Local view for "http://purl.org/linkedpolitics/eu/plenary/2000-10-24-Speech-2-125"
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"en.20001024.4.2-125"2
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"State aids have been traditionally used by Member States as instruments of industrial and social policy. Notwithstanding the move towards greater deregulation within the European Union, state aids can still play a constructive role in achieving social and economic progress.
I am a member of the European Parliament for the constituency of Connaught/Ulster. This whole region has been classified as an Objective 1 area for the seven-year period 2000-2006. If a particular region is accorded such classification then the businesses which set up in that region are entitled to receive a higher percentage of state aid than within a non-Objective 1 region. In fact, one can recall that 40% grant aid is available for fixed investment costs for new businesses setting up within the Objective 1 region in Ireland.
There can also be a further top-up arrangement of 15% for fixed investment costs for small and medium sized enterprises. For the purposes of this grant aid, a small and medium-sized enterprise is a company that employs less then 250 people.
Permission to grant such grant aid to companies setting up in the Objective 1 region serves a very positive economic and social purpose. It ensures that the further drift from rural to urban areas may be arrested. It also ensures that greater inward investment can take place into this region in an effort to bolster job opportunities for young people growing up in such areas.
I welcome the recent statement that radical changes are now being implemented by IDA Ireland in terms of attracting more jobs to the Objective 1 region in Ireland. IDA Ireland has been reorganising that focus so as to win half of all new jobs from Greenfield Projects in the Objective 1 region over the coming three years. This re-focus is beginning to take effect and given time and the implementation of the Government’s Programmes on Infrastructure, as outlined in the National Development Plan for the period 2000-2006, the IDA is certainly confident that it can reach this target for new projects in the Objective 1 region.
There are too many regions presently at a disadvantage from an uncompetitive infrastructure and from the lack of the business support services which are needed if the required level of new and modern business investment is to be achieved. I believe the Regional State Aid Guidelines which have been put in place to help job creation in the Objective 1 region can be implemented in their entirety and will redress regional imbalances which exist in Ireland and elsewhere.
I would also point out that many Irish-speaking areas within the constituency of Connaught/Ulster and Udaras Na Gaeltachta will also be playing a pivotal role in creating new industries in the Objective 1 region over the coming years."@en1
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