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Natural Environment and Rural Communities Bill

This interesting amendment seeks to make changes to the Regional Development Agencies Act 1998. The first three proposed changes aim generally to strengthen the requirement on regional development agencies to undertake their activities in a sustainable manner. The fourth aims to ensure, in preparing the regional economic strategies which RDAs develop and produce on behalf of the region, that consultation encompasses bodies with responsibility for environmental and social functions. Amendment No. 355 also seeks to change the Regional Development Agencies Act to require that regional economic strategies are approved by regional assemblies. With effect from April 2005, the regional development agencies’ activities have been driven by a new tasking framework. The framework requires each RDA to show in its corporate plan how it will address the priorities identified in the regional economic strategy for the region, and how it will contribute to the delivery of four overarching government PSA targets. Defra Ministers were successful in achieving the inclusion of three Defra PSA targets in the RDA tasking framework, consisting of two of the four overarching targets—sustainable development and rural productivity and access to services—and one of the supplementary targets, sustainable farming and food. There were other achievements as well. One of those overarching targets is sustainable development, which is a target that Defra holds on behalf of the Government. RDAs welcomed the introduction of that strengthened remit for sustainable development, and through their six-monthly reports to Ministers they will provide a summary of how they are contributing to delivery of sustainable development in their regions. That new requirement will be an effective method of ensuring that RDAs not only undertake their activities in a sustainable manner, but contribute to sustainable development in their regions. They are aware of their role in promoting sustainable development in their regions. In addition to funding sustainable development projects, many RDAs have established environmental management systems, sustainable transport plans and project appraisal tools that help to mitigate the environmental impacts of their operations and activities. Although RDAs are already making a significant contribution to the delivery of sustainable development, the steps that the Government have taken to strengthen the framework within which RDAs operate should improve their effectiveness in delivering sustainable development in the regions. The guidance to RDAs on producing their regional economic strategies was also reviewed last year to ensure that they and the actions to implement them are based on sustainable development principles, as set out in the UK Sustainable Development Strategy of March 2005.  With regard to consultation, RDAs are required to ensure that those involved in developing and implementing regional economic strategies fully represent the economic, social and environmental interests in the region. Consultation is also required to cover rural as well as urban interests, and encompass relevant economic, ethnic and social groups, including the voluntary and community sector. Regional economic strategies belong to the regions; they are approved by RDA boards and are endorsed by regional assemblies. Currently, departments also engage closely in the development of the strategies to ensure that regions deliver credible strategic plans for economic development. The government guidance to RDAs on regional economic strategies was reviewed. It states that in developing and reviewing strategies, RDAs are required to have regard to the views expressed by regional assemblies which, in addition to their role in scrutinising RDAs, have responsibility for ensuring the alignment of the various regional strategies. RDAs are also required to consider how the assemblies’ findings should inform their activities and feed into the development and implementation of regional economic strategies. That decision on how to judge the success of their regional economic strategies should be made in conjunction with regional assemblies and with other regional partners. RDAs are free to pursue their statutory purposes, including the development of regional economic strategies, within the framework agreed with central government. However, that should be in accordance with their statutory obligations set out in the RDA Act and any directions or guidance issued by the Government. The noble Baroness, Lady Byford, asked about the balance between economic competitiveness and sustainability. That takes us right back to our discussion on Natural England, which was a long time ago. You have to look at the whole delivery landscape: the economic side; the environmental side; and the social side. Like the noble Baroness, Lady Miller of Chilthorne Domer, I point out what the 1998 Act said about sustainable development being one of the purposes of a Regional Development Agency. This is brought up to date, I would argue, by what occurred in 1995. The RDAs have already profiled a number of case studies demonstrating their contribution to sustainable development. More recently, Defra, the DTI and the RDAs have begun a follow-on publication called Smart Productivity to demonstrate the RDA contribution, the four priorities of the UK sustainable development strategy and the five drivers of productivity. Although they are already making a significant contribution to the delivery of sustainable development, the Government are building a stronger role for RDAs that should improve their effectiveness in delivering sustainable development to the regions. In addition to tasking the RDAs to contribute to, and report on, sustainable development, a range of other measures are in the train. I hope the noble Baroness, Lady Miller, in moving her amendment, will appreciate that over a number of years a lot of effort has gone into ensuring that sustainability plays an increased part in the RDAs’ role, which has always had an element of sustainability in it.