Bernard J. Durkan
Question:153 Mr. Durkan asked the Minister for Finance the implications for his Department arising from postponement or delays on elements of the national development plan; and if he will make a statement on the matter. [30448/03]
Written Answers. - National Development Plan.
I assume the Deputy is referring to the implementation of the national development plan infrastructure programme via the plan's economic and social infrastructure operational programme. The ESRI's mid-term review of the development plan stated that significant progress has been made towards the plan's objectives of continuing sustainable national economic and employment growth and consolidating and improving economic competitiveness. The expenditure of over €10 billion in the first three years of the programme has exceeded the financial projections by 6%. Significant projects have been completed, are under way or are in planning in key areas such as transport, environmental services, social housing, health and education.
It is estimated that the cost of completing the infrastructure elements of the national development plan will be significantly greater than originally envisaged. This is as a consequence of a variety of factors, including construction industry inflation, higher land costs and initial under-estimation. Although the targeted physical output will not be achieved by the end of 2006, there will be a major enhancement of the State's economic and social infrastructure by that date. The multi-annual capital envelopes 2004-08 which I announced on budget day will enable substantial funding of the national development plan to continue until the end of 2006. The envelopes will ensure that investment in infrastructure will remain a priority beyond this period.