Bernard Allen (Cork North Central, Fine Gael)
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Question 58: To ask the Minister for Arts, Sport and Tourism his views on whether the structure of the organisations leading the tourism industry are best designed to deliver the strategic direction required during the current economic downturn; and if he will make a statement on the matter. [23613/09]

Martin Cullen (Waterford, Fianna Fail)
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The Department of Arts, Sport and Tourism's role in relation to tourism lies primarily in the area of national policy providing the strategic direction required. Its remit is to support the growth of a competitive and sustainable tourism industry, enhancing its contribution to national economic and social goals, through the development, implementation and influencing of a range of policy actions and programmes by the Department, its Agencies and other Government Departments, in consultation with industry partners.

The tourism agencies, operating under the aegis of the Department, have been established to deal with the administration of that policy.

There has been a major reform of Irish tourism structures in the last decade with the setting up of Tourism Ireland and Fáilte Ireland. Reform of the function, role and operational aspects of regional structures was the most recent element of that reform process.

Fáilte Ireland was established under the National Tourism Development Authority Act 2003, following the amalgamation of Bord Fáilte Éireann and CERT, to encourage, promote and support tourism as a leading indigenous component of the Irish economy. Its primary functions are the development of quality tourism product, domestic tourism marketing, tourism standards, enterprise support, capability building and human resource development for the tourism industry. Fáilte Ireland makes a vital contribution to the tourism industry in Ireland in delivering on its various functions. The period from 2003 to 2008 has seen an 80% rise in domestic holiday expenditure, from €575 million to €1.028 billion. In addition, substantial new tourism product has been rolled out, the grading and classification systems for all categories of accommodation, including hotels, has been updated and many trainees have been skilled to a high standard to enable them to deliver a quality customer service to holidaymakers in Ireland.

As part of the Good Friday Agreement, tourism was designated an area for cooperation under the North-South Ministerial Council. In December 1998, the parties to the Agreement decided that a publicly owned limited company would be established by the Northern Ireland Tourist Board and the then Bord Fáilte Éireann to carry out functions related to the promotion of tourism to the island of Ireland. The company, Tourism Ireland Limited, was formally incorporated on 11 December 2000.

The Company is accountable to the North South Ministerial Council with funding for its operations being provided by the Department of Enterprise, Trade and Investment in Northern Ireland and by the Department of Arts, Sport and Tourism in the South. The primary remit of the company is to promote the island of Ireland as a tourist destination in overseas markets.

Tourism Ireland is generally regarded as being highly effective, by its international peers as well as the tourism industry on the island. The company works closely with Fáilte Ireland, NITB, and the tourism industry in delivering its remit.

In summary, Tourism Ireland's role is to maximise the number of visitors coming to the island of Ireland from overseas while Fáilte Ireland's role is to ensure that the tourism experience in the South is to the highest possible standard. I am satisfied that both organisations have key complementary roles to play in sustaining the valuable contribution of tourism to Ireland's economy.

Turning to the regional level, five Regional Tourism Authorities passed resolutions during the summer of 2006 to dissolve. The staff, property and responsibilities of these authorities were subsumed into Fáilte Ireland with new Regional Tourism Development Boards being established in each area.

The five Regional Tourism Development Boards published their Regional Development Plans for the years 2008-2010 in late 2007. The plans provide a road map so that all key players can effectively contribute to the further development of sustainable and economically beneficial tourism in their region. They also define the priorities for each region's product and service development, destination marketing, and enterprise development in the period 2008-2010.

In the case of Dublin, an autonomous body - Dublin Tourism - remains in place. This is in recognition of Dublin's position as a capital city competing with other European cities for city break visitors. Within the context of the wider changes at regional level, the Memorandum and Articles of Association of Dublin Tourism were substantially altered to address corporate governance issues, to clarify its future role and its relationships with Fáilte Ireland. It is now a subsidiary of Fáilte Ireland.

Shannon Development is the Regional Tourism Authority for the Shannon Region which includes Clare, Limerick, North Tipperary & South Offaly. However, the Region, as is the case with other regions, has a Regional Tourism Development Board. This Board works closely with the executive of Shannon Development and the main Board of Shannon Development on tourism matters. The Department of Arts, Sport & Tourism provides funding to Shannon Development to fund promotional and tourism related activities throughout the Shannon Region, although the bulk of its funding is provided through its own resources income.

Dublin Tourism and Shannon Development also published Regional Development Plans for the years 2008-2010 during 2008. I am satisfied that the seven Regional Boards are delivering on their remit to develop regional tourism and that their plans are providing the framework to enable them to do so.

All of these organisations are aware of the need to ensure maximum value for the money received from the Exchequer and this is reflected in the close cooperation between the agencies in their operations as well as in their business planning.

Given the performance of the tourism industry in recent years I am satisfied that the institutional framework for delivering services to the industry has served us well. At the same time, it is important that the strategic framework for tourism development is flexible enough to respond, if necessary, to the changing economic environment and in this regard the tourism framework is the subject of regular review to ensure it is fit for purpose.