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Encouragement for experimenting and piloting through support action and a flexible funding platform

Government Communications Department
Publication date 15.4.2016 13.18
Press release 161/2016

Establishing a funding platform for experimenting and piloting would be a great way to promote experimental activities.The objective would be to help scale the models of the experiments and allow the required support to be offered through “pilot accelerators” for those conducting the experiments A digital platform would be established as a response to funding-related issues, allowing crowdfunding to be used as the funding model for experiments and pilots: this way, the experiments could receive state funding, but also funding from other sources, such as enterprises, foundations and associations. The information is based on a study conducted by Demos Helsinki and the Finnish Environment Institute. The study was presented to Anna Vehviläinen, Minister of Local Government and Public Reforms, on 15 April.

Launching funding platform for experimenting and piloting possible with state funding of EUR 2 million

According to the proposal, in order to launch a funding platform for experimenting and piloting in 2016, state funding for EUR 2 million would be required. The funding would be used to implement a digital funding platform, launch one hundred small-scale pilots and offer them support through a pilot accelerator. Later on, a digital crowdfunding model would allow the utilisation of flexible multi-channel funding. The functionality of the funding platform would be assessed at the end of the current Government term. Thus, the platform itself would be a pilot of its own, aiming at comparing the costs and benefits of various experiments, as well as those of the whole model itself.

The proposed digital crowdfunding platform would bring experimenters and experiment financiers together, make acquiring and granting funding faster, and allow accumulating information concerning the pilot. In the study, it is estimated that independence of the state budget could be possible after the initial phase if the funding platform’s operation and support activities prove to be a beneficial way for the various parties involved to invest in operations that suit their own goals. For instance, pilots that have acquired sufficient funding through the funding platform could pay five per cent of the sum they have acquired to support its maintenance.

Small-scale pilots and strong pilots – involving citizens in societal development

Based on the study, developing experimental culture in Finland requires both citizen-oriented small-scale pilots and strong pilots, which are based on more extensive development. With the help of the funding model, experiences from small-scale pilots and strong pilots could be utilised more extensively in the society. International examples have demonstrated that strong pilots can be used to achieve extensive social and economic benefits.

In the proposal, strong pilots are based on the information and experience gained through small-scale pilots. Small-scale pilots are used to improve the possibilities of citizens and grass-root operators to participate in the development of the society. Their funding ranges from EUR 500 to EUR 20,000.

Strong pilots are more extensive and complex than small-scale pilots. They require more funding and their management requires professional expertise. In the proposal, a strong pilot could be granted individual state funding up to EUR 100,000.

The practical model and details of the funding platform operations are currently being prepared by the Prime Minister’s Office.

The project for the funding of piloting and experimenting (KORVA) was carried out as a part of implementing the government plan for analysis, assessment and research for 2015.

For more information on experimenting and piloting: kokeilevasuomi.fi

More information on the government analysis, assessment and research activities: tietokayttoon.fi

Further information: Mikko Annala, researcher, Demos Helsinki, tel. +358 40 778 6062; Annukka Berg, researcher, Finnish Environment Institute, tel. +358 295 251 842; Kaisa Lähteenmäki-Smith, Science Specialist, Chair of the project steering group , Prime Minister’s Office, tel. +358 295 160 166