Dáil debates

Wednesday, 18 November 2009

Other Questions

Overseas Development Aid.

3:00 pm

Photo of Noel CoonanNoel Coonan (Tipperary North, Fine Gael)
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Question 54: To ask the Minister for Foreign Affairs the amount of the overseas aid budget that was allocated to each of the top ten non-governmental organisation partners here each year in 2007 and 2008; the reduction of such funding to each of these NGOs in 2009; the areas affected by these reductions; and if he will make a statement on the matter. [41879/09]

Photo of Deirdre CluneDeirdre Clune (Cork South Central, Fine Gael)
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Question 82: To ask the Minister for Foreign Affairs his plans for overseas aid funding for each of the top ten non-governmental organisation partners in 2010; if he will guarantee that there will be no further cuts in the overseas development aid budget allocated to these organisations in the lifetime of this Government; and if he will make a statement on the matter. [41880/09]

Photo of Peter PowerPeter Power (Limerick East, Fianna Fail)
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I propose to take Questions Nos. 54 and 82 together.

The Government's partnership with development non-governmental organisations, NGOs, and missionaries represents a very important element of the development co-operation programme administered by Irish Aid. The OECD has confirmed that the proportion of funding channelled by Irish Aid through NGOs is higher than for any other international donor. This year alone, we will provide €135 million in assistance through NGOs and missionaries. I am making available in tabular form to Deputy Deasy the full information he has requested in relation to the past three years, but in this reply I am focusing on the most significant elements of the information requested.

In 2007, the top ten NGOs received total funding from Irish Aid of just over €105 million. The largest amounts were provided, in descending order, to Concern Worldwide, Trócaire, Goal, Misean Cara, Self Help International, World Vision, Oxfam, Christian Aid Ireland, Concern Universal and the Niall Mellon Township Trust. Funding amounts ranged from €29.5 million for Concern to €2.5 million for the Niall Mellon Township Trust.

In 2008, the top ten funding amounts were provided to 11 NGOs, which received total funding from Irish Aid of almost €120 million. Funding ranged from €33.1 million provided to Concern to €2.5 million each for Self Help International and the Niall Mellon Township Trust. The largest amounts were provided, in descending order, to Concern Worldwide, Trócaire, GOAL, Misean Cara, Christian Aid Ireland, Oxfam, Concern Universal, World Vision, Irish Fair Trade Network, the Niall Mellon Township Trust and Self Help International.

These figures represent the total amounts received by each NGO from all budget lines administered by Irish Aid under Vote 29 of the Department of Foreign Affairs. They include funding for long-term development programmes, for development education and, crucially, for emergency and relief operations. Comprehensive figures for 2009 are not yet available, as some disbursements are inevitably dependent on emergency and humanitarian situations which may develop. Based on grants provided to date, the top ten NGOs have received a total of €89.7 million in funding from Irish Aid. The amounts involved range from €23.8 million provided to Concern to €2.8 million for Self Help Africa.

The overall funding involves a total reduction of some €30 million on last year because of the difficult adjustments which were required to the aid budget. Irish Aid provides funding to the NGOs in a manner which allows them maximum autonomy in the management of funds against agreed objectives and audit reports. We are working with the NGOs to identify ways in which assistance can be delivered more efficiently in an environment of decreasing resources.

As Deputy Deasy will appreciate, I cannot give an undertaking in relation to the exact allocations in 2010 for each of the top ten NGOs in advance of the 2010 budget.

Photo of John DeasyJohn Deasy (Waterford, Fine Gael)
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I thank the Minister of State for his response. Turning specifically to one allocation to one NGO, unfortunately, this has been the subject of some public disagreement in the last week. The Minister of State mentioned the Niall Mellon Township Trust and perhaps he could clarify the situation. The director of the charity's operations has denied that it failed to supply a detailed report to Irish Aid on how it has spent the moneys allocated to it. We all appreciate the amazing work this charity has performed and how many thousands of volunteers have gone to South Africa to build houses there for the poor. It is unfortunate that this has occurred, so perhaps the Minister of State could respond specifically to the case in hand.

Photo of Peter PowerPeter Power (Limerick East, Fianna Fail)
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I agree with Deputy Deasy's comments about the very good work that has been carried out, but I repeat what I said last week at the Joint Committee on European Affairs to the effect that I cannot accept the suggestion that Irish Aid officials have been slow or not exemplary in the carrying out of their duties. Irish Aid has been described by the OECD as one of the most efficient and effective programmes in the entire world. Its programme has been described as "cutting edge" by the OECD and been praised for its flexibility. It is not slow or inflexible, but rather it is efficient and effective. It is not just us who are saying this, but rather the OECD, which has often been critical of this country.

The factual position in relation to the exact point Deputy Deasy raised is that Irish Aid has not received any funding application from the Niall Mellon Township Trust. Indeed, we are not in a position to receive such an application because we still await audited accounts, together with supporting financial statements setting out how €5 million of Irish Aid money has been accounted for.

Deputy Deasy will be aware from his experience of travelling to numerous countries and looking at our NGO projects that every funding agreement between Irish Aid and any organisation contains a very specific requirement on those who receive taxpayers' money to provide each year fully audited accounts together with supporting financial statements identifying exactly how the money has been spent. The financial reports should give a very clear and transparent picture of how taxpayers' money has been spent and Irish Aid is still awaiting these audited accounts and supporting financial statements before any application can be considered.

Photo of John DeasyJohn Deasy (Waterford, Fine Gael)
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I thank the Minister of State. Mr. Mellon, the head of the charity in question, has been before our sub-committee and he has a different take on matters regarding the aid budget, which is fair enough. As far as this matter is concerned, I can only hope that it will be dealt with expeditiously.

Photo of Peter PowerPeter Power (Limerick East, Fianna Fail)
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I share Deputy Deasy's view that this should be dealt with expeditiously. As I mentioned in my formal reply, we disburse well over €100 million to non-governmental organisations, which carry out excellent work on the ground. However, the bottom line is that the Minister and the Secretary General of the Department are accountable for every single euro of Irish taxpayers' money that is spent. The obligations on all NGOs are very clear: if they are corporate entities, they must provide audited accounts and supporting financial statements tracing out exactly where every euro of taxpayers' money is spent. That is a requirement on all such organisations.

Photo of Michael D HigginsMichael D Higgins (Galway West, Labour)
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As regards what has just been aired, I agree entirely with both Deputy Deasy and the Minister of State that the quicker this is brought to a conclusion, the better. This is in nobody's interest, and neither is it in anybody's interest that any particular organisation should be allowed to present its case in preference to others. Each will have developed its own level of expertise over time.

Since the Minister of State has given allocation figures of the order of €120 million, if having secured the year for the achievement of the 0.7% of GNP and ensured no further cuts, is there not a net advantage to the Cabinet in general in using the NGO sector as a graduate placement operation? The social welfare costs are between €20,000 and €30,000 per year for every unemployed graduate. At present, right across all disciplines, a vast number of graduates are on the dole. If the NGO sector, including those bodies mentioned here, was given the capacity to place graduates, this would be an invaluable help to the graduates, the receiving countries and the Irish economy in the future.

Photo of Peter PowerPeter Power (Limerick East, Fianna Fail)
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I fully agree with Deputy Higgins. Despite the real challenges we faced to our budget last year, I still insisted on pursuing an important initiative, namely, the junior professional internship initiative, whereby young professional people who are highly qualified with a real interest in this area are placed in the Irish Aid programme. The reason to do so is the need to instil and inculcate in young people the importance of development aid because they will be the leaders of tomorrow. As for NGOs and civil society, on foot of this example I would absolutely agree. In fact, Irish Aid hosted two volunteering fairs this year whereby the NGOs and civil society groups came to the Irish Aid volunteering centre in O'Connell Street and literally set out their stalls to encourage young people to be involved in this regard. A final point underscored by recent experiences is that one should never underestimate the extremely difficult and challenging environments in which NGOs work.

Photo of Michael D HigginsMichael D Higgins (Galway West, Labour)
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This matter must be co-ordinated with the Department of Social and Family Affairs.