The principle of subsidiarity is a general principle of the European Union law ensuring independence for Member States to the EU institutions, a lower authority in relation to a higher body or for a local authority in relation to the central government. It therefore involves the sharing of powers between several levels of authority. In particular, the principle determines when the EU is competent to legislate, and contributes to decisions being taken as closely as possible to the citizen. The EU LEADER approach / Community-led Local Developmenthas been one of the most efficient instruments of the EU rural development policy that follows and reflects the principle of subsidiarity, and recently becomes a tool for development within EU Structural and Cohesion Funds, as a succesful concept of local developmentowned and run by the citizens.