asked the Minister for Transport if he will provide the finance necessary to Cork Harbour Commissioners to proceed with the development of the deep water facility at Ringaskiddy which the Minister for Finance said was being deferred.
Ceisteanna—Questions . Oral Answers . - Cork Deep Water Facilities .
1.
: The severe financial constraints on the Exchequer have necessitated the postponement of this and many other projects. The Deputy can be assured that the delay in proceeding with this project will be the minimum possible bearing in mind the overall financial situation.
: Is the Minister aware of the saving by way of capital expenditure this year? Is he aware that the first industry being established in the new IDA complex at Ringaskiddy has intimated that their costs have been increased substantially because of the Government's decision not to proceed with the deep water berth? For those reasons, and because of the unemployment situation in Cork, does the Minister agree he is justified in going back to the Minister for Finance and asking for the money?
: The amount originally provided for in the draft Estimate was £1 million. In considering the overall financial situation and trying to meet the borrowing requirements of the last Government and the budget deficit left for us, we had to make decisions that would reduce expenditure and, unfortunately, this project had to be deferred. In reaching the decision about that project I was aware that there is no industry there or any in prospect that would require the deep water facility. I am conscious that the project is a desirable one and I hope that the financial situation will improve quickly so as to permit me to finance the project.
: The Minister should show some concern for the project. Is the Minister aware that because of developments in coal shipments, coal vessels have to partially discharge at other Irish ports before berthing at Cork? Is the Minister aware that a banana boat had to go elsewhere to discharge its cargo because of the lack of proper facilities in Cork? Bearing in mind the unemployment situation in Cork will the Minister agree to approach the Minister for Finance again to make the necessary £1 million available for that project?
: Many desirable projects had to be deferred by us and the previous Government — in some cases they were abandoned — because of the financial situation. As a former Minister for Finance the Deputy is aware of this. One of the reasons for our terrible financial dilemma was that former Governments did not take tough decisions. In the overall interest of creating meaningful lasting jobs we have to get our financial situation right. Unfortunately, some undesirable and unpleasant decisions are forced upon us as a result. We will not be serving our long-term interests if we yield to every request. It is a matter of regret but we must stand firm on such matters.
: The Government climbed down already this week.
: The Minister mentioned deficits and I should like to know if he would make any distinction between borrowing for productive capital works and a deficit on current account. The Ringaskiddy project is a productive one which would bring wealth to the Cork area. If the Minister lumped all deficits together, will he make that distinction and agree to Deputy Fitzgerald's request to ask the Government for the money for this productive project?
: There is a difference between current budget deficit and the capital budget but where they merge we get the total Exchequer borrowing requirement. We must take all projects into account. Bearing in mind that we were limited in the number of cut-backs we could make on the current side we had to turn to the capital side. Some of the cut-backs on the capital side were justified but on the other hand there were projects, such as the one under discussion, where expenditure would be justified if we had the money. I would love to be able to tell the Deputies that I will be able to find the money but I cannot. I am sure Deputy Wilson, my predecessor, is aware of the problems facing me.
: I got the £1 million.
: In view of the unsatisfactory nature of the reply, and in the interest of Cork development, I should like to ask the Chair for permission to raise this matter on the Adjournment.
: I will communicate with the Deputy.