Richard Bruton
Question:57 Mr. R. Bruton asked the Minister for Transport the financial mechanisms in place to review infrastructural projects; and if he will make a statement on the matter. [10998/04]
View answerTuesday, 4 May 2004
Questions (53)
Written answers
As I stated in previous replies to this question, all major projects are subject to detailed assessment and evaluation including, at key stages, cost benefit analysis, in accordance with Department of Finance guidelines on the appraisal and management of capital projects.
The development of PPP projects takes account of Department of Finance interim guidelines on the assessment, appraisal and procurement of PPP projects. These guidelines focus on ensuring that the use of the PPP approach is justified on a value for money basis.
In March 2003, at my request, a new control system for major infrastructure projects was put in place in my Department. The infrastructure projects include national road construction, the Dublin Port tunnel, CIE and Luas projects. I have received monthly reports on each of these projects since April. It is my intention to collate and publish the reports at an appropriate time.
The State bodies under the aegis of my Department, which are responsible for the delivery of capital infrastructure are obliged to comply with the requirements of the code of practice for the governance of State bodies, including conformity with the guidelines for the appraisal and management of capital expenditure in the public sector.
In addition to the above procedures, in regard to Luas, a light rail monitoring committee is in place comprising representatives of my Department, the Department of Finance and the Railway Procurement Agency. It is assisted by independent technical experts who report to the Department on a monthly basis. The Railway Procurement Agency also reports on programme and budgetary issues to my Department on a monthly basis. My Department continuously reviews this and other information on the Luas project to ensure that the highest standards of project management are adhered to by the agency. Indeed, my Department reported to Government at critical stages of the Luas project. This included reporting on physical progress and budgetary considerations.
My Department also has in place an investment monitoring unit charged with overseeing the financial and physical progress of rail and bus infrastructure projects and ensuring the effective and timely financial reporting of capital expenditure by the CIE group of companies to the Department. The investment monitoring unit also engages consultants to carry out an audit of expenditure claims submitted to the Department seeking draw down of Exchequer and EU funding under the National Development Plan 2000-2006.
The implementation of the national roads and public transport investment programmes is further monitored by my Department through the monitoring committee of the economic and social infrastructure OP which is representative of Departments, implementing agencies and social partners and which meets twice yearly to consider progress reports on the implementation of the investment programmes.