Dáil Éireann debate -
Thursday, 10 Dec 2015

Vol. 900 No. 2

Priority Questions

Leader Programmes Applications

Éamon Ó Cuív

Question:

1. Deputy Éamon Ó Cuív asked the Minister for the Environment, Community and Local Government the number of submissions received under the Leader programme of 2014 to 2020 to date; the number of these that relate to local areas that are expected to have only one single strategy submitted for them; the number of Leader plans that have been evaluated and approved to date, the number of areas where it is expected that only one strategy will be submitted; and if he will make a statement on the matter. [44254/15]

Deputy Éamon Ó Cuív

The Minister of State is aware that I have been asking regularly about progress on the roll-out of the Leader programme. As it is now the end of the year, I am anxious to get an update on the number of final plans the Department has received, when Leader programmes are likely to begin and how many such programmes the Minister of State hopes to be able to approve before Christmas and in the next few months. I seek to ascertain how matters are progressing with the roll-out of the Leader programme because as a five-year programme, unless it starts in the early part of next year, it will not be finished in 2020.

Minister of State at the Department of the Environment, Community and Local Government (Deputy Ann Phelan)

I accept the Deputy inquires regularly about the Leader programme. As he is aware, the preparation and submission of local development strategies under the Leader elements of the Rural Development Programme 2014-2020 is under way in each of the 28 designated subregional areas. A minimum period of six months to the end of January 2016 has been allowed for the submission of strategies by all local action groups, with the majority expected to submit strategies within that timeframe. To date, six local development strategies have been received and these are being considered at present. Based on the expression of interest process, all these strategies relate to areas for which only one strategy is expected to be submitted. At this stage, my Department expects that a single strategy will be submitted in at least 22 of the 28 subregional areas.

The strategies, as they are submitted, are assessed by Pobal before being forwarded to the independent evaluation committee for final evaluation and decision. The independent committee met on 5 November 2015 to consider the first strategy received and identified a number of areas within the strategy where further information and analysis was required to bring it up to the required standard. A revised strategy has been received since and the independent evaluation committee will meet again on 17 December to consider this, together with another two of the strategies received.

Deputy Éamon Ó Cuív

Do I take it that one and possibly three strategies could get the green light by the end of this month? Could the Minister of State then be in a position to announce she had approved possibly three but probably at least one strategy? Is that then the end of the process and will the Minister of State be able to announce she has begun the actual roll-out and approval of strategies? At this point, does the Minister of State have an indication as to how many of the 28 areas are likely to have submitted a final strategy, either one or two strategies as the case may be, by the end of January and how many of them will achieve the deadline? Six out of 28 is a small proportion. Is the Minister of State expecting many strategies to be submitted between now and the end of January because many people are anxious to find this out, particularly with regard to their own area?

Deputy Ann Phelan

Yes, I expect the bulk of the strategies to be submitted in January. Just six local development strategies have been received for evaluation, three of which will be considered next week by the panel of experts in the independent selection committee. It is a requirement that these strategies be subject to robust assessment by the committee. I appreciate the Deputy understands the programme should only commence in an area in which the strategy has been deemed by the committee to reach the acceptable standard. Once the committee approves a strategy, a contract for programme delivery will be signed within one month and administration funding will be advanced to the local action group. It is expected that a number of areas will have Leader funding in the new year, with the rest of the strategies being approved on a rolling basis. I am aware the Deputy is anxious, as am I, to see communities getting their money in January and February 2016. However, I also must allow the independent committee to do its job in the way it sees fit.

Deputy Éamon Ó Cuív

Yes, I fully accept the first onus is on the groups to put in a good strategy and to submit it in a timely manner. I have a question, allowing that in most areas, one strategy will be submitted and evaluated. If it is not up to standard, the Department will revert to the group, as has been done with the first strategy, it will point out its deficiencies and will ask for it to be brought up to standard, after which it will go back to the committee. Once it goes back to the independent committee and that committee approves it, am I correct in thinking the Minister of State will be ready to sign a contract?

Deputy Ann Phelan

Yes.

Deputy Éamon Ó Cuív

In the case of those areas in which there will be more than one strategy or where more than one group can submit a strategy, what is the ultimate amount of time the second group might have? I refer to a scenario in which one group submitted a strategy whereas the other group held back. Can the latter group hold back indefinitely on submitting a strategy and for how long could it hold up the process before being informed it was out of time? This is a concern in those areas in which two strategies are being submitted, that is, the possibility of getting a long-drawn-out process that would leave them far behind the rest of the early starters.

Deputy Ann Phelan

A long-drawn-out process is not desirable at all. I believe what will happen is that once strategies are approved and once the areas see that money is coming down to the communities, the other strategies will come in very quickly on the back of approval of contracts.

Tenant Purchase Scheme Administration

Brian Stanley

Question:

2. Deputy Brian Stanley asked the Minister for the Environment, Community and Local Government if he will alter the new tenant purchase scheme to include Part V housing to change the terms of the scheme regarding sale price and market value and to factor in the length of the tenancy. [44252/15]

Deputy Brian Stanley

My question pertains to Statutory Instrument No. 484 of 2015 on the sale of local authority housing. I raise this issue with the Minister of State because of my concerns regarding the new scheme. First, a person who is a tenant for just one year can purchase a house at a discount of 60%. While a person on an income of €15,000 can purchase a house, will he or she be able to maintain it? The purchase price can be pitched at 50% of the replacement value of the house or the market value, and that is a major concern. There is a huge shortage of council houses and the housing stock is too small.

An Ceann Comhairle

Thank you.

Deputy Brian Stanley

The National Economic and Social Council, NESC, stated in 2005 that we need 200,000 houses-----

An Ceann Comhairle

Deputy, this is only an introduction to your question.

Deputy Brian Stanley

-----and we have just over that amount.

Minister of State at the Department of the Environment, Community and Local Government (Deputy Paudie Coffey)

The new incremental tenant purchase scheme for existing local authority houses will come into operation on 1 January 2016. It will apply to all local authority houses, other than excluded dwellings, on which I can expand later.

The provisions of Part V of the Planning and Development Act 2000, as amended, are designed to enable the development of mixed tenure, sustainable communities. Part V units are excluded from the tenant purchase scheme to ensure that units delivered under this mechanism will remain available for people in need of social housing support and that the original policy goals of the legislation are not eroded over time.

The market value of a local authority house will be determined in the first instance by the local authority. Where the tenant does not agree with the local authority valuation, it is open to him or her to have the market value determined independently. Under the new scheme, discounts of 40%, 50% or 60% are available, linked progressively to the income level of potential purchasers. The determination of discounts based on income is a fairer and more progressive method than discounts based on length of tenancy. Once the house is sold, the local authority will place a charge on the house equal to the discount given. The charge reduces to nil over a charge period of 20, 25 or 30 years. If the house is resold within the charge period, the local authority must be offered first refusal to buy back the house and the tenant purchaser must pay back the value of the outstanding charge on the property to the local authority.

I do not intend to re-examine these measures, which are fundamental to the design of the scheme. However, I will be keeping the operation of the scheme under review.

Deputy Brian Stanley

This scheme is potentially very dangerous because local authorities do not have a large housing stock, numbering only 110,000 units at present, with a further 30,000 social housing units under the control of the approved housing bodies. There is an enormous shortage of local authority housing. My party is not opposed to a tenant purchase scheme but we believe that any such scheme must be progressive. The previous scheme had both strengths and weaknesses. Part V units are being excluded from the new scheme arbitrarily and the Minister of State's explanation for this does not hold water. A tenant who has been in a dwelling for only one year could get a 60% discount while another tenant who has been living in a local authority house for 40 years who has a gross income of €30,000.01 would only be entitled to a 40% discount. There is no recognition of the thousands of euro paid in rent over the years.

The old scheme was better in that there was little incentive to buy early. Tenants moved in, got well settled in an area and a community formed before the houses were sold off. A quick sale is not a good thing in this context.

Deputy Paudie Coffey

With all due respect to the Deputy, I am a little confused because on the one hand he is saying that he is in favour of the tenant purchase scheme while, on the other, he is arguing against it.

Deputy Brian Stanley

I am in favour of a good tenant purchase scheme.

Deputy Paudie Coffey

I am a little confused as to the Sinn Féin position on this issue. The Deputy's question asks that the Government extends the tenant purchase scheme to Part V dwellings. The importance of integration in communities has been debated and agreed in this House, as has the importance of the provision of social housing. During a recent debate in this House, Sinn Féin argued that we should retain 20% of social housing in private estates but now Deputy Stanley is arguing that the 20% should be sold or at least be available for sale.

Deputy Brian Stanley

That is not what I argued.

Deputy Paudie Coffey

That is, in effect, what the Deputy is arguing and I am somewhat confused by the Sinn Féin position on this issue.

Part V housing is excluded from the new scheme, as are houses that were specifically designed for occupancy by older people. The latter are excluded because the State must retain that housing stock. Part V units are excluded for integration reasons.

Deputy Brian Stanley

The Minister of State is deliberately trying to skew what I am saying. Of course we want estates to have 20% social housing and people to be given the option to buy. Only a limited number of people would be able to buy Part V units because most could not afford them. Offering a house for sale to someone who has only occupied it for a year and who has an income of €15,000 will cause problems. That person will not have the money to make repayments on the purchase or to maintain the house. The Government is creating a problem in that regard. Furthermore, the quick sale of houses will diminish the social housing stock.

The old scheme operated over a ten year cycle and the Minister of State's predecessor improved on that by extending the cycle to 15 years, with a 1% discount per year. That was a more progressive scheme. Sinn Féin is in favour of a tenant purchase scheme but it must be progressive. The problem with the new scheme is that it incentivises a quick sale and does not encourage long-term, stable tenancies. The incentive for long-term tenancy has been removed. Furthermore, units will be sold to people who may not be able to afford to make the repayments or maintain their houses.

I am not picking an argument with the Minister of State. I am trying to be constructive because I see a problem down the line. What is more, Fine Gael councillors in my own county and the two neighbouring counties are not happy with the new scheme either.

Deputy Paudie Coffey

I totally respect that Deputy Stanley is trying to be constructive in raising this issue.

Deputy Brian Stanley

We need to hear from the councillors on this.

Deputy Paudie Coffey

That said, I am a little confused as to the Sinn Féin position and I mean that genuinely. On the one hand, Deputy Stanley is saying that he supports the scheme, but he argued previously that we should not allow the purchasing-----

Deputy Brian Stanley

I support a tenant purchase scheme, but not this one.

Deputy Paudie Coffey

The Deputy may have certain expectations based on the older scheme but I would argue that this is a more progressive scheme because it is based on income.

Deputy Brian Stanley

The scheme will allow people on €15,000 to buy a house.

Deputy Paudie Coffey

The more income there is in a household, the lower the discount. That makes the scheme progressive. Deputy Stanley is arguing that the scheme should be based on the duration of a tenancy but in that scenario, a very high earner with a long tenancy could get a far greater discount than others. The new scheme represents a more balanced approach. We are excluding Part V units because we need to retain social housing in some private estates to encourage integration. There are other exclusions, including units designed for elderly people, group Traveller housing and units designed for people with disabilities.

Deputy Brian Stanley

I support those exclusions.

Deputy Paudie Coffey

I welcome the fact that Deputy Stanley supports those exclusions.

In general the new scheme has been welcomed. As I said earlier, we will continue to keep it under review. The scheme will kick off on 1 January 2016 and let us see how it goes.

Climate Change Negotiations

Richard Boyd Barrett

Question:

3. Deputy Richard Boyd Barrett asked the Minister for the Environment, Community and Local Government his role in the recent climate change conference in Paris in France; his views on the comments by the Taoiseach at the conference that the European Commission's climate targets for 2020 for Ireland were unrealistic; and if he will make a statement on the matter. [44255/15]

Deputy Richard Boyd Barrett

The Paris climate summit is attempting to prevent climate chaos as a result of global warming. Many people were very disappointed by the Taoiseach's comments to the effect that Ireland's emissions targets for agriculture were unrealistic and are fearful that the Irish Government is not serious about addressing the urgent threat to this country and to the globe.

Deputy Ann Phelan

I assure the Deputy that is Government is very serious about climate change.

The 21st conference of the parties to the United Nations Framework Convention on Climate Change, known as COP21, is currently taking place in Paris and is scheduled to run until tomorrow when some 196 parties, including Ireland, will hopefully finalise a new legally binding global agreement on climate change. An ambitious global agreement is in Ireland’s interests, in that it will protect us from the impacts of climate change and allow us to pursue a transition to a low-carbon future on a level playing field with other countries. The Minister for the Environment, Community and Local Government, Deputy Alan Kelly, is currently heading up the Irish delegation in Paris and assisting with the negotiations as part of the EU team.

Regarding our 2020 target, the latest EPA projections indicate that while we may come close to meeting our cumulative emissions targets for the period 2013 to 2020, due in part to overachievement in the early years of the period, our actual emissions in 2020 will most likely fall short of the headline target figure of a reduction of 20%. It was in this respect that the Taoiseach made reference to the significant challenges that Ireland will face in terms of meeting whatever targets are set for us in 2030.  What compounds this challenge is the limited potential for mitigation in the agriculture sector and also the impact of the economic recession on our ability to invest. 

However, the Climate Action and Low Carbon Development Bill 2015, soon to be enacted, gives a solid statutory foundation to the institutional arrangements necessary to enable the State to pursue and achieve the national transition objective of a low carbon, climate resilient and environmentally sustainable economy by the year 2050.

Deputy Richard Boyd Barrett

In the context of the Climate Action and Low Carbon Development Bill 2015, the Government adamantly resisted including binding targets because it knew that with its current strategy, it was not capable of meeting the 2020 targets. The Taoiseach said that the targets are unrealistic and made a special plea for Ireland to be treated differently from other countries, even though the whole world understands the urgency of this problem.

I have a number of simple proposals which would help us to resolve this problem and meet our 2020 targets. First, the Government should massively expand the afforestation programme to mitigate the effects of agriculture.

We have achieved fewer than half the targets that were set years ago in respect of afforestation and the Government still has no real plans to increase activity in this area.

Second, can we just introduce a ban on fracking? Why would we even consider allowing fracking when we are trying to meet climate change targets?

Deputy Ann Phelan

We were commended on our climate change legislation, which was debated at length in the House. It provides a statutory basis for the national objective of transition to a low-carbon, climate-resilient and environmentally-sustainable economy by 2050. This has cross-Government support. The Minister made significant amendments to the legislation as it progressed through both Houses in response to the considered and reasonable arguments put forward. These amendments enhance its efficacy to make it even more significant and responsive to the major global challenge of our time. The Deputy will be aware of the key provisions in the legislation. There will be national mitigation plans under which afforestation will be considered and there will be national adaptation frameworks.

Deputy Richard Boyd Barrett

When one looks at the flooding engulfing huge parts of the country, one realises - given that this is happening so frequently - how serious this problem is and how much it is costing us. It is not a problem that will arise in the distant future; it is happening now. Our afforestation targets are pathetic. They are less than half of what they should be at 6,000 hectares per year when to achieve the forest cover we need, they should be twice that.

Will the Minister of State respond on the issue of banning fracking? There should be absolutely no consideration of fracking and bringing up gas and oil for health and environmental reasons when we have to meet these targets and the Government is pleading that it cannot meet them. It resisted binding targets in the climate change legislation.

Deputy Ann Phelan

I have given a detailed response regarding the whole-of-government response to the weather conditions over the past number of days. All the issues the Deputy has raised will be considered under the national mitigation plans and national adaptation frameworks and how we adapt what we are doing at the moment to how we respond to the weather events of the past number of days.

There is an energy paper and the EPA is doing a report on fracking. No decisions will be made, as far as I know, until the report is taken into consideration.

Under the low carbon development Bill, the first national mitigation plan must be produced no later than 18 months following the enactment of the legislation.

NAMA Social Housing Provision

Barry Cowen

Question:

4. Deputy Barry Cowen asked the Minister for the Environment, Community and Local Government if he will describe the discussions and negotiations he has had with the National Asset Management Agency, NAMA, in respect of increasing its provision of social housing units; if he is satisfied the agency is doing all within its authority and legal mandate to increase the supply of social housing; and if he will make a statement on the matter. [44313/15]

Deputy Barry Cowen

What discussions were held with NAMA to increase the supply of social housing units? What percentage of the 20,000 units committed to in the budget will the agency deliver? Can the Minister of State clarify whether this number is separate from last week's announcement of 20,000 units for Dublin? With regard to the interest rate clients of NAMA are charged, competitors are reputedly being charged between 14% and 16% by hedge funds, one of which is sponsored by the Government.

Deputy Paudie Coffey

I thank the Deputy for his question. NAMA continues to play an important role in the delivery of social housing. To the end of September 2015, a total of 1,600 NAMA residential properties had been delivered for social housing use, comprising 1,241 completed properties and a further 359 that have been contracted and where completion work is ongoing. A further 486 properties are considered as being active transactions whereby terms are agreed or active negotiation is ongoing by all parties concerned or where a detailed appraisal is being carried out. An additional 440 properties are to be further appraised. Overall, I expect that in excess of 2,000 units will be secured for social housing purposes from this engagement with NAMA. In addition, NAMA is funding the construction of new residential properties to help meet demand in the major urban centres. The overall programme will be funded from NAMA’s own resources and will lead to the development of an estimated 20,000 units by 2020, mainly in the greater Dublin area where the current residential supply shortage is most acute.

Residential developments funded by NAMA are subject to the same planning and regulatory requirements as all other developments and this includes policy relating to Part V of the Planning and Development Act 2000. As such, I expect 10% of the output of this investment by NAMA, or approximately 2,000 units, to become available for social housing.

NAMA’s special purpose vehicle, the National Asset Residential Property Services, NARPS, Limited was established in 2013 to facilitate the sale or lease of NAMA debtor or receiver residential properties for social housing purposes. In line with a commitment in the social housing strategy, its remit has been expanded to allow it to fund the purchase of Part V units which become available through its residential delivery programme. In this way, the agency will continue to facilitate the provision of high quality units for social housing purposes in mixed tenure, sustainable communities and, thus, complement the extensive social housing construction programmes in which all local authorities are currently engaged.

Deputy Barry Cowen

I thank the Minister of State for his response but I refer him again to the questions I asked. What discussions were held with NAMA recently regarding the budget announcement to increase social housing supply and when were they held? Notwithstanding the grave mistake to reduce the Part V contribution from 20% to 10% of private developments, the Minister of State said that of the 20,000 units that are to be built, only 10% will accrue to the State and NAMA will purchase them. He said this would be around the country but last week's announcement was Dublin specific. Six to eight months ago, 20% or 4,000 of these units would been provided but now only 2,000 will be provided. The budget announcement of 20,000 new units will supposedly address the deficiency in supply in urban centres throughout the country but last week's announcement related to 20,000 units being provided in the docklands and other parts of Dublin only.

NAMA is reputedly charging its clients 4% for funding while hedge funds from the US and elsewhere are charging between 14% and 16%. Will the Minister of State comment on the fact that a hedge fund sponsored by the State is also charging between 14% and 16% in conjunction with a US hedge fund, meaning competitors are not being treated fairly?

Deputy Paudie Coffey

NAMA was established with a commercial mandate but it has also been expected to deliver a social dividend through its housing output. Of the 6,574 units identified by its officials, demand has been confirmed for 2,526, which is a substantial social housing offering. Negotiations and approvals relating to these units involve approved housing bodies, local authorities, the property owners, financial institutions, receivers and other relevant parties.

As announced on budget day, the Minister for Finance asked NAMA to carry out an analysis of development sites controlled by its debtors and receivers with a view to identifying the scope for substantially increased residential delivery in the period up to 2020. The agency is not becoming a developer nor will it build houses. It will ensure the delivery of these units through continued work with its debtors to agree development plans, secure planning permissions and fund the delivery of these residential units.

Deputy Barry Cowen

Housing provision is currently in crisis. That has called for better delivery by NAMA in respect of the social dividend that was promised when it was set up. It now appears that there was nothing new in last week's announcement in respect of providing additional units and that there will be fewer units available to the State in the form of a social dividend by virtue of the change made to the legislation regarding Part V earlier this year. NAMA will deliver 10% rather than 20% and what is being delivered is only being leased; it will not even come into the ownership of local authorities, which might have accrued the benefit, despite the fact that provision seems to be confined to Dublin. The Minister of State has yet to comment on my question, which I have asked twice.

I am asking the Minister of State to comment on behalf of Government on the fact that NAMA is reputedly charging its customers 4% for funding. Those customers, in terms of their involvement with NAMA, are already in difficulty, while others wishing to operate competitively to make housing units available to people are being charged 14% to 16% for funding by hedge funds, including one set up by this Government.

Deputy Paudie Coffey

I reiterate that NAMA has confirmed the delivery of 20,000 residential units by 2020 and it estimates that 90% of the 2020 target will be in the greater Dublin area where the need is greatest. Approximately 75% of these units will be starter homes, 10% of which, as per Part V, will be provided for social housing. The Deputy will be aware from his participation in debates in this House that the cash-in-lieu measure has been abolished. In regard to his criticism of the reduction to 10%, this was done to address the viability issues of development in what is currently a dysfunctional market.

Deputy Barry Cowen

I agreed with that.

Deputy Paudie Coffey

To be fair, had the cash-in-lieu arrangement not been put in place, we would today have 10,000 additional social housing units to provide for people. The putting in place of that provision was a bad mistake, as has been acknowledged by all.

On the Deputy's question regarding engagement by NAMA with other developers in the market, NAMA operates on a commercial basis. However, it will work with developers who have no current links with it to ensure that a broad array of Irish developers and contractors have every opportunity to contribute to the residential delivery programme in which NAMA is currently engaged. I hope I have clarified the position for the Deputy.

Deputy Barry Cowen

Can the private sector apply to NAMA for funding?

Local Authority Housing Provision

Richard Boyd Barrett

Question:

5. Deputy Richard Boyd Barrett asked the Minister for the Environment, Community and Local Government in the context of the current housing and homelessness emergency and in order to accelerate the delivery of permanent social housing, if he will consider the purchase of hundreds of permanent homes currently advertised for sale as an alternative to modular housing, the direct transfer of National Asset Management Agency property and cash reserves to the local authorities, and the direct employment by the State of building workers, architects, engineers and so on to build social housing and thus eliminate the lengthy delays involved in the outsourcing and tendering process; and if he will make a statement on the matter. [44256/15]

Deputy Richard Boyd Barrett

As we face into Christmas, the housing and homelessness crisis continues to spiral out of control. My question requests that the Minister of State consider three measures to deliver immediate and permanent social housing on a greater scale and more quickly, including, rather than the construction of modular homes, the purchase online via Myhome.ie of 739 houses currently for sale for less than €200,000 which would ensure the availability of permanent homes for people before Christmas. The cost of construction per modular unit is €190,000. The houses to which I have referred are available at a cost of €200,000 each. The Government needs to purchase these houses and thereby provide people with permanent homes.

Deputy Paudie Coffey

Local authorities and approved housing bodies are utilising a wide range of delivery approaches to accelerate the provision of social housing. This multifaceted approach includes acquisitions, as proposed by the Deputy. I will provide data in this regard as I go through my reply.

The range of delivery approaches available includes the remediation of vacant social houses, many of which were voids, in respect of which regeneration has been very successful; the lease of units; the use of the rental accommodation and housing assistance payment schemes; and the construction projects, including construction of modular units to which the Deputy referred. The Government is also approving direct acquisitions by local authorities and approved housing bodies.

A strong pipeline of new social housing construction projects is now in place following on from the announcement earlier this year of the first major direct build social housing programme under the strategy. Recognising that these projects will take time to come on stream, the Minister, Deputy Kelly, and I have encouraged local authorities to acquire suitable properties for social housing, while being sensitive to local market conditions and ensuring value for money for the taxpayer. I expect that in the region of 700 such units will be acquired by local authorities this year.

In relation to NAMA residential properties, I expect more than 2,000 units to be secured for social housing purposes from the engagement that has been ongoing between my Department, NAMA and the local authorities for a number of years. NAMA is also funding the construction of an estimated 20,000 new residential properties in major urban centres and 10% of that output, some 2,000 further units, will be, as per Part V, provided for social housing. Approximately 400 new local authority housing posts have been approved by my Department to ensure capacity and preparedness for delivery of the social housing targets, including the appointment of architects, engineers, financial and administrative staff. As I said, the approach being taken is a multifaceted one. I assure the Deputy that every avenue is being explored to ensure delivery of the social housing which we all acknowledge is badly needed.

Deputy Richard Boyd Barrett

The Government is paying €190,000 per unit for 500 modular houses, many of which will not be delivered until the end of next near. There are 739 houses listed for sale today on the Myhome.ie website, each of which cost less than €200,000. Why would the Government choose to buy temporary modular homes, many of which will not be delivered until next year, when it could purchase 739 houses online today, many of which could be refurbished and ready for occupation before Christmas, thereby providing people with permanent homes? I am proposing that this is what the Government should do with the money it has available.

In regard to the 2,000 housing units to be provided by NAMA, this is a pathetic return from NAMA as the biggest real estate agent in the world. We need to open up the books of NAMA, which is currently selling off huge blocks of land to vulture funds from the US, including LoneStar.

An Ceann Comhairle

A question, please.

Deputy Richard Boyd Barrett

Rather than allow the sale of that land, the Government should be putting that land and NAMA properties into the hands of the local authorities to assist them in housing provision.

To short-circuit the excess delays in the delivery of social housing, I propose that the Government provide housing in-house through the local authorities rather than outsource responsibility in that regard because that process only adds a further year to the delivery of social housing.

Deputy Paudie Coffey

As I have already told the Deputy, every avenue in terms of the delivery of social housing as quickly as possible is being explored. The voids programme has been successful, with almost 2,000 voids having been turned around and returned to use this year. As I said, we expect approximately 700 houses to be acquired through the local authorities, a measure for which the Deputy is calling. We must take a balanced approach to this issue. If, as proposed by the Deputy, the Government were to purchase every property currently for sale in the country, that would impact on the ability of first-time buyers to buy houses which, in turn, would impact negatively on the market. It is important that first-time buyers have an opportunity to purchase too. We need to take a balanced approach to this issue. The Government is taking every avenue in the context of increasing the number of social housing units available. If in the morning the Government bought up every house for sale, this would impact negatively on the ability of other people to purchase a house, which is their entitlement. The Government is addressing this issue in a measured and balanced way.

In regard to the modular homes, whether one agrees or disagrees with them, they are intended to remove families from emergency accommodation. I agree with the Deputy that the initial cost in this regard is high but this is because we are paying a premium for them in the context of the need for delivery of them very quickly. I would expect that the next tranche of modular units will be delivered at a cheaper cost per unit than the amount mentioned earlier by the Deputy.

Deputy Richard Boyd Barrett

As we approach Christmas, 1,000 children are either living on our streets or in emergency accommodation. What is the priority? There are 739 apartments or houses available for sale in Dublin for less than €200,000 each, which could become permanent homes. Why would the Government choose to spend €190,000 per unit on modular houses, which are temporary homes in which it is proposed people will reside for only six months, when it could purchase 739 permanent homes in Dublin today, thereby removing those 1,000 children from the street, which is utterly unacceptable? Will the Minister of State respond to my question in regard to the opening up of the commercial books of NAMA? NAMA has failed us in terms of the delivery of social housing. We need to open up its books with a view to increasing the proposed 2,000 units return, which is a pathetic return from NAMA.

Deputy Paudie Coffey

I stated earlier that NAMA has identified over 6,000 units as suitable for provision to local authorities or approved housing bodies. Whether the Deputy likes it or not, the housing authorities are responsible for housing people. The Government sets policy and provides funding to local authorities and approved housing bodies. If the local authorities or approved housing bodies come forward with priorities, be that direct build, acquisition or void turnaround the Government will provide the funding. As I said, the Government has already funded 700 direct acquisition and construction projects. Over 10,000 housing units will be provided via capital and current projects. The Deputy needs to acknowledge that. We are using every avenue available to us to address this issue. The provision of modular homes is an additional initiative to try to accommodate people in emergency accommodation as soon as possible. I agree with the Deputy that the cost per modular house is expensive but, as I said, we are paying a premium in that regard because of the speed with which these houses need to be delivered. It is another option of delivering houses, on top of the many others we are working on.

I ask for the Deputy's help in this area. We need greater support from councillors for projects put before them under the Part VIII arrangement and to have those projects delivered as quickly as possible.