Ceisteanna—Questions. Oral Answers. - EC Structural Funds. Thursday, 8 February 1990

Dáil Éireann Debate Vol. 395 No. 5 Page of 78

  2.  Mr. Taylor      asked the Minister for Finance,      in respect of each of the last three years for which figures are available, the amount of Structural Funds received from the EC for the development of transport infrastructure on a project by project basis; the authority which was responsible for implementing each such project; the payments from the funds which were approved by his Department to each such authority on a project by project basis; the estimated figures for 1990; and if he will make a statement on the matter.

Mr. A. Reynolds:    The details requested are in the form of a tabular statement which I propose to circulate with the Official Report.

The amounts referred to in the tabular statement were received from the European Regional Development Fund. In [1324] accordance with long established practice, where Exchequer funded developments are being assisted from the Regional Fund, the Exchequer provides the necessary funds, including those to be recouped from the Regional Fund, in the usual way to the implementing agency and the Regional Fund receipts are then retained by the Exchequer in recoupment of the funds already advanced. Receipts in respect of developments funded from sources other than the Exchequer are paid direct by the European Commission to the source responsible for the implementation of the development.

All of the developments referred to in the tabular statement — with the exception of Connaught Regional Airport, Dublin Port and Docks and Cork Harbour — were funded by the Exchequer.

For roads other than forestry roads information is available on a project basis only for 1987 and to a limited degree for 1988. Even then, however, Commission payments frequently covered a series of projects. In such instances, it has not been possible to break down the amount received by project.

Under the national programme of Community interest for road development in Ireland, adopted by EC in December 1987, assistance was put on a programme basis. Hence the tables of aid received under this programme in 1988 and 1989 cannot be broken down by project but the projects assisted have been listed.

The Community Support Framework for Ireland which has been approved by the European Commission, provides for the payment of Regional Fund assistance amounting to 645 million ECUs, about £497 million, from 1990 to 1993 in respect of measures to offset the effects of peripherality such as roads, ports, airports and railways. The commitment for 1990 for developments of this nature is 131 million ECUs, about £100 million.

Following is the statement:

The total amounts received for each year were:

[1337]Mr. Taylor:    Is the Minister aware of the criticism of Ireland in the report of the European Court of Auditors for failing to account for the infrastructural funds paid to this Department?

An Ceann Comhairle:    I am sorry to interrupt the Deputy but this supplementary seems to relate to a specific question on today's Order Paper.

Mr. Taylor:    My question was on a project by project basis. I asked the Minister if he was aware of that criticism.

An Ceann Comhairle:    Does the Deputy's supplementary not relate to Question No. 6?

Mr. Taylor:    Deputy Bruton is at liberty to table the same question I did. That does not prevent me asking a supplementary question arising directly from the question I tabled. My question was based on the report of the European Court of Auditors. I submit that my supplementary question is perfectly in order. Is the Minister aware of the criticism of the European Court of Auditors? Is he aware of their allegation that the country has failed in its obligation to apply the Structural Funds given to local authorities for particular projects? Is he aware of the serious allegation in that report that the Minister mingled those funds with Central Fund resources rather than applying them, as we are supposed to, on a project by project basis?

Mr. A. Reynolds:    As the Chair pointed out, the Deputy's supplementary relates to Question No. 6.

An Ceann Comhairle:    I am completely satisfied about that.

Mr. A. Reynolds:    There is no reference in the Deputy's question to that report. I should like to tell him that I do not [1338] accept the criticism and I will be dealing with the matter in greater detail when replying to Question No. 6.

Mr. Taylor:    The Minister may not accept the criticism but it has been made. Will the Minister explain why he has failed to spend the money he received from Europe on a project by project basis? Will he explain why he has not passed on that money to local authorities or others to be spent on a project by project basis? That is what he is supposed to do.

Mr. A. Reynolds:    I should like to refer the Deputy to Question No. 6. What the Deputy has said is not the case. If the Exchequer gives out money in advance to a project and the money is received subsequently from the Regional Fund that money is retained by the Exchequer. It is very simple.

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