Written answers

Tuesday, 12 July 2016

Department of Jobs, Enterprise and Innovation

EU Funding

Photo of Pearse DohertyPearse Doherty (Donegal, Sinn Fein)
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792. To ask the Minister for Jobs, Enterprise and Innovation the amount of pre-financing, by programme, her Department has applied for in the current phase of EU funding programmes; the amount that is likely to be reimbursed to the European Commission; the reasons this money will be reimbursed; and if she will make a statement on the matter. [20582/16]

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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The current phase of the European Structural and Investment Funds covers the period 2014-2020 The European Regional Development Fund (ERDF) forms one component of the wider European Structural and Investment (ESI) Fund. Within Ireland the Minister for Public Expenditure & Reform has overall responsibility for EU Cohesion Policy and primary responsibility for the ERDF.

As part of Ireland’s submission of a draft Partnership Agreement for ESI Funds to the European Commission in 2014 my Department was required to identify expenditure across all ERDF priority areas. This includes expenditure across two regional operational programmes - one for the South and East Region and one for the Border, Midlands and Western region.

The focus of these programmes is on jobs and growth; combating unemployment and social exclusion; promoting research, technological, development and innovation (RTDI) and information and communications technology investment and the competitiveness of the business sector; and promoting an environmentally-friendly and resource-efficient economy.

The ERDF co-funded programmes were prepared by the Regional Assemblies (the Border, Midland & Western Region and Southern & Eastern Region) as these are the designated Managing Authorities for the operational programmes.

The total programmed expenditure for Ireland for the ERDF operational programmes over the 2014-2020 period will be €818 million, with an ERDF co-financing rate of 50%, i.e. €409 million.

My own Department has responsibility for €406.2m of this total programmed expenditure against which we will seek approximately €203.1 million in ERDF co-funding for the State over the period of the ERDF programme.

The following table breakdowns the constituent parts by funding agency of this programmed expenditure.

ERDF Thematic ObjectiveInvestment PriorityBreakdown of indicative commitments (DJEI agencies)
Southern and Eastern Region
Research€116.5m (Science Foundation Ireland)
Research, Technology Development and Innovation (RTDI)Innovation€60m (Enterprise Ireland)
SMESME Competitiveness€69.2m (Enterprise Ireland)
Border, Midlands, Western Region
Research€60.5m (Science Foundation Ireland)
Research, Technology Development and Innovation (RTDI)Innovation€42m (Enterprise Ireland)
SMESME Competitiveness€58m (Enterprise Ireland)
Total€406.2m
Expected associated ERDF drawdown at 50% rate over 2014-2020 period €203.1m

As regards pre-financing, it is the case that in order to be eligible for an ERDF contribution, programmes must be approved by the designated Managing Authorities who bear the main responsibility for the effective and efficient implementation of co-funded programmes. A further eligibility condition requires that ERDF funding can only be drawn down on the basis of receipted invoices or accounting documents of equal probative value which have a proven link with the relevant projects/programmes. Pre-financing is not provided for under the terms for the implementation of ERDF 2014-2020 programmes.

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