Dáil Éireann debate -
Thursday, 3 May 2001

Vol. 535 No. 3

Written Answers - IDA Ireland.

Willie Penrose

Question:

39 Mr. Penrose asked the Tánaiste and Minister for Enterprise, Trade and Employment the proposals being considered for the regionalisation and restructuring of IDA Ireland; and if she will make a statement on the matter. [12203/01]

Tánaiste and Minister for Enterprise, Trade and Employment (Ms Harney)

In response to a changing dynamic in the Irish and global economies and in the light of changed conditions arising from our national success over the past decade IDA Ireland has recently completed an extensive strategic review of its current mission and strategy. Arising from this review it has initiated a new strategy for the agency going forward until 2010.

The strategy will include the continuation of FDI with existing and new niches of business while aiming to generate more clusters of world-class industries. IDA Ireland will however focus more on knowledge based developments than on cost-based investments. The agency has also proposed the establishment of regional economic centres at key locations which have not seen the full benefit of growth that other major centres have experienced. The agency will continue with the target of doubling the number of jobs from greenfield projects in the Objective One, Border, midland and west regions. In addition to these strands IDA Ireland will work with and influence the educational establishment, relevant institutions and companies to facilitate the development of skills, research and innovation in a manner which will ensure that industry gains critical, differentiated competitive advantages internationally over the coming years.

IDA Ireland believes a key strategic priority for coming years will include the agency being more effective in regions so that regional centres become magnets which will attract and entice investment and development. It proposes to do this initially by moving additional staff to three regional economic centres. The agency proposes locating a senior manager and a significant unit of IDA Ireland in each centre and will use the brand strength of the agency to give leadership to development efforts in the centres in question. This is part of IDA's strategy to continue to maximise impact at a regional level.

The major centres proposed by the agency to be the focus of this shift in resources are Athlone, Sligo and Waterford.

Athlone will become the headquarters for regional activity and will also become home for the health care division and property management division. Approximately 30 posts will be transferred to Athlone from Dublin.

Sligo will have parts of the international services and the engineering and consumer divisions located there with approximately 15 posts being transferred from Dublin.

Parts of the engineering, consumer and information and communication technology divisions will be located in Waterford with approximately 15 posts being transferred from Dublin.

When completed, IDA Ireland will have 95 staff across all of its regional offices and the underlying purpose will be to work in close partnership with the other state and local resources to create a drive from within the regions to pull in foreign investment rather than the present approach of pushing it from its Dublin headquarters. The agency will also be looking at niches where there is potential for Ireland to become the number one player and shift the focus from individual projects to a cluster dynamic.

In addition to these new elements IDA Ireland will continue to deliver new, higher value added and replacement jobs. The agency will also work with existing companies to assist them in upgrading their activities and integrate them more deeply in the Irish economy.