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Dáil Éireann debate -
Wednesday, 30 Nov 2011

Vol. 748 No. 2

Other Questions

Water Services

Richard Boyd Barrett

Question:

6 Deputy Richard Boyd Barrett asked the Minister for the Environment, Community and Local Government if he will provide funds to local authorities to update water infrastructure to deal with persistent flooding; and if he will make a statement on the matter. [37693/11]

Joan Collins

Question:

15 Deputy Joan Collins asked the Minister for the Environment, Community and Local Government if he will provide funds to local authorities to update water infrastructure to deal with persistent flooding; and if he will make a statement on the matter. [37727/11]

I propose to take Questions Nos. 6 and 15 together.

These are similar to the questions we have just dealt with. Do they take the same reply?

Should we move to another one?

No. They are on the Order Paper.

They take the same reply.

I will briefly summarise what I just stated.

The Minister could elaborate on it.

I have elaborated a good deal already. As I stated in reply to Question No. 5 on today's Order Paper, measures to alleviate flooding are the responsibility of the Office of Public Works. I must repeat the answer. The OPW is the lead agency for flood risk management and it funds a capital and maintenance programme for major and minor flood works. The Deputy should ensure that his local authority has made representations and a submission to the Office of Public Works, which has the money to deal with the issues to which he has referred. I realise it will never be enough nationally but €45 million in the current climate is a substantial amount of money to be allocated for 2012.

My Department in partnership with the OPW published guidelines for the planning authorities to ensure some of the mistakes to which Deputy Boyd Barrett correctly adverted will not take place again in respect of flood risk management. These guidelines are being implemented as part of the planning applications process by An Bord Pleanála and in development plans.

I welcome the fact the Minister stated he will examine the cases of people without insurance who have been refused assistance under the €10 million scheme. I would appreciate if the Minister follows through on this and I will send on to him the details. I appeal for some joined-up thinking rather than having the Office of Public Works here, a section of the Department of the Environment, Community and Local Government there and the local authorities elsewhere. This has been a recurring crisis. If it were a once-off matter I could understand the Minister's response. Every time the rain comes down heavily people in these flood black spots begin to quake in their boots with fear because of the possible consequences. There have been cases of flood waters mixed with sewage swilling through people's houses resulting in appalling damage but everyone is passing the buck.

If we could move heaven and earth to provide bank guarantee schemes to cover the banks, could we not have some interdepartmental co-operation, pooling of resources and joined-up thinking to resolve the various issues arising for those affected by flooding? For example, the local authorities claim that their responsibility is limited to clearing out blocked streams if they are in public ownership but that they have no responsibility if they are in private ownership. That is a nonsense. They have a responsibility to ensure there is no flooding. I put it to the Minister that local authorities have responsibilities to their tenants but they are not discharging them and where people's houses are damaged they are refusing to carry out repairs.

Deputy, this is Question Time. Will you please put the questions to the Minister?

Will the Minister put heads together with the Office of Public Works, local authorities and his political allies? At a meeting on this issue on Monday his Fine Gael and Labour Party colleagues in Dún Laoghaire-Rathdown County Council refused to support a motion calling for action.

Deputy, this is Question Time. Will you please put some questions? Other Deputies are waiting for answers to questions.

Will the Minister put heads together from the various agencies and bodies to provide a comprehensive solution and the resources necessary to deal with the victims of repeat flooding? The State has a responsibility for it.

There is a Government task force on emergency planning under which all Departments come together to deal with emergency responses. It performed this work in October after the recent flooding. There is already joined-up thinking in place. Deputy Boyd Barrett should acknowledge that those with responsibility must take responsibility and must perform the roles they have been given. I am referring to the local authorities and the Office of Public Works. There is no difficulty with this and it does not require an ability to understand Einstein's theory to realise that a local authority with a democratic mandate should identify the areas that have a particular problem and that are subject to flooding on a regular basis. It is for them to make a submission, perhaps they have done so but I am unsure. They should prioritise their submissions to the OPW if they want capital works to be carried out. In the meantime, people undergoing hardship have access to the €10 million that the Government has provided in difficult times.

Some people do not have access to it.

I have already dealt with that. The Deputy should try to be a little generous.

Fair enough. What about the insurance?

Deputy Ellis has a question.

I cannot do anything about it but I will deal with the issues raised by Deputy Boyd Barrett in regard to those with no insurance.

With regard to what the Minister——

There is a one minute limit on each supplementary question according to Standing Orders.

I realise that and it is my second time on this question.

I am saying there is a one minute limit.

I understand that and I wish to ask——

Put your questions within one minute. These are not statements.

I will do my best. The Minister has outlined that the Office of Public Works has the responsibility in this case and that there is a €45 million rolling fund in place. There has been a significant amount of flooding in my area and throughout the country. Dublin City Council is putting together a list of all the affected areas. Many areas are those where repeated flooding has taken place and this is the main problem that must be addressed. Not only must we address the problem——

A question please, Deputy.

Many people will be unable to get insurance in future. Some were not insured during the previous flooding some years ago. If there is a request for funding to the Office of Public Works which will end up, in turn, on the Minister's desk, will he be favourably disposed to consider helping if extra funding is needed to address the infrastructural problems in various areas, especially in Dublin City Council?

I would very much like to be able to inform Deputy Ellis that I have a magic wand to provide all of the resources needed to deal with all the problems of the country as they relate to my Department, but I do not. We are in a difficult financial situation and there is only a limited amount of money. It is up to the local authorities to prioritise their projects and to submit them to the OPW.

Building Regulations

Martin Ferris

Question:

7 Deputy Martin Ferris asked the Minister for the Environment, Community and Local Government the progress that has been made in the commitment to introduce a single national building inspectorate service; if this inspectorate will include fire safety; and if it will be answerable to local authorities. [37555/11]

Pádraig Mac Lochlainn

Question:

19 Deputy Pádraig Mac Lochlainn asked the Minister for the Environment, Community and Local Government the steps he is taking to ensure that records of snag inspections are correct and that they are carried out on properties which require them and results filed in an appropriate timescale. [37751/11]

Catherine Murphy

Question:

22 Deputy Catherine Murphy asked the Minister for the Environment, Community and Local Government if he will consider a licence system for home builders together with a national register; and if he will make a statement on the matter. [37431/11]

Gerry Adams

Question:

31 Deputy Gerry Adams asked the Minister for the Environment, Community and Local Government his views that it is of the utmost urgency to introduce legislation that establishes a new fire safety inspectorate and certification regime and which makes it mandatory for builders and architects to provide evidence of compliance with building regulations including fire standards. [37556/11]

I propose to take Questions Nos. 7, 19, 22 and 31 together.

In July 2011, I announced several measures to be advanced by my Department and local authorities with a view to improving compliance with and oversight of the requirements of the building regulations. In broad terms the measures, which include the streamlining of inspection arrangements on a regional basis, will involve the introduction of mandatory certificates of compliance by builders and designers of buildings confirming that the statutory requirements of the building regulations have been met; more efficient pooling of building control staff and resources throughout the local authority sector to ensure an effective and meaningful oversight of building activity; standardised approaches and common protocols to ensure nationwide consistency in the administration of building control functions; and better support and further development of the building control function nationally. The mandatory certification and improved inspection arrangements outlined above are key reforms which, I believe, will have the capacity to improve the quality of buildings and will lead to further strengthening of the regulatory regime as soon as possible in 2012.

The local government efficiency review group recommended in its report in July 2010 that a single building inspectorate service could be established on a regional basis to streamline the approach to the inspection of property. The matter is being kept under review in the context of the ongoing actions taken at Department and at local authority levels to further the development of the building control function.

The Building Control Act 2007 provided for the registration of persons entitled to the use of the titles of architects, quantity surveyor and building surveyor. Any similar registration scheme for home builders would necessarily involve detailed consultation with industry and stakeholders. While the new approach now being developed to the enforcement of building standards may obviate the need for such a scheme, I have an open mind in regard to potential future consideration of such a scheme in light of our recent experience with the operation of the new and more stringent certification scheme now being developed. Snag inspections relate to the contractual relationship between the vendor of a property and the purchaser and are not part of the statutory processes addressed under the Building Control Act 1990.

I welcome the reply from the Minister and the information that moves are being made. Improvements in the inspection regime are long overdue, particularly given the amount of apartment blocks that have been built in recent years. There is no single building inspectorate service. It is vital that the service includes fire safety, which is important for people living in apartments, particularly high rise blocks. For many years developers were encouraged to build and we can see the results of that now. Some of the developments are very poor. Many homes, in particular apartments, were built with minimal fire safety measures.

In one part of Dublin city 65 apartment blocks were built within the jurisdiction of the city council but it could give no commitment on an independent fire safety inspection being carried out, let alone make one public. It is time to reverse that and ensure buildings, regardless of where they are constructed, are built to a national standard with a national inspectorate and enforcement of the same standards in partnership with each local authority. Will the inspectorate be integrated into the local authority system and will it be answerable to each local authority?

I have not come to any conclusions about how the system will work. There are a few principles. The builder and owner of the property, who are professional people, are responsible in the first instance for making sure everything is in order under the Building Control Act 1990. With mandatory certification local authority staff will be in a better position to have more power and resources in order to implement the standards. At a time of finite resources I do not want to mislead the Deputy. I will revert to him on whether we have the adequate resources to ensure we have full compliance with all the new developments.

I am concerned that there may be other developments, apart from Priory Hall, we need to tackle. We will tackle them and court proceedings will take place if necessary to bring all of the people who have been so irresponsible in dealing with these buildings, the construction of which has left unfortunate homeowners and tenants high and dry, to justice.

I do not understand how we can have improved inspection rates or performance against a backdrop of a public sector recruitment embargo and how the Minister can talk about pooling resources when those which exist are insufficient to do the tasks already on the shoulders of local authorities, never mind giving them more.

Where there is a conflict between what a competent professional is saying about works and what the council's architects and engineers are saying is adequate, how will it be reconciled under the new system of certification? Can the Minister give a guarantee that the standards which have been accepted of "substantial compliance", an incredibly vague phrase, will be terminology which will not be accepted? There needs to be total compliance. Where there are contradictory views how will the Minister reconcile them?

I can assure Deputy Daly I am very concerned about the level of enforcement and activity on the building control side for many years, which is why I prioritised this area when I became a Minister and retained the function of dealing with the Building Control Act. The Deputy raised an interesting question about who will adjudicate a dispute which arises at the end of the process. I will communicate with her on that. I can assure the Deputy that the measures which are necessary to ensure the interests of the consumer are of paramount importance will be put in place to ensure that in the event of a dispute responsibility will ultimately rest with the Department to ensure the Building Control Act is implemented.

On regulation, through the good offices of the Ceann Comhairle we had a special notice question on Priory Hall a number of weeks ago when the issue first came to public prominence. A number of Deputies took part in the debate. At the time I requested that the Minister of State, Deputy O'Dowd, who took the debate because the Minister was not available, undertake to have the Department let us know how many other instances similar to Priory Hall have been brought to its notice. I ask the Minister to note the request, follow it up with the Department and issue a reply.

I am conscious of what the Deputy has asked. That work is under way. We are engaged with local authorities to establish the extent of the problem.

Legislative Programme

Michael Moynihan

Question:

8 Deputy Michael Moynihan asked the Minister for the Environment, Community and Local Government the new timeframe for the development of a new climate change policy; when he intends to introduce the climate change Bill as promised in the programme for Government; and if he will make a statement on the matter. [37686/11]

I published the national climate policy review on 3 November 2011. The review is an important stock-take and is intended to provide the basis for a national debate on future policy development. Building on that foundation, I intend to progress the policy agenda in three interconnected ways.

First, the Government has decided to ask the secretariat to the National Economic and Social Council to carry out an independent analysis to inform advancement of the national mitigation agenda in line with our EU commitments and with a view to developing a longer-term plan for a low-carbon future. I expect this work to be finalised by the end of 2012.

Second, I will initiate a consultation early in 2012 to ensure the widest possible range of views and ideas inform future policy. Getting climate policy right is vital to the future success of the economy as well as ensuring that Ireland plays its part in contributing to EU and global efforts to avoid dangerous climate change. It is my view that all citizens and stakeholder groups should engage in this process so we have a truly national policy position as we move into the post-2012 period.

Finally, and concurrently, I will continue working with my ministerial colleagues to identify actions that can be taken to make real mitigation progress in the short and medium term.

It is my objective, in line with the programme for Government, to introduce climate legislation within the lifetime of this Government. As indicated in the Government legislative programme, I expect it will be 2012 at the earliest before any legislation can be published, taking account of the need also to progress the broader climate policy agenda under the aegis of the Cabinet committee on climate change and the green economy.

We will all agree that we have to be responsible and get any proposed climate change policy right on this occasion. Some outside commentators have said there is a lack of leadership from the Government in terms of developing and implementing a climate change policy. We all know it is a real issue. The Minister said in reply to other questions that we have had flooding and cold snaps. They are not one in 100 or 50 year events, they are becoming yearly events and we have to address them. As the Minister rightly said, the programme for Government has a commitment to publish a climate change Bill but it seems to have been long fingered which is regrettable.

I ask the Minister to reconsider the proposed increase in motor taxation. Some budget kites have been flown on the matter. We appreciate there might be some increases but there is a policy that fuel-efficient cars pay a lower rate of tax. Increases should not be of the order advanced.

I refer to the UN climate change conference in Durban which commenced earlier this week. Governments, international organisations and civil society are all taking part. I presume the Minister is attending. How long does he intend to stay and what will be his level of participation in the conference? What does he hope to achieve? When he returns will we have an opportunity to discuss his participation and the outcomes?

I can confirm that he will be attending from 4 to 11 December. I have a large number of engagements and will be glad to report back to the Deputy at the Oireachtas committee on the various meetings I will attend on behalf of Ireland and as part of the EU delegation. There are two major objectives. The first is to get a commitment internationally that there will be a post-Kyoto commitment period which will be signed up to by everybody internationally. Before detailed work can be put in place we need to have a commitment from everybody that they want to see a post-2012 commitment to reducing greenhouse gas emissions. The EU is the leader in this, in that all member states wish to see a 20% reduction in greenhouse gas emissions by 2020. We will make every effort to participate in that.

I am particularly concerned about the high level of agricultural related emissions across the EU and the difficulties these calculations are creating for EU and world policy in the context of food security. There is a conflict between climate change and food security. That is one of the reasons I postponed any legislation. I am surprised that a Fianna Fáil Deputy would not support our efforts to get away from the targets that were in the legislation.

We support a sensible policy.

I am sure the Deputy is not suggesting that the Bill brought before the House by the last Government was not sensible. In other words, I take it the Deputy agrees with me on this. We are bringing forward our own proposals, after taking stock of the nonsense that went on last January. People were bruised by that experience. All stakeholders must be on board, not just extremists.

Housing Regeneration Projects

Dessie Ellis

Question:

9 Deputy Dessie Ellis asked the Minister for the Environment, Community and Local Government the way the regeneration projects in Dublin, for example, St. Theresa’s Gardens, Tom Kelly Road, St. Michael’s Estate, O’Devaney Gardens and Dominick Street, Dublin, will be completed with a diminishing capital budget, [37553/11]

Mary Lou McDonald

Question:

12 Deputy Mary Lou McDonald asked the Minister for the Environment, Community and Local Government the amount of money he intends to supply in 2012 and onwards for the continuation and completion of regeneration projects which are already under way in Ballymun, Dublin, and in Limerick. [37745/11]

I propose to take Questions Nos. 9 and 12 together.

My Department supports an ambitious programme of regeneration projects to deliver integrated physical, social and economic regeneration, ranging from large-scale urban regeneration projects such as those in Ballymun and Limerick city to smaller estate-wide projects in Dublin city and in a number of regional towns around the country. Ensuring this programme is adequately resourced remains a key element of the Government's housing policy for next year and beyond.

Our commitment is reflected in the priority given to funding for regeneration despite the adverse economic conditions and Exchequer constraints. Funding of up to €124.6 million has been made available this year for the programme, a substantial sum which accounts for 25% of the overall capital investment under the housing programme for 2012. Of this, some €101 million is being directed towards the regeneration programmes in Ballymun, Limerick and Dublin city.

In terms of funding for next year, my colleague, the Minister for Public Expenditure and Reform, announced details last week of the public capital programme for 2012. It is my intention to ensure that a sufficient amount of funding for my Department's social housing investment programme is made available in 2012 to deliver real progress in the case of each of these projects, having regard to their particular stage of development and in the context of the wider programme. My Department is currently liaising closely with relevant local authorities and agencies in determining the regeneration work programme for 2012. I intend to announce details of the capital allocations under the housing programme, including the allocations for regeneration, as soon as possible after the Estimates process has been concluded.

For next year, I am particularly anxious to ensure that significant progress is made in accelerating the regeneration programme in Limerick, meeting the remaining housing need in Ballymun and addressing the most pressing housing deficits of the former public private partnership, PPP, regeneration projects in Dublin.

I take this opportunity to thank Deputy Willie Penrose for his assistance with all of our requests for information. He did a good job in his role of Minister of State with responsibility for housing and I wish him well for the future.

The capital allocation for the regeneration programme should not be subject to any further cuts. There is an urgent necessity to progress these projects, which are crucial in righting the wrongs of many decades of underfunding in those neglected areas throughout the State which have been ravaged by unemployment, drug abuse and serious crime. They benefit not only the residents concerned but also encourage growth in local areas by encouraging new businesses and creating jobs.

The regeneration projects in Dublin are vital and have been flagged for many years. Some work has been undertaken but progress has effectively stalled. Most of these projects were to be done as public private partnerships. What is the Minister's current position in regard to PPP projects? Is he still actively pursuing private sector investment in conjunction with Exchequer capital funding?

I will take this opportunity to go through the various regeneration projects and the stages they are at. Next year will see the completion of the Shangan 5 and Sillogue 4 projects in Ballymun, which between them will deliver 215 housing units. The commencement of a new housing project at Coultry 6 will deliver 25 units. In Limerick the coming year will see the focus of the regeneration project continue to shift from the preparatory, relocation and demolition work within estates to construction and refurbishment. New housing projects are expected to commence in Ballinacurra Weston, South Hill and King's Island, and the first new housing at Cliona Park will be completed.

At St. Michael's estate, Inchicore, construction of phase one, consisting of 75 new units of accommodation, will be completed in 2012, with tenants expected to move in shortly afterwards. Consideration is being given to the development of a social and economic plan for the new estate, which will inform future decisions in this area. A statutory planning application was lodged at the end of 2010 for Dominick Street and a decision is expected at the end of December. Planning permission was granted over the summer months for the redevelopment O'Devaney Gardens and my officials have met with Dublin City Council to discuss the next steps.

There is one remaining PPP project under consideration by Dublin City Council, at Charlemont Street, in respect of which planning permission for a mixed-use development was granted on 5 May 2011. The formal PPP procurement process is being undertaken by the council in conjunction with the National Development Finance Agency. We are in favour of any mechanism that can be employed to mobilise private and public investment in order to deal with the issues outlined by the Deputy.

I am aware of most of these developments, particularly the projects in Ballymun. I am concerned at what is happening in Limerick, where there has been little progress in terms of housing units delivered. A great deal of preparatory work has been done, but the delivery has not been substantial. Knocknaheeny in Cork is another area which has been considered for regeneration. These are very deprived areas which are in great need of investment and redevelopment.

The Minister indicated that only one PPP project is under way. Is the Government still pursuing a partnership approach or is it instead proceeding on the basis that capital investment in this area will not be made in conjunction with private input? I did not receive a direct answer from the Minister to that question. A multidisciplinary task force on housing was set up some time ago to examine all of this. Has that group produced a full report in terms of what is likely to be delivered, the timeframes involved and the benefits to the communities in question?

The Deputy has inadvertently forgotten to congratulate us on the recent purchase of the Opera shopping centre in Limerick city out of the regeneration programme, to which €12.5 million has been allocated.

My belated congratulations.

There is a tendency to forget about the positive developments that are taking place.

I agree with the Deputy in regard to the housing and community development aspect of the Limerick regeneration programme. It has been slow.

It has been going on for years.

It has been going on for far too long without very much to show for it.

I am totally in agreement with the Deputy on that point. I will be visiting Limerick in mid-January to review what is happening there. We are moving towards a position where the regeneration programme for Limerick city will be under the remit of a new entity — not the city council but a unified authority — in order to drive the programme forward and secure more progress in return for the significant investment that continues to be made.

We are interested in pursuing PPP projects. Anywhere we can secure private funding, in conjunction with public moneys, in order to fast-track a project, we will be delighted to do so. However, I understand private investors are finding it difficult to secure funding from financial institutions for that purpose.

Local Authority Housing

Joan Collins

Question:

10 Deputy Joan Collins asked the Minister for the Environment, Community and Local Government the average rental revenue received by local authorities per council house and the amount that would be received by local authorities if all those currently in receipt of rent allowance, or in the rental accommodation scheme or long-term leasing arrangements with private landlords were in council houses; and if he will make a statement on the matter. [37696/11]

Richard Boyd Barrett

Question:

16 Deputy Richard Boyd Barrett asked the Minister for the Environment, Community and Local Government the average rental revenue received by local authorities per council house and the amount that would be received by local authorities if all those currently in receipt of rent allowance, or in the rental accommodation scheme or long-term leasing arrangements with private landlords were in council houses and the rent they were paying was going to local authorities; and if he will make a statement on the matter. [37692/11]

Seamus Healy

Question:

43 Deputy Seamus Healy asked the Minister for the Environment, Community and Local Government the average rental revenue received by local authorities per council house and the amount that would be received by local authorities if all those currently in receipt of rent allowance, or in the rental accommodation scheme or long-term leasing arrangements with private landlords were in council houses; and if he will make a statement on the matter. [37695/11]

I propose to take Questions Nos. 10, 16 and 43 together.

Each housing authority determines the rents for its own area having regard to a range of considerations which reflect tenants' ability to pay. While there are no up-to-date figures on the national average rent, it is estimated, based on past figures, that the average differential rent per local authority tenant is of the order of €55 per week.

There are almost 16,000 tenants of private landlords in receipt of social housing support. Allowing for transitional arrangements in some authorities, the rental contributions charged under the rental accommodation scheme, RAS, and the social housing leasing initiative are based on the differential rents for the area. On the basis that the distribution of households for RAS and leasing is the same as that for social housing generally, the annual contribution of tenants towards the rent would be around €45 million. With regard to tenants under the rent supplement scheme, without a full breakdown of the location, household composition and income status of households, it is not possible to determine how much rental income would accrue to housing authorities were such households to transfer to social housing.

An analysis of the levels of contribution across the different rental assistance schemes is part of the work being undertaken by the Housing Finance Agency in advancing Government policy in regard to the transfer of responsibility for assisting recipients of rent supplement from the Department of Social Protection to housing authorities.

I think the Minister understands the logic of my question. At a rough calculation, based on questions I asked in Dún Laoghaire-Rathdown, the average rent is estimated at approximately €600 a month, approximately €7,000 a year per tenant, and this is in differential rent schemes. Every year, we are spending approximately €500 million or more of public money in the form of rent allowance and it is going into the pockets of private landlords and developers, many of them are the very same developers who helped bankrupt this country. If those tenants, who are all housing applicants, were to be housed by local authorities, we would save approximately €0.5 billion a year directly and we would accrue, I estimate, about another €0.5 billion in revenue to the State. This is a no-brainer. Why do we not do it? We could move immediately in this direction by directly taking into local authority control empty housing and developments in the hands of the NAMA developers. In addition, I do not understand the logic of ending the direct construction of social housing when it pays the State a return to have its own local authority housing and the revenue would return directly to the State. Rent allowances or leasing arrangements would not then be required which subsidise private landlords and developers. We could make €1 billion in savings a year if we did this so why is it not done?

I will allow the Deputy to speak again.

I share some of the principles espoused by Deputy Boyd Barrett and this is the reason I have been engaging with the National Asset Management Agency over the past two months to see what can be done to marry the supply and demand situation in the major cities. Approximately 10,000 units of accommodation are currently being assessed by NAMA, the Housing and Sustainable Communities Agency and my Department to establish how progress can be made to house people on the social housing list in those properties. I do not subscribe to the notion that the State must pay a lease or a rent supplement for ever and a day. There should always be an option to buy at the end of the process; otherwise the property reverts to the local authority or to the tenant in some way. We agree on the principle of trying to mobilise the high level of availability of housing units. For example, if NAMA could upgrade the properties and ensure they are in good building condition, because we do not want more problems of the kind we spoke about earlier, they could then be offered to people on the social housing lists around the country. This would be a way of dealing with a significant social problem.

That sounds good. However, I may stand to be corrected but that does not seem to be the situation. As I understand it, it is proposed to lease the NAMA properties from the developers. These are developers who are bankrupt and whom we are bankrolling. Why not just transfer the houses, once it has been ascertained that these are up to standard, directly into the hands of the local authorities and cut out the developers so that the rental revenue accrues directly to the State? The cost of leasing from these private developers would be saved. I do not understand why this appears to be the policy as enunciated in June of this year by the Government. It says it is abandoning direct build, probably on the grounds that it does not have the money. This, however, is an investment which guarantees a return in the form of the rental revenue. It will pay for itself over the long term, both in terms of the money saved from not having to fork out rent allowance payments to private landlords and the rental revenue that will accrue. Even the troika could see the logic of that. I do not understand why the Government will not move in that direction, not to mention the jobs which would be created.

I can assure the Deputy I am not dealing directly with developers on this matter. I am dealing with the National Asset Management Agency which has acquired these properties at a particular price. On the basis of the existing legislation establishing NAMA, it is expected to have a commercial return. Perhaps that legislation should be amended but this is the situation as it exists. I am pleased to inform the Deputy that I have arranged a meeting for 14 December 2011 with the chairman and the chief executive of the National Asset Management Agency and I will be glad to report to the Deputy.

Approximately 100,000 people are on RAS, rental accommodation and rental subsidies schemes. This approximates to an expenditure of €500 million in rent allowances. Much of this expenditure goes to private landlords and, in many cases, the landlords also avail of mortgage interest relief.

The Minister referred to bringing 10,000 units of accommodation up to an acceptable standard. By our calculations, a total of €51.6 million would be saved on rent supplement and differential rates would raise €15 million a year. This policy has the potential to raise and save €66.6 million for the Exchequer in a full year with a saving of €20 million in 2012.

Sorry, Deputy, this is Question Time.

I am coming to the question.

There is a maximum of one minute per supplementary question. I will allow the Deputy back again but I ask him to ask the question and I will get him an answer from the Minister.

I would much prefer the Minister to look at delivering social housing for the communities and to target these places where significant resources are being expended through rental subsidies to private landlords. We need to target the people who are in these places and allow the local authorities the opportunity to buy these premises or to have them available from NAMA or otherwise. For example, a local authority could put a deposit on a number of houses and repay over a period of time. At least, these properties could be bought and put back into the system——

I ask for a reply from the Minister.

Money would come back into the system and also the housing stocks would be brought up to modern standards. The local authorities would benefit from the extra money and it would help revive the building industry and create more jobs.

I welcome the information from Deputy Ellis about the savings I could make with regard to many of the housing schemes. I think he should be in the Department of Finance. He is correct that there is considerable waste of resources, and Deputy Boyd Barrett has also pointed out how we could achieve better value for the State. I thank Deputies for their words regarding the excellent work in this area of the former Minister of State, Deputy Willie Penrose. He and I have been putting pressure on the National Asset Management Agency to realise the social dividend required in this case. I can assure the House that I will not be found wanting when it comes to putting all the pressure possible on NAMA to give us the details of whatever properties are appropriate and in a suitable condition to be fit for purpose under the law to deal with the social demands on the social housing list. I assure the House I will report on a regular basis as to the progress or otherwise.

I need the Minister to explain the contradiction between the impression he gives about his dealings with NAMA and some possible outcome that he might acquire the properties permanently and the reality of government social housing policy which is, as Deputy Boyd Barrett said, one of long-term leasing where local authorities are required to enter into an arrangement to lease a property for ten or 20 years and, at the end of the period, to restore that property back to its own private owner. This is at the council's expense and the person living in that property is then homeless after ten or 20 years and has no right to buy it. The Minister stated he would like that to be the case. Is the Minister actively reviewing the existing arrangement for long-term leasing?

I am not in favour of the present model of leasing.

That is excellent.

I am pleased the Deputy and I agree. This is the first time she has said something positive.

We are all on the same side now.

I welcome the Deputies to capitalism.

The Minister is speaking of socialism.

I am speaking of looking after people and home ownership which may initially involve people renting properties. Today, one of our national newspapers is advising people to rent rather than buy because the price of properties is set to fall further. Unlike the newspaper in question, I do not have a crystal ball. The leasing and rental accommodation model currently in place is not working. I want tenants to be given an opportunity to own the home they rent within the shortest possible timeframe, subject to their means.

Private Rented Accommodation

Sandra McLellan

Question:

11 Deputy Sandra McLellan asked the Minister for the Environment, Community and Local Government his plans to improve private rental tenants' awareness of their rights. [37754/11]

The Residential Tenancies Act 2004 sets out the rights and obligations of landlords and tenants in the private rented residential sector. The Act applies to every dwelling that is the subject of a tenancy, subject to a limited number of exceptions which are set out in section 3(2) of the Act. The Private Residential Tenancies Board, PRTB, was established under the Act to operate a national tenancy registration system and resolve disputes between landlords and tenants in the private rented residential sector.

My Department conducted a review of the Act in 2009 with a specific emphasis on whether it best supports the PRTB's key functions and whether legislative amendments would support either the achievement of additional operational efficiencies by the PRTB in the delivery of those functions or the broader good working of the private rented sector. The outcomes of the review were announced in April 2010 and the Government has approved the preparation of legislation to deliver on the review's recommendations. Lack of awareness among tenants of their rights did not arise as an issue in the course of the review. The PRTB and other stakeholder organisations play an important role in informing parties to tenancies of their rights. The PRTB's website, www.prtb.ie, is an important resource in this regard.

The private rental sector is a significant part of the housing market and is growing as a result of a lack of demand for home purchasing. Tenants need to be informed of their rights and what agencies are available to assist them in resolving problems should disputes arise with landlords. Threshold and other voluntary groups are inundated with queries on basic tenants' rights. Problems such as the return of deposits, which should be easily resolved, are taking up a great deal of time.

The Minister suggested previously that compulsory registration of landlords would be introduced. There is a serious discrepancy in this regard because many landlords are not registered. Where they are registered, voluntary organisations and others are able to contact them to forward complaints and have issues addressed. This is not the case, however, where landlords are not registered. Will the Minister outline how he proposes to deal with unregistered landlords?

As I indicated, the heads of a Bill have been approved by the Government and I hope to have legislation in place to address some of the issues raised by 2012. Tenants' rights are outlined in the Residential Tenancies Act 2004. The legislation provides that rented accommodation must be in good condition and sets out what the term "good condition" means. Tenants must also have privacy. The various rights provided in the Bill are available on the website of the Private Residential Tenancies Board.

I concur with the Deputy that Threshold and other voluntary groups are playing an important role in supporting the information flow required by students and others who may be vulnerable to the actions of unscrupulous landlords in some of these matters. I assure him that the issue of compulsory registration is being actively considered in the context of forthcoming legislation.

Written Answers follow Adjournment.

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