Written Answers Nos. 272 - 293
272. Deputy Joe Carey asked the Minister for Public Expenditure and Reform further to a Topical Issue debate of 3 December 2014 on a project (details supplied) in County Clare, if the tendering process is completed; if the tender has been awarded; the reason for the delay in commencing work; when is it envisaged that work will commence; the contract duration; and if he will make a statement on the matter. [25802/15]
Amharc ar fhreagraThe Ennis South Flood Relief Scheme is being progressed by Clare County Council (CCC) as the contracting authority under its powers, and with funding and advice as appropriate from the Office of Public Works (OPW).
I am informed that CCC has been engaging constructively with landowners affected by the proposed scheme and while these discussions have taken somewhat longer than anticipated, I understand that the Council is hopeful that the remaining issues will be finalised shortly. CCC will then be in a position to issue the tender documents to a number of pre-qualified contractors. I am informed that the Council hopes to conclude the tender process this year and to be in a position to appoint a contractor and commence works in quarter 1 of 2016.
The OPW remains committed to the progression of the works, and provision has been included in its multi-annual capital funding programme to this end.
273. Deputy Jerry Buttimer asked the Minister for Public Expenditure and Reform if he will consider extending the scope of Circular 51/1979, leave from State employment for members of the Reserve Defence Force, to include all State bodies, including the Health Information and Quality Authority, which were established after the circular; and if he will make a statement on the matter. [25984/15]
Amharc ar fhreagraAs part of my responsibilities as Minister for Public Expenditure and Reform, I have overarching responsibility for the terms and conditions of employment of public servants. However, specific policies relating to special leave from employment for public servants - other than civil servants - are dealt with on a sectoral basis by the appropriate responsible minister. This approach has been adopted so that any such arrangements can be designed to take account of human resource requirements in individual sectors of the public service.
The Circular referred to in the Deputy's question provides for special leave for members of the Reserve Defence Forces who are civil servants. It is a matter for other relevant Ministers to determine the arrangements for special leave for members of the Reserve Defence Force for their own sectors. In the case of the public body referred to in the Deputy's question, this is a matter to be considered by the Minister for Health.
274. Deputy Billy Kelleher asked the Minister for Public Expenditure and Reform the procedures in place and the processes that should be followed by persons wishing to bring a complaint against the Office of the Ombudsman. [26072/15]
Amharc ar fhreagraThe Ombudsman Act 1980 established the Office of the Ombudsman and provided a legislative mandate for the Ombudsman to monitor administrative accountability by ensuring that public service activities are carried out properly, fairly and in accordance with good administrative practice.
The Ombudsman is independent of Government and is appointed by the President. The Ombudsman is accountable to the Oireachtas and the Ombudsman is obliged to report annually to the Oireachtas on the performance of his functions.
The Joint Oireachtas Committee on Public Service Oversight and Petitions provides a formal channel of consultation and communication between the Oireachtas and the Ombudsman. The Joint Committee is responsible for receiving and debating the Ombudsman's annual and special reports, and for ensuring that his findings and recommendations are acted upon.
In view of the statutory independence of the Ombudsman, it would not be appropriate to put a mechanism in place to review a decision of the Ombudsman. The establishment of such a mechanism would not be in line with the fully independent status granted to Ombudsman offices in other jurisdictions.
However, it should be noted that the Office of the Ombudsman has a non-statutory internal appeals procedure to cater for persons who are not satisfied with the outcome of their complaint to the Ombudsman and wish the Office to re-examine their complaint. Such appeals are dealt with by a caseworker who has had no previous involvement in the case and who is in a more senior position than the original caseworker. Any complaints about the operations of the Office may also be directed to the Office of the Ombudsman.
275. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if he will confirm that 65% of rate payers in County Limerick are to see a reduction in their rates at the expense of the other 35%, who will see an increase, in order that the total rates budget remains unchanged, and also that the increase particularly affects nursing homes, crèches and wind farms, all of which receive public supports; if that means there has been a change in Government policy as regards supporting these sectors; and if a regulatory impact assessment has been carried out, given the dramatic effects of this policy. [26172/15]
Amharc ar fhreagraThe Valuation Office is currently undertaking a systematic programme of revaluing, for rates purposes, all industrial and commercial properties in the State on a rating authority basis. The purpose of the revaluation is to bring more equity, fairness and transparency into the local authority rating system and to distribute the commercial rates liability more equitably between ratepayers based on up-to-date rental values. Following revaluation, there will generally be a much closer and uniform relationship between the rental value of a property and the commercial rates liability which applies to that property. In essence, the exercise aims to ensure that each ratepayer bears a fair share of the rates burden relative to the value of the property that they occupy.
As part of the national revaluation programme, the Valuation Office published a new valuation list for the Limerick City and County Council rating authority area on 31 December 2014.
Section 56 of the Valuation Act, 2001, as amended, provides that the commercial rates income of a local authority is capped in the year following revaluation, limiting the reasons for any increase in total local authority income from rates to the following: inflation; extensions to existing properties; and new properties coming on stream. As a result, the revaluation of commercial properties in a Local Authority area is essentially a revenue neutral exercise concerned with the redistribution of the rates liability between ratepayers by reference to the net annual value of the commercial property they occupy.
As a result of Section 56 of the Valuation Act, 2001, as amended, and the shift in relative values of various property types and uses between the late 1980's and the valuation date of 1 March 2012, some 65% of ratepayers in the Limerick City and County Council rating authority area have had a reduction in their rates liability while 35% have had an increase. This is more or less in line with the outcome in other recently revalued rating authority areas.
The trend of change in liability occurred across a range of property uses and is not confined to the categories of property to which the Deputy refers. The question of the Commissioner adopting a different approach to the valuation of certain categories of property which receive public support does not arise as all valuations determined by the Valuation Office in all sectors are carried out solely in accordance with the valuation principles prescribed by section 48 of the Valuation Act 2001. Government policy in relation to support of the areas mentioned does not play any part in the determination of values under the Act.
Revaluation is not a new policy and is being carried out under legislation enacted in 2001. The Commissioner of Valuation is independent in the exercise of his function under the Valuation Acts, 2001 to 2015 and the carrying out of valuations for rating purposes is his sole prerogative. The Act does not accord me as Minister any function in this regard. I would not be aware of the values emerging for different sectors before the final valuation list is published and the legislation provides for an extensive appeals process. The carrying out of a Regulatory Impact Assessment does not therefore arise.
276. Deputy John McGuinness asked the Minister for Public Expenditure and Reform the engagement between his Department, the Department of Communications, Energy and Natural Resources and the Department of the Environment, Community and Local Government regarding the impact of the valuation process for wind energy plants on our climate change goals, including our renewable energy targets. [26173/15]
Amharc ar fhreagra277. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if any working group or other such committee was put in place in respect of the valuation process for wind energy plants. [26174/15]
Amharc ar fhreagra278. Deputy John McGuinness asked the Minister for Public Expenditure and Reform the engagement between his Department, the Department of Communications, Energy and Natural Resources and the Department of the Environment, Community and Local Government and their counterparts in Northern Ireland and Scotland regarding the valuation process for wind energy plants. [26175/15]
Amharc ar fhreagraI propose to take Questions Nos. 276 to 278, inclusive, together.
These questions all relate to consultations on the valuation process for wind energy plants.
The Valuation Office completed their revaluation of Limerick at the end of 2014 when final certificates of valuation issued. The final values attributed to wind energy farms would, after the application of the Annual Rate on Valuation, determined by the local authority, result in a substantial increase in the rates bill for these properties. In parallel with the Limerick revaluation, Minister of State Harris was bringing the Valuation (Amendment) (No. 2) Bill 2012 through the Oireachtas on my behalf.
There were a number of consultations in February and March between my officials and relevant stakeholders including the Irish Wind Energy Association and the Irish Wind Farmers Association regarding the increase in rates and whether changes could be made to the legislation that was going through the Oireachtas at that time. There was also substantial correspondence from interested parties up until the Bill was passed on 14 April 2015. The matter was also raised at Dáil Committee and Report Stages of the Valuation (Amendment) (No. 2) Bill 2012.
The Department of Communications Energy and Natural Resources were made aware of the concerns that were being expressed by the wind energy sector and the calls that were being made for amendments to the legislation.
There was no working group established to consider the valuation process. The Commissioner of Valuation is responsible for the drawing up and maintenance of valuation lists and is completely independent in the exercise of his functions. Valuations are made in accordance with the provisions of the Valuation Act 2001 and I have no function in the valuation process. The role of the Commissioner is to draw up a valuation list which local authorities can use to allocate the rates burden on a fair and independent basis. There would have been no role for a working group to consider the valuation process.
The valuations made on wind energy farms are the subject of appeals to the Commissioner of Valuation as provided for in the Valuation Act 2001. I and my colleague the Minister for Communications, Energy and Natural Resources are aware of the concerns raised by the sector but we are also conscious of the need to respect the appeals processes that are provided and not to pre-judge the outcome of those procedures. This was made clear in the Dáil on Committee and Report Stages and when Minister Harris stated in conclusion at Report Stage on 31 March 2015. "We should allow the appeals process to take its course. A number of appeals are under active consideration. Let us see what arises from them and fully assess the impact. If there is a need for a policy change, let us consider it". When the outcome to the appeals process is known my Department will communicate with the Department of Communications, Energy and Natural Resources in relation to any issues that might arise for energy policy.
There was no direct contact between my Department and counterparts in Northern Ireland and Scotland. The Valuation Office are in regular contact with their counterparts in other jurisdictions and meet on a regular basis to discuss, in a general way, matters of mutual interest. During the consultations that led up to the finalisation of the Valuation (Amendment) (No. 2) Bill 2012 the Valuation Office did contact their counterparts in Northern Ireland and Scotland to get basic information on the trends in valuations of wind farms. This information showed that there has also been substantial increases in valuations in Northern Ireland following their recent revaluation but the valuations are not directly comparable as they have different legislation and their valuations would have been made with reference to the circumstances prevailing on different valuation dates.
279. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if he will confirm that, assuming the tripling of rates for wind farms now proposed in County Limerick is repeated across Ireland, the total rates bill for wind farms would exceed total support payments received by wind farms by some 50%, supports which have been approved by the European Commission under state aid rules (details supplied). [26176/15]
Amharc ar fhreagra280. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if a comprehensive cost benefit analysis was carried out weighing the risk of a failure to achieve the State's binding targets on renewables by 2020 against the additional revenue to be gained by the increased rates for wind farms. [26177/15]
Amharc ar fhreagraI propose to take Questions Nos. 279 and 280 together.
The Valuation Office completed its revaluation of Limerick at the end of 2014. This is part of a programme that will see the valuation of all commercial properties in the State brought up to date, by reference to modern property values, and maintained on a rolling 5-10 year cycle of revaluations as provided for in the Valuation Act 2001. The revaluation of commercial properties in a Local Authority area is about redistributing the rates burden with each ratepayer's liability reflecting modern property valuations. A revaluation is not about raising extra revenue from rates, and local authorities are prohibited from doing so in the year following a revaluation. I am aware that the Limerick revaluation has led to large increases in the valuation of wind farms which could, subject to appeal, see the rates liability on those wind farms rise by c.200%.
Wind farms in other counties are not directly impacted by this revaluation. Valuation lists are compiled for each Local Authority area and are used by Local Authorities in the calculation of rates but the value assigned is only one element in that calculation. The Annual Rate on Valuation, the relative movements in the values of other categories of property and whether the valuation list is made up of properties that are generally increasing in value or decreasing in value all feed into the whether an individual's or a sectors' rates bill increases or decreases. For example the outcome for wind farms in a county where the value of other properties has generally fallen is much different from the outcome in a county where other values are rising.
The appeals process has not concluded its consideration of the recent revaluation in Limerick so one cannot even be certain of what the final outcome will be in that county, let alone making assumptions for the rest of the country. While every effort is being made to accelerate the revaluation process, and the recent enactment of the Valuation (Amendment) Act 2015 is part of those efforts, no additional county will complete revaluation before the end of 2016, impacting on rates for 2017 at the earliest.
Revaluation is not like the imposition of a new tax where an ex-ante evaluation might be conducted in the form of a cost-benefit analysis. The objective of a revaluation is not about raising extra revenue so the consideration of extra revenue from rates as against the impact that raising it may have on any sector does not arise. The Commissioner of Valuation is independent in the exercise of his functions and I have no role in the valuation of properties for rates purposes. I would not be aware of the emerging outcome of a revaluation before it is finalised and it would be improper to start conducting analyses on the impact on any sector prior to the finalisation of the valuation list. There is an extensive appeals process in place for those who feel that the valuation assigned to a property is incorrect. The legislation provides for an appeal to the Commissioner of Valuation, a subsequent appeal to the independent Valuation Tribunal and an appeal to the High Court on a point of law.
I and my colleague the Minister for Communications Energy and Natural resources are aware of the concerns raised by the wind farm sector but we are also conscious of the need to respect the appeals processes that are provided and not to pre-judge the outcome of those procedures. The potential impact on the sector, of the revaluation in Limerick was raised at both Dáil Committee and Report Stages of the Valuation (Amendment)(No. 2) Bill 2012, which has since been enacted. As Minister of State Harris stated in conclusion at Report Stage on 31 March 2015. "We should allow the appeals process to take its course. A number of appeals are under active consideration. Let us see what arises from them and fully assess the impact. If there is a need for a policy change, let us consider it".
281. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if the Valuations Office or the Government has assessed the potential liability and exposure under European Union law, including under state aid rules, of discrimination against renewable energy plants through affording more favourable treatment to fossil fuel plants, thereby distorting the market. [26178/15]
Amharc ar fhreagraThe Valuation Acts 2001 to 2015 provide for the same basis of valuation for rating purposes for all electricity generating facilities whether they are renewable energy plants or fossil fuel plants.
The basis of valuation, whether valuing a renewable energy plant or a fossil fuel plant, is provided for in section 48 of the Acts, net annual value, that is, the rent for which, one year with another, the property might, in its actual state, be reasonably expected to let from year to year, on the assumption that the probable average annual cost of repairs, insurance and other expenses (if any) that would be necessary to maintain the property in that state and all rates and other taxes in respect of the property, are borne by the tenant of the property.
Section 15(1) of the Valuation Act, 2001 provides that all relevant property in Schedule 3 of the Act is rateable. Paragraph 1(m) of that Schedule refers specifically to electricity generating stations and the various components of such facilities. These include all buildings and structures, ancillary on site developments, roads, reservoirs, jetties, railways, bridges docks, cooling towers, turbines, generators, transformers, boilers, furnaces, tanks, fuel handling equipment, effluent disposal works, including chimneys, dams, weirs, reservoirs, canals (head race, tail race), locks, penstocks, surge tanks, natural gas installations, wind generators and ancillary plant.
Accordingly, there is no discrimination in the treatment of electricity generating facilities for rating purposes between renewable energy plants and those powered by fossil fuels.
282. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if he will confirm that the revaluation method for commercial rates for wind farms as applied in County Limerick, namely, revenue and expenditure, is different from the method used for the commercial rates for generating stations using fossil fuels, contractor's method; that this change arose only after the submission of representations by some of the wind farm owners in County Limerick causing an approximate 50% increase in some of their valuations in order that the result has been a net annual value per megawatt for Hunstown Station in Finglas of approximately €28,000 per megawatt, while wind farms in County Limerick face a NAV/MW of €80,000 on average and some over €90,000; and if he will confirm that the Valuations Office was fully aware from meetings with the Commission for Energy Regulation that this would cause rates increases exceeding the total profitability of the wind farms. [26179/15]
Amharc ar fhreagra283. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if he will provide the detailed basis, market information and specific assumptions used in the revaluation of wind farms; if he will recommend that the Government legislate for the application of a 50% state of industry allowance to at least partly offset these disparities (details supplied); and if he will make a statement on the matter. [26180/15]
Amharc ar fhreagra284. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if he will provide the actual basis used to establish the theoretical rent applied to wind farms, and the providence of the quotation. [26181/15]
Amharc ar fhreagra285. Deputy John McGuinness asked the Minister for Public Expenditure and Reform if he will confirm that the figure taken for the long-term revenue of a plant has been adjusted to the market price when the renewable energy feed in tariff programme lapses after 15 years. [26182/15]
Amharc ar fhreagraI propose to take Questions Nos. 282 to 285, inclusive, together.
These questions all relate to the methodology used in the valuation of wind farms.
The Valuation Office, as part of a programme that will see the valuation of all commercial properties in the State brought up to date, by reference to modern property values, and maintained on a rolling 5-10 year cycle of revaluations as provided for in the Valuation Act 2001, has recently revalued all commercial properties in the rating authority area of Limerick City and County Council by reference to a valuation date of 1 March 2012. The Commissioner of Valuation is independent in the exercise of his functions and I as Minister have no function in the valuation of property for rates purposes, or in any appeal against a valuation. The purpose of a revaluation of commercial properties in a local authority area is the redistribution of the rates burden with each ratepayer's liability reflecting up-to-date property rental values.
I am aware that the Limerick revaluation as it has applied to wind farms may, subject to appeal, see the rates liability of those facilities increase significantly. Wind farms in other counties are not directly impacted by the Limerick revaluation.
The Valuation Act, 2001 provides for an appeal to the Commissioner of Valuation, a subsequent appeal to the independent Valuation Tribunal and an appeal to the High Court on a point of law, for all valuations carried out under that Act. I understand that the valuations of all the Limerick wind farms have been appealed to the Commissioner of Valuation and that those appeals will be decided in the coming weeks.
The basis of rateable valuation for all property is net annual value, as set out in Part 11 of the Valuation Act, 2001. Net annual value is the rent for which, one year with another, the property might, in its actual state, be reasonably expected to let from year to year, on the assumption that the probable average annual cost of repairs, insurance and other expenses (if any) that would be necessary to maintain the property in that state, and all rates and other taxes and charges (if any) payable by or under any enactment in respect of the property, are borne by the tenant of the property.
In accordance with well-established valuation principles and case law, various methodologies may be used in estimating the Net Annual Value of a property. One commonly used method is known as the Receipts and Expenditure method of valuation where trading accounts relating to the use of a particular property are analysed to arrive at the Net Annual Value. Another method of valuation used from time to time, depending on the particular circumstances and type of property involved, is the Contractor's method where the annual equivalent of the cost of construction, allowing for depreciation as appropriate, and the value of the site, is used to arrive at the Net Annual Value.
I understand that as regards the Limerick wind farms the Valuation Office sought information on construction and development costs and detailed trading information for each facility and that this information was used in drawing up the valuation scheme for the Limerick wind farms. The correctness or otherwise of the valuation approach taken is now being considered as part of the appeals process.
All the assumptions made in the carrying out of the valuation of wind farms in the Limerick City and County Council rating authority area are those set out in Section 48 of the Valuation Act, 2001. What has to be decided in a revaluation is the most appropriate method of valuation to arrive at the Net Annual Value for a particular property type. Regarding the reference by the Deputy to the profitability of wind farms and the relationship to rates, the concept of profitability, as understood by the occupier or operator of a wind farm or indeed any other commercial property, can vary significantly from the concept as understood and used in a Receipts and Expenditure valuation to determine a valuation in accordance with section 48 of the Act.
As already stated, the valuation date for Limerick City and County Council area revaluation is 1 March 2012. I am advised by the Valuation office that the oldest wind farms in Limerick date from c. 2008. As a result, no adjustment was made to revenues to reflect market price after 15 years to take account of REFIT. Furthermore, section 25 of the Act also provides that once a rating authority area has been revalued, not less than 5 years and no more than 10 years, must elapse before the next revaluation takes place. Therefore all rateable property in the rating authority area of Limerick City and County Council area will be revalued again between 2019 and 2024.
While the Receipts and Expenditure method of valuation was considered the most appropriate method of valuation to value the Limerick wind farms as well as some other categories of property, the Contractor's method of valuation was used to value the Huntstown power station in Finglas. However the Fingal revaluation, which was published in 2009, had a September 2005 valuation date in contrast with Limerick which has a valuation date of 1 March 2012. While the figures of net annual value per MW quoted by the Deputy are accurate, and net annual value per MW as a unit of comparison between wind farms in the same rating authority area may be valid, it is not a valid form of comparison to use with a fossil fuel electricity generating facility. Such a comparison is further compounded when the facilities are located in different rating authority areas with different valuation dates.
The Deputy is asking if legislative change will be made for the wind farm industry. I and my colleague the Minister for Communications, Energy and Natural Resources are aware of the concerns raised by the sector but we are also conscious of the need to respect the appeals processes that are provided and not to pre-judge the outcome of those procedures. This was made clear in the Dáil at Committee and Report Stages and when Minister Harris stated in conclusion at Report Stage on 31 March 2015. "We should allow the appeals process to take its course. A number of appeals are under active consideration. Let us see what arises from them and fully assess the impact. If there is a need for a policy change, let us consider it". When the outcome to the appeals process is known my Department will communicate with the Department of Communications, Energy and Natural Resources in relation to any issues that might arise for energy policy.
286. Deputy Peadar Tóibín asked the Minister for Public Expenditure and Reform the expected annual cost to the Exchequer of providing the option of opting into the spouses' and children's contributory pension scheme to current civil servants who were serving prior to 1984 and who have since entered into a civil partnership-same sex marriage. [26295/15]
Amharc ar fhreagraAt the outset, I wish to make clear that persons in civil partnerships or in same sex marriages are not discriminated against under any aspect of the public service pension scheme.
The public service operates a Spouses' and Children's Contributory Pension Scheme. This provides benefits to Spouses or Children of deceased members. In summary, when a member dies after retirement, a spouse's pension of one-half of the former member's pension is payable. Dependent children are also entitled to a child's pension of one-third of the spouse's pension for each of the first three eligible children.
The original pre 1984 scheme did not allow for the payment of a pension to a spouse who married or had children post retirement. Thus, the scheme allowed a refund of contributions if the individual had not been married up to the point of retirement.
In 1984, a revised Scheme which extended eligibility for benefits to spouses who married or had children after retirement was introduced and members of the original scheme and certain retirees were given the option of transferring to the revised Scheme, which became obligatory for subsequent recruits.
One of the benefits of the Revised Scheme was that the spouse of a post retirement marriage was eligible for a spouse's pension. The disadvantage of the Scheme was that there was no facility for repayment of contributions on retirement if the individual concerned did not have a spouse and would not therefore be in a position to avail of any benefit under the Scheme.
For members who remained in the original Scheme there was an entitlement to claim a refund of contributions in the event that the member remained unmarried at the date of retirement. Many members of the scheme availed of this option and received a refund.
Across the entire public service, approximately 30,000 staff who were not members and an unquantified number who had been members of the original scheme opted not to join the new scheme. Their reasons for doing so were presumably varied, including not expecting to marry, being in a relationship with a separated person who was not then able to divorce, or that it was personally more beneficial to them not to join the new scheme. For example, women were not prior to 1984 required to join the pension scheme and pay contributions; they may have decided that was better financially for them.
In recent years, some individuals have sought to reverse the decision they made at that point. More specifically, a number of people have argued that they could not have envisaged that same-sex civil partnerships would be legalised in the state.
A fundamental element of any new opt-in would have to be that it would have be open to all applicants regardless of their reasons for not opting-in the first place. This would be required to avoid alternative claims of discrimination. Every then serving and retired public servant who opted to remain in the old scheme, or chose not to join either scheme, would have to be given the opportunity to opt into the new scheme.
Public service spouses' and children's schemes are structured on a group insurance basis and the member contribution rates take account of the fact that payment of benefits will not arise in respect of all members. Given the passage of time since 1984 and the greater clarity those who opted out then will now have about their lives, it is eminently foreseeable that only those persons whose spouses and/or children would benefit would opt in. This would radically undermine the group insurance basis of the scheme.
There is no way of knowing how many people would decide to opt in. As an example of potential costs, the spouse and children of a pensioner who opted out in 1984 and retired age 60 with a full 40 years' service in 2010 and a final salary of €50,000 would be entitled to a spouse's pension of €12,500 per annum, and a children's pension of one-third of the spouse's pension for each of the first three eligible children, in this case up to €12,500 per annum, a total of €25,000 for each year the pensions remained in payment. The cost of a thousand such cases would be €25m per annum and of 10,000 would be €250m per annum.
To offset costs, an upfront fee could be levied on those who chose to opt in. However, the fee for opting in either could not cover the additional cost of the pensions involved or, alternatively, would have to be so large that it would be unfeasible for many persons to pay it.
My Department's position has also been that if decisions freely made about pensions or other matters could be reversed at any time this would have grave consequences for public administration. Where changes have been made to pension schemes, individuals have only been allowed to opt in to the new arrangements at the time of the introduction of the new scheme. This approach is in line with that of the Commission on Public Service Pensions.
287. Deputy Billy Kelleher asked the Minister for Public Expenditure and Reform the processes or procedures in place to monitor the number of civil servants or public servants who are directly related, that is, a child or a sibling, to current or former civil servants or public servants; and if he will make a statement on the matter. [26305/15]
Amharc ar fhreagraThe Deputy may wish to note that recruitment to the civil and public service is governed by the Public Service Management (Recruitment and Appointments) Act, 2004 and by the Civil Service Regulation Acts, 1956-2005. The 2004 Act provides for the establishment of the Commission for Public Service Appointments (CPSA) and of the Public Appointments Service (PAS). PAS - an independent statutory body - provides a centralised recruitment, assessment and selection body for the civil service. This recruitment model ensures that core principles of public service recruitment such as, for example, probity and fairness underpin the recruitment process. In specific terms, under the Codes of Practice prescribed by the CPSA appointments into the public service must be made in accordance with the principle of merit. In practice this means that candidates are ranked based on their performance in the competitive recruitment process, and are then offered appointments in order of merit. On that basis, the type of information referred to in the Deputy's question is not routinely collected or monitored. Indeed, in addition to privacy concerns, in the circumstances that high standards of public service recruitment are in place and implemented in practice, the rationale for compiling such information is not evident.
288. Deputy Willie O'Dea asked the Minister for Public Expenditure and Reform if the Regulation of Lobbying Act 2015 will be the primary source of reference for designated public officials on the way they interact with lobbyists; if compliance with this legislation will take precedence over any international recommendation on lobbying; and if he will make a statement on the matter. [26427/15]
Amharc ar fhreagraThe Regulation of Lobbying Act 2015 (No. 5 of 2015) (the Act) will commence on 1 September 2015.
The Act is designed to provide information to the public about:
- Who is lobbying;
- On whose behalf is lobbying being carried out;
- What are the issues involved in the lobbying;
- What is the intended result of the lobbying;
- Who is being lobbied.
The Act provides for:
- The establishment and maintenance of a publicly accessible register of lobbying;
- Obligations on lobbyists to register and to provide information regularly about their lobbying activities, including, in the case of professional lobbyists, information about their clients;
- The introduction of a "cooling off" period during which lobbying activity may not be carried out by some former officials;
- The Standards in Public Office Commission (Standards Commission) to be the regulator of lobbying.
Under the Act, designated public officials are not subject to rules regarding the registration and reporting of lobbying. Their interactions when lobbied must be reported by the lobbyists in accordance with the Regulation of Lobbying Act 2015. My Department in conjunction with the Standards Commission is currently in the process of drafting guidance to ensure that designated public officials understand how the system works, how they fit into it and their part in supporting the effective implementation of the arrangements. This guidance is available in draft form on www.lobbying.ie. In addition, my Department and the Standards Commission are holding a series of information sessions for designated public officials and a session specifically for TDs and Senators has been arranged for Thursday 9 July in Leinster House.
It is my view that lobbying is an essential part of the democratic process. Organisations such as interest groups, representative bodies, industry, NGOs, charities and third party professional lobbyists all provide necessary input and feedback through communication of the views and concerns of the public to government. This interaction is a welcome and necessary element of policy development. I would urge public bodies to continue to actively facilitate and encourage such communications to the greatest extent possible.
The Act does not aim to prevent or inhibit lobbying activity. Its objective is to make the process more transparent while supporting the interaction of public bodies with all stakeholder organisations. I am a strong advocate of lobbying activity. I believe that lobbying is absolutely necessary in order to maintain a healthy and well-functioning democracy. The extent of lobbying activity is a good measure of an engaged citizenry but it should be open to public scrutiny as part of the desirable checks and balances in a democracy.
Transparency is our strongest weapon in discouraging attempts to seek to exert undue or improper influence on the conduct of policy formulation. There is a strong public interest in identifying "who is lobbying whom about what". My intention in designing and guiding this legislation to enactment was specifically to achieve this goal.
With regard to the specific point raised in the Deputy's question, I am very aware, for example, of the substantial work carried out by the OECD in analysing and assessing the regulation of lobbying drawing on international experience. Indeed, the OECD's principles on international best practice were strongly reflected in the approach adopted to the development of the Regulation of Lobbying Act, 2015. I am not, however, aware of specific and detailed recommendations from authoritative international organisations (such as the OECD) to which the Deputy's question refers. Indeed, I understand that our Regulation of Lobbying legislation is considered by international experts as strongly reflecting an effective approach to substantially enhancing the transparency of the lobbying process.
Finally, I am aware that the Council of Europe's European Committee on Legal Co-operation is currently in the process of drafting a recommendation on the legal regulation of lobbying activities for members and my Department has contributed to this drafting process through the submission of views on preliminary drafts. My Department will continue to carefully monitor progress on this draft recommendation. Any final recommendation from this process would not in any event supersede the statutory position as set out in national legislation.
289. Deputy Richard Boyd Barrett asked the Minister for Jobs, Enterprise and Innovation if he agrees, in view of European Directive 93/104/EC which was transposed into Irish law under the Organisation of Working Time Act 1997, that it is an offence under section 34 of the Act for an employer to pay an employee in lieu of that employee's entitlement to annual leave; and if he will make a statement on the matter. [26251/15]
Amharc ar fhreagraAn employee’s entitlement to annual leave is set out in section 19 of the Organisation of Working Time Act 1997. Section 19 transposed Article 7 of the original EU Working Time Directive (93/104/EC) – now consolidated by Directive 2003/88/EC. Article 7(2) of the Directive provides that the statutory minimum period of paid annual leave may not be replaced by an allowance in lieu, except where the employment relationship is terminated. Section 23 of the 1997 Act provides for payment in lieu of untaken statutory annual leave on termination of the employment.
Under section 19 of the 1997 Act, an employee acquires an entitlement to 4 weeks’ annual leave if he or she works at least 1,365 hours in a leave year, or one-third of a working week for each month in the leave year in which he or she works at least 117 hours, or 8 per cent of the hours he or she works in a leave year (but subject to a maximum of 4 working weeks).
Any leave entitlements in the contract of employment over and above the statutory minimum will be a matter for negotiation between the employer and employee and it may be the case that payment in lieu could be agreed for the non-statutory portion of the annual leave.
Where an employee does not receive the statutory minimum annual leave entitlement provided for in section 19 of the 1997 Act, the employee, or any trade union of which the employee is a member (with the consent of the employee), may take a case for redress to a Rights Commissioner under section 27 of the 1997 Act. However, a contravention of Section 19 of Organisation of Working Time Act 1997 is not an offence under Section 34 of that Act.
The National Employment Rights Authority (NERA) provides general information on employment, equality & industrial relations legislation, through the Workplace Relations Customer Service and Information Unit. It can be contacted at Lo-call: 1890 80 80 90 or via its website www.workplacerelations.ie.
290. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the number of the ten visits arranged by IDA Ireland to County Westmeath that were in Mullingar; and if he will make a statement on the matter. [25792/15]
Amharc ar fhreagraI am informed by IDA Ireland that information in relation to sponsored site visits by potential investors is provided on a county by county basis only and that in the first quarter of 2015, IDA Ireland sponsored 10 site visits by potential investors to County Westmeath. For reasons of commercial sensitivity and client confidentiality IDA Ireland does not comment on upcoming site visits by potential investors.
Westmeath is marketed as part of the Midlands Region which also comprises counties Longford, Laois and Offaly.
Earlier this year IDA Ireland launched its 5 year strategy for the period 2015 to 2019 which aims to create 80,000 new jobs in the economy over the period and increase investment into each region by between 30% and 40%. Additionally, a €150 million property investment plan, spread out over five years, will support the achievement of the organisation’s regional goals. The funding will be used to upgrade Ireland’s Business and Technology parks, make investments in a number of strategic utility-intensive sites and build new advanced technology buildings in a number of regional locations. An advanced office building is planned for 2017 for Co. Westmeath as part of the programme.
In February, the Government announced details of the Action Plan for Jobs: Regional initiative which seeks to capitalise on the strengths and assets of each region to maximise enterprise growth and job creation. The initiative will build on the success of the National Action Plan for Jobs, and encourage regional stakeholders - including enterprise agencies, Local Authorities, higher education institutions, other public bodies and the private sector - to come forward with innovative ideas to boost job creation in their own region.
In total, eight regional Action Plans will be developed and published this year. The first of these plans for the Midlands region covering counties Laois, Longford, Offaly and Westmeath was launched on Monday 29th June. This plan sets out almost 120 actions aimed to deliver enhanced employment growth in the region over the coming years with a target of increasing employment in the region by 10-15 % by 2020. IDA has been tasked with attracting 25-30 additional FDI investment projects into the region over the next 5 years while Enterprise Ireland is to increase the number of start-ups by 25% by increasing their flow of start-up companies through enterprise hubs and onto Enterprise Ireland’s competitive programmes. The overall ambition of the Action Plan for Jobs – Midland Region is to increase employment by approximately 14,000 by 2020.
291. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation if Irish employment legislation under the transfers of undertakings Directive 2001/23/EC, that protects the contracts of employment of persons working in businesses that are transferred between owners, has been complied with following the liquidation of a company (details supplied); and if he will make a statement on the matter. [25873/15]
Amharc ar fhreagraBased on the information available to me, it would appear that the employer of the workers concerned did not change as a result of the transactions at issue and the contracts of those workers remained in place. Redundancy pay and the other statutory entitlements of staff are being calculated by reference to the continuous nature of their employment by the same legal entity that is now the subject of liquidation proceedings.
Regulation 6 of the European Communities (Protection of Employees on Transfer of Undertakings) Regulations 2003 (SI No. 131 of 2003) provides that the contractual rights of employees do not transfer where the original employer is subject to proceedings whereby the original employer may be adjudicated bankrupt, or wound up for reasons of insolvency, by order of the High Court.
I anticipate completing a report shortly as requested by the Taoiseach, to further inform Government on progress to date in supporting the workers, setting out the sequence of events as I understand them, and on a number of issues arising from the closure of Clerys. It will be a matter for Government to consider developments to date in what is an evolving situation, certain aspects of which are currently under the jurisdiction of the High Court.
292. Deputy Dominic Hannigan asked the Minister for Jobs, Enterprise and Innovation the policies designed to promote youth entrepreneurship; the practical supports available to young entrepreneurs; and if he will make a statement on the matter. [25979/15]
Amharc ar fhreagra293. Deputy Dominic Hannigan asked the Minister for Jobs, Enterprise and Innovation the number of young entrepreneurs supported in setting up their businesses in 2014; and if he will make a statement on the matter. [25980/15]
Amharc ar fhreagraI propose to take Questions Nos. 292 and 293 together.
The National Policy Statement on Entrepreneurship in Ireland was launched by my Department in October 2014. It sets out the Government’s strategic objectives as a facilitator within the Irish entrepreneurship ecosystem. The Statement covers the six key elements that impact on entrepreneurs and start-ups and signposts the direction that policy will take in the coming years. This Policy Statement represents the first time a Government has published a comprehensive national plan for entrepreneurship in Ireland.
A key strategic objective of the Policy Statement is to ensure that greater numbers of people, particularly in under-represented cohorts such as youths, start and run their own business.
The Entrepreneurship Policy Statement contains a number of specific actions in order to ensure that more people, including young people, have an equal opportunity to start and run their own business.
I am personally driving and chairing the Implementation Group, comprised of senior officials from the key Departments and agencies, charged with oversight and delivery of the actions set out in the National Entrepreneurship Policy Statement.
The specific objectives for 2015 are to:
- Progress the actions from the National Entrepreneurship Policy;
- Utilise the New Frontiers Programme optimally to support emerging entrepreneurs;
- Continue to promote LEO’s as one stop shops for small business;
- Develop an action programme of support for pre-investment HPSUs; and
- Develop an Entrepreneurial PhD programme with a view to training more scientists in SFI supported research teams to launch their own businesses.
The Local Enterprise Offices (LEOs) are the ‘first-stop-shop’ for assisting start-ups, business development and job creation in each local area. Since anyone can access the LEO supports, data by age category is not available. Further information on LEO supports for business ideas can be found on the LEO website at www.localenterprise.ie.
Specifically the LEOs have been driving the competition to find “Ireland’s Best Young Entrepreneur” (IBYE) 2015, which the Taoiseach and I launched last month. This competition is designed to foster a culture of entrepreneurship among young people in Ireland and to encourage the establishment of new innovative businesses by Ireland’s best young entrepreneurs. A €2 million investment fund is available nationally and we are looking to improve on the 1,012 applications that were received last year.
The initial stage is a County-based competition leading to the naming of the Best Young Entrepreneur in each County. This stage involves the hosting of Entrepreneurship Boot-camps at local/regional level, where entrants will receive expert training and mentoring advice and have their business proposals assessed. The competition is open to individuals aged 30 and under.
The winners at County level will be eligible for an investment in their business of up to €25,000, while the winners at National level can receive an additional investment of up to €50,000, with one business-person being crowned “Best Young Entrepreneur in Ireland” before the end of the year.
I would urge any person under 30 who has a business or a business idea to contact their local LEO or visit IBYE.ie and apply to become Ireland’s Best Young Entrepreneur for 2015. The deadline to apply for this year’s IBYE competition is Friday, July 31.
Enterprise Ireland supports are available to all entrepreneurs, including young people, whose ideas and business plans are capable of internationalising in manufacturing and internationally traded services.
In 2014, Enterprise Ireland supported 183 new and early stage start-ups. These are ambitious companies, with innovative products and business development strategies that will enable them to carve out a place in global markets. Enterprise Ireland has set itself an ambitious target of 550 new and early stage start-ups supported over the period 2014 to 2016.
No one policy intervention will generate substantial impact on the entrepreneurship ecosystem, but various actions if taken together will combine to create greater synergies. The over-arching National Entrepreneurship Statement serves to co-ordinate all areas of Government policy in the area of entrepreneurship to drive these synergies and will deliver on increasing Youth Entrepreneurship.
