asked the Minister for the Marine the plans there are to ensure that the Aughinish plant, County Limerick, and the Moneypoint plant, County Clare, are supplied at least in part by ships flying the Irish flag.
117.
Written Answers. - Irish Merchant Fleet.
115.
asked the Minister for the Marine if he will outline his policy for securing an increase in the strength of the Irish merchant fleet.
118.
asked the Minister for the Marine the numbers employed in Irish flag merchant vessels for each year from 1980 to 1989 inclusive.
I propose to take Questions Nos. 115, 117 and 118 together.
I should like to point out that a major package of incentives designed to promote investment in the expansion and renewal of the Irish merchant fleet was introduced in 1987.
The Shipping Investment Grants Act, 1987, provided that grants of up to 25 per cent may be made to Irish shipowners towards capital expenditure incurred in the purchase of new or second hand vessels of less than seven years old. The response of the industry to the package has been generally positive. To date grant-aid of £2.06 million has been paid in respect of the purchase of four new ships of 1,750 DWT (deadweight tonnes) each. In addition grant-aid of up to £1.1 million has been committed towards the purchase of two refrigerated ("reefer") vessels — the first such vessels to form part of the Irish registered fleet.
Additionally, a number of fiscal incentives have been introduced under the 1987 Finance Act. These include a reduction in the level of corporation profit tax payable by Irish shipping companies from 50 per cent to 10 per cent in recognition of the importance of shipping to the economy. Shipping companies, moreover, are now eligible to avail of the investment potential of the Business Expansion Scheme (BES). Two vessels have recently been acquired with BES funding.
The National Development Corporation (NADCORP), in addition, can now invest in shipping projects provided they are likely to be viable and yield a satisfactory return. Furthermore, the Industrial Development Authority may also assist shipping related service projects (e.g. ship management-consultancy services).
These measures are an indication of the importance which the Government attaches to the Irish shipping industry in the context of the challenges which it is likely to face with the imminent completion of the single market.
The numbers employed in the Irish merchant fleet follow. Figures are available in respect of the years 1980-87 only, while that in relation to 1987 is an estimate:
|
Year |
Number |
|
1980 |
1,871 |
|
1981 |
2,007 |
|
1982 |
1,764 |
|
1983 |
1,652 |
|
1984 |
1,379 |
|
1985 |
1,381 |
|
1986 |
1,077 |
|
1987 |
980 |
The placing of contracts for the carriage of coal to the ESB Moneypoint plant, County Clare and alumina to the Aughinish plant, County Limerick, are operational matters for the companies concerned. While this is the case the Government would certainly encourage Irish shipowners to submit competitive tenders for this business.