Written answers

Tuesday, 22 November 2011

Department of Enterprise, Trade and Innovation

Infrastructure Investment Plan

8:00 pm

Photo of Charlie McConalogueCharlie McConalogue (Donegal North East, Fianna Fail)
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Question 223: To ask the Minister for Jobs, Enterprise and Innovation if he will outline the specific projects that he plans for County Donegal arising from the infrastructure and capital investment plan 2012-16; and if he will make a statement on the matter. [35831/11]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The role of my Department is to ensure that we have the right policies to support enterprise and innovation so that quality employment opportunities can be grown and maintained. Strong, balanced regional development and thriving entrepreneurship in all parts of Ireland are fundamental to the country's economic growth and to job creation. To support this my Department has secured an increase in its capital budget, from €508m to its highest ever level of €514m in 2012, which reflects the high priority accorded to job creation by this Government.

Specifically in relation to Donegal, there are currently 12 IDA Ireland supported companies employing over 1,800 people in Software Development, Systems Development and the Medical Technology sectors. Donegal's industry base has moved from clothing and textile activities to other high tech activities as outlined above. A key part of IDA's strategy, Horizon 2020 is to work closely with its client companies to retain and grow their business in Ireland. Companies such as Pramerica and UnitedHealth (PacifiCare), which have located in Donegal are continuously growing and recruiting. Currently, the three largest employers in Letterkenny - Pramerica, UnitedHealth (PacifiCare) and Medisize employ in excess of 1,300 people.

At present, 45% of IDA Ireland's client company employment is outside the key urban centres of Dublin and Cork and the agency's strategy, "Horizon 2020" has set a specific goal of securing 50% of all its investments in locations outside of Dublin and Cork. There are currently 182 Enterprise Ireland client companies in Co. Donegal employing more than 2,600 people. So far this year, the agency has paid out almost €2m in funding to its client companies in the County. In addition, Enterprise Ireland has paid out almost €300,000 to Third Level colleges in Co. Donegal between Innovation Partnership and Research funding and Innovation Vouchers awarded to companies in the County.

Donegal County Enterprise Board as part of the nationwide Network of CEBs provides supports to the micro-enterprise sector throughout the County of Donegal. Subject to eligibility criteria new and developing micro-enterprises may qualify for financial support from Donegal CEB as well as availing of a range of non-financial supports. Capital funding for my Department's enterprise development agencies will be protected or enhanced over the medium term as a consequence, I expect the enterprise development agencies to deliver on their ambitious jobs targets of over 110,000 gross new jobs over the 5 years of the programme to 2016. This represents an average of 22,000 new jobs per annum.

Every new agency job is estimated to have a multiplier effect, so the overall impact on job creation of the enterprise agencies activities is estimated at 220,000 gross new direct and indirect jobs. All parts of Ireland including Donegal will benefit from this investment.

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