asked the Minister for Industry and Commerce if he will state the maximum amount obtainable by way of loan and grant for an approved industry located in the Limerick City and County area, the conditions of issuing such sums, and the factors taken into consideration in assessing the merits of an industry.
Written Answers. - Industry in Limerick: Grants and Loans.
75.
Under the Industrial Grants Act, 1959 whenever An Foras Tionscal—
(a) are of opinion that there are sound reasons why an industrial undertaking cannot be established or developed in the undeveloped areas and that the undertaking is, having regard to its size, character or the probable extent to which its products are likely to be exported, of exceptional national importance, and
(b) are satisfied that financial assistance by way of grant is necessary to ensure the establishment or development of the undertaking and that the undertaking will be of a reasonably permanent nature and will be carried on efficiently,
they may give grants not exceeding two-thirds the cost of site acquisition and development and buildings and one-third the cost of machinery and equipment. The amount granted in any one case is limited to £250,000 except where the Government, having regard to the amount of employment likely to be afforded, approves of the making of a grant in excess of £250,000. An Foras Tionscal may also give grants not exceeding one half the capital cost of the provision by the Electricity Supply Board of an electricity supply for an industrial undertaking.
The factors taken into account in assessing the merits of projects for which grants are sought and the conditions to which grants are made subject, are matters within the discretion of An Foras Tionscal which is an autonomous body.
I would refer the Deputy to the reply by my predecessor to a Dáil Question on 6th November, 1958, in which he set out the circumstances in which he would be prepared to consider scheduling West Limerick as an undeveloped area under the Undeveloped Areas Acts. Under these Acts grants may be made by An Foras Tionscal not exceeding—
(a) the cost of site acquisition, development and buildings;
(b) half the cost of machinery and equipment;
(c) half the capital cost of the provision by the Electricity Supply Board of electricity supply.
Grants may also be made under the Undeveloped Areas Acts towards the cost of training of workers.
The provision of loan finance for industry is a matter for negotiation with banks and other financial institutions including the Industrial Credit Company Ltd.