Vol. 540 No. 1
63 Ms Clune asked the Minister for the Environment and Local Government if he will report on the progress made on infrastructural projects in the national development plan under the aegis of his Department; and if he will make a statement on the matter. [19789/01]
The national development plan sets out a strategic framework for the development of economic and social infrastructure over the period 2000 to 2006. It provides for a total investment of approximately £24 billion – current prices – for such development. The various investment programmes have been further elaborated in the economic and social infrastructure operational programme and in the operational programmes for the Border, midlands and western region and the southern and eastern region. Of the total planned investment, approximately £19 billion is for infrastructure programmes coming within the remit of my Department, including national and non-national roads, water and waste water, housing, waste management and urban and village development.
Satisfactory progress is being made by local authorities and the National Roads Authority on the detailed programming of the work required and with the planning, design and implementation of individual infrastructural projects. Expenditure on such projects in 2000 amounted to £1.75 billion, which is in line with NDP targets, and good progress is continuing to date. Imple mentation is being actively pursued at all levels with a view to the timely completion of all NDP programmes. Implementation will be subject to a full mid-term review in 2003 and is being closely monitored.
Every effort is being made to ensure the efficient and effective delivery of improved infrastructure throughout the country. A broad ranging package of measures is being pursued under the direction of the Cabinet committee on infrastructural development to support the process of implementation. These include the promotion of public-private partnerships, new procedures for improved management of projects, improved arrangements for dealing with archaeological excavations, a communications strategy to gain maximum support for NDP programmes, measures to increase the capacity of the construction industry and the transfer of certain project approval functions to An Bord Pleanála.
I am satisfied that good progress has been made to date on the implementation of the national development plan infrastructure programmes and that this progress will continue towards achieving the ambitious objectives set out in the NDP.
I thank the Minister of State for his reply although I am surprised to hear he is satisfied with the progress being made on infrastructure programmes. Any reports I have read indicate that many projects have not advanced whatsoever, waste management being a case in point in that little, if any, investment has been made in this area. Spending on housing has decreased. Media and consultant reports indicate that the implementation of NDP infrastructure programmes is behind schedule and that further investment will be required in future if we are to maintain the targets set. Will the Minister of State comment on capacity restraints within the system? Constraints within the construction industry are widely recognised. Inflation is currently running at 12.5% in the construction industry. What effect will this have on the delivery of programmes?
To date, inflation has not affected the delivery of programmes. No schemes have been abandoned due to inflation. However, the Deputy's concern about inflation is shared by the Government in so far as it may affect the delivery of programmes in the timescale outlined. The issue of waste management has proved problematic and we are all aware of the actions taken by the Minister to advance the waste management programme which created difficulties at local authority level. The Waste Management Bill will be debated in the House this week. Subsequent to its enactment, the Department will ask regional authorities to prioritise the elements of the plan dealing with delivery of waste recycling infrastructure and to prepare action programmes to bring these matters forward as a matter of priority.
The other area mentioned was housing with which I am especially familiar. We have established a four year multi-annual programme as part of the early years of the national development plan implementation. Local authorities have been gearing up and whatever shortfall might have occurred in the social housing programme activity in the initial year, which was last year, will be well made up this year. I will probably be asked to deal with this in greater detail when replying to later questions tabled on this matter.
Will the Minister of State address the issue of wage inflation which he reported is four times the EU average? Will that not have an effect on the implementation of the plan, as proposed? The figures for implementing the plan are in 1999 prices, but since then wages have increased considerably in this area which will have an effect on its delivery.
To date inflation has not affected the delivery of the plan, but it is a matter of concern to the Government. A close watch is being kept on costs to establish whether the targets need to be readjusted in the mid-term review, but every effort has been made to meet the targets laid down and hopefully the fears that exist will not be realised. If they are, we will need to restructure the timescale, but that is a decision for the future. The programme is proceeding and capacity constraints in the construction industry can be met for certain of the big projects in which a good deal of interest has been expressed by large contractors from abroad, which will be needed to help us achieve the ambitious programmes laid out.
