 and 5b Structural Funds; Interreg II; Leader II; and Pesca. Continued support is expected for the upcoming budget period (2000-2006).

International:

Membership and participation in programmes of "Association of European Regions"; "Conference of Peripheral Maritime Regions"; "Baltic Sea States Subregional Cooperation" (County Mayor Knud Andersen being chairman 1998-99); "Euroregion Baltic"; "Euroregion Pomerania".

Bilateral cooperation agreements with: Rügen (Germany); Southeast Skaane (Sweden); Nylands Union (Finland); Saarema (Estonia); Jurmala (Latvia); Kretinga (Lithuania); Kaliningrad (Russia); and Slupsk (Poland). This association has its secretariat in Gothland and its own office in Brussels. Main activities are: tourism and economic development; the Baltic Sea environment; and people-to-people arrangements.

Multilateral cooperation agreements with "Baltic Sea 7 Islands"-Association comprising besides Bornholm; Öland (Sweden); Gothland (Sweden); Åland (Finland); Saarema (Estonia); Hiiumaa (Estonia); and Rügen (Germany). Also the "Four Corner"-cooperation comprising Rügen (Germany); Swinoujscie and Miedzyzdroje (Poland); and SE-Skaane (Sweden). This cooperation has received support from ECOS/Ouverture.

14. Development model (indicate [if?] it is framed by any planning instrument and of what type)

Without being pro-active in itself, the Danish zoning system (urban/rural/resort areas) and the unitarian system of regional (county) and municipal planning laws and regulations constitute a general frame of reference for all development activities, such as the ones listed above.

E. Specific objectives

In this section we shall try to assess the results emanating from the Bornholm case as reported in the documents selected. In so doing we shall, to the best of our ability, strive to cover as many as possible of the issues and questions listed under section E of the guidelines. This, however, we cannot do in any systematic way since we shall attempt to make an overall, impressionistic assessment of the case, bringing in our comments, criticisms and judgments as we go.

The main problems for the rural island of Bornholm have for many years been the two mutually reinforcing processes of declining economic activity and depopulation. Obviously the rationale behind the research reported here has been an expectation that the new technologies of telecommunication, email and the Internet in particular, could help in slowing down or perhaps even reversing these two undesirable processes.

One urban/rural partnership element can thus be located in the fact of the central government (with some EU support) helping the rural community (Bornholm) to acquire systematic knowledge about the possibilities inhering in these new technologies. One might label this a sort of urban/rural meta-partnership.

It must be assumed that on the ground the u/r partnership elements were taken to be the linking of agents in the rural setting with the outer (urban?) world in such a way that stagnation in the rural setting could be contravened. Another effect of the new telecommunication technologies not to be ignored would be improved intra-relations within the rural setting itself which might give it more clout (through auto-mobilization) in its dealings with the external, urbanized world.

Three areas were examined in which this was deemed likely:

3.telework

4.video technology in SMEs

5.boosting of tourism through Internet hotel booking

Ad 1 - Telework

Telework is defined as "work where a considerable part of the work is done on electronic media, where the product is electronical communicable and is delivered (in principle) by electronic transportable means." (Storgaard 1997:108).

In the research project 18 (eighteen) people doing such work were located on Bornholm. Ten were working with text, picture and lay-out; Five were in advising, audit and administration; and three worked with software-production.

The 18 agents were classified and analyzed in various ways according to: occupational status, turnover, main clients, locus of workplace, proportion of telework to other types of work, advantages/disadvantages, perceived barriers, equipment used, transport of products, etc.

The main conclusion of this part of the research seems to be that at Bornholm the technology, the physical network in itself presents few problems. "In Denmark this part is normally well in hand of the professional telecompanies and software consultants." The problems lie elsewhere: "Another part is related to the users and organizers of the IT services. It has to do with competence and possibilities of handling the equipment. To see the possibilities of using the new technology. And for the organizers the ability to see how new kind of organizations, cooperation and partnerships can be established in a flexible way. This type of abilities is hard to define - and under one designation, we use the word: readiness. The point is that not only shall there be a readiness of the users, organizations and organizers, before a succesful use will be seen. Add the timing factor, which is of significant importance. Too early are often more expensive than a little too late. Not only does it cost money, it often also cost a lot of lost energy, expectation and local esteem for people involved." (Storgaard 1997:121)

Ad 2 - Video technology in SMEs

This part of the research consisted in "…an interview survey of the penetration and use of new technologies in the metallic industries on the island of Bornholm - predominantly small and medium-sized enterprises (SMEs). These enterprises are mainly based upon flexible small scale production and/or repair of machinery and equipment, e.g. for fishing boats and agriculture, for fish and food processing industries as well as for other industries." (Jensen & Manniche 1997:128)

The study has had two purposes:

"1.To throw light on the poorly documented field of industrial usage of video and other image technologies and their potential for SMEs.

2. To explore how the process of technology learning and renewal is actually taking place in SMEs at a peripheral location like Bornholm." (op.cit.:129)

Five enterprises with respectively 200, 50, 17, 15, and 14 employees were examined. Their use of the technology for various purposes like documentation, marketing, design and service was registered. Having ascertained the growing importance of these new technologies within nearly all manufacturing firms the authors conclude: "However, there is a huge gap between the existence of front edge technical possibilities and actual exploitation of these in SMEs. And besides, new technologies do certainly create new barriers as well as new possibilities…These barriers are to a large extent also existing for the rest of the firms within the metallic industries on Bornholm - and for many other firms and industries throughout the world." (op.cit.:142)

The following is a condensation of the concluding part of the study, 5.6. Barriers to Exploitation of Advanced Image Technologies (pp. 142-144).

In general the costs of IT equipment do not represent significant obstacles to the introduction of such technology. More important is the necessity for re-engineering of internal productive processes and the acquisition of the concomitant technical and managerial skills. "The time and skills needed to fully utilise such software and tools, i.e. to make them productive and profitable, represent an insuperable barrier to cross in the everyday situation of small enterprises."