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Dáil Éireann díospóireacht -
Thursday, 16 May 1991

Vol. 408 No. 6

Ceisteanna—Questions. Oral Answers. - Shipping Sector Grant Scheme.

Ivan Yates

Ceist:

3 Mr. Yates asked the Minister for the Marine if he will outline the changes in the grant scheme for the Irish shipping sector, as operated in 1991, as against the position in 1990.

There has been no change as regards the operation of the shipping investment grants scheme.

The Deputy should note that as a result of the measures taken by this Government over the past four years, the Irish fleet has grown from less than 143,000 to 190,300 deadweight tons. This represents an increase in fleet capacity of more than a third. Over the same period the number of vessels under the Irish flag increased by more than 20 per cent from 68 to 82. It is estimated that over this period total investment in shipping capacity arising directly from State incentives amounted to more than £28 million. The Deputy should also note that under the Shipping Investment Grants Act, vessels of up to seven years old may be grant aided. The Deputy may also be aware of the fact that Community support is being sought towards reducing the additional transport costs which result from our peripherality.

Is the Minister aware that the money provided for under this grants scheme has been cut by almost two thirds from last year from £1.34 million to £0.5 million? Is he aware that this combined with the abolition of the business expansion scheme for the shipping sector flies in the face of the promises made by his party in the election of 1987 to develop this sector? Is he further aware this is a time of rising prices for ships and that we have an ageing fleet? In view of those circumstances and the hypocrisy of our position in applying for EC grant aid for ships and reducing the grant aid available here, will he make sure adequate resources will be made available this year for a proper shipping grant scheme?

There is a serious logical flaw in what the Deputy has said. We committed ourselves to the development of this area in 1987. I have put on the record of the House this Government's considerable achievement in increasing the tonnage since 1987.

They scrapped the grants.

I will not be shouted down by Deputy Yates or by anybody else.

Am I wrong?

As I mentioned, we have increased our tonnage from 143,000 to 190,300 in that period which to my mind is a fulfilment of the promise made in 1987.

They sabotaged the scheme.

I regret to say the time for dealing with priority questions is now exhausted. We must proceed to other questions.

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