Phil Hogan (Carlow-Kilkenny, Fine Gael)

I welcome this legislation. It consolidates the institutes of technology under the auspices of the Higher Education Authority and acknowledges the vital role they have played, as outlined eloquently by Deputy Kelly in the case of Athlone. Carlow and Waterford have seen similar developments in the south east. Nobody can underestimate the far-reaching effect of the institutes of technology on entrepreneurial activity and the enterprise agenda of every community. Many examples of collaboration between industry and education achieved through the institutes of technology demonstrate the vital role played by the institutes in the economic progress the country has made, particularly over the past 15 to 20 years.

The directors and governing bodies of the institutes of technology in Waterford and Carlow have enhanced to the best of their ability the courses on offer and increased the numbers of people attending the institutes. Carlow Institute of Technology has made efforts to establish outreach facilities, particularly in locations like Kilkenny and Wexford. These outreach facilities bring the educational process closer to people, allowing greater access to education at less expense to the people involved. Compared to other regions, there is a low level of participation in third level education in the south east. The south east still depends on the weather and does not receive too many hand-outs from Departments. People in the south east do not appear to take advantage of opportunities to participate in third level education. This is the reason for the ongoing debate on the status of third level education and how we can increase participation rates and improve courses in the south east.

I am aware the Minister received many representations recently in respect of the institutes of technology in Waterford and Carlow and their future role. In particular, it is time we acknowledged the need for a university in the south east. I am sure there is resistance to such an idea in some places and among various statutory bodies but if we are to make progress in improving the participation rate in third level education, we must, at least, make a decision in principle that a university in the south east is required. I encourage the Minister to fast track this proposal through the various statutory processes to ensure university status is granted to a college in the south east or that a number of campuses for various university faculties are located in the south east. Waterford and Carlow Institutes of Technology have done the most they can within the legislation and a step forward is needed in the interests of the people and future students of the south east.

Various studies carried out by Forfás into the issue of skills have revealed that there is an urgent need for additional resources to produce graduates in science, engineering and the trades. In recent times, I have been critical of FÁS in respect of this issue. FÁS has a budget of up to €1 billion but we do not appear to make as much headway in the apprenticeship programme as we could. This issue also feeds into the institutes of technology in respect of certain trades. We must turn out more graduates in trades with labour shortages. People cannot find plumbers, electricians or household maintenance personnel because of a scarcity of supply in these trades.

Science, engineering and financial services are the areas that will allow us to ascend the value chain regularly referred to by the chief executive of the IDA. The threat to manufacturing and the high cost base for manufacturing in this jurisdiction means that we must diversify into other faculties and employment opportunities. This is where the educational and enterprise agenda coalesce.

Pupils who drop out of school after the junior certificate need the continuous assessment of the educational system to ensure they continue in some form of training. The Minister is aware of a range of studies indicating that if pupils or students can be kept in education or training for longer, they are less likely to become involved in anti-social behaviour or criminal activity. State intervention is critical in this regard and I am sure the State will continue to play a vital role in ensuring that teachers and intermediaries on behalf of the State through the educational process continue to allow students to participate in training and education for as long as possible through the system.

The outreach facilities to which I referred earlier have not worked well enough to make students confident that they are receiving a top class third level education through these facilities and must be reviewed. We must examine more meaningful ways of allowing students to engage in a wider variety of courses in various educational establishments which will not restrict the provision of genuine third level education to outreach centres.

Science Foundation Ireland has a large budget, which allows various experts in both Ireland and abroad to come to our universities and institutes of technology to generate new ideas for future enterprise activity. There appears to be a low level of commercialisation of research and development, whether it results from patenting arrangements, royalties or other impediment, in the context of the large-scale funding we are now deploying in universities and institutes of technology. We might have a number of good ideas emerging from research but they either do not reach the development stage or do not reach it quickly enough. A review of how we can commercialise research and development proposals from universities and institutes of technology is urgently required. Such a review could be undertaken by the Department of Enterprise, Trade and Employment or the Department of Education and Science as an external audit investigating how money is being spent to get the best value possible for the uptake of indigenous proposals to generate employment for communities arising from this large-scale State investment.

The Minister for Enterprise, Trade and Employment announced the report of the small business forum yesterday. According to the report, the education system could play a greater role in terms of encouraging entrepreneurial skills, a point with which I agree. It is a pity the Minister turned down this suggestion from junior achievers who are trying, in a voluntary capacity, to enhance the enterprise and entrepreneurial skills agenda through the education system. The Minister was not in favour of such an approach when he met the group but I understand he has changed mind with the formation of the small business forum. I welcome the inclusion of that approach in the small business forum and hope it will be enshrined in policy terms in the Department of Education and Science.

I noticed that the National College of Art and Design is seeking a relocation from its premises on Thomas Street to Belfield. It has certainly flown the kite in respect of this proposal, although it might be on hold at the moment.

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