This report summarises work carried out between 2009 and 2011 by the six DERREG partner institutions involved in work package 4 (WP4): ‘Capacity building, governance and knowledge systems’. The leading research question in WP4 was how to (best) arrange support for joint learning and innovation in rural grassroots development initiatives, and this is considered across case study areas in the Netherlands, Germany, Ireland, Lithuania and Spain.