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Dáil Éireann díospóireacht -
Tuesday, 4 Apr 2000

Vol. 517 No. 3

Priority Questions. - Western Investment Fund.

Michael Ring

Ceist:

10 Mr. Ring asked the Minister for Agriculture, Food and Rural Development the progress, if any, made with the EU on approval for the Western Development Commission and the western investment fund; the number of projects which have applied for assistance from the commission pending EU approval; and if he will make a statement on the matter. [9613/00]

The western investment fund is considered to constitute a form of State aid and it, therefore, requires the prior approval of the European Commission for its operation. My Department has been in correspondence and discussion with the European Commission since June of last year when a formal request for the appropriate approval was lodged. The Western Development Commission has given every support and assistance to my Department in submitting a case and in responding to requests for clarification.

When I met Commissioner Fischler in December, I took the opportunity to express my concern at the time being taken by the European Commission in considering the request. I also brought the matter to the attention of Commissioner Byrne and the Government's unhappiness with the slow progress has been communicated to President Prodi's office. Every effort is being made to resolve the matter and to allow the western investment fund to come on stream.

I am advised there is a good prospect of receiving a favourable decision from the European Commission next week. I am advised by the Western Development Commission that it has 100 inquiries on hand regarding possible assistance from the fund. Some of these would be fully detailed projects capable of being evaluated for aid purposes. I expect any projects on hand will be fully considered and adjudicated on once the fund is operational.

The Government is fully committed to the western investment fund. Provision of £25 million has been made in the national development plan for this purpose and £5 million is included for it in the budget for my Department for the year 2000.

Has the Minister personally met the Commissioner since Christmas and, if so, when? There is outrage in the west. We have had the fanfare of the Ministers and the Taoiseach taking the first Cabinet meeting out of Dublin to Dillon House, Ballaghaderreen. Following that circus funding for the Western Development Commission is still not in place.

As stated in my reply we met the Commissioner before Christmas. Last Friday we met Commissioner Byrne and Commissioner Fischler and we have been in constant contact. There has been a series of queries. We first wrote to them on 15 June. We sought further information and clarification on 11 August and 15 October. Representatives of this Department and the Western Development Commission met the relevant DG4 at their invitation in Brussels on 19 November to clear any issues. Arising from this a further letter from the European Commission issued on 7 December. Despite this no formal response was received until 9 February 2000 when further clarification was sought from the EU. These queries were replied to on 11 February. Following our informal contacts we hope a decision will be made by 12 April.

I met both Commissioners last week because I was also present at the function. If I had an urgent request and the officials in the Department were not dealing with it, I would make it my business to visit either Minister of State or the Minister. Why has not the Minister of State and his Department – there is no point in speaking to Commissioner Fischler as he has no responsibility in this area – taken this matter seriously? It is not that we do not have enough Ministers going to Brussels on a regular basis. Why could not one of the three Ministers go to Brussels to have the problem ironed out given that there are 100 inquiries on hand regarding assistance from this fund? For the past number of years since the Western Development Commission was announced we have been told regularly that the funds will be put in place. I am listening to announcements about the provision of the £25 million and the £5 million for the past three years. When will this fund be up and running and when will it be possible to draw down money from this fund?

The Deputy's memory is gone. It is only in the past year and a half that he has heard the announcements about the provision of funds. The legislation was introduced and the money has been put aside for it in the national development plan. The frustration felt by the Western Development Commission is also felt by us in dealing with these matters. The queries have been raised again and again. Because the western investment fund is seen as a form of State aid it is causing us serious problems, including that of the time of officials. I wish to correct the Deputy on one point. I have never seen officials from either the Department of Enterprise and Employment or my own Department spend so much time in Brussels, e.mailing, faxing and in discussions with the European Commission. I resent any implication that they did not do their job.

I do not blame the officials but rather the Minister of State who has responsibility. The Minister of State should have been in Brussels regularly with a view to getting this fund up and running. As the the old saying goes, live horse and get grass. There are many people with good projects in the west, in a disadvantaged area, waiting for the funds to be put in place. I shall table this question in a month by which time I hope the Minister of State will have met the Commissioner with responsibility in this area and that there will be a positive response, not faxes, e.mails or the Internet. I ask the Minister of State or the Minister to go to Brussels to have this matter dealt with. I am sick and tired of EU regulations when people in the west cannot make a living. While the Government has said a fund is in place we cannot get any money from it.

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