Written answers

Thursday, 14 November 2019

Department of Public Expenditure and Reform

EU Funding

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail)
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69. To ask the Minister for Public Expenditure and Reform the number of project applications entered by the State under the European Structural and Investment Funds from 2014 to 2021, in tabular form; the number of successful agreements to date; the estimated amount of expected drawdown of funds; and the number of projects that support business growth and employability, skills development, investment and access to finance, develop green infrastructure and support social enterprise. [47064/19]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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As Minister for Public Expenditure & Reform, I have overall responsibility for EU Cohesion Policy and primary responsibility for the European Regional Development Fund (ERDF). The Minister for Education & Skills has primary responsibility for the European Social Fund (ESF). These two Funds, along with the Cohesion Fund (from which Ireland no longer benefits), the European Agriculture Fund for Rural Development (EAFRD) and the European Maritime & Fisheries Fund (EMFF) (for which the Minister for Agriculture, Food & the Marine has responsibility) now constitute the European Structural and Investment Funds (ESIF).

Ireland has been allocated a total of €3.5bn in ESI Funding for the 2014 -2020 period (€1.2bn of Structural Funds for the ERDF and the ESF, €2.2bn from the EAFRD and €148m for the EMFF). The policy context for the application of these allocations is set out in Ireland's Partnership Agreement (www.per.gov.ie/wp-content/uploads/Partnership-Agreement-Ireland-2014-2020.pdf) which is the overarching strategic document governing the ESI Funds.

With regard to the expected drawdown, it is expected that the allocated funds will be drawn down in full before programme closure. 

The EU Regulations governing the ESI Funds outline eleven categories, known as Thematic Objectives, under which ESI funding may be spent by Member States. The funding priorities identified for Ireland's ESI Funds for the 2014-2020 period are:

- promoting jobs and growth;

- combating unemployment and social exclusion;

- promoting R&D and ICT investment and the competitiveness of the business sector; and

- promoting an environmentally friendly and resource efficient economy.

These investment priorities are being progressed by several Government Departments and a large number of Agencies under their aegis.Further details in relation to the projects funded can be obtained on the websites of the Managing Authorities for the various Funds, links to which can be found on the ESIF website at .

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail)
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70. To ask the Minister for Public Expenditure and Reform the funds allocated to Ireland over the 2014 to 2020 period and expended in each year to date; the breakdown between Exchequer funding and EU funding (details supplied), in tabular form. [47067/19]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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The Department of Public Expenditure and Reform has overall policy responsibility for the European Structural and Investment Funds, and has primary administrative responsibility for the European Regional Development Fund (ERDF).

The Department of Education and Skills has primary responsibility for the European Social Fund. The Department of Agriculture, Food, and the Marine has primary responsibility for the European Agricultural Fund for Rural Development, and the European Maritime and Fisheries Fund. The Connecting Europe Facility is managed by the Department of Transport, Tourism and Sport. In relation to the Research and Innovation Framework Programme, this is a matter for the Department of Business, Enterprise and Innovation. The queries in relation to these funds have been transferred to the relevant Departments for direct reply to the Deputy.

In relation to ERDF Ireland has been allocated €410,775,098 support for the programming period 2014-2020. Details of the indicative annual allocation are set out in the following table.

Allocation of  ERDF by year (total Union support)

2014 2015 2016 2017 2018 2019 2020 Total
ERDF €55,040,482 €56,142,428 €57,266,276 €58,792,949 €59,969,564 €61,169,686 €62,393,713 €410,775,098

It should be noted that this amount is matched with 50% Exchequer funding, therefore the total allocation for ERDF programmes is €821,550,196.

In relation to expenditure, each Member State is required to submit to the Commission an annual report on implementation of the programme in the previous financial year. The most recent report available is 2018.  The total spend to end 2018, including matching Exchequer funding, was €394,465,584.

Photo of Dara CallearyDara Calleary (Mayo, Fianna Fail)
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71. To ask the Minister for Public Expenditure and Reform if Ireland will be eligible for EU cohesion funding in the MFF 2021-2027. [47073/19]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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The post 2020 Cohesion Policy Legislative package, which includes the combined European Regional Development Fund (ERDF) and Cohesion Fund Regulation, and the Multi-annual Financial Framework (MFF), which sets the overall EU Budget for the next programming period, are still under negotiation and remain to be finalised. However, I can confirm that the Commission published their cohesion policy legislative package in May 2018 with an initial indicative allocation of Structural and Cohesion fund support for Ireland of approx.  €1.088 bn for the period 2021-2027. It is important to bear in mind that this figure has not been finalised, and there is no breakdown on the final allocation of funding between the ERDF, European Social Fund+ (ESF+), and European Territorial Cooperation (ETC)/INTERREG programme. As in the present round of funding, Ireland is not eligible for Cohesion Funding in the next round as Gross National Income (GNI per inhabitant) in Ireland is more than 90% of the EU average. 

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail)
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72. To ask the Minister for Education and Skills the funds allocated to Ireland over the 2014 to 2020 period and expended in each year to date; the breakdown between Exchequer funding and EU funding (details supplied), in tabular form. [47067/19]

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail)
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87. To ask the Minister for Education and Skills the amount allocated to Ireland under the European Social Fund under the MFF programme 2014 to 2020 and in the proposed 2021 to 2027 MFF programme, in tabular form. [47066/19]

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail)
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88. To ask the Minister for Education and Skills the amount allocated to Ireland under the European Social Fund education and training, Erasmus PRO and the youth employment initiative budget for the 2014 to 2020 period (details supplied), in tabular form. [47068/19]

Photo of John HalliganJohn Halligan (Waterford, Independent)
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Following the allocation of an additional €2m funding as part of the mid-term Review of the Multi-Annual Financial Framework, the ESF co-financed Programme for Employability, Inclusion and Learning (PEIL) for the period 2014-2020 contains a total budget of €1.157 billion.  This budget comprises ESF and Exchequer contributions of €544.516m each and an EU Youth Employment Initiative (YEI) budget contribution of €68.145m. The specific YEI funding allocation for Ireland of €68m is matched by equal amounts from our ESF allocation and from the Exchequer, giving an overall allocation of €204m. The annual programme allocations for the years 2014-2020, are set out in the following table:

Year ESF Allocation € YEI Allocation € Exchequer Allocation € Total €
2014 72,960,638 38,283,943 72,960,638 184,205,219
2015 74,421,358 29,861,476 74,421,358 178,704,193
2016 75,911,109 0 75,911,109 151,822,218
2017 77,934,839 0 77,934,839 155,869,678
2018 79,494,537 0 79,494,537 158,989,074
2019 81,085,397 0 81,085,397 162,170,794
2020 82,707,948 0 82,707,948 165,415,896
Total 544,515,826 68,145,419 544,515,826 1,157,177,071

The ESF PEIL funds a range of over 20 specific activities which are implemented across a range of bodies, under 4 main priorities (in addition to technical assistance) as follows:

Priority 1: Promoting the attainment of sustainable and quality employment through relevant upskilling measures and supporting labour mobility.

Priority 2: Promoting Social Inclusion and combating discrimination in the labour market

Priority 3: Investing in Education, Training and Life Long Learning with a view to upskilling and re-skilling the labour force

Priority 4: Youth Employment Initiative.

While Priority 1 and 4 contain employment and training activities, such as Traineeships under the ETB Training for the Unemployed activity and the Springboard activity in Priority 1 and Jobsplus and the Back to Work Enterprise Allowance under Priority 4, the PEIL does not provide any funding for apprenticeships.  The ESF Managing Authority and the Operational Programme Monitoring Committee (PMC) maintain an ongoing overview of the funding allocations under the PEIL and re-allocate the available funding as required, in accordance with the EU Regulatory provisions, over the lifetime of the PEIL.

All PEIL approved activities are fully funded up-front by the Exchequer, with the EU (ESF/YEI) funding being claimed in arrears.  The EU Regulations provide that the Commission will decommit any part of the amount in an OP that hasn’t been used for payment of initial and annual pre-financing and interim payments by 31stDecember of the 3rdyear following the year of budget commitment under the OP or for which a payment application has not been submitted. As Ireland’s OP was approved in 2015, the budget commitments for 2014 fell to 2015 and had to be claimed by end 2018.  Following the designation of the Irish authorities in 2018, payment applications in respect of €221m were submitted to the Commission in 2018.  Further payment applications in respect of €142m were submitted by end June 2019 across the priorities as set out in the following table.

ESF €m YEI €m Exchequer €m Total €m Payment Applications 2018 €m Payment Applications June 2019 €m Total Payment Applications €m
Priority
1 209.864 419.728 0 137.36 137.36
2 148.808 148.808 297.616 14.51 0 14.51
3 107.699 107.699 215.397 93.87 0 93.87
4 68.145 68.145 68.145 204.436 112.25 4.75 117
5 10.00 10.00  20.00  0 0 0
Total 544.516 68.145 544.516 1157.177 220.63 142.11 362.74

Payment applications for a further €180m are currently being finalised for submission to the Commission shortly.  This will bring the total amount claimed to some €540m, representing some 47% of the OP value, by the end of the year.

The European Commission published its proposals on the Post 2020 MFF in May 2018. Ireland’s indicative allocation of EU co-finance for the forthcoming 2021-2027 ESF+ programme is €579 million in current prices. This includes other funds which are being merged with the ESF under the proposed ESF+ regulation, namely the YEI and the Fund for European Aid for the Most Deprived (FEAD). For comparison the below table details the ESF, YEI and FEAD allocations in the 2014-2020 period and the proposed ESF+ allocation for 2021-2027.

ESF Allocation PEIL 2014-2020 € YEI Allocation 2014-2020 € FEAD Allocation 2014-2020 € ESF+ Allocation 2021-2027 (includes FEAD and YEI) €
544,515,826 68,145,419 22,766,327 579,000,000

These figures are indicative as the negotiations on the MFF are continuing with the Finnish presidency due to submit a negotiation box with MFF figures ahead of the next European Council meeting in December 2019.

The ErasmusPRO initiative was introduced to boost long term mobility for VET learners. ErasmusPRO was formally announced on 5 October 2017 and first included within the Erasmus+ Call for Proposals for 2018. Therefore financial figures are only available for 2018 and 2019. In both of these years, Léargas has issued two calls for applications for funding, one in February and one in October. The allocations to Ireland under the Erasmus PRO programme are as follows:

2018 (Actual allocation) 2019 (Estimate allocation) (2020 Projected allocation)
ErasmusPRO* €0.5M €0.7M €0.8M
*Note the figures have been rounded

In 2018, the overall funding (under both calls) allocated to Erasmus+ Key Action 1 VET Mobility was €3.8m; of this, €0.5m was allocated to ErasmusPRO.  2019 figures have not been finalised since funding amounts have not yet been confirmed under the second call in October. However, the estimate is that by the end of 2019, the total for both calls will be approx. €5.2m allocated to KA1 VET Mobility, of which approx. €0.7m will be allocated to ErasmusPRO.  At present, the projected allocation for Erasmus+ KA1 VET Mobility in 2020 is €5.9m; based on figures in 2018 and 2019, Léargas would expect approx. €0.8m to be allocated to ErasmusPRO.

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