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Challenges for New Models of Territorial Governance: Learning from the Experience of Italian LAGs

Governance is a complex and polyhedral concept focused on the polity dimension of political activity. In this scenario, “Territorial Governance” is not only a governance process applied to urban and territorial policies but also a complex process that has specific characteristics stemming from its objective and territory and helps achieve the broader goal of territorial development and cohesion. Thus, understanding “territorial” needs is relevant. This aspect has emerged in recent decades and is characterized by increasing involvement of territorial entities. Citizen panels, open meetings, and public assemblies, for example, engage citizens, organizations, and firms with the goal of promoting sustainable development and direct participation in territorial governance policies. In particular, recent decades have seen the spread of a specific way of involving private and public organizations in the decision-making process related to territorial policies: the creation of public-private partnerships. The purpose of this paper is to examine this topic in depth, focusing on the impact that public-private partnerships may have on territorial governance. Specifically, in reviewing the governance theory literature, our goal is to propose a new model of territorial governance with specific elements derived from the experience of public-private partnerships. To do this, we fix our attention on a specific type of public-private partnership engaged in territorial development and cohesion: the Local Action Group (LAG). In particular, using a mix of qualitative and quantitative approaches, this study uses a sample of 63 LAGs located in Italy to highlight the LAG’s role in challenges that territorial governance faces. Based on the results and findings in this study, we introduce an innovative governance model called Partnership Governance.