The Provincial Government of Teruel gives grants to build businesses as grocery stores, bars and restaurants in depopulated areas.
In the majority of the villages of Teruel, we face a difficult demographic and economic situation. Since it exists a seasonal, sparce and ageing population that in most of the cases can't buy anything due to the lack of physical and ambulant shops. Consequently, the idea of giving back services to depopulated areas has emerged and the Provincial Government of Teruel has decided to support this initiative by offering them grants.
The Chamber of Commerce has the management of these multirural services and its funding is shared between Provincial and Regional governments resulting . Nevertheless, the investment costs are usually between 30k and 250k and the functioning costs don't receive any grant. So, the business must also be economically self-sustained.

With respect to the budget of the PGT grants, it was of 100.000€ in 2016 and 2017 and of 50.000€ in 2018 and 2019. Regarding the budget for 2020, it is estimated an amount of 110.00€ that will include 72.000€ dedicated to new MSRs openings (max. 12.000€ per applicant) and 38.000€ dedicated to existing MSRs (that comprises the equipment adquisition and maintenance costs).

Resources needed

As previously said the funding comes not only from the Provincial Government of Teruel, but also from the Regional Government of Aragón. In 2019, the funding of both governments resulted in total in 175.00€.

Evidence of success

The results of this initiative are very good, as a significant development has been experienced since its start even if the perspectives depends on local dynamics.
Besides, it has been a positive impact on population what is reflected in a revitalisation of the village. In some cases the inhabitants even increase as ‘second home’ owners and tourists feel more attracted to visit or spend a few days there.
It's also a great advantage for people without cars.

Difficulties encountered

Some difficulties encountered with this initiative have been:
-It's not always profitable as one-only job and consequently, the income must be completed.
-People are happy having a meeting point but… keep buying in supermarkets too much.

Potential for learning or transfer

Conditions for the success of this idea:
-Manager is from the village or can access a cheap accommodation
-Inhabitants, managers, municipalies and goverment must have a commitment with the initiative
-Tourism potential of the area (for increasing the number of clients)

Project
Main institution
Provincial Government of Teruel
Location
Aragón, Spain (España)
Start Date
January 2003
End Date
Ongoing

Contact

Nuria Ros Navarro Please login to contact the author.