Written Answers. - European Regional Development Fund Programme.
Seán Barrett
Question:
3
Mr. S. Barrett
asked the
Minister for Industry and Commerce
if the European Commission has approved the European Regional Development Fund Programme for Industry; and, if so, the way in which the £416 million support will be allocated between the various elements of the programme over the period to 1993.
The European Commission approved the Operational Programme for Industry 1989-1993 on 21 December 1989. This is a multifund programme which receives support both from the European Regional Development Fund (ERDF) and the European Social Fund (ESF). The ERDF support, amounting to almost £416 million, will be allocated among the various industry subprogrammes as follows:
|
£m
|
|
Small Business Development
|
22.4
|
|
Irish-owned medium-sized Industry
|
66.8
|
|
Inward Investment
|
78.5
|
|
Gaeltacht Development
|
18.1
|
|
Marketing Development
|
86.5
|
|
S & T Development
|
111.1
|
|
Industrial Buildings
|
32.0
|
|
Technical Assistance
|
0.4
|
|
Total
|
416
|
These moneys will be available to fund development measures undertaken by the IDA, SFADCo, CTT, Eolas, the Irish Goods Council, the Irish Productivity Centre and Údarás na Gaeltachta. They will support an expenditure total of some £684 million by these agencies over a five-year period. In addition to that level of expenditure it is expected that the agencies will spend a further £163 million on development-related activities which will not at this stage receive direct support from ERDF either because they are not eligible at present under ERDF regulations or because of constraints on the amount of ERDF resources available. These additional activities include certain grant expenditures, equity investment and land acquisition.
The moneys now being made available through the ERDF will underpin the highest ever level of State support for the development of marketing in Irish industry and allow for a doubling of expenditure by the State under this sub-programme over the five year period 1989-1993.
Similarly in the case of science and technology development EC support will underpin over £150 million of expenditure to help develop the technological capacity of Irish industry over the programme period. This is also a record level of State expenditure in building up the infrastructure and support services for S & T development in Ireland and will complement the activities of the IDA, SFADCo and Údarás na Gaeltachta and the third-level institutions in this area.
Deficiencies in the technological and marketing capacity of Irish industry have been identified in successive analyses of Irish industry in recent years and the resources now being made available through the increased Structural Funds will help to rectify these deficiencies.
In addition to the £416 million of financial support provided for industrial development under the ERDF, over £370 million will be made available under the European Social Fund (ESF) to support training and recruitment incentives in Irish industry over the period 1990-1993. The management of this sub-programme, under the Operational Programme for Industry approved by the EC, will be undertaken by the Department of Labour and implemented through that Department together with the Department of Education, FÁS, IDA, SFADCo, Údarás na Gaeltachta and IMI.
Details of the operational programme submitted to the EC together with a summary were published at the end of last month by my Department and copies of these documents together with the Commission's decision of approval for the programme were made available to the press, the social partners and other interested parties. Copies of these documents are available in the Dáil Library.
