Background Small and medium-sized enterprises (SMEs) make up a large part of Europe’s economy, representing some 99% of all enterprises and 57% of economic value added. SMEs therefore have a significant impact on the environment and a primary role to play in shifting the European economy to more sustainable production and consumption patterns. As broad industrial sectors move towards cleaner production processes to respond to climate change imperatives, amongst other things, it is crucial that SMEs are not left behind. SMEs face different and sometimes greater challenges than larger companies and have to deal with certain threats, especially concerning expertise and economies of scale, when tackling environmental impacts and complying with environmental legislation. Cluster approaches offer a potential means of improving the environmental performance of a group of SMEs in a meaningful way. This approach brings various organisations with shared characteristics together to work on a specific topic. It enables better exchange and improved coordination towards shared goals without affecting the independence of the individual organisations. Objectives The ‘ECCELSA’ project aimed to make the cluster approach a widely applicable method for improving the environmental performance of SMEs and for strengthening local and territorial environmental governance. The project proposed to raise the environmental awareness and performance of SMEs by developing a “cluster” approach for Environmental Management Systems (EMS). Specifically, the project developed a database of cluster approach experiences as well as a methodology and guidelines for a specific cluster approach to improve SME environmental performance. In order to secure a high level of consensus, the project’s target was to have at least 80% of consulted stakeholders approve the methodology. Results The ‘ECCELSA’ project has developed an innovative methodology, called the Cluster Approach (clusters are industrial and urban areas, where collective sustainable solutions are implemented to improve existing synergies). The key output of the project was the publication "Guidelines for a Cluster Approach". It is a practical handbook that gives advice on how to use and apply this approach effectively and how to fully integrate it in future environmental policies. It is aimed at policy-makers, at European, national and local levels. The project involved 10 Italian territories, three more than foreseen in the proposal, all of which were members of Cartesio, a network whose aim is to promote, support and spread a cooperative approach in local governance and in local sustainability patterns using cluster sustainability activities. Every cluster established a pilot group, composed by the key actors for the implementation of local environmental policies. Each of these pilot groups approved an Orientation Map that identifies policy priorities, key actors and guiding principles to develop a cluster approach to support the European Commission’s ECAP (Environmental Compliance Assistance Programme) for SMEs. In addition, a ‘hot spots’ analysis was carried out in every cluster, focusing on the environmental aspects indicated as being relevant in the Orientation Map. Each of the 10 clusters then approved a “Route Plan” document, which included a policy, a programme for compliance and detailed plans for possible actions to improve environmental compliance, Tests of these plans have been carried out with overall positive results. Furthermore, the project produced a list of opportunities to simplify environmental administrative and control procedures for SMEs and established a complete set of KPIs (Key Performance Indicators). Project activities involved hundreds of stakeholders (local authorities, SMEs, public agencies, other companies, NGOs and citizens). The project promoted training initiatives in each cluster for companies that wished to check their degree of compliance with environmental legislation using dedicated environmental audits. More than 20 such initiatives were carried out, with over 100 attendees. Many other people participated in online training courses that were offered on the websites of partners and organisations involved in the project. Finally, the project created and produced software that supports companies in the assessment of their level of compliance with environmental legislation. The software is a self-diagnostic tool that looks at the applicable environmental legislation and related administrative requirements. The pilot groups established during the course of the ‘ECCELSA’ project will continue their activities after-LIFE in order to become a stable point of reference for the environmental governance of each cluster. Further information on the project can be found in the project's layman report and After-LIFE Communication Plan (see "Read more" section).