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Thursday, 27 Mar 2014

Written Answers Nos. 87-95

IDA Staff

Questions (87)

Paudie Coffey

Question:

87. Deputy Paudie Coffey asked the Minister for Jobs, Enterprise and Innovation his plans to appoint an IDA Ireland regional director in Waterford city as was outlined by the DMK economic report on the amalgamation of Waterford city and county councils; and if he will make a statement on the matter. [14533/14]

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Written answers

IDA Ireland is an autonomous agency set up by statute, with a mandate to attract foreign direct investment (FDI) into this country and to support new and existing FDI operations so as to maximise the related industrial employment, output, exports, and economy expenditures including wages and corporation tax contributions. The management and location of IDA Ireland staff is a day to day operational matter for the Agency and not one in which I have a function. I am informed by the Agency that the Regional Business Development Manager for the whole of the South Region, which includes Waterford, is based in Cork. There are 5 IDA personnel based Waterford with client facing and regional responsibilities. These staff work with the existing client base in the South East Region to ensure their ongoing sustainability and growth and facilitate new name client itineraries into the Region. They also work with key stakeholders to ensure that the Region has a competitive and ever improving offering,

The success of this strategy is borne out by the two significant investments won for Waterford during 2013. In February 2013, Sanofi announced plans to invest €44m in Genzyme's biotechnology campus in Waterford. This investment will increase the site's diversity of products and comes on top of a €150m investment a little more than a year previously. The investment ensures that the Waterford facility, which currently employs approximately 500 people, can produce the company's latest products and provides an indication of the Waterford site's value to the company. In March 2013, Nypro Healthcare announced plans to establish an additional state of the art medical devices facility in Waterford. This will result in the creation of over 200 new high quality jobs in the coming years.

Furthermore, in order to improve the offering in the Region to win new business, IDA Ireland has signed contracts for the construction of an advanced manufacturing facility in Waterford. This facility, which will be 2,348 sq metres in area, will be located in the IDA Technology Park at Butlerstown and will be completed by year end. The building design has taken account of the flexibility requirement of potential end users by creating a front of house open plan area with an open plan production area to the rear offering large scale flexibility for either large scale open plan use or the potential to subdivide or introduce cellular spaces. In addition IDA Ireland has rolled out a dedicated digital marketing initiative for inward investment focusing on the South East Region and Waterford (Connect and Invest Waterford). Initiatives such as this can enhance the marketability of the location for investment at a very early stage in a perspective client's decision-making process.

IDA Ireland remains a key supporter of the South East Employment Action Plan which brings together a number of stakeholders in addressing the persistent employment challenges faced in the South East Region.

Enterprise Ireland Funding

Questions (88)

Pearse Doherty

Question:

88. Deputy Pearse Doherty asked the Minister for Jobs, Enterprise and Innovation the State support that has been provided to a company (details supplied) in Ashbourne, County Meath; and if he will make a statement on the matter. [14592/14]

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Written answers

I am informed by Enterprise Ireland that they engage very actively with the company in question and will continue to engage closely with the Senior Management team in Ashbourne. The total funding paid to the company in question by Enterprise Ireland in the past 5 years is €173,560. These supports have focused on Research and Development, and on improving competitiveness.

Enterprise Ireland's support payments to the company in question for the last 5 years are set out in the following tabular statement.

Enterprise Ireland's support payments for the last five years - Client Offer

Amount Paid

R&D Fund (Jan 2009 - Feb 2013)

€58,028

R&D Fund (Jan 2009 - Feb 2013)

€43,398

Innovation Partnerships

€72,134

Employment Support Services

Questions (89)

Pearse Doherty

Question:

89. Deputy Pearse Doherty asked the Minister for Jobs, Enterprise and Innovation the actions he will take with regard to the current unemployment crisis in County Donegal; and if he will make a statement on the matter. [14593/14]

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Written answers

Donegal County Enterprise Board (CEB) has been active in providing supports to micro-enterprises throughout the County. In 2013, the Board approved grant aid for 29 projects, with a value of €577k and an associated potential of 126 jobs. The CEB also ran a range of training and management development programmes with over 870 participants and approved access to mentoring services for over 90 businesses. The latest figures available indicate that there are 2,434 people employed on a full-time and part-time basis in companies supported by the CEB in Co. Donegal. Already in 2014, the Board has run the Annual Donegal Business Week with over 780 participants attending the 19 events held during the week. The week was organised by the CEB in conjunction with Udarás na Gaeltachta, Donegal Local Development Company, WestBic, Letterkenny IT/CoLab and Enterprise Ireland.

As the Deputy will be aware, the CEB will shortly be dissolved and established as a Local Enterprise Office (LEO) within Donegal County Council, as part of the reform of the model of supports for the micro-enterprise sector. The LEO will integrate the business support and enterprise development functions of the Council with an enhanced range of existing CEB functions, such as making it easier to obtain the full support of Revenue, Social Protection, Microfinance Ireland, the Credit Review Office, Skillnets and the Education and Training Boards. This reform will result in the provision of the best possible service to people who have a business idea.

There are 165 Enterprise Ireland client companies in Donegal employing 3,342 people on a full-time and part-time basis. Enterprise Ireland runs many initiatives to help sustain existing jobs and to create new jobs in the region and provides funding to the Institute of Technology in Letterkenny to build the research capabilities in the region. In addition, the Community Enterprise Centres, funded through Enterprise Ireland, are providing enterprise space to cater for micro and small enterprises throughout Donegal. Enterprise Ireland approved over €3.2m in 2013 for companies, entrepreneurs and Third Level institutes in Donegal and to date in 2014, the Agency has made payments of over €281k to companies in Donegal.

There are 13 IDA Ireland-supported companies in Donegal employing 2,381 people in full and part time employment in Software Development, Systems Development and the Medical Technology industry. Donegal's industry base is transforming from the clothing and textile industry into high-tech, high-skill activity and IDA Ireland promotes Donegal as a successful location for high-end manufacturing mainly to companies in the medical technologies sector. In addition IDA Ireland engages with its existing base of companies in Donegal, highlighting the ongoing importance of upskilling/reskilling and the need to add high value activities in order to ensure sustainability and ongoing development.

The Action Plan for Jobs 2014 contains a number of actions to strengthen enterprise development at the regional level. Action 177 mandates my Department and its agencies to develop a framework for a Regional Enterprise Strategy to better integrate and develop new ways of working, further collaborations and enhance the efforts and activities of the Enterprise Development agencies and the other regional stakeholders in building enterprise based on sustainable competitive advantage of the region. Regional towns as the drivers of regional economies will obviously be central to the development of these strategies to further enhance the activities of the agencies and the soon to be established LEO network across the regions.

Departmental Functions

Questions (90, 92)

Brendan Smith

Question:

90. Deputy Brendan Smith asked the Minister for Jobs, Enterprise and Innovation if he will outline the responsibilities of his Department in relation to the work of the Directorate General for Trade of the European Commission; if his Department has lead responsibility for all relevant work and negotiations with the trade Commissioner and his directorate; if he and his Department are the Irish participants in the European Council dealing with trade issues; and if he will make a statement on the matter. [14625/14]

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Brendan Smith

Question:

92. Deputy Brendan Smith asked the Minister for Jobs, Enterprise and Innovation the responsibilities of the trade division of his Department in respect of international trade; the linkages, role and responsibilities his Department has with the World Trade Organisation or other international organisations with trade responsibilities; and if he will make a statement on the matter. [14687/14]

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Written answers

I propose to take Questions Nos. 90 and 92 together.

My Department's trade responsibilities include lead responsibility for the EU Common Commercial Policy and the World Trade Organisation. The EU Common Commercial Policy includes EU third country Bilateral Free Trade and Investment Agreements, other EU trade negotiations within the context of the WTO, and certain EU trade and investment legislation, including anti-dumping and anti-subsidy measures.

Ireland's representation in the EU Foreign Affairs Council (Trade) comes within my remit, and I attend meetings of this formation of the Council of EU Ministers. Officials in my Department or from my Department and seconded to Ireland's Permanent Representation to the EU are responsible for representing Ireland's interests in the EU Trade Policy Committee under the EU Common Commercial Policy, and in other EU Council Working Groups relating to trade matters. My officials also participate in various trade related meetings convened by DG Trade, and in trade related meetings in the OECD. My Department has responsibility for administering the export licensing system in respect of dual-use and military goods governed by EU legislation. My Department is also the competent authority for the trade aspects of EU sanctions.

In light of my responsibility for Enterprise Ireland and IDA Ireland, my Department and has a role in bilateral trade and investment promotion issues, and ongoing with the Department of Foreign Affairs and Trade, the annual programme of trade missions. My Department also manages the compilation and analysis of detailed trade statistics.

In respect of the WTO, officials from my Department seconded to Ireland's Permanent Mission in Geneva attend the various WTO committees and groups and participate in the various EU coordination meetings for each WTO committee and group. Ireland's annual subscription to the WTO which for this year amounts to €1.742m, is paid through my Department's Vote.

Departmental Functions

Questions (91)

Brendan Smith

Question:

91. Deputy Brendan Smith asked the Minister for Jobs, Enterprise and Innovation the number of personnel that were employed in the trade division of his Department prior to March 2011; the number employed in that division at present; the responsibilities of his Department in relation to trade promotion; the responsibilities that have been transferred to the Department of Foreign Affairs and Trade; and if he will make a statement on the matter. [14686/14]

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Written answers

The Trade Division in my Department is made up of Trade Policy Unit, Export Licensing Unit and Bilateral Trade Unit. Prior to March 2011 there were 6 staff members assigned to Bilateral Trade Unit, 3 of these posts have since been transferred to the Department of Foreign Affairs and Trade. The Trade Division now consists of 16.1 (full time equivalent) staff and they deal with bilateral contacts with our export markets and support for trade missions, the range of international bilateral free trade agreements being negotiated by the EU (e.g. with the U.S., Canada, Japan, ASEAN, Latin American and North African countries), negotiations at the World Trade Organisation and export licensing.

Arrangements were made in 2011 for the transfer of responsibility to the Department of Foreign Affairs and Trade of certain trade related functions. These are set out in Statutory Instrument No. 247 of 2011 and include functions relating to the Government strategy for the promotion and development of overseas trade, tourism and investment referred to in Trading and Investing in a Smart Economy – A Strategy and Action Plan for Irish Trade, Tourism and Investment to 2015. They comprise managing and chairing the Export Trade Council (formally the Foreign Trade Council) and convening, chairing, managing and developing Joint Economic Commissions. The Government published a review of this Strategy on 24 February last.

The Export Trade Council (ETC) was established in 2011 in order to strengthen cooperation and coordination across all Government Departments and State agencies involved in the promotion of trade, tourism and inward investment. I am a member of this Council, which is chaired by the Tánaiste and Minister for Foreign Affairs and Trade. Joint Economic Commissions are formal intergovernmental bodies that provide a forum for discussing issues that relate to the development of economic and business cooperation and scientific and technological cooperation.

Export Trade Missions are an essential part of trade promotion. Those relating to trade and investment are for the most part prepared and managed by the development agencies under my Department, such as Enterprise Ireland and IDA Ireland. They support the long term development of target markets for both trade and investment. Trade mission activities are based on the specific requirements of companies and sectors involved as well as, of course, on the target market involved. The objective of each mission, e.g. Trade, Foreign Direct Investment, Education, Innovation etc., influences the form of Ministerial participation, that now frequently involves Ministers from across Government. My aim is to maximise the potential of these events to bring Irish businesses into direct contact with business opportunities abroad, by targeting sectors and countries where there is significant potential.

My Department retains responsibility for Trade Policy including policy within the framework of the EU Common Commercial Policy and the World Trade Organisation. Discussions on free trade agreements, liberalisation of world trade in the context of the WTO or using other avenues to expand opportunities for our exporters are directly linked to the sectoral enterprise and investment policies being developed by my Department and its Agencies.

Question No. 92 answered with Question No. 90.

Employment Support Services

Questions (93)

Terence Flanagan

Question:

93. Deputy Terence Flanagan asked the Minister for Social Protection the measures in place to promote the employment of persons with Down's syndrome; and if she will make a statement on the matter. [14575/14]

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Written answers

My Department provides a range of income and employment supports for people with disabilities. In particular, the Department funds the nationwide EmployAbility service which provides the services of a job-coach for those wishing to avail of employment opportunities. Contact details for the local services are available on the Department's website. In addition, the Department also provides other employment supports, including the Wage Subsidy scheme and Workplace Adaptation Grants.

Mortgage Interest Supplement Scheme Data

Questions (94)

Ciaran Lynch

Question:

94. Deputy Ciarán Lynch asked the Minister for Social Protection the number of persons who have been paid mortgage interest supplement since 2008; the total amount paid in each year; the average payment to each recipient; and if she will make a statement on the matter. [14599/14]

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Written answers

The original purpose of the mortgage interest supplement scheme was to provide short-term support to eligible people who are unable to meet their mortgage interest repayments in respect of a house which is their sole place of residence. The supplement assists with the interest portion of the mortgage repayments only. There are currently approximately 8,900 people in receipt of mortgage interest supplement for which the Government has provided €17.9 million for in 2014.

The Government's strategy to assist those in mortgage difficulty is built around the following measures, as recommended in the 2011 Interdepartmental Mortgage Arrears Working Group (Keane Group), in four main distinct areas:

- Lenders providing sustainable and durable resolution options to their borrowers;

- A social housing response (Mortgage to Rent);

- Comprehensive advice to borrowers;

- Personal Insolvency Reform.

In the context of the overall strategy, the continued payment of mortgage interest supplement does little to assist recipients in improving the long term difficulty in addressing their mortgage problem and provides little incentive for the lender to provide sustainable solutions. The most appropriate way in which customers experiencing mortgage difficulties can be supported is through engagement with their lender under the Mortgage Arrears Resolution Process (MARP) which explores the various options available to the person and provides sustainable solutions.

As part of the fiscal adjustment required for Budget 2014, provision was made for the discontinuation of entitlement to mortgage interest supplement for all new applicants from 1 January 2014. Existing customers are not affected by this measure and may retain entitlement to the scheme, up to 1st January 2018. However, it would be expected that during this four year period, existing customers would no longer require this support through sustainable solutions being put in place with their lenders, securing employment or exit strategies sponsored by the Department of Environment, Community and Local Government, namely the Mortgage to Rent scheme. The number of mortgage interest supplement recipients in payment at the end of each year and expenditure on the scheme from 2008 to 2013 are provided in the following tabular statement. Details on the average payment to recipients are not available.

Mortgage Interest Supplement – Recipients and Expenditure 2008 -2013

Year

Recipients at end year

Cost €000

2008

8,091

27,675

2009

15,101

60,885

2010

17,974

65,615

2011

18,988

67,849

2012

14,597

55,082

2013

9,768

35,049*

*Provisional Outturn Figure

Carer's Allowance Appeals

Questions (95)

Charlie McConalogue

Question:

95. Deputy Charlie McConalogue asked the Minister for Social Protection when a carer's allowance application will be referred to the appeals office in respect of a person (details supplied) in County Donegal; and if she will make a statement on the matter. [14463/14]

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Written answers

The Social Welfare Appeals Office has advised me that an appeal by the person concerned was registered in that office on 16 October 2013. It is a statutory requirement of the appeals process that the relevant papers and comments by or on behalf of the Deciding Officer on the grounds of appeal be sought from the Department of Social Protection. These papers were received in the Social Welfare Appeals Office on 24 March 2014 and the case will be referred to an Appeals Officer who will make a summary decision on the appeal based on documentary evidence presented or, if required, hold an oral hearing.

The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions in relation to social welfare entitlements.

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