INNOVATION AND ENTREPRENEURSHIP SUPPORT ACTIVITIES

REGIONAL AGENCY FOR ENTREPRENEURSHIP AND INNOVATIONS VARNA INNOVATION AND ENTREPRENEURSHIP SUPPORT ACTIVITIES Dr. Dimitar Radev, Executive Director 04 th June 2014

CONTENTS RAPIV - MAIN ACTIVITIES: High-Technology Incubator Business Centre for Innovations and Technology Transfer Establishment of a High- Technology Park Good European Practices in Varna Municipal plan for Development

REGIONAL AGENCY FOR ENTREPRENEURSHIP AND INNOVATIONS - VARNA Regional Agency for Entrepreneurship and Innovations - Varna (RAPIV) is a non governmental non-profit organization, carrying out its activities in public benefits, for stimulating regional economy through the development of entrepreneurship and innovations.

IMPORTANT DATES 04.07.2002 Constituent Assembly of the High-Technology Business Incubator Varna (HTBI-Varna) Association. 20.02.2007 Association High- Technology Business Incubator Varna is transformed into Regional Agency for Entrepreneurship and Innovations Varna. - RAPIV Before renovation After renovation - 21.06.2005

MEMBERS OF RAPIV Local Authorities: District Administration -Varna, Municipality of Varna, Municipality of Aksakovo; Universities in Varna: Varna Free University, Medical University Varna, Naval Academy, University of Economics Varna; Scientific and Research Institute: Institute of Oceanology Varna; Non-governmental organisations: Industrial Association of Varna, Varna Chamber of Commerce and Industry, Bulgarian Chamber of Shipping, Agency for Social Development Vision, ICT Cluster Varna; Bank: Allianz Bulgaria Bank; Commercial Entities: Cherno More AD, Triada Soft AD, CnSys AD, Teso-V AD, BTG EOOD, Markon EOOD, Cores EOOD; Kontrax Ltd. Physical persons

BUSINESS INCUBATOR-VARNA PRIORITY SECTORS FOR ADMISSION OF COMPANIES The main business sectors, from HTBI Varna remain and several new are added: -ICT; -Technologies for protection and restoration of the environment and sustainable development; -Advanced marine technologies; -Medical and pharmaceutical products and services; New services, that are priority for the region of Varna: -Energy Industry, Energy Efficiency; -Machine building, Electrotechnical Industry and Electronics; -Marine Industry; -Processing Industry; -Construction and Transport; -Tourism; -Services; -Chemistry and Biotechnologies.

BUSINESS INCUBATOR-VARNA Expert services Intermediary services SERVICES Technical services BIV SERVICES Know-how transfer and technology development activities Marketing services. Commercialization of products Organization of meetings and seminars Management services

BUSINESS INCUBATOR-VARNA Svemar Ltd is the first successfully incubated company in HTBI. The contract between Svemar and HTBI Varna is signed in June 2005 and the company leaves the incubator in 2008. Svemar Ltd. carries out its activities in the field of environmental protection: design of irrigation systems, landscaping, preventing soil erosion with the usage of special coatings and hydro-seeding.

HIGH-TECHNOLOGY BUSINESS INCUBATOR SUCCESS STORIES There are incubated companies, which completed their incubation period with very high results more than 8 times increase of turnover and 5 times increase of personnel. These are 3K AD and Svemar Ltd. 3K AD carries out its activities in the field of renewable energy sources (RES). 3K Ltd. Protection of the soil from surface erosion SVEMAR Ltd., Varna at Sofia airport. The two companies were nominated by the Business Academy for start-up companies of 2010.

HIGH-TECHNOLOGY BUSINESS INCUBATOR SUCCESS STORIES CORES Ltd. finalized its 36 months incubation period within High-Technology Business Incubator Varna (HTBI) with the successful realization of the project System for control and forecasting in real time of the spread of dredging spot. Software product has been developed for forecasting the spread of the dredging spot. The successful development of the company is ensured by project, approved for financing under OP Competitiveness : widening of the fields of activity, increased number of personnel. CORES Ltd. keep their office at the premises of RAPIV and continue the collaboration with RAPIV and the other companies. The Decision Support System (DSS) for management of coastal floods, created under the leadership of Dr. Valeri Penchev, is about to be used as a training tool within project SimCoast, 7FP, as well as for the elaboration of plans for coastal floods management.

HIGH-TECHNOLOGY BUSINESS INCUBATOR - VARNA Incubation in RAPIV for the period 2005-2010 in % 100% 80% Expressed interest 60% 40% 20% 0% 100% 63% 33% 26% 14% Applications received Approved applications Incubated companies Successful companies Successful companies for the period 2005-2010 in % 100% 80% 60% 40% 100% 62% Companies finalized incubation Successful companies 20% 0%

BUSINESS INCUBATOR-VARNA Signature of contract for incubation in BI Varna with IASD, 31.10.2013 г. Newly accepted companies International Association for Sustainable Development (IASD) works in the sphere of sustainable development (researches, expert evaluations, consultations, trainings). IASD is accepted with the project Information consulting system for monitoring and sustainable development of border and rural territories in NER of Bulgaria. The aim of the project is to develop information consulting system, which will provide the management of the SMEs and the municipalities with solutions to the problems related to the environmental protection and sustainable development.

BUSINESS INCUBATOR-VARNA Newly accepted companies Signature of contract for incubation in BI Varna with Enero Ltd., 31.10.2013 г. Enero Ltd develops its activity in the sphere of machines, equipment and installations for sustainable environment. The main purpose is to create and realize new technologies for complex gasification on the base of organic waste materials and production of energy. The company is accepted for incubation in BI Varna with project: Creation of prototype of gas power station 100kW on the base of own technology for biomass and organic wastes.

INNOVATION AND TECHNOLOGY TRANSFER CENTRE Project 014664 NE - BG RIS, Regional Innovation Strategy for the North- East Planning Region is carried out within 6 th Framework Programme of the EC. Partners: RAPIV, coordinator of the project; Alliance of the District Governors of NEPR; Ministry of Regional Development and Public Works; University of West Macedonia, Greece; Regional administration of Region Liguria, Italy; Regional administration of Region Abruzzo, Italy. Duration: 32 months (01.06.2005 31.01.2008). Budget: 466 000 Euro. www.nebg-ris.net

STRATEGIC PRIORITIES FOR INNOVATIVE DEVELOPMENT PRIORITY 1: DEVELOPMENT OF THE INNOVATION POTENTIAL OF THE REGION FOR INCREASING THE COMPETITIVENESS OF THE ECONOMY PRIORITY 2: CREATION AND DEVELOPMENT OF PRO- INNOVATIVE ENVIRONMENT (INCLUDING INFRASTRUCTURE) IN SUPPORT TO ENTREPRENEURSHIP AND BUSINESS PRIORITY 3: SUPPORT TO THE DEVELOPMENT OF HUMAN POTENTIAL AND CREATION OF THE MODERN INNOVATION CULTURE IN THE REGION 43 projects to be realized, 7 of which are pilot projects.

INNOVATION AND TECHNOLOGY TRANSFER CENTRE Black Sea Network for Regional Development The project is implemented under JOP for the Black sea basin 2007 2013 GENERAL OBJECTIVE - the establishment of Black Sea Network for Regional Development; BUDGET: 492 085 Euro; DURATION: 24 months; PARTNERS RAPIV is the Lead partner of consortium of partners from five countries -Bulgaria, Greece, Romania, Moldova, Ukraine; 1 associated partner from Italy. BLASNET PROJECT Established Black Sea Network for Regional Development BlasNET with 22 members from Bulgaria, Romania, Greece, Moldova and Ukraine.

INNOVATION AND TECHNOLOGY TRANSFER CENTRE PROJECT REGIOCLIMA Regional Cooperation towards Adaptation to Climate Change The project was implemented under INTERREG IVC programme of EC, priority for environment. GENERAL OBJECTIVE: To assist societies to adapt to the new climate conditions both by minimising the risk of damage and exploiting the new opportunities arising from a changing climate. DURATION: 36 months. Started in October 2008 and ended December 2011. BUDGET: 1.999.970,00 DEVELOPMENT OF EUROPEAN STRATEGY FOR ADAPTATION TO CLIMATE CHANGE. PARTNERS: Cyprus, Italy, Spain, Estonia, Slovakia, France, Greece, Bulgaria www.regioclima.eu

TRANSFER OF GOOD PRACTICES REGIOCLIMA PROJECT GEOTHERMAL PLANT: Installed capacity - 10 MWth; Use the energy of the two springs FGG-2 and FGG-3 - flow 15.8 to 18 l / s and temperature 78.7 and 77.8 C USERS: 30% of users of the city - 1,300 apartments, the regional hospital, schools, kindergartens, shops, a home for the elderly. The Municipality uses funds from another project - CONCERTO (remediation of residential and publicbuildings) to increase number of consumers. Cost of the project - 2,760,000 CONSORTIUM: Municipality of Galanta (share of total is now 77%); Nordic Environment Financial Corporation (NEFCO),Finland; Slovensky Plynarensky Priemysel (SPP), Bratislava; Orkuveita Reykjavikur, Reykjavik, Iceland; Slovgeoterm Ltd., Bratislava. SPP is a beneficiary of a long-term loan from the Nordic Investment Bank, Helsinki (NIB).

INNOVATION AND TECHNOLOGY TRANSFER CENTRE PROJECT INOLINK Connecting the Territory Through the Innovation Network The project is implemented under INTERREG IVC programme of EC. GENERAL OBJECTIVE: To improve the territorial reach of regional innovation policies, through a better connection of peripheral areas with the regional innovation systems, in order to improve the diffusion of innovation and balanced economic and technological development throughout the EU territory. BUDGET: 1 976 077 PARTNERS: Bulgaria, Germany, Italy, Portugal, Romania, Slovenia, Spain, UK

TRANSFER OF GOOD PRACTICES The practices, identified as most suitable for transfer in North-East Region of Bulgaria (NER) is the experience of Coventry University Enterprise Limited in supporting the cooperation and relationships between academia and business and more specifically the following types of support: 1. Coventry University Technology Park (RAPIV selected the Coventry University Technology Park and its establishment as practice which is most suitable for transfer in NER). 2. Institute of Applied Entrepreneurship (IAE) (The Institute and its programmes for encouraging students entrepreneurship and promoting the culture of entrepreneurship are identified as most suitable for transfer in NER. RAPIV and Varna Free University have proved their interest in transferring the IAE experience into their activities)

TRANSFER OF GOOD PRACTICES INSTITUTE OF APPLIED ENTREPRENEURSHIP Experts' visit was realised in Varna in September 2012. Measures for transfer of the best practices of Coventry University in the creation of the Institute of Applied Entrepreneurship (IAE) were discussed with the management of RAPIV and Varna Free University "Chernorisetz Hrabar". Experts from Coventry University approved the concept and design of the new Entrepreneurship Institute at VFU, following the example of IAE. 14th September 2012, Varna Free University

PROJECT INNOMOT DESCRIPTION OF THE PROJECT Name Improving Regional Policies promoting and motivating non-technological Innovation in SMEs (InnoMot). The project is implemented under the Programme INTERREG IVC of the EC. Duration: 3 years (1/1/12-31/12/14) Budget: 2.274.728 EUR (ERDF 1.727.256 EUR) Partners from 8 countries: Belgium, Denmark, France, Ireland, Spain, Italy, Poland, Sweden The project Innomot falls within the second development trend of RAPIV Innovation and Technology Transfer Center. This is one of the projects proposing innovation services to SMEs.

INNOVATION SERVICES FOR SMEs COLUMBUS 3 Project COLUMBUS 3 fostering the mobility of young entrepreneurs, Programme Erasmus for Young Entrepreneurs of the EC.

INNOVATION SERVICES FOR SMEs Project under Law 84/2001 ICE 061966 Creation of a network for the support of local SMEs in the high technology in Bulgaria and Romania through SMEs from Liguria, Italy.

TECHNOLOGY TRANSFER 2008 - Establishment of Marine Technologies transfer Centre with the Naval Academy under PHARE Programme. Projects, financed by the National Innovation Fund: New ecological and economically efficient models for the creation of new hydro technical and infrastructural objects developed together with Svemar Ltd; "Design and development of quality new automated surveillance system, analysis and presentation of the state of water basins on the territory of Bulgaria" developed together with "Triada Soft Ltd.

HIGH-TECHNOLOGY PARK VARNA AVAILABLE CONDITIONS FOR THE CREATION OF HTP Organisational structure RAPIV Centre for development of the regional innovation policy. Presence of universities and research institutes. High percentage of regional companies in the sphere of high technologies. Presence of high qualified specialists Access to international transport. Access to financial resources. Memorandum between Enterprise Ireland, Shannon and RAPIV Meeting with Dr. Kathrin Peters, Cambridge with Mr. Bazitov, Deputy Mayor of Varna.

CONCEPT FOR BLACK SEA TECH PARK PRIORITY AREAS I. Technologies for exploitation of the resources of the Black Sea and coastal zone protection; II. Protection of the environment and climate change; III. Renewable energy sources and energy efficiency; IV. Improving the quality of life through development of healthcare and security.

BLACK SEA TECH PARK IN THE STRATEGY FOR THE NEXT PLANNING PERIOD TRANSFER OF THE PRACTICE THROUGH ITS INCLUSION IN REGIONAL POLICY DOCUMENTS: Development of preliminary concept for establishment of Technology park in Varna as a result of the exchanged experience. The preliminary concept is included in the Plan for Urban Reconstruction and Development of Varna and in P1.140 and P3.2 of the Municipal development plan. The plan will be the basis for the preparation of city development projects to be proposed for financing during the next funding period. 500 mln. Euro are envisaged for all zones, included in the plan, 200 mln. of which are designated for the zone of high social importance.

PLAN FOR DEVELOPMENT OF VARNA MUNICIPALITY 2014 2020 prepared by RAPIV VISION Varna European Municipality with sustainable development and attractive living environment, preserved spiritual, historical heritage and prosperous marine, cultural, academic, transport and tourist center. MAIN OBJECTIVE Achievement of integrated sustainable development and raising the standard of living, through effective use of own resources and enlargement of the partnership with the European Union. 4 Strategic Objectives 15 Priorities 41 Specific Objectives 168 Measures 29

P 1.7 P 1. 117 P 1. 119 P 1. 140 p.1. 108 Support for creating start-up and venture capital fund. Creation of Municipal council of Innovations and European Integration Support of the business in the transfer of innovative practices from the European countries to Varna Municipality Support for the creation of Black Sea High-Technology Park Program for qualification of teachers in Varna Municipality PROGRAM FOR THE REALIZATION OF THE PLAN FOR DEVELOPMENT OF VARNA PRIORITY AREA 1: Intelligent economic growth -149 projects MUNICIPALITY 755 Priority projects PRIORITY AREA 2: Improving the quality of life 268 projects P 2.1 P 2. 82 P 2. 143 P 2. 157 P 2. 246 Ensuring employment and raising the incomes, facing the young people and the people in risk. Building of new medical center in Galata quarter Building of new multifunctional hall for cultural events next to the port Organizing international and local festivals and competitions Introduction of electronic services for the citizens and business. P.4. 1 P 4. 2. P 4. 8 P.4. 28 Organizing of international cultural forum of the European network EUROCITIES in Varna. Creation of fund for supporting the financial part of NGOs participating in projects Supporting of the office of Varna Municipality in Brussels. Realization of activities for the application of Varna for European Youth Capital and European Capital of Culture PRIORITY AREA 4: Cooperation 36 projects PRIORITY AREA 3: Integrated territorial development 302 projects P 3.2 P3. 66 P 3. 97-136 P 3. 149 P 3. 198 Building and establishment of a High-Technology Park Investment project for building of the Second Bridge of Asparuhovo Application of measures for energy efficiency in state buildings Using the energy potential of Geo- Thermal waters for public needs Building of information infrastructure of free Wi-Fi in public zones.

TRANSFER OF GOOD PRACTICES PROJECT REGIOCLIMA A best practice for transfer in NER of Bulgaria is selected: "Use of geothermal energy in the city of Galanta, Slovakia. An analysis and action plan are prepared for implementation of the transfer. Varna and its surroundings have 41 geothermal wells with a flow rate 22-77 l/s and temperature of 27-60 C, dominated by those (17) with a flow rate 22-40 l/s and thоse (18) with a temperature of 40-55 C. The development of strategy for utilisation of geothermal energy for heating is included in priority 3.2. of the Municipal plan for development of Varna Municipality 2014-2020, Project 3.146.

INNOMOT GOOD PRACTICES Selection of good practices in the sphere of non-technology innovations The main objective of the project is the preparation of the adoption of new policies and practices in the sphere of non-technology innovations in SMEs. Selected practices from the regional stakeholders: -Discovery Zone, Meath, Ireland; -SUPORT, Meath, Ireland; -Mindshake, Navarra, Spain. On-line portal for training of SMEs to gain a better understanding of how Higher Education Institutes (HEIs) operate and enabled them to access dormant research at Universities. It also allowed universities to find outlets for current and previous research, making them more responsive to current market needs. The Programme is funded under Life Long Learning Programme. The course is composed of short-term training and on-line support.

IMPORTANCE OF THE NONTECHNOLOGICAL INNOVATIONS FOR THE IMPLEMENTATION OF THE OBJECTIVES, LAYED DOWN IN THE MUNICIPAL PROGRAMME DOCUMENTS During the implementation of The Municipal plan for sustainable development of the Municipality of Varna 2014-2020, the development and implementation of non-technology innovations in business contributes to the implementation of: PRIORITY AREA I: ECONOMIC GROWTH, priorities 1.1. Fostering entrepreneurship on the basis of knowledge economy of 1.2. Improvement of quality of education partially in some measures from priority 1.3. Increasing the efficiency of innovation and research. Support to the high-tech industries and services., related to the nontechnology innovations in business Implementation of social innovations contributes to achieving the strategic objectives from PRIORITY AREA II: IMPROVEMENT OF THE QUALITY OF LIFE

PARTICIPATION IN EUROPEAN NETWORKS INNOVATIVE REGIONS IN EUROPE

SUMMARIZED RESULTS Events organized and held by RAPIV 16 14 12 10 8 6 4 2 0 2 16 8 5 13 5 3 5 3 2007 2008 2009 2010 2011 Average 2007-2011 2 7 7 2 2 3 1 10 4 International conferences Round tables Seminars

SUMMARIZED RESULTS 100% Success rate of RAPIV in EU projects 80% 60% 58% 40% 20% 20% 0% 2005 2006 2007 2008 2009 2010 2011 average Lead Partner Partner

Thousands Euro SUMMARIZED RESULTS 1.400 1.200 1.000 800 600 400 200 0 Direct income of RAPIV from EU projects 2005 2006 2007 2008 2009 2010 2011 total LP PP total for RAPIV Indirect Income 8 506 539 Euro

THANK YOU FOR YOUR ATTENTION! Regional Agency for Entrepreneurship and Innovations Varna Asparuhovo quarters, Malka chaika vicinity, Varna 9003 E-mail: office@rapiv.org Web: www.rapiv.org