Dáil Éireann díospóireacht -
Wednesday, 2 Dec 2015

Vol. 899 No. 1

Topical Issue Debate

NAMA Portfolio

Deputy Bernard J. Durkan

I thank the Office of the Ceann Comhairle for facilitating this debate. I have raised the issue of the stalled development at Naas town centre in the House on a number of occasions in various guises. The issue has been ongoing for a considerable time, seven or eight years at this stage, and the unfinished development is now virtually a blight on the town.

The town of Naas is a progressive provincial town which has always been innovative in terms of business. However, business has suffered greatly as a result of the fact the tower cranes have not moved for a long time. I have raised this matter with the local authority, particularly in respect of the arbitrators who are dealing with an issue of arbitration which, hopefully, will conclude in January. I now raise the issue with the Minister of State in the context of the extent to which NAMA is involved in the scenario and the extent to which it can engage positively with the various authorities, including the local authority, with a view to moving the development forward at the first available opportunity.

This issue is important for more than one reason. It is a catalyst for development that is stalled in a similar fashion in other towns and villages throughout the county. County Kildare lies next door to our capital city, which puts considerable pressure on development in Naas, Sallins and all the towns of north Kildare from both a commercial and residential property point of view. Both sectors are heavily affected by the stalled development at Naas. Visually, the issue is obvious to all as three or four tower cranes are seen to be stalled against the skyline. This is not a good advertisement for business and is not good for the morale of the local business community or the local chamber of commerce which is supportive and very active in the area and has been anxious to move matters forward.

While I fully accept the restrictions that apply in regard to NAMA, they cannot continue forever. Therefore, I call on the Government to encourage NAMA to move on this. I do not suggest the stalling of this development is deliberate. However, nothing is to be gained by the continued stalling of the development and we cannot afford to allow it to wither much longer. It is hugely important from the point of view of both commercial and residential development. It is vital the matter moves forward as quickly as possible.

Minister of State at the Department of Finance (Deputy Simon Harris)

I thank Deputy Durkan for raising this issue of importance to all Deputies in terms of wanting to see development of their town centres and the return of economic activity.

As the Deputy is aware, NAMA is legally constrained from commenting on assets that are under the control of its debtors, which is confidential information as defined by the NAMA Act as passed by this House. On the general point, the Deputy is aware that all NAMA funding decisions are made in accordance with its statutory independent commercial mandate and its overriding objective of maximising the return to Irish taxpayers from the management and sale of its loans and the assets securing its loans.

In general terms also, I am assured by NAMA that if a project can be shown to be commercially viable, NAMA will look favourably at funding such projects. However, as the Deputy is aware, there are sometimes other stakeholders involved who also have to play their part and sometimes it is not possible that full co-operation can be achieved despite NAMA's best efforts. NAMA is committed to providing substantial funding on a commercial basis to its debtors and receivers to maximise the return that NAMA can generate on behalf of taxpayers from development assets within its portfolio. In other words, it is in the interest of NAMA to see development proceed so that it can return moneys to the taxpayer.

The NAMA board has, in this respect, undertaken to facilitate the timely and coherent delivery of key grade A office, retail and residential space within the Dublin docklands strategic development zone and to facilitate increased residential delivery in the greater Dublin area and other locations where residential development may be commercially viable. The Deputy will be aware, for example, of the recent announcement by the NAMA board that a residential delivery target of 20,000 units on a commercial basis by the end of 2020 is potentially achievable through NAMA funding. NAMA is making substantial progress in both respects. Just over a year since the NAMA board adopted its strategic business plan for NAMA assets in the docklands, it has facilitated planning processes relating to more than 2.5 million sq. ft. of commercial space. NAMA wants to get on with the job and to finish up its work as quickly as it can.

On the residential front, by the end of this year, NAMA will have funded the construction of more than 2,300 new residential properties in Dublin and in the neighbouring counties of Wicklow, Kildare and Meath. An additional 3,000 new residential properties are currently under construction and planning is in place for a further 4,900 properties.

NAMA's ultimate objective is to repay its debt and generate a surplus for taxpayers. It is well on track to do both and to do so sooner than could have been initially envisaged. NAMA has said that it aims to redeem a cumulative 80%, approximately €24 billion, of its senior bonds by the end of 2016 and to have redeemed all of its senior bonds by the end of 2018. This is two years ahead of NAMA's previous target of 2020. NAMA has, to date, redeemed €22.1 billion of senior bonds, 73% of the €30.2 billion of senior bonds originally issued in 2010 and 2011 to acquire bank loans. Reflecting NAMA's continued progress, it has redeemed €5.5 billion of senior bonds this year alone. NAMA has made major progress in reducing the State's contingent liability through the accelerated redemption of its Government guaranteed senior bonds. There is progress being made.

Since its inception, NAMA has reduced this contingent liability from €30.2 billion at its peak to €8.1 billion, a reduction from over 18% of GDP to around 4% of GDP today. The NAMA chief executive has said that NAMA remains confident that this senior debt contingent liability will be eliminated in full by 2018, two years ahead of NAMA's original strategic plan. NAMA is ahead of schedule because of its ability to take advantage of favourable Irish market conditions since the end of 2013 to increase the flow of assets to the market.

Coming back to the specific question, NAMA is legally constrained from commenting on assets that are under the control of its debtors because such information is confidential information as defined by the NAMA Act. Therefore, neither I nor the Minister for Finance would have, nor should have, knowledge of a specific property's relationship with NAMA, if any. NAMA operates a dedicated email address for Members to raise matters of concern directly with it and I have no doubt the Deputy has raised this matter with it. As I said, NAMA will look favourably on any commercially viable proposal but on occasion, it is just one of a number of stakeholders.

Deputy Bernard J. Durkan

I thank the Minister of State for his comprehensive reply. Time is critical and now is the time for NAMA to look at the assets it controls in Naas and to consider to what extent it can facilitate a reactivation of the development that is holding up development of the town centre because it has much wider implications and affects the entire town and outlying regions.

While we are on the job, I suggest they might liaise with the local authority. I know they are in discussion with it and with the arbitration services, as should be the case. I would ask them to concentrate their efforts with a view to bringing about an early indication as to where they are heading. From here on in, the confidence of the local community, the business sector and those who are seeking local authority and private housing will be facilitated or otherwise by the extent to which NAMA can act as an impeller in propelling the development forward.

Several years have elapsed since the development stalled. Sufficient time has now gone by. It is imperative that NAMA not only looks at the town centre in Naas but also at the other adjoining towns in County Kildare, with a view to ascertaining the extent to which it can facilitate the early resumption of development and the bringing to a conclusion of the freeze that has kept the place under a cloud for some time.

Deputy Simon Harris

I thank Deputy Durkan. As I said, NAMA is legally constrained from commenting on assets under the control of its debtors. Because this is confidential information, neither myself nor the Minister for Finance would have knowledge of a specific property's relationship with NAMA. Section 99 of the NAMA Act 2009 sets out how the transfer of loans and the various rights and obligations relating to debtors, their assets and loans are acquired by NAMA. Section 202 of the NAMA Act, however, prohibits the disclosure of confidential information of any business or person as set out in section 202(2).

That is not to say that NAMA cannot provide information in terms of where things currently stand. As the Deputy feels passionately about this issue, I suggest that he could pursue it directly with NAMA. NAMA operates a dedicated email address to enable Senators and Deputies to raise matters of concern with it directly. Any Deputy or Senator who has a concern about a particular sale or seeks information on the current status of a project should feel free to bring the matter to NAMA's attention. While respecting the confidentiality and very strict law within which NAMA must operate, I am sure it will be as helpful as possible in providing information to the Deputy. I have no doubt he has already raised this or indeed other matters with NAMA and will be fully aware that it does investigate all matters of concern brought to its attention.

I thank the Deputy.

Hospital Waiting Lists

Deputy Arthur Spring

I thank the Minister for Health for joining us. Many issues come in to us in our constituency offices that are pertinent to society, yet very few have come across my desk recently that are as serious as this matter. It concerns the cataract extractions that are necessary for elderly people, the most dominant section of society suffering from cataracts. I will give an example of the timeframe for treatment and its consequences. As a medical doctor, the Minister will, I am sure, appreciate this. Ophthalmologists and eye specialists are giving me first-hand data.

Currently, there are people in their 70s, 80s and 90s telling me they are being seen by a community medical ophthalmologist for the purposes of identifying whether they need a cataract extraction. These individuals are being put on a waiting list by the HSE and are waiting two years, on average, to be seen by - believe it or not - another community medical ophthalmologist, not in County Kerry, but in County Cork. Thereafter they are actually allowed to go and see a surgeon, following another 12 month period. There is a waiting time of up to three years; I have first-hand information from medics that it is currently a three year process. It is like a Kerryman joke that a community medical ophthalmologist in Kerry is not taken seriously enough and people have to go and see another one in Cork two years later to confirm they need a cataract extraction.

There are about 40 people in the Tralee area currently who need this because they can no longer read, see TV or drive their cars. One person - this is a very pertinent case, if the Minister does not mind - is deaf, lip-reads in order to communicate and is on a two year waiting list. That person is elderly, as is the majority of these people. Their quality of life is poor and becoming poorer and their standard of living, as influenced by those who are caring for them, is becoming more needs-based than compassion-based. There is a need for them to be brought shopping, collected and kept in care.

The knock-on effect is that there is more demand for home help and carers. There is also the threat of serious injury if someone is not able, while walking, to identify potholes, steps or other obstructions on the day-to-day route to the shop and so on. If they fall they are inclined to break a hip or do some other serious injury to themselves. Then we are into long-term care for the individual and the costs incurred by that.

I can cite many examples and have submitted some parliamentary questions to the Minister lately. It is not for the purposes of trying to heighten or exaggerate the matter. There is a problem and there is a solution. I am aware that people are travelling to Cork, many of them 80 or 90 years of age, to go to a community medical ophthalmologist. That is a six-hour ordeal at a minimum. For someone to be asked to do that at 90 is a little bit much. The Minister should accept the bona fides of what is going on in County Kerry. He should go straight into looking at the national treatment purchase fund as the solution.

Kerry General Hospital does not have autonomy in this matter and cannot operate on these patients. It is sending them to Cork University Hospital, CUH. Half a mile over the road, however, the Bon Secours Hospital has a theatre lying idle when we have the funding. I ask the Minister to tell me in his first response how much money is being spent on the national treatment purchase fund currently. I have information that Cork - not Kerry - patients are going to the Mater Private in Cork for the purpose of having cataract extractions. That is not happening in County Kerry.

Minister for Health (Deputy Leo Varadkar)

I thank Deputy Spring for raising this issue and giving me the opportunity to confirm to the House that reducing waiting times for scheduled care is a key objective for the Government. In January, I put in place maximum permissible waiting times for inpatient and day case treatment and outpatient appointments of 18 months by 30 June, and 15 months by the end of this year.

The HSE was provided with additional funding of €51 million to ensure that these maximum waiting times are achieved. In June, the HSE reported a performance against the 18 month maxima of 99.6% for inpatient and day case procedures, and 92% for outpatients. The additional funding provided by the Government in 2015 to reduce waiting times for scheduled care is being used to maximise capacity across public and voluntary hospitals, as well as outsourcing activity to private hospitals where the capacity is not available to meet patient needs within the maximum allowable waiting time.

The HSE is addressing performance against maximum waiting times with hospital groups as part of the regular performance and accountability review process. Fines are being applied at the average cost of inpatient, day case and outpatient appointments, with a view to incentivising improved performance for those waiting longest. The total value of fines levied to the end of October is of the order of €8.47 million.

The latest national treatment purchase fund, NTPF figures, published on 6 November, show some improvements. This is positive and is the first time recently that we have seen reductions across the three key categories of inpatient, day case and outpatient waiting lists.

In line with the reconfiguration of acute services for Cork and Kerry in 2013, the elective surgical component of the ophthalmology service transferred to South Infirmary Victoria University Hospital. All ophthalmic surgery is now carried out in south infirmary. The ophthalmology outpatient department remains in CUH until the full transfer of service has been completed.

I am disappointed that the numbers on the waiting list for ophthalmology procedures in south infirmary have increased between March and October. However, I have been assured that in line with the waiting list initiative, the hospital has written to all patients waiting longer than 15 months for an ophthalmology surgical procedure to offer outsourcing to a private health care provider. I am also pleased to confirm that the numbers waiting for an outpatient appointment in CUH have reduced overall from 5,513 in March to 4,378 at the end of October. I am advised that the hospital is committed to ensuring that by 31 December 2015, no patient will be waiting more than 15 months for an outpatient ophthalmology appointment. I also want to assure the Deputy that urgent referrals are triaged appropriately and seen in a suitable timeframe, in line with the clinical requirement.

To pick up the Deputy's question, the budget for the NTPF for the entire country for the entire year is €1 million. The NTPF ceased to exist as it used to in 2012. Any outsourcing to private hospitals that is now done does not take place through the NTPF as used to be the case. It is done directly by the hospital group or the hospital itself.

Deputy Arthur Spring

According to the Department, the budget for the NTPF was €17 million in 2013 while it was €5 million in 2014. That is why I am asking what the budget is for 2015. It does not concur.

I have hit the nail on the head regarding what the problem is. The Minister said, "However, I have been assured that in line with the waiting lists initiative, the hospital has written to all patients waiting longer than 15 months for an ophthalmology surgical procedure to offer outsourcing to a private health care provider." A community medical ophthalmologist in Kerry refers people to Cork University Hospital. At the end of a two-year period - it is even longer than the 15 months the Minister cited - they are referred to a private community medical ophthalmologist, who has exactly the same qualifications as the original ophthalmologist, and then referred to a surgeon. This is over a three-year period.

It is not the Minister's fault. The reason I raise it with him is that I know he can go about solving it. Unlike many of the problems raised here, I will not just tell him about the problem but will also provide him with the solution. There is an ophthalmologic surgeon in the Bon Secours Hospital in Tralee. Kerry General Hospital does not have the ability to procure the services for these people, one of whom is an amputee with diabetes, one of whom is 90 years of age and can barely see and one of whom can barely hear and uses lip reading. It costs €3,000 per eye for this to be done privately. These people do not have that kind of money. What funding is available in the HSE? The Minister's budget is increasing rapidly. We are talking about at least 40 people in the Tralee area and more than 100 in County Kerry. The quality of life of these people, who are in their twilight years, is declining. We need to operate on their eyes, remove their cataracts and give them a better quality of life. It is not rocket science but it is a joke that people see a person in Cork who has the same qualifications as the person they saw in Kerry and that they end up on a three-year waiting list. I implore the Minister to take action and secure some funds to give these people quality of life. We need to show some compassion as a Government.

Deputy Leo Varadkar

I will double check the NTPF figures in case I am mistaken. The NTPF does a number of things. It calculates the waiting lists and negotiates prices with private nursing homes for the fair deal scheme. Its traditional role prior to 2012, where people telephoned it and were able to go private, ended some time ago. I think only €1 million, or perhaps a couple million euro, is provided for that. This is usually done towards the-----

Deputy Arthur Spring

Who is buying the services?

Deputy Leo Varadkar

I have already told the Deputy but will do so again. It is usually done towards the end of the year. I think it was used for endoscopy last year. A total of €50 million has been provided this year and certain amounts, although not as much, have been provided in previous years. That budget is controlled by the HSE and the hospital groups, so the €50 million provided this year, all of which has not been spent, is available to the hospitals and hospital groups to enable them to outsource their patients. Where they have patients who are waiting more than 15 months, they can now use that money to outsource outpatient appointments and procedures and they are doing that.

I will certainly check up on this matter. Anyone waiting more than 15 months should have been offered the opportunity to go private. I am told that anyone waiting more than 15 months for an ophthalmology surgical procedure has been written to and offered outsourcing to a private health care provider.

Deputy Arthur Spring

Can I clarify something for the Minister? Patients in Cork are going to Mater Private in Cork. There are no patients from Kerry being dealt with in the same manner. The waiting list of two years is made worse by the fact that they see the same person before they see a surgeon. That is the essence of it.

Deputy Leo Varadkar

I do not have knowledge at the level of individual hospitals but I will certainly check that matter out. I will check the issue of them going to community medical ophthalmologists first before going to surgeons but it may well turn out to be the case that the surgeons are not happy to operate on a patient they have not seen. Often surgeons will want to see the patient before they operate on him or her. This has arisen in a number of cases where patients have been outsourced to a private surgeon who had never seen them before in his or her clinic. There is a clinical risk in that, so there may well be a reason for it.

Water and Sewerage Schemes Funding

Deputy Pat Breen

A recently published report by the EPA has shone a light on the need to continually upgrade our sewerage treatment facilities. While 82% of the large areas achieved the mandatory EU quality standards, untreated sewage is being discharged from 45 urban areas, including areas in my constituency such as Kilkee, Kilrush, Liscannor, Ballyvaughan, Shannon and Clarecastle. After years of underdevelopment of our water and sewerage facilities, €5.5 billion investment in capital spending is planned by Irish Water up to 2021. For years, the people of Shannon town in my county have had to endure the foul odour from the sewers. Thankfully, significant works are now under way to alleviate the problem.

An options study for the treatment of currently untreated discharges at Kilrush, Kilkee, Liscannor, Ballyvaughan and Clarecastle has also commenced. I hope that Irish Water will prioritise this study and the subsequent systems upgrade because it is extremely important for these areas. They are tourist destinations and sewerage infrastructure needs to be fast-tracked for them.

That planned infrastructure is very welcome. However, there is a problem in rural areas. There is significant cost involved in delivering a sewerage scheme in these areas which results in them falling outside the funding criteria for the current group sewerage scheme programme. Carrigaholt in west Clare is one example. People in this area have been campaigning for the development of a sewerage scheme for years. Carrigaholt is a key destination on the Wild Atlantic Way and is the home of the fishing industry, particularly the shellfish industry. It also has a very strong reputation for good food. Those who watched "Daniel and Majella's B&B Roadtrip" on UTV will have seen that they had a very successful visit to Carrigaholt. It is an extremely busy tourist destination during the summer and people stop off there en route to Loop Head lighthouse.

In 2014, €10,000 was allocated by the Department of the Environment, Heritage and Local Government towards the cost of a feasibility study into whether this scheme could be provided under the group sewerage scheme. The outcome was that it would not be feasible due to the costs involved and that it would not be sustainable relative to the grant available for the number of domestic properties to be served. However, the feasibility study proposed a joint funding approach between the Department, Irish Water and the local community. With this in mind, Clare County Council submitted an asset needs brief for the scheme in early August. However, Irish Water has now advised the council that it cannot fund this project within its current structure. Once again, it has highlighted the difficulty with this. There is a need for joined-up thinking on this, particularly in respect of funding. Clare County Council had been very proactive on the issue. It has engaged with Irish Water and the Department and I commend it on its efforts in this regard. However, despite the council's best efforts, we are still at an impasse.

The capital cost of sewerage schemes in rural areas is an issue. The cost of such schemes cannot be met by the householders alone because they are excessive, so we need a new approach to subventing these schemes. Clare County Council and Irish Water recommend a joint approach and I believe this is the way forward. While sewerage facilities are critical on environmental grounds, it is important that a funding mechanism is found to deliver these schemes in rural areas.

Will the Minister of State consider Carrigaholt as a pilot project? It is a destination along the Wild Atlantic Way and depends on tourism and fishing. A pilot project that brings the relevant stakeholders together and uses a joined-up approach could deliver a solution for Carrigaholt. I hope the Minister of State has some good news in that respect or will think about making Carrigaholt a pilot for small towns and villages.

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

I am happy to respond to Deputy Breen's issue which is important for the people in Carrigaholt and County Clare.

Clare County Council carried out a feasibility study on the proposed Carrigaholt group sewerage scheme with a view to ascertaining the viability of the scheme and it reported the estimated cost of the scheme to be €1.233 million. The Department of the Environment, Community and Local Government informed the council earlier this year that it agreed with the feasibility study's findings that the proposed scheme and treatment for it, by way of an integrated constructed wetland rather than connection to an existing public network, was not financially viable to design and construct as a group sewerage scheme. The development of such a scheme would require significant and unrealistic demands on the contributors to, and potential group members of, the scheme. Managing the design and construction of a project of this nature and scale and maintaining the scheme into the future would not be a feasible option for a voluntary committee. The Department informed the council that the proposed scheme at Carrigaholt does not meet with the general terms and conditions of the group sewerage grant scheme. In view of the size, costs and the complexity of constructing and operating such a scheme, this scheme could not be considered for funding under the Department’s group sewerage grant scheme.

In the absence of a viable group sewerage scheme, Clare County Council was told it should liaise with Irish Water on identifying and putting in place appropriate solutions to meet the needs of the people of Carrigaholt which would involve public water infrastructure. The Department has recently established a working group involving key stakeholders in the rural water sector to address the overall development of the rural water sector within the overall water sector reform programme to ensure that the programme responds effectively to current and future needs. Local authorities, the Water Services Transition Office, Irish Water, the National Federation of Group Water Schemes, as well as the Department are represented on the working group. One of the tasks of the group is to develop a multi-annual approach to targeting funding to meet the priority needs of the sector.

The working group is also considering several areas where there are potential boundary issues with Irish Water or legacy issues that need to be addressed. New approaches in this area will be informed by several demonstration projects or pilot schemes, including ones relating to group sewerage schemes. We expect to contact local authorities very shortly to determine funding requirements and demonstration projects. It will be a matter for Clare County Council in the first instance to submit proposals in this regard and Deputy Breen might be happy to engage with the council on this. In totality, this will result in a new approach to the funding of group water and sewerage schemes for 2016 onwards.

Deputy Pat Breen

I thank the Minister of State for his reply. He is from a coastal county where there are several resorts along the coastline. I welcome this working group. It is a good idea. There are many legacy issues around the country from the previous Administration and it is good to deal with them. Clare County Council is in favour of this project. It wants to see a sewerage scheme in place in Carrigaholt. That is why it has gone out of its way to work with Irish Water and the Department and I am confident that if there are going to be several pilot projects Clare County Council will make this its first priority. I welcome that. I hope this multi-annual approach will target areas such as Carrigaholt.

There are other areas in County Clare and throughout the country where sewerage schemes have not been put in place. Rural Ireland cannot wait. It must have this infrastructure if the population is to grow. That is why this pilot project is so important. There is an important fishing industry off the coast of Carrigaholt and an important tourism industry. It is on the Wild Atlantic Way and many people stop off at the good restaurants there. Having a sewerage scheme in these villages that cannot be sustained in the traditional ways is important. I welcome the Department’s approach. I hope we can include Carrigaholt in the funding for 2016.

Deputy Paudie Coffey

I welcome the fact that the Deputy recognises the opportunity that may present through the work of the working group. This group will deliberate tomorrow when it meets to discuss the principles governing the new rural water multi-annual funding framework for 2016-18. Following those deliberations the Minister for the Environment, Community and Local Government, Deputy Kelly, will announce details of the new programme over the coming weeks. Local authorities will be invited to bid for 2016 funding and to provide a perspective on funding needs for schemes in their respective areas for 2017 and 2018 as well as to bid for suitable demonstration and pilot projects in line with the criteria to be set by the working group. That may present the opportunity for Clare County Council to address the issue the Deputy raised today and for other local authorities to prioritise their submissions when making them to the new programme.

This new approach to funding will address environmental and public health compliance of schemes; and incorporate funding mechanisms to protect, maintain and enhance our assets and to meet existing contractual commitments as well as establishing a structure to fund new group water and sewerage schemes into the future. It is envisaged that the funding of new schemes will be on a prioritised basis likely to have regard to matters such as the needs of households in the rural areas concerned; whether a public scheme is a viable option in the medium to long term; whether individual wells are an option in light of ground conditions and the availability of nearby water sources from reliability, capacity and suitability perspectives; and the necessity for such schemes from an economic and rural development point of view as well as improving the living standards of the households concerned. The proposed funding programme will also facilitate the takeover of certain schemes by Irish Water where the relevant parties have agreed to this approach.

I am sure Deputy Breen will appreciate that it is not possible for me today to give any commitment regarding any potential projects that may be identified or selected for pilot projects in advance of 2016. I believe, however, that there is enough work for the local authorities to do to prioritise the schemes they feel are most in need of support and to have those submitted under the new programme.

Tourism Project Funding

Deputy Charlie McConalogue

It is timely that this Topical Issue matter on the development of tourism facilities at Malin Head is selected for discussion today because on Monday night there was a gathering of tourism and business leaders from the Inishowen area in Ballyliffin to discuss how we can bring forward the tourism product in Inishowen and in particular on Malin Head. The consensus is that Malin Head as a tourist destination, and as a location which is known across the country and can be easily marketed and as a location which has so much to offer in terms of its scenic attributes, is something we need to focus on and develop. By pushing that, other tourism industries and businesses which feed off the tourist industry can benefit from increased visitor numbers.

Significant work has gone into this in recent years. I have raised it here on several occasions and the Minister of State at the Department of Transport, Tourism and Sport, Deputy Ring, and I have discussed it before. Progress on the development of facilities there has slowed down over the past year and it needs to be kick-started once more. There was a programme for a three-phase development laid out, phase 1 of which has been completed by putting in pathways on the headland and lay-bys on the roads running up to it to improve access. Phase 2 was to have been the development of toilet and car parking facilities and phase 3 was the development of a wider project. Very significant work has gone into it. The Malin Head Community Association has worked very hard, as has the local community. Inishowen Tourism has pushed the matter. I commend my colleague, Councillor Martin McDermott, who has been very active in pushing this as an issue, and Donegal County Council which has worked closely with Bord Fáilte on achieving what has been achieved now and putting forward plans. Planning permission is in place for new car parking facilities and for toilets.

There was an agreement between Donegal County Council and Fáilte Ireland that, on the granting of planning permission and completion of that process, Fáilte Ireland would then follow on by giving consideration to funding that aspect with a view to continuing the work towards the wider development of a final project to have a tourist attraction at Malin Head. I ask the Minister of State to provide Members with an update on phase 2 of that development and, in particular, on the intention of Fáilte Ireland to fund the car parking and toilet facilities. Fáilte Ireland has done tremendous work on the Wild Atlantic Way that offers great potential. There has been really good development and investment at the Slieve League cliffs, Glencolmcille, as well as good investment in Fanad Head lighthouse which has been improved significantly and where a tourist facility has been developed. However, it is also necessary to have such investment at Malin Head where it is needed greatly. The rest of the peninsula and the tourism sector are waiting on it in order that everyone can try to promote it as a product to attract additional visitors to the area. I hope the Minister of State will be able to provide Members with an update on where matters stand and what progress is being made.

Minister of State at the Department of Transport, Tourism and Sport (Deputy Michael Ring)

I thank the Deputy for raising this issue. I will make a few points before turning to my script.

I am glad that the tourism interest groups are meeting in County Donegal because the Deputy who comes from that county is aware there was a time when visitors travelled as far as Bundoran and went no further. If the Wild Atlantic Way has done one thing, it has certainly brought tourists into County Donegal. Those involved in the tourism trade tell me it has been one of the greatest developments ever in terms of tourism in County Donegal. I have come under a lot of pressure from my two colleagues, the Minister of State, Deputy Joe McHugh, and Deputy Dinny McGinley, who have been providing me with updates on what is happening. I heard there were some complaints the other night about developments by the Government in County Donegal, but I will be responding to them within the week because I intend to issue a press release outlining what the Government has delivered, not only in the past year but also in the past five years since it took office. I can assure the Deputy that it has invested substantially in County Donegal.

I again thank the Deputy for raising the matter. The Wild Atlantic Way is Ireland's first long distance touring route. It stretches along the Atlantic coast from the Deputy's native county to west Cork. As he is aware, Malin Head is a key signature point on the Wild Atlantic Way and a key stop on the route. While it is one of three signature points on the Wild Atlantic Way in County Donegal, it is of the greatest importance, marking the most northerly signature point on the route, and already an iconic location.

While my Department provides funding for Fáilte Ireland for investment in tourism projects such as the Wild Atlantic Way, it is not involved in developing or managing such projects. The allocation of grant funding is a matter for the board of Fáilte Ireland. Funding was provided in 2014 and 2015 for capital investment in the development of the route. This funding was initially directed towards route signage and developing the 160 discovery points along the route. Last year Fáilte Ireland and Donegal County Council completed the Wild Atlantic Way signage programme in the Inishowen area. Fáilte Ireland has also worked with Donegal County Council on a programme of remedial works for the Wild Atlantic Way discovery points. There are 36 such points in County Donegal, including ten in Inishowen, and this work is 90% complete in the county. The next stage of infrastructural development to be rolled out along the Wild Atlantic Way is the installation of photo points and interpretation panels at all 188 discovery and embarkation points, of which there are 36 in County Donegal.

Both Fáilte Ireland and I appreciate fully the need for State investment in tourist facilities at Malin Head. Fáilte Ireland regards Malin as a priority location for investment. It should be noted that any development work at the site must also enhance the visitor experience at the location and allow for better visitor flow, as well as ensuring the protection of the natural environment. I am sure the Deputy will agree that in taking forward this development, both Fáilte Ireland and Donegal County Council must have regard to the sensitivity of the landscape. It is important to note that Fáilte Ireland recently completed a strategic environmental assessment of the full Wild Atlantic Way initiative. Given the environmental sensitivity of Malin Head, completing this assessment was essential prior to awarding funding to Donegal County Council to develop plans for the site.

In respect of the Malin Head discovery point, an application for phase 2, car park and toilets, has been submitted to Fáilte Ireland by Donegal County Council and is due to be considered by the authority next week. I am sure the Deputy is aware of this as Deputy Dinny McGinley and the Minister of State, Deputy Joe McHugh, are aware of it. In conjunction with this, the Fáilte Ireland authority will consider awarding technical assistance to Donegal County Council for the further development of a more comprehensive and integrated plan that will reflect the significance of Malin Head. While the route is still in the process of being developed fully, the Wild Atlantic Way has become a central part of our overseas promotion. That said, given how long it takes to get on the international travel map, I expect it will be this year and next year before the route receives the recognition it needs and deserves among potential tourists.

I am happy that the Wild Atlantic Way project will bring more overseas visitors to County Donegal and, in particular, Inishowen. The Government, Fáilte Ireland and I are committed to tourism and balanced regional development and seek to make the most of what each part of the country has to offer. I am sure we can now move forward to realise the potential Malin Head has to offer.

Deputy Dinny McGinley

Good stuff.

Deputy Charlie McConalogue

I thank the Minister of State for his response. On his first point about tourists traditionally not travelling north into County Donegal beyond Bundoran, he will be familiar with this, coming from County Mayo which has received many tourists during the years. Historically, it has been attributable to the Troubles, but it is still a factor to this day. Additional emphasis must be placed on trying to ensure County Donegal attracts more tourists and that they are spread across the county. The Wild Atlantic Way is a good initiative with which to do this and it is to be hoped numbers will improve in future years. However, it must be backed up by marketing. It must also be backed up with investment. I greatly welcome the update on progress the Minister of State has provided for Members on the phase 2 development at Malin Head. It also is welcome that a grant funding application is going to Fáilte Ireland from Donegal County Council and is to be decided on by next week. Fáilte Ireland and Donegal County Council have worked closely together to agree on the phases and, under phase 2, on the process for the provision of car parking and toilet facilities for which the necessary application will be made. This proposal should be given good consideration and I am hopeful it will. The important point is the proposal is now being put forward for consideration. When this topic was last discussed in the Chamber, Fáilte Ireland did not intend to consider investing in phase 2, for which planning permission is now in place, until agreement was reached on wider plans. It is greatly to be welcomed that the application will now be considered. I urge the Minister of State to continue to push for this proposal and investment in the Wild Atlantic Way. I will work with other political representatives and the local community to urge Fáilte Ireland to give the proposal the best consideration possible, as I am sure it will, when the application for investment comes before it next week in order that the facilities for which the grant application has been made will be in place by next summer and that an improved tourism product will be available.

Deputy Dinny McGinley

All Members will be heading there and I hope the Deputy will be there to bring them around.

Deputy Charlie McConalogue

The Deputy need not worry; I will be there to welcome him.

An Leas-Cheann Comhairle

The Minister of State to conclude.

Deputy Michael Ring

Deputies Charlie McConalogue and Dinny McGinley, as well as the Minister of State, Deputy Joe McHugh, have been in contact with me on a regular basis. We are all aware that the board meeting will take place next week and that the project is up for funding. I hope the board will make whatever-----

Deputy Dinny McGinley

Will the Minister of State be at the board meeting?

Deputy Michael Ring

No, but I will be keeping an eye on it from outside. As for the Deputy's comments on County Donegal, I expect him to issue a statement next week to tell the people of County Donegal what the Government has delivered in the tourism sector. I want him to do that because there has been a bit of-----

Deputy Dinny McGinley

We know. Every hotelier in the county is saying he or she has never had a year like it.

An Leas-Cheann Comhairle

Will the Deputy, please, give the Minister of State a chance to reply?

Deputy Dinny McGinley

Moreover, they like it and hope it will continue.

An Leas-Cheann Comhairle

Come on; the Minister of State only has one minute in which to reply.

Deputy Michael Ring

I expect the Deputy and the Minister of State, Deputy Joe McHugh, to outline what has been delivered.

To respond to the questions asked by Deputy Charlie McConalogue, he is quite correct: it is about marketing and that it will take a few years to have the Wild Atlantic Way included in the itinerary by people from around the world. I have received criticism everywhere I have visited because I have promoted the Wild Atlantic Way. The Wild Atlantic Way, in particular, constitutes a great offering from County Donegal to County Mayo to west Cork. It is one of the greatest things to have happened in the tourism sector.

Deputy Dinny McGinley

The Minister of State launched the first one in County Donegal.

Deputy Michael Ring

I did and I can tell the Deputy that the Wild Atlantic Way has really taken off. That is why it was necessary to develop the Ireland's Ancient East initiative and then the Dublin proposition.

The most successful of them all has been the Wild Atlantic Way, a great initiative and something I promoted at Government level. I have given a commitment, as Minister of State, that the funding will be provided to finish that project. It will take time and we have run into difficulties with other agencies. My Department and Fáilte Ireland are having discussions with the other Departments. As the Deputy will know, with all these sensitive areas, we have very sensitive people monitoring what is going on, so we have to be very careful.

I am very proud of what has happened in tourism over the past four and a half years. In the first ten months of this year we have had an increase of almost 13% in the number of visitors. Almost 8 million people will have entered into the country this year. This has not been the best year in the past four or five years, but the best year ever. We will try to increase that by a further 4% next year.

More than 220,000 people are employed in tourism. It is a great product. As Deputies McConalogue and McGinley know, we can get people employed in every corner of County Donegal and every corner of rural Ireland. That is the great thing about tourism. I am committed to rebalancing and trying to get as much infrastructure into rural areas to try to create the jobs and give people the opportunity to work in their own area.

We have a great facility there. Anybody can say what they like but the Wild Atlantic Way has been the greatest initiative since the foundation of the State.