Michael Creed (Cork North West, Fine Gael)
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Question 379: To ask the Minister for Agriculture, Fisheries and Food when applications will be invited from interested parties for benefit under the State aid scheme for restructuring the Irish fishing fleet; the level of financial assistance available under the scheme; the way it is proposed to determine eligibility to benefit under this scheme; the level of financial compensation that will be available to individual applicants; the negotiations her Department has had with the Revenue Commissioners and the Department of Finance regarding the tax treatment of this package; and if she will make a statement on the matter. [29837/07]

Mary Coughlan (Donegal South West, Fianna Fail)
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I have now received the approval from the EU Commission of Ireland's state application to restructuring the fishing fleet. This restructuring programme will permanently remove some 35% of the Irish Whitefish Fleet from the sea and is an integral part of the Government's Cawley Strategy to develop a restructured, profitable and sustainable seafood industry.

I met with Fisheries Commissioner Borg last month and explained to him the urgency of getting his early approval of the scheme. I am glad to say that he has now responded favourably to my request. This substantial scheme will bring the Irish fleet into balance with sustainable available fishing opportunities.

The total recommended budget for decommissioning recommended by the Cawley Strategy was €66 million. Of this amount €58 million has been identified for the substantive element of the scheme, the decommissioning of the over 18 metre vessels in the polyvalent and beamer segments of the fishing fleet. The eligibility criteria will be set down in the published scheme and will include length of vessel, age of vessel, recent track record in fishing. The level of proposed payments under the scheme will be dependent on a range of criteria including age of vessel, track record of vessel, gross tonnage of vessel and accordingly the payment to individual vessels will depend on their individual situation.

In relation to tax treatment of payments, these are determined by the tax regime in place which is a matter for the Revenue Commissioners. I have received proposals from industry representatives for a more favourable taxation regime, and I am currently examining these proposals. I am working to deliver the necessary budget for the scheme for 2008 and future years and I am planning to launch the scheme as early as possible.