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Dáil Éireann díospóireacht -
Tuesday, 18 Jun 2002

Vol. 553 No. 2

Written Answers. - Regional Development.

Joe Sherlock

Ceist:

119 Mr. Sherlock asked the Tánaiste and Minister for Enterprise, Trade and Employment, in regard to the commitment given in An Agreed Programme for Government, the specific steps which will be taken to encourage a better spread of jobs throughout the country; and if she will make a statement on the matter. [13647/02]

The commitment in the programme for Government to encourage a better spread of jobs throughout the country is underpinned by the provisions also contained in the programme relating to ensuring balanced regional development. This chapter sets out an extensive list of policy initiatives which will be pursued in the coming period.

The relative position of regions, in terms of employment and other variables such as GDP per head, is a very significant determinant of policy, both at EU and national level. These factors determine the focus of policy on matters such as EU Structural Funds and State Aid to enterprise. For example, the maximum approved rate of grants to support new investment in manufacturing and internationally traded service industry in the period 2000 to 2006 for large firms is 40% in the Border, midland and western region and 17.5% in Dublin. The rate in the other four regions in Ireland is currently around 30% and will be around 20% for the period 2004 to 2006.

Regional emphasis is a strong feature of the various programmes adopted under the National Development Plan 2000-2006 and carried out through the Structural Fund Operational Programmes for that period. It is underpinned by the stronger regional emphasis which has been introduced into the work of agencies such as IDA and Enterprise Ireland. The IDA is committed to delivering half of all new greenfield jobs into the BMW region in the coming years, an objective which it is on target to achieve in the period to 2003.

In 2002 Enterprise Ireland aims to commit in excess of 30% of its financial supports to projects in the BMW region. In supporting the provision of incubator space in the institutes of technology, Enterprise Ireland has recently committed over €14 million to six colleges in the southern and eastern region and €7.9 million to four in the BMW area. Both agencies have re-focused their resources on regions outside Dublin, and particular account is taken of the needs of the regions in matters such as transport, roads and telecommunications infrastructure.

Regional development will continue to be a strong focus of policy. This will be facilitated by the completion of the national spatial strategy which is under way at present. Regional impact will also be one of the main factors to be considered in the mid-term review of the Operational Programmes for 2000 to 2006, to be carried out in 2003.
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