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Dáil Éireann debate -
Tuesday, 22 Jun 1993

Vol. 432 No. 6

Ceisteanna—Questions. Oral Answers. - Science and Technology Programmes.

Godfrey Timmins

Question:

8 Mr. Timmins asked the Minister for Enterprise and Employment if it is proposed to reverse the decision to cut research grants; and if he will make a statement on the matter.

Brendan McGahon

Question:

19 Mr. McGahon asked the Minister for Enterprise and Employment whether the Exchequer is increasing its commitment to the science and technology development programme during 1993; and if he will make a statement on the matter.

Michael Noonan

Question:

20 Mr. Noonan (Limerick East) asked the Minister for Enterprise and Employment the reason the strategic research programme which funds industrially relevant R & D projects has been cut to the point that it will have to cease funding new projects; and his policy in regard to strategic research generally in the light of this decision.

John Browne

Question:

30 Mr. Browne (Carlow-Kilkenny) asked the Minister for Enterprise and Employment the reason the strategic research programme which funds industrially relevant R & D projects has been cut to the point that it will have to cease funding new projects; and his policy in regard to strategic research generally in the light of this decision.

Gay Mitchell

Question:

48 Mr. G. Mitchell asked the Minister for Enterprise and Employment the reason the strategic research programme which funds industrially relevant R & D projects, has been cut to the point that it will have to cease funding new projects; and his policy in regard to strategic research generally in the light of this decision.

Liz McManus

Question:

59 Ms McManus asked the Minister for Enterprise and Employment if his attention has been drawn to the concern about the implications for scientific research projects in this country of the 20 per cent cut in the national science and technology budget and to the fact that Eolas has said that no new projects would be considered for funding under this year's Strategic Research Programme; if, in view of the vital importance of research, he will reconsider the decision to cut the budget; and if he will make a statement on the matter.

Frances Fitzgerald

Question:

69 Ms F. Fitzgerald asked the Minister for Enterprise and Employment the reason the strategic research programme which funds industrially relevant R & D projects has been cut to the point that it will have to cease funding new projects; and his policy in regard to strategic research generally in the light of this decision.

Paul McGrath

Question:

72 Mr. McGrath asked the Minister for Enterprise and Employment the reason the strategic research programme which funds industrially relevant R & D projects has been cut to the point that it will have to cease funding new projects; and his policy in regard to strategic research generally in the light of this decision.

Paul Bradford

Question:

74 Mr. Bradford asked the Minister for Enterprise and Employment the reason the strategic research programme which funds industrially relevant R & D projects has been cut to the point that it will have to cease funding new projects; and his policy in regard to strategic research generally in the light of this decision.

John Bruton

Question:

108 Mr. J. Bruton asked the Minister for Enterprise and Employment the reason the strategic research programme which funds industrially relevant R & D projects has been cut to the point that it will have to cease funding new projects; and his policy in regard to strategic research generally in light of the decision.

Jim Higgins

Question:

109 Mr. J. Higgins asked the Minister for Enterprise and Employment if it is proposed to reverse the decision to cut research grants to industry; and if he will make a statement on the matter.

I propose to take Questions Nos. 8, 19, 20, 30, 48, 59, 69, 72, 74, 108 and 109 together.

The Department's science and technology budget for 1993 is £43.88 million as compared with an outturn of £27.84 million last year. This is an increase of 58 per cent in one year. The 1993 provision includes £23.42 million for a new scheme to assist companies to undertake R & D projects. Because there is no requirement for matching Exchequer funds, this amount does not appear in the Estimates.

To enable this scheme to get under way in 1993 we had to re-deploy funds as between different science and technology programmes. Our priority, in line with Culliton, was to be more focused in applied rather than strategic research. The strategic research budget was reduced by £264,000.

The Culliton report says that the focus of S & T policy must be on the application of technologies which will help Irish firms to develop new products and improve the competitiveness and quality of existing products. I would like to assure the House that the Government fully accepts the Culliton view that technological competence is one of the main keys to competitive advantage. As a corollary of this, I would expect to see a significant increase in the funding for worthwhile science and technology projects under the next operational programme for industry starting in 1994.

Is the Minister aware that a number of research projects have been stopped in their tracks as a result of a change in policy? Will the Minister explain how his Department's Estimate shows almost 25 per cent cut in State spending on science and technology? Is it the case that as the EC is willing to offer money the Government cuts back and, therefore, instead of additionality in the area of research and development there is a pruning of the budget by Government in an area which we should be developing? After all research and development is the seed potato of tomorrow.

I agree entirely with the Deputy and that is why total spending has increased by 58 per cent, taking one year with another. The figure in the Estimate mentioned does not include the special measure six programme, the industrial research and development programme.

On which the State does not spend one penny.

That figure amounts to £23.4 million.

Is it not the case that the Government has taken the opportunity of the EC agreeing to a measure, where private money could take the place of EC money, to cut State spending by £6 million? Therefore, there is a reduction in funding of 25 per cent in the most crucial area for future development of Irish employment opportunities.

I completely reject that suggestion. There is 58 per cent additional spending in the area of science and technology——

None of it is from the State.

——from European funding and so on. Is the Deputy suggesting that irrespective of how much money we get from Europe we automatically use that as the base line and pile additional expenditure on top of that? Is a 58 per cent increase in expenditure in one area in one year not sufficient?

Does the Minister realise that Mr. Delors, President of the Commission yesterday published figures to the effect that 3 per cent investment is required in research and development? At present Ireland is meeting a dismal target of 0.5 per cent, less than one-sixth of that proposed by President Delors, yet the Minister is proposing to cut State spending by 25 per cent.

The Deputy seems to be imparting information rather than seeking it.

Overall expenditure has increased by 58 per cent. There has been a reduction on the State side but it is nothing like 58 per cent. I am very confident, in view of what Mr. Delors said, that when we look at our science and technology programmes in the years ahead the amount of funding from the Community will reflect his concerns.

It is zero.

Does the Minister accept that the fact that there has been a cut of £6 million sadly contradicts the claim that Ireland is committed to excellence in technology and that we wish to stimulate technological development through a highly trained workforce? Does he accept that the real message given to our foreign competitors is that we will provide the technological manpower for their industries in the form of our young technically trained emigrants?

We have technically trained students and personnel of whom we are very proud. I do not accept that overall science and technology spending has been reduced. The Community has provided a special £23 million budget this year which enabled spending to increase from £27 million to £43 million and that money is going to universities and companies. There is a full commitment to the development of science and technology because, as the Deputy said and was pointed out by Mr. Delors, industrial growth will depend on excellence in that area.

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