Dutch Regional Agencies Fuel Innovation to Tackle National Challenges
Netherlands, Saturday, 10 August 2024.
Nine regional development companies in the Netherlands have provided crucial support to thousands of startups and SMEs, fostering solutions for pressing issues like housing shortages and sustainable energy. This strategic initiative aims to boost the country’s economic potential through regional innovation.
Financial and Logistical Support
In 2023, the nine regional development agencies (ROMs) in the Netherlands extended financial and logistical support to thousands of startups, scale-ups, and small to medium-sized enterprises (SMEs). This concerted effort allowed these businesses to focus on innovative solutions to significant societal challenges, including housing shortages, electrical grid congestion, sustainable food production, and climate transition.
Significant Investments and Projects
The ROMs made substantial investments, contributing €219 million to 372 innovative SMEs. Their involvement was pivotal in 50% of the companies that managed to attract startup and later-stage capital. In total, the ROMs supported 474 innovation projects in 2023, with a financial scope exceeding €350 million, involving over 1,000 companies. These projects targeted crucial areas such as energy transition, food transition, resource transition, health, safety, and key technologies.
Strategic Collaboration
A key element of the ROMs’ strategy is the Multi-Year Strategy for Cross-Regional Collaboration 2024-2027, published by the Minister of Economic Affairs and Climate Policy (EZK) in late June 2023. This strategy emphasizes the importance of cross-regional cooperation to amplify the impact of local innovations on a national scale. To bolster this collaboration, the ROMs received a one-time boost of €4 million in late 2023.
Energy Hubs Stimulus Program
In addition to the €4 million boost, an extra €2.5 million was allocated under the Energy Hubs Stimulus Program to develop energy hubs across the Netherlands. These hubs are expected to play a critical role in addressing electrical grid congestion and supporting the country’s energy transition efforts.
Global and Local Impact
The ROMs have also been instrumental in supporting Dutch SMEs in expanding their operations internationally. Through 194 international trade activities in 2023, they assisted 4,200 participants. Furthermore, 138 foreign companies were supported in establishing or expanding their operations in the Netherlands, committing to invest €1.1 billion in the Dutch economy over the next three years and creating or maintaining over 3,330 jobs.
Focus on Innovation
Wendy de Jong, chair of ROM-Nederland, underscores the importance of continuous innovation, stating, ‘We have made steps, but I urge to continue to focus on innovation. Because innovation affects us all.’ The ROMs actively work with businesses, educational institutions, and government bodies to strengthen innovative ecosystems through strategic innovation agendas.
Successful Projects
Some of the notable projects supported by the ROMs include BOM’s collaboration with Protix on insect farming, Horizon Flevoland’s partnership with Econowind on sustainable shipping, and ROM Utrecht’s work with Nordsol on producing high-quality Bio-LNG with low CO₂ emissions. These projects exemplify the innovative solutions being developed to tackle key societal challenges.
Future Prospects
Looking ahead, the ROMs expect the positive contribution of regional SMEs to the Dutch economy to grow significantly. With a total fund volume of €2.1 billion and over 600 employees, the ROMs are well-positioned to continue driving innovation and supporting the development of sustainable solutions to the Netherlands’ pressing societal issues.