I propose to take Questions Nos. 1367, 1383, and 1384 together.
I recently announced my decision to amend the retail planning guidelines to provide that the floorspace cap on retail warehouses will no longer apply within the functional areas of the four Dublin local authorities and in the other national spatial strategy gateways. The gateway towns and cities are Athlone-Tullamore-Mullingar, Cork, Dublin, Dundalk, Galway, Letterkenny, Limerick-Shannon, Sligo and Waterford. This modification to the guidelines will only apply in areas subject to integrated area plans, IAPs, under the Urban Renewal Act 1998. This change will take effect from 1 February 2005.
The amendment to the retail planning guidelines follows a review of the floorspace cap on retail warehouses set in the guidelines, which came into effect on 1 January 2001. The guidelines prescribe a maximum floor area of 6,000 sq. m. gross retail floorspace for large-scale single retail warehouse development. This cap has been reviewed, taking account of the need to promote effective competition in this sector of retailing and of ongoing developments in retail formats, while underpinning proper planning and sustainable development. To assist in carrying out the review, interested parties were invited to make submissions to my Department. Some 71 submissions were received and assessed. These submissions were fully taken into account in the finalisation of the review.
I did not meet any delegations in respect of the review of the retail planning guidelines. The overseas companies which expressed an interest in entering the Irish market if the floorspace cap was adjusted were IKEA and Costco Wholesale UK. A number of interests, including the Competition Authority and the Construction Industry Federation, argued strongly for the abolition of the floorspace cap on retail warehouses.
I am aware of the concerns raised in the correspondence from the Irish Hardware and Building Materials Association. However, the changes to the guidelines are of a limited nature in that they are confined to IAP areas in the gateways designated by the national spatial strategy. The overall policy objectives of the retail planning guidelines including normal planning requirements, will continue to apply to any proposals for the development of retail warehouses in excess of 6,000 sq. m. The revised guidelines clearly indicate that any proposal for an individual retail warehouse with a floorspace in excess of 6,000 sq. m. gross in order to be acceptable from a planning viewpoint would need, inter alia, to be accompanied by a detailed traffic impact assessment and be supported by the licensing infrastructure. It will be a matter for the development management process to apply the relevant criteria to any planning application that may come forward from the private sector.
The amendment to the retail planning guidelines should facilitate wider consumer choice and greater competition. It should also ensure that any such development entering the market does so on a basis which contributes to the economic and social objectives of the Government's urban renewal programme and the national spatial strategy.