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Thursday, 21 Feb 2013

Written Answers Nos. 52-66

Departmental Agencies Funding

Questions (52)

Thomas P. Broughan

Question:

52. Deputy Thomas P. Broughan asked the Minister for Jobs, Enterprise and Innovation the level of investment in the Dublin region by Enterprise Ireland and Industrial Development Agency Ireland each year from 2009 to 2012; and if he will make a statement on the matter. [9038/13]

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Written answers

The following tabular statement sets out details of payments from IDA Ireland to its clients in County Dublin from 2009 to 2011. The figures for 2012 will not be available until signed off by the Comptroller and Auditor General. Final data for 2012 will be published before 30 June in IDA Ireland’s Annual Report. Enterprise Ireland payments to its clients in County Dublin from 2009 to 2012 are also set out in the tabular statement.

IDA Ireland Payments to its Clients in County Dublin

Year

2009

2010

2011

Amount (€)

29,101,843

46,420,938

43,043,936

Enterprise Ireland Payments to its Clients in County Dublin

Year

2009

2010

2011

2012

Amount (€)

103,162,554

109,184,254

73,947,465

72,891,681

Enterprise Support Services Provision

Questions (53)

Jonathan O'Brien

Question:

53. Deputy Jonathan O'Brien asked the Minister for Jobs, Enterprise and Innovation if he will identify the barriers to microenterprise posed by the Border both in financial terms and with regard to internal enterprise administration; if he will identify the steps he has taken to reduce these barriers in the past two years; and the effect this has had on volumes of cross-Border trade. [9042/13]

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Written answers

The County Enterprise Boards (CEBs) in the border region provide support for micro-enterprises at local level in the start-up and expansion phases, through the provision of both financial and non-financial assistance. Trading across borders is a feature of all open economies and it can present both opportunities and challenges. The European Single Market has made cross-border trading in the EU easier and more certain, for both businesses and consumers. Certain operating costs and/or barriers to trade can be outside the control of Government. For example, fuel and energy prices are primarily driven by external factors such as global fossil fuel prices. In addition, currency exchange rates can give rise to relative price differences that can lead to higher costs for businesses in one jurisdiction compared to the other and this can have a particular impact in border areas.

The Government’s approach has been to identify those areas of policy it can influence to bring about cost reductions as well as providing supports that help micro-enterprises to become more efficient, productive and competitive. The Action Plan for Jobs for 2012 set out a range of measures across Government which can help to reduce costs and support job creation. Such measures included: reforming the statutory wage setting mechanisms; reducing the administrative burden on business; placing downward pressure on insurance costs through the Legal Services Bill; providing supports to businesses to improve their energy and resource efficiency; helping businesses to improve their skills, and encouraging local authorities to exercise restraint in the setting of commercial rates and other local charges.

In addition, my Department and its Agencies are closely involved in supporting enterprise projects under the Interreg initiative, which assists cross-border development and which is co-funded by the EU and by the relevant Northern Ireland Departments. Several of the projects approved in the current round of programmes have been initiated by County Enterprise Boards in the border region, in conjunction with other partner organisations, and these projects have assisted in developing micro-enterprise in the region. I am also pleased to report that officials in both jurisdictions are also engaged in a process which will hopefully see a new Interreg Scheme initiated when the current phase expires in 2014.

Merchandise trade figures from the Central Statistics Office (CSO) show that exports to Northern Ireland have increased by a total of 9% to €1,445m in the last two year and dialogue between relevant Ministers and officials, North and South, will continue in order to further promote economic development, job creation and innovation in the border region.

Job Creation Data

Questions (54)

Peadar Tóibín

Question:

54. Deputy Peadar Tóibín asked the Minister for Jobs, Enterprise and Innovation the number of jobs created by Industrial Development Agency Ireland in County Laois during the past year; and the number of jobs lost in IDA Ireland-supported industry in County Meath in the same period. [9047/13]

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Written answers

The Forfás Annual Employment Survey reports on job gains and losses in companies that are supported by the industrial development agencies. The survey shows that in 2012, in Counties Meath and Laois a total of 70 jobs were created in IDA supported companies while 126 jobs were lost. Details on the number of jobs created and lost in County Laois and in County Meath in 2012 are set out in the following tabular statement.

There are 14 IDA supported companies in County Meath employing 1,200 people while there are 2 IDA client companies in Co. Laois employing 84 people. In addition IDA has invested heavily in property solutions in both counties. In County Laois IDA has invested €3.2m in the development of a quality flagship Business Park in Portlaoise while in County Meath IDA has spent a similar amount in the development of a 44 hectare Business Park in Navan. In addition IDA also promotes the Quinn Building in Navan as opportunity presents. The Quinn building is of sufficient scale to potentially accommodate an employment intensive project but could also be retrofitted, if required, to accommodate other activities.

Table showing the number of Jobs Created and Lost in IDA supported companies in Counties Laois and Meath in 2012

Job Gains 2012

Job Losses 2012

Laois

2

23

Meath

68

103

Question No. 55 answered with Question No. 50.

Job Creation Data

Questions (56)

Dessie Ellis

Question:

56. Deputy Dessie Ellis asked the Minister for Jobs, Enterprise and Innovation the number of jobs created by Industrial Development Agency Ireland that require foreign language skills at native speaker level over the past two years. [9064/13]

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Written answers

IDA Ireland’s remit is to attract foreign direct investment to Ireland thereby creating employment opportunities in Ireland. IDA Ireland has indicated that, in some cases, the investment secured will have a need for native language speakers, due to the nature of the job/function while, in other cases, employees with high, but non-native, language proficiency will be needed, particularly where other highly sought after skills are also required, such as engineering and ICT. To underpin the overall development of the foreign owned multinational sector in Ireland, it is important that Ireland meets the requirements of its multinational client base for both native and non-native language skill requirements. Research undertaken by the Expert Group on Future Skills in 2010 identified skills shortages in niche areas such as telesales, which require fluency in foreign languages. However, statistics are not maintained in such a way as to track the language skills of employees in individual IDA supported companies.

IDA Ireland has explained that its client companies primarily use Ireland as a base to service the European and Asian markets. These companies understand the importance of proficiency in local market languages to compete and sustain growth in a market. Language skills are particularly important for sales, marketing and HR staff but increasingly, FDI companies are seeking employees with backgrounds in science, technology, engineering and maths who also have a proficiency in more than one language. The importance of having the language skills necessary to drive enterprise trade and export sales has been recognised by Government and the 2013 Action Plan for Jobs, which will be published in the coming days, will address this particular challenge.

Job Creation Data

Questions (57)

Pádraig MacLochlainn

Question:

57. Deputy Pádraig Mac Lochlainn asked the Minister for Jobs, Enterprise and Innovation of the 12,000 new jobs created in the private sector as claimed in the action plan for jobs progress report, the number that were part-time, full-time or causal-temporary in nature. [9052/13]

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Written answers

A total of 12,000 net new jobs were created across private sector activity in the economy in the year to the end of Quarter 3 2012. As this is an aggregate figure across different economic sectors, it is not possible to break the net figure down into full-time and part-time jobs. However, it is worth noting that IDA Ireland and Enterprise Ireland client companies created almost 10,000 full-time jobs between them in 2012. The most recent Quarterly National Household Survey (QNHS) published by the CSO, which covers Quarter 3 2012, shows that overall in the economy, there has been a trend towards a reduction in full-time employment and an increase in part-time employment. Although job losses continue to be experienced in declining sectors such as construction, jobs growth is taking place other export-oriented sectors of the economy such as agrifood and ICT. The positive results from the enterprise development agencies in 2012 underscores the merits of the Government’s focus on innovation, enterprise and exports under the Action Plan for Jobs.

EU State Aid Negotiations

Questions (58)

Brian Stanley

Question:

58. Deputy Brian Stanley asked the Minister for Jobs, Enterprise and Innovation if he will detail his position with regard to the upcoming EU state aid negotiations; and if he will seek to redress employment inequalities by increasing and targeting state aid in the future. [9065/13]

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Written answers

As part of a State Aid Modernisation initiative currently being undertaken by the EU Commission a number of instruments are being reviewed in parallel, including, in particular, Guidelines on Regional Aid, Environmental Aid, Risk Capital, Research Development and Innovation, Broadband Guidelines and Aviation Guidelines. Of major importance from an Irish perspective is the revision of the Regional Aid Guidelines. The purpose of Regional Aid is to support investment and job creation and encourage firms to set up new establishments in Europe's most disadvantaged regions.

The process of Member States agreeing the 2014-2021 Regional Aid Guidelines is underway and multilateral discussions between Member States and the Commission, which has responsibility for the Regional Aid Guidelines, have taken place. This initiative is Commission led, and my Department is actively engaged in the process and has consulted relevant stakeholders including various Government Departments, the industrial development agencies, Údarás na Gaeltachta, Forfás, the Central Statistics Office, the Border Midland and Western Regional Assembly, the Southern and Eastern Regional Assembly, and the eight Regional Authorities to ensure the preparation and submission of a comprehensive evidence based Irish position on the key issues.

The Commission issued a non-paper of its initial orientations in December 2011, which was followed by a multilateral meeting in March 2012. The Commission subsequently forwarded further proposals to Member States on 14 January 2013, documenting the structure and provisions that will form the basis of the revised Guidelines. These proposals were also discussed at a multilateral meeting on 11 and 12 of February.

I met with Commissioner Almunia to discuss the issue of State Aids on the margins of the Competitiveness Council (Industry) on Monday 10 December 2012 and Minister Sherlock also raised this issue with Commissioner Geoghegan-Quinn at the Competitiveness Council (Research) on Tuesday 11 December 2012. Concerns relating to the range of coverage and support for large investment projects were raised at these meetings as being items of major concern to Ireland. In addition, my Departments officials have discussed these issues with Commission officials across a range of dossiers to ensure that Irish concerns are well known within the Commission. My officials have also met with a number of like-minded Member States on numerous occasions in the recent past, both on the margins of the Competitiveness Council and bilaterally.

My Department, in conjunction with the enterprise agencies, is currently preparing a detailed submission to the Commission on the current Regional Aid proposals. All relevant Government Departments have been briefed on this issue through the State Aid Interdepartmental Committee and briefs have issued to the relevant Minsters. All Irish MEPs and the Irish representatives on the Council of the Regions have also been briefed on this issue. For the 2014-2021 Regional Aid Map, economic data such as unemployment and Gross Domestic Product for all counties will once again be analysed afresh when deciding which counties will be designated for Regional Aid.

Retail Sector

Questions (59, 61, 129)

Pearse Doherty

Question:

59. Deputy Pearse Doherty asked the Minister for Jobs, Enterprise and Innovation the impact of upward only rent on the retail sector in terms of lost competitiveness and in terms of jobs lost. [9050/13]

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Mick Wallace

Question:

61. Deputy Mick Wallace asked the Minister for Jobs, Enterprise and Innovation his plans to assist the retail sector in Ireland which is facing significant challenges in areas such as commercial rates and high rents due to upward only rent reviews; and if he will make a statement on the matter. [9208/13]

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Bernard Durkan

Question:

129. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which upward only rent reviews continue to be a serious inhibitor in the commercial or retail sectors; the extent to which the closure of specific enterprises has been attributed to the issue in each of the past four years to date; and if he will make a statement on the matter. [9449/13]

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Written answers

I propose to take Questions Nos. 59, 61 and 129 together.

In the current economic environment, there is a range of factors that impact on the competitiveness of companies, including, for example, the emergence of on-line shopping in the retail sector. It is sometimes a combination of these factors that causes a company to close. However, I am aware that many retail and commercial companies are concerned about the impact which upward only rent reviews are having on their cost base. When the Government came into office, it gave extensive consideration to abolishing upward-only rent reviews in leases signed before 28th February 2010.

The advice received by the Government was that it was not possible to develop a scheme to tackle this issue that would not be vulnerable to a Constitutional challenge or compensation claims from landlords. On the basis of this advice, the Government concluded that it was not feasible to legislate to abolish upward only rent reviews. However, the Government has taken steps to address the issue where possible.

In the Action Plan for Jobs 2012, the Government undertook to place downward pressure on commercial rents where the National Asset Management Agency (NAMA) had acquired the loan on the underlying property. I understand that by the end of 2012, NAMA had received 276 eligible applications for rent abatement and had granted 212 applications with an aggregate annual value of €13.5 million. A further 56 applications were under review. Of the 276 eligible applications received, only 8 were refused, representing a 97% approval rate by NAMA. In addition, the Property Services (Regulation) Act, 2011, provides for the establishment and maintenance of a Commercial Leases Database by the Property Services Regulatory Authority. The database will go toward enhancing transparency in the commercial property market when it becomes operational.

Through the Action Plan for Jobs process, the Government is working to ensure that other factors which impact on the competitiveness of enterprises across the economy are addressed. I will announce specific measures to assist the retail sector in the 2013 Action Plan for Jobs, which will be launched in the coming days.

Job Initiatives

Questions (60)

Gerry Adams

Question:

60. Deputy Gerry Adams asked the Minister for Jobs, Enterprise and Innovation the administration cost to date and the contracts costs for the Succeed in Ireland initiative. [9049/13]

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Written answers

The Succeed in Ireland initiative is managed by Connect Ireland under a contract from the IDA. The cost of administering the scheme is administered by Connect Ireland. Under the Succeed in Ireland initiative, IDA Ireland will pay a finder’s fee of up to a maximum of €4,000, excluding VAT, on the creation of a sustainable job i.e. a job that has been in place for 2 years. As the initiative has been in existence for only 11 months, no such fees have yet been paid. An evaluation of the costs, benefits and impacts of the initiative will be undertaken by IDA Ireland later this year in consultation with my Department so that an informed decision can be taken on the merits of broadening out the initiative from a pilot.

Question No. 61 answered with Question No. 59.

Overseas Development Aid Provision

Questions (62)

Nicky McFadden

Question:

62. Deputy Nicky McFadden asked the Tánaiste and Minister for Foreign Affairs and Trade if he will outline the steps taken by his Department to ensure stronger accountability in relation to overseas aid provision; if he will ensure that the aid provided is being used in the correct way and to directly help those most in need; and if he will make a statement on the matter. [9288/13]

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Written answers

As Minister of State with responsibility for Ireland’s Official Development Assistance, I am very conscious of the need to have a high level of accountability of our development assistance and to ensure that it makes a real difference to the lives of the world’s poorest people. International reviews by the OECD have clearly stated that the Government’s international aid programme - managed by my Department - is one of the highest quality, characterised by its focus on poverty reduction and building the capacities of poor communities and national institutions in some of the poorest countries in the world.

Programmes in receipt of Irish Aid funding are subject to regular internal and external monitoring to ensure that our support is reaching its intended beneficiaries and the planned objectives and goals of the Irish Aid programme are being achieved. These programmes are regularly monitored by internal auditors, by independent experts, and by the Evaluation and Audit Unit of the Department of Foreign Affairs and Trade. These reports are reviewed by the independent Audit Committee of the Department. We also provide assistance to national Government oversight and accountability institutions, such as the Office of the Comptroller and Auditor General and the Public Accounts Committees of national Parliaments, to ensure Governments are held to account for the effective expenditure of public funds, including overseas development assistance.

The recent case in Uganda, where there was evidence of the fraudulent use of Irish Aid funds, which have now been fully refunded, is a clear indication of the need for continuous vigilance in the oversight of any Irish Aid funds disbursed to our programme partners. While the report into the fraud clearly stated “that the fraud could only have been perpetrated by a level of collusion that would not have been reasonably anticipated” it made a number of recommendations which have been fully accepted by me. Our management and oversight systems are continually under review to ensure that Irish development funding goes to those most in need, and that we meet the highest standards of accountability. Our oversight systems are also being reviewed in the light of the Uganda report and, where necessary, will be adapted if any deficiencies are identified.

Passport Application Numbers

Questions (63)

Thomas P. Broughan

Question:

63. Deputy Thomas P. Broughan asked the Tánaiste and Minister for Foreign Affairs and Trade the number of Irish passports that were issued in 2011, 2012 and to date in 2013; if additional staff will be allocated to the Passport Office during the peak season; and if he will make a statement on the matter. [9296/13]

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Written answers

In 2011 599,468 passports were issued by the Passport Service. This increased by over 5% in 2012 to 631,939. So far in 2013 over 90,000 applications have been received.

Demand for passport services is highly seasonal, with almost 50% of applications being received in the four months April – July each year. Therefore the Department employs temporary clerical staff (TCOs) to help the Passport Service meet the exigencies of the service. It is anticipated that this year 133 TCOs will be recruited and allocated across all offices in the Passport Service.

Passports Data

Questions (64)

Thomas P. Broughan

Question:

64. Deputy Thomas P. Broughan asked the Tánaiste and Minister for Foreign Affairs and Trade if he will estimate the number of Irish passport holders that hold one or more passports of other sovereign states; and if he will make a statement on the matter. [9297/13]

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Written answers

As the Passport Service does not request any information on other nationalities as part of the application process, information on the number of Irish passport holders that hold one or more passports of other states is not available.

Human Rights Issues

Questions (65, 66)

Robert Troy

Question:

65. Deputy Robert Troy asked the Tánaiste and Minister for Foreign Affairs and Trade if he will take the lead through funding and diplomacy in Irish Aid's priority countries to guarantee safe spaces for community organisations, leaders and local people to advocate for their rights (details supplied); and if he will make a statement on the matter. [9474/13]

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Robert Troy

Question:

66. Deputy Robert Troy asked the Tánaiste and Minister for Foreign Affairs and Trade if he will take the lead through both funding and diplomacy in Irish Aid's priority countries to guarantee safe spaces for community organisations, leaders and local people to advocate for their rights in view of the details supplied; and if he will make a statement on the matter. [9502/13]

View answer

Written answers

I propose to take Questions Nos. 65 and 66 together.

I welcome the focus of this year’s Trócaire Lenten Campaign on the rights of citizens and community organisations to participate in and influence decisions that affect their lives. Civil society organisations play an important role in bringing citizens together to act collectively and participate in the development of their own countries and communities. They have a strong role to play in demanding better services from the state and holding governments to account.

In some developing countries, civil society organisations have come under increasing pressure in recent years as they seek to play their legitimate role in society. In these countries, dialogue with civil society organisations is limited and the space for civil society engagement remains narrow or is, in some cases, shrinking. This can severely limit the operations and effectiveness of organisations, notably those working on human rights and advocacy.

Ireland has a long tradition of supporting civil society engagement. Through the Government’s aid programme, we work to protect the space in which civil society organisations operate, and to foster an enabling environment for the work. We channel a higher proportion of our development assistance through civil society organisations than other international donors. Of Ireland’s total aid budget of €623 million this year, about a quarter will be channelled through civil society organisations to support their valuable work in, for example, improving access to health care and education, supporting livelihoods, and strengthening accountability, governance and democracy. Trócaire and a number of other organisations, such as Christian Aid and Frontline Defenders, are specifically funded by my Department to promote and facilitate strong civil society engagement across a range of countries.

In Ireland’s nine partner countries, where we have a commitment to long term strategic assistance, we also provide funding to local civil society organisations. This enables their participation at local and national levels of decision-making and their work for the fulfilment of human rights, especially for the most vulnerable. Ireland’s partnerships in these countries are founded on respect for human rights, and we will continue to emphasise in our dialogue with partner governments that it is essential to ensure the role of civil society organisations is enhanced.

Internationally, we have agreed, by signing up to the 2011 Busan Partnership for Effective Development Cooperation, to implement fully our commitments to enable civil society organisations to exercise their role as independent development actors. At the meeting of Development Ministers under the EU Foreign Affairs Council, which I attended in Luxembourg in October last, I gave strong support to new Conclusions on Europe's engagement with civil society. These commit Member States "to support and promote an enabling environment for an independent, pluralistic and active civil society in partner countries". The EU will work to improve our dialogue with civil society organisations on the ground, and to continue close monitoring of legislation, regulations and other restrictions on the operation of civil society organisations in our partner countries.

Ireland’s membership of the UN Human Rights Council presents a valuable opportunity to make a meaningful contribution to the promotion and protection of an enabling environment for civil society. We intend to advance this issue during our term on the Council, building on a successful meeting on consolidating the space for civil society which Ireland organised during the September 2012 Human Rights Council session. Ireland is also championing the UN Universal Periodic Review mechanism which reviews all member states’ human rights records, including the treatment of civil society actors and human rights defenders.

The Government will continue to promote civil society-led initiatives and to support other arrangements at national and international level to promote and monitor an enabling environment for civil society organisations.

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