Dáil Éireann Debate, Thursday - 8 September 2022
2183. Deputy Patricia Ryan asked the Minister for Rural and Community Development the reason that capital spending under her Vote group is -43.6% to date in 2022; and if she will make a statement on the matter. [42529/22]
Amharc ar fhreagraFor 2022 my Department was provided with a gross capital allocation of €192 million. The Department also had a deferred surrender of €16.86 million in 2021, to be utilized in 2022.
The -43.6% referenced by the Deputy refers to the level of capital expenditure by my Department relative to profile to the end of June 2022, with actual capital expenditure of €29 million compared to a profiled spend of €51 million. This information is detailed in the mid-year expenditure report published by the Department of Public Expenditure and Reform. It is important to note that this expenditure does not include the use of the deferred surrender from 2021 to 2022. To date €12.4 million of a deferred surrender of €16.86 million has been spent and the deferred surrender will be fully utilised by year end.
The capital underspend to date mainly relates to the Rural Regeneration and Development area, for which €97 million was provided in 2022 to fund a range of schemes, namely the Rural Regeneration and Development Fund (RRDF), the Town and Village Renewal Scheme (TVRS) and the Outdoor Recreation Infrastructure Scheme (ORIS). The level of spend to date has been slower than anticipated under these schemes due largely to a build-up of demand in the construction sector and supply chain delays. Despite these challenges, good progress is being made in project delivery and I expect a strong flow of claims in the remainder of 2022.
My Department is engaging with relevant stakeholders, and Local Authorities in particular, to ensure the Department's capital budget is utilised appropriately over the course of 2022. I have also emphasised directly to the chief executives of the local authorities the importance of ensuring delivery of our capital projects. I am also keeping our funding under constant review so as to ensure we put our allocated funding to best use.
