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Thursday, 13 Mar 2014

Written Answers Nos. 84-94

School Accommodation

Ceisteanna (84)

Michael Creed

Ceist:

84. Deputy Michael Creed asked the Minister for Education and Skills if a school (details provided) in County Cork which secured an additional mainstream teacher in September 2013 was provided with or is entitled to any assistance towards the cost of classroom accommodation for this teacher; and if he will make a statement on the matter. [12752/14]

Amharc ar fhreagra

Freagraí scríofa

My Department is not in receipt of an application in respect of additional accommodation from the school referred to by the Deputy. It is open to the school authorities to apply to my Department for additional accommodation by completing the application form which is available on my Department's website at www.education.gov.ie.

Flood Prevention Measures

Ceisteanna (85)

Pat Deering

Ceist:

85. Deputy Pat Deering asked the Minister for Public Expenditure and Reform following the recent heavy rainfall and subsequent swelling and overflowing of many rivers, if he will consider a flood alleviation scheme and the necessary funding required to allow limited dredging of the Rivers Barrow and Slaney. [12472/14]

Amharc ar fhreagra

Freagraí scríofa

The core strategy for addressing flood risk in the catchments of the Rivers Barrow and Slaney is the South Eastern Catchment Flood Risk Assessment & Management (CFRAM) Study. The CFRAM Programme, currently being undertaken by the Office of Public Works (OPW) with its technical consultants, and in partnership with local authorities and other stakeholders, entails comprehensive studies of all the principal factors influencing flood risk in the main river catchments in the country. Under the Programme, following public consultation, detailed flood maps are produced and flood risk management measures, (including dredging if appropriate) are assessed and taken to outline design. These measures will be prioritised and set out in a Flood Risk Management Plan. More information on the Programme is available on www.cfram.ie.

The South Eastern CFRAM Study is being conducted by RPS Consulting Engineers on behalf of the OPW and I am advised that good progress is being made on the project. The output of this important project will be an integrated plan of specific measures to address, in a comprehensive and sustainable way, the significant flood risk factors in the South Eastern region. Under the Study, work on Draft Flood Maps will be finalised during 2014 and Flood Risk Management Plans are due to be finalised in 2015. Further information on the Study is available on the project website www.southeastcframstudy.ie.

The River Slaney (Enniscorthy) Flood Relief Scheme is being progressed by Wexford County Council, with funding and advice as appropriate from the OPW. There will be an element of dredging in this scheme over a distance of approx 1.8km, beginning 0.9km upstream of the railway bridge and proceeding downstream through the town. It should be noted that not all sections of the riverbed in this area will require dredging, as some of it is already below the required bed level. In the areas that do require dredging, the additional depth gained will vary from 0.25m to 0.5m, depending on location.

Coastal Protection

Ceisteanna (86)

Michael Healy-Rae

Ceist:

86. Deputy Michael Healy-Rae asked the Minister for Public Expenditure and Reform if he will provide a timeframe for when additional funding will be provided for coastal protection works (details supplied) in County Kerry; and if he will make a statement on the matter. [12467/14]

Amharc ar fhreagra

Freagraí scríofa

The Government decided on 11 February 2014 to make available up to €69.5 million (based on estimates provided by the local authorities concerned) for a programme of repair and remediation works to roads, coastal protection and flood defence and other public infrastructure damaged in the storms from 13 December 2013 to 6 January 2014. Of the total amount being made available up to €19.6 million is available via the Office of Public Works for the repair of damaged coastal protection and flood defence infrastructure.

The Department of the Environment, Community and Local Government wrote to Kerry County Council on 27 February, 2014 indicating that, based on the estimates submitted by the Council to that Department, an amount of up to €2,699,991 is being made available to the Council to undertake the necessary repairs works. Of that total, an amount of €1,226,920 is available via the OPW in respect of the cost of repairs to damaged coastal protection and flood defence infrastructure in the county.

Kerry County Council must submit a programme of works to the Department of the Environment, Community and Local Government indicating how it proposes to spend the overall allocation that is being made available to it. The Council has also submitted applications for funding to the OPW in respect of the coastal protection and flood defence repair works it proposes to undertake including at the location referred to by the Deputy. These applications have been reviewed by the OPW which wrote to the Council on 11 March 2014 in relation to the matter.

Semi-State Bodies Funding

Ceisteanna (87)

Pearse Doherty

Ceist:

87. Deputy Pearse Doherty asked the Minister for Public Expenditure and Reform the number of equity investments he has made in State-owned companies since March 2011; and the number he plans to make in 2014. [12527/14]

Amharc ar fhreagra

Freagraí scríofa

There has been no equity injection into any Commercial semi-State company from March 2011 to the present. As my colleague, the Minister for Finance, indicated in response to an identical question on 6 March 2014 [11206/14], the Budget arithmetic for 2014 provides for a €240m equity injection into Irish Water, to be paid from the Central Fund.

Job Retention

Ceisteanna (88, 91)

Finian McGrath

Ceist:

88. Deputy Finian McGrath asked the Minister for Jobs, Enterprise and Innovation if he will support the staff and jobs at a company (details supplied). [12530/14]

Amharc ar fhreagra

Finian McGrath

Ceist:

91. Deputy Finian McGrath asked the Minister for Jobs, Enterprise and Innovation if he will support the retention of 700 jobs at a company (details supplied). [12635/14]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 88 and 91 together.

I understand in the case of Staunton sports that the Examiner is currently in the process of engaging with various parties who have expressed an interest in the business, including the Management Team, and as part of the process has requested proposals from each of the parties as to their plans for the business and the employees of the company. The Examiner has not yet concluded this process. It should be noted that as Examinership is a judicial process, I have no function as Minister.

Examinership is the main debt restructuring system for companies in Ireland and has been in existence since 1990. Examinership allows for the rescue of companies that find themselves insolvent but have the potential to return to financial viability and continue in operation into the future. The key feature of the process is a period of court protection, lasting up to 100 days, during which no one may institute proceedings against the company or petition for the company to be wound up. The Examiner uses this time to devise a scheme of arrangement, in consultation with creditors, the company management, potential investors and any other parties that would be affected by that scheme. The scheme of arrangement is then put to the court. If a majority of the company’s creditors agree and the court approves, it becomes binding.

I believe that Examinership is a good option for companies that have real prospects for the future but find themselves in financial difficulty at a point in time. It is also a balanced procedure, taking into account both the interests of the ailing company and the rights of the creditors, and giving the courts a role in ensuring a fair and appropriate outcome. For that reason, the Oireachtas enacted the Companies (Miscellaneous Provisions) Act 2013 late last year, to allow small private companies to apply for Examinership directly in the Circuit Court, rather than having to go first to the High Court. I hope that this will make Examinership an option for more companies in the future. In the meantime, I am keeping the law on Examinership under review to identify if there are any other ways in which we can make it less costly.

Microenterprise Loan Fund Expenditure

Ceisteanna (89)

John McGuinness

Ceist:

89. Deputy John McGuinness asked the Minister for Jobs, Enterprise and Innovation the set-up and running costs of Microfinance Ireland; the amount Microfinance Ireland has lent to business to date and on an annualised basis; the amount of income Microfinance Ireland has generated since its inception; if value for money has been achieved for the taxpayer; and if he will make a statement on the matter. [12547/14]

Amharc ar fhreagra

Freagraí scríofa

Microfinance Ireland (MFI) was established by the Oireachtas pursuant to the Microenterprise Loan Fund Act 2012, as a private limited company, and a subsidiary of Social Finance Foundation. Under section 5 of this Act I was required to make a grant of €10 million to MFI out of moneys provided by the Oireachtas. Section 21 of this Act sets out the provisions in relation to annual accounts and auditing by the Comptroller and Auditor General and section 22 sets out the provisions in relation to the annual report.

The annual report for 2012, the year that MFI was set up can be found on my Department’s website: www.enterprise.gov.ie or on MFI’s website: www.microfinanceireland.ie. This report details the costs of operating MFI in 2012 which amounted to €207,000 of which €115,000 related to staff costs, €38,000 related to marketing and promotional costs and €39,000 related to administration and financial costs, including some once-off legal and consulting costs associated with start-up. In addition, in 2012 MFI reimbursed €278,000 in costs to its parent company Social Finance Foundation. These costs relate to the Microfinance project during the period August 2011 and October 2012 and were once-off and have been accounted for as an exceptional item in the 2012 MFI accounts. The accounts for 2012 show income of €37,000, which was interest receivable from banks.

The 2013 accounts will be audited and published in 2014 in accordance with the requirements of the Microenterprise Loan Fund Act 2012. To year-end 31 December 2013 €2.159 million has been approved to 137 microenterprises supporting 310 jobs. My Department publishes quarterly reports on the progress of Microfinance Ireland on its website www.enterprise.gov.ie. The 4th quarter progress report for MFI showing detailed breakdown of lending in each county and other analyses for year ending 31 December 2013 is available on my Department’s website.

In terms of value for money I am advised by MFI that when the exceptional/set up costs are excluded the cost per job as at 31 December 2013 is €3,100. This key ratio has decreased from €3,420 at 30 September 2013. This measure does not take account of cost avoided by the Exchequer or Exchequer receipts that may accrue as a result of each job. MFI intends to continue to drive down this indicator over time as awareness and demand increases.

IDA Portfolio

Ceisteanna (90)

Éamon Ó Cuív

Ceist:

90. Deputy Éamon Ó Cuív asked the Minister for Jobs, Enterprise and Innovation the amount of land holdings and industrial estates and parks held by the Industrial Development Agency outside the gateway cities, the hub towns and their immediate environs; his views on whether IDA Ireland is the appropriate agency to be promoting these locations; if it would be more appropriate for these to be managed by another entity such as the Western Development Commission, Enterprise Ireland or the local authorities; and if he will make a statement on the matter. [12613/14]

Amharc ar fhreagra

Freagraí scríofa

Details of the land holdings of IDA Ireland outside of the gateway cities and hub towns are set out in the attached tabular statement. IDA Ireland also provides property solutions to companies who are clients of Enterprise Ireland. Under the Industrial Development legislation, IDA Ireland is independent in the exercise of its property function. The empirical results of international research has demonstrated that the availability of suitable property solutions is a key element in the location decision making process undertaken by prospective investors in determining where projects will locate. Most international development agencies with which IDA competes hold substantial stocks of such properties.

As part of the restructuring of Shannon Development, the enterprise support functions have transferred to IDA Ireland and Enterprise Ireland. IDA Ireland is assuming responsibility for FDI companies in the Shannon Free Zone. Part of the restructuring will also result in IDA purchasing lands in the National Technology Park in Limerick and the Raheen Business & Technology Park from Shannon Development.

In recent years IDA Ireland has taken the decision to rationalise its non-core land holdings in a number of locations throughout the country. Land holdings are initially offered to Local Authorities and recent examples of rationalisation of IDA Ireland non-core lands completed include the transfer of lands to Roscommon County Council, Donegal County Council, Wicklow County Council and South Dublin County Council. In addition, current transfers in legal process include Cork County Council, Leitrim County Council, Wexford County Council and discussions are ongoing with Galway County Council, Sligo County Council, Dún Laoghaire Rathdown County Council and Kilkenny County Council. The Agency has explained that non-core lands which are not required by the Local Authorities are placed on the Open Market for disposal.

IDA Ireland also markets non-core lands and properties directly to stakeholders including; OPW, HSE, Chambers of Commerce, An Post and other similar bodies through active engagement in sharing portfolio information with common objectives. IDA Ireland constantly keeps its property portfolio under review and of course the matter will again be reviewed in the context of the work currently being undertaken on the preparation of a new strategy for the Agency from 2015 onwards.

Table shows IDA Ireland’s land holdings, industrial estates and parks held outside the Gateway cities and hub towns

County

Property Name

Property Type

Net Hectares

Carlow

Bagenalstown

Land

0.1555

Donegal

Donegal Lurganboy

Land

0.872

Kerry

Killorglin Farrantoreen

Land

0.8224

Kerry

Dingle

Land

0.5059

Kildare

Newbridge Business Park

Land

3.5385

Kildare

Naas Tipper West

Land

1.733

Kildare

Athy Woodstock

Land

1.7183

Laois

Portlaoise B&T Park

Land

10.9868

Leitrim

Carrick-On-Shannon Bus. Park

Land

7.72

Leitrim

Drumshanbo

Land

0.2238

Leitrim

Manorhamilton Carrickleitrim

Land

0.4208

Longford

Longford -- Aghafad

Land

2.0272

Longford

Longford Industrial Estate

Land

1.0176

Louth

Greenore

Land

0.0272

Louth

Marleys Lane, Drogheda

Land

0.0056

Louth

Drogheda B&T Park

Land

23.0626

Mayo

Ballina Business Park

Land

2.07

Mayo

Bangor Erris Industrial Park

Land

0.607

Mayo

Foxford Business Park

Land

0.6798

Meath

Navan B&T Park

Land

27.16

Offaly

Clara

Land

0.4872

Roscommon

Roscommon B&T Park

Land

7.4991

Roscommon

Castlerea Station Rd

Land

1.1735

Roscommon

Carrick-On-Shannon Tullyleague

Land

1.633

Tipperary So

Tipperary Knockanrawley

Land

3.16

Tipperary So

Clonmel Bus Park

Land

20.071

Wicklow

Bray Oldcourt

Land

0.0424

Wicklow

Arklow Kilbride

Land

0.1197

Wicklow

Greystones B&T Park

Land

17.93

Wicklow

Bray B&T Park

Land

0.0347

Wicklow

Arklow B&T Pk

Land

14.834

Question No. 91 answered with Question No. 88.

Foreign Direct Investment

Ceisteanna (92)

Bernard Durkan

Ceist:

92. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which ongoing trade missions continue to succeed in attracting foreign direct investment to this country; the estimated number of jobs created arising therefrom in the past 12 months; and if he will make a statement on the matter. [12689/14]

Amharc ar fhreagra

Freagraí scríofa

I have undertaken a significant number of foreign direct investment missions with IDA Ireland, export-focussed trade missions with Enterprise Ireland and joint trade and investment missions with both agencies since taking office in March 2011. The foreign direct investment missions arranged by IDA Ireland typically involve meeting with Chairpersons, CEOs and other senior executives of leading companies, across all sectors. Some of the companies which I met during 2013 already had substantial and valuable activities in Ireland and those meetings focussed on retaining, expanding and further embedding their presence here. For companies who do not have a presence in Ireland, the focus was to underpin Ireland as a location for the proposed investment against intense competition from other locations around the world. In addition to the foreign direct investment missions organised by IDA Ireland, Enterprise Ireland organises a series of targeted international trade missions, focussed on assisting Irish firms target and secure international contracts and overseas partners.

Both agencies see the Ministerial-led missions as key marketing tools. They provide, at first hand, an opportunity for the Minister to reinforce the Irish Government’s commitment to both foreign direct investment and export-led growth. In the case of both foreign direct investment missions and trade missions, it is not possible to establish a direct relationship between the number of jobs created or investment secured in any one year to the discussions/marketing undertaken in that year. However, the positive impact of our overseas activity can be seen in the overall jobs statistics for agency client companies in 2013. IDA client companies created a total of 13,367 jobs during 2013. The net number of new jobs created at 7,071 represented the fourth consecutive year of growth in net employment, while the total number of persons employed in IDA client companies stands at a historical high of 161,112. In 2013 Enterprise Ireland client company employment totalled more than 175,000 on a full and part time basis, representing a growth of 5,442 jobs in the year.

The importance of our overseas activity has been highlighted in the 2014 Action Plan for Jobs by the inclusion of a new Disruptive Reform entitled Winning Abroad. Under the Action Plan, the Government will: Target the creation of an additional 10,000 new jobs (6000 direct and 4000 indirect) over 5 years through an investment programme which will see the provision of additional resources to IDA Ireland to be deployed overseas including in emerging markets, intensifying FDI employment growth; Increase support for companies seeking to trade internationally, through the provision of additional on-the-ground support by Enterprise Ireland in overseas markets including China, South Korea, United Arab Emirates and South Africa. This will also include targeting 650 companies to have significant engagement with the Enterprise Ireland potential exporters division, working with 55 first time exporters and providing a range of programmes to exporters in 2014; Develop the capabilities of Irish enterprises to grow exports through programmes aimed at both existing exporters and potential exporters; Promote Ireland’s image abroad to drive increased trade, tourism and investment and implement Local Market Plans in priority markets; and undertake targeted initiatives in sectors including international education services, engineering services and cultural services and design.

Job Creation Data

Ceisteanna (93)

Bernard Durkan

Ceist:

93. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the total number of jobs created in the services sector in each of the past three years to date; and if he will make a statement on the matter. [12691/14]

Amharc ar fhreagra

Freagraí scríofa

The Quarterly National Household Survey (QNHS), which is published by the Central Statistics Office, provides a breakdown of employment by economic sector. It also groups these sectors into the broad headings of Agriculture, Forestry & Fishing, Industry (including construction), and Services.

The latest Survey was published on 27 February, and shows that there were just over 1.9 million people in employment in Quarter 4 2013. The breakdown of this figure by broad economic sector is provided at Table 1, which also includes comparable figures for Quarter 4 2011 and Quarter 4 2012. The figures show that employment in the Services sector grew by 3,000 year-on-year in 2012 and by 29,300 year-on-year in 2013. This is in spite of reductions in public sector numbers, many of which are included in the Services category. Employment in the public sector fell by 15,300 over the period from Quarter 4 2011 to Quarter 4 2013.

The services sector is clearly a major employer in the Irish economy. The Government has focused on supporting a number of services industries through the Action Plan for Jobs process, including International Financial Services, Business Process Outsourcing/Shared Services, International Education Services, Tourism, and ICT Services. The 2014 Action Plan, which was published at the end of February, also places a new emphasis on supporting job creation in Retail, Aviation services and Creative services.

Table 1 - Employment by broad economic sector, Q4 2011- Q4 2013

Economic sector

Q4 2011

(,000)

Q4 2012

(,000)

Q4 2013

(,000)

Agriculture, Forestry & Fishing

80.3

90.0

116.8

Industry (incl. Construction)

352.4

340.4

347.2

Services

1,412.3

1,415.3

1,444.6

Not stated

2.7

3.2

-

Total

1,847.7

1,848.9

1,909.8

Source: QNHS, Quarter 4 2013, Central Statistics Office

Job Creation Data

Ceisteanna (94, 97, 100)

Bernard Durkan

Ceist:

94. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the number of manufacturing jobs created indigenously in each of the past three years to date emanating from small and medium-sized enterprises or inward investment respectively; and if he will make a statement on the matter. [12692/14]

Amharc ar fhreagra

Bernard Durkan

Ceist:

97. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which his Department continues to monitor costs affecting retention and creation of jobs in both manufacturing and services sectors here; and if he will make a statement on the matter. [12695/14]

Amharc ar fhreagra

Bernard Durkan

Ceist:

100. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the total number of jobs in both the manufacturing and services sectors created in County Kildare in each of the past three years to date; and if he will make a statement on the matter. [12698/14]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 94, 97 and 100 together.

The manufacturing sector had lost 50,000 jobs in the years up to 2010. However, the sector has seen a modest return to growth in employment over the last few years, with an additional 8,000 jobs having been created in the last year alone. In relation to overall employment in the manufacturing sector, when account is taken of indirect jobs, the sector now supports over 400,000 employees. It is not possible to give a breakdown of manufacturing job numbers created nationally in the very specific format requested by the Deputy. The Forfás Strategy for the Manufacturing Sector, which I commissioned and which was launched in April last, identified that an additional 20,000 jobs can be created in the sector by 2016. A complementary report was also published in relation to skills needs by the Expert Group on Future Skills Needs and Forfás.

Arising from the Manufacturing Strategy and the Skills Report, there are now a range of initiatives in hand by my Department and relevant Agencies to drive the 2016 target, with key actions from both reports having been incorporated into the series of Action Plans for Jobs. One of the key actions is to deliver a National Step Change initiative to strengthen Ireland’s manufacturing base across all firms engaged in manufacturing i.e. small and medium-sized firms and larger multi-nationals, particularly in higher-value sub sectors such as chemicals, pharmaceuticals, medical devices and food.

The services sector accounts for two-thirds of total employment in Ireland. While many of these firms are not in receipt of State support, in respect of those that are, there has been a positive trend in job creation recently with 6,372 new full-time services jobs being created by enterprise agency supported companies since 2012. In relation to the indigenous sector, Enterprise Ireland client companies created 18,033 new jobs in 2013, a net increase of 5,442 jobs. Indigenous companies like these account for more than 300,000 jobs in the economy which equates to about 15% of the total workforce.

Regarding the position on costs generally, the 2014 Action Plan for Jobs places a particular focus on improving competitiveness in all areas of economic activity and contains a range of specific measures which will deliver further improvements in our international competitiveness performance. These measures include the regular monitoring of competitiveness issues by the Cabinet Committee on Economic Recovery and Jobs, which will consider specific initiatives to make it easier to do business in Ireland. The Government will receive a report from the Cabinet Committee on a quarterly basis on these issues. Other competitiveness measures in the Action Plan for Jobs cover improving cost competitiveness, supporting competitive regions, aligning skills with enterprise needs and using research and innovation to drive job creation.

In relation to jobs created in County Kildare in the manufacturing and services sectors over the last three years, such data is not readily available. However, non sector-specific details of jobs created and lost by Enterprise Ireland, IDA Ireland and the County Enterprise Board, in each individual county, over recent years, were supplied by me in the reply to Parliamentary Question 47719/13 dated 12 November 2013, to which I would again refer the Deputy. This data obviously excludes jobs created outside the remit of the Enterprise Agencies. I am confident that the measures currently underway will help develop and grow both the manufacturing and services sectors in Ireland which, in turn, will lead to sustainable employment and a reduction in the live register.

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