The Minister for Arts, Sport and Tourism, Mr O'Donoghue, has agreed to change the controversial Section 21 of the Arts Bill on the grounds that it is "inflexible" and would tend to "ghettoise" traditional arts.

The section had proposed the establishment of three separate standing committees to advise the Arts Council on traditional arts, arts and local authorities, and innovation in the arts.

Only the traditional arts committee was to have powers to make recommendations on funding.

Speaking yesterday at the final committee stage of the Bill before it goes back to the Dáil, the Minister said there existed "a strong feeling" within the traditional arts sector that the sector had not fared as well as it deserved. "It is felt that the Arts Council could have awarded more funding to the traditional arts.

"It is also felt within the traditional arts sector that change in terms of the mechanisms and structure [of the Arts Council] is needed."

However, he said, strong objections had been raised that strategic committees of this type were "inflexible"."There is a great deal of concern that the traditional arts would be ghettoised and stagnate."

He added that it was "undesireable" to set up a quasi-independent structure as it "might have implications for the standing for the Arts Council". The Minister said it had been accepted that the traditional arts needed specific attention, as did the area of arts in education, but that priorities would change over time and the Arts Council would need the flexibility to cope with new demands.

With that in mind, he said, Section 21 would be redrafted.

Mr Jimmy Deenihan, Fine Gael spokesman on the arts, asked: "If you are not comfortable with the Bill, why was your predecessor comfortable with it?"

The Minister replied that different Ministers look at things differently, but "I support her legislation; we just happen to differ in regard to this section."