Capacity at Ireland’s State Airports – WDC Submission

WDC Submission on the Consultation on Review of Future Capacity Needs at Ireland’s State Airports

The WDC made a submission to the Department of Tourism, Transport and Sport on the Consultation on Review of Future Capacity Needs at Ireland’s State Airports, December 2018. Some of the key points noted are outlined below.

International Air Access

International air access is particularly important for an island economy and for connecting geographically remote regions such as the Western Region.  Without efficient air access, companies in the Region are placed at a competitive disadvantage to companies elsewhere. Infrastructure is a necessary condition for regional development and lagging regions need to have a similar quality of infrastructure as is available in more successful regions so that they can compete on a more level playing field[1]. There are two airports, Shannon and Ireland West Airport Knock, which are located in the Western Region and offer a range of international air services[2].

An EU report measuring potential accessibility by air (using an index where EU 27 = 100), found that Dublin was the only region within Ireland above the EU average, measuring 135.[3] The Border region[4] (60.2), West region[5] (66.5) and Mid-West region[6] (80.6) all recorded accessibility scores considerably below the EU average. Since this analysis there has been a reduction in air services to the regional airports through the reduction of PSO services which would suggest a lower accessibility score for the Northern and Western regions than that measured in 2009.

Nationally, the airports of Dublin, Cork and Shannon are the most important international access points. Unlike much of the country, most of counties Mayo, Sligo, Leitrim, Donegal and part of Roscommon and Galway have a greater than two hour drive-time to these airports. These centres are not adequately served by the three larger airports and Ireland West Airport Knock as the only international airport in the Northern and Western (NWRA) region, serves this catchment.

Policy Context National Planning Framework, Ireland 2040 NPF and RSES

The National Planning Framework (NPF) published in February 2018, is a planning framework to guide development and investment to 2040. Regional Spatial and Economic Strategies (RSES) are currently being prepared and are to give more detail at a regional level as to where growth should occur. A key element in the NPF vision is set out on page 11.

We need to manage more balanced growth … because at the moment Dublin, and to a lesser extent the wider Eastern and Midland area, has witnessed an overconcentration of population, homes and jobs. We cannot let this continue unchecked and so our aim is to see a roughly 50:50 distribution of growth between the Eastern and Midland region, and the Southern and Northern and Western regions, with 75% of the growth to be outside of Dublin and its suburbs.

In order to ensure the NPF can succeed, departmental and State and Semi-State Agency expenditure decisions and allocations, including the National Investment Plan need to be fully aligned with the spatial priorities outlined in the NPF and RSES.

Current policy

The National Aviation Policy predated the publication and consideration of Ireland 2040, both the National Planning Framework and the Regional Spatial and Economic Strategies. The national aviation policy can be seen to unduly reinforce the dominance of the larger airports (Dublin in particular).  Now that the NPF is Government Policy, the National Aviation Policy should be reviewed and reassessed in light of the overarching objectives of the NPF.

 Even aside from the NPF and RSES, Irish Aviation policy should ensure that policy on air access should be linked to and consistent with tourism and enterprise policy objectives. National aviation policy also needs to fully recognise the international transport function Ireland West Airport Knock provides, ensuring direct international air services to a region much of which is not in the catchment of the other international airports, Dublin, Cork and Shannon.

Increasing dominance of Dublin Airport

  • The focus of investment and ever greater expansion in this Review is at Dublin Airport despite the spare capacity at the other three main airports and the ability of these airports to serve their catchments and help drive further development in their regions. The current focus on Dublin Airport only serves the ‘business as usual’ scenario and militates against each of the other airports fulfilling the role envisaged of them and delivering better regional balance.
  • Exports: In late 2018, the Irish Exporters Association (IEA), in its policy paper titled, ‘Building a transport infrastructure that fosters Irish exports to the world’, noted that Ireland’s regions form an important counterbalance to Dublin’s economic strength. Further growth, however, is stalled by limited accessibility to high-class transportation infrastructure. Addressing connectivity in Ireland’s West, in particular, should be a strategic priority to support economic growth and regional competitiveness… The IEA specifically cited the increasing dominance of Dublin airport as an issue.
  • The Costs of Congestion: The Department of Transport, Tourism and Sport has undertaken research estimating the costs of congestion in the Greater Dublin Area (July 2017). Further growth at Dublin Airport will only exacerbate this.
  • The report addresses ‘Options for making best use of existing infrastructure’ but focuses on Dublin Airport (section 5.1.1, pages 105).The WDC believes the best use of existing infrastructure would be by promoting further traffic at Shannon and Cork and the regional airports such as Ireland West Airport Knock. This was the explicit policy position of Government as set out in the National Aviation Policy.
  • The increasing dominance of Dublin Airport in terms of national market share is likely to result in stranded asset issues and increasing spare capacity at the other international airports, Shannon, Cork and Ireland West Airport Knock.

Other Policy Options

The WDC submission also identifies Future Capacity Needs at Ireland West Airport Knock and the value of wider economic impacts for example in the Tourism sector.

The Submission also identifies policy supports which can help support increased passenger growth and an increased share of passengers at Ireland West Airport Knock and at Shannon Airport. These include route support, route development and airport enterprise promotion.

The WDC submission to the Department of Transport, Sport and Tourism on the Consultation on Review of Future Capacity Needs at Ireland’s State Airports can be downloaded here (696 KB)

[1] WDC, 2010, Why care about regions? A new approach to regional policy

[2] Donegal airport provides services to and from Dublin and Glasgow.

[3]www.espon.eu/export/sites/default/Documents/Publications/TerritorialObservations/TrendsInAccessibility/accessibility_data.xls

[4]  Donegal, Sligo, Leitrim, Cavan, Monaghan and Louth

[5] Galway, Mayo and Roscommon

[6] Clare, Limerick and North Tipperary

WDC Insights Christmas Quiz Time Again! Take the 2018 quiz now.

It’s the WDC Insights Christmas Quiz time again.  How much do you know about the Western Region and regional development issues?

Take the quiz now or save it for ‘light reading’ over the holiday…. Or take it in January to inspire you for 2019.

Whenever you do take it, I hope you enjoy it and learn from it.  Thanks to all our blog readers this year.  We hope you have found it interesting, informative and, occasionally fun (rarely you might say…) . See you next year!

The answers are at the end with links to more information and the relevant posts.

You can add up your score and see what it says about your knowledge (and personality).

 

Good Luck!

1       The Western Region  

The Western Development Commission (WDC) is a statutory body that was set up to promote, foster and encourage social and economic development in the Western Region

How many counties are under the remit of the Western Development Commission?

  1. 9
  2. 11
  3. 7

2      Caring for the West

The Western Region is home to 19% of all carers in the State, higher than its 17.4% share of the national population, showing the greater need for, and provision of, unpaid care in the region.

What proportion of the Western Region population recorded themselves as providing unpaid care in census 2016?

  1. 6.3%
  2. 2.8%
  3. 4.5%

3      Disposable Incomes in the Western Region, 2015

According to the CSO data for 2015 (released in 2018), which county in the Western Region had the highest disposable income per person?

  1. Sligo
  2. Galway
  3. Clare

4     The Creative Sector

The WDC has been working on the development of the creative economy for more than ten years, with analysis and projects to stimulate its development.

What is the average number of workers in creative enterprises in the Western Region?

  1. 4 employees per firm
  2. 6 employees per firm
  3. 3 employees per firm

  1. Nuts about NUTS

Much of the data used by WDC Insights at regional level is provided at NUTS 2 and 3 levels.

How many NUTS 2 regions are there in Ireland?

  1. 5 NUTS 2 regions
  2. 3 NUTS 2 regions
  3. 2 NUTS 2 regions

6 Renewable Electricity Generation

The Western Region has some of the best resources for on renewable energy in Europe.  The WDC has continued to highlight the opportunities and needs of this sector.

What proportion of the electricity generation capacity in the Western Region is from renewable sources?

  1. 49.5%
  2. 73.2%
  3. 40.9%

7      Broadband

The WDC has been highlighting rural broadband needs for more than a decade. It is a particular issue for our largely rural region.

What proportion of SMEs in Connacht and Ulster rate their internet connection as ‘poor’ or ‘very poor’?

  1. 73%
  2. 25%
  3. 34%

8      Enterprise in the Western Region

In September the WDC Insights publication.  ‘Enterprise in the Western Region 2016’ analysed the latest data from the CSO’s Business Demography which measured active enterprises in 2016.

How many enterprises were registered in the Western Region in 2016?

  1. 67,432
  2. 95,763
  3. 54,410

9      Farmers in the Western Region

There are three different measures of the number of ‘farmers’ in the Western Region.  The Census of Population was held in 2016, and this provides one measures of those involved in farming, data on CAP beneficiaries for 2016 provides another measure and recently released Revenue data for 2016 provides the third statistic.

Which measure shows the highest number of farmers in the region?

  1. Census 2016
  2. CAP beneficiaries
  3. Revenue data
  1. The Christmas Quiz

Why are you completing the Christmas Quiz today??

  1. You know loads about the Western Region and want to show off
  2. Your boss told you to.
  3. You are afraid Santa Claus won’t come if you don’t get a high score…

 

Answers

Don’t forget to keep count of how many correct answers you have.

 

  1. The Western Region

Answer: 3) 7 counties

The seven counties in the Western Region are: Donegal, Sligo, Leitrim, Roscommon, Mayo, Galway and Clare

Read the WDC Insights blog to find out more about the issues in the region here

 

2          Caring for the West

Answer: 3) 4.5%

For more on caring in the Western Region see the post here.

 

3          Disposable Incomes in the Western Region, 2015

Answer 1) Sligo

For more information on county incomes in the Western Region see this post

 

4          Creative Economy

Answer 2) 2.6 employees per firm

Read more about the creative economy in the Western Region here

 

5          Nuts about NUTS

Answer 2) 3 NUTS2 regions

Read more changes in NUTS 2 regions here

 

6          Renewable electricity in the Western Region

Answer 1) 49.5%

Read more about Renewable electricity in the Western Region here

 

7         Broadband

Answer: 2) 25%

Read more about the issue of rural broadband here, here and here

 

8      Enterprise in the Western Region

Answer: 3) 54,410

Read more about the enterprise in the Western Region here

9        Farmers in the Western Region

Answer 2)  CAP beneficiaries

See here for more information about different measures of the number of ‘farmers’.

10      The Christmas Quiz

Any or all of these answers may be correct.  Give yourself the point for just getting this far and scroll down to see what your results mean.

 

How well did you do?

You got 9 or 10 answers correct

CONGRATULATIONS! You should be a WDC Policy Analyst!  You really know a lot about regional development, the Western Region and the Western Development Commission’s work.

 

You got between 4 and 8 answers correct

WELL DONE, a good score but some deficiencies in your knowledge. Perhaps you should read our WDC Insights posts more carefully in 2017!

 

You got between 0 and 3 answers correct

OH DEAR! Time to pay more attention to regional development and Western Region issues! You’ll have to do some extra study over the holiday! Reread the WDC Insights blog and check out the WDC publications page and re-take the quiz in the New Year  J

 

Happy Christmas!

 

 

Helen McHenry

 

Electricity Generation and Demand in the Western Region- A Renewable Story

The Western Region has some of the best resources for on shore wind generation in Europe, and in the future, as technology improves, for offshore renewable energy.  The draft National Energy and Climate Plan (NECP) submitted to the EU and published yesterday (19.12.18) made a number of commitments for 2030 in relation to electricity generation and use, including the following:

  • Renewables in our power system will rise from 30% to at least 55% with a broader range of technologies likely to be deployed, e.g. offshore wind, solar, biomass
  • Coal and peat will be removed from electricity generation which will almost halve the emissions from the electricity sector.
  • Penetration of electric vehicles into our transport fleet will build to around 20%.

These will all have a significant impact on how we will generate and use electricity.  It is therefore useful to understand the current pattern of generation and demand in the Region before considering options for the future.

The Western Development Commission (WDC) has recently conducted[1] a review of electricity transmission infrastructure in the Western Region. It examined current and future needs for transmission infrastructure in the Region, and considered how increased renewable electricity generation, along with new ways of using and managing electricity and new methods of improving the use of existing transmission infrastructure might impact on need for investment.  We have published a summary of its findings in WDCInsights Electricity Transmission for Renewable Generation- What’s needed in the Western Region?

In this post the focus is on current and future renewable generation connections in the Region.  Next year, when we have had the opportunity to review the draft NECP and consider the “all-of-Government” Climate Action Plan to be completed in early 2019, it will be clearer what renewable generation connections will be required further into the future, and from that, what further transmission investment will be important.

 

Electricity Generation in the Western Region

The Western Region already has a significant connected renewable generation; almost half of the generation in the Region is renewable (Figure 1).  There is 1,371MW of conventional generation. This capacity is mainly across Moneypoint coal fired power station in West Co. Clare (863MW), Tynagh gas fired power station in East Co. Galway (404MW) and Tawnaghmore oil fired peaking plant in North Co. Mayo (104MW). In 2017 these power stations generated 4,390 GWh, which was approximately 15% of the national demand in 2017.

Figure 1: Generation in the Western Region

Source: www.esb.ie, www.eirgrid.com and MullanGrid Consulting

There is 165MW of hydro generation in the WDC region. This capacity is mainly at Ardnacrusha hydro station in Co. Clare (86MW) and the Erne stations (65MW) in Co. Donegal.  On shore wind generation makes up the rest of the renewable electricity generation in the Region (the locations are discussed further below).

In the future with the ending of coal fired generation as committed to in the draft National Energy and Climate Plan, the vast majority of renewable electricity generation in the Western Region will come from onshore wind and other developing sources including solar and potentially offshore wind and marine generation.

 

Demand and Generation connections in the Western Region

There is substantially higher capacity of both renewable and conventional generation compared to demand in the region.  Renewable generation currently connected (1,343MW) produces approximately 3,750GWh of renewable electricity. Considering total peak demand of 651MW and assuming the nation-wide demand capacity factor of 65%, the total demand in region is approximately 3,700GWh.  It can be concluded that on an annual basis the Western Region is currently producing enough renewable generation to meet 100% of its own demand.   By 2020 the Region will definitely be a net provider of renewable electricity to the rest of Ireland making a significant contribution to the 2020 RES-E targets.

Figure 2 shows the levels of connected renewable generation in the region (1,343MW) and conventional generation (1,371MW) as discussed above.   Maximum demand (at peak) was estimated by MullanGrid as 651 MW with minimum demand 164MW.

Figure 2: Current Generation and Demand in the Western Region

Source: www.esb.ie, www.eirgrid.com and MullanGrid Consulting

By 2020 there could be approximately 1,760MW of renewable generation connected in the WDC region, 1,595MW of wind generation and 165MW of hydro generation. There is a further 1,000MW of renewable generation in the WDC region that will have contracted or been offered connections by mid-2019 (as shown in Figure 2 above) and there is 173MW of further potential on shore wind connections in the short term (as allocated under the Enduring Connection Policy Phase 1 (ECP-1)). Clearly the potential for renewable generation and the opportunities the Region provides are significant.

 

Generation and Demand at County level

It is interesting to look briefly at the patterns of generation and demand at county level in the Western Region (Figure 3).  Donegal, which has the third largest connected capacity of on shore wind generation in Ireland, is clearly significant force in the Region’s transition to renewable electricity.

It currently has 480 MW of connected renewable generation with significant hydro generation (75MW) and 405MW capacity of wind generation with a further 254MW of contracted generation.  Galway and Clare and the next most important counties for renewable generation, with Ardnacrusha making a significant contribution (86MW) in Clare, while most of Galway’s renewable generation (286MW) from wind.  These counties have high levels of contracted wind generation which will be connected in the short term.   Mayo currently has 83MW of connected wind capacity  but has 406MW of contracted generation to be connected.

Figure 3: Generation and Demand in Western Region counties

Source: www.esb.ie, www.eirgrid.com and MullanGrid Consulting

In all Western Region counties currently connected renewable generation is well above the average county demand[2].  Table 1 below gives the detail of the connected, contracted and ECP-1 capacity in each county in the Western Region alongside the estimated demand in each county (although Sligo and Leitrim are considered together).

Table 1: Connected, Contracted and future renewable generation and Demand in Western Region counties.

Source: www.esb.ie, www.eirgrid.com and MullanGrid Consulting

 

Transmission Capacity

The transmission system has been essential in enabling the Western Region to achieve these relatively high levels of renewable generation.  There has been substantial investment in the transmission network in the Region[3] the majority of which, recently, has been in upgrading the existing electricity transmission network to provide additional capacity.  However, to allow for the continued growth of renewable generation in the Region, further investment in new transmission infrastructure is required.

There is capacity in the current transmission system for more renewable generation in areas of the Western Region including large parts of Co. Roscommon, Co. Clare and Co. Galway.  However there is concern about the pace and scale of development of new transmission circuits elsewhere in the Region.  The areas of particular concern in the medium term are Co. Donegal and North Mayo.  In Donegal, by 2022, it is expected that the connected renewable generation will have exceeded the capacity of the existing transmission system.  While the planned North Connacht project[4] will provide critical infrastructure for currently connected and some of the planned renewable generation in development in North Mayo/West Sligo, it will not provide ffor further renewable generation in the area. In the medium to long term there could also be a need for new transmission circuits to Co. Sligo/Co. Leitrim. Considering the extended timelines (at least 10 years) to deliver new transmission infrastructure it is essential to take a long-term view of the generation needs and potential in these areas.

It is important that there is a three-pronged approach to developing the transmission grid in the Region:

  1. Upgrading existing transmission infrastructure;
  2. New transmission infrastructure;
  3. Implementing smart grid solutions.

Although new transmission infrastructure is the most challenging to deliver it is critical for the development of more renewable generation in the Region.  Other factors that will impact on growth of renewable generation are the planning process and the public acceptance of onshore wind generation. Recent new transmission projects have faced strong local opposition and a lack of local political support.

To achieve long term ambitious climate action increased renewable electricity generation will be essential. Therefore further investment in transmission grid with sufficient capacity for new generation connections is crucial.

 

Helen McHenry

 

[1] The Electricity Transmission Infrastructure Review for the Western Development Commission was conducted by MullanGrid Consulting.

[2] This is a simple average of minimum and maximum demand.

[3] EirGrid and ESB Networks, regulated by the Commission for the Regulation of Utilities (CRU), invest in and develop the electricity grid.

[4] http://www.eirgridgroup.com/the-grid/projects/north-connacht/the-project/

Energy and Climate Action in the Western Region- what is the way forward?

The Western Development Commission (WDC) recently made a submission to the Initial Consultation on Ireland’s National Energy and Climate Plan 2021-2030 (NECP).  This consultation was based on the template for the draft plan which Ireland is required to complete by the end of the year. The draft plan, once completed, will itself be the subject of a separate consultation process.  The WDC response focused on areas on which we work and on issues of key importance to the Region including rural issues, renewable energy and biomass use and electricity and natural gas transmission infrastructure.  The full WDC submission is available here.

Rural Issues

The Western Region (the area under the WDC remit) is very rural. Using the CSO definition 64.7% in of the population live outside of towns of 1,500 or more. Using the definition in Ireland 2040 the National Planning Framework 80% of people in Western Region live outside of towns of 10,000. Thus WDC work has a particular focus on the needs of, and opportunities for, more rural and peripheral areas.

Not only is the Western Region is very rural, it is important to also remember in regard to this Plan, that Ireland is one of the more rural members of the EU. It is critical, therefore, that the NECP takes this pattern of living into account and addresses the opportunities it provides as well as the challenges. Climate action for rural areas is not often discussed in policy and there is no significant body of work (internationally or nationally) on climate change and emissions issues for rural areas in developed countries and yet there are important differences in energy use patterns and emissions, in rural areas. While it is often acknowledged that rural dwellers have higher individual emissions the ways of addressing these are not usually explored partly because emissions reductions may be more difficult to achieve in rural areas and partly because the focus is usually on larger populations and ways to reduce the emissions of individuals living in more densely populated areas.

It should be remembered that, as in other policy areas, urban/rural is a rather simplistic division, which ignores the ‘suburban’ and the differences between rural towns and the open countryside which all have distinctive emission patterns. It is also important to be aware that people’s carbon footprints are closely linked to their incomes and consumption patterns and so do not necessarily relate directly to their location (urban or rural). In fact research in Finland[1] has highlighted higher emissions from urban dwellers based on their higher consumptions patterns. Nonetheless, despite the difficulties with a simple urban/rural dichotomy, there are of course concerns specific to rural dwellers emissions that deserve consideration.

Electricity, heat and transport are the three forms of energy use and therefore the source of emissions, for residential and commercial users and so the different urban and rural use patterns for each of these should be considered.  For more discussion of rural dwellers and climate mitigation see this post.

The WDC believes that it is essential that part of the NECP should have a specific focus on issues for rural areas, and actions to ensure that rural areas are in a position to benefit from a move to a low carbon economy (and there are many opportunities for them to do so) and that rural dwellers make a fair contribution to national goals for renewable energy and to actions to mitigate climate change.

Renewable Energy and Biomass

The WDC has been active in developing measures to promote the use of energy (in particular heat) from biomass, assessing biomass availability and the development of supply chains for its local use. Our experience has shown that strategic policy interventions must recognise the wider market environment in order to design and deliver effective, value for money policy and identify actions which result in sustainable market growth.

The WDC has shown that the renewable heat market has the potential to create considerable levels of employment across the Western Region and to provide long-term stable markets for low value wood fuels which can compete with fossil fuels and stabilise energy prices for end users (see here for WDC work on renewable energy).

An OECD report Linking Renewable Energy to Rural Development contains a useful examination of policy options and actions in fifteen OECD regions. It shows how bioenergy can provide greater local and national economic benefits than other renewable energies  and notes that bioenergy policy interventions are typically most effective when delivered at a regional and/or local level where they can be tailored to local resources and conditions.

Energy efficiency

Energy efficiency is one of the most important areas to be addressed in our NECP and this will require strategies for public, private and domestic users. The WDC believes that the public sector should be a model for energy efficiency and for use of renewable energy in heat and transport. In doing so, as well as providing examples and participating in pilot actions, the public sector will be an important customer for businesses in the developing renewable energy or climate action sectors. Given the difficulties of matching supply and demand at local levels in emerging renewable heat markets, public sector investment in energy efficiency and making use of renewable energy in day to day activities will help to stimulate the development of businesses and allow  supply chains to develop securely.

The WDC also believes that it is very important to ensure that local communities are in a position to participate in energy efficiency and renewable energy development projects. Given that a complex mix of policy instruments will be required to incentivise and empower people to achieve 2030 targets, it should be remembered that the SEAI Better Energy Community Programme has delivered almost 10% of the overall Irish energy efficiency target. If there was a suite of additional community supports in addition to the grant aid even more could be delivered. Community groups often lack time, technical expertise, access to finance and financial expertise, bargaining skills, equipment and capacity to complete lengthy grant application documents.

Energy Infrastructure

Electricity transmission

The WDC believes that it is important that we make the most of our opportunities to generate electricity where the best resource is available. For this it is essential that there is investment in transmission infrastructure in areas which have the greatest potential resources.

The WDC recently commissioned a study[2] of current and future needs for electricity transmission infrastructure in the Region.  The Western Region has a significant capacity of connected renewable generation. By 2020 there could be approximately 1,760MW of renewable generation connected in the WDC region, consisting of 1,595MW of wind generation and 165MW of hydro generation. The Western Region is currently producing enough renewable generation to meet 100% of its own demand. By 2020 it will be a net exporter of renewable energy, providing approximately 15% of the total national demand and making a significant contribution to the 2020 RES-E targets.

The Western Region has some of the best resources for on shore wind in Europe, and in the future, as technology improves, for offshore energy generation. It is therefore important to the Region and to Ireland, as well as the rest of the EU, that there is development of significant electricity transmission infrastructure projects in Donegal and North Mayo[3] in order to make the best use of this resource. While there are opportunities to use smart grid technologies to maximise the use of existing transmission infrastructure, further investment in new infrastructure is also needed. Developing electricity transmission infrastructure is a slow process, so it is important that the NECP has clear objectives in this area which can then feed into any new Grid Development Strategy so that EirGrid can develop a transmission grid fit for a low carbon economy in the long term.

Gas transmission

A significant part of the north west of Ireland does not have access to the natural gas transmission grid. As has been discussed by the WDC elsewhere, the development of the gas grid can give rise to significant savings for both commercial and domestic users (see Why invest in gas? Benefits of natural gas infrastructure for the north west). As a lower emission fossil fuel natural gas can also contribute to a reduction in emissions by users who connect and, in the future with the development of renewable gas, there will be further opportunities to lower emissions through its use in place of natural gas.

In addition, a high level study commissioned by government (conducted by KPMG) last year into the Irish National Gas Network examined issues relating to the wider economic costs and benefits of potential extensions to the Irish natural gas network, including decarbonisation, air quality, climate and emissions and regional and rural development benefits. The findings of this study have not yet been published but they should feed in to the NECP. The WDC believes that further focus on the use of natural gas as a transition fuel and on the development of gas transmission in the north west should form a key part of the NECP.

Conclusion

In this post I have outlined some of the key points in the WDC submission to the NECP Initial Consultation.  The WDC believes that the renewable energy and climate action have the potential to create considerable employment across the Western Region and to provide long term stable markets for many low value biological outputs, as well as ensuring that much of the money spent on energy remains in Ireland.  However, in order to make this happen we suggest that high level targets in the NECP should be translated into a regional and local context so they can drive the delivery of a thriving low carbon economy and spread the benefits throughout the country.

 

Helen McHenry

 

[1] Heinonen J and S Junnila, 2011 A Carbon Consumption Comparison of Rural and Urban Lifestyles Sustainability 2011, 3, 1234-1249;

[2] This study was conducted for the WDC by MullanGrid and will be available shortly.

[3] In addition to the North Connacht Project which is currently planned in North Mayo and which is unlikely to have any spare capacity by the time it is commissioned

Payments and income from farming in the Western Region

As discussed in the last blog post on farmers in the Western Region, agriculture is an important sector of Irish economy and particularly important to the rural economy and society.  In this post different measures of payments and income are examined using three different sources.  Data on CAP beneficiaries is available at county level, showing how much is received in each county, while the recently published Revenue data for 2016 provides information on average Farming Income and Gross Income for the ‘farming cases’.  Finally, the National Farm Survey, conducted by Teagasc, provides detailed information on farming income.

Each of these sources is measuring different things for different purposes so it is useful to compare them to add to our understanding of farming in the Western Region.

 

Payments from the CAP.

The Common Agricultural Policy (CAP) contributes a significant amount to the local economy.  In 2016 more than €525m was received from the CAP by the 54,215 beneficiaries in the Western Region (Table 1) with an average of €9,689 per recipient in the Western Region.

Table 1: CAP beneficiaries in the Western Region in 2016

Source: DAFM CAP Beneficiaries Database

Galway (€ 135m) and Mayo (€105m) had the highest receipts and also had the highest numbers of recipients, while Leitrim (€35m) and Sligo (€37m) had the lowest total receipts.  However, when the average receipt is considered (Figure 1) the pattern is different.

Figure 1: Average received by CAP beneficiaries in the Western Region

Source: DAFM CAP Beneficiaries Database 2016

Average receipts in 2016 were highest in Clare (€10,945), Galway (€10,292), and Roscommon (€10,050), but these were still among the lowest in the country (Clare has the 17th highest average receipt, and average receipts in Galway and Roscommon were 20th and 21st of the 26 counties). The four lowest average payments in the country were in the Western Region with Sligo the lowest in the country.  In contrast, the highest average receipts were in Dublin (€19,062 and which has a very small number of beneficiaries (867)) and in the South East with €17,806 the average in Waterford, €17,205 the average in Kilkenny and €16,194 the average in Carlow.

The very significant different in receipts between the Western Region and the South East reflect both farm size, and the enterprise type.

 

Farm Incomes- Revenue Data

In addition to information about numbers of farming cases, data is available from Revenue for both average Gross income and average Farming Income.   The data for Revenue cases from farming is from the Revenue Statistics and Economic Research Branch publication ‘The Farming Sector in Ireland: A Profile of Revenue Data’ available here.

In 2016 nationally there were 137,109 ‘farmer’ cases with an average Farming Income of €21,952.  There were 40,709 ‘farmer’ cases in the Western Region with an average Farming Income of €13,338.  Data for each of the Western Region counties is shown in Figure 2 below.

Figure 2: Average Farm Income by county- Revenue data

Source: The farming sector in Ireland: A profile from Revenue data, 2016 data, published 2018

The lowest average Farm Income is in Leitrim (€10,679), while the highest was in Clare (€16,701), but the seven Western Region counties are the seven counties with the lowest average Farm Income nationally.  Waterford has the highest average Farm Income (€35,026), followed by Kilkenny (€32,408) and Kildare (€32,292)

Interestingly, for farmer cases the Revenue also provides information about the average Gross income.  This includes income from other sources (the two most significant of these are PAYE income from employment and income from other business sources). It therefore includes income from off farm work.  It should be remembered that where couples are jointly assessed this includes the earnings of both.

Figure 3: Average Gross Income and average Farm Income in Western Region counties –revenue data

Source: The farming sector in Ireland: A profile from Revenue data, 2016 data, published 2018

Non farm income is very significant in the Western Region, accounting for most of the income in the farming cases in the Western Region indicating the importance of off farm employment in farming households.

The National Farm Survey

The final source of data on farm income is the National Farm Survey (NFS) which has been conducted by Teagasc on an annual basis since 1972.  The survey is operated as part of the Farm Accountancy Data Network of the EU and fulfils Ireland’s statutory obligation to provide data on farm output, costs and income to the European Commission. A random, nationally representative sample is selected annually in conjunction with the Central Statistics Office (CSO).  In 2016 the sample of 861 farms which represented 84,736 farms nationally.  Pig and Poultry farms are not included in the survey.

Data from the NFS is not available at county level, but Figure 4 below shows the Family Farm Income[1] for 2016 for each of the NUTS 3 regions.

Figure 4: National Farm Survey Family Farm Income by Region, 2016

Source: Teagasc, 2017, National Farm Survey 2016

The Border and the West regions, which account for six of the seven Western Region counties have the lowest Family Farm Income in 2016.  Clare is part of the Mid West region.

Comparing the data.

As Family Farm Income from the National Farm Survey is not available at county level, it is useful to compare the data on CAP beneficiaries and from Revenue tax cases at regional level.  Figure 5 shows the three different payment and income measures for the NUTS 3 regions.

In most regions, except the Border (and it should be noted the NFS does not include pigs and poultry which are concentrated in the Region) the Family Farm Income is the highest figure, while the average Farm Income for Revenue is lower.  As expected, given that it is only one of the elements of farm income, CAP receipts are lower than either income figure.

Figure 5: DAFM receipts, Revenue average Farm Income and NFS Family Farm Income 2016 by Region

Source: Teagasc National Farm Survey, 2016; The farming sector in Ireland: A profile from Revenue data, 2016 data, published 2018; DAFM CAP Beneficiaries Database2016

 

In the Border, Midland and the West Region in particular, the CAP receipts are a higher proportion of income figures, indicating the greater contribution of the subsidies to income in these regions.

Conclusions

While these three different measures are derived from different sources they are all consistent.  The West and Border have lowest income and lowest average CAP benefit as well as lower taxable income from farming.  The pattern of farming is different in these regions, with different enterprise types, smaller farm sizes and greater reliance on off farm income.  Yet farming in these regions is integral to their rural economy, the rural landscape and CAP payments and their multipliers make a significant contribution the local economy.  These are all important considerations when negotiating the next CAP.

 

 

Helen McHenry

[1] Family Farm Income represents the return from farming for the farm family to their labour, land and capital. It does not include non-farm income.  See here for more information.

How many farmers are in the Western Region?

Agriculture has traditionally been a very important sector of Irish economy and this, along with the subsidies from the Common Agricultural Policy (CAP), has meant that it is also one of the most measured sectors in the economy.

We would therefore expect to have a very good idea how many farmers are in the Western Region and it can be argued that we do.  However, because there are a variety of ways in which a person farming or receiving income from farming may be defined, there is no single definitive answer.  Instead the numbers depend on what is being measured.

In this post I look at three different measures of ‘farmer’ in the Western Region (the seven counties under the WDC remit), and discuss why there is so much variation among them.  The Census of Population was held in 2016, and this provides one measures of those involved in farming, data on CAP beneficiaries for 2016 provides another measure and recently released Revenue data for 2016 provides the third statistic.

In 2016 in the Western Region there were 20,880 people whose occupation was ‘farmer’ according the Census of Population (see Fig. 1), while there were 40,709 Revenue ‘farmer’ cases (see discussion below) and 54,215 CAP Beneficiaries.

Figure 1: Three measures of ‘farmer’ numbers in the Western Region 

 

Source: CSO Census of Population, 2016, Profile 11  Employment Occupations and Industry, Table EB049; Revenue Statistics and Economic Research: The Farming Sector in Ireland: A Profile from Revenue Data Statistics Update2018, Table 5; DAFM CAP Beneficiaries 2016 database. Western Region totals are own calculations

 

There are clearly very significant differences among these three measures, so what do they mean in terms of numbers in farming?

 

The Census of Population 2016

The smallest measure of farmer numbers in the Western Region is from the Census of Population in 2016.  The number of famers in this Census is based on detailed occupational data for those who have described their main occupation as ‘farmer’.  This is one of 328 categories and nationally ‘farmer’ is the second largest occupation group accounting for 3.5% of the work force.  As noted the numbers here refer to farmers rather than those working in agriculture or in other areas who are part of the broader category of Farmers fisheries and forestry workers (22,733 people in the Western Region).

The most important thing to note for this measure of ‘farmer’ is that those categorised here are only those who consider their main occupation to be farmer.  Those with other work who farm on a part time basis or for other reasons do not consider farming to be their main occupation are not included here.  The decision as to what is their main occupation is made by the person filling in the census form.

Figure 2: Excerpt from 2016 Census of Population form

Source: CSO https://www.cso.ie/en/census/2016censusforms/

Revenue Cases: Farming

The data for Revenue cases from farming is from the Revenue Statistics and Economic Research Branch publication ‘The Farming Sector in Ireland: A Profile of Revenue Data’.  The first report was prepared in 2015 to add to the evidence available on the agricultural sector in Ireland from both an economic and taxation perspective.  Data tables in this report are updated annually with the most recent available for 2016 published in August 2018.  Both are available here.

The 2015 report provides the detailed explanation of the ‘farmer cases’ included.  There were three methods of identifying farmers on Revenue records:

  • Form 11 tax returns, filed annually by self-assessed Income Tax payers which include a check box for farmers.
  • Revenue codes its taxpayer register by NACE code and the agricultural related sectors (0-190) can be identified.
  • Through a data exchange with the Department of Agriculture, Food & the Marine (DAFM), Revenue receives information on the recipients of agricultural payments (such as the single farm payment). This information is linked to Revenue records.

Farmer cases are any of those which meet one of the three criteria noted above (a case may meet all three but is counted once).  The majority of farmers are self-assessed income tax payers and as such are required to file a Form 11 return of income for each tax year.  The file covers the vast majority of farmers in receipt of DAFM payments. Most are registered with Revenue as self-assessed individuals. Some cases hold PAYE registrations only, effectively employees within the farming sector. There are also a small number of incorporated farmers, registered for Corporation Tax.

In addition to information about numbers of farming cases, data is available from Revenue for both average Gross income and average Farming Income.  In 2016 nationally there were 137,109 ‘farmer’ cases with an average faming income of €21,952.  There were 40,709 ‘farmer’ cases in the Western Region with an average farming income of €13,338

 

CAP Beneficiaries

Data on CAP beneficiaries is drawn from the Department of Agriculture, Food and the Marine (DAFM) database.  This provides information on all farmers or companies who received money under CAP in 2016.  This is a broad definition, including all kinds of CAP payments and the database provides the names and municipality of those who received more than €1,500 in that year.   This includes a number of companies but these must fall within the definition of active farmers (see here for a more detailed discussion of active farmer definitions).

Nationally, 133,182 received CAP payments in 2016, with a total of €1,614m received, an average payment of €12,121.  In the Western Region in the same year €525m was paid to 54,215 beneficiaries, an average payment of €9,689.

 

What do the categories tell us about farmers in the Western Region?

Clearly the three categories of ‘farmers’ discussed above are all defined differently.  The census definition is the strictest, these are people whose main occupation is farming and if they do have another occupation it is of lesser importance.  The second category includes all of those making Revenue returns in relation to farming income, but this may not be their main income source.  They may have other earnings but they are in some way involved in farming in the Region.  The final category of ‘farmer’ is the CAP beneficiaries.  In the Western Region this is the largest group, taking in all those who have received a CAP payment.  Some of these may not be making Revenue returns and may only be receiving very small payments (a significant number of CAP beneficiaries receive less than €1,500 annually).  This final, largest, group is likely to include all of those with some connection to farming and may be categorised as ‘active farmers’

In contrast, nationally there were more Revenue farming cases than there were CAP beneficiaries, in other words, more had farming income for the purposes of taxation than were in receipt of CAP payments.  The Revenue farming cases includes a variety of income sources associated with farming and so this may be part of the explanation for this.

Nationally, 52% of those claiming CAP payments declared their principal occupation as ‘farmer’ on the Census, compared to 39% in the Western Region indicating that, as we know, more farmers in the Western Region have main occupations other than farming and are farming part time.  Revenue farming cases are 103% of CAP beneficiaries nationally while they are 75% in the Western Region.  For both of these, it should be noted that Revenue cases may not be a complete subset of the CAP beneficiaries, in other words not all Revenue cases for farming will be CAP beneficiaries, and vice versa.  Both nationally and in the Western Region about the number of those who consider farming to be their main occupation is about half the number of Revenue cases (51%).

Farmers in Western Region Counties

The three measures of ‘farmer’ numbers discussed above are available at county level (Figure 2).  Again the highest measure in each county is CAP beneficiaries, followed by Revenue cases and as would be expected the lowest number is those who declared their principal occupation as farmers on the Census of Population in 2016.

Figure 3: Farmer numbers in Western Region counties

Source: CSO Census of Population, 2016, Profile 11  Employment Occupations and Industry, Table EB049; Revenue Statistics and Economic Research: The Farming Sector in Ireland: A Profile from Revenue Data Statistics Update2018, Table 5; DAFM CAP Beneficiaries 2016 database.

The disparity among these three measures varies among counties, as it did between figures for the State and the Western Region as discussed above.  In the Western Region those with a main occupation as ‘farmer’ (Census of Population)  as a proportion of CAP Beneficiaries was lowest in Leitrim (26%) and Mayo (35%) counties (in all Western Region counties the number of CAP beneficiaries was higher than the number of Revenue cases). Clare, has the highest number with the main occupation ‘farmer’ at half the number of CAP beneficiaries and Sligo (43%) was the next highest.

 

So, how many farmers?

So in measuring how many farmers there are in the Western Region, we need to decide what we mean by a farmer.  Is it someone who considers being a famer their main occupation? Or someone who has some farming income which is declared to the Revenue, or someone who receives a CAP payment?

In this post different farmer definitions and numbers have been discussed giving us insight into different measures and some of the sector characteristics.  In the next post on this topic different measures of income will be considered.

 

Helen McHenry

Regional Agency-Assisted Jobs 2017

In August the Department of Business, Enterprise & Innovation published the Annual Employment Survey (AES) for 2017.  This provides an analysis of employment in Industrial and Services companies under the remit of IDA Ireland, Enterprise Ireland and Údarás na Gaeltachta.  This type of employment is referred to as ‘agency-assisted’.

In 2017, total permanent, full-time employment (PFT) in agency-assisted companies in Ireland was 379,810.  This was an increase of 19,369 jobs (5.4%) on 2016, continuing the growth trend in evidence since 2011.  Part-time, temporary or contract employment in agency-assisted firms also increased by 1,796 jobs in 2017 and now stands at 48,221, the highest number recorded in the 10-year period.

Combining PFT and Temporary/Part-time jobs brings total agency-assisted employment in Ireland to 428,031 in 2017.  This was 19.5% of total employment in the country in that year (average employment of 2,194,150 across the year, based on CSO’s Labour Force Survey).

The AES data includes a detailed regional breakdown of agency-assisted employment by employment type and ownership in Appendix B.

Regional agency-assisted employment

We will begin by looking at the three larger regions of the Border, Midlands & West (BMW), South & East and Dublin.  All three initially experienced declines in assisted employment but have shown strong recovery since 2012 (Fig. 1). The South & East region has consistently been the largest, though in recent years as Dublin has grown more rapidly it has narrowed the gap somewhat.  Meanwhile the gap between the BMW region and the others has widened in recent years.

Fig. 1: Total agency-assisted employment in BMW, South & East and Dublin regions, 2008-2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

To consider this in more detail, we’ll look at the BMW’s share of total agency-assisted employment in the State.  The BMW region’s share has followed a downward trend across all types of ownership (Fig. 2). For Irish-owned employment, its share fell from 27.1% in 2008 to 25.6% in 2017.  While for foreign-owned agency supported jobs, its share fell from 19.2% to 18.9% over the 10-year period though it was higher during 2011-2014.  The region has consistently accounted for a higher share of all Irish-owned employment than of foreign-owned.

Fig. 2: BMW region’s share of total national agency-assisted employment, 2008-2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

At the more detailed regional level (Fig. 3) the share of total agency-assisted employment in each region changed between 2008 and 2017.  Dublin’s share of total assisted jobs grew steadily from 34.4% in 2008 up to 37.6% in 2017.  The second largest region is the South West and its share also grew from 14.8% to 16.3%.  While the South East was third largest in 2008, by 2017 the West had moved into third position, with the South East dropping to fifth.  Only three regions – Dublin, South West and West – had a higher share of total employment in 2017 than in 2008.

Fig. 3: Percentage of total national agency-assisted employment in each region, 2008, 2012 and 2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

 

While the share of total assisted employment located in several regions declined, all regions experienced growth in their actual number of agency-assisted jobs between 2008 and 2017 (Fig. 4). Clearly the South West (36.3%), Dublin (34.6%) and West (27%) (influenced by Cork, Dublin and Galway cities) had very strong growth over the 10-year period, with the South East (5.1%) and Mid-East (7%) performing least well.  This helps to explain their deteriorating relative positions.

Looking at the most recent performance (2016-2017), Dublin, the Mid-West and South East had the strongest growth, up 6.2% in the year. While most other regions had growth of around 5% the Mid-East actually saw a decline in agency-assisted employment in the year.

Fig. 4: Percentage change in total agency-assisted employment in each region, 2008-2017 and 2016-2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

Regional employment by type

Data is provided on two types of employment – Permanent, full-time and Temporary, part-time or contract employment (referred to as ‘Other’).  The percentage of total employment that is ‘Other’ has generally increased over the 10-year period, though with considerable volatility.  Nationally 11.3% of total employment in 2017 is ‘Other’ compared with 9.1% in 2008.

At 13.4% the West region has the highest share of Temporary/Part-time/Contract employment in 2017 and the share has been increasing since 2015.  In Dublin however, which has the next highest share (12% in 2017), it has been declining (Fig. 5). At 8.9% the Mid-East has the smallest share of ‘Other’ employment.

Fig. 5: Percentage of total agency-assisted employment that is temporary, part-time or contract employment in each region, 2008-2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

Regional employment by ownership  

The balance between foreign and Irish-owned agency assisted employment differs substantially at regional level (Fig. 6). The three regions with the largest number of agency-assisted jobs, and also the strongest growth during 2008-2017 (South West, West and Dublin) have the highest shares of foreign-owned employment at over 57% in 2017.  The Mid-West is the other region where the majority of assisted jobs are foreign-owned.

The Midlands and Border regions have the lowest shares of foreign-owned employment and therefore the largest shares of Irish-owned employment. Two-thirds of assisted jobs are in Irish companies.

Fig. 6: Percentage of total agency-assisted employment in foreign-owned and Irish-owned firms in each region, 2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

Fig. 7 shows that over the 10-year period, the South West, Dublin and West all had 40+% growth in agency-assisted foreign-owned jobs.  At 21.5% the Border also had strong growth in such jobs, though from a lower base.  In contrast, the Mid-East and Midlands both experienced a fall in foreign-owned assisted employment.

It should be noted that some of the changes in job numbers by ownership may be due to a transfer of ownership e.g. an Irish company bought by a foreign company or a foreign company becoming an Irish company through a management buy-out etc.  When a company changes ownership, jobs in that company are re-classified as Irish or foreign and the changes back-dated to previous years.

Irish-owned assisted jobs grew across all regions during 2008-2017, most strongly in the Mid-East somewhat compensating for declining foreign-owned employment.  The South West, Dublin and Midlands also had around 20% growth in Irish-owned assisted jobs with the South East and Border regions performing worst.

Irish-owned assisted employment out-performed foreign-owned in three regions (Mid-East, Midlands and Mid-West). In the case of the West, growth in foreign-owned assisted jobs was over three times greater than growth in Irish-owned assisted jobs, in Dublin and the South West it was about double.

Fig. 7: Percentage change in total agency-assisted employment in foreign-owned and Irish-owned firms in each region, 2008-2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

Over the past year (Fig. 8), all regions experienced growth in both foreign and Irish-owned assisted employment, except for foreign-owned jobs in the Mid-East. The South East (9.4%) and Dublin (7.2%) had strong growth in foreign-owned jobs with the Mid-East, Midlands and Border performing least well.  For Irish-owned jobs, the Mid-West, West and Midlands performed strongly.

In general there was less regional variation in the performance of Irish-owned assisted employment compared with foreign-owned.  Irish-owned firms out-performed foreign-owned in all regions except the South East, Dublin and South West.

Fig. 8: Percentage change in total agency-assisted employment in foreign-owned and Irish-owned firms in each region, 2016-2017. Source: DBEI, Annual Employment Survey 2017, Appendix B.

Conclusion

The strong growth trend evident in agency-assisted employment for the past number of years continued in 2017. All regions had a greater number of agency-assisted jobs in 2017 than they had in 2008.  There were considerable regional variations however, with the South West, Dublin and the West experiencing extremely strong jobs growth over the decade, substantially driven by foreign-owned companies, which led to their combined share of total assisted jobs increasing from 58.5% in 2008 to 63.5% in 2017. These three regions also have the highest shares of foreign-owned employment and two of them (West, Dublin) have the highest shares of Temporary/Part-time employment.

While all other regions have also seen growth in the numbers working in agency-assisted firms, this has been at a substantially lower level. The Mid-East and Midlands actually have fewer jobs in foreign-owned assisted firms in 2017 than they had in 2008, though growth in Irish-owned assisted jobs compensated for this, leading to overall growth.  The Border and Midlands show the highest shares of Irish-owned assisted employment and in the past year (2016-2017) Irish-owned firms out-performed foreign-owned in these two regions, as well as in the West, Mid-West and Mid-East.

While the foreign-owned sector has been a strong driver of assisted employment growth, especially in the Dublin, South West and West regions and in the initial stages of the recovery, the Irish-owned sector has responded strongly in more recent years and shows a more even geographical spread.

Pauline White

City Led Regional Development and Peripheral Regions- Conference Report

The Regional Studies Association Irish Branch Annual Conference was held in the Institute of Technology Sligo on Friday 7th September.  Appropriate for the location, it had the theme “City Led Regional Development and Peripheral Regions”.  The presentations are available here.

Figure 1: Dr Chris O’Malley from Sligo IT

The conference covered a range of themes relating to regional development and how urban areas interact with their rural regions.  It was opened by Dr Chris O’Malley from Sligo IT who discussed the role of Sligo IT in the development of industry and manufacturing in the region and the IT’s role as an integrator of national policy at regional level.  Dr Deirdre Garvey, chairperson of the Western Development Commission, welcomed delegates to the conference noting how pleased the WDC was to be sponsoring the Annual Conference.  She also welcomed the fact that the conference was taking place in the North West, given the recognition in the National Planning Framework of the specific challenges for the region and how the National Planning Framework (NPF) and Regional Spatial and Economic Strategy (RSES) process highlight the distinct challenges and opportunities for our predominantly rural region.

These addresses were followed by a very interesting session on the history of Irish planning over the last 50 years.  Dr Proinnsias Breathnach (Maynooth University) presented on regional development policy following the 1968 Buchanan report and its impact on industry locations and spatial development.  Dr Breathnach also presented the paper by Prof. Jim Walsh (Maynooth University) who was unable to attend the conference.  He examined the influence of both the Buchanan report and the 2002 National Spatial Strategy, considered the learnings from these and the factors which will influence the success of the National Planning Framework process.  Finally in this session, Prof. Des McCafferty (University of Limerick) presented on the structural and spatial evolution of the Irish urban hierarchy since Buchanan, and examined urban population data over time and the distribution of population across the settlement hierarchy.  He noted that it was important to understand changes projected by the NPF in the context of historic trends

Figure 2: Dr Proinnsias Breathnach (Maynooth University), Prof. Des McCafferty (University of Limerick) and Deirdre Frost (WDC)

After coffee the session on Regional Strategy and Planning covered a broad range of topics.  Louis Nuachi (DIT) presented on the importance of social and cultural objectives in town planning using a case study of planning in Abuja, the capital of Nigeria.  David Minton, the CEO of the Northern and Western Regional Assembly (NWRA) discussed issues for the development of the North and West in the RSES, some of the historic development of the region and a number of the challenges in developing a region wide approach.  Finally in that session, John Nugent (IDA) discussed the IDA role in attracting Foreign Direct Investment to the region and some of the important factors which influence the location of FDI, including the importance of having a strong indigenous sector already in place and the ways the indigenous and foreign sectors are mutually beneficial.

After lunch international perspectives were provided by Dr Andrew Copus from the James Hutton Institute in Aberdeen and Professor Mark Partridge, the C. William Swank Chair of Rural-Urban Policy at The Ohio State University.

Dr Copus paper  The Scottish City Region Deals – A rural development perspective noted that optimistic assumptions about how a wider functional region benefits from city investments, are commonplace and generally unquestioned, despite meagre evidence of such impacts.   He discussed the two strands of ideas on policy for urban rural development that of polycentricity and rural urban co-operation (theories which are stronger in EU countries and in OECD work), and City Regions (which have tended to have more focus in the UK).  He highlighted the importance of defining what is meant by rural when considering the impact of such regional policies and  he discussed the development and implementation of regional policy by the Scottish and UK governments in Scotland.

He noted that in general in these deals the dominant rationale relates more to “Smart Specialisation” than to any kind of urban rural cooperation, interaction or spread effect concept, but the way growth deals developing for rural areas of Scotland will fit into the Post Brexit rural development landscape remains to be seen.

Figure 3: Audience at the conference

Prof. Mark Partridge’s paper Is there a future for Rural in an Urbanizing World and Should We Care? noted how rural areas have received increased attention with the rise of right-wing populist parties in Western countries, in which a strong part of their support is rural based. Thus, bridging this rural-urban economic divide takes on added importance in not only improving the individual livelihoods of rural residents but in increasing social cohesion.

He discussed the background of rural and peripheral economic growth, noting the United States is a good place to examine these due its spatial heterogeneity.   He showed that, contrary to public perceptions, in the US urban areas do not entirely dominate rural areas in terms of growth.  Rural US counties with greater shares of knowledge workers grow faster than metro areas (even metros with knowledge workers).

He had some clear suggestions for regional policy, noting that governance should shift from separate farm/rural/urban policies to a regional policy though a key issue is to get all actors to participate and believe their input is valued. In rural development it is important to leverage local social capital and networks to promote good governance and to treat all businesses alike and avoid “picking winners.  Rural communities should be attractive to knowledge workers and commuters, while quality of life, pleasant environment, sustainable development; good public services such as schools are important to attract return migrants.  Building local entrepreneurship is key too and business retention and expansion is better than tax incentives for outside investment.

Figure 4: Dr Chris Van Egeraat (Maynooth University)

In the final session ‘Understanding Regional and Urban Dynamics’ I gave a presentation on what regional accounts can tell up about our regional economies and discussed some of the issues associated with the regional data and the widening of disparities among regions.  Dr Chris Van Egeraat (Maynooth University) presented a paper, written with Dr Justin Doran (UCC) which used a similar method to Prof. Partridge to estimate trickle down effects of Irish Urban centres and how they influence the population in their wider regions.  Finally Prof. Edgar Morgenroth (DCU) presented on the impacts of improvements in transport accessibility across Ireland highlighting some of the changes in accessibility over time and noted that despite these changes human capital is the most important factor influencing an area’s development.

While the conference had smaller attendance than previous years there was good audience participation and discussion of the themes.  The conference papers are now available on the WDC website here and will shortly be available on the RSA website.

 

Helen McHenry

City Led Regional Development and Peripheral Regions- join the debate!

The theme of this year’s Regional Studies Association Irish Branch Annual Conference, to be held in the Institute of Technology Sligo on Friday 7th September, is “City Led Regional Development and Peripheral Regions”.

The conference will examine how urban areas interact with their rural regions and whether the development of the city or urban area leads to wider development.

Two international experts, Dr Andrew Copus from the James Hutton Institute in Aberdeen and Professor Mark Partridge, the C. William Swank Chair of Rural-Urban Policy at The Ohio State University, have been invited to present other countries’ experience on this theme and to stimulate debate about the reality of city led development.

Andrew’s paper  The Scottish City Region Deals – A rural development perspective. considers how urban-rural interaction is a long-established element of the “theory of change” associated with regional development policy. Optimistic assumptions about wider functional region benefits of city investments, are commonplace and generally unquestioned, despite meagre evidence of such impacts. A summary history of urban-rural concepts in the European policy discourse, will be followed by a brief account of rural/regional policy in Scotland. Against this background the origin and evolution of Scotland’s City Region Deals, and Regional Partnerships, will be described. The presentation will conclude with some reflections on the how these evolving arrangements fit into an already cluttered policy landscape, their compatibility with rural policy “mainstreaming”, and the likely benefits for rural Scotland.

Mark’s paper Is there a future for Rural in an Urbanizing World and Should We Care? examines how rural areas have received increased attention with the rise of right-wing populist parties in Western countries, in which a strong part of their support is rural based. While the underlying reasons are complex and unique to each country, one common feature is that rural areas have typically faced recent economic decline, creating anxiety, and in some cases, anger of rural residents directed at their urban counterparts. Thus, bridging this rural-urban economic divide takes on added importance in not only improving the individual livelihoods of rural residents but in increasing social cohesion. One way to bridge this economic gap is to improve rural-urban economic linkages through an urban-led economic strategy. For example, urban growth can create commuting and market opportunities for rural residents and firms if there is sufficient connectivity. While such a process has strong theoretical advantages it also requires rural areas to more carefully think about quality of life to attract and retain residents who would otherwise relocate to urban areas.

The issues in Ireland are examined in other presentations and it is to be hoped that the conference will provide useful input to the discussion about regional development in Ireland as the Regional Spatial and Economic Strategies of Project Ireland 2040 are drafted. The draft conference programme is below.

Detailed Conference Information can be accessed here (including speaker bios, directions, and accommodation). 

Register here for the conference (€70 including lunch) and come along and join in the debate.

 

Helen McHenry

A Snapshot of the Western Region – WDC publishes a series of county infographics

The Western Development Commission (WDC) has just published a series of eight infographics showing of key statistics for the Western Region and each of its seven counties.  The data is from the CSO’s Census of Population in 2016 with analysis by the WDC.

 

The infographic shows

  • The population of the county
  • The percentage living in rural areas.
  • The percentage of the working age population is in the labour force
  • Average time to travel to work in minutes

There is a different infographic for each county and there is also one for the Western Region.   The Region’s infographic  shows the Western Region population growth since the last Census in 2011 (1.0%) and the growth over the last ten years (8.7%).

The Region has more females (50.4%) than males and that 15% of the population are over 65 and more than a fifth are under 15 (21.1%).

Infographics are an entertaining way to provide information about the Region and its counties.  They show important county characteristics and information in an accessible and lively way.  We hope they will be used in schools and in workplaces and anywhere that people want to know more about the places where they live or are visiting.

There is a good mix of statistics highlighted on the infographics, showing access to broadband in the Western Region (64%) and also that most of the population consider themselves to be in very good health (57.6%).

The infographics also give information about work and education.  In the Western Region the average time taken to travel to work is 24.8 minutes.  59% of the working age population is in the work force and 39% have a third level qualification.  Two employment sectors are also shown.  Almost 14% of the Region’s workers are in Industry and 6.8% working in agriculture.

You can download the infographics for the Western Region and for the seven counties here:  https://www.wdc.ie/publications/reports-and-papers/

 

Helen McHenry