I have been informed that due to the large number of meetings this week, there is a limited availability of meeting rooms. The Committee of Public Accounts wants this room at 4 p.m. and we must vacate it at least five minutes before then.
Vote 35 - Department of Tourism, Sport and Recreation (Revised).
Perhaps the Minister will distribute his speech and present us with a synopsis following which we can ask questions.
I have circulated a timetable. It is for the committee to decide if it wants to group a number of subheads together or take them separately.
I have no problem with what the committee decides provided the text of my speech goes into the record of the meeting.
I welcome the Minister, the Minister of State and their officials. I call the Minister.
I thank the committee for receiving the Estimates for my Department for 2002. I am pleased to have the opportunity to meet the committee to discuss the Estimates for the Department and associated matters. The Minister of State, Deputy Eoin Ryan, will outline the strategies and objectives in relation to the subheads for which he has delegated responsibility. I now propose to consider the other key areas of my Department's Vote.
The administrative budget for the Department, spanning subheads A1 to A8, includes items such as pay, travel and subsistence, training, consultancies, information technology, telecommunications and other office premises expenses. The Estimate provision for 2002 is €6.756 million and represents an increase of 23% over the 2001 provisional outturn of €5.488 million. The allocation this year includes the carry-over of savings of €324,201 under the terms of the administrative budget agreement with the Department of Finance.
As the committee is aware, my Department has overall responsibility for the formulation of national policy in relation to the strategic development of the tourism, sport and recreation areas, including local development, social inclusion and the national drugs strategy. Since its formation in July 1997, solid progress has been made in advancing the development of these sectors, underpinned by the implementation in the Department of the strategic management initiative and the development of a quality customer service. With its sights firmly focused on the future and with well developed goals supported by clear objectives and action orientated strategies, the Department will continue to play a pivotal role in ensuring that the national economic and social priorities set for the sectors for which it has responsibility are fully advanced. The B subheads of the Vote make provision for the expenditure of €107 million on tourism services across a diverse range of activities.
Our tourism industry suffered its first major setback in a decade in 2001, with the impact of the foot and mouth disease crisis in the spring, and then in the autumn the fall off in business arising from the events of 11 September. Official CSO statistics for the year 2001 are not yet available, but the most recent figures - to end September only - indicate that the number of overseas visitors to Ireland dropped by 6%, on the same period in 2000, to 4.55 million. Bord Fáilte estimates that the overall figure for the year may be down by about 7% - to 5.8 million visitors. However the news is not all bad because, despite the drop in numbers of overseas visitors, the total earnings from all overseas visits, including receipts paid to Irish carriers and cross-Border revenue, for the first nine months of last year increased by 5.5% to €3.06 billion, and Bord Fáilte's estimate for the full year is an increase of 4% to €3.8 billion. Also on a positive note, domestic holiday business remained buoyant last year, with expenditure rising by 16% according to latest Bord Fáilte estimates. Last year, Irish people took 7.2 million trips in Ireland, an increase of 10.7% on 2000. This helped offset the downturn in overseas visitors, particularly towards the back of the year.
On the employment front, the CERT Business and Employment Survey 2001 indicated 2,000 permanent job losses, with an additional 6,000 seasonal/part-time losses compared with the previous year. However, 60% of respondents in the survey expect business in 2002 to be the same as in 2001. Some 82% of businesses expect employment levels to be maintained at 2001 levels. Only 10% of respondents are projecting staff reductions with most of the job losses being seasonal in nature.
There is little doubt but that 2002 will be a challenging year for Irish tourism. Tourism Ireland Limited is projecting a best case scenario for 2002 of a return to 2000 business levels, generally regarded as an excellent year for Irish tourism.
On 27 February last, I met a delegation from the Irish Tourist Industry Confederation, ITIC, which presented its report, A Recovery Programme for Tourism. In the course of the meeting, at which the chief executives of Tourism Ireland Limited and Bord Fáilte were present, the ITIC representatives outlined their assessment of the challenges currently facing the industry and their proposals for reversing the decline. In my subsequent detailed written response, and in the context of the substantial level of Exchequer funding currently being allocated for tourism - a level that has increased consistently over the past decade - I explained our own current assessment of the situation and set out our development strategy for the future. I also emphasised my commitment to securing the best possible value from the funding already being provided, and to the partnership arrangements that give the industry a real say in deciding on the use of marketing funds. In this regard, I have asked Tourism Ireland Limited and Bord Fáilte to look at the possible re-prioritisation of existing funding, taking into account the marketing suggestions put forward by the ITIC.
Obviously the Department, and the tourism agencies, will keep a very close eye on the emerging market situation this year. Marketing is but one element of a successful development policy for the industry, and the range of initiatives put in place over the past five years will do much to help underpin the long-term success of the sector.
The initiatives being progressed this year - as part of the most radical shake up of tourism policy in recent decades - include: the establishment of a new National Tourism Development Authority, to follow on from the operational start up of Tourism Ireland Limited; the roll-out of robust and focused tourism marketing plans for 2002, together with a fundamental reappraisal by Tourism Ireland Limited of our overall overseas marketing strategy; proposals for the future development of tourism products and facilities through the launch of a new tourism product development scheme; and working to ensure that a broad and competitive network of access links by air and sea to Ireland is in place.
One of the key challenges for 2002, and into the future, is to ensure that the arrangements for the delivery of public sector tourism functions are the most effective in helping Irish industry to achieve the optimum position for itself in the international market place, and so derive maximum economic benefit from the work of Tourism Ireland Limited. Bringing together the product and human resource development functions of CERT and Bord Fáilte into the one agency will provide the best delivery model for achieving this objective.
Following high-level consultations with Bord Fáilte and CERT, last November the Government approved the creation of a National Tourism Development Authority to promote the development of sustainable tourist facilities and services, including the promotion of training, human resources and marketing skills. Since then, an implementation group has been working on developing: a vision for the new authority; an organisational structure to deliver on that vision; an outline of the mechanisms to involve staff in that delivery process; and a communications strategy for ensuring a smooth transition to the new authority by the 2003 season. The intention is that the group, which has been meeting regularly with a challenging work schedule, will report back in the next few weeks.
Subheads B1, B2, B7 and B8 of the Department's Vote, between them, provide more than €51.5 million for Bord Fáilte this year. This includes almost €8 million for niche marketing and more than €2 million for capital development.
Bord Fáilte, who will operate in partnership with Tourism Ireland Limited, has recently launched its own complimentary programme of activities for 2002, which it will undertake on behalf of, and in partnership with, the industry. This will include an extensive promotion campaign in the Ireland market, both North and South, particularly from February to May and September to November, to encourage season extension; assisting industry with the packaging and marketing, through Tourism Ireland's overseas office network of niche and specialist products such as golf, angling, heritage, walking/cycling, equestrian, water sports conference and English as a Foreign Language; implementing the Sports Tourism Initiative which is targeted at the promotional opportunities presented through the staging of major international sporting events in Ireland, and utilising the promotional opportunities for Ireland arising from the positive media coverage associated with such events; developing guidelines for implementing the recent Government initiative to expand regional tourism by supporting festivals and cultural events; and providing a promotional platform for media and journalist visits from the various markets.
Subhead B1, which is Bord Fáilte's current grant-in-aid, with an estimate allocation of €41.72 million, provides for its 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 assistance towards product marketing including conferences and festivals. The subhead B1 entry in this year's Book of Estimates shows a decrease on the 2001 outturn, but this is accounted for by the fact that Tourism Ireland Limited has now assumed full responsibility for overseas marketing. Thus the decrease here and the corresponding increase in the B3 subhead - Tourism Ireland Limited, is, to a large degree, a consequence of the transfer of functions, staffing, etc., from Bord Fáilte.
The subhead B2 provision of €1 million is to enable Bord Fáilte to provide grant assistance to regional tourism authorities that are directly involved in activities such as tourist trails, tourist information, signposting, and cultural-heritage projects. This allocation, and the €1.27 million provided under subhead B8 for tourism product development will be, in effect, the Exchequer's contribution towards the new tourism product development scheme.
This scheme, which I launched on the 29January last, is funded under the local enterprise development priority of the two regional operational programmes. The scheme, which Bord Fáilte is administering, provides for some €130 million of public sector investment in tourism product over the next five years. This includes up to €55 million in grant aid from the European Regional Development Fund.
The core objective of the tourism product development scheme is to improve the spatial spread of tourism. This will be done by helping less developed tourism areas realise their potential in stimulating new centres of strong tourism growth. It also seeks to encourage the more developed areas to manage some of the pressures and challenges that confront them, arising from increases in general congestion and visitor numbers.
Under the scheme, grant assistance will be available towards the development of up to 11 major attractions, each capable of attracting 100,000 visitors; the upgrading and packaging of clusters of existing attractions; special interest pursuits; and projects that promote better management of the relationship between tourism and the environment. In this year's Estimates, €16.2 million has been allocated under subhead B3 to meet the administration and general expenses of Tourism Ireland Limited. Subhead B7 provides €25.4 million for the tourism marketing fund under the productive sector operational programme of the national development plan. This fund finances the Irish Exchequer's contribution to the programme marketing spend of Tourism Ireland Limited, €17.8 million, and Bord Fáilte, €7.6 million.
Tourism Ireland Limited has launched its comprehensive marketing plans for 2002. Its new and exciting television and print international advertising campaign has been developed at a cost of approximately €5 million. Its marketing plans this year are responsive and flexible in nature, with an emphasis on tactical marketing and co-operative initiatives with product providers, the distribution trade and carriers, to take account of the changing circumstances arising from the events of 11 September. Its 2002 programme budget of €27 million is the largest ever budget allocated for the international marketing of the island of Ireland. This allocation is supplemented by Bord Fáilte's substantial niche-product marketing funding which itself was enhanced by the allocation of €11 million in the last budget. Under subhead B4, provision is made for the allocation of €0.9 million to Shannon Development towards general administration costs and tourism promotion and development of the mid-west region.
I refer to tourism training and the provision of €20.4 million for CERT under subhead B5. CERT continues to play a vital role in the growth and development of the tourism industry and expects to train close to 11,000 people in 2002. Under its three main measures, it organises courses for the unemployed, first-time job seekers and those already working in the industry. While there is still evidence of staff and skill shortages in certain areas of the industry, these are primarily in direct response to the levels of growth experienced in both the industry and the economy as a whole in recent years.
In regard to tourism, I would like to mention subhead B6 under which €0.26 million has been provided towards the tourism small business expansion loan scheme. On its introduction in the 1994 budget, as an important incentive that had been identified by the task force on small business, 25% of a £100 million loan fund was made available to small businesses in the tourism sector. A Government interest subsidy of 3% enabled borrowers to avail of loans at a rate of 6.75%. The value of the subsidy decreases each year - it will be 26% less this year than last - and the scheme has been closed to new borrowers since April 1996.
I would like to turn to the C subheads of the Vote. I am pleased the Government has provided an increase in the sports budget from €17 million in 1997 to more than €131 million this year. The sports capital programme provided for under subhead C1 of the Vote - grants for sporting bodies and the provision of sports and recreational facilities - is funded through the national lottery and is the primary vehicle for promoting the development of sport and recreational facilities to voluntary sporting and community organisations at local, regional and national level throughout the country. Grants are allocated towards such projects as multi-purpose sports halls; athletic stadia; gaelic, soccer and rugby pitches; sports and community centres; dressing rooms; floodlighting and other facilities; and towards the cost of equipment for sports and athletic clubs and community organisations.
Since 1988 a total of almost €208 million has been allocated under the programme. Of this amount, €134.6 million has been allocated to date by the Government in four programmes covering the period 1998-2001. Members will note that the title of subhead C1 has been amended to include a reference to grants to sporting bodies. This addition is provided to enable the Government to provide financial support directly to major sporting organisations in respect of specific capital developments, for example, further financial assistance for projects such as the cost of the redevelopment of Croke Park, which the Government envisages in the current year. Accordingly, I anticipate, depending on the rate of drawdown during the year under the sports capital programme funded under this subhead, that a Supplementary Estimate will probably be required under the Vote of my Department later this year.
Another area to benefit from this increased funding for sport is the swimming pool programme under subhead C3, with €57.14 million available for the programme for the period 2000-02. Grants of up to 80%, subject to a maximum of €3.8 million, are available for both the refurbishment of existing swimming pools and replacement pools. In the case of projects located in areas of disadvantage 90% of the eligible cost, up to a maximum of €3.8 million, will be provided. A total of 50 proposals were received by the closing date of 31 July 2000. Decisions have been made on five of these applications and there are 46 proposals from local authorities under consideration. We have received 17 proposals for replacement pools, 14 for new pools and 15 for refurbishment of pools. Of the 46 proposals on hand, three are at feasibility stage, 19 at preliminary stage, 19 at contract stage and five at tender stage.
The 50 metre swimming pool at the University of Limerick, which opened for use earlier this year and will be officially opened on 11 April next, was funded to the tune of €7.55 million by my Department. From this year, the Irish Sports Council will meet the contribution of more than €250,000 towards the operational and running costs of this pool. This funding takes account of the Department's brief for access to the pool for the training needs of Ireland's high performance swimmers. A sum of €378,000 of the capital grant is provided under subhead C2 in 2002 to meet the final instalment which will be paid when the final account is approved later this year.
I refer to subheads C4 and C5, under which once again for the third successive year an increase in the Irish Sports Council's budget has been secured, from €19.64 million in 2001 to €25.7 million in 2002, representing a 31% increase over last year. Trying to compete seriously on the world stage is an expensive business and if Ireland is serious about a major drive over the next five years to improve its standing in world sport, resources will be required. The council has been allocated an additional €3 million to enable it to begin implementation of its five-year high performance strategy for sport. The council has recently announced grants totalling €1.9 million under the 2002 international carding scheme to our elite and developing top competitors. Since 1998 a total of almost €7 million has been allocated under the scheme.
More than €3 million will be provided by the council for the development of programmes to encourage and promote greater underage participation in the major field sports, soccer, rugby and gaelic football and hurling, while €0.6 million is provided to encourage and promote greater participation by older people in recreational sport and activities, which I launched yesterday. Funding by the council is allocated under a broad range of programmes and to various organisations at local and national level. Organisations funded by the council include the national governing bodies of sport, NGBs, which in 2002 will receive more than €11 million, the national coaching and training centre, the Olympic Council of Ireland and Paralympic Council of Ireland and local sports partnerships. Programmes funded include the testing, education and research activities carried out under the anti-doping programme and the education and implementation programmes for the code of good practice in children's sport. The anti-doping programme is now well established and during 2001 the council undertook more than 660 tests under the programme, which was in excess of its target for that year. For 2002 the council aims to increase that number and hopes to expand and deepen its education initiative under the programme as well as rolling out a research plan.
Under subhead C6, Sports Campus Ireland, almost €40 million is provided in the Department's Vote for 2002. Of this, €37.3 million, including €7 million carried forward from 2001, is for capital expenditure and €2.5 million for current expenditure. Most of the provision relates to the aquatic centre. The Government decided in January 2000 to proceed with the development of a national stadium at Abbotstown and to develop it as the centrepiece of a campus of sporting excellence, providing facilities for a wide range of sports, including sports medicine and headquarters facilities for sporting bodies. In July 2000 the Government decided that an aquatic centre should be developed on the Abbotstown site. It was intended that it should be completed in time for use during the Special Olympics World Summer Games of 2003.
Following a public competition, a consortium comprising Rohcon, Waterworld UK and Dublin Waterworld Limited was selected by CSID. On 23 January 2002 the Government approved the signing of the contract with the winning consortium. The Government also agreed that this project was subject to a maximum Exchequer capital contribution of €62.1 million, €21 million of which was expended on the project in 2001, and a further €39.2 million will be required in 2002. The balance of 3% or €1.8 million will be held as a retention amount until 2003.
Work is progressing well and the pool is currently on target for completion by the end of 2002. The centre will be available to host the aquatic events at next year's Special Olympics. Members will be aware of recent issues surrounding the award of the aquatic and leisure centre and they will also be aware that this matter is now the subject of an inquiry by the Attorney General, who submitted his draft report to the Government at its meeting yesterday.
To assist the Government in determining the final Exchequer allocation for Stadium and Sports Campus Ireland I commissioned independent consultants High Point Rendel to assess the cost of the project, review the overall approach and contracting strategy, assess the cost of relocating existing facilities from Abbotstown and ascertain the direct and indirect benefits from the development and to make recommendations. As the committee will be aware High Point Rendel finalised its report in November 2001 and published it last January. The report identified a number of issues critical to the realisation of the project, including the need for detailed planning and strong management for the project. The Government has requested that I report on the implications of the HPR recommendations and options and in particular to evaluate the viability of the existing tendering strategy as a basis for any modification of the stadium's design and operation.
Regarding the implications for the Exchequer of the options and recommendations and specific issues raised in the report, I am devising a strategy to consider the implications of the recommendations and options with a view to reporting to Government. I reaffirm to the committee that the Government remains convinced that a stadium project at Abbotstown remains both desirable and feasible and that the Abbotstown campus can and will be developed into a vital infrastructural asset for the achievement of national aims in the field of sports recreation and related tourism.
Provision of €12.7 million has been made under subhead E of the Vote towards the cost of preparing to host the Special Olympics World Summer Games in 2003. The games, which are organised every four years, create an international stage to demonstrate the abilities of people with a learning difficulty and will be held outside the United States for the first time when Ireland plays host in 2003.
The games will be organised by the organising committee under the chairmanship of Mr. Denis O'Brien. I am pleased to announce that the GOC has made significant progress in its preparations to date. According to the GOC the cost of staging what will be the largest sporting event anywhere in the world in 2003 will be €31 million, with a further €10.2 million in support required. The Irish Government has committed €10.2 million, the EU has committed €6.35 million and sponsorship has raised €15.24 million and the remaining €8.9 million will be raised in a variety of fund-raising and marketing initiatives. All venues for the games have been confirmed. Approximately 169 towns and cities countrywide will participate in a host town programme from 16 to 20 June 2003. This programme will enable communities to acquire a better understanding of learning disability and afford athletes an opportunity to rest and acclimatise before the games begin. Some 30,000 Irish volunteers will be recruited to help with the smooth and efficient organisation of the games. A recruitment plan is now in place and soon all volunteers will receive training, guidance and preparation for the games.
A well-planned and organised games will reflect well on Ireland and will demonstrate to the world that Ireland cares about all its people. It will show Ireland's rich cultural heritage and give an opportunity for communities on the island of Ireland to provide a memorable athletic, cultural and educational experience for the visiting athletes and their families.
Finally, subhead E provides for money received by way of appropriations-in-aid to the Vote. The estimate of €9.245 million represents anticipated receipts of European Social Fund money under the EU-funded Peace and Reconciliation Programme and the final tranche of funds due to the Department under the Operational Programme for Local, Urban and Rural Development, 1994-1999.
Before asking the Minister of State to outline the Estimates for the areas for which he is responsible, local development and the national drugs strategy, I express to the chair and members of this committee my deepest thanks for the excellent work done by the committee during my tenure as Minister. I say this in the context of forthcoming events later in the year which are likely to mean that this is probably the last time on which we will meet formally. I have benefited greatly in the administration of my brief from my many meetings with the committee and the contributions of all Members on tourism and sport matters have been of great value to me.
I commend the Estimate to the committee.
I think it will be our last meeting.
We have had good and bad times.
Yes.
I welcome the opportunity to appear before the committee in my capacity as Minister of State at the Department of Tourism, Sport and Recreation on the subheads of the Vote dealing with local development-social inclusion measures and the National Drugs Strategy for which I have delegated responsibility within the Department.
First, I will concentrate on local development-social inclusion measures under subhead D1 for which a provision of €47.6 million is made this year. An area based intervention programme for the long-term unemployed, disadvantaged communities and young people at risk has been included under the local development measure of each of the two Regional Operational Programmes, 2000-2006. This measure will provide €254 million over the lifetime of the national development plan to support local area partnerships and community groups. Funding is provided to these groups through Area Development Management Limited - ADM - which oversees the preparation and implementation of integrated local action plans.
I can update the committee regarding progress being made in implementing the RAPID programme. RAPID stands for Revitalising Areas by Planning, Investment and Development and has been designed taking account of lessons emerging from the integrated services process, the URBAN programme and other local development initiatives and discussions with the social partners. It is a focused initiative by the Government to target the 25 most concentrated areas of disadvantage in the country. Priority attention is given under the programme to tackling the spatial concentration of poverty and social exclusion within the designated areas through frontloading State resources available under the national development plan.
The area implementation plans for 17 of the 25 RAPID areas have been approved by the relevant city and county development boards and have been forwarded to the relevant Departments for consideration by the national co-ordinator for the programme at ADM limited.
I will now turn to subhead D2 which deals with the programme for peace and reconciliation. This programme aims to underpin the peace process and to assist in promoting reconciliation and understanding between communities within both regions and between North and South. It will do this by supporting a range of economic and social initiatives targeted at those communities, sectors and areas most affected by the past 30 years of conflict. The EU has committed €106 million to the programme in the Border region which will be matched by an Exchequer contribution of €35 million. Northern Ireland will receive €435 million in EU support.
Funding for Area Development Management Limited is provided in subhead D2 of my Department's Vote and ADM is responsible for €43 million over the lifetime of the programme. In 2002, a provision of €9 million has been made available for the programme.
I will now turn to subhead D3 which deals with the drugs initiative under which €14 million has been provided in the Vote this year. The local drugs task forces have made considerable progress in the five years since their establishment. As a result of initiatives developed by them in the first round we have set up about 50 support and advice centres for drug users and their families. These centres complement 57 treatment clinics that have been put in place by the Eastern Regional Health Authority. More than 4,500 drug users and 3,500 families have availed of these support and advice services, with around 5,865 receiving methadone treatment at the end of 2001. Under the national drugs strategy we are committed to increasing that number to 6,500 by the end of 2002. While there are approximately 428 people currently on the treatment waiting lists, there are obviously a considerably higher number of drug misusers who are not availing of treatment. Our aim is to encourage these people to present to the treatment services and, when they do, to ensure that the full range of supports and services needed to effect their recovery are available to them.
Over the past year the local drugs task forces have been developing and submitting their new, updated action plans to the national drugs strategy team. To date 13 of the LDTFs have had their plans approved by the Cabinet sub-committee on social inclusion and funding of €11.1 million has been allocated to them to implement their actions. The remaining plan for €550,000 will be considered by the Cabinet committee on social inclusion at its next meeting on 26 March.
As regards the projects developed under the original local drug task force plans, more than 120 have been mainstreamed, thereby guaranteeing their continued funding through the relevant Departments and agencies. The remaining projects have had, or are having, their evaluations completed and recommendations concerning their mainstreaming will be made later this year.
A problem recognised during the evaluation of the local drugs task forces was the lack of suitable premises in their areas. To address this issue, a total of €12.7 million for the period 2001-03 was set aside in the 2001 budget for the purpose of addressing these accommodation requirements. To date approximately €6.8 million has been allocated. More than €3.8 million has been included in the Estimates this year to fund these proposals and €2.5 million was drawn down in 2001. The NDST is also arranging facilitated reviews of individual LDTFs to ensure, in so far as is possible, that they all achieve an appropriate and equal level of development. It is envisaged that the reviews will be completed by the end of April.
There is a clear need for research to address the gaps in our understanding and awareness of the precise extent of the drugs misuse problem and, as a result, the Government established the National Advisory Committee on Drugs in July 2000. The committee has been established on a non-statutory basis for an initial three year period and has an annual budget of €1.27 million to deliver its functions and work programme which has been agreed by Government.
Last year we launched the national drugs strategy 2001-2008 which is the result of a comprehensive review initiated by my Department in April 2000. The objective of the review was to identify any gaps or deficiencies in the existing strategy, develop revised strategies and, if necessary, provide new arrangements through which to deliver them.
Central to the approach of existing drugs policies has been bringing together key agencies in a planned and co-ordinated manner to develop a range of appropriate responses to tackle drug misuse, not just in relation to supply control, but in providing treatment and rehabilitation for those who are dependent on drugs and developing appropriate preventative strategies. The review group found that this partnership approach, particularly as embodied by the local drugs task forces, provided a solid foundation from which to proceed. However, the new strategy is a departure from what has gone before, particularly because it is the first time all elements of drugs policy in Ireland have been brought together into a single framework with responsibilities clearly assigned across the four pillars of supply reduction, prevention, treatment and research. In addition, under each of the four pillars, a series of objectives and key performance indicators have been set with specific targets that Departments and agencies are required to meet.
The interdepartmental group on drugs, which I chair, will, in consultation with the NDST, report on progress to the Cabinet sub-committee every six months. The national drugs strategy team is currently preparing guidelines for the operation of the regional drugs task forces which have been disseminated to the various sectors and agencies for comment. Once the guidelines are finalised, nominations will then be sought and it is planned to have the first meetings of the regional drugs task forces in the next few months.
I assure the committee that the initiatives which I have outlined make a significant contribution to addressing many of the social inequalities which affect many people. Much remains to be done, but I am confident that we are making progress. Like the Minister, I thank you, Chairman, and the members of the committee for their interest in, and knowledge of, the various issues for which I have responsibility. The contributions of members on each occasion on which I appeared before the committee were of great assistance to me in the discharge of the brief.
I thank the Minister and the Minister of State. Under the terms of reference of this committee it is precluded from consideration of any matter normally within its terms of reference relating to a body under the aegis of the Department of Tourism, Sport and Recreation which is, has been or is proposed to be considered by the Committee of Public Accounts. Members are aware that the Public Accounts Committee is meeting this afternoon to consider the accounts of Campus and Stadium Ireland for the period 10 December 1999 to 31 December 2000. If members address an issue which is outside the terms of reference they do so without privilege. My reading of this situation is that members may ask questions, but they do not enjoy privilege if those questions relate to the period 10 December 1999 to 31 December 2001.
I thank the Minister and the Minister of State for their presentation of the Estimates. Bi-location was always an expectation in this House, but one would require tri-location at present given the number of meetings. I am also dealing with the Gas (Interim Regulation) Bill so I will be brief.
The degree of the recovery programme put in place regarding tourism is not sufficient. We must look at tourism in the context that it is our second largest industry, that it is recording the highest growth rates within the OECD, that it earned £4.8 billion in revenue last year of which the Exchequer received €2 billion, that it employs 145,000 people, that the investment yields a 50:1 return and that the commercial sector spent an estimated €134 million in overseas marketing in 2001.
To get the tourism industry back to where it was we must tackle the issue on three fronts. First is the issue of destination and product marketing. The marketing budget for Britain which is our best, nearest and most obvious market will dry up in April. Additional funding is urgently needed to expand advertising throughout the year regarding own car holidays, short breaks, special interest traffic and so on. The Minister should provide the additional €5 million which ITIC is seeking.
As regards North America we must get the advertising campaign back on track in the key metropolitan areas in conjunction with intensified co-operation and support campaigns with airlines and tour operations. ITIC is seeking €5 million in this regard which it should get. The European market is a major growth area even though European countries are experiencing a recession. We need more marketing, advertising and sustained promotional campaigns.
The industry strongly argues for the restoration of the 2001 budget which would constitute an additional £3.5 million in view of the increased importance of product as a choice of destination. There are opportunities in the conference and incentive sectors, particularly in the UK, for which the industry is calling for at least another €1 million.
The Minister referred to the importance of home holidays last year from the point of view of bridging the gap and sustaining the home market. Even though we achieved high record levels last year and returns were good, we should try to improve on that this year.
The second area that must be tackled is that of access from the point of view of the airlines and ferries. What is needed is a combination of marketing support and incentive schemes in regard to access charges which will serve to stimulate the extra capacity required for growth. Incentives are needed for new and developing routes. Aer Lingus's decision to close down a number of routes, including Baltimore and so on, will have a devastating effect on transatlantic figures. The Bord Fáilte office in Boston said last week that the outlook for the transatlantic tourism market for next year is extremely bleak. What we need is a key target in the restoration of lost capacity and routes, together with the introduction of low fares from continental Europe.
The Chairman of the Joint Committee on Public Enterprise and I met Aer Lingus in Shannon two weeks ago. In fairness, it has decided to tackle the market. The up-front seating has diminished, which is where the big money is. Aer Lingus is trying to put as many bums on seats, regardless of whether they are low fare seats. The idea is to try to fill the seats, even though the people who will come here may not spend as much as the up-front seat paying passengers.
The ferries went through a terrible patch last year and the prognosis for this year is not good. From the point of view of attracting visitors with cars to this country we need a very specific market initiative. We must try to keep our costs down. We had several meetings last year, beginning with the foot and mouth disease crisis. They continued as a result of the various fall-outs from the global economy downturn and the 11 September attacks. The one theme which was regurgitated throughout all the meetings was the need for business relief measures. Businesses within the sector have suffered and are still suffering badly. What is needed is something like double tax allowance for overseas marketing expenditure. They will market it very effectively. The Minister said he would discuss with his colleague, the Minister for the Environment and Local Government, the issue of relief on local authority rates and a reduction in the VAT rates for hotels and restaurants, raising the threshold for that liability, including the coach tourism sectors and car hire sectors. All these sectors are suffering badly and the indications are that they will suffer even more this year. Many of them are in danger of going to the wall unless relief measures are put in place. There were no relief measures last year despite the concerted and unanimous pleas in this committee.
I wish to refer to the point made by Deputy Higgins regarding the recovery programme. I appeal to the Minister in regard to ITIC's proposal. We will spend €7.6 million in Britain in the coming weeks. Britain is spending approximately two and a half times that amount promoting Britain in Ireland, which has a very small population. At the end of last year the industry kept going on a shoestring when many operators were providing great deals. They had to do this just to pay their staff. Much of the industry made a great effort to try to keep things going. However, we must concentrate this year on the British market. Even if business from the US increases we will not be able to bring the people here. I reiterate the plea made by ITIC to reprioritise some aspects of the budget and allocate the funding needed for a major marketing campaign in Britain this year to get us over the hump. It is known where the difficulties are, which Deputy Higgins outlined. The industry is going through a very difficult time. The British people are great tourists because they spend a lot of money.
Members of this committee travelled to Northern Ireland the week before last and met our counterparts there. I have been told by staff in Kerry airport that they get a number of queries from people in Belfast and in the North seeking weekend flights and so on. The tourism industry and regional airports in the South must provide flights between the North of Ireland and the South because people are no longer prepared to sit in a car for five or six hours. They are prepared to pay to fly and hire a car when they reach their destination. There is a big market in the North of Ireland because these people are benefiting from the Good Friday Agreement. Perhaps this is the first summer many people from the North may consider taking a second holiday and we should take advantage of that market.
I reiterate the importance of the British market. I urge that funding be made available and that every effort be put into this market.
I was sorry I was not here for some of the Minister's statement. On the issue of swimming pools, when people are approved for a grant it is up to the promoting group to process the application through the local authority. How much matching funds must they have to get a maximum grant? What percentage of the matching funds would they need before the Minister would accept the local authority's recommendation? In other words, in the case of a €3 million maximum grant the matching grant would be approximately €800,000. How much of that would the Minister want in place before he would give a project the go-ahead, provided design, marketing plans and so on are in place?
I recently visited the Arena in Limerick. It is great value for money and very well managed by people with a physical education background such as myself. The local people in the area are doing an excellent job. It is an example of how to get real value for money. I am sure the Minister has visited the area. It is a fine example of good planning. The internal basketball, running track and swimming facilities are superbly planned. I acknowledge those who planned and worked on the complex.
I say to the Minister that the facilities in the PE college, which is now a faculty of University College Limerick, are the same as they were in 1973. That was a very badly designed sports hall. Obviously the architect knew nothing about sport or the practicalities of designing a sports hall. Sloping walls in a gymnasium or sports hall are not very conducive to playing sport. There must be a big investment in sports facilities. The PE college must hire facilities in the arena for its students. Physical education has been neglected and is going out of existence in schools throughout the country.
If we are to address the question of pre-paring athletes for the future while pursuing a strong health strategy we must emphasise physical education in the school curriculum. In 90% of primary schools physical education is only done when the sun shines in May. For the rest of the year there is no physical education in most schools. Teachers do not have the necessary facilities and in many cases they do not feel competent to teach PE, which is a highly specialised subject particularly in senior primary school classes. I am aware that thisis an education rather than a sport matterbut it is a major problem which must be addressed.
I hope the Minister will dwell a little on the Pathway to Athens and on how the Sydney review recommendations are being put in place. The committee discussed the Sydney review some time ago. The review group has suggested a number of stages of preparation. Are we at the appropriate stage at the moment? Can the Minister expand on the relationship between the Irish Sports Council and the Olympic Council of Ireland, which was not good two years ago when the bodies did not enjoy friendly relations. Have these relations improved? An improvement in relations between the bodies is critical in the preparation for Athens. How are the preparations for Athens going? Are the recommendations of the Sydney review committee being put in place and are the preparations being monitored by the Minister's Department?
I am interested in the area of sport for the elderly. In this country, unfortunately, people tend to give up sport at a young age. As they get older some people feel that sport is not longer for them, while the opposite is the case in most other countries. Sports medical experts suggest that the older one gets the more low intensity exercise one should do, if one wants a healthy life. However, very few people continue to exercise as they get older. We do not encourage older people to take exercise. We promote competitive sport for elite athletes but, apart from one or two days every year, we do not emphasise mass participation in sport or sport for the elderly. Griffith College administered a sport for the elderly scheme this year and groups were invited to apply for funding up to a maximum of €1,500. Groups were given only two or three weeks to make their funding applications and I do not how if the scheme was effective. I do not know why the application forms were distributed by Griffith College, rather than the Irish Sport Council. It may be because the college runs a programme of sport for the elderly.
The Minister has had the High Point Rendel report for some time and he is still considering its recommendations. Will the recommendations be brought to Government before 9 May and will he make a public statement of his analysis of the recommendations? This matter will be an issue in the forthcoming election. The Minister and the Taoiseach have been very clear in their support for the new stadium while the Progressive Democrats, for electoral expediency, have not made their position clear. That party is hoping to have a candidate elected in the constituency where the stadium will be located. The Minister should announce the Government's recommendation before the election and clear the matter, once and for all.
Having considered the future cost implications in the context of national and regional investment in sport, Fine Gael favours a policy of opening up Croke Park and upgrading Lansdowne Road. Newspapers such as The Star opposed the opening up of Croke Park to sports other than GAA but many newspapers which opposed our policy in the beginning now appear to be quoting directly from my policy document. People have come around to our way of thinking. We will have a superb stadium in Croke Park. The Hogan stand is now completed and if the GAA has the resources to complete the development of Hill 16 and the Nally stand it will be one of the finest stadia in Europe with a capacity of 80,000. There has been talk of a scaled down stadium with a capacity of 60,000 in Abbotstown but it is not unusual to have 80,000 people attend a match. Given that tickets are sold at €50, one would lose €1 million on 20,000 unsold seats. Very good use could be made of €1 million to promote sport in Ireland. Why should we build a stadium for 60,000 people in Abbotstown when we could upgrade Lansdowne Road to a 55,000 capacity and satisfy the needs of the IRFU and FAI for most matches? It is important that the Minister reveal his intentions following his review of the High Point Rendel report. Despite what Mr. Paddy Teahon said to this committee about the cost of Campus/Stadium Ireland, the High Point Rendel report confirms that the Fine Gael estimate of €1 billion for the completion of the project was accurate. The estimate being proposed for the completion of the project on our side of the House was almost €1 billion.
The Minister has devoted much time to the drugs issue, but my impression from listening to people and reading reports in the press is that we are losing the battle, particularly on the use of drugs by young people. There is an increase in the use of ecstasy across the country which is readily available and even more fashionable than drink with the young. Will the Minister comment on this when he replies?
There is a strategy in place and I advocated an interdepartmental approach for some years, but there is a proliferation of drug taking across the country and despite the efforts of the Garda and a few notable arrests of dealers, more drugs are available. The strategy is in its initial stages but it needs to be reviewed. Discussion of the problem by agencies to find solutions is helpful but there must also be vigorous law enforcement and greater detection. I was told that the Belfast train recently was met by sniffer dogs searching for drugs coming in from Dublin, which did not happen during the Troubles. Dublin is becoming a centre for drug distribution for the island and elsewhere in Europe. It is a serious problem which can be tackled but requires more resources for the Garda, such as sniffer dogs, longer detention periods and more rigorous enforcement of the law.
I put a number of questions recently about the Winter Olympics, especially the performance at Salt Lake City of Clifton Wrottesley who came fourth in the skeleton event. His sport is not recognised by the Sports Council and there were allegations in the press that the council discriminated against it. His achievement in coming fourth should have been recognised in some manner, perhaps by the Minister and certainly by the Sports Council. I hope that the Minister will refer to the Winter Olympics in his conclusion.
I have a few questions also which I will put now as our time is short. I thank the Minister and the Minister of State for their presentation, which contained a lot of information. I raised ITIC and I hope the Minister will reply on that point.
Will the focus of the tourism product development scheme be on the less well developed areas of tourism or will applications be accepted from all areas? I assume they will be accepted from all areas.
I asked before about how many of the 11,000 people, trained by CERT in 2002, will be in the tourism industry next year. I am afraid that if we do not follow them up, these people with potential will burn out and leave the industry with its hard work and long hours. Instead of trying to recruit new people next year, we should follow up those who leave tourism to find out why they left so as to identify problems. The hotels that keep staff who have years of experience provide the best service and the céad míle fáilte. The trained people, who stay for a few years before moving on elsewhere, represent wasted resources.
We want all the grants for sporting bodies to go to Kerry this year. Killarney Urban District Council is waiting patiently for the announcement, presumably before the election, of funding for our sports centre under the swimming pool programme which will be of——
It is all going to Ballybunion.
The perception is that places like Killarney have everything, but we do not have a sports centre. There are many wet days in the south and tourists and locals need an indoor facility. I hope that this will be our year.
We were in the North last week and, incidentally, I can tell Deputy Deenihan that we saw no sniffer dogs——
They are not always there.
In the primary schools there, sports are part of the curriculum. Sports people have an input and pupils must participate, which is the way to go for the well-being of the children and sport as many children opt out.
This morning, Mary Davis of the Special Olympics committee gave us a progress report. That organisation has done great work and is reaching its targets. This committee fully supports it and will do so after the election, even if the membership changes. The Special Olympics committee has most of its funding in, volunteers organised and accommodation arranged. I wish that the other Olympic committee would take a leaf from its book.
Will the Minister comment on the national conference centre which seems to have dropped out of sight? It is disappointing that, due to difficulties beyond everybody's control, it did not go ahead, but what is the likelihood of it proceeding?
The Minister of State, Deputy Eoin Ryan, spoke of the drug problem which is growing and is difficult to deal with. He stated that 50 support and advice centres were set up for drug users, most of which are in the Eastern Regional Health Authority area, with one in Cork. Is there a plan for mobile treatment units for rural areas? Every village and town has a drug problem although it was always perceived as an urban phenomenon. If we could get at young people while they are using soft drugs, they may not develop a problem with hard drugs. Killarney UDC produced a report on its drugs problem which the Minister should read as it puts forward positive proposals that would be of interest to the Department.
The Minister said that an allocation of €6.5 million had been made to provide premises for local drug task forces but most of that goes to the Eastern Regional Health Authority area. Most money is being spent in that area while the rest of the country is being forgotten. There is a drug problem in other parts of the country and the Minister should be aware of that. How does he propose to spread the money out? Will an allocation be made to mobile units? Time is getting short so I am rushing. Perhaps the Minister will address some of these questions.
The first question I will address is the recovery and the fall-out from the events of 2001. We have put an amount of funding into marketing and had a recovery programme in the United States which seems to have worked as the original estimates have certainly not materialised. There was a hue and cry for extra funding and if we got it we would give it to the agencies involved. We have not been unsuccessful. In the year 2000 funding was €81.7 million, in 2001 it was €108 million and in 2002 it is €122.6 million. In addition, Bord Fáilte has an annual allocation of €25 million. The funding has been successful and there has been a recovery in the tourism area. One indication of that is that over 800 work permits are being sought by people in the tourism industry. That augurs well for the industry.
The UK is important in regard to the marketing of tourism. Tourism Ireland launched its plans on 7 November although it had to refocus as a result of the events of 11 September. We provide it with the largest ever marketing budget tourism has had. Different suggestions are being made to us as to where to put the money. We provide the funding, which is substantial, and it is up to the agencies to determine what needs to be spent in any particular area. I met ITIC recently and am aware of its request for more funding post the end of April. I have asked Bord Fáilte and Tourism Ireland to take a look at funding arrangements with a view to prioritising the UK if necessary.
I agree with the Chairman in regard to Northern Ireland and airport access. We have a service from Derry to Dublin which started off on a once-a-day basis but is now full on a twice-daily basis. It has been tremendous for business and tourism because it operates in early morning and late evening. Of course the facility only serves Dublin. I would like to see regional airports opening up routes such as Kerry to Belfast but that decision will have to be taken on a commercial basis. The Government would not be found wanting if such an enterprise was tried. It is something I would like to see.
Deputy Deenihan asked about swimming pools and the balance of funding for them. We provide 80% of funding or €3.8 million but the balance has to be provided by the local or acquiring authority. The facility in Limerick into which we put €7.5 million is marvellous. The NCTC received its funding through the Irish Sports Council. There has been no application from the NCTC to my Department in regard to funding but any application would be considered.
The issue of PE in schools and colleges was mentioned. I agree that this area has been neglected but I understand that the Irish Sports Council, in conjunction with the Department of Education and Science, has started pilot schemes in some areas. As Deputy Deenihan pointed out, there is no PE on the curriculum in schools anymore and sport is losing out as a result.
The high performance strategy was also mentioned. The relationship between the OCI and the Irish Sports Council has improved. The OCI has been briefing the Sports Council and they meet regularly. The Irish Sports Council is trying to ensure the implementation of the high performance strategy is brought about and regular reports are provided to the Department on that.
In regard to the Winter Olympics, the effort of the Irish Sports Council to get into dialogue with the bodies catering for winter sports has not been successful so far but efforts are progressing. This matter comes under the statutory responsibility of the Irish Sports Council. While I congratulate Clifton Wrottesley, who finished fourth, on his achievement, I do not feel we should be giving recognition to fourth place because it might get to the stage where we recognise tenth place. However, I recognise his achievement. I received criticism because we did not support Mr. Wrottesley through the Irish Sports Council. I heard a marvellous interview with Mr. Wrottesley on "Morning Ireland" in which he was asked where he did his training. He calmly replied that he takes a holiday six times a year in St. Moritz. It seems that not a lot of funding is required in that instance.
We do not have specific details on the swimming pool in Killarney. It is up to local authorities to put someone in charge of the situation. We have from 46 to 50 proposals for pools. Where local authorities have appointed someone in charge these projects are the ones that tend to make fast progress. Funding is there and we have the money.
We did some marketing research last year through Bord Fáilte in regard to the national conference centre. It was known as maximising Ireland's potential in the international conference market. That research is available but we had to send it around the Departments to get their views. We are waiting for them before bringing it all together. We got planning permission for the centre but there was a problem with the planning in regard to the additional hotels and surrounding areas. It has been put on hold but the Government remains committed to having a national centre. The research carried out for this one was carried out ten years ago. Things have changed and a larger centre may be required although because so many hotels now have conference facilities perhaps we should go for a smaller one. The Government remains committed to having a national conference centre.
Is the site that was originally intended for it still available?
That is still the intended site. Whichever Government decides to go ahead with it, I think it would be up to the Office of Public Works to build it because with the new grant facilities available for the private sector, I do not think it would be feasible for the private sector to build it in Dublin.
I apologise for interrupting, but I will have to leave the meeting to speak on a Bill in the Dáil. My party agrees with the Estimate.
Access is important to an island such as Ireland. We want to try to make sure that the route from Dublin to Baltimore is opened up again and we hope that Aer Lingus will be able to do that. I was in Toronto for St. Patrick's Day and had to fly Dublin-London-Toronto and vice versa. From 1 June, Air Canada will open up a direct flight into Shannon-Dublin from Toronto, which I hope will be successful. I hope it will be supported because there is great potential for tourism from Canada.
The Toronto-Dublin-Shannon route will be opened up. The Warsaw-Dublin-Shannon route was opened in recent weeks. New routes recently announced by Aer Rianta include Nice-Dublin, Barcelona-Dublin, Malaga-Dublin, Larnaca-Dublin, Paris-Shannon, Swansea-Cork-Dublin, Newcastle-Cork, Bordeaux-Dublin and Alicante-Dublin.
What about the role CERT could play?
CERT has a targeting programme. I could get the figures for the Chairman. Some 11,000 to 12,000 have taken up jobs with CERT. I am in agreement with the Chairman on this. Many people are leaving such jobs despite 800 work permits being sought in the tourism industry.
The reason 800 work permits are being sought in the industry is not that there is an increase in tourism but many Irish people are not prepared to work long hours in low paid jobs.
I have been informed that CERT also has a policy of working with the industry. This problem has dawned on it and it is working with the industry to try to——
Overcome the difficulties.
——understand why many people are leaving such jobs.
The drugs strategy that was in place up to last year was badly needed to tackle heroin misuse in Dublin. It provided for 14 local drug task force areas, 12 in Dublin, one in Bray and one in Cork because of the serious problems heroin were causing to local communities.
As matters evolved, many people raised points about there being drugs in every town and village in the country, that drugs have spread right around the country. We needed to do something about that. We set up the new national drugs strategy and within that we provided for the setting up of regional task forces, which will be set up shortly under each health board area. They will identify gaps in services, preventative measures that need to be put in place, young people at risk and towns that seem to have particular problems. I hope such regional task forces will evolve their own plans. That is the idea behind the strategy, for the regional task forces to move forward from the success of local drug task forces in identifying problems with the local community, working with State agencies, gardaí, health boards etc. to try to put a plan in place to meet the needs of local communities. When we went around the country, there seemed to be a great deal of enthusiasm for such task forces.
We set up the national advisory committee on drugs, which has come forward with research - the first research it brought out was Mark Morgan's research on prevention. One of the points he made, which is true, is that we do not have a drug problem in Ireland, we have a drugs problem in Ireland. We have a heroin problem which is almost exclusively in certain areas that have suffered social exclusion. That problem is beginning to spread out of Dublin and Cork into the same socio-economic groups in other areas.
There is also the problem of recreational drug abuse. Speakers talked about the taking of ecstasy and cannabis, which is a serious problem not only here but elsewhere in the western world and is one we will have to try to tackle. A public awareness campaign is currently being worked on to address this problem. It will be a targeted campaign and not one that will tell people not to take drugs because if they do they will get into trouble or die, as such campaigns have been proven not to work. We want an awareness campaign that is targeted, supported in schools, provides courses parents can take and in which the media can be involved to ensure the message gets across from a number of angles.
Deputy Deenihan talked about the extent of the drugs problem in the country. There is huge money in this business. People make vast amounts of money from it. There is a great deal of criminal involvement in it and it is very difficult to stop it. Some people are willing to go to great lengths to try to get drugs into the country. There has been a flood of heroin into Europe from northern Pakistan and Afghanistan, with the result that the price of heroin has collapsed - it has fallen to one third or one quarter of what it was. Ecstasy tablets are manufactured mainly in Holland now. A great deal of the drugs are brought in here from England. We are doing our very best to try to detect drugs.
Deputy Deenihan talked about the use of sniffer dogs. We are putting in place a measure to deal with that. It is very easy for somebody to strap a couple of pounds of heroin onto their body and come into this country on a plane, in a truck or on a boat and they will make a great deal of money from doing that. It is easy to do that, but it is very difficult to stop it. We have sniffer dogs and checks at Customs points.
Under the national drugs strategy, an interdepartmental group has been set up which meets every month. All Departments are represented as are members of the Garda and the Customs service. They will give us regular reports on what is happening. We have spoken to the Garda Commissioner and the Minister for Justice, Equality and Law Reform. Members of the Garda and the Customs service have attended such meetings so that they are made aware of the problems on the ground and how we want them to respond to them.
There is a great deal happening in regard to detecting drugs, including the use of new technology. X-ray machines are used by Customs at points of entry and they are used in European countries. Drugs may also be detected by other machines. One of the latest and supposedly one of the most efficient ways of detecting drugs is by bees. Bees can be trained to detect and smell drugs much easier and more efficiently than dogs. A great effort is being made to try to tackle this problem, but there is huge money to be made in this business. Large criminal groups are involved in it and they will go to great lengths to bring drugs into this country because there is so much money in it for them.
I thank the Minster, the Minister of State and their officials for their contributions. I wish the Minister and the Minister of State well in the forthcoming election.
I wish the Chairman well also.
I hope we will all be back. I do not care where we will be once we are back. I thank the Minister and his officials for always being available to this committee at short notice during the time of the outbreak of the foot and mouth disease. Tremendous work was done and the Minister, the Minister for Agriculture, Food and Rural Development and members of this committee will be remembered for the unprecedented work that was done. I remember the morning that all the groups were in with us when the Taoiseach confirmed the first case. As chairman of the committee, on a personal level, I thank you and the Minister of State, Deputy Eoin Ryan, for your support.
I thank you, Chairman, and the committee. We have been through some bad times but we have also had some good times and this committee has helped to sort out many of the problems. I wish members of the committee luck as they will get significant attention at the next meeting also.
We will not be here.