Spesp, Theme 3, Case-study Sweden



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SPESP, Theme 2.3, Case-study Sweden:

Swedish National Focal Point

1999-11-01

Fredrik Legeby, GF-Consultants

Carl-Johan Engström, Chalmers University of Technology


The county of Jämtland 2

Introduction 2

General Data 4

Physical Delimitation and Geography 4

Natural and Cultural Heritage 5

Settlements and Population 5

Industry 6

Employment 6

Education 7

Infrastructure 7



CO-OPERATIVES and regional development 9

Background 9

Social Resources 9

Co-operative Functions 10

Effects on Physical Planning 10

Effect on Employment and Economy 10

The Urban-Rural Context 11

Effect on infrastructure and service 12

Social effects 12

Regional Co-operation 12

Co-operation Framework 12

Problems, Strangles and Threats 14

Potentials and Opportunities 14

Sectorial and Territorial Policies 14



Models for Development 15

Bibliography 16


The county of Jämtland

I
ntroduction


The county of Jämtland is located in the north-central part of Sweden. It is the second largest county in the country. There is a total population in the county of some 131 000. Approximately half of the population resides in the central parts of the county in towns and large settlements around the Lake of Storsjön. The other half of the population resides in small villages scattered over the whole county. The County of Jämtland has the highest proportion of people residing in rural areas in the country.

In 1998 the county showed, for the third consecutive year, the largest population decrease in the country. This negative development of the population is a combination of a negative birth rate and emigration.




Fig. 1 The County of Jämtland in Sweden







General Data


Total population in the county is 131 000

Age structure



<=15 19,2 %

16-44 35,6 %

45-64 25,1 %

>=65 20,0 %

Main characteristics of production

Primary sector 5%

Secondary sector 17%

Service 56%

Care 22%

Number of cars (cars/1000 inhabitants): 482 (418 in the country)

Political administration: Self-governing municipalities and County Administrative Board

Main actors in the regional development:

Jämtland County Administrative Board, the regional planning body

Local Co-operative Development Centre (LKU)

The Municipalities

Co-operatives

Development groups

Development Model: Rural development in small settlements


Physical Delimitation and Geography


The county of Jämtland is on the border to Norway and it consists of 8 municipalities, Berg, Bräcke, Härjedalen, Krokom, Ragunda, Strömsund, Åre and Östersund, with Östersund as the county centre. The county measures 250 km in a south-north direction and some150 km in an east-west direction and it covers an area of approximately 49 000 km2.

Mountains and valleys dominate the landscape and the county is located 200 meters or more above sea level. High mountains rise in the western part of the county, as a part of the mountain chain Skanderna and there are several high peaks, which rise to 1400 meters above sea level.

The central part of the region is a plateau where the most fertile land in the county is found. It is here, around the largest lake in the county – Lake Storsjön, the majority of towns and villages are have developed over time.

Natural and Cultural Heritage


Jämtland is one of the seven so called “forest counties”. Approximately 55 % of the county are forest, which is 12 % of the forests in the country. The boundary of the forest varies between 700 to 900 meters above sea level.

The nature of Jämtland is special since three growth zones meet in the county. The middle and eastern part is within the conifer belt and several species have their north and south boundary in the county.

There are many lakes and large areas of mire and moss. Out of the 5000 lakes many are several km long and very narrow. Approximately 1/6 of the county consists of mire and moss.

The fauna is typical for the northern part of the country with animals such as elk and beaver. There are also large numbers of predators such as bear, fox and lynx.


Settlements and Population


Jämtland is sparsely populated with a concentration of larger settlements and the one city, Östersund, to the central part. Here lie favourable agricultural lands, which have attracted people throughout history.

Jämtland is one of the most sparsely populated counties in the country with 2,7 persons per km2. In reality Jämtland is even more sparsly populated since approximately 50 % of the population reside within a 40 km radius from Östersund. That results in a population density, in the rest of the county, of 1,8 people per km2.

Emigration has been a reoccurring problem in history. In 1950 Jämtland had a population of some 150 000. During the 50’s and 60’s emmigration increased and in 1970 the population had decreased to some 130 000, a 13 % decrease in 20 years. The emmigration were to a great extent an effect of rationalisation in farming and forestry. The changes has since then been small and at present there is an increase of the population with some 100-120 persons per year.

The large-scale emigration has had great impact on the age structure of the population. In Jämtland 14,4 % of the population is over 65 years of age and 5,6 % over 80 years of age compared to 12,6 % and 4,8 % in the rest of the country.


Economic Effects


The decrease in the population affects the economy of the municipalities negatively. The prognosis for 1998 is a deficit of some ECU 3 million, which implies a cut of 500 jobs in the public sector to balance the economy. If the population decrease continous it will be necessary to cut 1000 jobs in 2001. The loss of jobs in this region could accelerate the emmigration and force many of the municipalities into a self generating spiral with joblessness, higher taxes and increasing emmigration

Industry


The industry in Jämtland is generally small scaled and the public sector is the dominating employer. In 1998 there were 5 employers with more than 200 employees and 3 employers with more than 500 employees. Of the total workforce 8 % work within companies with more than 200 employees, compared to an average of 22 % in the country.

During the last few years many companies or units of larger companies have moved to the county. They are often specialised in their field of action or in their company. Amongst them are SAS, Folksam, Swedeline, Observer/Pressklipp and Aktsam.

Many of these companies value the high living standard offered in the county, with possibilities to a great variety of activities and leisurement. However, they also value the closeness to the University Collage of Östersund and the University of Trondheim greatly.

The sectors that have grown in the last 10 years are finance, education and public administration‑the knowledge intensive sectors. The sectors, which experienced the largest decrease, are the capital intensive sectors such as farming, forestry, mining and production and distribution of gas, electricity, heat and water.


Employment


The area around Östersund dominates the labour market. More than half of the jobs in the county are within the municipality of Östersund. In 1997 there were some 55 000 people working in the county and 35 % of them within the public sector.

Forestry and farming are strong sectors with 5 % of the employees. Industry on the other hand is not developed to the same extent as in the rest of the country. Approximately 12 % of the workforce are employed within industry, compared to 20 % in the country as a whole.

The changing structure of the industry society towards a knowledge society has struck the county hard. During the 1990’s Jämtland has lost some 12 000 jobs, which is an 18 % decrease. In January 1999 approximately 10,5 % of the age group 16-64 was unemployed., compared to 7,8 in the country as a whole. The cut downs in the public sector has had a negative effect on the development, since the county has been dependent on the public sector to a great extent.

A Gender Perspective


There is a clear segregation on the labour market between women and men in the county since the public sector is dominating the labour market. The public sector is important especially for women and the heavy cut downs has struck them hard. This is extra striking in the northern counties where women are more dependent on the public sector for job opportunities than in general.

Education


The share of the population with higher education is lower in the county than in the rest of the country. Östersund is the only municipality that shows the same figures as the country in general.

The municipalities in Sweden have an average of 13 ‰ new students at University or University Collages per year. In the county of Jämtland all municipalities except Östersund show lower figures, between 4,5 % to 11 ‰. In the municipality of Östersund on the other hand 15,5 ‰ start higher education per year

The Mitthögskolan (the Mittle University Collage) has units in Östersund, Bispgården, Sundsvall, Härnösand and Örnsköldsvik. In Östersund there are some 5 000 students, of which 70 % are from outside the county. There is also military education in Östersund.

Of importance is also the University of Trondheim, which is located 270 kilometres from Östersund. They have 20 000 students and a research institution with some 2000 employees.


Infrastructure


The large size of the county and the spread settlement structure are the major conditions affecting the possibilities to obtain an effective infrastructure.

Roads and Railroads


The small roads in the county become increasingly important under the conditions with long distances and a spread settlement structure. In general their standard is not satisfactory, due to shortages in resources for maintenance.

Approximately 45 % of the county roads are gravel. Some 2000 kilometres of these roads are not available for heavy vehicles every spring, due to the breaking up of the frost in the ground.

The most important roads connecting the county to other parts of the country is E 14 and Road 45. E 14 between Sundsvall and Trondheim, runs through the most populated and most visited parts of the county. Road 45 between Gothenburg and Karesuando is the most important north-south connection in the county, both for transportation of goods, as well as people. Both of these roads have an uneven standard.

The railroad connections to Östersund are good. As the situation is today there are no high speed trains in this part. However, it is an prioritised part of the railroad and an up-grading of the tracks are planned. High speed trains between Stockholm and Östersund are planned to be introduced in 2002. There are railroad connections between Stockholm and Trondheim via Östersund, This part of the railroad network is called Atlantbanan (the Atlantic Track). There are plans to devlop this part of the track to strengthen the possibility to co-operate over the country borders.


Airport


The county has one large airport located in Östersund. There are domestic flights daily to Stockholm (7 flights/day at weekdays) and to Umeå/Luleå (2 flights/day). In 1998 there were some 5 250 landings and some 415 000 passengers. Chartered travels also departure from this airport.

Travel Pattern


Commuting is strongly focused on Östersund and the county is a well-defined labour market region. Within the county the strongest commuting zones are along E 14, Road 45 and along the railroad called the Mittbannan (the Mittle Track), which runs from Sundvall in the east to Storlien in the west. Commuting across the county border is rare, due to long distances.

CO-OPERATIVES and regional development

Background


A major trigger to start up community co-operatives or village development groups is the desire to enable people to stay and work in their home villages. In the long-term perspective there is an ambition to provide conditions for immigration and an expanding economy. The majority of the settlements where co-operatives are started have experienced high emigration numbers and high unemployment figures.

A significant feature for this type of organisation is that economical, social and cultural goals are equally important. Even though village development groups and co-operatives are local phenomena the aspect of regional development is an important and clearly expressed part of the work.

It is especially the young and the educated that escape unemployment and poor personal development possibilities in small villages and move to larger towns or cities. This emigration becomes an evil spiral, making it hard for these small settlements to survive.

Social Resources


Inhabitants of Jämtland are known for having a great self-esteem and a strong feeling of regional solidarity. There are for example The Republic of Jämtland, an organisation that is working towards a conservation and spread of the culture in the county.

Jämtland is a good example on how the “grassroots” have had great impact on the regional development. Nowhere in Sweden has so many village development groups and co-operatives been started as in Jämtland. There are approximately 160 co-operatives in the county, with some 3000 members, and some 400 village development groups.

The growth of this movement and their ability to organise themselves has gradually increased their power. Their demands on the municipalities, the county administrative boards and other public authorities have grown and they are an important part in regional development.

“The Force of Thought”


In 1996 the project called “The Force of Thought” was started. Through co-operation between authorities, industry and the inhabitants the aim was to create jobs, induce people to move to the county and to achieve unity around a strategy.

Some 10 000 residents were involved in the start activities, producing 600 ideas and visions for the future. Using the material a plan of action was written.

Today different project groups are working at achieving the goals that are set in the plan of action.

Co-operative Functions


There are co-operatives within many different sectors in society and it is striking how many different types of co-operatives there are in Jämtland. There are co-operatives established in childcare, local development, forestry, farming, building, restaurants, public transportation, media and many other sectors.

It is within childcare and local development that the majority of the co-operatives are found. Approximately 25 % of the total number of co-operatives are within childcare.


Effects on Physical Planning


The development towards a strong local commitment, such as village development groups and co-operatives, are signs of a general change in the traditional planning perspective.

The traditional planning with a “top-down” perspective, which prioritises sector interests, is changing towards a more “horizontal” structure. The ideas and visions of village development groups and co-operatives are as planning tools gradually growing in importance. Municipalities are to a greater extent encouraging local initiatives since it makes the physical planning more relevant and directly linked to the inhabitants.

Plans that are worked out in co-operation between authorities and local development groups have shown to be very concrete and well suited for the local conditions. There is a multitude of ideas that never could arise in traditional planning due to the participation of people that will be directly affected by the plan.

Effect on Employment and Economy


The co-operatives in the county have had positive effect on employment and they have created new jobs.

The figures of employment are in many cases not changing dramatically where co-operatives are established. However, since the settlements often are small, even marginal change are important and clearly noticeable for the inhabitants.

In a gender point of view the majority of jobs that are created are within sectors dominated by women. Out 10 created jobs 9 are within service and care and women hold 3 out of 4 of these jobs. This is an important aspect of co-operatives since there are mainly the young and women that emigrate.

Much of the work performed by co-operatives and village development groups is of a public service character and on a non-profit basis. At the same time as they are producing services and an added value to the society by lowering the costs for the public sector, they are strengthening the we-feeling and the solidarity amongst the inhabitants.

The ideology of co-operatives implies that they are tightly tied to the local economy. Most of there purchasing, approximately 70-100%, is made within the county and it is estimated that the co-operatives contribute to the regional economy with some 4 million ECU per year.

The Informal Economy


In rural regions the informal economy is more important than in urban areas. It is an important part of the every day life in these regions and many times a key factor to maintain a high living standard. Many people are self-supported with different kinds of food like potatoes, fish and vegetables through thier own production, via trading or informal purchases. This means that many of the rural inhabitants can create their own welfare through unpaid work or by getting help from others.

Co-operatives and development groups fit in well in this way of life. People are used to unpaid work, trading services and products of different types and threre is a trust in the local society.


The Social Economy


The ”economic” strength of co-operatives are primarily not within traditional economy and not within informal economy either, even though it suits societies where the informal economy is extensivly used. The economic strength of the co-operatives is within the social economy. It is an economic system where the social assets are used to create added value in the local society.

The approach is to support and make use of peoples competence and ability to co-operate to create a common wellfare. It is not a trading economy in the traditional controlled by the power of the common market. It is a system where the needs of the common are the base for action. Focus is on the human resource and on the human ability.


The Urban-Rural Context


The majority of co-operatives are started in rural areas. Villages and towns have not experienced the same increase in employment.

Even if there are more co-operatives in rural areas than in urban it is perhaps more interesting to see where there are most people involved? The co-operatives in rural areas have more members than co-operatives in urban areas. The jobs created by co-operatives are primarily located in widely spread settlement structures. Approximately 65 % of the jobs are found here. It has also been shown that co-operatives in rural areas have a stronger position economically.

In an urban-rural context the rural areas has strengthened its position. It is also interesting to notice that many of the co-operatives have a clearly expressed environmental profile.

Effect on infrastructure and service


Co-operatives and village development groups have had a positive effect on the preservation of the infrastructure and service in rural areas. That has been done primarily by putting pressure on local politicians and authorities to carry out maintenance and improvements on the local infrastructure and services such as schools, shops and communications.

Social effects


The social and psychological aspects on co-operatives and village development groups are of great importance. There is a feeling of solidarity and a group mentality, which strongly motivate the members. They have a pragmatic way of working with projects and are often concentrated on single projects.

Regional Co-operation

The Nordic Green Belt


The county of Jämtland is together with 49 Norwegian municipalities involved in an operational cross-border co-operation under the INTERREG II Community Initiative – The Nordic Green Belt zone of Sweden and Norway. The programme is designed to overcome problems with joblessness, one-sided business structures, sparse population, weak usage of skill recourses and remoteness in the region. It is partly financed by EU and the regional and national authorities.

Co-operation Framework

The University Collage of Östersund


The university collage of Östersund has been involved in many of the rural development projects. The co-operation has led to the foundation of a new institute “The Institute for Social Economy”. They contribute with research and studies in connection to local development. Its purpose is to carry out research and studies in the field where co-operatives and village development groups work, in the gap between the public and the private sector.

The Local and Regional Authorities


There is a close co-operation between the authorities and the co-operatives. It is important especially in the start-up period. Many of the co-operatives in the county would never have been established without the support from local- or/and regional authorities.

Municipalities in Sweden have realised that co-operatives and development groups, in many aspects, are supplementary to their field of action, e.g. within childcare and care for the elderly. Therefore, supporting co-operatives is many times also economically interesting for municipalities


Local Co-operative Development Centre (LKU)


An important actor in the development process of co-operatives in Jämtland is the LKU. The county of Jämtland was one of the first counties in the country to start a Co-operative Development Centre. The work towards the organisation of today started in the late 1970´s. The model has been copied and today there are Co-operative Development Centres in many other counties.

The primary goal for the LKU is described as follows (1992):

to provide qualified information, education and advise about the idea, economy and administrative methods of co-operatives in order to increase employment and to maintain and develop a living countryside” (authors translation)

The LKU puts great weight on education and information about the co-operative idea at all levels. They support R&D projects in co-operation with well-established co-operatives to promote the development of co-operatives. This has led to co-operation with the university collage in Östersund. Without this close co-operation it is not likely that co-operatives would have established to the present extent.


Region with Support


The Swedish government has identified sparsely populated rural regions, which are parts of the so-called, support areas 1 or 2. This is important for these regions since they then are entitled monetary support.

The Swedish power companies that have exploited the rivers in northern Sweden have funds for villages and regions, which have suffered damage in connection to the development.

The monetary supports the co-operatives and villages enjoy are assets they can use for common interests. This is an important factor for the development of co-operatives and also the purpose with the funding.

Problems, Strangles and Threats

Imbalanced Population Structure


A continuance of the large-scale emigration in the county could in the long-term take out the base for society. The birth rates have decreased and the base for revenue has weakened. The loss of primarily young people and women could in the long-term result in a situation were the population decrease is self-generating. This is the biggest threat to the county.

Potentials and Opportunities

Renaissance for the Local Society


The interest for the local society has grown stronger in the whole of Europe. The development of villages and small towns is an important part of the EU co-operation. In times of fast change and globalisation the local and small-scaled society to many seems attractive. New technology and a shift in society in general towards a “knowledge society” increase the possibilities to live in remote rural areas.

Local Mobilisation


The tradition of local co-operation in the county is strong and an important factor for the development of the county. There are numerous organisations, networks and informal groups of co-operation, which are strengthening the county and increasing the possibilities to bear harsh times. The tradition and culture of having many occupations, many one-person-companies and an all-round knowledge of the population contributes to a great extent to the present development of local mobilisation.

Sectorial and Territorial Policies

Infrastructure


Important for a sparsely populated county like Jämtland are the small roads. The maintenance of these roads is often not satisfactory due to the lack of resources. The poor standard on these roads have negative effect on the daily life of the population as well as it is a problem for industry and tourism. The six most northern counties demand that the roads administrated and maintained by the state attain a lowest acceptable standard that must be maintained.

Models for Development

Co-operation and diversity


Co-operation in the forms of co-operatives and development groups of different types have proven to be a successful way to deal with the difficulties of emigration, a decrease in public service and joblessness. In sparsely populated regions co-operation and a flexible usage of skill resources are important in providing basic service

The settlement structure of Jämtland is not suited for a society of far-reached specialisation. The small villages spread out in the county can not within conventional patterns provide the service needed. There is a need for diversity within the labour market with possibilities to use the all-round knowledge that many people possess to maintain the level of service.


Focus on the local society


The local society, with its unique economical and social conditions, should be the basis in the future work towards a sustainable society in the region. Many of the administrative regulations and physical borders, such as municipality and county borders, are not suited for a society based on the local initiative, a small-scaled industry and all-round knowledge.

Bibliography


Forbord, M., Nye kooperationer i Jämtland och Tröndelag‑en sammanlignende undersökelse, 1997

Ronnby, A., Den lokala kraften, 1995

The Swedish Society for Town and Country Planning, Swedish Planning‑Towards Sustainable Development, 1997

The Swedish Society for Town and Country Planning, , Swedish Planning‑In times of transition, 1991

Bra Böckers Lexikon

PLAN, nr 2-3 1998

Länsstyrelsen Jämtlands län, Jämtlands län‑Strategiska analyser av regionalutveckling och till följd av åtgärder i transportsystemen, 1999

Länsstyrelsen Jämtlands län, Fakta om Jämtlands län 1999, 1999

Tillväxtavtal Jämtlands län, 1999

NOGRAN, Regional utveckling i Norden, 1995



European Commission, The EU compendium of spatial plannig systems and policies, 1997

NUTEK, Regioner på väg mot 2015, 1997
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