Vol. 534 No. 1
133 Mr. Kenny asked the Minister for Finance the cost of the national development programme when produced initially; the estimated cost of the programme being implemented at today's prices; and if he will make a statement on the matter. [10126/01]
The National Development Plan 2000-06, as initially produced, provided for public investment of £40.6 billion in 1999 prices. The cost of the plan as published is now estimated at £47.4 billion in constant 2001 prices. This estimated cost in 2001 prices is based on the increase in the building cost index and the increase in the consumer price index for 2000 and inflators of 9% for infrastructure and 3.5% for current expenditure as used in the 2001 Estimates for Public Services.
As indicated in the plan, an essential precondition for the major level of investment in the plan is the continuation of stable macroeconomic and budgetary policies. The Government is committed to this fundamental policy position. Accordingly, the annual allocations and ultimately the overall NDP commitment will have to be kept to a level that respects the public expenditure ceilings set by Government, takes account of wider budgetary priorities and accords with the requirements of economic stability.
The priorities and multi-annual allocations in the NDP, as published, reflected the assessment of the situation in 1999. Over the period of a seven year plan priorities can and do change in line with prevailing economic and social circumstances. Under the arrangements for monitoring the NDP its implementation is continuously monitored and kept under review. Reprogramming decisions may be taken by the monitoring committees in respect of Structural Funds co-financed expenditure and by Government in regard to non co-financed expenditure. This may involve the switching of resources between operational programmes and measures within OPs to reflect changing circumstances.
Provision for Exchequer expenditure under the plan is made in the Estimates for Public Services and the public capital programme and is subject to the overall requirements of macroeconomic and budgetary stability which I have outlined above.
