Vol. 447 No. 11
25 Mr. Leonard asked the Tánaiste and Minister for Foreign Affairs if he has satisfied himself that there is sufficient co-operation between the various Government agencies who have responsibility for dispensing funding for the development of the Border region. [1306/95]
53 Dr. McDaid asked the Tánaiste and Minister for Foreign Affairs the total amount of funding pledged to date by the EU and other sources for cross-border development; the way in which the various funds will be administered; and when it will become available. [1467/95]
55 Mr. D. Ahern asked the Tánaiste and Minister for Foreign Affairs if he has satisfied himself with the proposed proportionate share of funding under the American aid package for this island as between North and South; if he will make representations to ensure a change in this policy; and if he will make a statement on the matter. [1139/95]
I propose to take Questions Nos. 25, 53 and 55 together.
The main specific funding for the development of the six southern Border counties is provided at present through the INTERREG Initiative, which is administered by the Department of Finance in this jurisdiction and through the International Fund for Ireland. Reciprocal membership on the respective advisory and monitoring committees which bring togethe representatives of a number of Government Departments, facilitates close and structured co-ordination between the two instruments in deploying funding within the Border counties.
The co-ordination arrangements between INTERREG and the IFI are working well and contributing in a tangible way to the economic and social welfare of the Border region. The Government is always ready to consider ways in which existing mechanisms can be strengthened and built upon. This aspect is very relevant to consideration of new structures for North-South co-operation arising from work on the Joint Framework Document and in any future negotiations.
The INTERREG Initiative for the years 1994 to 1999 has allocated IR£72 million to projects in six southern Border counties and £48 million Sterling in the North. The International Sterling Fund for Ireland will spend £50 million in 1995, of which nearly £13 million will be allocated to projects in the south.
Deputies will be aware that major initiatives have been launched in recent months by the European Union and the US Administration respectively to provide financial and other forms of support to Northern Ireland and the southern Border counties in the context of the developing peace process.
On 21 September 1994, President Delors announced that the European Union would, as a first step, increase its contribution to the International Fund for Ireland from 15 mecu to 20 mecu per annum.
Following on from contacts I initiated with Foreign Minister Kinkel, of the German Presidency, the European Council in Essen on 9 and 10 December agreed on a multiannual programme of assistance for Northern Ireland and the southern Border counties which would provide support in the areas of urban and rural regeneration, employment, cross-Border development, social inclusion and investment promotion. The programme is to run for five years. Funding of 300 mecu, or approx £240 million, has been agreed for the first three years. Funding for a further two year period will be decided upon following a review at the end of the initial three years.
This new funding is aimed at overcoming the legacy of damage left by violence and availing of new opportunities offered by peace.
While it is accepted that the greater share of the funding will go to Northern Ireland, final decisions remain to be taken on the precise allocations to North and South under the various headings of the initiative. The necessary steps are being ttaken to bring initiative formally into existence and there is contact between the two Governments and the Commission in this context.
On 1 November 1994, President Clinton announced on behalf of the US Administration a package of measures to assist in the consolidation of the peace process. The package will include, in addition to a planned contribution of $20 million dollars to the International Fund for Ireland in 1995, a commitment to seek Congressional approval for an additional $10 million dollars in respect of both 1996 and 1997 which would mean a total US contribution of $30 million dollars to the IFI for each of those years.
The President also announced that he would host a White House Conference for Trade and Investment in Ireland. This conference will take place in Washington in May of this year.
The direct American financial assistance will be channelled through the International Fund for Ireland, and will be disbursed, as with all IFI expenditure, on a 75:25 basis between North and South which is the ratio agreed by the donors to the fund in the agreement which established it.
I am sure the Tánaiste will agree that the funding indicated is substantial compared with the funding allocated in previous years. It is important that proper structures are set up and there is appropriate co-operation between and co-ordination between Departments to ensure there is an even spread of funds. Along with the peace initiative, great efforts are being made by community groups north and south of the Border. They have set up some very worth-while projects. They have suggested the appointment of development officers and administrative officers within the region and such appointments would greatly facilitate their work. That request was raised at the British-Irish Inter-Parliamentary Body. On this occasion I hope funds will be more evenly spread across the six counties south of the Border than they were heretofore.
I agree with the Deputy that the increased allocation is to be welcomed. In the past we saw the benefit of that funding. I saw it in the six Border counties and in Northern Ireland on my visits there. I welcome the renewed commitment from the US Administration and I hope the conference in Washington on trade and investment will be successful. I believe it will be successful and should stimulate new interest in US trade and investment in Ireland. During recent Government discussions concern was expressed about the operation of the INTERREG Initiative and the need to ensure that the local communities had access to the funds and their efforts, as described by the Deputy who is familiar with them from his experience on the ground, are reflected in what is happening. I hope we will have bottom up development in the INTERREG programme which is being passed to the European Commission. I hope it will be successful and we can build on the success of the last one. Obviously the local communities have a major role to play and I hope we can assist them. With that in mind I am willing to meet Deputies from the six Border counties to discuss how we can make further progress in this area.
I would appreciate if that could be arranged at your convenience.
I am happy with the Tánaiste's response and we must be very grateful to all the organisations which contributed to the funding. I am glad the Minister mentioned the specific amounts of money received as a result of the peace initiative. In a monetary sense, it supports maintaining the peace process and the benefits that can be derived from it. I am not sure whether the Tánaiste's reply included Question No. 43, but he appears to have answered it. The Tánaiste must understand that the bombings in Northern Ireland over the past 25 years——
Deputy, please put your point in the form of a question.
It is in the form of a question. As the Tánaiste is aware, in the past 25 years there has been a great resolve among the British Government and people not to let the bomb devastate them and their pride saw them through the past 25 years, but people living in the six Border counties suffered in silence. As a result of the peace process, will the Tánaiste reconsider the 75:25 percentage basis of funding, as the Border counties have suffered equally and in silence during the past 25 years? Will the Tánaiste consider using his influence to see if funding can be allocated on a more equitable basis?
I am sure the Deputy is aware that was the basis of the ratio of division when the International Fund for Ireland was set up and obviously it is a matter for the donor countries. There would be many complexities involved in changing that decision. I accept what the Deputy said about the impact of the violence on the six southern Border counties and that is something of which we are very aware. I hope recent decisions and the development of the peace process will provide on opportunity to redevelop the six southern counties as well as the Northern Ireland counties. The primary purpose of the International Fund for Ireland and the European Aid Package is to bring about reconciliation. One must accept that the problems in Northern Ireland are more acute. The southern Border counties only make up 20 per cent of the combined population of the area. The IFI spending, on a per capita basis, is greater in the South of Ireland than in the North of Ireland. I will work with the Deputies in that regard, but it is important to see the results of the INTERREG programme and the IFI spending which, as the Deputy is aware, have contributed enormously to major projects. It is also important to ensure they are successful in tackling the consequences of the violence of the past 25 years.
Is the Tánaiste satisfied with the 25:75 per cent proportion? As this has been used as a yardstick in the context of international funding, is it not now a fait accompli that this will be the yardstick used in the context of European Union funding or, indeed, additional funding allocated to the Border regions? Will he comment on the fact that while the six Southern Border counties may have a smaller population than the six Northern counties, the six Southern counties have not been allocated similar resources to those in the North because of greater funding from the British Exchequer? In that context, is it not the case that the six Southern Border counties deserve a much higher proportion of funding, not only from the international fund, but from all the other funds including the Delors package?
The Deputy will be aware that the European Union allocation for the INTERREG II programme is higher for the Southern Border counties than for those in the North. I hope we can work with the communities, as described by Deputy Leonard, in the Southern Border counties. As part of the peace dividend there are opportunities now which did not exist in the past. The reopening of cross Border roads — a matter of concern to many Deputies — should give an impetus to trade North and South and will be of substantial benefit to Southern counties.
In the context of the framework document, will the Tánaiste support setting up a regional body in Border areas to oversee the spending of, not only international fund moneys, but also moneys allocated through the INTERREG programme? Will he also support setting up an INTERREG secretariat in Border areas to oversee such matters rather than allow such funds to be disbursed from Dublin and London?
I could not agree to the Deputy's request today, but I will examine the matter in the context of the co-ordination of the spending funds. We must take cognisance of the agencies already working in that area. I am prepared to meet Deputies of the region to consider what needs to be done in terms of structures for spending money with the objective of ensuring that local people are involved. There have been complaints in the past that this matter was handled without an input from local community development organisations and others.
Is the Tánaiste aware that the greatest problem facing local authority community groups and so on is backing funding? That does not pose a similar problem in Northern Ireland because of Department of the Environment and other funding for the North. Community groups in the South will find it difficult to raise money for large projects.
From discussions I had previously with the Deputy I am aware of that difficulty, it is something which must be considered.
