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HIE CHAIRMAN OUTLINES VISION OF LONG-TERM PROSPERITY-  26 March 2002
Stimulating substantial population growth in rural areas and an open-minded "why not" approach to economic development opportunities are amongst the essential building blocks for future prosperity and growth in the Highlands and Islands - alongside a better use of the area's natural resources and efforts to create high-value and high-earning jobs.

This forward-looking message - setting out an agenda for development in the area over the next 10 to 15 years - has been delivered by Highlands and Islands Enterprise (HIE) chairman, Dr Jim Hunter in a paper submitted to the Convention of the Highlands and Islands in Portree on Monday.

Dr Hunter's paper sets out the achievements which have been made in the area over the last 20 - 30 years, highlighting the increase in population and the greater increase in the number of people in employment, as well as the developments in transport and telecommunications infrastructure.  He goes on to outline some of the lessons which have been learned over that period - especially the benefits to be gained from a range of partner organisations working towards a broadly-shared set of priorities and objectives - and also acknowledges some of the challenges which still face the Highlands and Islands. These include holding on to and consolidating the gains which have been made in the recent past as well as working to ensure that the benefits of this success are spread throughout the whole area.

However the main thrust of the paper is to stimulate discussion about what is required to help take the area forward over the next 10 - 15 years - what the 'building blocks' should be - with Dr Hunter outlining some of his own suggestions.

He argues that a flexible and sensitive interpretation of planning legislation has helped sustain the population growth of the recent past - and suggests that many areas could sustain more people: "That is not to advocate a 'free for all' or the insensitive siting of suburban-style bungalows in scenic areas, but the evidence of parts of the Highlands and Islands, such as Sleat in Skye, is that the capacity of our remote areas to absorb significantly more settlement is very considerable. Indeed, there are many parts of the area, once heavily settled, where no-one now lives. Where these can be opened up once again to a resident population, the opportunities for brand-new settlements should be seized."

He goes on to say that a similarly flexible approach will also be required when considering new forms of economic activity, and cites the example of salmon farming as a relatively new industry which has been allowed to expand and make a significant contribution to employment in rural areas. Other new forms of activity should be grasped which take advantage of the area's natural resources, such as renewable energy: "Extensive development of wind and marine energy must be brought to fruition quickly in the Highlands and Islands and the benefits to local communities of hosting such developments captured on a permanent basis. What should be avoided is a repetition of the exploitation of hydro-electric power in the 1940s and 1950s, which left little legacy to the host communities once the construction teams had moved on."

Alongside these goals should be another longer-term one, pursuing a high-earning economy: "While the historically low unemployment which we now enjoy must be maintained, our efforts over the coming years must focus on means of driving average earnings upwards. Within the Highlands and Islands the scope for increasing knowledge-based employment is one of the areas which must be chased with vigour. That implies focusing public sector assistance to economic development on quality of jobs as much as on quantity of jobs."

Dr Hunter also highlights the UHI project as a key contributor to the future success of the Highlands and Islands. He says it has the potential to attract top quality staff and research work to the area, with a reputation for academic excellence drawing students to the area from throughout the Highlands and Islands. Another key ambition should be focussing future developments of the area's infrastructure on the needs of the communities that are being served - making sure they are consulted and asked what changes they would like made. Dr Hunter says the frequency of ferry connections to island communities is one example where changes might be required - alongside consideration of the fares structure. As an example he says that secondary school children should be allowed to return home nightly, or at least every weekend, rather than staying in mainland hostels.

His final suggestion is that public and private sector policies work in favour of rural Scotland, and the Highlands and Islands in particular. This involves closely scrutinising new legislation for any implications it might have for rural areas: "There may be cases where exemptions from legislation or modifications to it can still deliver the aims of the legislation in rural areas without precise specifications having to be met. There are equally examples where special legislation to protect the interests of the Highlands and Islands and other rural areas may be appropriate."

According to Dr Hunter if these suggestions are accepted, and added to by others, the Highlands and Islands have the potential to build on the momentum of growth achieved in the area in the recent past and to move forward and to be an example to others: "We will offer stewardship to an area whose natural and cultural environments are already exceptional, but which will stand out in a European and global context. We will also see a pride throughout the Highlands and Islands that economic growth is proceeding on a basis that is irreversible and generative. We may then still stand at the edge of the physical world, but in terms of Europe's rural communities be at the Cutting Edge."