Ireland - Education Project

RESTRICTED Report No. PE-31a Ths report is for official use only by the Bank Group and specificaUly authorized organizations or persons. It nay not be published, quoted or cited without Bank Group authorization. The Bank Group does not accept responsibility fox the accuracy or completeness of the report. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION APPRAISAL OF AN EDUCATION PROJECT IRELAND July 19, 1971 Education Projects Department  CURRENCY EQUIVALENTS US$1.00 = Irish D0.42 Irish tl - US$2.40 El million = US$2.4 million MEASURES 1 m2 = 10.76 sq ft 1 km = 0.39 sq mi 1 hectare = 2.47 ac  APPRAISAL OF AN EDUCATION PROJECT IN IRELAND TABLE OF CONTENTS page No. GLOSSARY BASIC DATA SUIM4ARY AND CONCLUSIONS ......... ...................... i I. INTRODUCTION .................................1........ II. THE SETTING ........................................... 2 Physical Environment and Population .... ........ 2 The Economy ...................................... 3 Economic Development Strategy .................... 3 Manpower Requirements ............ 4 The Education and Training System ...... ........ 5 Education Development Strategy ............... 7 Education Finances ............................ 8 III. THE PROJECT ........................................... 9 General .......................................... 9 Comprehensive Secondary Schools , . . 9 Technical Education .............................. 10 Regional Technical College, Cork ................. 10 Senior Secondary Technical School, Limerick ...... 11 College of Commerce, Ballymun, Dublin ............ 11 Agricultural Education Centers ................ ... 12 Technical Assistance ....... ...................... 13 Cost of the Project ......................... .. ... 13 Overall Costs ............ . ........................ 14 Contingencies ......... 14 Justification .................................... 14 IV. IMPLEMENTATION . ........................................ 15 Administration ........ ................... O.-$.... 15 Procurement ...................................... 15 Disbursements ................. ................... 16 V. AGREEMENTS REACHED AND RECOMMENDATION ......,,,,,... 16 This report is based on the findings of an appraisal mission which visited Ireland during November/December 1970. The mission consisted of Messrs. 0. Markgren (general educator), R. Byron (technical educator) A. de Capitani (economist), G. Gayle (agricultural educator) and R. Welter (architect - consultant). The mission was assisted in the field by Messrs. Calika and Thint.  TABLE OF CONTENTS (Cont'd) APPENDICES I. Education and Training II. Education Finance III. Manpower Requirements ANNEXES 1. Enrollments, Graduates and Teachers by Level and Type of Education, 1968/69 2. Supply and Demand of Second Level Teachers 1968/69 and 1975/76 3. Basic Economic Indicators 4. Public Expenditure on Education 5. Projection of Public Expenditures on Education 6. Estimated Project Costs & Foreign Exchange Component 7. Project Cost by Type of Expenditure 8. Unit Capital Costs in New Project Institutions 9. Contingency Allowances 10. Enrollment, Output, Accommodations in Project Schools 11. Project Implementation Schedule 12. Estimated Disbursement Schedule 13. Comparative Education Indicators CHARTS 1. Organization of the Department of Education 2. Structure of the Education System 3. Enrollment and Population Pyramids 1968/69 4. Enrollment in Primary, Secondary and Higher Education MAP  GLOSSARY Agricultural Teaching facilities for the agricultural Education Center extension services. Comprehensive Coeducational secondary school (grades 7-11) School combining academic and pre-vocational programs in one facility jointly administered by rep- resentatives of the local authority and religious orders, and the government. Regional A multi-level, coeducational institution Technical College offering training in industrial, commercial and service occupations combining full-time, day release and block release programs on a regional basis. Day Release Part-time training under which trainees are Program released from employment to attend formal instruction for one or more days per week in each year of training. Block Release Part-time training under which trainees are Program released from employment to attend formal instruction for a period (block) of weeks.   BASIC DATA Total Population (1970): 2.9 million Pbpulation Growth Rate 1961-1970: 0.4% p.a. Urban 1.5% p.a. Rural -0.8% p.a. Average Annual Net Emigration 1961-1966: 16,000 Estimated Net Emigration 1969: 13,h00 GNP growth rate at constant prices t1958-1969): 4.1% p.a. Government current revenues as a percent of GNP (1969/70): 28.5% Primary enrollment (1969): 383,000 As percent of 6-11 year age group: 107% 1/ Secondary enrollment (1969): 185,000 As percent of 12-16 year age group: 70% Higher education enrollment (1969): 22,200 As percent of age group: 7% Government recurrent expenditure on education as a percent of government current revenues (1969/70): 12.9% Public expenditure on education as a percent of GNP (1969/70): 4.9% 1/ Including students above and below the relevant age group (repeaters, etc.)   APPRAISAL OF AN EDUCATION PROJECT IN IRELAND SUMMARY AND CONCLUSIONS i. Despite considerable improvements over the past ten years, the Irish education system is ill suited to the development needs of the country, both in qualitative and quantitative terms. An over-emphasis on academic subjects has resulted in a lack of trained manpower in both agriculture and industry, placing Ireland in an unfavorable competitive position in relation to most of the rest of Western Europe. ii. Secondary level education is now undergoing a significant change from a system of small, academically-oriented private boys' or girls' schools (generally owned and operated by religious orders) to a system of comprehen- sive, coeducational schools, incorporating pre-vocational training with academic courses. While the government is the main source of funds for the private religious schools, the Department of Education did not play a role in the operation of these schools or in the formulation of their syllabi or curricula. The new comprehensive schools, fully financed by the government, are managed by boards consisting of representatives of the religious orders, and local and state authorities. This permits government guidance and flex- ibility in programming, and assures the inclusion of pre-vocational courses in the curriculum. At present, there are four such comprehensive schools in operation; the proposed project would add twenty-four more, replacing forty- six inadequate private schools. iii. In line with the growth and reorientation of the economy, manpower needs in Ireland are shifting from traditional farming to commercial agri- culture and to industrialization. The possible entry of Ireland into the European Economic Community presents new challenges as well as new opportun- ities. This requires better-trained workers in all fields, especially in technical and managerial occupations. To help meet the demand of techni- cians and craftsmen, pre-vocational courses and the strengthening and expansion of secondary and post-secondary technical education are needed. Nine technical schools and colleges are either in operation or under con- struction, and the proposed project would add three more to aid in filling the growing manpower gap in this area. The output of the three project technical institutions from 1977-1980 would fill about 50% of the estimated shortage of skilled workers and middle level technicians in 1980 and about 15% of the shortage of higher technicians and business graduates. In an ef- fort to keep farmers abreast of rapid changes in farming, county agricultur- al extension services have been developed. Extension staff visit farms and hold special training courses throughout the country. A network of twenty agricultural education centers has already been set up; the project would provide an additional thirty. The fifty centers would offer management courses for practicing farmers and introductory courses to school leavers. iv. The project would thus consist of: (a) twenty-four comprehensive schools; (b) three technical institutions; (c) thirty agricultural educa- tion centers; and (d) two man/years of technical assistance.  - ii - v. The construction of twenty-four comprehensive schools would permit standardized schedules of accommodations. Technical assistance would be provided to assist in the development of a systems approach to design and building, and to introduce the use of industrialized building components. Contracts for civil works, furniture and equipment would be awarded on the basis of the Bank's guidelines for international competitive bidding. vi. A Project Unit, within the Department of Education, is being es- tablished to supervise the project's implementation, to coordinate activi- ties within the government and with private bodies, and to provide liaison with the Bank. vii. The total project cost is estimated at US$ 33.0 million and the foreign exchange component at US$13.0 million. The project is suitable as a basis for a Bank Loan to Ireland of US$13.0 million, for a term of 20 years including a grace period of 5 years. The Loan, which would finance foreign exchange costs, would be equivalent to about 40% of the estimated project cost.  I. INTRODUCTION 1.01 A Bank mission visited Ireland in March 1970, to identify educa- tion projects suitable for Bank financing. The findings were discussed with the government by a second Bank mission in May 1970, which also advised the government on the preparation of the project. The government subse- quently prepared the project and in August 1970 requested Bank assistance for: (i) reform and consolidation of general secondary and vocational education; (ii) expansion of secondary level technical and agricultural education; and (iii) expansion of higher level technician and commerce education. The proposed project was appraised in November/December, 1970, by a mission comprising Messrs. 0. Markgren (general educator), R. Byron (technical educator), A. de Capitani (economist), G. Gayle (agricultural educator), and R. Welter (architect-consultant). The mission was assisted in the field by Messrs. O.H. Calika and K. Thint. 1.02 The proposed project was slightly modified during appraisal; 29 comprehensive schools were reduced to 24 of larger size. Technical assis- tance also was added to: (i) introduce a systems approach to design and building in order to reduce costs; and (ii) integrate use of prefabricated or industrialized elements in the project schools. 1.03 The project, as modified, would consist of: A. Construction of and equipment for - twenty-four comprehensive schools - one regional technical college - one secondary technical school - one college of commerce - thirty agricultural education centers B. Two man/years of technical assistance in the field of: - educational facility planning - construction systems development The total cost of the project is estimated at US$33.0 million and the for- eign exchange component at US$13.0 million.  - 2 - II. TEI SETTING Physical Environment and Population 2.01 Ireland extends over 27,136 square miles. The center of the is- land consists of an extensive fertile lowland, ringed almost completely by coastal highlands, which provide difficult agricultural conditions. Com- pared with most European countries, Ireland is poorly endowed with mineral resources. Due to the Gulf stream, the climate is mild, but frequent and irregular rains make the ripening of grain crops difficult. More than 50% of total land area is under pasture. 2.02 The population of Ireland is estimated at 2.93 million. It is now growing at 0.4% p.a., still well below the rate of natural increase (1.0% p.a.) due to a declining but still heavy rate of net emigration (0.6% p.a.). This decline in the rate of emigration, which dates back to the beginning of the 1960's, is expected to gain momentum during the 1970's. By 1980, the population should reach 3.2 million, still only half as much as in 1841. 2.03 Because of the slow population growth and the concentration of emigration in the age group 15-34, Ireland's age structure shows an unusual combination of fairly high levels of both young and old dependency (42.4% in 1966). Since 1961, the active population (1.7 million in 1970) has in- creased at the same rate as total population. As a result, the ratio of those in the active age group (15-64) to those in the dependent age group has remained constant at 1:0.72 and is the most unfavorable in Europe. 2.04 The urban population represents 51.7% of the total and has been growing at 1.5% p.a. It is mainly concentrated in Dublin (750,000 inhabi- tants), Cork (125,000), and Limerick (60,000); no major town is located in the northwestern quadrant of the country. The rural population is widely scattered; the density being hiigher - despite heavy migration - where the agricultural land is poor. As a result, since land ownership is widely distributed, the agricultural holdings tend to be smaller in the least fertile areas. 2.05 The high dependency rate and the dispersion of rural population, historically, have had unfavorable welfare implications, making it diffi- cult to provide adequate healtlh, educational and other social facilities for the entire population. As a result, the general level of education, despite considerable improvements over the past decade, is still rather low by European standards. Out of 1.9 million adults (1966 census), about 1.2 million (63.2%) had only primary education, and only 73,189 (3.9%) attended post-secondary institutions. While the percentage of "functional illiteracy" among the adult population is estimated at only about 10%, the leveL of education in some major occupational groups is quite poor. In agriculture, 86.9% of men and 77.3X of women have had no more than primary schooling.  -3- The Economy 2.06 The growth of GNP in real terms has averaged 4.1% p.a. from 1958 to 1969. In 1969, the GNP per capita at factor cost was L 424 ($1,018). The rapid growth of exports, the availability of relatively cheap manpower, substantial foreign investments and a successful "mix" of fiscal and monetary policies have provided the framework for the expansion. The process of growth has not lessened and, in some cases, has tended to increase the income differentials between agriculture and other sectors and among different regions of the country. 2.07 The industrial sector (37.2% of GDP and 28.4% of employment in 1968) has been the most dynamic in recent years, growing at 7.0% p.a. since the beginning of the 1960's and providing some 60,000 new jobs. It is mainly concentrated in consumer goods production and light industries, and depends heavily on imports of raw materials and capital goods. The limited size of the domestic market, shortage of development funds, uneven quality of management and increasing shortages of high level manpower (partially due to the free entry of labor to the British market) are the major con- straints. The distribution of new industries by regions shows a marked concentration in a few "growth centers" (Dublin, Cork, Shannon-Limerick, Galway). 2.08 Agriculture still produces about 22% of GDP, employs some 30% of the labor force (40% of men at work) and contributes about one-half of exports. Four-fifths of the gross agricultural product consists of livestock and livestock products, the balance being farm crops and peat. The dominant pattern is one of small holdings, more than half of which are below the minimum size (40 acres) that is considered profitable under Irish conditions. 2.09 The service sector (41.2% of GDP and 42.2% of employment in 1968) has been growing at 3.3% p.a. since 1958, providing some 70,000 new jobs during the period. Tourism has led the expansion and now accounts for about one-sixth of total foreign current earnings. Economic Development Strategy 2.10 The objectives of the first two economic programs, (1959-1963, and 1964-1968), were to increase efficiency in agriculture and industry, to set in motion an export-based industrial growth, to create new employment oppor- tunities for labor leaving the land and to reduce unemployment and net emi- gration. 2.11 A continued export-led industrial growth, further diversification of the economy and more balanced regional development remain basic objec- tives of the economic development strategy under the Third Program (1968- 1972). The main aim is to strengthen the social and economic structure of the country in view of a possible future integration with the European Economic Community (EEC).  - 4 - 2.12 Over the period 1970-1980, CDP is expected to grow at 4.1% p.a., on the basis of 6.5% increase in industry, 2.7% in services and 2.0% in agriculture. Manpower will have to be provided with the skills and quali- fications required in a growing economy and in a rapidly changing tech- nological environment. In terms of educational strategy, this implies a need for a more scientifically and practically oriented general education and for a greater emphasis on vocational and technical training. Manpower Requirements (Appendix III) 2.13 Total employment has been growing at 0.4% p.a. since 1965 and is expected to increase at 0.6% p.a. from 1970 to 1980. High and middle- level manpower requirements are expected to grow at 2.6% and 2.0%, respec- tively. The following table shows, for some major occupational groups, the level of employment in 1970 and the projected manpower requirements for 1980 (the projection is derived from a wider exercise carried out by the Manpower Forecasting Unit in the Department of Labor; the methodology is discussed in Appendix III). Number at Manpower 1970 Manpower occunational Work in 1970 Requirements Stock Surviving Net Demand _Groups (estimated) for 1980 to 1980 1980 Professionals and Technicians 97,000 120,000 65,000 55,000 Managers and Executives 70,000 90,000 49,000 41,000 Craftsmen, Foremen 137,000 165,000 115,000 50,000 Service Workers 82,000 106,000 54,000 52,000 Farmers 293,000 169,000 190,000 (-) 21,000 All occupations 1,072,000 1,149,000 773,000 376,000 2.14 A comparison of the corresponding educational requirements and the projected educational outflows into the labor market (Appendix III) is as follows:  - 5 - Education Requirements Educational Level 1980 Supply 1970-1980 Junior Secondary 163,000 169,000 Senior Secondary 101,000 94,000 Senior Secondary (craft) 52,000 45,000 University 30,000 36,000 Other 3rd Level 30,000 19,000 2.15 While the projected supply of university graduates is clearly beyond the absorptive capacities of the labor market (as they appear now), the general secondary school is expected to meet at least quantitatively the increased demand, except at the senior secondary level. Shortages of technicians and skilled workers have already emerged in several industries and are expected to increase in the future; the likely deficit for 1980 is estimated at 7,000. Even more acute is the expected shortage (11,000) of business graduates and third-level technicians (engineering, electronics, mechanics, construction); the possibilities of substitution are limited by the low percentage of university students enrolled in technical fields. 2.16 In agriculture, the modernization and reorganization of production, distribution and processing have already resulted in a decreasing need for unskilled labor. The projected acceleration of the rate of rural migration (about 65,000 workers during the decade 1970-1980) would reduce the level of "disguised unemployment" and help increase the labor productivity in that sector. However, given the growing requirements of technology and management, an upgrading of the level of farmers education is a prere- quisite for increasing farming efficiency and raising the standard of living of the rural population. The Education and Training System (Appendix I; Annexes 1 & 2; Charts 1-4) 2.17 Education is free and compulsory between the ages of 6-14. The education system consists of (i) a six-year primary course normally begin- ning at the age of six, (ii) a secondary course comprising a three-year junior and a two-year senior cycle, and (iii) third level courses of two to seven years duration at universities and other institutions. Most prim- ary schools have kindergarten classes for 1-2 years. 2.18 Primary school enrollment was 383,000 in 1968/69, with 95% in government-aided schools. The total enrollment as percent of the age group 6-11 years was 106.8% (Appendix I, para. 5). In addition, about 125,000 students were enrolled in voluntary kindergarten classes for the age group 4-5. The primary school system is educationally well developed; about 10% of primary enrollments received remedial teaching for slow learners and 5,300 students were enrolled in special classes for retarded children. Curriculum is currently undergoing reform. Of about 11,000 teachers in the primary schools in 1968/69, 90% was qualified. Two-year teacher training  - 6 - is offered in six colleges, but a proposal for extension to three-year courses is under consideration. 2.19 Secondary school enrollments increased by 11% annually from 1965/ 66, and reached 185,000 in 1968/69 or 69.6% of the age group 12-16. Enroll- ments in non-aided schools accounted for 1.1% of total enrollments. Educa- tion has been free since 1968, and bus services for aided schools are paid for by the government. Some 17.5% of the age group 12-16 was enrolled in vocational schools or continuation schools offering pre-vocational or tech- nical education. During the last years seven regional colleges have been added to the system offering courses in industrial, commercial and service fields at both secondary and higher levels; they have a planned total ca- pacity of 8,000 students. Agricultural education is offered in 13 colleges with a total enrollment of 700. 2.20 The government has recognized the need for reform of general secondary education. The curriculum is traditional and academically orien- ted towards university entrance. The general secondary level is within the domain of religious orders, which often use outmoded school buildings and other inadequate facilities lacking equipment for teaching science and prac- tical subjects. The average size of these schools is about 200 students, separated into schools for boys and girls. A pilot program comprising four coeducational, comprehensive schools, each with 500-600 students, was start- ed in 1966 to reform and modernize general education and to coordinate edu- cation efforts made by the government, local authorities and religious orders. The schools have a broad diversified curriculum, including academic and practical subjects, and offer counselling and guidance services. They have proven to be successful. 2.21 About 80% of the total secondary staff of 10,800 teachers in 1968/69 was qualified. However, the teacher training programs, which need reform, are under review (Appendix 1, para. 26). 2.22 Higher education is in great demand and, in 1968/69, third level institutions enrolled 22,200 students representing 7.2% of the age group 17-23. Between 1965 and 1968, enrollments increased by 6.6% per year; 12% was enrolled in technical fields; one-third were girls. Enrollments for 1980 are projected to be 38,200 students, or an annual growth of about 5%. Aware of the need for a reorientation and coordination of efforts in higher education, the government has appointed a Higher Education Author- ity to advise the Minister of Education on the development of higher educa- tion. Education Development Strategy 2.23 The overall education strategy of Ireland is to promote greater efficiency and productivity of the system and a better distribution of educational opportunities through:  - 7 - (i) meeting the needs of the individual to make him an effective participant in the development of the country; (ii) coordination of all education efforts in the country; (iii) efficient use of capital investments and recurrent expenditures in education; (iv) adapting the school system to a changing society and to provide the trained manpower required for possible future participation in the EEC; and (v) making education at all levels comparable with that of other West European countries. 2.24 Implementation of the above strategy, under discussion in the 1960's, has started. Primary education efficiency is being increased by the continuous concentration of schools, construction of larger institutions and introduction of school bus services. The period of compulsory schooling will be extended gradually from six to nine years, beginning in certain counties in 1972, as more secondary schools become available. 2.25 The major objective of the general secondary education reform fs to ma'-e stw ente more nnri-A1' to qiihqqiiPnt studies and to further training and employment needs. The management of the comprehensive schools is planned to include government, religious and local interests to achieve a coordinated and common effort. A Development Branch in the Department of Education has been established and has gained considerable experience from the four pilot comprehensive schools built in 1966. The 24 comprehensive schools forming part of the project would assist the country in its efforts to reform and consolidate general secondary education. The School Building Unit in the Department of Education is introducing more efficient school sizes and construction methods, the use of designs suitable for modern teaching methods and teacher time-saving equipment. 2.26 The policy for agricultural development is designed to modernize the sector, reorganize the agricultural pattern and increase farming effi- ciency. The goals are also to help to decrease emigration and the influx to urban areas by improving income and the standard of living for farm fa- milies and the 4,000 persons annually entering agriculture. As education is essential to the attainment of these goals, the government is anxious to increase the training facilities for agriculture at all levels. Propo- sals, for ti) relocation of the Faculty of Agriculture with improved fa- cilities and revised curricula; (ii) increasing the output of intermediate level agricultural technicians, and (iii) expanding the teaching of agricul- ture in secondary schools are being reviewed by the government. The proposed Bank project would assist in meeting the immediate need for farmer education.  - 8 - 2.27 Expansion and reorientation of technical education is needed to meet internal structural change and international competition. The present system of alternative work and study (day and block release) programs for basic training is gradually being replaced with a network of regional secondary and post-secondary level technical colleges offering non-degree programs. In addition, the government expects to retrain and upgrade the labor force in special training centers operated by the Industrial Training Authority. More participation by industry in curriculum design and adaptation of education objectives to the needs of industry also is being introduced. The three technical institutions included in the proposed Bank project would help to develop a training system with objectives, standards of qualification and capacity suited to the Irish economy. Education Finances (Appendix II; Annexes 3, 4 and 5) 2.28 Financial responsibility for education rests primarily with the central government, but local authorities contribute to the financing of vocational education. Public expenditure on education increased from I17.6 million in 1958/59 to 170.3 million in 1969/70, or by 13.4% per year - much faster than the growth of total public expenditure and GNP. In 1969/70 public expenditure on education accounted for 4.9% of GNP, which is comparable to other European countries at the same stage of development. 2.29 Capital expenditures on education increased from 11.4 million in 1958/59 to 112.6 million in 1969/70, or from 3.7% to 7.9% of total capital expenditures. Because of a heavy concentration of education investments in recent years (especially at the secondary level), the ratio of capital to total expenditure has increased sharply, from 7.9% in 1958/59 to 17.9% in 1969/70. 2.30 Recurrent expenditures on education have grown at 12.2% p.a. since 1958, much faster than total enrollments. Price inflation, increases in teachers' salaries and the shift in the composition of total student popu- lation brought about by the faster growth of enrollments in the more expen- sive secondary schools were major factors. Moreover, under the Free Education Scheme (1967) and other recent legislation, both the number of students who benefit from the program and the average amount of grants per student have increased substantially. In 1969/70, recurrent expenditures on education accounted for about 12% of current revenues, which is still a relatively low percentage by comparable European standards. 2.31 Public expenditures on education are projected to grow at 8.4% p.a. during the Third Program (1968-1972) and somewhat faster after the end of that period. By 1980, they are expected to reach a level of about 1158 million (about 7% of GNP), which is a realistic target in relation to the develop- ment requirements and the financial capabilities of the country. Total capital expenditures on education during the period 1968-1980 are projected at 1171 million. The growth of capital expenditures is expected to slow down during the late 70's, after the completion of the current programs of  expansion and improvement. The projected allocation of capital funds by educational levels and the expected distribution of recurrent expenditures (Annex 5) reflect the emphasis on reform and consolidation of secondary education and are consistent with the expected shift from arts to applied sciences at the third level. III. THE PROJECT General 3.01 The proposed project would help to finance (i) construction of and equipment for the new institutions listed below, and (ii) two man-years of technical assistance: Number of Enrollment Type of Institution Level Institutions New Replacement Total State Comprehensive Schools 2nd 6 1,735 2,225 3,960 Community Comprehensive Schools 2nd 18 6,860 5,140 12,000 Regional Technical College 2nd, 3rd 1 1,300 1,400 2,700 Secondary Technical School 2nd 1 350 450 800 College of Commerce 3rd 1 250 550 800 Agriculture Education Centers 30 1,650 0 1,650 Totals 57 12,145 9,765 21,910 Comprehensive Secondary Schools 3.02 The project would provide facilities and equipment for six new state and 18 new community coeducational comprehensive schools; 14 of which would be in rural areas. Five schools would be in new locations and 19 of them would replace 46 old and inefficiently small general secondary institutions. These old schools would be discontinued as secondary institutions as soon as the project schools are in operation. Some of the schools would be used for primary education, others would be abandoned. The project schools would provide about 16% of the expected increase of student capacity between 1970 and 1975. 3.03 The schools would be four different sizes - enrollments of 510; 810; 1,020; and 1,620. Each size of school would have standardized sche- dules of accommodation to facilitate a systems approach to design and building, and to introduce industrialized components.  - 10 - 3.04 In accordance witlh the government's education strategy and experi- ence with the four pilot comprehensive schools started in 1966 (Appendix I, paras. 10-13), the schools would have a broad curriculum including elective academic and practical subjects. Technical Education 3.05 The project Secondary Techniical School in Limerick and the Region- al Technical College in Cork would add an output from 1977 to 1980 of about 3,500 skilled workers and middle-level technicians to that of existing in- stitutions against a projected likely shortage of 7,000 in 1980; the output of higher technicians and business graduates from the project schools would add about 1,600 to that of existing institutions during the same period against an estimated shortage of 11,000 (para. 2.15). These shortages would be reduced further after 1980 by the cumulative output of the expanded tech- nical education system including the project institutions. The three project technical institutions, with a combined yearly enrollment of 13,300 (4,300 daytime; 9,000 evening) would contribute about 12% of the 1980 output of Ireland's technical schools and colleges (Annex 10). The foregoing forecasts take into account temporary or permanent outflow of skilled labor to the United Kingdom which is at present virtually free of any restrictions. With accelerated economic development and industrialization in Ireland, it is as- sumed that the outflow will progressively slow down. Regional Technical College, Cork 3.06 Existing technical education programs are housed in a collection of seven old buildings in the approximate vicinity of the major institution, the Crawford Municipal Technical Institute. The various schools, although separate entities, are administered by the City of Cork Vocational Education Committee under central government direction. The operation of this complex is uneconomical; the facilities are ill adapted to modern technologies and methods of instruction, and have no potential for expansion. Under the proposed project, obsolete buildings of the existing institution would be abandoned, and others would be used to expand enrollments at lower levels. 3.07 The proposed Regional Technical College would consolidate all of the above activities within one institution, with the advantages of economies of scale, central administration, integrated staffing and common services. The larger institution also would serve not only the City of Cork, but the nearby regions; an estinmated 25% of enrollments would come from County Cork and from County Kerry. For some special programs such as hotel cater- ing, marine engineering and rural science teaching, the College would be the national training center. 3.08 The College's planned enrollment of 2,700 would increase the present enrollment by 1,300 and would provide courses varying from one to three years. An additional 4,000 students would be enrolled in evening  - 11 - courses. The main programs would be apprenticeship and middle and higher level technician courses in the fields of electrical, mechanical, civil, chemical, marine, automotive and construction engineering, and in such science-related fields as telecommunications, data processing, electronics, and instrumentation. Full time pre-employment programs would be gradually substituted for existing day and block release programs. Senior Secondary Technical School, Limerick 3.09 The project school would provide modern buildings and equipment to replace the present collection of temporary or rented quarters at var- ious sites in this important industrial and commercial center. It would provide 800 places (450 replacement) for technical programs at senior secondary level, apprentice training, and junior technician programs which are partly post-secondary. 3.10 Programs would include electrical, mechanical, automotive and construction engineering fields at all levels, leading to both trades and technician qualifications. As graduates would be eligible for higher educa- tion, the curriculum would include sufficient instruction in academic sub- jects such as Irish, English, mathematics, sciences and social studies; the students would spend up to 40% of school time in technical subjects. The school would provide the only advanced senior program (250 places) for graduates of vocational or comprehensive schools in the attendance area, and in addition a one-year advanced (applied science) program. Evening programs would provide supervisory and management courses. 3.11 About 150 places would be provided for two and three-year junior technician programs to be organized through conversion of existing block release programs. About 1,000 apprentices would attend day and block release programs. 3.12 Graduates of existing and proposed programs are readily employable in the Limerick area which is experiencing marked industrial growth. College of Commerce, Ballymun, Dublin 3.13 Dublin's technical education needs are served by three multi- level institutions; the Kevin Street Institute of Technology, the Bolton Street College of Technology and the Rathmines College of Commerce. Total current enrollments in the three institutions exceed 4,800 full-time equiva- lent day and evening students. Overcrowding has prevented the admission of an additional 1,200 students qualified for existing courses, and has prevented the establishment of new courses in response to developing man- power needs. 3.14 The Dublin Vocational Education Committee, whicth is responsible for the administration of technical education, has recognized the danger of further unplanned expansion of multi-level institutions, and has pro- posed the establishment of a new post-secondary College of Technology and  - 12 - Commerce. The first phase of the development would be the College of Commerce, for which Bank financing is requested, in order to replace existing inadequate facilities, and to provide for urgently needed expan- sion. Deferment of the technical-industrial phase will permit better evaluation of the impact on tertiary education needs of the regional technical colleges and the comprehensive secondary schools now under development. 3.15 The curriculum would include full time programs of one to three years' duration in business studies, secretarial, personnel management, data processing and commercial art, and would enroll about 400 students. Day and block release courses in the foregoing programs and in supervisory and management programs, would enroll about 1,200 additional, equal to about 400 full-time equivalent students. The phased development of the college complex will permit speedy response to the identified shortage of skilled and managerial levels in the commercial sector. Agricultural Education Centers 3.16 The 30 non-residential centers, which also would serve as offices for the extension staff, would each contain one multi-purpose hall, one demonstration kitchen, and one farm workshop; ten of the centers would also contain a home demonstration room. 3.17 Each center would offer a two-year course for junior secondary school leavers (Grade 9) two days per week from September to March. During the farming season (April to August) monthly lecture-demonstration sessions and farm practice on private farms would be conducted under the guidance of the staff. All students would receive a common course comprising crop husbandry, farm buildings, farm machinery and equipment, horticulture, forestry, cooperatives and records. An additional 50 hours of instruction would be provided in specialized options. 3.18 In addition, farmers, aged 18 to 35 years, would attend the center one day per week during the winter months to receive approximately 100 hours of instruction in the principles of farm management. The teaching staff would follow the progress of trainees during the summer months with periodic visits to provide guidance on-the-job. 3.19 The balance of the teaching programs would consist of four to eight week courses for girls in home economics, horticulture and poultry, and various short courses in agricultural extension techniques. The centers are expected to be used intensively on an ad hoc basis for meetings, lec- tures and seminars on matters of agricultural interest. 3.20 The agricultural extension staff - all university graduates - would teach the farmer education courses. The 30 centers would have a combined annual minimum output of 750 boys; 600 young adults, and 300 girls from the formal classes.  - 13 - Technical Assistance 3.21 Professional services are needed to: (a) evaluate and establish appropriate economic norms and educational specifications; (b) introduce a systems approach to design and construction in order to reduce building costs; (c) integrate use of prefabricated or industrialized elements in the project schools; and (d) supervise and coordinate all aspects of imple- mentation. A total of two man-years of technical assistance (US$100,000) would be included in the project for specialists in (a) educational facil- ity planning, and (b) construction systems development. These services would be rendered through short-term assignments of specialists and brief study missions abroad. Cost of the Project 3.22 The estimated costs and foreign ekchange components of the various parts of the project are summarized below (Annex 6): Irish E (millions) U.S.$ (millions) x of Base-Line Local Foreign Total Local Foreign Total Costs 1. State Comp. Schools 1.24 0.79 2.03 2.98 1.90 4.88 16.8 2. Community Comp. Schools 3.77 2.38 6.15 9.05 5.71 14.76 50.8 3. Cork Regional Tec. College 1.30 .94 2.24 3.12 2.26 5.38 18.5 4. Limerick Sen. Tec. School .37 .27 .64 .89 .64 1.53 5.3 5. Dublin College of Commerce .27 .18 .45 .65 .43 1.08 3.7 6. Agri. Education Centers .34 .22 .56 .82 .52 1.34 4.6 7. Technical Assistance .01 .03 .04 .02 .08 .10 .3 Subtotal 7.30 4.81 12.11 17.53 11.54 29.07 100.0 8. Contingencies 1.02 .63 1.65 2.45 1.51 3.96 13.6 Total Proj. Cost 8.32 5.44 13.76 19.98 13.05 33.03  - 14 - Overall Costs 3.23 The distribution of costs by category of expenditure is given in Annex 7. Academic and communal facilities account for 58% of the total project cost; equipment and furniture 15.6%; technical assistance 0.3%; professional fees 7.7% and site development 6.2%. The capital unit costs per student place of $1,122 for the comprehensive schools, $1,525 for the technical institutions and $770 for the agricultural education centers are reasonable (Annex 8). Contingencies 3.24 The project cost includes a contingency allowance for unforeseen factors equal to 5% of estimated costs for buildings, site development and professional fees; and 2.5% for furniture and equipment. The estimated unit costs are expected to increase by about 5% p.a. and therefore the project cost also includes an allowance for price escalation equal to 10% for building, site development and professional fees and 5% for furniture and equipment (Annex 9). No contingencies have been included for technical assistance because of the small amount involved and since it will be pro- vided at the beginning of the project. Thus, the contingency allowances amount to 12% of the total project cost including contingencies (Annex 9). 3.25 Foreign exchange components: The foreign component, US$13.0 million equivalent, representing about 40% of the total project cost, has been calculated as follows: (i) site development 15%; (ii) buildings 38%; (iii) professional services 5%; (iv) furniture 20%; (v) equipment 90%; and (vi) technical assistance 80%. 3.26 Recurrent costs: Annual recurrent costs of the project institu- tions would be about I4.5 million (US$10.8 million). Ireland is able to meet these expenditures and its share of the capital costs without compro- mising other high priority educational or other government expenditures. Justification 3.27 Despite considerable improvements over the past ten years, the Irish education system is still ill-suited to the development needs of the country, both in qualitative and in quantitative terms. Lack of capital funds, institutional constraints, academic orientation and inability to meet the growing demand for technical and managerial skills are the main shortcomings. The educational reform, now at the beginning of implemen- tation, aims at a greater efficiency and productivity of the system (para. 2.23). The emphasis on vocational and technical education, reform and consolidation of general education is consistent with the social and eco- nomic development strategy and with the projected pattern of growth. The proposed project is expected to contribute to the reform of the system by: (i) reforming and consolidating the general secondary school system and replacing outmoded institutions;  - 15 - (ii) expanding the technical education system in order to meet man- power requirements (paras. 2.14 and 2.15) and the need for retraining of labor displaced by technological progress; (iii) improving the supply of qualified managers, executives and kindred workers as required by the expected growth in the industrial and service sectors; and (iv) upgrading the level of farmers' training as a prerequisite for increasing farming efficiency, fully exploiting Ireland's agri- cultural potential and keeping the rate of rural migration at a level consistent with overall employment objectives. Technical assistance is included in order to strengthen the Building Unit within the Department of Education with specialists in educational facility planning and construction systems development. IV. IMPLEMENTATION Administration 4.01 A Project Unit is being established within the Building Unit of the Department of Education to supervise the project's implementation, coordinate activities within the government and with private bodies, and provide iiaison with the Bank. The officers of the Project Unit would consist of: (i) the Principal Officer of the Building Unit who would serve as Project Director on a part-time basis; (ii) a Liaison Officer who would represent the Department of Agriculture and Fisheries part-time and (iii) a Deputy Project Director, a Project Architect and a Project Educator, appointed on a full-time basis. The Project Director, the Liai- son Officer and the Deputy Project Director have already been appointed. The establishment and operation of the Project Unit, provided with adequate accounting and procurement services, supporting staff and facilities, would be a condition of effectiveness of the Loan Agreement. Procurement 4.02 Civil works, furniture and equipment supply contracts would be awarded in accordance with Guidelines for Procurement under World Bank Loans. Local manufacturers of furniture and equipment would be allowed a preferential margin of 15% of the c.i.f. costs of competing imports or the existing rate of duty, whichever is lower. Items would be grouped to the extent practicable to form sizable bid packages and to permit bulk procurement. The Project Unit would be responsible for preparing and issuing tenders, evaluating bids, and awarding the contracts. Detailed master lists of furniture and instruc- tional equipment would be submitted for Bank review prior to procurement.  - 16 - It is expected that only a few foreign firms would submit bids, except for equipment, since Ireland has well developed and competitive furniture man- ufacturing and construction industries. 4.03 Total construction under the project would correspond to less than 1% of the value of recent annual construction activity. An adequate number of qualified building contractors are available for all project locations and an appropriate pre-qualification system is in operation. 4.04 The project institutions would be designed by consultant archi- tects agreeable to the Bank and commissioned on terms and conditions satisfactory to the Bank. An ample supply of qualified architects (over 180 professional firms) is available in Ireland. 4.05 Suitable sites have been selected for all 24 comprehensive schools and the three technical institutions, and no problems are foreseen regarding thieir acquisition. The government has supplied the Bank with a satisfactory schedule for acquisition of sites for the agricultural education centers. The government has also provided assurances that the title to all sites will be acquired as required to avoid delays in construction. As the College of Commerce would be part of the future College of Commerce and Technology, the government has given an assurance that it will provide the Bank with a com- plete site development plan, acceptable to the Bank, within nine months of the signing of the Loan Agreement. Disbursements 4.06 The proposed loan would be disbursed (Annex 12) on the basis of 100% of the c.i.f. costs of imported furniture and equipment, and technical assistance costs, and 32% of the costs of civil works contracts and locally manufactured furniture and equipment. This percentage would be adjusted to distribute disbursements over the project period. Undisbursed funds would be available for cancellation. V. AGREEMENTS REACHED AND RECOMMENDATION 5.01 During negotiations the government provided assurances about: (i) acquisition of titles to all school sites (para. 4.05); and (ii) preparation of a site development plan for the College of Commerce and Technology.  - 17 - 5.02 The establishment and operation of an adequately staffed Project Unit, in satisfactory premises, would be a condition of effectiveness of the Loan Agreement (para. 4.01). 5.03 The project is suitable as a basis for a Bank Loan of US$13.0 mil- lion to Ireland for a term of 20 years including a grace period of 5 years. The loan, which would finance foreign exchange costs, would be equivalent to about 40% of the estimated project cost.   APPENDIX I Page 1 EDUCATION AND TRAINING Administration (Chart 1) 1. The administration of education in Ireland at the primary and secondary levels is highly decentralized. Primnary schools are organized by religious denominations under local management. General secondary schools are owned and operated by religious orders; teclhnical and voca- tional schools by county vocational committees. The IMinister of Education is responsible for formulation of policy, initiation of legislation, approval of curricula and terminal examinations, and for the supervision of primary and secondary education. hiowever, the management of the schools retains the right to appoint staff but is expected to conform witli governlment regulations on teachiers' qualifications, salary schedules, class size and contact hours. A development section has been created in the Department of Education to promote primary and secondary education development in relation to Irish needs and international trends and to serve the system with developmenit of curricula, teaching aids, and teach- ing methods. 2. A Higher Education Authority, consisting of representatives of academic, educational, agricultural and industrial interests, advises the Minister of Education on overall planning and coordination of higher edu- cation. Post-secondary institutions operate under charter and are autonomous except that they, like primary and secondary schools, are largely dependent upon government grants to meet operating costs. Structure of Education 3. The school system provides for a six-year compulsory course, normally beginning at the age of six; a secondary level with a three-year junior (lower) and a two-year senior (upper) cycle; a higher level of technical and university courses (Chart 2). Most primary schools provide kindergarten (pre-primary) classes for 1-2 years. 4. There is an undue emphasis on academic secondary education; about 17% of senior 3econdary stu(lents are enrolled in vocational or teclhnical courses. Thie secondary system is at present in the process of transition. Four pilot experimental compreihensive schools incorporating both academic and practical education hiave been started and the govern- ment plans to replace gradually the private academic secondary institu- tions with comprehensive schools.  APPENDIX 1 Page 2 Primary Education (Annex 1) 5. Primary education is free and compulsory for six years between the ages of 6 and 14. Total enrollment in 1969 was 383,324 schools. About 5,300 students receive education in special classes and about 10% of the total enrollment receive remedial teaching. Government aided schools accounted for 95.2% of total enrollments. Kindergarden classes enrolled about 125,000 pupils. Due to the presence of students below and above the relevant age group (6-11), the total enrollment in primary education was more than 100% (106.8%). However, the picture is changing - an increasing number of students enter school at the minimum compulsory school age of six - and by 1980, the primary school system is expected to have capacity for about 100% of the age group 6-11 (Chart 4). The enrollment is equally distributed between boys and girls in both rural and urban areas. The primary school curriculum provides instruction in both acadeinic and practical subjects. A rotating curriculum revision system is being introduced. 6. The number of teachers in government primary schools was about 11,000 in 1969, and of these 90% was qualified. The teacher:pupil ratio was 1:33. The government expects a primary enrollment of about 400,000 in 1980 and hopes to achieve a teacher:pupil ratio of 1:30. Secondary Education (Annexes 1 & 2) 7. The basic data for this level (12-16 age group) for 1968/69 is as follows: Enrollment % of Age Group No. of Teachers Ratio General 1:18 Junior 100,711 37.8 4,965 Senior 36,704 13.8 1,686 Continuation 1:15 Junior 40,515 15.1 2,532 Senior 1,846 0.7 308 Vocational 4,510 1.7 300 /1 1:15 /1 Comprehensive 1,288 0.5 64 1:20 Totals: 185,524 69.6 10,855 /1 Estimated  APPENDIX I Page 3 S. All junior and about 95% of senior secondary education is government aided. There are 638 academic general secondary schools and 241 continuation secondary sclhools in the country witli an average size of about 200 students. Tlhe continuation scihools liave a mainly academic program but offer pre--vocational suLbjects such as woodwork, metalwork anZd typing. Many of thie schools hiave ol]d and inadequate facilities wihich need replacement. The buildings are usually ow