Under section 4(1) of the Irish Film Board Act, 1980, the board has been assigned the task of assisting and encouraging development of an industry in the State for the making of films, having regard to the need for the expansion of national heritage through the medium of film making. In this regard, I believe Deputies will agree that there is a fundamental need to develop our new and emerging talent and to provide opportunities and experience for the development of professional skills and the upskilling of those involved in different aspects of film-making. Investing in such activities inevitably involves a greater financial risk than backing established and proven teams only.
To maintain and develop our production capacity and our competitiveness as a location for film production, it is essential also to maintain a critical level of production. If the Irish Film Board were to be obliged to adopt strictly commercial criteria in deciding upon its investments, it would have to take extremely conservative decisions, supporting only those projects which, by virtue of their commercial strength, do not have so great a need for the board's support. Given the inherently risky nature of the business, even that strategy would not be a cast iron guarantee of success.
Clearly, if the board were to take such an approach, much of the new and emerging indigenous talent, which is increasingly making its presence felt and winning critical acclaim internationally, would not have had that opportunity. I believe, and I am sure Deputies would agree, that investing in our own talent in this way — this is the focus of the Irish Film Board's efforts — is an investment which, while it may not reap the financial returns of a stringently commercial approach, is one which will be richly repaid in the years to come as our film makers gain in competence and stature and our industry grows and consolidates. As Deputy Monica Barnes pointed out, it is precisely in the area of indigenous production that we can come to terms with our identity and expunge the stage Irish representations of Ireland which, unfortunately, still linger in certain quarters.
If the Irish Film Board were to operate on strictly commercial criteria which would create the conditions for a revolving fund, it could be validly asked whether there would be a need for the board at all. Why not just leave it to the banks?
By international standards, the level of recoupment achieved by the Irish Film Board — at 20 per cent — is very good and I hope the board can maintain this record and improve upon it wherever possible.
Deputy Donal Carey inquired what I was doing about the European Commission's proposal for a European guarantee fund to promote film and television production, having regard to the Irish Presidency initiative on this matter in 1996. The Irish Presidency compromise initiative on the guarantee fund, which sought to address the objections of several member states to the original proposal put forward by the European Commission, failed because it did not secure the necessary unanimous support within the Council of Culture and Audiovisual Ministers. At the next ministerial Council meeting in Luxembourg on Monday, 24 November, the Luxembourg Presidency has put forward a much diluted compromise as compared with the Irish proposal and I would be less than honest if I held out any hope that unanimity would be secured on this occasion either.
Deputy Donal Carey was concerned at the possibility that section 2 of the Bill might lead to industrial relations problems such as have arisen in the National Museum. I repeat what I said in my opening speech, that these are standard provisions for all non-commercial State bodies and represent no threat to the efficient operation of the board. In the absence of the statutory provisions, administrative procedures had in any event been put in place by the Department of Finance for several years. Section 2 of the Bill is simply putting these arrangements on a statutory basis as they are in other such bodies.
Deputy Michael D. Higgins suggested that my opening statement argued for an equivalence between the section 35 incentive and funding by the Irish Film Board. I believe that both measures are of equal importance and that my Department, with the Film Board, has a central role to play in the elaboration of the film and television policy of the State. I was making this point to underline the fact that both section 35 and the supports offered by the board are the major determinants of what is taking place in the industry currently. These measures fund and ensure the healthy balance which exists between indigenous and non-indigenous production. Productions supported by the Irish Film Board also avail of section 35 in most cases, so that there is a synergy between the Irish Film Board production loans and section 35 which is of particular benefit to indigenous production.
However, I have no hesitation in acknowledging the important contribution other measures make to the development of the industry here. These include: the impact of significant commissionings from the independent production sector from RTE, Teilifís na Gaeilge and, very soon, TV3; the growing infrastructure of production and post-production facilities, including, as Deputy Donal Carey stated, the sophisticated dubbing facilities which have been supported by Údarás na Gaeltachta and Forbairt; and the focused training strategies for the industry which are being directed by the National Training Committee for Film and Television. Deputies Michael D. Higgins and Pat Carey raised the question of improvements in the section 35 tax incentive scheme for investment in film projects. The section 35 measure has been extremely successful in encouraging film and television production in the State. Given that the overall volume of production covered by section 35 certification this year is well in excess of 1996 — involving a 41 per cent increase in gross budgets and a 36 per cent increase in Irish spend — and given also that the future of the section 35 measure, which is in place until 1999, will have to be addressed in the context of the 1998 budget, my inclination is to address the matter substantively next year. However, I am in receipt of a submission from IBEC on this subject and I will give it careful consideration.
Deputy Michael D. Higgins asked why the proposals put forward by STATCOM should be passed on to the industry think tank I will soon establish. In working with the independent film and television production industry, STATCOM has done valuable work during the past four years. However, I also want to encourage strong inputs from the wide-ranging interests in the industry. While Government, through its financial, logistical and training supports can indeed create a climate favourable for the development of the industry, it is also clear the response of the industry is central to success in achieving our common objectives. Four years on from the establishment of STATCOM, it is entirely reasonable to extend this discussion and have industry and State interests working together in an atmosphere of mutual respect and shared objectives to exploit fully the potential of the industry. When we come to formulate our strategic plans for the next ten years, I would like to see the widest possible agreement.
Much of the credit for progress in the industry has to go to those determined, imaginative, and creative industry professionals without whom we would not have a film industry. It is important to listen to them, learn from their insights and experience and have their full participation in planning for the future. To achieve this will be a key task for the industry think tank. The highly successful deliberations of the 1992 Special Working Group on the Film Production Industry — which comprised a wide range of both State and industry representatives and was established by the then Taoiseach, Deputy Albert Reynolds — was a very useful model which already saw the State and private sectors combining very effectively and constructively together.
Deputy Higgins also asked how many of the 22 member states of the Council of Europe who have signed the European Co-Production Convention have also ratified it. My information is that, of the EU member states, only France and Greece have signed but not ratified the convention. I understand from the legal section of the Council of Europe the convention will obviate the need for formal bilateral agreements between any two States. It is for this reason I was pleased to announce in my opening speech my intention to accede to the Convention during the first half of next year.
Deputy Ryan rightly commented on the important role the Film Institute of Ireland has played in the preservation of our film heritage in offering to its membership and to the wider public a wide range of Irish and international cinema, and in the work of its education department. I am glad An Chomhairle Ealaíon, which operates under the aegis of my Department, gives substantial support to the Film Institute of Ireland. Funding in the current year amounts to £340,000, reflecting the importance with which the institute is held.
Deputy McGuinness referred to the remarkable initiative of a group of young Irish film makers who have recently produced a feature film "Under the Hawthorn Tree", in Kilkenny and its environs. It is truly a very laudable achievement, one which is full of hope for the future, that a group of young Irish people in the seven to 19 year age bracket made a film which will be broadcast not only in Ireland but in Britain. Their use of the latest digital technology illustrates the point that our young people have no difficulty in seizing the opportunities to bring them to the cutting edge of technological development. I look forward to seeing their film when it reaches the screen and I warmly congratulate those behind the Young Irish Film Makers group for their achievement.
Deputy Deenihan referred to the prospect of John B. Keane's "Durango" being filmed in County Kerry. He said that Kerry "must put together an attractive package" to ensure it is shot in its rightful county. The Deputy is correct to make a distinction between national incentives for the industry and local initiative, and to emphasise the importance of local drive and enthusiasm to ensure the location of this film in Kerry, given that its author is one of the great sons of that county. I assure the Deputy of my Department's full co-operation in attracting this film to Ireland, via the section 35 incentive, and I have no doubt that local responses can ensure its location in Kerry. By way of encouragement I should mention the drive of the people of Wexford played no small part in attracting Steven Spielberg to Ballinesker last July with the film “Saving Private Ryan” by triggering assistance from the local authority at the very highest level, appointing a liaison contact to iron out any local logistical problems and involving the county engineer to ensure the proper restoration of the beach, in full co-operation with the National Parks and Wildlife Service of my Department.
This is a good cue for other counties to follow and is one reason that, to date, 17 counties have benefited from film production. Indeed a number of counties have established county film commissions and I believe others are giving consideration to doing so. This is an excellent way for local interests, public and private, to prepare the ground to facilitate and attract film production in their counties.
Having referred to "Saving Private Ryan", I want to wholeheartedly endorse what Deputy Belton stated about the co-operation of the Department of Defence and the Defence Forces. Their contribution to the industry in providing military personnel and logistical support has made an irreplaceable contribution to the development of our film industry. Another good example of logistical support offered without undue delay by Government Departments was the British television drama series "The Governor" which obtained easy access to a number of Irish prisons to authenticate its storyline. It is precisely this creative approach — which percolates down in a strong atmosphere of goodwill from Ministers to Departments and to their agencies — which makes Ireland an attractive working environment for film production.
Deputy O'Flynn referred to the need for professional training, notably producer training. The National Training Committee for Film and Television is organising a comprehensive range of training courses, including producer training courses, and I know that it has plans to locate some of these courses outside Dublin, including Cork.
Deputy O'Flynn also referred to a dearth of film production facilities — including technical facilities, in Cork. However, Cork Regional Technical College already has excellent schools of music and art and design as part of its institution. These areas are very relevant to the film and television production industry. I have no doubt the schools in question have already made a significant input to the development of the industry. Cork has also achieved an excellent reputation through its international film festival — now in its 42nd year — which has achieved international status, particularly in the area of short films. I am glad my Department was able to provide funding for the new arthouse cinema in Cork under the cultural development incentives scheme. I welcome the fact that this excellent new cinema space served as a venue for this year's film festival.
Deputy McManus referred to the importance of Ardmore Studios. I agree that Ardmore Studios is a central element of our film production infrastructure, with its excellent and expanding range of facilities. I welcome the new sound post-production facilities now available — including a recently opened second sound stage — which has meant that many feature films which would normally go to post-production in London or elsewhere are now staying here. For example, currently "Dancing at Lughnasa" and John Boorman's "I Once Had a Life"— having shot on location in Ireland — remained in sound post-production at Ardmore. This greatly increases employment in the Irish economy.
Moreover, the new sound facilities at Ardmore recently enabled 16 personnel to take part in a detailed course, funded by the national training committee, at the studios, with follow-on key placements at sound post production facilities abroad. This course involved traineeships in sound post-production for assistant sound editors and represents an excellent example of how, over time, the broader strategic objectives of filling gaps in facilities and upskilling our workforce can be achieved.
I am pleased to have had this opportunity to listen and respond to Deputies' contributions. The quality of these contributions reflects the interest and support from all sides of this House in the progress of our increasingly self-confident and vibrant film industry. In the formulation of a strategic plan for the next ten years, I will take careful account of what has been said. There is a certain urgency in the Bill before us, in that the full amount of the 1997 capital allocation for development and production loans by the board cannot be paid until it becomes law. I welcome support for the Bill from all sides of the House during this debate.