In the unavoidable absence of the Chairman, I am standing in. The meeting has been convened to consider the Revised Estimates for Vote 35. Members have been supplied with briefing material from the Department. I welcome the Minister, Deputy O'Donoghue, and his officials, and apologise for the delay in commencing the meeting. I propose that the format of the meeting should be as follows: after the Minister has read his speech the main Opposition spokespersons will have ten minutes each in which to ask questions, after which we will return to the Minister.
Vote 35 - Arts, Sport and Tourism (Revised).
I thank the Chairman and members of the select committee. I am pleased to present the 2004 Estimate allocations for my ministerial Vote group and to have this opportunity to meet with the committee to discuss the Estimates for my Department, the National Gallery and associated matters.
My Department has overall responsibility for the formulation of public policy for the promotion and development of the arts, sport and tourism sectors. I will now outline for each of these sectors the major developments for which provision has been made in the 2004 Estimates, beginning with tourism, for which almost €114 million has been allocated across a diverse range of services and activities.
Subhead B1 of my Department's Vote allocates almost €61.5 million in current funding to Fáilte Ireland in 2004 in respect of the authority's administration and general expenses such as pay, overheads and other administrative costs; advertising and printed publicity; marketing and promotional activities; the subvention to the regional tourism authorities; and tourism product marketing, including conferences and festivals. The available funding under this subhead also supports a range of tourism initiatives, such as the international sports tourism initiative and the festivals and cultural events initiative.
Fáilte Ireland is also the national body responsible for training and development in the Irish tourism industry. It provides a wide range of services to industry clients and students of tourism and hospitality and plays a central role in training and recruiting people for the sector. The authority trained almost 11,000 people for the industry in 2003 and expects to train almost 11,500 in 2004. It organises courses for the unemployed, including early school leavers and long-term unemployed, first-time job seekers and those already working in the industry.
The subhead also includes a capital allocation of €776,000 for tourism amenity projects. Fáilte Ireland assists the regional tourism authorities in the development of a range of facilities such as the provision of tourist trails, tourist information, signposting, and cultural and heritage projects from these resources.
Subhead B2 allocates €16.6 million for the administration and general expenses of Tourism Ireland Limited, the North-South body responsible for the international marketing of the island of Ireland. This allocation, which is supplemented by funding from the North, covers salaries and general overheads, including the cost of the extensive network of offices overseas.
Subhead B3 sets aside €858,000 for Shannon Development for tourism promotion and development of the mid-west region. As part of its current remit, Shannon Development continues to support the Shannon region as a high-quality tourism destination by stimulating investment in new and improved tourism projects, by initiating and supporting broadly based co-operative marketing initiatives and by providing a range of services to meet the needs of visitors to the region. Subhead B4 provides €70,000 to meet the cost of the interest subsidy payable in respect of tourism loans under the small business expansion loan scheme, which has been closed to new borrowers since April 1996.
The Exchequer provision for the tourism marketing fund at subhead B5 has increased by 4% to almost €31.5 million in 2004, which is the largest ever allocation for tourism marketing. This is a recognition by Government of the importance of tourism to the Irish economy as a contributor to employment, GNP and regional development.
Under subhead B6, €2.5 million will be available to support initiatives in the area of tourism product development. This may include, for example, proposals that emerge in the context of the implementation of the recommendations of the tourism policy review group.
In the area of tourism performance generally, the 2003 figures released by the CSO in March confirmed that Ireland performed very well in 2003 in terms of overall visitor numbers, achieving 5% growth on 2002 and returning overall numbers to the record 2000 levels. This performance is better than most would have predicted at the start of 2003, with the prospect of war in Iraq, SARS and a sluggish world economy. Our performance was also better than most of our competitors in the global tourism market, where tourism numbers fell by 1.2%, according to the World Tourism Organisation.
Despite this strong volume growth, total foreign earnings increased by 3%, bearing out the reports of increased pressure on the industry's bottom line. Various factors have combined to inhibit revenue growth, including a change in the mix of overseas visitors and the pattern and nature of their visits. It also suggests that the industry has responded positively to the competitiveness challenge in terms of price moderation through special offers and discounts.
Ireland performed particularly well in the US market last year, against stiff international competition. US visitor numbers to the Republic of Ireland last year increased by more than 6%. This compares to a 1% increase in the number of Americans visiting Europe generally and a decrease of 8% in the United Kingdom. A key element of this story has been the restoration of key access routes and capacity from the United States in 2003, all of which have been vigorously promoted in tandem with the airlines.
Continental Europe, a market which has remained stagnant for a number of years, is also looking positive, with visitor numbers up by approximately 8%. A 3% growth figure for Britain last year was also a strong endorsement of Ireland's continuing competitive edge in its largest tourism market by far. The domestic market, which is so important for regional and year-round business, has also performed very well. The latest figures available from the CSO's household survey show that expenditure on domestic holidays increased by more than 14% in 2003 compared with 2002.
I am conscious that in reporting on the overall improvement in tourism performance at national level in 2003, not all regions, or indeed sectors, benefit equally. While the ultimate decision rests with the individual visitor, Government policy for tourism seeks to facilitate as wide a regional spread of business as possible. A number of programmes and initiatives particularly favour the regional distribution of tourists. These include the nature and focus of the tourism product development scheme, the differential levels of support given to the regional tourism authorities for marketing purposes, the use of predominantly rural imagery in the advertising and promotion of Ireland, the regional coverage with respect to visiting media, the expanded domestic tourism marketing campaigns and the specific focus on achieving a wide spread of visitors through regional access transport policies.
The report of the tourism policy review group was presented to me on 30 September 2003. It presents an overview of tourism worldwide, an assessment of the economic contribution of the tourism sector to the Irish economy, an analysis of recent tourism performance, a detailed assessment of tourism in Ireland today and an outline of the challenges and opportunities facing the industry. More importantly, it proposes a coherent and integrated strategy for Irish tourism for the next ten years and a series of recommended actions to implement the strategy. In order to ensure that the implementation of the action plan was given the priority recommended by the review group, I established a high-level implementation group under the chairmanship of John Travers, who also chaired the tourism policy review group. The implementation group will be in existence for a two-year period to drive forward and monitor the plan.
To date the group has met on four occasions and I understand it has received presentations from eleven groups, including Departments, the tourism industry and State agencies such as Fáilte Ireland and Tourism Ireland. The objective of the group is to drive forward and monitor the effective implementation of actions recommended in the report of the review group. Its brief will also include the highlighting of any constraints to progress and recommend how they might be addressed and by whom. It will engage with those whose responsibility it is to implement the recommended actions and report regularly to me on progress. The group will formally report to me at six-month intervals, with the first report scheduled for August next, and these reports will be published.
In June last year, the Government decided to proceed with the procurement of a national conference centre through an open competitive procurement process. A high level steering committee was set up to oversee the process. In November last, the Office of Public Works published a notice inviting expressions of interest in the provision of a conference centre in the Dublin area, with an expected minimum delegate capacity of the order of 2,000. Four submissions were received by the closing date of 21 January. These are being evaluated at present by technical assessment panels. The next stage of the process will be initiated over the coming weeks with a view to securing a final decision from the Government later this year. Subject to the acceptability of proposals, the objective is to have the centre in place before the end of 2007. This project, when commissioned, will deliver significant economic benefits not only to Dublin but in related spin-off business for the rest of the country.
After a slow start, progress is being made in processing grant applications under the EU co-funded tourism product development scheme. The intention is to deliver a range of new visitor attractions, co-ordinated product clusters and leisure activities in underdeveloped and developing parts of the country to help widen the geographical spread of tourism business.
Looking ahead, the marketing programmes in train for 2004 will build on the momentum generated in 2003. CSO figures for the first two months of this year record a very promising start, with numbers up 10% on the same period in 2003. With a comprehensive and highly targeted suite of marketing activities, Tourism Ireland and Fáilte Ireland remain confident that they can meet the very ambitious target of over 4% growth in visitor numbers to the island of Ireland again this year. The key challenge is an unrelenting focus on maintaining competitiveness in a way that is economically sustainable for the sector.
All in all, 2004 promises to be an exciting and hopefully rewarding year for tourism. With the help of the substantial Government investment in the sector, the tourism agencies and the industry are well-placed to make the most of the opportunities and challenges that lie ahead.
I now turn to the sports-related subheads of the Vote. The period since 1997 has seen an unprecedented level of government support for sport in Ireland. This Government appreciates the importance of sport in the social and economic life of Irish people. It has provided realistic funding to reflect this central role of sport in our society and the increasing demand for improved sports services and facilities. When the Government took office in 1997, the budget for sport amounted to approximately €17 million. This year investment in sport by my Department - excluding the amount being allocated to the horse and greyhound racing sectors - stands at just over €112 million. This high level of funding has enabled many major proposals to become a reality.
The Sports Council was established on a statutory basis in July 1999, and for the first time, Ireland has an agency focused entirely on sport and its development. Funding for the Sports Council has increased from just over €13 million in 1999 to in excess of €30 million this year. With increased government funding the Sports Council has been able to raise the level and quality of support to governing bodies of sport. Ireland's top international competitors are now in receipt of the type of funding and support about which they only dreamed some few years ago. These supports compare favourably with those available anywhere else in the world.
A new high performance strategy is being implemented, with preparation for the Olympics Games to be held in Athens later this year very much in mind. Our preparations for Athens are well advanced and the teams which represent us in Athens will be the best prepared ever to leave our shores.
Ireland has its first ever national anti-doping programme - one of a select group of 30 countries in the world with such programmes. Ireland has now formally ratified the Council of Europe Anti-Doping Convention.
Through the sports capital programme, we have seen a significant improvement in both the quality and quantity of sporting and recreational facilities throughout the country. Since 1999, over 4,000 clubs and community organisations have been supported to the value of €321 million in providing badly needed sporting and recreational facilities and equipment. Major national sports facilities have been provided or upgraded. Included here are the 50 metre pool in Limerick, the new aquatic centre in Abbotstown, a refurbished national boxing stadium, a new national centre for rowing in Inniscarra, County Cork and a national tennis centre to be located at DCU in Glasnevin.
The Government is committed to building on the substantial funding invested in the provision of sporting and recreational facilities in recent years through the development of a long-term sports facilities strategy. The first step towards developing such a strategy is a review of the existing sports capital programme under the Department's expenditure review programme which is currently being finalised. The outcome of this review will help identify the level of facilities that have been put in place in recent years with the assistance of national lottery funding, and produce recommendations on priorities for future funding.
A national audit of local sports facilities will be undertaken as part of the development of the long-term strategy. Once completed, the audit will enable policy makers to map the location of the various sports facilities throughout the country, leading to a more effective targeting of new or additional facilities which will complement rather than duplicate what is already available. In this way, a more efficient use of financial resources can be achieved, and a fostering of greater co-operation between complementary facility providers can be encouraged.
Under subhead C2, an amount of €15 million is being allocated to the local authority swimming pool programme, representing an increase of €6 million - or 67% - over last year's allocation. Under this programme, grants of up to €3.8 million are made available towards either the refurbishment of existing pools or the provision of a new pool, subject, in both cases, to the total grant not exceeding 80% of the eligible cost of the project, or 90% for projects located in designated disadvantaged areas. Under this programme, 55 projects have or are being dealt with and of those, 13 have been opened or have completed construction, five are at construction stage, four are at tender stage, 18 are at contract documents stage and 15 are at preliminary report stage.
As members of the committee will be aware, the Government decided in January to provide substantial funding towards the joint Irish Rugby Football Union /Football Association of Ireland project to re-develop Lansdowne Road stadium as a 50,000 seat state of the art stadium. The Exchequer will provide funding of €191 million towards the project, which is estimated to cost €292 million, with the balance of €101 million being provided by the two sporting organisations.
Lansdowne Road stadium has, since 1872, served the needs of Irish rugby and is one of the oldest rugby stadiums in the world. Since 1982 it has been the home to Ireland's soccer internationals. The new Lansdowne Road facility will be a 50,000 all seated stadium built on the existing axis. The stadium will meet all current international standards for rugby and soccer and the pitch area will be of sufficient size to accommodate Gaelic games. The standard of the facilities will be broadly equivalent to those currently available in the refurbished Croke Park stadium. Preparatory work leading to the construction of a new stadium at Lansdowne Road is already under way and construction will take 29 months, scheduled to commence in 2006 and should be completed by end 2008.
In January the Government also committed itself to the development of a sports campus at Abbotstown. A phased and prioritised programme to deliver the component elements of the campus is now being developed by Campus and Stadium Ireland Development Ltd, CSID. The campus is capable of accommodating the requirements of sporting organisations for high quality pitches and training and administrative facilities for both amateur and ranking team sports. This should be of benefit not only to major sports organisations but also to some of our smaller sports whose need for modern facilities are important. The campus will very likely also include medical and training support for elite athlete development and, eventually, indoor sporting arena. It is expected that elements of the development would attract private sector investment.
Before dealing in details with subheads D and E of the Estimate, I draw the attention of the committee to a technical change as compared to previous years. From this year the separate Vote for the Arts Council has been abolished and provision is being made in subheads D9 and D10 of my Department's Estimate. This change is purely technical at the behest of the Department of Finance. It does not in any way compromise the autonomy of the Arts Council in its funding decision enshrined in Section 24 of the Arts Act 2003.
Under the aegis of my Department, the Arts Council, as the State agency with responsibility for the promotion and development of the arts in Ireland, has been allocated €52.5 million in 2004. This represents a 19% increase on the 2003 allocation of €44.1 million. The annual allocation to the council has almost doubled from €26.41 million in 1997 to €52.5 million this year. This increased level of funding should allow the council to move forward in a proactive way to support and develop the arts in Ireland.
The most significant recent development in the arts area was the implementation last August of the first Arts Act in 30 years. The Arts Act 2003 provided for the first time for a rolling membership of the Council to provide an element of continuity. The term of office of half of the present membership will expire after 30 months, with the remainder having a five year term.
Last August, in accordance with the provisions of the new arts legislation, I appointed a new 13-person Arts Council comprising experienced figures from the arts community and public life. Under the chairmanship of Ms Olive Braiden I am confident that the council will provide effective advocacy for artists and the arts. Under the new legislation I also arranged for the establishment last December of a special committee on the traditional arts. The committee has been charged with reviewing the structures, supports and policy for traditional arts nationwide, and making recommendations for the future development of the sector. The committee must report to the Arts Council by September next.
Subhead D2 of my Department's Vote allocates funding for the programmes of three cultural institutions, the National Museum, the National Library and the National Archives. The 2004 Vote makes provision for a total allocation of over €11.6 million to these three bodies, an increase of almost 30% on last year.
Subhead D3 makes provision of almost €8 million in grant support for the Chester Beatty Library, the Irish Museum of Modern Art, the National Concert Hall and the National Archives advisory council, while Subhead D4 facilitates the allocation of Exchequer funding to a number of smaller cultural projects and bodies. These include institutions such as the Irish Manuscripts Commission, Marsh's Library and the Irish Architectural Archive. Subhead D6 provides funding to the Heritage Fund in accordance with the Heritage Fund Act, 2001. The purpose of the fund is to enable the national cultural collecting Institutions to acquire significant items for the national collections.
A key objective of policy is to improve the levels of arts and culture infrastructure that are available around the country. The Arts and Culture Capital Enhancement Support Scheme, ACCESS, was launched in 2001 and will run till the end of 2004. Under the ACCESS scheme, €45.7 million has been offered to 44 projects which, when completed, will improve our arts and cultural infrastructure. The facilities assisted include integrated arts centres, theatres, museums, and galleries as well as arts studios and other arts production creative and performance spaces. This scheme will lead to greater participation in the arts with a greater number of facilities being provided on a broad geographical basis. The scheme will also result in the creation of direct and indirect employment in the arts and local economy generally. The rate of drawdown of funds has to date been slower than expected and I have instructed my Department to review the status of all projects with a view to keeping the programme on track as far as possible.
Subhead D7 provides for costs associated with the Cultural Relations Committee and for the cultural exchange programme between Ireland and China resulting from an agreement signed during the visit by the Chinese premier to Ireland in September 2001. I launched the Irish festival in China at the beginning of this month in Beijing. Ireland is the focus country at this year's Meet in Beijing International Arts Festival. The cultural exchange programme is spread over Beijing and Shanghai and will continue until early July. The festival has been very well received to date by Chinese audiences in both cities. The Irish Festival will be followed by a reciprocal programme of Chinese arts and culture which will visit Ireland from July until late this year.
Provision for the costs associated with the cultural programme for the EU Presidency have been provided for in subhead H. This programme and the cultural exchange with China indicates my Department's commitment to the promotion of Irish art and culture abroad and the encouragement of lasting partnerships with overseas artists and artistic institutions.
There are a number of other special provisions being made this year in subhead D. The Abbey Theatre is celebrating its centenary in 2004. My Department will make a special allocation of €l million towards the costs of the centenary celebrations. As the committee will be aware from my replies to questions in the House, the Government authorised the invitation of expressions of interest by way of public invitation from the private sector in participating on the basis of a PPP in the capital redevelopment of the theatre. My Department, along with the Department of Finance and the Office of Public Works, has been working to implement that decision and I will be reporting to the Government in the near future.
In 2005, Cork will become the first city to hold the new EU designation of Capital of Culture. The initial programme was launched on 3 March last. The programme is a blend of contemporary European work and locally sourced creative works. With 100 projects, 5,000 events and over 8,000 participating artists the Cork 2005 programme is geared to make an impact on Europe and to make Ireland proud. I understand that the final programme and calendar of events is to be published in October. A provision of €3.175 million is included in this year's Estimate, representing 50% of the Government's financial commitment to the project.
In view of the approaching centenary of James Joyce's fictional Bloomsday in June 2004, I established in January of last year the Bloomsday centenary committee. My purpose was to seek to co-ordinate the plans of all the organisations aiming to celebrate the centenary so as to promote appreciation of the works of James Joyce and to develop a quality cultural tourism programme extending over a number of months centred around the Bloomsday centenary that could be marketed extensively in good time by the appropriate tourism promotion bodies as a major reason to visit Ireland in 2004.
The Bloomsday committee, while not assuming responsibility for the day-to-day organisation of many of the elements in the package, seeks to ensure as far as possible the effective implementation of the package by the individual promoters. This year a provision of €900,000 is available to the committee. I have no doubt that the Bloomsday events will contribute significantly to strengthening the interest in and the appeal of Joyce in Ireland and abroad. They will contribute to cultural tourism to this country not just in this special year but also into the future.
Turning to the film sector, my Department administers the section 481 tax incentive scheme whereby investors can receive tax relief on 80% of sums invested for individual film projects in the State. I was very pleased that as part of his 2004 budget, my colleague the Minister for Finance elected to enhance and continue this scheme until 2008. The extension of the scheme, together with an increase from next year in the amount that can be raised under the scheme, from almost €10.5 million to €15 million, places the Irish film sector in a position where it can compete with the best, and make Ireland a prime location for international production, and a centre of excellence second to none.
My Department has also introduced new guidelines for the scheme, which will operate from now until the certification function transfers to the Revenue Commissioners, which is expected to be from the beginning of 2005. These guidelines will better clarify requirements for certification and ensure better compliance with the terms of the scheme.
The Irish Film Board is responsible for the promotion of an indigenous film industry in Ireland and for marketing Ireland abroad as a location for film making. The primary activity of the board is to provide development and production finance for Irish film projects, including feature, documentary and animation. Following a reduction in its overall allocation in 2003, the 2004 Estimates provide a total current and capital allocation for the Film Board of over €11.5 million, an increase of 10%.
The year 2003 was the first full year in which responsibility for the horse and greyhound racing industries came under my Department. The Government is totally committed to the continued development of both Industries. By the end of 2004, Horse Racing Ireland will have received over €200 million and Bord na gCon over €50 million from the horse and greyhound racing fund which was established under the Horse and Greyhound Racing Act 2001. This level of funding is concrete evidence of the Government's commitment to the industry. In the 2004 Estimates for my Department the level of funding in the horse and greyhound fund will be in the region of €66.914 million, with 80% or €53.5 million of this going to the horseracing industry and the remaining 20%, almost €13.4 million, to the greyhound industry.
The overall success of the both industries in recent times is highlighted by the increases in attendance levels at race meetings and tote and bookmaker turnover figures. Following significant capital investments in the industry's infrastructure, trading figures have reached an all time high. Over €8.3 million was distributed in prize money for the greyhound sector in 2003 with over €50 million for the horseracing sector in the same period. On-course betting turnover at greyhound tracks exceeded €119 million in 2003 while at horse racing meetings it reached a figure of €237 million. Attendance figures in 2003 rose for both industries. Attendances at greyhound meetings rose by 12.5%, to 1.12 million, while horseracing attracted almost 1.4 million patrons, an increase of 8.4% on 2002.
I have had the pleasure of attending a number of official openings of newly developed greyhound and horseracing stadia and facilities over the last 18 months or so, and I must congratulate both industries on the tremendous work being accomplished. Ireland is a world centre of excellence for all things to do with horse and greyhound racing and breeding. In addition to providing wonderful entertainment and enjoyment for over 2.5 million racegoers to both sports in 2003, both racing sectors and their associated industries have a major impact on the Irish economy through employment and the attraction of overseas visitors to this country.
Ireland's Presidency of the EU has proven to be an invaluable opportunity to showcase all that is best about our country. Throughout the Presidency, an extensive cultural programme has been organised and supported by my Department, which has encompassed a variety of cultural links, tours and exchanges between Irish artists, Irish festivals and artists from the new member states. The centrepiece of that programme was the Day of Welcomes on 1 May to celebrate the historic enlargement of the Union. The day-long carnival, involving towns and cities across Ireland, proved an enormous success, both locally and internationally, and in building goodwill throughout Europe, particularly in the new member states. It was an outstanding tribute to the generosity and warmth of the Irish welcome. Such positive images of Ireland and the Irish people in celebratory mood are a major boost to our image as a tourism destination. Close to 1,000 journalists, radio and TV crews from across the world were in Ireland for the weekend, and television coverage of the events was beamed into more than 1 billion homes world-wide. Money cannot buy that kind of positive publicity.
Across my portfolio, a wide variety of events and initiatives have been organised in Ireland to bring an Irish perspective to some of the key challenges facing Europe in the arts, sport and tourism areas. In the face of the common challenges facing the tourism sector across Europe, I asked Fáilte Ireland to organise a major international conference on tourism as the centrepiece of Ireland's tourism programme for the Presidency. The event, entitled Charting Tourism Success, was held in Dublin Castle and was very well attended by policy makers and industry practitioners across Europe. A diverse panel of distinguished speakers provided valuable insights and set out some fresh ideas on how to meet the challenges facing the sector. The great variety of issues emerging from the conference should help to inform and provide a sharper focus to several of the initiatives currently under way in the European Commission in advancing its work programme on tourism.
In the sports field, Ireland successfully launched the European year of education through sport and has worked closely with the Commission and other member states in establishing a clearer framework for subsequent Presidencies initiating action in the sports arena.
The arts, sport and tourism Vote group also includes the separate Vote for the National Gallery of Ireland - Vote 18. The allocation for the National Gallery in 2004 is €8.602 million, of which just over €7 million is to meet general administration costs such as salaries, wages, travel, consultancy services, office supplies, and so on. Programme spending accounts for the balance of the allocation. The bulk of the spending is to fund acquisitions and conservation activity by the gallery, for which €1.19 million has been set aside - similar to last year's provision of €1.15 million. I commend the Estimates to the committee and I will be happy to provide any additional information or clarification that members may need.
Deputy Keaveney took the Chair.
I welcome the Minister and his officials to the committee to discuss this very important Estimate. Previously debates on the Estimates would go on for a few hours at least, but we do not have the same time on this occasion, which is a little unfortunate since there are a large number of issues that would take a great deal more than ten minutes to discuss. Despite the fact that the numbers for 2003 look very good at this stage, achieving 5% growth over 2002, several problems exist in Irish tourism.
The recent American Express Foreign Exchange holiday cost-of-living survey of 12 countries found that Ireland was one of the highest-priced places to have one's holiday. The cost of eating and drinking, for example, places Irish holidays among the most expensive in the world. The survey revealed that Irish prices were second only to Norway for a basket of 13 holiday items, including sun cream, camera film, meals and refreshments. Owing to the transparency of the euro, people can readily compare prices in different countries.
Any of us recently on holiday would hear that the topic of conversation in bars and restaurants across Europe is prices. People are comparing the prices on the menu with those at home. It becomes a topic of conversation and interest when people have nothing else to do on holiday but to compare prices. Sadly, we are getting more expensive all the time. Converted into euro, the total basket of goods came in at €167.26 in Ireland, whereas one would pay €104 in Spain. In places such as South Africa and Thailand, two markets that are now providing stiff competition for Ireland, the same basket cost just €100. That is a great deal of money if one is getting the same basket every day. We have a major competitiveness problem in this country. A bottle of lager is on average about €5 in an Irish pub, compared with €0.77 in Portugal. A three-course dinner for two including wine came in at €66.67 in Ireland, compared with €30.81 in Spain.
While this state of affairs is not totally within the control of the Minister, it is within the control of overall Government policy. We must become more competitive in this country, or we will not be able to maintain the present level of progress. The word is out that we are a very expensive country. In the Dáil yesterday, the Minister said that we had never sold ourselves for mass tourism. I agree with him, but at the same time, people are price conscious. They will come here once, but they may not return, and repeat tourism is very important. One of the greatest advertisements for any country is word of mouth. If one has had a good experience in a destination, one will pass on that information to someone else, and if one is fleeced, one will do the same. We must be extremely careful that we protect the overall image and integrity of the industry in this country.
If one examines the industry itself, one sees that it has been trying to respond to the competition. Last year, as the Minister and his officials well know, there was significant discounting right across the board. It was one of the cheapest years ever to get a holiday in a place such as Killarney. I am familiar with the Hotel Europe. I worked there for a time during the summer in the early 1980s. The prices in the Hotel Europe were almost the same last June as they were back then, since the management wanted to get people in. Prices across this city in some of the top hotels, even during the winter, are certainly very competitive, so significant discounting has been going on in the industry. With a few exceptions the industry is doing its best to respond, but it must survive.
According to a recent survey carried out by the Irish Hotels Federation, current insurance premia in this country are at best 50% higher than those in Britain, and four times higher than those in the Netherlands. That is a major imposition on many of our operators in terms of increased costs. The price of electricity increased by 18% last year while and local authority rates increased by 7% on average. In Kerry alone, waste disposal costs increased by 100% last year. Generally speaking, increased by 60%.
The increase in the price of oil will put pressure on the cost of services across the tourism industry. Transport and many other related areas will be affected. The cost of cooking and heating is driven by oil prices, which will put upward pressure on prices generally.
That is a summary of the overall scenario facing Irish tourism and those in the industry who operate under so much pressure. The Government could make an immediate impact on the key areas of VAT and excise duties. Under the former EU configuration of states, Ireland was in second place, after Germany, in the eurozone, as regards VAT rates on tourism products. By comparison with Portugal, Spain, Italy and France, our excise duties are much higher. That is forcing up the price of wine in this country.
Last year, in 2003, it was expected that the Minister for Finance would respond in the budget, perhaps by reducing the lower rate of VAT to 10%. Instead, he increased it to 13.5%. This year he left it alone. The Irish Hotels Federation had expected he would reduce it. All he did was to increase the price of excise duty on petrol. Although it was a small increase it could affect our competitiveness. Ireland is doing well, overall, in tourism and the numbers are on the increase. Nevertheless, there is a competitiveness problem.
Another major issue, touched on by the Minister, is the tourism spread. The west of Ireland is not benefiting to the same extent as the east coast and especially the greater Dublin area. If the Minister and his officials travel to the west this will be confirmed by some of the strong operators in the industry. People in Donegal, Clare and Kerry say they are not benefiting to the same extent as their colleagues on the east coast and especially in the greater Dublin area. The objective must be to create a more even spread of tourism spend across the country. This is not happening. The strategies that have been put in place have yet to take effect. This should be one of the Minister's major objectives for the next two years. I hope the implementation group involved in the report, New Horizons for Irish Tourism, will make that a big issue. There is also a shortfall in the implementation of the national spatial strategy.
A key aspect in the west is the condition of the roads. Traffic mainly flows from north to south while the national primary roads go from east to west. The N69 from Tralee to Tarbert and the N86 from Tralee to Dingle are familiar tourism roads in Kerry. They are now no better than boreens. They have been totally neglected. There is more investment in regional roads. As a result the prime carriageways for tourists in the west - the national secondary roads - have been totally neglected by the National Roads Authority. We are becoming less competitive. People are damaging their cars. It is also more difficult to take buses over these roads
Ten minutes have elapsed but I will allow the Deputy some latitude.
I will take time from my colleague, Deputy English. The other big issue is the conference centre which, in fairness, the Minister has addressed. He knows we no longer rank in Europe in terms of a venue for international conferences. Dublin is ranked 25th as a location in this regard while in the world order we are not even ranked. We therefore need a conference centre of some scale. Is the Minister planning a conference centre for 2,000 people? I suggest he could increase that figure to 3,000 because a large gap exists between the smaller centres which could accommodate up to 2,000 and those which could cater for conferences of up to 4,000 participants, such as those organised by IBM.
It is important that a centre should be provided as soon as possible. It is a complex arrangement and will involve public private partnership but if there is a big commitment by the Government towards funding the centre there will be a payback over a period of 30 years. There may be a subsidy involving Dublin City Council because most conference facilities do not pay for themselves, but have to be subsidised. We are losing in the region of €50 million a year because we do not have a conference centre.
The issue of the Abbey Theatre was debated in the Dáil yesterday. The present location of the theatre is unsuitable. There is a lack of space and the footprint is not big enough. The theatre will have to move. The Abbey is as much a state of mind as a building and I do not believe the theatre world will be shocked if it moves. What matters is that it goes into a proper building. The Carlton site is the one now preferred by almost everybody. It will involve the regeneration of the inner city. I understand about three acres will be involved. The High Court hearing is over and we await a judgment. I would urge the Minister, under the leadership of his Department's Secretary General, Mr. Furlong, to bring together Dublin City Council and the OPW at this stage, to look at the Carlton cinema site to ensure that the three main criteria set down can be facilitated. All facilities should be at ground level to facilitate access and so on. It should be confirmed that the Carlton site is suitable for this. Dublin City Council should be assured that this is what is needed because it is also proposed to have retail shops at ground level and to locate the theatre upstairs. Apparently, that would not be the ideal solution. A clear plan for the Abbey should be indicated before 27 September, its centenary. Every political party in the country would support that, along with the entire arts fraternity.
The National Concert Hall is another issue. It is inadequate in terms of accommodating large international performances. I had occasion to be involved in an event there in January and the corporate facilities are totally inadequate. It is a good space and there is a great atmosphere but there is no scope for the performers, big arrangements and so on.
One of the most significant events this year was the resignation of the director of the Arts Council and the scrapping of the arts plan 2002-06, which was part of An Agreed Programme for Government. If it was part of the programme for Government, that means it was endorsed both by Fianna Fáil and the Progressive Democrats and, as such, it should have been considered essential. Yet it was scrapped. There was not a word about it. I did my best to raise the issue a few times but it went by the board without any reaction. People within the arts world probably thought it better to be without an arts plan because they would have more access to money in the absence of stricter guidelines. However, it is important that a director should be appointed immediately. The former director never gave the council any explanation as to why she resigned. I understand it was because of the scrapping of the arts plan. A new plan should be put in place immediately.
On the issue of the Shannon free airport development, the Minister had consultations with the industry in Kerry with regard to the future reunification of that county for tourism promotional purposes. The Minister for Enterprise, Trade and Employment is suggesting that some of the roles of the Shannon Free Airport Development Company, SFADCo, will be taken over by Enterprise Ireland when it moves to Shannon. Also, the Minister for Transport is proposing that the rental income which SFADCo receives from the industrial zone, about €9 million a year, will now go towards running the airport.
Does the Minister envisage that the remit of Shannon Development to promote tourism will be reduced? Will it still promote north Kerry? Will the Minister guarantee that Kerry will get a similar level of service from Cork-Kerry Tourism? Will we have a person of the calibre of Mr. Ogie Moran, the current regional manager, who is at every event, engages with the local communities and is driving tourism in north Kerry in conjunction with the interested parties in tourism? Will we get similar personnel to those who are currently there? Shannon Development invested €50,000 in small festivals in north Kerry every summer. Will that money be available? These are critical issues. The Minister does not have responsibility for the very important industrial remit.
I am involved in a tourism project, which is seeking funding under tourism product development. We have the matching funds in the bank and a person to underwrite the project, yet we cannot access the funding. It is overly restrictive. The Lartigue project is very deserving but it will be very difficult to get grant aid for it.
Subhead C2, which was debated yesterday in the Dáil, is very important. I understand that only €3 million remains in the fund for swimming pools. The Minister listed the swimming pool projects and the stage which each project is at. Four projects are at tender stage, so am I correct to presume that the €3 million in the fund will be allocated to them? Some 18 projects are at contract document stage and the Ballybunion pool, in which I and a number of others are involved, is at that stage. I understand the Minister met a delegation from Ballybunion last Monday. Will the project be allowed to proceed to the tender stage, which would enable us to collect further moneys? If the project was to get the go ahead to tender stage, this would enable us to find the remaining money. We have collected approximately €800,000 and need an additional €300,000. We have been collecting money for almost ten years and at this stage people are beginning to doubt if the project will go ahead.
There is a major problem in the film industry. Bona fide film crews, seeking to come into Ireland, are not being granted visas. According to recent reports, Disney is refusing to shoot any more movies in Ireland unless archaic work practices are eliminated. Mr. Ned O'Dowd, the producer who has worked on films such as "King Arthur" and "Veronica Guerin" stated that he brought four movies here in the past four years but he could not sell this place to anybody at present. We have priced ourselves out of the business. Those are just two examples I have come across recently. Apparently Ardmore Studios are not busy at present.
In spite of the fact that it was extended after a long period of lobbying by the film industry and others, major doubt was created in the international film industry when the relief that was driving the industry was questioned. It created a negative perception. Now other issues are coming to the fore. Will the Minister outline the initiative he can take to ensure bad publicity of the kind to which I have referred will not be published in international newspapers? The film industry is under pressure.
It is a pity that we do not have more time to discuss the Estimates. Not so long ago, when the Estimates were taken in the Dáil, one had unlimited time and one could have spoken for 30 minutes.
The Deputy spoke for 25 minutes, and fair play to him.
Deputy Deenihan should not be critical because the Chair has been more than lenient. If the Deputy had more time, we would have swimming pools not alone in Ballybunion but in Askeaton and in my part of the area.
I compliment the Minister on his presentation. In 1997 when the Government took office, the budget for sports and recreational services was €17 million and this year it stands at €112 million. Funding has enabled many major proposals to become a reality, not alone in my constituency but all round the country. I thank the Minister and his officials for that.
Deputy Deenihan referred to the high prices in restaurants. I do not know if he is comparing like with like. We have a serious problem with the charges in restaurants but perhaps people do not understand all the facts. Overheads, such as insurance, refuse charges, rates, wages and so on——
I was referring to an article. I am not the Minister.
The high cost of wages must be taken into account when comparing like with like. I did have an interest in a business, but I do not have it any more. I was speaking to the owner of a very good restaurant recently and he told me that he had no other option but to close the restaurant on Sundays because of staff costs. If a person works on a Sunday, he or she is entitled to double time, but if the same person worked the following Sunday, he or she is entitled to treble time. It would not be viable for those people to operate on Sundays.
Limerick would not be as popular as Kerry as a tourism destination, but we get a fair share. In good weather, tourists head for the coast and rightly so. I understand that Killarney, which is renowned for tourism, is chock-a-block. Better deals are on offer. Deputy Deenihan referred to Hotel Europe. All hotels offer very cheap deals in May and June. As a result of the events of 11 September 2001, prices in all hotels dropped. It was great to see that because Irish people were able to enjoy these luxurious hotels at very low cost
I compliment the Department on the allocation of funds to the Gaelic grounds in Limerick and to the development of Lansdowne Road. That was a magnificent decision and the majority of people are very appreciative of it.
I am sure the Minister is expecting me to mention the issue of horse and greyhound racing
Is the Deputy expecting a tip?
It so long since I backed a winner that I would not know what to do. By the end of 2004, Horseracing Ireland will have received over €200 million and Bord na gCon over €50 million from the horse and greyhound racing fund. When this fund was founded a few years ago, it was under the Department of Agriculture and Food. I got a commitment in the Dáil that a certain percentage of that money allocated to Bord na gCon would go to the coursing section. Could the Minister inform me of the current position on this? A number of people made representations to him in the past couple of years, but that commitment was given by the Minister for Agriculture and Food at the time. Is the Minister for Arts, Sport, Tourism Community, Rural and Gaeltacht Affairs in the position to honour the same commitment?
I must respond to the Acting Chairman's comments comparing the figures with 1997. This is always brought up. I was in my first year of college in 1997. We are still comparing figures seven years later.
He only started then.
It is a bit petty at this stage.
It is our national lottery anyway. The boys spend it very well to keep them in power.
Deputy English without interruption.
That was just a bit of clarification.
Since 1997, the population of my own town has doubled. I hope that the money will double as well, but it has not so far. I am fed up with comparisons because it is not comparing like with like. Construction costs are double those in 1997. It is misleading to compare those figures. It is probably a directive from the staff behind the scenes and hopefully it will go away.
The Minister's documentation indicates that national lottery funding of sports facilities will be undertaken as part of the development of a long term strategy. I thought that this had already started and was nearly finished. Are we to understand from this that national lottery funds for local sports facilities have not started? I asked for a completion date a few months ago in the Dáil but I did not get it. It is pity if it is not to be completed because it is essential to be able to create policy.
The uptake of grants for the cultural capital and sports schemes has been very low and we have spoken about this before. Is there an opportunity for money to be reallocated from projects that have not taken up such funds to projects that need it, or can an extension of time be granted? I know of cases where people are frantically trying to raise money to match the funding from the Government. Is there a plan to extend the time, or will it be cut off after a certain deadline? It would be a shame if that happened in some cases.
There are many problems with the high cost of accommodation, restaurants and so on. Not all the problems are caused by the Government. However, we need to look at the red tape and regulations on these businesses. We seem to be making life hard for ourselves. We always blame Europe and its regulations but I do not see the same stringent regulations when I travel throughout Europe. Is there something wrong in this country? The aim in some local authorities is to get as much money as possible out of these businesses, by charging them rates for signage and so on. We need these businesses as they are beneficial to every town. Should we not change policy so that they are treated better? While that would need a directive from this Department, it might also need the assistance of the Department of Environment, Heritage and Local Government as local authorities often introduce these charges.
We should look at tax breaks for staffing charges. Many staff working in restaurants and pubs do so on the weekend, as it is a second job. If they are close to the high tax bracket with their first job, they will want to earn a lot of money in their second job as they will be pay a high rate of tax and will be giving up their weekend. A special tax should be introduced for these people as we need them in the main tourism areas. That will relieve the pressure on the proprietor of the business.
There is only €3 million left for swimming pool grants. The Minister stated that €12 million has already been allocated. Yesterday in the Dáil, three pools were mentioned in Tuam, Churchfield and Ballymun. I presume that those pools are benefiting from the allocated money and must be at construction stage. Is the €3 million to be allocated to those pools at tender stage, or has it been committed yet? If not, maybe we can draw it down.
It is great to finally see some progress made on the national conference centre. There is unanimity from all sides of the political divide and across the business community on how important this is to the country, regardless of location. I make no apologies for saying that Dublin is the obvious place for it, but it is needed at any rate.
We tend to be very critical of ourselves and our performance and competitiveness is something on which we must keep a close eye. If 4% growth in visitor numbers is achieved this year, which the Minister rightly describes as a very ambitious target, that is a great performance. The industry and the community can take a clap on the back for it. The Minister mentioned in his speech that numbers are already up 10% on the same period last year and that augurs well for the achievement of the annual target. The fact that we are having a debate on competitiveness is an indicator of how conscious we are of it. We are doing something right and without becoming complacent we can give credit where it is due.
The other key area in which the committee had much work last year was in regard to section 48 on the film industry. We should put on record our appreciation of its retention. A very compelling case was made to the committee and it was good that the Minister took it on board and got the agreement of his colleague, the Minister for Finance.
The amount allocated to sport in 1997 was €17 million while the amount allocated in 2003 was €112 million, which represents an increase of approximately 560%. There is no reason we should shy away from that figure. We must compare it to the appropriate benchmark, and the figure of €17 million in 1997 is the appropriate one.
We tend to get caught up in figures and many people lose track of political discussion when figures are being bandied about but we should reflect on what has been achieved since 1997 with the money that has been put into sport. The Sports Council was not in place in 1997 but it is now an integral part of the sporting community in Ireland. It is doing a great job and it will have an even bigger job to do into the future. That is a tangible addition to sports since 1997.
On a broader scale, the majority of towns and villages have sparkling new sports facilities of one form or another. I suggest to Deputy English that the town of Navan is not bereft of adequate sporting facilities. I will not go into detail, but I know the town nearly as well as the Deputy. If such facilities are in place, we should acknowledge them and from where the funding for them came.
I join my colleague, Deputy Collins, in welcoming the decision this year to develop Lansdowne Road. I wish all the best to those involved in terms of the timeframe for a successful completion of the project. I will borrow a leaf from Deputy Deenihan's book and be slightly parochial in congratulating the Minister on the money allocated yesterday to rugby.
They need it too.
Before I call the Minister I would like to ask some questions. This is the European Year of Education through Sport and the announcement yesterday of the allocation of funding to the IRFU to allow children access sport is important and welcome. As a final measure from the Presidency, would it consider having a European Year of Arts through Education next year or the following year? That would be an important development.
The Minister said that Fáilte Ireland is the training and development body for the tourism industry. The committee visited St. Petersburg recently and the authorities there were anxious to get support in terms of training in the hotel industry. Ireland is already helping them in that regard. Their hotels are either at the top or the bottom of the range, and they were anxious to tell us about the good interaction they had with Ireland in terms of training for the catering industry. I trust that interaction will increase.
The tourism product development scheme and the different levels of support for marketing for the regional tourism authorities for marketing is an answer to the question on regional spread. Has the Department any intention of working with other Departments? There is a good deal of golf tourism but marine tourism should be exploited, yet when we ask the Department responsible for the marine about that, it says it is the responsibility of the Department responsible for tourism, and vice versa. Neither Department is involved in that area but it is an opportunity that must be exploited. In some respects it is a matter of co-ordination between the two Departments. The same argument could be made about the Department of Arts, Sports and Tourism and the Department of Education and Science. The Department of Arts, Sports and Tourism says it is an education problem and the Department of Education and Science says it is an arts problem. If the two Departments worked together enormous opportunities would be created for everybody.
Tourism access is vitally important. If I can be parochial for a moment and say that the Swilly ferry service begins on Friday. That will travel the entire north coast, from Scotland to west Donegal, in one day using two ferries - one crossing the Swilly and the other crossing the Foyle. That service brought 500,000 people into our area in 15 months, which is an important point.
Conal Gallen, the comedian, is from Ballybofey, which he described as a tourism trap. He said if he could find tourists there he would trap them.
We know we have a good deal to sell in terms of tourism but we need more than marketing money. We have product development but there is not enough spend on that area. There may be enough thought on what to spend but there is not enough being spent. In Malin Head, for example, the most northerly point in the country, not a cent is spent on product development. It is fine to market these areas and bring in the tourists but what are they supposed to do?
A point was made about location and I want to give an example of that. La Trinidad Valencera was sunk off the Donegal coast in 1588 but the cannon from the ship is now kept in Dublin and will be listed as one of the most important national treasures in 2005. If it was allowed remain in the maritime museum in Greencastle, near where the ship was sunk, it would attract tourists to the area but we are making it easy for them by locating it in the capital. There is an opportunity in moving it out of Dublin. We are dealing with the Estimates today but projects such as that do not involve any money, only a matter of will.
Will the Minister clarify whether the Arts Council funding is multi-annual or annual funding? Also, music and education interaction was mentioned. A good deal of that is brought about through good will. I attended an event yesterday with Olive Braiden from the Arts Council. It was the launch of the Arts Council's arts in schools directory in a school which has taught music for the past five years on a pilot basis but the scheme is now ended. Is there an interaction between the work the Arts Council did courtesy of the funding from the Department of Arts, Sports and Tourism with the Department of Education and Science to evaluate the project and mainstream it with education? Will the pilot scheme be rolled out as an arts or education project or will it die a death? That is an area where I would like to see more co-operation between the Departments. Much good work is being done but they have fallen between two stools.
Subhead D.6 covers funding for the purchase of significant items for the national collection. When the funding was introduced by the then Minister, Deputy de Valera, the item in question had to be worth €250,000 before it could come under the subhead but smaller amounts of money could be allocated to other projects. For example, the Ballykinler families have almost died off but there are many resources in the area. A small amount of money could be used to employ somebody to collate that important cultural and heritage information and put it on the Internet. Ballykinler is one example but there are a number of other examples. If one of those €250,000 allocations were divided into €1,000 grants, many small but important cultural items could be catalogued in terms of putting them on the web where people could access them. We are talking about a living history.
I welcome the tax relief and the money for the sports capital programme. Deputy English kept referring back to 1997——
And 1998.
——but I remember the £1,000 given to the many groups in my area which they could not spend because it was not enough to do anything with it. I welcome the €100,000 grants being available because people can do something with that amount of money. There are visible signs of progress throughout the area.
As Deputy Deenihan said, we could talk about the Estimates for a long time——
You have done a good enough job.
——but I will call the Minister.
I appear to have touched a nerve when I mentioned 1997 but I would point out that there is nothing wrong with using 1998. I acknowledge this Department is doing well in regard to increases but they are across the board. I could not let the meeting continue without making that point. If we start using 1998 I will be happy.
I thank the Members for their contributions. Deputy Deenihan mentioned the American Express foreign exchange holiday cost of living index for 2004. It is interesting to note from the studies that the strength of sterling against some currencies, in particular the US dollar, had an impact on the cost of living index. In that context there were a number of countries which saw a drop in the overall shopping basket and Ireland is among them. It was down 5%, which is a positive element in the survey. I mention it because the survey is very heavily influenced by drink prices, an area in which we have a competitiveness challenge. Our surveys within the Department show that travel and accommodation costs in Ireland are quite competitive. I have been on record as stating that the important thing is not so much price as value for money. When companies such as Diageo make a decision to increase the price of a pint by 15 cent, it undermines the good work done by Fáilte Ireland and Tourism Ireland. It places us at a further disadvantage and since we already have a competitiveness disadvantage on drink prices, I thought that people should have desisted from taking the opportunity to increase the price of drink. It is something that is regrettable and it will make many people wonder about the idea of controlling drink prices again.
We are trying to build up the tourism industry, to ensure that we get a greater number of people into the country. It has been clear from the tourism policy review group's report that we can do this. We can increase the numbers by 10 million over the next ten years and double the amount of revenue which we obtain from our visitors. However, we are undermined when people unilaterally decide that they are going to impose a massive price hike on a consumer item which impacts on our competitiveness.
Deputy Deenihan also mentioned tourism roads and national secondary roads and I must address that. He and I are familiar with them as, I am sure, are other members of the committee. A high level implementation group met with the Department of the Environment, Heritage and Local Government to get it to give higher priority to secondary roads, in particular those roads with a high tourism appeal. My Department has asked to meet with county managers across the country to get this point across.
The issue of the Abbey Theatre was also raised. As everyone is aware, the Carlton site is caught in the CPO process and it seems that it may be a protracted affair. However, the Department does meet regularly with the Office of Public Works and with Dublin City Council to urge the need for a resolution of outstanding issues. This week the Arts Council announced that it is beginning a consultative process on a new arts strategy and it is currently engaged in the process of recruiting a new director.
It is important to point out that Fáilte Ireland has spent much time this year looking at how our relationship with the regional tourism authorities could be strengthened and the funding of such authorities put on a stronger footing. This may have seemed like an endless exercise at times, but the end result was worth it. On foot of this work, we have increased funding to the regional tourism authorities network by over 20%. This funding is designed to ensure the high quality visitor service at tourism information offices and a strong overseas promotional effort.
The Department took soundings on the size of a conference centre and we did this by contacting the tourism state agencies such as the Irish Hotels Federation, the Association of Conference Organisers and other interests. They agreed that 2,000 was the desirable capacity. A bigger configuration would be far more expensive to operate and it would also impact on its attractiveness as PPP project, which would be a problem. Bord Fáilte, as it was then known, commissioned consultants to advise on the size and these consultants also recommended that the conference capacity should be 2,000. I accept that we are losing business as a result of not having a dedicated conference centre. Approximately 120,000 people came to Ireland last year on conference business, most of them to Dublin. It is estimated that this would increase by at least 30,000 if there was a dedicated centre. We are still working on this complex issue. I had hoped to have some news in the autumn that it would advance to the next stage, but it may have to wait until next year.
I am aware of the concerns about the cost of filming in Ireland but I would advise Deputy Deenihan that in 2003, the Department certified 25 films with a total cost of €282.7 million compared 22 certificates in 2002 with a cost of €142.9 million. That was a significant improvement.
Ballybunion pool which is an annual——
And Askeaton.
We will take Ballybunion first. The contract documents are with our technical advisers in the OPW for examination. When they report to me I will consider the project in the context of the limited funds available and other competing projects. Deputy Collins will be well aware that I took the opportunity to visit Askeaton pool while I was in Limerick West and it was in a desperate state. The facilities are not up to standard and I am aware of the need for a new pool there.
I am aware of the problems in the mid-west that Deputy Collins highlighted. We announced the tourism product development scheme grants for this period. I am pleased to say that the committee approved a grant of €10 million or 50% of the allowed cost for the Cliffs of Moher project. This should ensure that there will be a proper interpretative centre for the Cliffs of Moher in the future. It will be an enormous boost to the mid-west and will be a tremendous attraction. It was required for many years by Clare County Council and those involved in tourism in the region.
I informed the Kerry County Enterprise Board that I did not want to impose a solution on the people of north Kerry regarding the proposed reunification of Kerry for tourism marketing purposes. If it is the case that people involved in the industry and the elected representatives of Kerry North consider that they should be part of Cork-Kerry Tourism, I am open to that idea. If, however, they consider that it should not, that is a different matter. In the context of the decentralisation of Enterprise Ireland, however, there is a possibility - it is a matter for the Tánaiste and the Government - that the functions which Shannon Development currently carries out for Enterprise Ireland may be transferred to that body. In that event, Shannon Development would only be left with a tourism remit that may not be viable and in those circumstances we would have to make arrangements anyway. That is the current position.
On the horse and greyhound situation, Bord na gCon is in discussion with the Irish Coursing Club regarding the provision of funding for some of its activities, mainly for welfare. Bord na gCon is awaiting detailed proposals from the Irish Coursing Club. It is a matter for Bord na gCon, and under the relevant legislation it is the board's function.
Deputy English referred to the access programme. While drawdown has been slower than expected, spend in this area is demand driven and while the Department can encourage promoters to move projects along and flag deviations from projections well in advance, ultimately we are not in a position to control the rate of progress. Deviations are more likely to result in delays in scheduling, rather than projects dropping out, therefore, it seems extremely unlikely that a major amount of funds will become available for reallocation. However, that does not exclude the possibility that they may become available.
If they have not drawn down the money in 2004, will there be an extension of the time allowed to do so?
My understanding is that the drawdown has to be prior to the end of 2006. I think that is the time frame involved but my official seems to think it is flexible.
I thought they had to draw it down by 2004.
No.
That is okay.
With regard to swimming pools, current commitments will take up €12 million of this year's allocation. Churchfield and Ballymun are included in this figure. The balance of €3 million will be expended on projects that have yet to be approved. There are many competing projects for funding. In the case of Ballybunion, for example, contract documents are with the OPW and the next stage is to invite tenders for that project. We will be making decisions later in the year about those projects. I will be talking to the Minister for Finance about the possibility of increasing funding for swimming pools because there are many projects which could benefit from such funding. It is important to provide pools where such projects are viable. The project must be viable, however, because there are many proposals which are not viable.
Regulations for accommodation have been liberalised and last year they were brought up to date with modern practices. Fees for accommodation regulations have not been increased for many years, despite increased costs in policing arrangements.
The regulations covering fire safety and hygiene are essential but do not come under the aegis of my Department. We have no such departmental regulations.
Deputy English called for a swimming pool for County Meath but there is no project currently in the Department from County Meath.
I did not call for any pool.
Navan pool was completed with a grant of €3.17 million in 1999, and is operating successfully.
As it happens,I did not call for anything but the Minister should not take it away, whatever he does.
That is why I mentioned 1999. The arts through education programme is a matter for the European Commission, but I will try to find an opportunity to raise this matter with Commissioner Reding. I may meet her tomorrow in Brussels at the EU Cultural Affairs Council and, if so, I will mention it to her.
I welcome the positive statement by Deputy Glennon about Lansdowne Road and the positive manner in which he has long advocated a new stadium. I also acknowledge the roles played by Deputy Deenihan and Deputy Wall in that context.
At the last election, we got hammered on the Lansdowne Road issue, so we are delighted that the Minister has accepted our proposals. It is one of my proudest political achievements. I will write in my obituary that, after years of trying, I got the Government there at last, after spending £200 million.
Is the Deputy going to write his own obituary?
I am delighted.
Deputy Deenihan keeps plucking the sum of £200 million out of the air, but it is a fictional figure. It is a bit like Bloomsday.
I read it in the newspapers and no one ever denied it.
In any event, I doubt if Deputy Deenihan would get hammered in Kerry for his attitude to Lansdowne Road. He might get hammered for Croke Park, but not for Lansdowne Road.
I will get that opened for the Minister, too.
As regards Lansdowne Road, a special purpose vehicle to deliver the project has almost been established by the IRFU and the FAI. The appointment of a project leader is imminent. The funding agreement between the Department, the FAI, and the IRFU is now complete and ready for signing. The project is being overseen by a stadium steering committee, which is chaired by the Secretary General of my Department, Mr. Furlong. It comprises representatives of the Department, the OPW, the FAI and the IRFU, so we are getting there.
The National Museum is anxious to collaborate with designated county museums in granting them the loan of artefacts from the national collection. Arts Council funding must be considered in the context of the annual Estimates. The question of arts in education is closely connected with the school curriculum. I am considering whether there would be merit in establishing a special committee under section 21 of the Arts Act 2003 to address that issue.
Marine tourism is supported through the international sports tourism initiative, which covers areas such as sailing, angling and wind-surfing.
Does it cover marine infrastructure?
No. Marine infrastructure, such as marinas, is the responsibility of the Department of Communications, Marine and Natural Resources. Under the national development plan a certain amount of funding was made available for marinas for the entire country, which has been committed or is gone.
There is no money left.
The Minister has provided a full response to all the questions that have been posed.
Can we come back in again?
We have received a good response to our questions, during which Deputies got plenty of credit for various matters. I would prefer to draw the proceedings to a close now, with the agreement of the committee. I thank the Minister and his officials for having attended the meeting today.