EU funds to aid Border regions and NI

The European Union is to provide 600 million euros in aid for the Border counties and Northern Ireland between 1999 and 2005, the Taoiseach, Mr Ahern, said yesterday.

Opening European Union House in Monaghan town - the Republic's first purpose-built EU offices outside Dublin - Mr Ahern revealed that the aid would bring the total EU programme funding for the region to over £1 billion since 1995.

This is in addition to funding from the British and Irish governments and the International Fund for Ireland, and means that inward and indigenous investors in the region could look forward to grant aid in the order of 40 per cent of costs, he said. Describing the aid as "an enormous amount of money", the Taoiseach said that the array of funding agencies in the North often led to confusion among applicants. "We have been very successful in getting EU support across a wide range of programmes and given the enthusiasm of many of the implementing agencies in supporting so many projects, local project promoters have been spoilt for choice," said Mr Ahern. The Taoiseach said it was not always understood that maximising economic development in the region was dependent on cross-Border co-operation and he was particularly pleased to see "the upsurge in cross-Border economic activity which has occurred in the last few years and which has infused new life into so many of the towns and villages north and south of the Border".

He said the CBI in Northern Ireland and IBEC were both convinced that there was much greater scope for cross-Border economic activity to mutual benefit.

The region had also done well out of INTERREG funding and indications from the European Commission suggested there would be an enhanced emphasis on cross-Border co-operation under the next INTERREG programme, which was currently being drafted, he said.

However, the Taoiseach warned that the projects supported would have to provide value for money.

"Our very success has brought us to a position where the amount of funding available to Ireland over future rounds, while still very substantial, will be reduced," he said.

"It is therefore imperative that the available funds are spent wisely and that the impact of the post-99 programmes is maximised," he added.

The Taoiseach said this could be achieved by ensuring greater integration of EU programmes, and he particularly welcomed the "one stop shop" aspect of EU House.

Already EU House is being widely tipped to become the location of one of the six North/South bodies to be set up under the Belfast Agreement, most likely the EU Structures body.

Another North/South body which would be set up to oversee the development of the inland waterways is ear-marked for Enniskillen, The Irish Times has been told. Mr Ahern said it was "no accident" that EU House was based in Monaghan, a town which he said was strategically positioned in a central, pivotal position between North and South.

Also present at the opening yesterday was Connacht-Ulster MEP Mr Pat "The Cope" Gallagher, who said the offices were well placed to become home to the EU Structures North/South body. At present, grants under the INTERREG and the Special Programme for Peace and Reconciliation are organised through the office.

It is staffed by personnel from the Department of Finance and from the Department of Finance and Personnel in Northern Ireland.