Michael D Higgins (Galway West, Labour)
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Question 69: To ask the Minister for Arts, Sport and Tourism his views on amending the governing Act of the Irish Film Board to include support for the computer gaming industry; and if he will make a statement on the matter. [7888/10]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 70: To ask the Minister for Arts, Sport and Tourism if he has examined the audiovisual content production industry strategy framework group report; if recommendations stemming from that report have been submitted to the Department of Finance for consideration; and if he will make a statement on the matter. [8152/10]

Jim O'Keeffe (Cork South West, Fine Gael)
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Question 80: To ask the Minister for Arts, Sport and Tourism if in view of the recent nominations for Oscars for Irish films and Irish people involved in the international movie industry, he has proposals to encourage the further development of the Irish film industry; and if he will make a statement on the matter. [7949/10]

Ruairi Quinn (Dublin South East, Labour)
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Question 85: To ask the Minister for Arts, Sport and Tourism his views on amending section 481 tax relief to include computer gaming; and if he will make a statement on the matter. [7876/10]

Martin Cullen (Waterford, Fianna Fail)
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I propose to take Questions Nos. 69, 70, 80 and 85 together.

I take this opportunity to congratulate the five Irish nominations for academy awards which were announced recently. This is a wonderful achievement of which all of the Irish audiovisual industry should be proud. It is also worth pointing out that three of the nominations were for projects that were funded by the Irish Film Board. Let us hope there will be some Irish winners when the awards are handed out on 7 March.

My Department's primary operational role in supporting the film sector relates to the administration of elements of section 481 of the Taxes Consolidation Act 1997 which provides tax relief for investments in qualifying films. A qualifying film is a film for which the Revenue Commissioners have issued a certificate under section 481. The types of film eligible for certification are feature film, television drama, creative documentary and animation. These types are eligible whether computer generated or otherwise but, as Deputies are aware, computer games are currently excluded.

I recently established an audiovisual content production industry strategy framework group - the name is a mouthful - that will assist in providing a clear vision for the future of the industry and response to market changes. I have no doubt that the whole area of computer games development will be examined as a significant part of the work programme of the group. Following the receipt of the report, which I expect to be completed soon, I will examine it and if an opportunity arises to further develop the audiovisual industry here, including any changes relating to computer games development, I will make the necessary amendments to the Irish Film Board Act.

Given the great opportunities available in this area, it should not be excluded from the provisions of the legislation because it is a part of the general audiovisual sector. Similarly, if there are recommended changes required to the section 481 scheme, I will bring immediate proposals to the Minister for Finance seeking his approval and agreement.

Mary Upton (Dublin South Central, Labour)
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I welcome the two positive comments made by the Minister on computer games development, a sector which clearly has the potential to be a major industry. The House will acknowledge the brilliant recent success of small Irish film makers and a part of the gaming industry. Given their important role in this area, did the video or gaming industry have any input into the programme for building Ireland's smart economy?

Martin Cullen (Waterford, Fianna Fail)
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The industry had a role in the sense that the audiovisual sector, which embraces the entire film sector, receives a strong mention in the programme. I envisage opportunities to develop film distribution and associated activities into something akin to the International Financial Services Centre, albeit not on the same scale. One of our foremost film directors, Jim Sheridan, indicated to me that Ireland has a unique opportunity to become the centre of film distribution for Europe. I understand Germany attempted to achieve this objective some time ago but its efforts did not come to fruition for various reasons. Ireland could achieve this objective if we put together a proper plan. The matter is being examined.

The Deputy's point on the video games sector is equally valid. The most successful film ever made, "Avatar", which I would like to watch to see what impact it makes, features a phenomenal amount of computer enhancement. It would be wrong to suggest computer games are different from film given that the same skills are involved. The view that the computer games sector should be considered part of the audiovisual sector is becoming more and more legitimate.

Olivia Mitchell (Dublin South, Fine Gael)
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I welcome the positive approach the Minister is taking to this issue. The boundary between ordinary digital animation film and gaming is gradually disappearing. While gaming is a complete mystery to me, the marriage of creativity and high technology involved in it makes it a perfect outlet for young Irish people.

I have been informed that the education side of the gaming sector needs to be strengthened. Will the Minister discuss this possibility with the Minister for Education and Science? Some of the young people nominated for academy awards studied at the Ballyfermot College of Further Education and in Carlow. If we want to establish a new centre similar to the International Financial Services Centre, we must ensure the educational aspect of the audiovisual sector is strengthened. While gaming is high-tech it has low capital investment requirements. It does not require large studios such as Ardmore Studios, for example, and work can be done in a back shed on the Long Mile Road. For this reason, significant investment should be made in the educational element. I ask the Minister to speak to his colleague, the Minister for Education and Science, on the matter.

Martin Cullen (Waterford, Fianna Fail)
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I have no difficulty agreeing with the Deputy. It is extraordinary that the chap who has been nominated for an Oscar was nurtured and his skills incubated in Ballyfermot. This shows that the sector has the ability to reach across all sections of society and that enormous talent is available. We must, however, find pathways for people to access the necessary training and education skills. I have been discussing this matter with the Department of Education and Science and will continue to do so.

The audiovisual sector is worth more than €500 million per annum and employs 6,500 people. Although these figures only scratch the surface of the industry's capacity, they show what we have achieved within a short period. Of the 6,500 people working in the industry, approximately 85% of them are employed in the independent sector, while the remaining 15% are employed in broadcasting. This is the correct split and indicates that the sector is not confined to the State apparatus, as it were. I was also surprised to learn that 567 companies operate in the sector. If, however, we are to take the industry to the next level, we must up our game in all areas. That is the challenge facing audiovisual policy.

Mary Upton (Dublin South Central, Labour)
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I acknowledge the work of Ballyfermot College of Further Education. Located in my constituency, the college continues to do exceptionally well and I wish it well in future. It has great potential.

Speaking at the global Irish economic forum, Sir Gerry Robinson called for the introduction of a five year tax holiday to incentivise companies to settle in Ireland. France and Canada have provided generous tax breaks for such companies. Does the Minister support Mr. Robinson's proposal?

Martin Cullen (Waterford, Fianna Fail)
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The Deputy raises an interesting question. The use of tax breaks can be very positive, although they have not always worked and may have been available for too long in some areas. Nevertheless, it is wrong to take a general view that no tax breaks should be provided.

I agree with Sir Gerry Robinson that we must be able to compete internationally, as we do through section 481, and must be ahead of developments internationally if we want to strengthen the industry. When we introduced section 481 it was copied by many other countries as they tried to win business. There is legitimate scope for action.

In fairness to the Minister for Finance, he publicly acknowledged that of all the tax incentives we fought over for the 2009 budget, the outstanding success was section 481 which is provided to the film industry. The reason was that the level of production in the sector and its return to the economy were visible. We should not be afraid to extend the scope of the section and identify what type of additional revenue and job creation the audiovisual sector can secure for the country. The sector is an excellent example of how Ireland could be positioned and fits extremely well with the smart economy.