Sustainable Development Study, Vysoke Tatry 2005 (executive summary)

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005 Executive Summary

The Study of the Sustainable Development − High Tatras 2005 elaborated by a team of authors won the competition announced by the Government Office of the Slovak Republic.

HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY

EXECUTIVE SUMMARY

Landscape state before calamity (3D model, Source: AKEP 2005)

AUTHORS TEAM Director of the project

Environmental pillar

Social & economical pillar

Spatial planning

Emil Martinus Roest LLM MScBA

Prof. RNDr. Hubert Hilbert PhD. Prof. Ing. Rudolf Midriak DrSc. doc. Ing. Ľubica Zaušková PhD. RNDr. Radovan Hilbert RNDr. Peter Malík CSc. RNDr. Kamil Vrana CSc. RNDr. Ladislav Holko PhD. RNDr. Oliver Bochníček PhD. RNDr. Pavol Faško CSc. RNDr. Pavel Šťastný CSc. Prof. RNDr. Milan Lapin CSc. Ing. Peter Fleischer PhD. RNDr. Peter Burda Ing. Jozef Kuchta Ing. Peter Chomjak Mgr. Ľubomír Gajdoš Ing. Marián Onufrák Ing. Vladimír Vagaský Ing. Marek Glevaňák PaedDr. Miroslava Birošová Ing. arch. Alexandra Berková RNDr. Vlasta Körnerová

JUDr. Milan Hagovský PhDr. Andrea Hagovská Ing. Karol Morvay PhD. Ing. Michal Gajdzica Mgr. Zuzana Gajdzicová Ing. Peter Sárinec Ing. Michal Burian PhD. Ing. Simona Ondriašová Ing. Štefan Zíma Ing. Iveta Orbánová Ing. Lucia Laššová

Ing. arch. Michal Chudík PhD. Ing. arch. Ľubomír Klaučo Ing. arch. Alex Baláži Ing. arch. Eva Hledíková Ing. arch. Vojtech Hrdina PhD. Ing. arch. Milan Vaníček PhD. Ing. Ladislav Červeň Mgr. Jana Hocová Ing. Ján Konček PhD. Doc. MUDr. Dušan Salát CSc. Ing. Ivan Smetana Ing. Ľubomír Mateček Ing. arch. Alexander Bél Ing. Peter Faith

Main coordinator RNDr. Roman Krajčovič Boundaries of the calamity Expert management by SD pillars Prof. RNDr. Hubert Hilbert PhD. JUDr. Milan Hagovský Ing. arch. Michal Chudík PhD.

Legislation Mgr. Pavol Takáč Mgr. Zuzana Zajíčková Mgr. Erik Werner Spatial representation of the calamity Evaluation of the local government proposals RNDr. Stanislav Klaučo

Project coordination: RNDr. Igor Polčan Ing. Martin Hlavinka

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For further details and information refer to: TiRA − Tatranská informačná a rozvojová agentúra, 062 01 Starý Smokovec 1, Slovak Republic (Tatry Information & Development Agency) tira@stonline.sk, +421 (0)903 428 156, or +421 (0)910 968 145

EXECUTIVE SUMMARY

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005

CONTENT INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 1. Vision of sustainable development of the Tatras region. . . . . . . . . . . . . . . . . . . . . . 6 Environmental pillar Economic pillar Social pillar Vision of the integrated region 2. Regional self−sufficiency model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 3. Environmental starting points . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 4. Implementation of the Lisbon Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 5. Principles of sustainable development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 5.1. Aims and principles Conservation and protection of landscape and cultural inheritance Development of rural areas Economic and regional development Agriculture and forestry Recreation and tourism Social infrastructure Technical infrastructure Transport 6. Urbanization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 7. Biodiversity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 7.1. Ecological Stability 7.2. Proposal of integrated forestry 8. Economic pillar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 a. Development of economy based on knowledge b. eEurope−regio c. Regional identity and rural development d. Agriculture Key strategic objectives: Expected impact: Integrated solutions Direct foreign investments 9. Institutional development. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 High Tatras – region of international importance Participation of local citizens 10. In Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 11. GIS Maps (selected 3 basic examples − reduced scale) . . . . . . . . . . . . . . . . . . . 19

Integral part of the Study is its graphical part processed by using the GIS ArcInfo technology.

The graphical part of the Study consists of the following maps: 1.A.

Proposal of complex solution of spatial and functional arrangement of the territory Scale 1: 50 000 Schemes: 1.A.a.

Broader relations 1.A.b.

Division of the territory into key functional zones 1.A.c.

Scheme of resident traffic in the territory 1.A.d.

Cultural−historic and recreation potential

1.B.

Spatial and functional arrangement of the territorial system of environment stability Scale 1: 50 000 Schemes: 1.B.a.

Legislative protection of the environment 1.B.b.

Draft of the environmental infrastructure 1.B.c.

Nature of the forest according to forest categories and extent of break 1.B.d.

Functional types of forests Feeding Scale 1.B.1.

1.B.2.

1.B.3.

1.B.4.

1.B.5.

2.

marks 1 : 50 000 Limits with respect to rurality Limits with respect to biota stability Limits with respect to abiotic landscaping procedures Limits with respect to socio−economic processes Integration of anthropic activity in the territory

Proposal of urban−landscaping and environmental functioning relations of single holiday centres Scale 1: 10 000 Schemes: 2.a.

Scheme of investment plans for the territory 2.b.

Accessibility of the territory from D1 motorway 2.c.

Loading of selected segments of the road system 2.d.

Proposal of recreation territory units in the territory

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HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY Protected areas − Carpatian round

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EXECUTIVE SUMMARY

EXECUTIVE SUMMARY

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005

INTRODUCTION

The aim of the Sustainable Development Study – High Tatras 2005 (the “Study”) was to establish a balanced model of functional and spatial arrangement of the solved territory built on three pillars of sustainable development, namely environmental, economic and social, supplemented with the institutional frame and spatial arrangement.

In elaborating the study, a large group of authors primarily worked on the existing strategic documents, programs and priorities approved at the level of the Slovak Republic and the European Union (National Strategy of Sustainable Development, Territorial Development Concept of the Slovak Republic, the Lisbon Strategy, Natura 2000, etc). The official documents of the UN (Agenda 21), World Conservation Union (IUCN classification), World Tourism Organization (WTO guidelines) and other relevant documents of renowned international institutions were among the supporting documents, too. A separate part of the supporting documents was represented by strategic regional documents, namely Territorial Plan of the Higher Territorial Unit of Presov and Zilina regions, TANAP Zoning Project, TANAP management Program, Action Plan of Biosphere Reservation Tatras within UNESCO Man and the Biosphere Program (MaB), Landscape and Ecological Plan of the High Tatras, including its update, Urban Study of the town of the High Tatras, and many others.

The territories of Poprad, Kežmarok, Liptovský Mikuláš and Tvrdošín districts were considered the broader territory, while a special attention in solving such territory was paid to the cadastral area of the town of the High Tatras with an emphasis put on the proposals for three key development centers − Štrbské Pleso, Starý Smokovec (Smokovce) and Tatranská Lomnica.

The proposals within the Study took into account also the regional links to Orava, Liptov, Spiš and Polish area of the High Tatras.

The proposals within the Study recommend a number of measures intended to:

• We identified in detail the economic potential and pointed out possible competitiveness of the region within the European Union • We described particularities of the region and related main comparative advantages both in the contexts of Slovakia and Europe • We defined priority and auxiliary functions to be fulfilled by the region which allow to meet the quality criteria for inhabitants and visitors of the region, while being based on the quality of environmental conditions • We specified the criteria of the economic self−sufficiency of the region and related development financing possibilities • We suggested the revitalization methods of the ecological and aesthetic values of the country • We defined the functional components to be further developed as well as the qualitative factors of their development together with the draft development monitoring methodology • We recommended a number of measures to improve the urban, aesthetic and cultural level of the solved territory • Last but not least we suggested the method of a long−time marketing strategy intended to support the development of the territory in question

• actually solve the renewal of the Tatras region • provide for integrated solutions that allow mutual penetration and coexistence of all core functions of the territory • propose protection levels of the selected TANAP zones in connection with development of the key tourism centers, including the proposal for the national park category as per the IUCN criteria • make a proposal for acquisition of funds and their effective use • draft a model plan of the territorial administration

In elaborating the landscape−ecological section of the Study we applied the amended methodology LANDEP (LANDscape Ecological Planning) whereby the following was defined: • ecological capacity of the High Tatras • functional arrangement of the territory and specification of the spatiotemporal anthropic activities • stabilization of dynamic phenomena in the country

We believe that strengths of the Study comprise, among other things, the developed model of possible self−sufficiency of the region and the possibility of assessing the study, while incorporating it in the program documents for the new program period of the European Union 2007−2013.

Following the commenting procedure the Study can be used as a singular tool for drafting a effectual strategy of development and revitalization of the Tatras region, drafting conceptual planning documents of the town of the High Tatras, modern management of the state nature conservation as well as competent decision−making on the development strategy for the area affected by the windstorm disaster.

The group of authors believes that the present Study may be of help to all relevant entities who have the future of the High Tatras development at heart in searching for effective and feasible solutions, establishing strategic partnerships and overall economic, social and environmental prosperity, while adhering to sustainable development principles.

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HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY

VISION OF SUSTAINABLE DEVELOPMENT OF THE TATRAS REGION In 2020 the Tatras region is the territory chosen by the people for living, working and relaxing. They have chosen it for singularity of the High Tatras, the smallest mountains in Europe enjoying a top−quality environment, for stable and varied offer of jobs, services and economic activities as prerequisites of a favourable social development of the territory.

The Tatras region is the most important and the most famous territory of Slovakia where the sustainable economic development respects the priority of the values of nature. Environmentally aware citizens effectively participate in planning and decision−making on public affairs.

Environmental pillar • active and creative conservation of nature as the biological basis of environment forms part of any function in the territory and represents the first basic prerequisite of the sustainable development (SD) of the territory • protection of cultural and historical inheritance and its active use and enjoyment stand for the second prerequisite of the sustainable development of the territory • environmental education forms part of the general education of children and adults • comprehensive monitoring of the quality of the territory is in place and regularly evaluated to maintain the quality of nature within the European dimensions • care for nature and agricultural land, development of settlements, and maintenance of the region’s cultural identity are of permanent priority of the territorial interest

Economic pillar • interconnection of business and research areas stand for the guarantee of progressive business activities • sustainability of development is directly proportional to the competitiveness of the region in environmental, social and economic 6

EXECUTIVE SUMMARY areas, while none of the areas in question develop to the prejudice of the other area in order to avoid destabilization of the territory • protection of national parks and development of implied functional activities are in the center of the attention of the regions where the parks are situated and, retrospectively, quality and prosperity of the parks are the sources of profits for the involved regions of tourism, recreation, spa treatment, and extensive forms of agriculture • economic activities within the region adhere to the social and economic limits of that region

Social pillar • the society enjoys positive interpersonal relations, mutual trust and respect, helpfulness, equality and freedom of permanent residence, and the urban areas are mainly of tertiary nature • the settlements increase their standard of amenities both for the local inhabitants and visitors • social balance and development of the individual functional activities on different levels of all income brackets are prerequisites of the sustainable development

cross−border cooperation and cooperation of mountain areas in Slovakia and abroad • becomes a place offering a quality life to its inhabitants and bringing exceptional experience to its visitors, • strengthens and develops the specific links between the individual important regional centers (Poprad, Kežmarok, Levoča, Spišská Nová Ves, Stará Ľubovňa).

The town of the High Tatras and the Tatras region as a modern development center of the European importance. The town of the High Tatras and the Tatras region as the economic, cultural and knowledge−based gate to adjacent regions (Poland, Ukraine, Hungary, Czech Republic).

Prerequisites: • knowledge−based potential as the general criterion of the economic regional strategy, • processing of strategic materials with support of innovative business connected with the shaping industries of the region, and integration in the network of the innovative regions

Vision of the integrated region and town of the High Tatras

The implied strategy and formation of the implementation prerequisites will allow the town of the High Tatras and the Tatras region to face the following threats:

The existing dynamic age stems from a number of elements of the political, social, economic, scientific and technical nature which give a chance to form a new type of the region based on the principles of the international cooperation and sustainable development.

• negative migration, decrease of knowledge and availability of qualified labour • increase of ecological burdens and future expenses incurred in connection with the environmental infrastructure • focus on provision of services and support of investments in the business activities and technologies with low value added

The development of the High Tatras town needs to be considered within the context of the cross−border cooperation as it has the potential to become a specific development center, provided that highly−selective support is performed and local and regional strategies applied. We imagine the town of the High Tatras as a part of a modern and dynamically developing and managed region so that it: • becomes a center of the European importance based on the concentration of the specific human, research, cultural and institutional potential interlinked with significant national and international development poles, • initiates and coordinates the development projects in the field of the

Partial visions • the High Tatras are the place where the existence of man in a biosphere reservation is allowed for and protection of countryside with respect to maintenance of the biological diversity supported • the High Tatras are the place where all groups and sectors of interest are united in their common understanding of the biosphere reservation as a part of the world−wide network, while the maintenance of such unique inheritance is the principal and permanent prerequisite of further life in view of the multigenerational perspective • the High Tatras represent on the European map a distinctive and

EXECUTIVE SUMMARY singular destination of responsible tourism providing a comprehensive care and trouble−free availability of all services via the state−of−the−art professional information technologies, high value added, significant benefit for the local communities, and the minimum negative impact on the environment, while their cultural identity will be maintained on both the national and international level • the destination of the High Tatras is managed and developed via the sustainable development management, while ensuring the interconnection between the economic, social, environmental or institutional pillars, namely based on clear and unchanged rules and functional and spatial links focused on responsible and long−time use of the country and its natural sources supported by transparent mechanisms preventing the abuse of the political and economic interests • the territorial management works on the principles of the sector−to− sector partnership (PPP concept – Public Private Partnership) where the social role of the business and non−governmental sectors grows and mutual trust, partnership and equality are the basic principles • the prudential principle is applied on the process of tourism development, possible risk factors are monitored and eliminated, the state−of−the−art and provably environment−friendly building and operating technologies are used • the economy of sustainable tourism is built on the services of a broad range of undertakings whose standard is represented by the environmental and social responsibility defined via the international certification mechanisms • the local people are environmentally literate and feel liable for quality development of the destination focused on enhancement of the quality of life, and they effectively participate in it within their limits • the example of the High Tatras helps develop and spread around a responsible approach to tourism in a valuable countryside of Central Europe via its research, information and educational structures, modern management of conservation, and control of the number of visitors • the High Tatras closely cooperate on the partnership basis with the neighbouring regions, especially in the Republic of Poland The aforesaid visions of the regional development are reflected in other chapters of the Study – implementation of the Lisbon Strategy, strategic goals and development priorities, financial plan of development and renewal, and development monitoring system.

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005

REGIONAL SELF−SUFFICIENCY MODEL Sustainability of the regional development, criteria of the economic independence of the region, acquisition of financial resources for the region The sustainability of development of the broader and the confined regions of the High Tatras is connected with strategic interventions which the long−time growth of the examined territory rests on. A vital criterion for fulfilment of the visions and recommendations incorporated in the Study is the acquisition of sources for financing the identified needs. At present situation neither the wider nor the confined region are able to generate such funds themselves. Accordingly, these funds need to be looked for especially in the external environment. A decisive part in financing the development of the High Tatras is played by the public funds. Only these funds are able to refinance the construction and modernization of the basic infrastructure which provides room for private sector investments.

If the private investments are effective in terms of economy, they will generate not only the funds for own development but also the fund for the public sector which will assume the form of taxes and charges.

Accordingly, the public and private sector investments interact and their efficiency is mutually conditioned. At the same time it is important to say that if the strict regulations of protection are complied with and the economic growth limited, the confined territory of the High Tatras cannot be economically independent (the major limit to its financial independence is represented by the rate and the level of its potential urbanization).

• inhabitants residing in the towns of the confined region • entities carrying on their business in the confined region • introduction of the residential tax and other local charges • charging of the selected public services (parking, nature trails, etc.)

It is necessary to distinguish within the solved region between two types of investments: i.) Investments pursuing non−financial benefit (it refers, in particular, to the investments designed for renewal and improvement of the historical, cultural and natural wealth of the High Tatras which is available to all people for free or for a symbolic fee, and to the investment which provide for the basic infrastructure of the territory, i.e. roads, utilities, schools, local administration, etc.) ii.) Investments pursing financial benefit (investments based on the financial effect, i.e. hotels, spas, ski slopes, research parks, wellness, restaurants, etc.)

The benefit of both investment types must be a measurable indicator expressing the efficiency of the invested capital. As regards the investments pursuing the non−financial benefit, such indicators may be represented for example by the number of visits and repeated visits of the High Tatras or of the specific facility, duration of stay of the average visit, quality of air and water in the territory, length and quality of nature trails, availability of public services, development of fauna and flora in the Railway station POPRAD reconstruction (visualisation)

Nowhere in the world the territory of a comparable level of protection can be self−sufficient in terms of the generation of funds for own development.

From the financial point of view the protected territories stand for a value which must be subsidized via the public budgets to ensure their social functions or the benefit for the community. However, nothing changes in the fact that also a strongly regulated territory is subject to the cost− effective and investment principles aimed to provide for its maintenance and development. In practice, the efficiency of each crown spent must be confronted with the benefits of the subsidized area (the so−called cost benefit analysis). Obviously, the confined region cannot be fully subsidized via the public budgets. The region must be able to generate at least one portion of the funds itself. The generation of such funds must be based on: 7

HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY

EXECUTIVE SUMMARY

protected area, degree of erosion of rock units, number of information boards on the nature trails, share of wooded and recreational areas, number of inhabitants and undertakings in the region, etc.

• sustainability of high standards and quality of products and services • they leverage on the specific potential of the region in which they are situated

chemical industry and tourism. To be able to catch up with more developed Slovak or EU regions, the wider region must firstly extend the range of activities performed by the core sectors of employment.

The key indicators of the investments pursuing the financial effect are the profitability, return on invested capital, solvency, liquidity, indebtedness, internal rate of return, investment recovery. It is necessary to define for the above−mentioned indicators the values comparable with the desired status and their development must be monitored and evaluated in time.

It means that the aim is to maintain the desired status of the investment benefit for the longest possible time or with the minimum additional investments in short time intervals.

Successful and the most beneficial investments for the confined region of the Tatras will be the investments which:

Also here the main goal must be to provide for the growth of the value added, productivity of labour, and increase of the share of the human capital value in the value of products and services. It is particularly desired to build the research and development centers near large industrial undertakings (Whirlpool, Chemosvit Holding, Alcatel, Matsushita, etc.). Especially in the context of the future development planning it is important to retain the educated and capable labour capital that leaves the region in many cases with the aim to find a higher standard of living and appreciation in the western part of Slovakia.

The investments meeting the below criteria are considered economically effective for the confined region: • their value added is high • they are based on and benefit from the particularities and exclusivity of the High Tatras environment • recovery period is less than 12 years • internal rate of return is at least 5% • they are tolerant to the limits and regulations of the territory in which they are situated • profit ratio is at least 8% p.a.

• they are able to generate positive cash flow Hydro−geological potential of underground sources

• provide for an extra appreciation of the human capital • are based on knowledge and ability of the human capital or develop the knowledge−based economy • are flexible and able to adapt to the changing environment and demand • support the internal consumption of products and services created in the region • are of a multinational nature • contribute to the diversification of the business areas in the region It needs to be applicable to the products and services resulting from the commercial investments in the confined region that their exclusivity and high value for the consumers is expressed in the price of such product or service, while providing for the profitability of the entities operating in the confined region. The basic drivers of the sustainable development of the region need to be searched for especially in the support from the state budget and the budget of the European Union. The needs of the High Tatras, in particular in the areas as specified below, must be considered especially in the period when the EU budget is being approved for the programming period of 2007 – 2013: 1. Basic infrastructure 2. Industry and services 3. Regional and cross−border cooperation programs 4. Human resources 5. Elimination and removal of discrimination and inequality on the labour market 6. Transport infrastructure 7. Environment 8. Agriculture, forestry, and rural development A much higher economic independence, though not a full one, can be enjoyed by the wider region of the High Tatras. Freer environmental limits, qualified labour and better and better transportation accessibility create good conditions especially for development of a traditional light industry (white goods manufacturing) as well as wood−working industry,

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Principally the confined region is unable to become fully self−sufficient.

Demanding protection and reservation imply costs which are so high that without the help of the external budgets the region is unable to grow, neither in the short nor in the long run. In spite of this fact it is possible to model the nature of its partial self−sufficiency which is based on three core pillars and one ancillary pillar: The first pillar defines the internal financial flows and ability of the region to generate own funds. Concurrently, it identifies the needs of the financial resources for the investments.

The tax income expresses the volume of funds collected by way of taxes and local charges which remain in the region.

The loan policy describes the availability of new loans designed for regional development as well as the loan policy burden on the regional economy and budget.

The capital balance expresses the difference between the income and the expenses of the region for the monitored period.

The investments define the volume of funds spent for the investments which increase the standard of the environment for performance of other investment plans.

The second pillar covers the sector of production (small, medium and large enterprises), purchasing power of the inhabitants, and the effect on the construction of apartments and reconstruction of the existing residential property, job vacations and infrastructure.

EXECUTIVE SUMMARY Lesne spoločenstvá − zobrazuje skupiny lesných typov

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005 Based on such knowledge we are able to: • define sustainability of the existing development • define positive and negative phenomena in the existing development • propose changes in the existing development

The third pillar of the model consists of the inhabitants. It monitors behaviour of the pre−productive and productive category of people as well as effects of the social influence and care on these groups. At the same time the third pillar covers the element of mortality and the total resulting increase of the inhabitants. It is supplemented with the volume of financial resources spent for the purpose of ensuring health and social care.

The ancillary pillar contains financial transfers from the off−budget sources of the region and non−financial assistance designed for the region.

The aim of the self−sufficiency model is to catch the development dynamics of its individual elements in time with the primary focus on the generation of funds, development of the region and human resources.

Important for the model is to know: • behaviour of the individual elements of the model • mechanism under which the future regional development will be shaped • strengths and weaknesses of the future development, opportunities and threats • trajectory of the future development

The main aim of the model is to establish relations between its basic elements and identify the effects of any change in one element on the other elements. The primary effort of the model is to identify and define how the monitored purpose will be reflected in the regional development before a decision on such purpose has been taken. Concurrently, it allows comparing an alternative solution in the context of the effects and invoked responses in the components which make up its pillars. The model is structured on the assumption that the selected elements interact on certain conditions or that they are interlinked. It is extraordinarily important to correctly evaluate every interaction between the individual components of the model. In setting the basic structure of the model two basic types of interactions are distinguished: a) quantifiable interactions b) absolute links When applying the regional self−sufficiency model the following facts must primarily be considered: • the model is not static but dynamic and must be supplemented based on the gained experience • the model must combine the past experience and intuitive solutions • every tool used in the model must be used at the right time and at the right place • the functional mechanism of the regional development is a teamwork of many groups of interest (business, public, of interest, financial) and general quantities such as the increase of inhabitants • the model is a measure / it holds the mirror up to purposefulness of the investments which seem to be interesting and passable • objective comparison of the proposed solutions by way of simulation provides relatively objective information about the advantages and weaknesses of the solutions thanks to which it is possible to eliminate the identified shortcomings and enhance the analyzed proposal The main aim of the model is to provide such solutions which will contribute to the sustainable development of the examined regions as much as possible.

ENVIRONMENTAL STARTING POINTS A high percentage extent of the territory classified in the highest levels of the environmental quality (high level environment and environment of suitable quality) creates very good environmental conditions for the life of its permanent inhabitant. It is the settlements with a direct contact with nature which enjoy a high social, cultural and aesthetic value in the present European civilization which will continue to grow with the gradual ecologization of the social awareness. More than 90% of the area of the solved territory enjoys suitable localization prerequisites for recreation and tourism in terms of the environmental quality. On the contrary, from the point of view of health it appears highly recommendable for the majority of the Slovak and foreign inhabitants to spend at least a limited period of time in an undisturbed, valuable and in particular natural environment which this region can offer to its visitors. The remaining area mainly represented by the towns of Liptovský Mikuláš, Poprad and Kežmarok should create conditions for development of the selected forms of tourism (sightseeing, congress, shopping tourism, etc.) in whose connection the environmental quality is not a decisive criterion.

It will not be easy to reduce a fifty percent share (which is a rather high volume for the time being) of the inhabitants living in the territory classified in the environmental quality category 3 − 5 (moderately disturbed to very disturbed environment) with regard to the concentration of such inhabitants on the small area of the largest settlements such as Liptovsky Mikulas, Poprad and Kezmarok, and primarily with regard to the complex morphology and climate of Liptov and Poprad basins which contribute to deterioration of the emission situation. A substantial trend for the future will be the change in the structure of economy primarily focused on the development of the service sector and knowledge−based economy which, compared with the standard industry, bring about a decrease of the environmental burden and enhancement of the environmental behaviour of both the economy and the general public. As regards the new industrial investments, it is necessary to consistently give preference to those which bring environment−friendly technologies and make products with a high value added.

Strong or extreme water erosion threatening the soil can be reduced and the related production potential maintained by taking anti−erosion measures, implementing the projects of protective vegetation planting, revegetating the land not used for the agricultural purposes and/or by changing the land use purpose. The implementation tool for fulfilment of 9

HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY the aforesaid goals should be represented by the land reallotment projects and the settlement of the title to land which needs to be carried out in the solved territory without undue delay.

The occurrence of uncontaminated farm land should create, besides other things, conditions for development of farming focused on the production of non−polluting products and cultivation of medical herbs, forest fruits, etc.

The most valuable environmental element of the solved territory is the high worth and for the time being in many places rather undisturbed alpine, mountain and submontane land which is singular not only in the context of Central Europe and which provides an exceptional opportunities for tourism and recreation in the countryside. Compared with other Slovak regions and European countries this limited and a rather small territory witnesses a concentration of an unusually varied diversity of shapes of the relief and a picturesque and differentiated, both in terms of space and natural scenery, structure of an open country characterized by forests, meadows, scattered trees and bushes, fields and settlements in the area of Zamagurie, Orava, foothills of the Tatras and Liptovská Teplička. Such concentration of the natural values creates perfect conditions for development of many forms of tourism with a very favourable space−time accessibility for the visitors, which allows preparing comprehensive products of tourism focused on different target groups of tourists.

The gradual increase of attractiveness of the areas within the solved territory which are marginal for the tourists at the present time (Pieniny and Zamagurie, Liptov and Poprad basins, etc.) as well as the increase of the level of the provided services should eliminate the local and seasonal time concentrations, being often very high, in the tourist visit rates particularly in the area of the High Tatras, as well as the related demands for the utilization of resources (drinking water, power, etc.) and disposal of waste and waste water.

A significant natural resource and the development potential of the solved territory also in the European view is the climate that is suitable for the elimination treatment of respiratory diseases and allergies. It is necessary to point out the fact that the results similar to those of the climatic treatment in the spa town of the High Tatras situated at the altitude of 800 – 1,350m have been recorded in the Alps only at the altitude of 2,500m, which is not the appropriate altitude for the people suffering from cardiovascular disorders.

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EXECUTIVE SUMMARY A significant criterion of the sustainable development of the town, region or state is the preferential use of the domestic resources. A considerable potential of the renewable sources in the region (in particular biomass assuming the form of dendromass and possibly the areas of geothermal water and partly also the hydro energy potential) creates favourable conditions for the energetic self−sufficiency of the region. The preferential use of these resources could gradually reduce dependence on the import of the sources of energy from other regions.

A significant potential of a large quantity of watercourses especially in the region of the Tatras together with a high wateriness and quality of water creates conditions for both supplying the inhabitants with drinking water and building small reservoirs in Poprad basin with a multifunctional use (increased biodiversity of the territory, recreation, fish farming, emergency reservoirs for fire fighting, etc.).

IMPLEMENTATION OF THE LISBON STRATEGY IN THE REGION The competitiveness strategy of Slovakia by 2010, including also the national strategy for the implementation of the Lisbon Strategy, require that Slovakia becomes “a synonym both in Slovakia and abroad of a country with extraordinarily educated and creative people, developing science and technology, where innovative top−quality products and services continuously come from.”

This strategy is based on four pillars – i) enhancement of the business environment, ii) information−based society, iii) science, research and innovations, iv) environment−friendly education and employment.

PRINCIPLES OF SUSTAINABLE DEVELOPMENT The strategic goal of the EU member states is to make the European Union become by 2010 the most competitive and the most dynamic economy in the world able to provide for the sustainable economic growth (the so−called Lisbon Strategy set up by the main representatives of the EU member states). The EU established the legislative framework for protection and maintenance of the European locations of wildlife and biotopes (principles, initiatives, suitable procedures in Europe drafted based on the seminar held in Lisbon).

• establishment of a continuous network of protected territories in the EU member countries (Natura 2000) as a common inheritance of the states • a set of directives for sustainable tourism in such network • the list of priorities and general principles for sustainable tourism • legal and statutory wordings regarding conservation of the European extent, protection of species and biotopes • protection of natural resources and management of the protected locations • conservation as an integral part of the territory utilization policy The most important initiatives at the present time aimed to support the sustainable development of the protected territories focused on the conservation strategy and development of sustainable tourism in the protected areas: • European Charter EUROPARC • Principles and Criteria of PAN Parks (1999) • World Charter for Sustainable Tourism 1995 Main goal of the initiatives

The SD Study – High Tatras 2005 has drafted applying the princi− ples of and the requirements for maintenance and development of biodiversity, natural and cultural inheritance, and maintenance of the elements of nature. It is expressed by way of the principles developing the Lisbon Strategy, while applying the new require− ments for qualitative aspects of the use of the High Tatras region.

• establishment of the European network of large−scale and well− managed protected areas • active protection of the protected areas via a suitable and environment− friendly development of activities which do not harm the species or biotopes

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SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005

Aims and principles of such initiatives which are applied on the proposed aims and principles of sustainable development of the Tatras

• to support environment−friendly products • to support the local employment and develop the new forms of employment • long−time benefits and jobs for the local communities around the protected area

Conservation and protection of landscape and cultural inheritance

Agriculture and forestry

• to ensure ecologically optimum development and use of the territory, while adhering to the limits of the capacity of such territory • to harmonize the use of the area and the functions of conservation and protection of the natural resources • to develop the TANAP area as the park with high standards of conservation and nature−based activities • to call for environment−friendly behaviour • to provide for a suitable use of the land resources in accordance with the potential of the territory • to support the environmental education • to contribute to the protection and increase of the quality of the natural and cultural inheritance • tourism supports conservation in the protected area – a certain share in profit must be returned to the “green magnet” for the investments to be made in the protected area and for its management

Development of rural areas • to maintain the original distinctive features of the rural areas, nature of housing development and historically established lower country, ethnographic particularities, specific nature and countryside • to pay attention in developing the individual activities to prevention of possible negative effects of such activities on the rural area • to establish cultural and equal environment with urban areas and to fit together the traditional rural area and the requirements of the modern living • maintenance, appreciation, use of cultural inheritance (of all elements)

Economic and regional development • to support small and medium−sized enterprises in the interest of SD • to support the local economy • to create conditions for equal distribution of inhabitants with higher qualification

• in the interest of the rural development in mountain and submontane areas to provide for an adequate standard of living and enhance the quality of life of the rural inhabitants by way of supporting the selected centers and leveraging on their natural, demographic, cultural and historical potential • to develop the traditional craftsmanship, ancillary productions and non− productive activities connected with farming and forestry • to support the local production

Recreation and tourism • to support the types and forms of tourism which are subject of the international interest: spa, mountain, cultural, summer, winter, cross− border tourism • consistent interlinking of the aims of the recreational and sightseeing tourism • to locate the recreational and tourist services preferentially to the town of the High Tatras and municipalities of the submontane zone with the aim to prevent from expansion of the recreational units in the open country, while making use of the historical settlements and sights • to support the revitalization of the therapeutic spas based on the peculiarities of the area in question • to ensure in the therapeutic spas the proportional ratio of curative, tourist and recreational, cultural, sports functions • to keep tolerable ratio in the territory of the national park of the conservation function and recreation and tourism • to extend the offer of the recreational facilities with new tourist traps • information, promotion of education, discovering • to pay a special attention to the visitors with specific needs and limited financial resources • to encourage participation of the “local people” • to serve as a model for other industries and influence their procedures • monitoring of the visit rate

Social infrastructure

• to support the development of schools, training facilities, centers of education, high schools (based on the local labour market), medical facilities and services within a reasonable distance also in the areas situated farther from the urban centers, to extend the capacity of medical institutions and hospitals in accordance with the needs of the inhabitants of the region, to support the development of social care facilities and cultural facilities • to support the cooperation of the local people, entrepreneurs, partnerships in the development • to broaden the interest with natural and cultural inheritance of the region, to support the local culture • to develop consulting, seminars, training programs for the local entrepreneurs • to provide for enhancement of the quality of life of the local people

Technical infrastructure • to ensure the requirements regarding the area of the municipalities’ sewerage systems in accordance with the EU legislation (e.g. separation of the rainwater drainage, rainwater recycling, etc.)

• to promote the use of the local sources of energy in the submontane areas of the Tatras region (biomass, geothermal and solar energy, small−size hydro power stations for the needs of the inhabitants and services) • separation, recycling, storage of waste within the optimum distance of the largest producers • to minimize the production of the quantity of waste, power consumption (to inform the visitors about it)

Transport • monitoring and evaluation of visitors and car, • to reduce, if not prohibit, access of transport where/when inappropriate (selected sections, certain periods), save for the local people and disabled visitors • to support walking, cycling, shuttle service, unusual types of transport, public transport

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HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY

EXECUTIVE SUMMARY alpine zone) – Lomnica and Jamy. Modernisation of ski slopes with high−performance transport facilities, technical adjustments and extension of ski runs with assumption that the number of clients per day will increase to approximately 4500 – 5400.

The area below the Cesta slobody is covered mainly by forest stand, which is considerably damaged at present. Within the framework of recovery of this zone there is proposed a network of touring paths with rest places (vacation spots, picnic), bicycle paths, paths for horse−drawn sledges and cross−country trails. The forest near main centres could have a nature of forest park. During the recovery it would be advisable to solve this zone by alternating forests and meadows with views from the Cesta slobody to the basin and on mountain peaks and with identification of observation panoramic sites.

URBANIZATION The urban design of town Vysoké Tatry (High Tatras) is atypical; it consists of 14 agglomerated solitaire city districts developed around Cesta slobody more than 30 km long. Further development of the town is considerably determined by: traditional and existing functional orientation, size and amenities infrastructure and character of the environment. Based on the importance and aim of the Tatry National Park (TANAP), the key territories of further development of the town are: Štrbské Pleso, Smokovce and Tatranská Lomnica.

The territorial development of single city districts is designed in two levels: 1. built−up areas 2. sports−recreation complexes, functional areas for sports and recreation facilities without development of building constructions (the exception are facilities directly securing operation and security of complexes).

In relation to the main centres there are located sky terrains and winter sports complexes with proposal for improvement and modernisation of ski runs to the level of international standards: • Štrbské Pleso − FIS complex for classic ski disciplines, ski course from Solisko • Smokovec with ski course at the base Hrebienok, with departure ski course Hrebienok – Smokovec and with Jakubková lúka • Tatranská Lomnica – ski course Lomnické sedlo – Skalnaté pleso (in 12

The zone of intensive tourist process characterised by urbanised units along the Cesta slobody – from west Podbanské, administrative unit – town High Tatras with main centres Štrbské Pleso, zone between Mengusovská dolina and Smokovec with spas Vyšné Hágy, Nová Polianka and Tatranská Polianka, main urban centre Smokovec – Tatranská Lomnica, Tatranské Matliare to Tatranská Kotlina. With respect to already strong urbanisation and number of visitors in this zone, development of other housing, tourist and spas is not considered. It will be possible to add only some construction within the limits of present built−up areas, which will be required in order to improve the quality of the tourism in the area of sports, cultural−social facilities and other amenities, as well as housing and medical facilities. Accommodation is sufficient with respect to quantity, however, it is necessary to change the structure of accommodation via introduction of facilities of higher categories, while it is necessary to take into consideration also facilities of medium and lower categories.

in prevailing spruce groves. Usually only the moss growth has higher spread. In average, there are no more than 20 types of higher plants in spruce groves. Variety of types increases proportionally to the share of mixed wood, in particular of larch, pine, fir and mainly to the share of more sparse groups such as breaks, natural rejuvenation and the line.

The type variety increases approximately in the following order: acid spruce grove – acid fir grove – soaked spruce grove. Soaked alder grove and growths on carbon soils are predominant with respect to the type.

With respect to specific conditions of the environment, differences in the type structure of vegetation in natural forests, as well as in forests altered by human activity are almost unidentifiable.

Uniformity of type structure of coniferous forests is compensated by the diversity of spatial structure as one of the assumptions of higher stability – resilience of forest land. Mosaic of forest stands of different age is a precondition of sustainable effect of forests in case of extensive damage by a destruction factor (wind, snow, insect, wildlife and the like). Despite of a bad condition of forests in a long−time, the quality of natural rejuvenation in spruce forests is still suitable for securing the next generation. Where the extent of natural rejuvenation is insufficient, there is used artificial rejuvenation. In order to preserve the natural condition of forests in the High Tatras, but mainly with respect to special conditions in the relevant area, the scale of usable types of wood is very narrow. Apart from preparatory wood – birch, rowan, alder tree, only maple and rarely also beech trees come forward to a limited extent. Among coniferous wood, apart from spruce, there will be used larch and pine trees and, in the highest locations, pinus cembra. Ash tree, lime tree and elm tree can be used for creation of growth borders along settlements and recreation zones on damper and more nutrient places. Birch trees, alder trees and poplar should not be grown in the vicinity of settlements with medical function due to their allergic effect on permanently growing number of people and patients in particular.

BIODIVERSITY

7.1. Ecological Stability

Coniferous forests create the typical aspect of forests in the High Tatras.

They cover more than 95% of the area in total. Spruce groves are absolutely prevailing. Spruce creates almost 70% of forests in High Tatras. The second prevalent wood is dwarf pine which represents approximately 20%. Less than 10% falls on larch, fir and pine trees.

Among leafy woods, birch and rowan tree outnumber other deciduous trees. The type diversity, as well as spread of herbs is extraordinarily low

Natural forest stands seem to be the most stable with respect to the ecology. The rate of ecological stability declines towards type, age and vertically monotone growths. One−layer mono−cultures are at the end of the stability rating. They are endangered not only by the risk of windbreaks, insect spread, but due to compact canopy also by deficit of rainfall, increased atmospheric contaminant fall−out and unfavourable humification. Relatively fast growth and creation of wood matter on

EXECUTIVE SUMMARY

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005

deeper clayey and damp soils also contributes to the formation of unfavourable one−layer structure of artificially founded spruce groves.

Acute peril of those growths was confirmed also by November windstorm (year 2004), when affected forests were mainly of the above−mentioned nature. In that connection we can say that the strength of the November windstorm considerably exceeded the ability of any forest to stand wind faster than 230 km/hour. We claim that a large part of growths would not stand even a considerably weaker wind, what would be a positive fact with respect to needs of spatial differentiation of, in the meantime continuous, spruce groves.

The ecological stability in non−forest ecosystems includes stability of single landscape elements, while forests, greenery, waters, marshlands with resistant up to resilient−resistant stability are considered to be stable elements; gardens, meadows, pastures represent stabilising elements with resistant−resilient stability and instable landscape elements are fields, production gardens, partially with physical stability (built−up areas).

The landscape structure, its three−dimensional model can, due to synergic effect, look as a stable or unstable system.

High ecological stability: natural growths with differentiated type structure and multi−layer vertical structure. Orographically protected localities − ends of valleys under the timberline.

In order to secure large number of functions of forests in the multi− functional area of the TANAP it is necessary to have an adequate condition of forest stands. With respect to different utilisation of forests in the past, natural disasters and impact of atmospheric changes, the condition of forests is various. Natural forests of primeval forest type, which are optimal for fulfilment of ecological and of a large part of environmental functions, cover only a small part of the forest land.

Vegetation changed by human activity secures required functions almost proportionally to the level of hemeroby. The objective of forestry care in the TANAP is to preserve the natural nature of remains of original forests and to reconstruct modified forests to a condition which is close to the nature. The aim of zoning of the national park corresponds with the afore− mentioned. From the forestry aspect, in the A zone there should be forests without human intervention, while fully respecting natural processes. In the B zone, there should be forests, which require interventions of foresters in order to fulfil the required functions. The concept of nature−friendly growing of forests suits the requirement of sustainable effect of forests at the best. Contrary to the traditional approaches, in this case there does not origin blank with negative impact on the forest system itself and its surrounding. Fine forestry techniques, such as individual up to group selection and coppice method, are decisive forestry techniques in renewed forests of the TANAP for decades.

Medium ecological stability: natural growths with mixed type structure without considerable vertical and spatial differentiation; growths in natural forests without mixture of types and vertical differentiation; growths with trunk under 0.6 with short treetops on damp clayey soils.

Low ecological stability: vegetation changed, unsuitable for the relevant location, without mixture of types and vertically and spatially not differentiated; reserves of wood matter higher than 350 mł; trunk under 0.5; soaked soils; places with repeated wind calamities, the so called “risky zone”.

7.2. Proposal of integrated forestry

Unfortunately the aim to achieve age, vertical, spatial and type differentiation is being achieved only to a limited extent. As much as almost 90% share of random forest utilization makes systematic reconstruction works of foresters impossible. This is caused by inadequate density of coppice which suffers from mechanical damage, nibbling by wildlife and absence of natural rejuvenation. Sudden release of tree crowns growing for a long time in canopy causes stress and

decrease in resistance to insect under cortex. Sparse forests can be easily a victim of frequent strong winds.

Frequent strong winds of bora type considerably contribute to forming of development of forests in the High Tatras. Wide areas of pine and larch spruce groves on the south side of the High Tatras are preserved only thanks to cyclic influence of disturbance, which enables existence of such fast−growing light−demanding trees in the competition of a stronger spruce. Whether there will be displaced only unstable trees, the entire groups of flat−rooted spruces or also relatively resistant trees such as larch and pine trees depends on the strength of the wind. Natural conditions are a limit for broader application of other, the so called stabilising, long−lived, in particular deciduous trees such as maple, ash, elm or beech tree. The pace of rehabilitation after wind calamities and renewal of functioning effect of forest stands depends on presence of individuals, but mainly of bunches and groups of trees in different phase of development. The resistance to disturbances and flexibility of forest stands to recover is growing with age differentiation of forest stands and mosaic of their arrangement.

ECONOMIC PILLAR In the year 2001 the European Union adopted Directive “Regions and New Economy” – for innovative projects of the ERDF (European Regional Development Fund) 2000 − 2006, which could be developed in compliance with strengths of the relevant territory and its development opportunities.

Targeted and concentrated support of science, research and innovations would mean in the relevant region and mainly in area with ecological limits a considerable development impulse and impact on e.g. increase of rate of self−reliance of the region and its competitive ability based on value of natural and cultural riches. And that requires:

a. Development of economy based on knowledge • creation and development of cooperation networks (the so called “soft infrastructure") between different partners (small and medium−size enterprises, universities, industrial parks and the like) 13

HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY • exchange of results of science and research, knowledge and best practice by using a dedicated portal • dissemination and application of research results would strengthen the technological adaptability of companies with emphasis put on the environment • there would be prepared and approved regional/local strategies focused on new technologies and innovations • development of technology and innovation incubators • creation of new financial instruments for start−up companies, innovative companies, including venture capital

b. eEurope−regio • information society in the services of regional development such as for instance network of public municipal information and consultancy centres in municipalities based on employment of the Internet • development of technical infrastructure for work with digital content and provision of services by using IKT (remote work, remote management and the like) • creation of conditions for use of e−business in the area of travel and tourism industry, buying and the like • identification and development of specific areas for experiments and realisation of pilot projects for instance with respect to using of high technology in mountain areas, development of communal services by means of the Internet and the like

Tatra winter&summer environment friendly touristic path (project)

EXECUTIVE SUMMARY

c. Regional identity and rural development • support for small and medium−size enterprises starting business in the area of innovative media and culture • creation of procedures (manuals, examples of the best practice and the like) focused on management of the environment – clean technology, recycling, economic use of energy • transfer of the latest knowledge in the area of organic farming and production of organic foodstuffs • creation of specialised educational centre in order to support agro− tourism and organic farming including forestry Regions of the European Union can apply each year for financial aid for their regional innovative and scientific−research programme by 31st May. The proposed development of a specific technology and innovation incubator is based on the prepared strategic plans of the town High Tatras as a town with high quality urban environment as a high−quality way of living of citizens, town with high international importance, town with healthy environment and preserved natural resources, town with high quality of transport.

The technology and innovation incubator should be the first phase for creation of technological park, which will be a follow−up to the realised industrial park (Poprad − Matejovce) and to prepared or planned industrial parks (Levoča, Liptovský Ján). The incubator will enable origin and support of small and medium−size enterprises, location of existing scientific−research and innovative teams (selected workplaces of scientific−research teams, branches of foreign innovative companies, small and medium−size enterprises providing auxiliary services to innovative small and medium−size enterprises). The proposed solution has also an important cross−border contribution – identification and development of cooperation with innovative companies from Poland, analysis of the potential for creation of beyond−regional innovation strategy.

d. Agriculture One of the factors limiting the development of agriculture is lack of funds and, after the year 1989, the permanent worsening of technical level of agricultural machines and machinery. Insufficient profits of agricultural companies do not create sufficient funds for investing in modernisation 14

and purchase of new machinery, what causes that agricultural companies lag behind in technology and they are not able to compete with imported products.

Key strategic objectives: a) to increase technological level of agricultural production and productivity of labour in the agricultural primary production b) to increase variety of agricultural production with emphasis put on regional products c) to improve marketing / distribution channels d) to stimulate origin of specific−purpose cooperatives with the aim to perform well on the market e) to support renewal / development of food processing industry f) to considerably increase the share of organic products in region of Eastern Slovakia in order to draw level with average of the European Union g) to promote bio products in order to improve health of citizens h) to support origin of small farms dealing with organic farming i) to increase the share of natural forest recovery The Sectoral Operational Programme – Agriculture and Rural Development in its Priority No. 5 defines the strategic objective as follows: „securing of permanent viability of countryside in the complex of its economic, settlement, environmental and recreation functions“.

Apart from the afore−mentioned, it supports also agriculture in mountain areas if certain determined criteria are met (altitude, % of cultivated land, density of population, share of people employed in agriculture and the like). Agriculture in territories Nature 2000 is supported in particular.

Since 2003 the Ministry of Agriculture of the Slovak Republic has been supporting, through ecology programmes, the conversion to organic forms of farming − support for producers of organic foodstuff.

If we take a look at the long−time development there is obvious long−term stagnation in the sector of agriculture. The stagnation in the rate of employment was recorded also in the area of industrial production. On the other side, however, there occurred increase of the rate in the area of services such as business activities or repairs of different types of products. The stagnation in the sector of agriculture reflects not only in decrease of the rate of employment, but also in decrease of the production. With the exception of potatoes and several oil plants, there

EXECUTIVE SUMMARY occurred dramatic decrease in breeding of livestock and in growing of all important crops recently. According to farmers in the region, the decrease is caused by their inability to compete with the competition, mainly with import from Poland. One of the reasons is also the low productivity measured in yields per hectare not only in comparison with Slovakia, but also in comparison with neighbouring countries of the European Union. If farmers from Eastern Slovakia want to compete with their competition, which is still based on competition of inputs, they should transform their competitive disadvantage into an advantage via orientation on innovations. Apart from the effort to invest in agricultural research, this could be also orientation on the organic production, which enjoys growing demand in the European Union, as well as higher prices.

That will increase added value of this not lucrative, although, from the aspect of international demand, very stable commodity. Such type of production can profile some complex offers and new products of the travel and tourism industry (for instance with emphasises put on healthy lifestyle) and thus can become one of the key values of competitive advantage of the relevant territory.

According to farmers, another cause of the dramatic decline in the production was disruption of food processing industry in this, as well as in the neighbouring region. In the relevant region, the most important food processing company is only dairy. Despite the afore−mentioned fact the prepared Regional Operational Programme of Prešov Self−Governing Region proposes Priority A.3.1.: Support of processing and marketability of agricultural products.

Expected impact: • stabilisation and securing of development of agricultural entities in the region • creation and securing of employment opportunities in the countryside • stabilisation of agricultural and forestry production • increase of competitiveness of regional agriculture • satisfaction of demand for health food • environment−friendly production procedures The production of organic foodstuffs points, at present, to the suitable diversification and emphasis is put on ecological aspects. In compliance with the global trend of healthy lifestyle and health food, the demand for organic products and foodstuff is growing. Primary production, processing and sale as a self−contained process does not exist in the region.

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005 In order to increase the economic effectiveness of forestry it is necessary to use environment−friendly technological procedures, which have been applied only sporadically so far.

Zonation proposal: T. Lomnica − Skalnaté Pleso − Lomnické sedlo

Integrated solutions Town Poprad belongs to 11 districts of the Slovak Republic with the highest concentration of industry and district Liptovský Mikuláš belongs to a group of 8 districts with medium concentration of industry. However, there are continuing unfavourable tendencies in the long term, which limit overall economic performance and competitiveness of the districts of the relevant region and, in connection to the conditions in Slovakia, these are mainly: • orientation of the production and export structure on commodities with low added value, mainly in the industry with continuing high demands of economy on raw material and energy sources, however not on the human capital; • high rate of dependence of the production and export of the region on several large companies, mainly in the district Poprad; • excessive demands (and interdependence) of the production and export on import, just on the import of raw materials and semi−finished products (i.e. semi−consumption); • high rate of unemployment mainly in neighbouring districts and considerable differences between regions with respect to the level of the rate of unemployment, as well as to the overall economic development also within the relevant territory • very low rate of innovations and share of new technologies in the industry and services.

Direct foreign investments Increase in direct foreign investments in prospect sectors, for instance in the afore−mentioned travel and tourism industry, in new technologies, innovations, science and research, can have synergic effect also on decisive industrial sectors in the relevant region such as electrical and engineering industry (so far foreign investments have been directed into those sectors).

In order to solve economic issues it is necessary to focus on stimulation of foreign investments also in the area of industry. Those foreign investments will be directed mainly in the new industrial park Poprad –

Matejovce, which is under construction, and in the planned industrial park in Levoča. There is considered construction of industrial park also in the district Liptovský Mikuláš or of industrial zone or park in Námestovo for the extreme north of the region. In order to achieve the afore−mentioned objective and based on experience from use of support programmes for small and medium−size enterprises, it will be necessary to focus more on support programmes for large companies in the future, namely in the following forms: • via development research programmes including complex of innovative policy, cooperation of research institutes and universities in connection to the entrepreneurial sphere so that each and every research will find its application in the production in a form of change of the structure of products and services; another option is to create technology centres and innovation centres of large companies; • via saving programmes focused on decrease of energy, as well as material demands in order to increase competitiveness in conditions of the common market and to increase sale of products on the market by using well−established entities; • via support of cooperation of supranational companies and their investments within the national economy in relation to sub−supplier networks – mainly in the car industry, namely support of logistics in 15

HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY order to achieve maximum effectiveness of production procedures and in order to maximally decrease production costs (costs on storing, operation and other costs).

In relation to the formulation of economic development priorities, the following decisive conclusions follow from the results of analysis of economic development of industry, travel and tourism industry, commerce and related areas: • internal structure of single sectors of the industry, travel and tourism industry, commerce and related areas records, despite partial quality changes, differences in comparison with their levels in developed countries; • competitive ability of the Slovak industry, travel and tourism industry, commerce and related areas is growing, however, it still lags behind identical sectors in developed countries; • in the regional arrangement of the production base and performance of the Slovak industry, travel and tourism industry, commerce and related areas there exist considerable disparities; • mainly in the sphere of services, in particular in the area of travel and tourism industry, there are considerable reserves for development of further business; • basic conditions for achievement of Kyoto aim are: to keep the share of energy production from sources producing CO2 to a minimum extent and to pay higher attention to decrease of energy demands, to energy savings and development of recoverable energy sources.

INSTITUTIONAL DEVELOPMENT Within the framework of analytical works during the Study were had the opportunity to assess the level of cooperation of single participants in the regional development, local institutional capacity and attitude of the self− government to the regional development. On the basis of our experience, which we have gained also from realisation of regional projects, we recommend to realise in this specific territory of the High Tatras the strategy of the European Union for regional development under the title New partnership for cohesion: convergence, competitiveness, cooperation by using an approach to the regional development, which is not very common in Slovakia – preferentially via creation of cluster based on combination of travel and tourism industry and new 16

EXECUTIVE SUMMARY information technologies in the territory of town High Tatras with its possible extension to Poland and a part of the territory of the district Poprad and subsequently via creation of smaller clusters of travel and tourism industry in the districts Liptovský Mikuláš and Tvrdošín. The approach means mainly creation of new relations of regional cooperation, strengthening of economic horizontal and vertical relations and creation of new networks of business entities.

Present key participants in the broader region / the relevant territory in its entirety are: • self−government and local state administration • government of the Slovak Republic, ministries, institutions • Government Committee for Renewal and Development of High Tatras • economic, social and environmental partners • especially for the territory of High Tatras also the administration of TANAP and ŠL TANAP • other important regional institutions such as for example Euroregión Tatry, RRA – regional development agencies, Regional Association of Tatry and sub−Tatry municipalities and other.

The proposal to create the cluster is based on international, national and regional strategic documents and also on studies of the best practice and successful projects realised in alpine regions of the European Union. At the same time, the proposal is based also on the following documents: • zoning and planning documents for High Tatras • territorial plan of the higher territorial unit PSK (Prešov Self−governing Region), ŽSK (Žilina Self−governing region), territorial plans of towns and municipalities • Concept of Regional Development of the Slovak Republic (KÚRS 2001) • Regionalisation of the Travel and Tourism Industry in the Slovak Republic • Programme documents within the EU 2004 − 2006: • PHSR (Programme of Social−economic development) of towns and municipalities and similar strategic development documents • Programme documents within the EU 2007 − 2013 • National strategic reference framework • Proposal of direction of development of NUTS II. Slovakia – East region

High Tatras – region of international importance If we respect international principles of environment protection expressed for instance in strategic documents of the IUCN, then the improvement of quality of living within the load capacity of supporting ecosystems (IUCN, UNEP, WWF, 1991) means “development allowing both the current and the future generations to meet their basic living needs without reduction of nature diversity, while preserving natural functions of ecosystems.”

The National Strategy for Sustainable Development for the Slovak Republic defines the sustainable development as follows: the sustainable development means a targeted, long−term (continual), comprehensive and synergetic process, affecting conditions and all aspects of life (cultural, social, economic, environmental and institutional) at all levels (local, regional, global), oriented to such a model of a certain community (local and regional community, country, international community), which meets biological, material, spiritual and social needs and interests of people, while eliminating or considerably reducing interventions threatening, damaging or destroying conditions and forms of life. It does not burden the landscape over the bearing capacity, reasonably uses its resources and protects the cultural and natural heritage.

The cluster within the framework of sustainable development for High Tatras can be considered as “geographical concentration of linked entities, specialised suppliers, providers of services, companies in related sectors and supporting institutions (for instance universities, agencies for standards, business associations and development agencies, self−governments and the like) in single areas which are competing but, at the same time, also cooperating with each other.”

“Clustering” is one of the key development impulses of the economic growth. Of course, it is not the only method of development. Informal networking, development of supplier chains and development of workforce also influence competitiveness and economic growth.

If we assess critical factors of success: existence of functioning networks and partnerships, basis for potential innovations, research and development, existence of strong base of skills and supporting factors of success such as: adequate physical infrastructure, existence of large companies and investors, key segments, strong identity, culture and

EXECUTIVE SUMMARY availability of sources and finance and, if we consider also supplementary factors of success: specialised services, access to the market, availability of business services, competition, availability of information, partnership, leadership, communication technologies and external economic influences and then if we compare results with the present SWOT analysis, we will definitely come to the conclusion that in case of targeted investments in the strategic information infrastructure, in human resources and in implementation of new management of the territory during the year 2006, such solution could be one of the key factors for acceleration of economic development in the relevant region.

Reasons for development of the cluster: • increased level of expertise, new products, development of competitiveness (exchange of knowledge and cooperation) • interconnection of supplementary/complementary skills (smaller units would not be able to do it) • improved potential of scale economy, enabling narrow specialisation, joint buying, marketing, identity • strengthening of social and other informal relations leading to creation of new ideas and opportunities • improved information flows, improved comparing of disposability of companies for investing, creation of quality standards • enabling development of infrastructure of professional, financial and other specialised services, better position for drawing of Structural funds • valorisation of unique combination of sources in the region with the aim to create competitiveness of the travel and tourism industry cluster within the supra−regional and European competition, realisation of Lisbon strategy in practice Key aspects of the strategy of development of travel and tourism industry cluster – High Tatras: • mobilization – development of interests and participation • diagnostics – identification and defining of the cluster and identification of strengths and weaknesses • strategy of cooperation − identification of projects required for support/development of the cluster in cooperation with main participants in the cluster • implementation − realization of single projects As another operating structure within the framework of institutional development, we recommend, in compliance with the National Strategy of the Slovak Republic and apart from the cluster, to create a Regional

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005 Council of Sustainable Development and local Councils of Sustainable Development with an adequate representation of relevant social− economic and institutional partners.

Pribylina − Račkova valley

Participation of local citizens One of the important tasks during realisation of objectives of the sustainable development of the region will be formulation of revitalisation development programme, as well as of a concrete vision of ideal future of the community, which will express a kind of agreement on basic conditions of the sustainable development of the municipality for a longer period than the term of office of the self−government. There is expected elaboration of Strategy for Sustainable Development of High Tatras region to local conditions and community needs. Citizens and target groups will identify problem issues, which, in their opinion, must be solved in the interest of the development and sustainable development.

The outlined directions of the realisation, however, also expect engagement in fulfilment of these aims. The activity must be preferentially in the region and its municipalities. With that respect, lack of funds will not be the basic and fundamental problem. Realisation of several aims of the sustainable development is completely or mainly in hand of the municipality, its citizens, entrepreneurs, self−government and depends on their mutual coordination and support.

Mainly the following is considered: • participation of each citizen in preservation of ecologically stable territory and sustainable development of the territory • creation of employment opportunities in the following areas: − travel and tourism industry and recreation, boarding, accommodation in the privacy, spas, sports infrastructure, guiding services for mountain climbers, tourists, educational and cognitive guiding services, mountain rescue service, jobs in information and educational centres, organising of trainings, seminars, excursions, organising of cultural−social events, science, research, museums and exhibitions, agro−tourism − agriculture, forestry − social care (immobile local citizens and visitors, patients, the lonely, children) − presentations of local culture, local gastronomy, traditional arts and crafts (at the same time also support of local arts and crafts) − organising of workshops for visitors, in particular for long−time patients and for children, with focus on traditional crafts and folk arts and crafts

Objekty cestovného ruchu: A − obec Pribylina B − Múzeum ľudovej architektúry C − autocamping Račková dolina, informačné centrum Podtatranskej mag. Račková dolina D − turistická chata E − útulňa pod Klinom F − útulňa pod Smrekom G − bivakovacie miesto H − servisno−informačné centrum Podtatranskej magistrály − Kokavský most, vodácka cesta I − rekreačná chatová oblasť Hrdovo − Kokavský most J − areál pre cyklotrasy, rodinnú rekreáciu viazané k autocampingu v Račkovej doline K − vodná nádrž s brehovými úpravami pre voľnočasové aktivity L − skialpinistická oblasť (v zimnom období) Cesty: 1 − verejná asfaltová autocesta Pribylina − Račková dolina 2 − neverejná spevnená lesná cesta 3 až 9 − atraktívne túry po vysokohorských chodníkoch 10 až 12 − turistické hraničné priechody 13 − hrebeňová túra pohorím 14 − trasa Podtatranskej magistrály

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HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY • sports instructor courses for individuals and collectives • cultural performances – music, drama, dances − for visitors of High Tatras (theatre groups, folk music groups, orchestras, balls and May balls were well−known in the past) • local production – new and traditional production on the basis of folk traditions of regions Orava, Liptov, Spiš, Zamagurie, which are still alive (production of textiles, needlecraft, woodcarving, pottery, weaving, smithery) • production of small consumer goods • production of memorabilia with regional (Tatry) theme − folk works of art of local producers, workshops and courses for visitors − local works of art with Tatry theme which used to be sold even beyond the region limits • local production of foodstuffs, cooperation with public boarding facilities • agro−tourism, breeding of horses (use of showjumpings, horse riding, non−traditional types of transportation) • support of local business activities in areas which participate in improvement of the environment • participation of local citizens in gradual long−time renewal of a strip of forest windbreak caused by the windstorm via new planting of different forms of greenery in sub−mountain zone, in realisation of recreation forests, meadows, touring paths, rest places • employment opportunities in processing of waste timber into biomass (timber chops, wood saw−dust, edgings), in construction of facilities for processing and use of biomass for energetic purposes − processing of waste timber is a permanent employment opportunity even after processing of existing calamity timber • maintenance of order and tidiness on touring paths, bicycle paths, cross−country routes, ski runs, in ski centres, in recreation complexes • maintenance of order and tidiness on parking lots, in public areas in recreation centres and settlements • maintenance of public greenery as a part of recreation and spa areas in built−up areas • participation of local citizens in improvement of urbanistic, architectural, cultural, aesthetic level of the relevant territory, maintenance of private buildings and private lands − coordination of new development, reconstruction, completion of construction of buildings with respect to harmonisation of the environment, total appearance of the built−up area, connections to surrounding landscape and scenery and with respect to creation of valuable public premises

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EXECUTIVE SUMMARY − adjustment of roads, realisation of sidewalks with relevant equipment (lighting, benches, bins, rest places, covered shelters, landscaping of green growth and watercourses, realisation of small waters, small rain lakes, handrails, stairs, ramps, with architectural design corresponding with the quality of the environment) • public premises of villages in Tatras, villages under Tatras and of recreation centres are a part of touring paths, recreation routes, rest places and, due to this fact, their parameters and overall design have to correspond with the required recreation purpose and high quality of the environment • cooperation with owners of tourist, recreation, spa facilities and their direct participation in rehabilitation and denaturation of damaged species and biotopes.

IN CONCLUSION The functional ecology policy shall be based on the principle “what is suitable from the ecological aspect should be suitable also from the economic aspect”. If the afore−mentioned principle is suppressed this leads to economical retardation or ignorance of ecological rules. So far, however, the afore−mentioned principle has been denied mainly in the narrow region of High Tatras.

The region must respond to higher demands in the area of services of travel and tourism industry. Connection of accommodation with relaxation and spa services already starts to be applied in these services; however, connection of accommodation, relaxation and information− educational services is still less developed. While the clientele will most probably require revival of this type of services – this is witnessed for instance by a considerable success of documentation, information and relaxation−educational centres in alpine recreation centres. In connection to unique environment conditions it is logical that centres for documenting and education will appear in the region (in entertaining− information form) in the area of geology and geomorphology, mountain sports, environmentalistics, zoology and botany, caving and the like.

Experience from other mountain regions shows that the existing restrictions in sub−mountain regions with unique environment can easily surpass even ecologically acceptable industries such as for instance:

• production of optic equipment • production of medical and pharmaceutical equipment • production of measuring equipment • precise mechanics and electronics • phyto−pharmacology and the like.

Using of only traditional production factors on which the Tatry region is based cannot lead to convergence to the level of more developed regions. It is bizarre that in such a unique region with respect to the environment there is also a considerable number of industrial plants based just on traditional production factors and high ecology demands (e.g. paper mills and pulp mills), high material demands (for instance carriage plant) or high demands on unqualified manual work (former linen plants, as well as present textile plants). The process of catching up will be accelerated rather by concentration on support by using the so called dynamic comparative advantages: intellectual capital, access to information, access to unconventional solutions and a completely new approach to management of the region.

High Tatras has a unique opportunity to valorise its potential in fulfilment of the strategy of the European Union for years 2007−2013 – New partnership: convergence, competitiveness and cooperation.

Measures are focused on support of growth with emphasis put on internal growth and valorisation of internal potential of the relevant territory and cadastral district of the town High Tatras – creation of jobs, achievement of regional competitiveness as the planned change with emphasis put on cohesion of the region and support of cooperation with the aim to secure harmonic and balances development of the territory (strategic planning, decentralised management, permanent supervision and evaluation).

EXECUTIVE SUMMARY

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005

MAP 1.A. PROPOSAL OF COMPLEX SOLUTION OF SPATIAL AND FUNCTIONAL ARRANGEMENT OF THE TERRITORY

Scale

1: 50 000 (This preview is reduced)

Schemes: 1.A.a.

Broader relations 1.A.b.

Division of the territory into key functional zones 1.A.c.

Scheme of resident traffic in the territory 1.A.d.

Cultural−historic and recreation potential 19

HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY

EXECUTIVE SUMMARY

MAP 1.B. SPATIAL AND FUNCTIONAL ARRANGEMENT OF THE TERRITORIAL SYSTEM OF ENVIRONMENT STABILITY

Scale

1: 50 000 (This preview is reduced)

Schemes: 1.B.a.

Legislative protection of the environment 1.B.b.

Draft of the environmental infrastructure 1.B.c.

Nature of the forest according to forest categories and extent of break 1.B.d.

Functional types of forests 20

EXECUTIVE SUMMARY

SUSTAINABLE DEVELOPMENT STUDY HIGH TATRAS 2005

MAP 2. PROPOSAL OF URBAN−LANDSCAPING AND ENVIRONMENTAL FUNCTIONING RELATIONS OF HOLIDAY CENTRES

Scale

1: 10 000 (This preview is reduced)

Schemes: 2.a.

Scheme of investment plans for the territory 2.b.

Accessibility of the territory from D1 motorway 2.c.

Loading of selected segments of the road system 2.d.

Proposal of recreation territory units in the territory 21

HIGH TATRAS 2005 SUSTAINABLE DEVELOPMENT STUDY

EXECUTIVE SUMMARY

YOUR NOTES

For further details and information refer to: TiRA − Tatranská informačná a rozvojová agentúra, (Tatry Information & Development Agency) 062 01 Starý Smokovec, Slovak Republic tira@stonline.sk, +421 (0)903 428 156, or +421 (0)910 968 145 22