Dáil Éireann Debate, Tuesday - 5 April 2022
369. Deputy Eoin Ó Broin asked the Minister for Housing, Local Government and Heritage the funding provided to the Land Development Agency in respect of its non-commercial activities, as included in schedule 12 of the Land Development Agency Act 2021, for the years 2021 and 2022. [18145/22]
Amharc ar fhreagraThe Land Development Agency (LDA) was established on an interim basis in September 2018, by way of an Establishment Order made under the Local Government Services (Corporate Bodies) Act 1971. The Land Development Act 2021 was signed into law in July 2021. Following the recent commencement of relevant provisions of the LDA Act and the dissolution of the interim LDA entity, the LDA has now been established as a wholly commercial state body, with all functions and staff of the interim LDA entity transferred to the new LDA Designated Activity Company (DAC). This LDA DAC was incorporated by the Company Registration Office in December 2021.
Exchequer funding of €7.1 million has been allocated to the LDA DAC Commercial Agency in 2022 to cover expenditure associated with their non-commercial functions. These functions are detailed under Section 29 of the LDA Act and include the development of a Register of Relevant Public Lands, the development of a report to Government on relevant public lands and any expenditure incurred by it in the performance of its functions under Part IX of the Planning and Development Act 2000, as amended.
In 2021, Exchequer funding was provided to the Interim LDA entity through my Department's Vote to meet its operational costs as well as initial capital funding in relation to the development of its projects. The LDA drew down €10m of capital funding and €6.6m of current funding overall during 2021. It should be noted that Covid related safety restrictions impacted the progression of the LDA's projects during 2021. From a 2021 Exchequer funding perspective, there was not a distinction between commercial and non-commercial activities for the recently dissolved Interim LDA entity under its 2018 Establishment Order.
Under the LDA Act, equity investment funding of up to €1.25 billion will be made available to the LDA for the purposes of its economic activities through transfers from the Ireland Strategic Investment Fund (“ISIF”). The LDA will also have the ability to borrow up to €1.25 billion to fund these activities. In accordance with Section 25(2) of the LDA Act, an initial €100 million of the LDA’s €1.25 billion ISIF investment capital has now been transferred from ISIF by the National Treasury Management Agency to the LDA DAC.
