📋 Tender Overview
Tiit Riisalo, Minister of Economic Affairs and Information Technology, signed a decree directing almost 8.5 million euros from the EU Just Transition Fund to the construction of an industrial incubator in Narva. The incubator is intended for industrial companies who want to start developing their products and services in Ida-Viru County and need modern rental space for this purpose. The developer of the incubator will be Ida-Viru Investment Agency (IVIA), which has long-term experience in the development of industrial areas in Ida-Viru County.
With the support, it is planned to design, build and furnish the building. The provision of incubation services to business tenants contributes to the change in the economic structure of Ida-Viru County. According to the plan, the industrial incubator should be completed by August 2026.
"The Narva industrial incubator is designed to bring both domestic and foreign industrial investments to Ida-Viru County. This is a springboard to start production, grow it and try different solutions. However, the beginning is not easy, and the construction of a new production is a big expense for the entrepreneur. Therefore, it is good that with the support of the Just Transition Fund, we can build modern production buildings for renting to manufacturing companies, which will also have the necessary administrative and auxiliary premises," said Tiit Riisalo, Minister of Economic Affairs and Information Technology.
The concept of the Narva industrial incubator foresees that companies can operate on rental premises temporarily, for up to five years. It is regulated by the corresponding pricing policy. The fifth year is for the company the year of setting up its own production unit and exiting the incubator. Throughout this period, the entrepreneur is provided with incubation services, that is, so-called soft landing support services under market conditions for faster integration into the economic environment and the start of activities.
During the incubation period, companies will be able to launch production, man teams, adapt to the Estonian economic environment and launch activities.
The total area of the building to be built is ca 7000 m², accommodating up to 10 production units and up to 5 business service enterprises at a time. The structure of the building allows you to change the internal division of rooms thanks to the movable internal walls, according to the needs of a particular tenant. Also, in the event of an increase in the investor's output, it is possible to expand the rental space.
Both the infrastructure to be built and the additional incubation services together form a whole, supporting the change in the economic structure of Ida-Viru County, the emergence of new enterprises, the development of products and services that meet today's requirements, the attracting of foreign investments and the creation of new jobs in the county.
The industrial incubator will be built from the budget of the business support services diversification measure in Ida-Viru County, the total volume of which is 25 million euros, of which 5 million euros is directed to the provision of incubation services in the funded incubators in Ida-Viru County and 20 million euros to the construction of incubators in Narva and Jõhvi.
The Just Transition Fund is a funding mechanism set up by the European Union to support the economy, people and the environment in regions facing significant socio-economic challenges in meeting climate objectives. In Estonia, the volume of the Just Transition Fund is 340 million euros, and the target area is Ida-Viru County due to the oil shale industry.
