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Dáil
‹ Ceisteanna — Questions. Oral Answers. - Traditional Industries.

Technology acquisition grant scheme

Summary

Taylor asks when the proposed grants will begin; Bruton says legislation is in preparation, expects it around June, and explains that IDA grants may cover up to half the cost of acquiring technology. Members question the delay, the scheme’s scope and design protection; Bruton says existing assistance is available in some cases and will consult the electronics industry about protection concerns.

asked the Minister for Industry, Trade, Commerce and Tourism if the proposed new technology acquisition grant scheme referred to in the White Paper on Industrial Policy has yet been implemented; and, if not, if he will specify details of this proposed new scheme and indicate how it is intended to operate it.

Comment on this
John Bruton Mr. J. Bruton Fine Gael

The legislation necessary to give effect to the initiatives and new policy directions contained in the White Paper on Industrial Policy is being prepared in my Department. This legislation will contain provision for the payment by IDA of technology acquisition grants not exceeding 50 per cent of the cost of acquiring new product or process technology. The eligibility criteria for technology acquisition grants will be set out in the legislation.

Comment on this

What is the reason for the delay of some six months since the industrial policy document was prepared in bringing this legislation before the House? Also, how much has been provided for these grants in 1985? Have the IIRS staff as yet been assigned to any of the major IDA offices to assist in technology transfer, as was promised in the White Paper?

Comment on this
John Bruton Mr. J. Bruton Fine Gael

There has not really been any undue delay with regard to the preparation of this legislation. It was anticipated that legislation of this kind would not be introduced immediately after the White Paper. It will be introduced in the House, I would expect, around the month of June. I cannot tell the Deputy exactly what the financial provisions of 1985 concern but, in practice, what happens is that the IDA are given a block grant for all their activities and they make provision for individual grant schemes according to demand. Therefore, we do not have to set for them a particular sum of money separately for technology acquisition grants.

The location of IIRS staff in overseas offices is proceeding. I do not think that any are actually in posts at this time but they will be, I expect, during this year. The progress of all these measures is the responsibility of a management committee on industrial policy which has been established under the chairmanship of my Department and on which all these agencies are represented. This body will shortly be meeting on a six weekly basis to make sure that we achieve these objectives as speedily as possible.

Comment on this

Would the Minister not agree that the thrust of the industrial White Paper is, to a very substantial extent, on the question of technology acquisition? That being so, would he not agree that it would be disappointing that a relatively simple and non-complex measure would have to take a year or thereabouts from date of publication of the White Paper before these arrangements for grants for technology acquisition could be actually made available to firms that would and could use them to great advantage?

Comment on this
John Bruton Mr. J. Bruton Fine Gael

I would have preferred if the legislation could have been ready more quickly, but the legislation is not solely dealing with technology acquisition. It is dealing with many other matters as well. If we had taken the technology acquisition grant scheme on its own we could probably have brought that in by now. We are including it in the overall legislation. While this scheme is not in place, it is possible for firms acquiring technology abroad to be assisted by the IDA under existing schemes to some extent, but not in the manner that we would wish. I agree with the Deputy that the acquisition of technology is a key part of the White Paper and I can assure him that it will be pressed forward with the maximum speed.

Comment on this

I am just a little confused. Would the Minister make it absolutely clear to the House that the phrase "acquisition of technology" which he uses in the White Paper means the acquisition of licences and patents by those who would develop new technology in the State, as opposed to a proposal to assist individual firms who would be the end users of new technology — for example, in the acquisition of word processing equipment and that type of thing?

Comment on this
John Bruton Mr. J. Bruton Fine Gael

It is not exclusively licences and patents. As the White Paper outlines in paragraph 5.17, one of the things that may be aided will be technology licensing and know-how agreements. But also grants may be paid towards acquiring skill and expertise abroad by being trained overseas and towards the cost of arranging joint ventures where that is the most suitable route of bringing the technology into the country. It is not solely a question of patents and licences, although that will be an important part.

Comment on this

May I ask the Minister——

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

May I say at this stage before we go any further that I do not think that Question Time ever meant that, because a question is down as to whether a certain scheme has come into operation, there should be a forum for a discussion on the ins and outs of the scheme? That could go on indefinitely. May I just, before leaving the subject, refer to Standing Order No. 37, because it is generally accepted that Question Time has got a little out of hand? To me, this is one of the cardinal reasons why it has got out of hand.

Standing Order 37 says:

Supplementary Questions may be put only for the further elucidation of the information requested, and shall be subject to the ruling of the Ceann Comhairle, both as to relevance and as to number.

Now, that Standing Order might as well not be there.

Comment on this

It is a highly technical arena that we are in and the people want to know. We are being very orderly.

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

I shall just give you your heads today and see where you get.

Comment on this

That is grand. The Minister is obviously in very good form because he has been in fighting form recently. We are getting a rare opportunity and we would like to presume on this.

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

Just how you do may affect Question Time here.

Comment on this

The question is about the acquisition of new technology and is very fundamental to the Minister's thinking on the question of industrial development. This scheme has not really got off the ground. Could he indicate what protection he proposes affording to the new technology when it comes here? Is it that, in fact, the reason why this technology is not being freely made available is because of the proposed Copyright (Amendment) Bill which will remove the protection of design from some of this technology? This is causing quite a bit of a stir among the innovators of that technology within their home jurisdictions.

Comment on this
John Bruton Mr. J. Bruton Fine Gael

There have been some complaints about this. I am meeting the Federation of Electronic Industries, the main complainant, to discuss this further. I have not made up my mind what is the right thing to do until I talk to them.

Comment on this

Is it stalling the acquisition of the technology?

Comment on this
John Bruton Mr. J. Bruton Fine Gael

I do not think so but there are fears being expressed about it and I want to ascertain whether they are genuine. I do not think there is really a problem but I want to establish that for myself by talking to the people concerned.

Comment on this

I suggest it is one of the reasons the acquisition of technology has been so slow.

Comment on this
John Bruton Mr. J. Bruton Fine Gael

I do not think so but let me see. I will talk to the people anyway.

Comment on this