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National Development Plan

Dáil Éireann Debate, Tuesday - 26 April 2022

Tuesday, 26 April 2022

Questions (110)

Darren O'Rourke

Question:

110. Deputy Darren O'Rourke asked the Minister for Transport the way that the rising cost of construction will impact major transport infrastructure projects in the National Development Plan; and if he will make a statement on the matter. [21015/22]

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Written answers

As the Deputy will be aware, the construction industry is currently experiencing significant inflationary pressures and supply chain constraints. These factors have implications for progress on construction projects including transport projects. The potential impacts on transport projects are being monitored by my Department and its agencies. The potential impact on transport projects in the NDP is uncertain as there may be different impacts depending on the stage a project is at; for example, projects at planning and development stage or nearing completion of construction may not be significantly impacted but projects in construction or at contract award stage may be impacted more significantly.

As regards the overall position regarding the impact of construction inflation on public works contracts, as the Deputy will be aware, the Office of Government Procurement (OGP), which operates as an office of the Department of Public Expenditure and Reform, is responsible for implementing national policy on public procurement, particularly in relation to construction procurement. I understand that the Minister for Public Expenditure is considering options at present with regard to the impact of construction inflation on public works contracts.

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