andMr. Kitt asked the Minister for Finance if he will make a statement on the grants available from the special regional development fund towards the cost of providing factory buildings in western and other underdeveloped areas.
Ceisteanna—Questions. Oral Answers. - Development Fund Grants.
26.
As the Deputies are aware, the purpose of the special regional development fund is to promote, in its area of application, worthwhile economic projects which do not fall within the scope of other schemes of State aid. Subject to this condition, assistance may be provided from the fund towards financing the cost of a factory building where the assistance is proposed by the County Development Team and recommended by the Central Development Committee.
Two, more general, schemes have been introduced on the recommendation of the Central Development Committee, as follows:
(1) the fund finances the purchase by local authorities of demountable factory buildings for temporary leasing to promoters who have been approved for a State grant and who wish to commence training or production before their permanent premises are ready for occupation.
(2) under the pilot scheme which I announced on 8th November, grants will be payable towards the provision of three small factory units in Castlebar and three in Carrick-on-Shannon for renting by the county councils to small firms whose establishment or expansion is hampered by unavailability of suitable accommodation. If the scheme proves successful, I intend to extend it to the other counties in the fund's area.
Mr. Kitt
Can the Minister state the amount of grants involved and the size of the buildings that would qualify for these grants?
The size of each set of three buildings in the arrangements to which I referred on the 8th November will be roughly 3,000 square feet.
Mr. Kitt
And the amount of money?
I have not the figure for money immediately available but it will be such as is necessary to build two sets of 3,000 square feet each.
Mr. Kitt
Will the County Development Teams administer this fund?
They will be a party to the operation. As the Deputy knows, the County Development Teams are teams which organise different agencies so as to reduce the amount of red tape or delays that might otherwise be involved. To that extent, yes, they will be involved.
Mr. Kitt
Can an individual factory apply to the development fund for aid?
It would be a matter for any individual entrepreneur to apply for assistance through his County Development Team.
Can the Minister say has a notification gone out only through the county development authorities or is there any way in which individual applicants can be notified in this regard? This scheme seems to have received very little publicity, except for a few notices in the papers.
I am grateful to Deputies for tabling the parliamentary question which enables my statement of 8th November to get fresh publicity. As I think Deputies know, the County Development Teams are very active in bringing available schemes to the notice of entrepreneurs but I would welcome any additional assistance people might wish to give to publication of these schemes. I feel certain they will be fully used and that this initial project will expand.
And that the IDA will publicise it as well?
I am sure they will. I will bring the Deputy's exhortations to the notice of the authorities involved.
Was there any particular reason for deciding on three units in one place rather than spreading the units around?
I think it is because the County Development Team see merit in bringing a number of industrial projects together rather than scattering them. There is comfort sometimes and benefits flowing from combined activities. Of course, the fact that two towns received three units apiece at the beginning will probably lead to the possibility that some other towns will be chosen for future projects of a similar kind.
Can the Minister tell me——
Order. I want to deal with other questions. A very brief question. We have dwelt a long time on this question.
Is it not strange that no town in the north eastern region, which has had the greatest job loss outside of Dublin, according to the recent IDA report, was selected?
The whole regional development fund scheme operates with the advice of the county development teams and the central development committee. They undoubtedly bear in mind what are the claims of individual areas and the facilities available in individual areas. I will bring to their attention the remarks of the Deputy so that, if a further area is to be chosen, what he has to say about the north eastern region will be borne in mind.
Does the Minister not agree that such an area should have been chosen, where there is such a great job loss?
I consider job loss to be an element to be borne in mind. That is one of the reasons why, as I said earlier, the eastern region is receiving the help of the IDA, which it did not receive previously, because of the very heavy job losses in that region recently.