Dáil Éireann Debate, Thursday - 4 March 2004
74 Mr. R. Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment the details of the grant cost per job approved by the IDA and the grant cost per job sustained by the IDA in the years since 1980. [7361/04]
View answerIDA Ireland does not provide details of grant costs per job approved for confidentiality and competitive reasons. The table provides details of the cost per job sustained by the IDA in the years since 1980. The cost per job sustained is calculated by taking into account all IDA Ireland expenditure to all firms in the period of calculation. Only jobs created during and sustained to the end of each seven-year period are credited in thecalculations.
|
Period |
1981/1987 |
1982/1988 |
1983/1989 |
1984/1990 |
1985/1991 |
1986/1992 |
1987/1993 |
1988/1994 |
|
Cost € |
50,413 |
45,220 |
38,802 |
34,060 |
32,369 |
30,350 |
25,417 |
20,625 |
|
Period |
1989/1995 |
1990/1996 |
1991/1997 |
1992/1998 |
1993/1999 |
1994/2000 |
1995/2001 |
1996/2002 |
|
Cost € |
18,960 |
18,428 |
17,965 |
17,166 |
15,124 |
14,076 |
14,017 |
15,897 |
Source: Forfás Annual Employment Survey 2002
75 Mr. R. Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment the details of the number of jobs in IDAassisted foreign owned enterprises since 1980. [7362/04]
View answerThe table provides details of permanent jobs in IDA assisted foreign owned enterprises since1980:
|
Year |
1980 |
1981 |
1982 |
1983 |
1984 |
1985 |
1986 |
1987 |
1988 |
|
Jobs |
64,048 |
68,345 |
68,471 |
65,819 |
64,154 |
62,648 |
64,099 |
63,820 |
67,065 |
|
Year |
1989 |
1990 |
1991 |
1992 |
1993 |
1994 |
1995 |
1996 |
1997 |
|
Jobs |
72,067 |
75,484 |
77,026 |
78,233 |
80,594 |
84,945 |
92,015 |
99,127 |
108,669 |
|
Year |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
|
Jobs |
117,247 |
125,272 |
139,752 |
134,907 |
130,591 |
127,616 |
76 Mr. R. Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment the restrictions on State aid which apply in the Border, Midland and West region, in the Dublin region, and in the rest of the country under EU rules; and if she will outline the guidelines for deciding on levels of grant aid to new investors by the IDA in the respective regions. [7363/04]
View answerUnder Ireland's regional aid map for the period 2000-06 the maximum aid rates permissible for regional aid towards investment and job creation in the designated regions are set out:
|
2000 |
2001 |
2002 |
2003 |
2004-06 |
||
|
‘C’ Region |
||||||
|
South-East |
40 |
37 |
31 |
26 |
20 |
|
|
Mid-West |
40 |
37 |
31 |
26 |
20 |
plus |
|
South-West |
40 |
37 |
31 |
26 |
20 |
10% gross |
|
Mid-East |
40 |
35 |
29 |
23 |
18 |
for |
|
Dublin |
17.5 |
17.5 |
17.5 |
17.5 |
17.5 |
SMEs |
|
‘A’ Region |
||||||
|
Border, Midlands, West |
40 |
40 |
40 |
40 |
40 |
plus 15% gross for SMEs |
The rates above are subject to the new multisectoral framework for large investment projects, which progressively reduces the effective grant ceiling for regional aid below the levels set out above where the value of the investment being aided exceeds €50 million inclusive of grant assistance.
As the table indicates, from 2000 Ireland was still entitled to provide significant rates of regional aid throughout the country and less so in the Dublin region. In line with the regional aid map, regional aid can continue to be awarded up to a rate of 40%, or 55% for SMEs, in the BMW region until the end of 2006. The aid rates elsewhere, other than Dublin, have been gradually declining since 2000. This is due to the fact that, in accordance with Article 87(3) of the EU Treaty, regional aid is permitted in the most disadvantaged regions of the European Community only where the standard of living is abnormally low or where there is serious underemployment. In less disadvantaged regions, regional aid may be given where such aid does not affect trading conditions to an extent contrary to the common interest.
While the regional aid rates listed above are secure until end 2006, given Ireland's level of economic development in recent years we cannot expect to be able to provide significant rates of regional aid after 2006. In addition, the European Commission has signalled its intention to significantly reduce the scope for regional aid for large companies in all member states after 2006. However, it should be remembered that regional aid is not the only form of State aid that may be given to assist company development. State aid may also be given throughout Ireland under various EU guidelines relating to European Community objectives such as research and development, employment, development of SMEs, training, and environmental protection.
In deciding on levels of grant aid within the rates permitted in the Regional Aid Map, IDA Ireland operates a set of internal negotiating guidelines. These negotiating guidelines are designed to ensure that the maximum value for money is achieved consistent with facilitating the development of desirable investment initiatives; provide more aid for particularly high quality and strategically important investments that are in line with enterprise development policy and Ireland's competitive characteristics; and help implement IDA Ireland's regional development strategy, which includes a high priority on increasing the level of investment going into less developed regions, particularly the BMW.
It is important to remember that EU State aid regulations apply to all member states. IDA Ireland continues to successfully attract investment within the framework set by the existing regulations.
