Green light to £50m Euro projects

The European funding is matched by the Welsh Assembly Government

The first projects have been given the go-ahead under a new European funding programme for Wales.

Around £50m will be made available to help businesses gain from innovation in Welsh universities.

The aim is to turn "cutting-edge ideas" into commercially-viable products.

The total programme, to increase wealth in the poorest parts of Europe, will run until 2013 and should eventually be worth over £3bn to Wales.

The projects are intended to create jobs, increase economic growth, encourage research and development, tackle climate change and regenerate deprived communities.

Speaking in Brussels, First Minister Rhodri Morgan said the aim was to ensure "our small, clever country can compete even more successfully on the world stage".

Two Knowledge Exploitation and Transfer projects will receive around £22m of grant funding from the European Regional Development Fund, with match funding from the Welsh Assembly Government.

They will support enterprises, research, tackle climate change and help raise skill levels in deprived communities in west Wales and the valleys.

Mr Morgan said the Welsh Assembly Government wanted to "forge a culture of enterprise in higher education in Wales".

"The approval of these projects marks the beginning of the next stage in our plans for the transformation of the Welsh economy, " he said.

"There will be further announcements of project approvals over the coming days and weeks," Mr Morgan added.