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EU Funding

Dáil Éireann Debate, Thursday - 29 February 2024

Thursday, 29 February 2024

Ceisteanna (171)

Holly Cairns

Ceist:

171. Deputy Holly Cairns asked the Minister for Public Expenditure, National Development Plan Delivery and Reform to provide a breakdown of all EU funding made available to his Department which has not yet been allocated; and the purpose for which this funding has been made available by the EU. [9811/24]

Amharc ar fhreagra

Freagraí scríofa

My Department's role regarding EU funding in the 2021-2027 period is as set out below.

The Department of Public Expenditure, NDP Delivery and Reform (DPENDR) is the designated body for the Brexit Adjustment Reserve. DPENDR also includes the implementing body for Ireland’s National Recovery and Resilience Programme (NRRP) and the Certifying Authority for Ireland’s European Regional Development Fund (ERDF) Programme. It should be noted that while the Department has Member State and/or Certifying Authority functions for the ERDF, European Territorial Cooperation (ETC) programmes and PEACEPLUS, it is not the Managing Authority for Cohesion funds.

Cohesion Funding

DPENDR is the Member State and Accounting Authority for the ERDF. ERDF funds allocated to Departments are managed by the Southern Regional Assembly (SRA) as managing authority for the Southern & Eastern Regional Operational Programme and the Northern and Western Regional Assembly (NWRA) as managing authority for the Northern and Western Operational Programme.

The funding available to Ireland in the period 2021-2027 under the two ERDF Programmes, including technical assistance, is set out in the table below:

-

ERDF

Exchequer

Total

Per capita

Southern & Eastern Programme

€265,477,482

€398,216,224

€663,693,706

€160

Northern and Western Programme

€130,238,539

€86,825,693

€217,064,232

€320

Totals

€395,716,021

€485,041,917

€880,757,938

€219

Ireland also has access to EU Funding through ETC programmes, also known as INTERREG. These programmes are designed to promote cooperation between Member States on shared challenges and opportunities. This funding is allocated on the basis set out in the Partnership Agreement, which is the overarching framework agreed between Ireland and the European Commission.

Ireland has an allocation of €293m for the 2021-2027 round to distribute among programmes in which we participate. The bulk of this is to the cross border programme PEACEPLUS, which makes up €235m of the ETC allocation. The remainder is as follows:

Atlantic Area: €13m

North West Europe: €32.77m

Northern Periphery & Arctic: €13.15m

The PEACEPLUS programme covers an eligible area of Northern Ireland and the border Counties of Ireland (i.e. Cavan, Donegal, Louth, Leitrim, Monaghan and Sligo). Its development is a strong signal of the continuing commitment of the EU, Ireland and the UK to ongoing North South cooperation and peace and reconciliation.

The programme budget for PEACEPLUS is €1.145bn. This is underpinned by a formal Financing Agreement between the EU, UK and Ireland. The breakdown of this funding is below.

-

ERDF €m (80%)

Match Funding €m (20%)

Total €m

EU/Ireland (25.6%)

€234m (EU)

€59m (IE)

€293m

UK/NI (74.4%)

€681m (UK)

€170m (NI)

€852m

Total €m

€916m

€229m

€1145m

Recovery and Resilience Facility (RRF) and REPowerEU

Ireland is to receive €915m in grants over the lifetime of the EU’s Recovery and Resilience Facility (RRF).  To access this funding, Ireland has developed the National Recovery and Resilience Plan (NRRP). The RRF is a performance-based instrument with payment contingent on the satisfactory achievement of milestones and targets. The NRRP is based on 23 projects and their associated 104 milestones and targets covering the green, digital and social priorities.  

REPowerEU is the EU’s response to the global energy market disruption caused by Russia's war on Ukraine and provides the potential for further funding via the Recovery and Resilience Facility.  To avail of the €240m REPowerEU funding, a new chapter will need to be added to Ireland’s National Recovery and Resilience Plan (NRRP).  The Government has agreed potential investment and reform proposals to be funded under REPowerEU.  These proposals will be subject to negotiation, assessment and agreement by the Commission. · 

Brexit Adjustment Reserve (BAR)

The European Union’s Brexit Adjustment Reserve (BAR) is a unique regulation established specifically to provide support to counter the adverse economic, social, territorial, and environmental consequences of the withdrawal of the UK from the European Union. The regulation is clear that in order to be eligible for BAR funding, the expenditure must fall within the eligibility period for expenditure which runs from the 1st of January 2020 to the 31st of December 2023. The application for BAR funding must set out the negative impacts of the withdrawal of the UK from the European Union, and how the measures carried out under the Fund alleviate the adverse consequences.

Following the BAR Regulation coming into force in October 2021, the Government allocated specific funding of €389 million in Budgets 2022 and 2023 across a number of sectors. Officials in my Department have been engaging in a review exercise of Brexit related spending outside of that allocated in Budgets 2022 and 2023 which may qualify for inclusion in Ireland’s BAR claim. A figure of approximately €0.7 billion has been identified in this regard.

The exact composition of Ireland's BAR claim will not be finalised until the claim is submitted to the EU Commission in September 2024. As work is ongoing to verify all Brexit-related spending it is not possible at this time to confirm individual projects or final amounts of expenditure that will be included in the BAR claim. That being said, the Government has made significant investments across a range of sectors to mitigate Brexit impact. Significant funding has been allocated to the Department of Agriculture, Food and the Marine. This funding was allocated across the Department’s areas of responsibility, with a large proportion going to Fisheries and Aquaculture initiatives. Significant funding was also provided to increase operations in ports and address the customs implications of Brexit, including through funding for upgrade works in Rosslare port. 

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