Richard Bruton (Dublin North Central, Fine Gael)
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I will not have to make a lengthy address. I will just explain the three elements that are before the committee.

The first is additional provision of €21 million for IDA Ireland. The second is a total of €5.5 million for the science and technology programme - €5 million for Science Foundation Ireland and €500,000 for the Tyndall National Institute in Cork. All of that is to support strategically important research infrastructure in higher education institutions across the country to enable Ireland to maintain and further grow its innovative capacity and its collaborations with industry, and to provide our top class scientists with the required equipment. The third is the provision of €23.5 million for the programme for research in third level institutions, PRTLI. This is effectively paying out on matured liabilities under the PRTLI, which is infrastructural provision for the science and research area. It is more cost effective if the State pays out now and it creates some new business head-room capacity for capital expenditure in our Votes in the years ahead.

I am happy to state that since the previous occasion on which I appeared before the committee, IDA Ireland has had a strong flow of job announcements. A further 2,500 jobs among IDA Ireland clients have been announced since the beginning of October, with some very significant announcements among them. SAGE, Regeneron Pharmaceuticals and Apple were just some examples. This year has been another very strong year for investment wins by IDA Ireland and the agency is well on track to meet and surpass its jobs targets for the year. Halfway through the year it was 10% ahead on its jobs performance. Obviously, we will not have definitive year end figures until after the survey is completed. That will be available in the new year. It is a detailed survey of the actual number of people in place, as opposed to projects being announced, and the flow through that IDA Ireland has sight of through its daily work.

One element of the Supplementary Estimate relates to an additional €9 million in IDA Ireland grants drawdown, which is required under the Supplementary Estimate. This means that IDA Ireland clients are hitting their jobs targets earlier than envisaged, so there is an earlier drawdown.

We also have a stronger flow than previously, meaning that the run on IDA Ireland grants is stronger than anticipated. While it is an extra demand on the Exchequer, it is welcome that more people are in employment. It needs to be borne in mind for context that the IDA Ireland client cohort typically contributes €22 billion in spending to the economy each year. The State is growing significant tax revenues from the increased employment and the increased allocation that we are making.

The other €12 million is to focus on IDA Ireland's regional property programme, which has been a significant part of our new approach to regional development. IDA Ireland has set ambitious targets for winning additional projects, including a more ambitious property programme. Specifically, the €12 million will see the construction of three advance technology buildings in Sligo, Castlebar and Tralee. There will also be large site infrastructure upgrades in Dundalk and Sligo and some strategic site acquisitions in the mid-west and north west. This work will help to strengthen the magnets within the regions for attracting new investment and assist IDA Ireland in achieving its targets.

Regarding the programme for research in third level institutions, PRTLI, the additional €25 million will help to pay off the State's commitment under the PRTLI's cycle 5. It will also benefit the Exchequer in various ways, including by assisting quicker European Regional Development Fund, ERDF, claim submissions by Ireland, as the PRTLI is co-funded under the 2007-13 ERDF programme, which is still administratively live. This will create new business head room capacity for future capital provisions by our Department by effectively paying off the PRTLI mortgage sooner. It will also help the cashflow capacity of some colleges, enabling them to complete projects and move on to new ones. This is pertinent for the institutes of technology in Dublin and Cork.

Regarding performance indicators, which do not specifically relate to this Supplementary Estimate per se, I am aware that the committee is seeking to improve and smarten the quality of indicators. My Department is working with the committee's officials to try to secure better performance indicators that will provide more meaningful material for members.