Dáil Éireann debate -
Thursday, 10 Nov 2005

Vol. 609 No. 5

Adjournment Debate.

EU Regional Aid.

Mr. Healy

Currently the new regional aid designations are being considered by the Government and the European Union. The south-east region has made application through its director, Mr. Tom Byrne, by letter dated 29 August 2005 to the Department of Finance for consideration and approval for designation under the draft guidelines on national regional aid for 2007-13. While the regional aid guidelines will be set by the European Commission the qualifying areas will be selected by national governments, in this case the Irish Government. I strongly support the case of the south-east region, including south Tipperary, for designation for regional aid purposes.

The position in the south east is that it has lost out economically in recent times. Unemployment rates in the south east generally are approximately 131% of the national average, which is one of the criteria for designation. In the submission from the south-east region, its director said it is clearly the case that the south-east region meets the unemployment criteria for regional designation, that is to be higher than the national average by 115%. Currently, the region's unemployment rate stands at 131% the average and for the same period in 2004 the region's unemployment rate was 20% higher than the national average. The rate of unemployment in the south east is consistently a percentage point higher than the national average and currently it is 5.4% as against a national average of 4.1%.

A number of unemployment blackspots have been identified by the south-east regional authority in Tipperary, Waterford and Wexford. In the case of my county, Carrick-on-Suir is one of the identified blackspots which has an unemployment rate of 20.6%, five times the national average. I have raised that issue here on a number of occasions. There is a number of unemployment blackspots in Waterford city while the Enniscorthy urban area has an unemployment rate of 20.6%.

On the issue of household income relative to the national average, the south east stands at 92.2% as against 113.4% in Dublin, and 93.9% in the west. The west has already been designated for Category 1 status regional aid. Disposable income per person in south Tipperary at €15,228 lags behind north Tipperary at €16,414. It is even behind counties that already have Category 1 status like Galway, which has €16,094 and Sligo with approximately €15,500 and Louth with €15,900. In the south east 19.7% of the workforce have third level qualifications as against 26% nationally. I ask the Minister to consider the case of the south east seriously. I my view and that of the regional authority it qualifies for designation. The rules for designation give flexibility to the Government and the Minister should seriously consider designating south Tipperary and the south east region for this regional aid.

Minister of State at the Department of Finance (Mr. Parlon)

I thank the Deputy for raising this question as it provides an opportunity to outline to the House the position regarding Ireland's continued eligibility for Objective One status under the European Union's Cohesion Policy. The main goal of Cohesion Policy in the European Union is economic and social cohesion. This is based on financial solidarity, whereby more than one third of the Union's budget is transferred to those regions lagging behind in their development, undergoing restructuring or facing specific geographical, economic or social problems. Priority is given to poorer regions to enable them to better address their challenges and difficulties and to benefit fully from the opportunities offered by the single market by underpinning their long-term structural development.

Eligibility for Objective One status, or the Convergence Priority as it will be known after 2006, applies to designated Nomenclature of Territorial Units for Statistics, NUTS, level 2 regions. Eligibility is determined independently by the European Commission based on a range of economic and social indicators and is not determined by the governments of the member states. Only those NUTS 2 regions with a per capita gross domestic product lower than 75% of the Union’s average are eligible under Objective One. Both of Ireland’s NUTS 2 regions, the Border, midland and western and the southern and eastern regions, have GDP figures above this level.

Under this criterion, neither of the Irish regions will be eligible for the Convergence Priority after 2006. This is a reflection of the degree of economic progress the country has achieved since Objective One was last determined and which underpinned our eligibility for the 2000 to 2006 round of Structural Funds. The southern and eastern region has a figure of approximately 142% of the EU 25 average. This is well above the threshold level. The BMW region is nearly 94%.

The Commission's proposals for Cohesion Policy after 2006 have been broadly welcomed by the Government. We fully recognise the impact of our improved economic position and accept that one of the consequences of this success is that Ireland as a whole will lose Objective One status after 2006. We support the Commission proposals to concentrate the Union's resources on supporting the development of the new member states as a priority. It is important to keep in mind that both Irish regions will continue to benefit from Cohesion Policy from 2007 onwards. However, it should be appreciated that the level of Structural Funds available under the next round will be much reduced. Despite this, Structural Funds can continue to play an important role in the continued economic and social development of the regions.

Funding in the next round will be deployed in accordance with a broad strategic framework oriented to achieve regional competitiveness and support the Lisbon Agenda. The emphasis will be on investment in innovation, in research and development and in the knowledge economy and on improving the employment opportunities for under-skilled workers. The Government has already agreed that the regional assemblies will play a more central role in developing operational programmes for the future programming period. Assembly members will have a significant challenge in determining the priorities, themes or geographic areas to be funded and will be able to articulate local and regional issues and solutions as part of this process.

Ireland has had a good track record in investing Structural Funds in productive activities. We have used them well and they have assisted our development so that we will no longer be eligible for funding at the highest rate. The challenge now is to ensure that future funding is used in an innovative manner to address residual development needs where the added value of cohesion policy can clearly be demonstrated. The issues raised by the Deputy are probably more appropriate for the Department of Enterprise, Trade and Employment. I will ask that Department to respond to the issue he raised.

Mr. Healy

It is a matter for the Department of Finance. I am referring to the south-east region and not the southern and eastern region.

Flood Relief.

Mr. Pattison

I thank the Ceann Comhairle for allowing me to raise this matter. Since I entered public life many years ago one of the main issues taken up by me and by practically all public representatives in my constituency and particularly in Kilkenny is the need to drain the River Nore or to provide solutions to the flooding problems. It would have been foolish for any aspiring candidate for public office not to include such an objective in his or her campaign leaflets. I can remember at the young age of ten the flood that hit Kilkenny in March 1947. At that time my grandparents were isolated in their house with the water rising to a level of 6 ft. or 7 ft. It was a miracle that no lives were lost at that time.

There have been many severe floods in the Nore and its tributary the Breagagh. These occur annually and sometimes many times per year. With the decision to carry out the work on the Nore several years ago came a sense of confidence and pride. The work cost €48 million. I never had a problem with such an amount of money for this very essential work. I would fully support whatever it took to do the job and say it was well worth the money. Naturally I have not been in Kilkenny in recent days as I have been here in the House. When I read this morning's Irish Independent with a screaming headline “Anti-flood scheme failed”, I was aghast. It mentioned that parts of the city were flooded. It is important to assure the public that this scheme has been successful and will be successful.

My main purpose for raising this matter on the Adjournment was to give the Minister of State the opportunity to state that in the House. When I read the news this morning I did not know what to think. I hope the Minister of State can give the assurance to allow people to view this scheme with confidence and pride. Excellent work was carried out and I have no problem with the cost. If that was what it took to do the job, every penny was justified.

Mr. Parlon

It is almost unique for me to be in the House with the Ceann Comhairle and the Leas-Cheann Comhairle together.

Mr. Pattison

I am a Deputy when I am sitting here.

Mr. Parlon

I thank the Deputy for raising this issue. I am glad to have the opportunity to put on the record the facts regarding flooding in Kilkenny. While I understand from where the Deputy got his information the facts are quite different to the headline in today's Irish Independent. We have seen other lurid headlines and photographs in that newspaper regarding the difficulty for fish with the flood relief scheme, which were also grossly exaggerated.

The Kilkenny flood relief scheme referred to in the motion is functioning perfectly to prevent flooding of homes and businesses in the city. The scheme has not failed and the flooding which occurred in recent days is not due to any breach, leak or other failure of the scheme. Flooding took place in the Canal Walk area and the Waterbarracks area. As both areas are designated flood plains they can be expected to flood periodically, but this flooding is not expected to cause significant damage or disruption. In this case the flooding in the Canal Walk area occurred when water from the canal overflowed on to Canal Walk. Contrary to the report in today's Irish Independent, the river did not “burst its banks”. Water had backed up in the canal due to a temporary culvert constructed by the contractor for the scheme to facilitate his access to the works. The culvert in question was removed yesterday.

The flooding on the football pitch in the Waterbarracks area commenced last week, on Wednesday, 2 November 2005. It has been suggested that an accumulation of debris at the trash rack on the River Breagagh contributed to the flooding, but this is not the case. The trash rack is inspected regularly by OPW staff who have confirmed that it was clear of debris on 2 November. The flooding was caused by an increase in flood waters. This brought an increase in debris and rubbish with it. The trash rack was again cleaned by OPW on Tuesday last, as soon as it was safely accessible. OPW staff have confirmed that when cleaning the rack, as well as removing normal river debris such as branches of trees etc. they also removed bags of clothes, carpets and bags of domestic rubbish from the river. The staff concerned have pointed out that this is a regular occurrence.

The purpose of the flood relief scheme is to protect homes and businesses affected by flooding and in this it is an out and out success. The scheme sought to maintain the natural flood plains where possible. The areas retained as flood plains are those where the impact on homes and businesses is at a minimum, areas like Canal Walk and the football pitch at the Waterbarracks. The retention of these areas as flood plains was part of the exhibited flood relief scheme and was fully approved by the local authority.

Child Care Services.

Mr. Finneran

I thank the Ceann Comhairle for allowing me the opportunity to discuss this matter on the Adjournment. I welcome the Minister of State at the Department of Finance, Deputy Parlon, who is here to represent the Minister for Justice, Equality and Law Reform and hear what I have to say on this important matter.

The Elphin playschool committee has been in existence since May 2004 and it applied for a grant at that time for equipment and staffing. The committee started providing a service in September 2004 and has continued to provide that service. There are currently 19 children in the facility. The unit caters mostly for children of one-parent families, those in social housing and those with income difficulties. Only four of the children have parents in full-time employment.

Despite having applied for a grant in May 2004 and having provided a service since September of that year, the Department has still not grant-aided this group. The only support the playschool has got is a grant of €10,000 from the children at risk fund and a grant of approximately €1,700 from the former Western Health Board, now the HSE, western area.

I find it difficult to understand that no progress has been made on the case of this community group in almost two years. That there is a need for this facility goes without saying. The local district nurse has identified that approximately 130 children under the age of five live in the Elphin area. Currently there are three staff in the facility, two of whom are paid from the limited fees paid by the families of the children. The third member of staff is an employee from the rural social scheme.

There appears to be a turf war going on in the Elphin area between the private provider who was grant-aided by the Department, and who got €50,000 some years ago, and the people providing the community facility. I favour the community facility on the basis that it is necessary on account of the low income level of the parents of the children and the difficulties faced by families in social housing.

I have tried to deal with the problem at local level but it has not been resolved. I was involved in the grant the unit got from the children at risk fund. This community facility will fold if it is not grant-aided and supported in the work it is trying to do. The seven-member committee has the support of the local community and provides a necessary service.

I understand from reports that difficulties have arisen, but I cannot understand why they cannot be resolved. Surely the representatives of ADM or the county child care committee and this group can get together and resolve the difficulties. The Minister in charge of this major fund has provided wonderful services throughout the country and I compliment him on the fine services that have been provided at over 30 locations in County Roscommon. However, Elphin is a small town that needs a community child care facility. It seems the difficulties in providing it cannot be resolved locally. Therefore, I ask that the Minister or an official of the Department try to resolve the problems. The children who need the service must come first. The difficulties between the various groups involved are only secondary.

The provision of community child care facilities for our children is paramount. The Minister must send instructions that the problems must be resolved and that those involved get on with the application for capital and staffing for Elphin playschool committee.

Mr. Parlon

As Deputy Finneran knows, the Minister for Justice, Equality and Law Reform, Deputy McDowell, has responsibility for this area of Government policy, but his ministerial duties demand his presence elsewhere this evening.

Deputy Finneran has referred to a particular facility in Elphin, County Roscommon, and to the local county child care committee in Roscommon. In response to the Deputy, it is necessary to give a brief explanation of the equal opportunities child care programme, EOCP, for which the Minister has responsibility and to outline how this major Government investment programme in child care is implemented at local level, through the network of city and county child care committees.

The programme for Government and the progress of the Equal Opportunities Childcare Programme 2000-06 are confirmation of the Government's commitment to developing child care services to support the child care needs of the parents of Ireland, with particular emphasis on those who may be in employment or in education or training to prepare for employment. The EOCP has both an equal opportunities and a social inclusion perspective and aims to increase the supply of centre based child care places by 55%, or 31,300 additional places, by programme end. Current forecasts of impact suggest that it will ultimately create at least 39,000 places, including over 26,000 which have already been achieved.

The first meeting of the expert working group on child care established under Partnership 2000 was held within a month of the Government changeover in 1997 and all the evidence shows that child care has been high on our agenda since that time. The Government has consistently moved promptly, purposefully and proactively to facilitate the development of a top quality child care service across the length and breadth of the country to support parents, the economy and social inclusion through labour market participation.

Since the Government came into office for the second time, it has further increased the funding provision for the development of child care by over €60 million. This includes part of the additional capital provision of €90 million made available by the Minister for Finance in budget 2005 over the period 2005 to 2009 to develop child care infrastructure. It brings the allocation for the current programme to approximately €500 million.

Turning to the 33 city and county child care committees, these were set up in 2001 as companies limited by guarantee and supported by full-time paid staff. As part of the Government's overall strategic aim of improving co-operation and co-ordination of local development structures at county level, the CCCs operate as working groups of the city-county development boards and the chair of each CCC is also a member of the board. This linkage is important to the development of an integrated approach to child care needs in county development plans. Each committee is composed of representatives from the relevant statutory bodies, trade unions, employers and farmers, the national voluntary organisations, child care providers and parents. Committee membership is on a voluntary basis.

The 33 CCCs each have a five-year strategic plan for child care. These plans are based on a shared vision and analysis of the child care needs within the county. Each CCC draws up an annual action plan setting out its proposals for implementing the strategic plans in a given year. The action plans are appraised by Area Development Management Limited. The Department of Justice, Equality and Law Reform sets the annual budget allocations. Each CCC reports on a quarterly basis to ADM on its quantitative and qualitative results and submits an annual report at the end of each year. The CCCs are represented on the National Childcare Co-ordinating Committee through two regional assembly representatives.

In 2005, the CCCs received over €7.6 million in funding to enable them to implement their action plans for the year. CCCs are charged with advancing child care service provision in their local areas. For example, they develop co-ordinated strategies for child care services in the relevant county, based on an analysis of needs, and oversee the effective implementation of such strategies against set targets. They are also responsible for developing an information strategy relating to the provision of child care in the county. The information strategies update and develop the baseline data provided in the national child care census. The CCCs also develop local countywide networks and initiatives which target all categories of child care providers. The role of the CCCs has evolved in a very short time. CCCs now play a key role at local level, as envisaged by the Partnership 2000 expert working group on child care. The effectiveness of that role has been endorsed by ADM in its annual survey of grant beneficiaries under the equal opportunities child care programme and by the external OECD panel of early childhood care and education experts, which reviewed the sector on behalf of the Minister for Education and Science.

I wish to speak about the project mentioned by Deputy Finneran. The Elphin community playgroup submitted capital and staffing grant applications under the equal opportunities child care programme to the child care directorate of the Department of Justice, Equality and Law Reform in May 2004. The applications were forwarded to ADM, which is engaged by the Department to conduct detailed assessments of all grant applications under the programme. Each application undergoes a thorough assessment to ensure it meets the programme's funding criteria. As part of the assessment process, the view of the relevant CCC is sought on each application before ADM's recommendation is forwarded to the programme appraisal committee and a final decision is made by the Department. I understand there was extensive contact between the CCC in Roscommon and the group in question prior to and since the submission of the applications and that the CCC has informed the group that a number of aspects of the current proposal are problematic. I have been advised that, following a meeting between the CCC and the group on 15 September last, the group is considering the withdrawal of its current applications and submitting revised proposals with the assistance of the CCC. As the current applications are in the final stages of the assessment process, it would be premature of me to comment further.

Many child care services in County Roscommon have benefited from grant assistance under the equal opportunities child care programme, as Deputy Finneran has said. The Minister, Deputy McDowell, has announced funding of almost €6.3 million for child care services in the county, thereby facilitating the creation of 360 new child care places and supporting 610 existing places across the county. Since budget 2005 was announced in December 2004, the Minister has announced a record allocation of €112 million in capital funding for community based, not-for-profit groups. The availability of additional capital funding allows the Minister to make further capital grant assistance available to groups which address significant child care service gaps, if the proposed project represents good value for money. It is fair to emphasise that the equal opportunities child care programme has been central to the recent development of child care services in Ireland. Such services will continue to flourish under the careful stewardship of the Government.

The Dáil adjourned at 5.15 p.m. until 2.30 p.m. on Tuesday, 15 November 2005.