In accordance with the principles underlying the strategic management initiative, my Department has been for some time pursuing an active policy of maximum delegation to Departments. In relation to large capital programmes, responsibility for individual projects is, therefore, generally delegated to the relevant Department.
The role of my Department is to set out a clear framework in relation to the management of capital investment. In managing capital projects, Departments are required to comply with my Department's Guidelines for the Appraisal and Management of Capital Expenditure Proposals in the Public Sector.
These guidelines, which are currently under review by my Department, set out four main stages of project appraisal and management. First, the appraisal stage aims to provide a basis for a decision on whether to approve a project in principle. This stage includes an assessment of uncertainty and risk.