In the last few years, economic, social and environmental development have been described as equal pillars of sustainable development (SD). However today we see that economic development in public perception is increasingly positioned behind social, and foremost, environmental concerns. This may be reflected in current and future regional or national policies and the use of standards. A number of trends in the international and European market place show growing sophistication in private market requirements imposed on small and medium enterprises (SMEs). This has led to an acceleration of elaborated policies frameworks and incentives from the public sector targeting the same group. Multiple certification requirements and performance requirements go hand in hand with legal compliance and reporting, and constitute a significant barrier to a number of small economic players. A growing number of voluntary labelling and/or certification systems assuring credibility on claims for the sustainability agenda are also becoming mandatory.

This is demonstrated by a significant growth of ethical and ‘fair trade’ standards and initiatives and a strong return to an environmental agenda driven by climate change, resource shortages, and loss of biodiversity.

Over the last 20 years or so, voluntary instruments have been used as additions to regulatory instruments as part of the overall ‘toolbox’ to foster environmental change. Now however, these instruments have becoming more important and may potentially trigger better results than traditional laws. Today 70% of business to business transactions in Europe are subject to technical specifications and ISO 14001 and EMAS are a growing part of this.

The largest exposed target group to these changes in regulations, incentives and perceptions is that of small business, which constitutes 90% of the economic tissue worldwide. High transaction costs linked to be in compliance with market based and modern policy induced standards are a solid barrier and problem for the SME’s. This paper describes a number of programs which have been set up in Europe to indirectly support networks, regions and administrations to move forward and upgrade SME’s to be part of a modern demanding marketplace.