Dáil debates

Wednesday, 17 May 2006

3:00 pm

Photo of Joe CostelloJoe Costello (Dublin Central, Labour)
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Question 64: To ask the Minister for Enterprise, Trade and Employment the work programme of the unit established to monitor and evaluate EU programmes; and if he will make a statement on the matter. [18213/06]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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There are two units in my Department with responsibility for the monitoring and evaluation of European Union co-financed programmes. These are the European Social Fund policy and operations unit and the productive sector operational programme management unit, which has responsibility for the European Regional Development Fund moneys in my Department. These units also incorporate the managing authorities for EU programmes and they are supported by the internal audit unit and the ESF financial control unit. The work programmes for these two units are set out in their business plans and they are reviewed and updated annually to reflect the status of the programmes.

The key monitoring tasks include the provision of the chair and administrative support for the European Union operational programmes monitoring committees under their remit. Meetings of the monitoring committees are held at least twice annually and they actively monitor expenditure and activity under the programmes. The monitoring committees include the social partners and relevant Departments, as well as regional authorities, among their membership. The units also carry out checks to ensure that sufficient financial and management systems are in place in other bodies using EU funds under the programmes. Such bodies include FÁS, Enterprise Ireland and the Department of Education and Science.

All bodies using EU funds are required to provide comprehensive and detailed financial and programme progress reports on a regular basis to the monitoring units. In addition, the managing authorities participate in ongoing reviews of the programmes with the European Commission and engage in a formal annual implementation report process, required by EU regulations, to monitor progress on the EU programmes in general.

With regard to evaluation activity, the managing authorities arrange for ex-ante evaluations, mid-term evaluations and final update evaluations for the respective EU programmes under their remit. In the current programming period of 2000-06, other evaluation work has also been the responsibility of the Structural Funds central evaluation unit in the Department of Finance and this has covered some individual measure evaluations for the programmes managed by my Department. Further, some bodies receiving EU funds for their measures have carried out evaluations of their own measures.

In my view, these units, the ESF operations and policy section and the ERDF productive sector management unit ensure a strong, comprehensive and proactive management structure for EU funds that are managed by my Department.

Photo of Kathleen LynchKathleen Lynch (Cork North Central, Labour)
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I am sure these units go across all Departments, and the response would probably be the same. I have a question relating to Mallow sugar factory. The Department of Agriculture and Food negotiated a comprehensive deal for the producers. Does the Minister intend to make a case for the workers who lost their jobs? Would the Minister argue for a common industrial policy, to deliver the same benefits to workers that the Common Agricultural Policy has to farmers? I hear that the workers are very dissatisfied with the deal they have been offered, yet they are as much victims of the restructuring of the sugar industry as the producers.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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The question has nothing to do with the question that was tabled. I met Greencore to urge it to keep the Mallow sugar factory open and specifically asked that it be as generous as possible to the workers in any redundancy package to emerge. We have already met representatives of the workers and instructed the State agencies to do everything in their power to be of assistance to them. FÁS has been active in meeting workers, interviewing them and assessing their needs and endeavouring to place them with alternative employment in the region. I have asked Enterprise Ireland what it can do to generate further activity among its clients in the location and IDA Ireland to explore how it can attract companies to replace the jobs that have been lost in the sugar factory.

The Common Agricultural Policy has been in existence since the European Union was formed. That had an impact on the decisions Greencore took, though people differ as to the extent. Further restructuring aid is available and various claims have been made on it. Ultimately they will be decided on in another forum and the Minister for Agriculture and Food will make announcements on the mechanisms that are put in place to allocate it. There are guidelines from the European Commission in that regard. I have reservations about a common industrial policy because our industrial policy has been far more dynamic than that of the European Union. Low corporate tax rates, a strong emphasis on education and skills and the agility and responsiveness of Government to investment and pro-enterprise policies have been key factors in attracting many jobs to this country, to the extent that our unemployment rate is the lowest in Europe. We have good macreconomic policies and the economy is managed very well in that context. We will continue to work to help the workers in Mallow in every way we can. They are my priority.

Photo of Ruairi QuinnRuairi Quinn (Dublin South East, Labour)
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In the context of joined-up Government and Cabinet responsibility, the deal under the agricultural compensation package was maximised on the conditions that Greencore's Mallow plant be shut down in its entirety and its sugar processing refinery capacity be eliminated. If any capacity remains the compensation package is reduced. Whose responsibility is it in Government to suggest to Greencore that it lease or sell the plant to another State agency or company to produce ethanol, so that we can reduce the level of CO2 emissions? Is that the responsibility of the Minister for Enterprise, Trade and Employment, the ESB or the Minister for Communications, Marine and Natural Resources? Is it the responsibility of the Department of Agriculture and Food or the Taoiseach? Why ask State agencies to invite IDA Ireland to seek inward investment when we have the capacity to do it ourselves?

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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The decision on an alternative use of the plants at Mallow and Carlow is one for the company. It would be very foolish of me to commit the Government to purchase such a facility for the manufacture of a product on which significant research and preparatory work needs to be done. There has been much superficial talk about how wonderful an ethanol factory would be——

Photo of Kathleen LynchKathleen Lynch (Cork North Central, Labour)
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From the Minister for Finance.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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——but from the assessments I have received there are serious questions about its viability. We need strong evidence that we can develop such an industry in Ireland. I have worked with a number of small companies, not necessarily in Mallow, on alternative fuels. We do not own the facility.

Photo of Ruairi QuinnRuairi Quinn (Dublin South East, Labour)
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It is for sale.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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It is important to get the science right. Other countries have significant advantages over us in terms of crop yield, among other things.

Photo of Ruairi QuinnRuairi Quinn (Dublin South East, Labour)
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Nobody is responsible.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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The Government works on a collective basis. The Taoiseach has personally taken an interest in the situation in Mallow and has, with a number of Ministers, met interested parties at the plant. We are interested in real solutions for the future of Mallow.