Background information

On 17 October 2023, the Cabinet of Ministers approved the draft Regulation on support to local governments for the development of public infrastructure necessary for entrepreneurship, promoting the transition to a climate-neutral economy in the regions most affected by socio-economic consequences, elaborated by the Ministry of Environmental Protection and Regional Development. The measure is regulated by Cabinet of Ministers Regulation No 593 Rules for the implementation of

• Measure 6.1.1.3 - Support for the development of public infrastructure necessary for entrepreneurship, promoting the transition to a climate-neutral economy
• Specific Support Objective 6.1.1 - Mitigation of the economic, social and environmental consequences of the transition to climate neutrality in the most affected regions
• European Union Cohesion Policy Programme for the period 2021-2027.

Content of measure

The programme supports the following actions for infrastructure development and accessibility that contribute to the transition to a climate-neutral economy:

• Industrial connections and associated capacity building (including heating, drinking water and sanitation, electricity);
• development of infrastructure for road traffic;
• development of buildings and related infrastructure for business purposes;
• landscaping of the area;
• engineering systems and installations which store or produce energy from renewable energy sources;
• remediation of environmental damage or rehabilitation of degraded ecosystems to restore and improve the quality of the environment in and around contaminated sites, to prevent risks to the health of the population and the environment and to create space for business development.

The funding available in the first round of selection is €54,168,344, including Just Transition fund funding – €46,043,092 and national funding of no less than €8,125,252. Beneficiaries are local governments or institutions established by local governments, local government capital companies, public-private capital companies in which the capital or voting shares belong to local governments, and special economic zone administrations.

Use of measure

It is planned that by the end of 2029, as a result of the implementation of the projects, at least 25 businessmen will benefit from the developed public infrastructure areas, which will provide more than 420 jobs.

Target groups

Workers	Businesses	Citizens
Does not apply to workers	Applies to all businesses	Applies to all citizens

Actors and funding

Actors	Funding
National government Local / regional government	European Funds Local funds National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement as case not in social partner domain	No involvement as case not in social partner domain
Form	Not applicable	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: N/A

Involvement

No involvement

Views and reactions

No views to report

Sources

• 18 October 2023: Publiskās infrastruktūras attīstībai uzņēmējdarbībai piešķirs finansējumu 49 milj. eiro apmērā (lvportals.lv)
• 11 November 2023: CFLA: 6.1.1.3. Atbalsts uzņēmējdarbībai nepieciešamās publiskās infrastruktūras attīstībai, veicinot pāreju uz klimatneitrālu ekonomiku, 1. kārta (www.cfla.gov.lv)
• 25 January 2024: VARAM: 6.1.1.3. pasākums „Atbalsts uzņēmējdarbībai nepieciešamās publiskās infrastruktūras attīstībai, veicinot pāreju uz klimatneitrālu ekonomiku” (www.varam.gov.lv)