Michael Healy-Rae (Kerry South, Independent)
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Question 97: To ask the Minister for Jobs, Enterprise and Innovation the reason County Kerry does not qualify for job-related financial support from the Industrial Development Agency; and if he will make a statement on the matter. [16044/11]

Richard Bruton (Dublin North Central, Fine Gael)
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Manufacturing and internationally traded service companies in all parts of the country are eligible on an equal basis for grant aid under the headings of R&D aid, Training aid, SME aid and Environment aid. These grants are available from IDA, Enterprise Ireland, Shannon Development or Údarás na Gaeltachta, depending on the region concerned and the size of the client company. Nowadays, most agency grants to companies are paid out under these headings. All grants are paid as a percentage of costs, including job costs, incurred by the industrial company in the project concerned, and costs which receive support under one heading are not eligible for grant aid under another heading.

One form of aid which was available at relatively high rates across the country in the past was regional aid. The availability of regional aid, and the grant rates applying, is determined by the EU Commission on a regional basis in accordance with objective economic criteria, mainly the GDP per head and the unemployment level in a region, as compared to the EU average for these criteria. In the period up to 2013, regional aid is not available to large companies in Ireland except in the Border, Midland and Western region, at 15%, and in the South East and Mid-West at 10%. Regional aid is available to small and medium sized companies in the same regions at higher rates. In Kerry, while regional aid is not available to large companies, it is available to small companies at 30% and to medium-sized companies at 20%.

Project costs which receive aid under the regional aid heading are not eligible for aid under the other headings. Since regional aid rates are now relatively low in all regions, there is a tendency to use the R&D aid, Training aid, SME aid and Environment aid headings instead, and most company grants are now paid under these headings. The overall amount of grant aid paid to companies has not been reduced as amounts payable under the regional aid heading have fallen.