Rose Conway-Walsh (Mayo, Sinn Fein)
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224. To ask the Minister for Public Expenditure and Reform further to Parliamentary Question No. 43 of 19 April 2023, if there are limits on the amount of ERDF funds that can be transferred from “More Developed” regions to the Northern and Western region; and if he will make a statement on the matter. [20078/23]

Paschal Donohoe (Dublin Central, Fine Gael)
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Cohesion policy is the EU strategy to strengthen economic, social and territorial cohesion of Member States, through measures to reduce disparities in the level of development between regions.

There was extensive engagement with the Northern Western Regional Assembly (NWRA) in the development of the 2021-2027 programme. My predecessor appointed the NWRA as the Managing Authority of the 2021-2027 ERDF Programme for the Northern and Western region in October 2020, prior to which the NWRA played a very active role in the programming for the 2021-2027 round. The NWRA were represented on the Partnership Process Steering Group, guiding the development of the Partnership Agreement for 2021-2027. The Steering Group oversaw the development of a Needs Analysis by Indecon Economic Consultants, specifically looking at regional development needs, including the Regional Spatial and Economic Strategies (RSES). The NWRA were also part of a working group that managed the public consultation process to inform the use of EU funding for the next period. In December 2020 the NWRA and other Regional Assemblies, oversaw a paper on high-level priorities for the 2021-2027 ERDF Programmes. Drawing on all of these, the Northern Western Regional ERDF Programme focuses on three selected Policy Objectives, and chose three priorities;

Priority 1: A Smarter and More Competitive Region;

Priority 2: A Low-Carbon Energy Efficient Region;

Priority 3: Sustainable and Integrated Urban Development.

ERDF resources at Union level were determined as part of the overall negotiations of the EU Budget for the 2021 – 2027 period, and used an agreed allocation methodology. Allocations for transition regions and more developed regions were established by taking account a range of factors including population, relative GDP per capita, unemployment, youth unemployment, greenhouse gas emissions etc. In recognition of the Region in Transition status of the Northern and Western region, my predecessor decided, in consultation with the Regional Assemblies, to transfer €20m in ERDF resources from the two More Developed Regions to the Northern and Western Region. My Department, in conjunction with the Regional Assemblies, engaged with the Commission on this matter and secured their agreement on this use of ERDF funds.

The two ERDF programmes for the 2021-27 period have undergone nearly three years of development as set out above, are now finalised, and were formally adopted by the Commission on the 18th of November 2022. There are no unallocated funds available at this point as commitments to the seven-year programme have been made, and schemes under Priorities 1, 2, and 3 in both ERDF Programmes have been allocated funding, and are proceeding based on funds allocated.