Oireachtas Joint and Select Committees

Thursday, 31 January 2013

Joint Oireachtas Committee on Finance, Public Expenditure and Reform

Scrutiny of EU Legislative Proposals

12:35 pm

Photo of Kevin HumphreysKevin Humphreys (Dublin South East, Labour) | Oireachtas source

Yes, but that fund does not relate to social infrastructure projects. This is what gives rise to the deficit in urban areas. It is for small businesses and allows them to connect with businesses in other cities, etc. However, it is not used in the context of building social infrastructure such as community centres, halls, sports facilities and so forth. It is on the latter that the €52 million for rural areas is spent. There is no similar funding for urban areas which do not suffer from deprivation.

If an element that allows for provision through ERD funding in this respect that is important in this context. I have been talking about this for two years and my understanding is that the Minister would be open to look at trying to put some funding into social infrastructure. If it can be done through the ERD funding, would Mr. O'Sullivan examine the elements through which we can seek that? Many cities and towns are losing out significantly. In comparison to the figure of €972 billion, this is quite a small amount of funding, but for the communities involved it is important.

I wish to refer to chapter 4. In November 2012 the first round of the budget negotiations failed and the EU officials indicated in terms of funds earmarked for EU overseas aid. Some €11.3 billion in EU overseas aid was spent in 2011, which is the largest sector of funding for overseas aid. Presidency Van Rompuy will chair summit in relation to this. The Tánaiste met Bill Gates in Dublin last week and he expressed concern about where the European Union budget would land in terms of the international budget, 90% of which goes towards development aid.

Are the ceilings commitment details in the most recent proposal from President Van Rompuy sufficient to deliver on EU policy commitments, as stated in the Lisbon treaty, and the specifics under heading 4 to address the increased development needs in the context of climate change and economic crisis? Is that captured in the negotiations in terms of next year? This is the largest section of world aid from a single source. We are looking at what some people would consider modest cuts or cuts in farm subsidies, regional aid spending and an overall cut of approximately €30 million in the EU budget for foreign policy. Where is that being captured and examined under the current negotiations?

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