As the Deputy is aware Ireland negotiated the splitting of the country into two regions for the 2000 to 2006 period – an Objective One region, the Border, midlands and western region, and an Objective One region in transition, the south and east region. The new Objective One scheme for the 2000 to 2006 period is the promotion of the development and structural adjustment of regions whose development is lagging behind. The designation of the BMW region as a full Objective One region for the current programming period brings a number of advantages to County Donegal and the north-west region in general.
The fact that the EU Structural Funds contribution is in general 75% of co-financed expenditure in the Objective One region compared to 50% in the Objective One region in transition is an incentive to public investment in the north-west region. This is reflected in the €1.7 billion programme under the national development plan in respect of the marine and natural resources sectors. The total EU structural funds contribution towards this investment is €485 million of which €340 million, or 70%, has been earmarked for the BMW region. The main beneficiaries of these preferential investment levels and aid rates in the north-west region will be aquaculture, woodlands, forestry harvesters, fishery harbour infrastructure and the sea fishing sector.
The advantages to the north-west region of Objective One designation are not confined to EU co-financed investment programmes. The Government's objective of achieving more balanced regional development is also reflected in the targeting of a proportion of investment under all programmes, including non EU co-financed programmes, to the BMW region. In the case of marine and natural resources NDP programmes €863 million or 51% of total investment is earmarked for the BMW region. The following table, at Annex I, gives details in this regard. It also provides examples of specific projects in County Donegal which have benefited to date from investment under the NDP.
Annex I
Forecasted and actual investment in the BMW region under marine and natural resources programmes of the National Development Plan 2000-2006