Written Answers Nos. 135-154
135. Deputy Rose Conway-Walsh asked the Minister for Public Expenditure, National Development Plan Delivery and Reform to outline how his Department monitors budget deficits in individual Departments; and if he will make a statement on the matter. [20039/24]
Amharc ar fhreagraAt the core of our fiscal policy is the Medium-Term Expenditure Strategy (MTES). The Strategy serves two fundamental objectives: to ensure the long-term sustainability of core expenditure growth and to safeguard investments in public services. This framework undergoes annual review as part of the budgetary process, particularly in the Summer Economic Statement, and prior to the Budget.
Of course managing the delivery of public services within budgetary allocations is a key responsibility of each Minister and their Department officials once allocations have been agreed at the Revised Estimates Volume stage of the budgetary process. My Department plays a central role in monitoring overall expenditure in line with Government objectives and agreed fiscal policy and my officials engage with all Departments to monitor expenditure.The Revised Estimates for Public Services 2024 outlined a Government expenditure ceiling of €96.7 billion and allocated funding accordingly (increasing to €97.1 billion in the Stability Programme Update to take account of the Public Service Pay deal).
Expenditure profiles for 2024 were completed by all Votes and submitted to my Department. Performance against these profiles is used in-year to monitor the expenditure position. At end Q1 2024, expenditure is €22.8 billion which is in line with profile. However, year-on-year growth is up by over 2.9 billion (14.9%) with a number of expenditure risks emerging in specific areas. A proactive approach must be taken by all line Ministries in order to stay within their agreed allocation. Full details are set out in the monthly Fiscal Monitor published on the Department of Finance website.
My Department stays in regular communication with all Departments to ensure expenditure is managed within overall fiscal parameters and there are a number of processes and procedures that support this including:1. Drawdowns from the Exchequer are monitored against published profiles.2. Key data and information in relation to voted expenditure is published monthly in the Fiscal Monitor.3. Quarterly reporting to Government by the main spending Departments on their respective sectors also takes place alongside the overall expenditure management updates provided by my Department.4. Regular engagement, through a number of fora, between spending Departments and my Department at senior official level.Regular communication between myself and the Minister for Finance also ensures we remain vigilant and respond effectively and promptly to any emerging challenges that might put pressures on individual Votes or Departments. This includes continuous monitoring of the macroeconomic situation such as labour market trends, inflation levels as well as monthly tax and expenditure monitoring.
136. Deputy Rose Conway-Walsh asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the role, if any, he will have in relation to the ICN Fund, making particular reference to the report requirements on designated environmental projects and proposed payments from the fund; and if he will make a statement on the matter. [20040/24]
Amharc ar fhreagraThe Future Ireland Fund and Infrastructure, Climate and Nature Fund Bill 2024 proposes to establish the Infrastructure, Climate and Nature Fund.
It is intended that the Infrastructure, Climate and Nature Fund will support the economy in times of exceptional need and will be available to support Ireland’s transition to a low carbon economy. The Fund will support expenditure by the State:
• in any year from 2026, where there has been, or is likely to be in the subsequent year, a significant deterioration in the economic or fiscal position of the State; and
• in the years 2026 to 2030, on designated environmental projects.
A total of €2bn will be invested in the Fund each year from 2024 to 2030 building up to an overall fund of €14bn. Of this amount €3.15bn will be allocated to designated environmental projects to address climate change issues and nature and water quality degradation.
This legislation is the responsibility of my colleague, the Minister for Finance. I understand that the Bill was considered at Committee stage by the Select Committee on Finance, Public Expenditure and Reform, and Taoiseach on Wednesday 1st May. The Minister for Public Expenditure, NDP Delivery and Reform’s role is set out in the Bill.
In relation to the Infrastructure, Climate and Nature Fund, the Minister for Public Expenditure, NDP Delivery and Reform must be consulted on:
• the NTMA investment strategy for the Fund; and
• no payment or a reduced payment being made into the Fund in the event of a deterioration or likely deterioration in the fiscal and economic position of the State.
Furthermore, the Minister for Public Expenditure, NDP Delivery and Reform will be required to provide a report to Government by 31 July each year from 2026 to 2030 specifying the total State expenditure on designated environment projects that is estimated to be incurred in that year and the amount the Minister proposes to be paid from the Fund to the Exchequer up to 22.5% of the net asset value of the Fund in the previous year up to a maximum of €3.15bn.
The intention is that allocations from the Fund will be carried out in line with the standard Estimates process.
137. Deputy Catherine Murphy asked the Minister for Public Expenditure, National Development Plan Delivery and Reform to provide a schedule of Garda stations in Kildare and Wicklow that are subject of capital works, by location; the budget associated with same and nature of works; the stage the projects are at currently; and the expected completion date. [20084/24]
Amharc ar fhreagra138. Deputy Catherine Murphy asked the Minister for Public Expenditure, National Development Plan Delivery and Reform to provide a schedule of Garda stations in Kildare and Wicklow that are subject of internal renovation and or retrofitting works by locations; the budget associated with same and nature of works; the stage the projects are at currently; and the expected completion date. [20085/24]
Amharc ar fhreagraI propose to take Questions Nos. 137 and 138 together.
The Office of Public Works can confirm that Garda stations in Kildare and Wicklow are subject of internal renovation, retrofitting and or capital works. The Garda Stations, the nature of the works and the stage the projects are at are presented in tabulated format below. As these projects are at various stages of the tender / construction process, budget estimates are considered commercially sensitive at this time. The expected completion date of the works is listed below and include works where the estimated value is in excess of €125,000 only. The projects outlined relate to works funded by both OPW and An Garda Síochána.
The commencement/completion dates for the works are subject to the final sign off, of operational and design requirements by An Garda Síochána and a successful tendering process.
|
Garda Station |
The nature of the works |
Current stage of the project |
The cost of the works excluding VAT |
Expected completion date. |
|
Arklow GS |
Cell Upgrade |
Design Stage. |
TBC |
Q4 2024 |
|
Baltinglass GS |
Universal Access Works |
Tender Preparation Stage. |
TBC |
Q4 2024 |
|
Shillelagh GS |
Fabric Upgrade and Refurbishment Works |
On Site. |
TBC |
Q3 2024 |
|
Tinahely GS |
Universal Access Works and Refurbishment Works |
On Site. |
TBC |
Q3 2024 |
|
Wicklow GS |
Cell Upgrade |
Tender Preparation stage. |
TBC |
Q4 2024 |
|
Athy GS |
Cell Upgrade |
On Site. |
TBC |
Q2 2024 |
|
Bray GS |
Roof Repairs and Atrium Glazing |
Tender Preparation stage |
TBC |
Q4 2024 |
139. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the degree to which his Department continues to monitor the performance in both the public and private sectors with a view to ensuring a reasonable degree of equality throughout the economy in terms of opportunities; and if he will make a statement on the matter. [20130/24]
Amharc ar fhreagraMy Department continues to lead on Equality Budgeting.
Equality Budgeting examines public expenditure designed to address inequalities, with the aim of increasing the level of transparency and accountability about how resources are being used to advance equality, reduce poverty and strengthening economic and social outcomes across all sectors of society. It is anchored in the existing performance budgeting framework.
Equality budgeting was introduced in Ireland 2018 and has progressed considerably since, from gender budgeting elements to broaden its scope to other dimensions of equality including poverty, socioeconomic inequality, disability and minority groups.
It is a core pillar of the performance framework, designed to embed consideration of distributional effects into the decision-making process and facilitate ongoing monitoring of the impact of Government policy on tackling inequalities across society.
Equality metrics are reported alongside financial allocations in the Revised Estimates Volume and the Public Service Performance Report (PSPR) on an annual basis.
It is the responsibility of each Vote/ Vote Group to identify equality metrics, their commitments for the year ahead and report on these.
Such equality metrics are designed to capture the activity that a given allocation of public expenditure directly funds (outputs) and the change in the equality-related outcome that public funding is ultimately intended to improve (impact).
As part of REV 2024, each Vote/ Vote Group identified equality metrics that will be used to measure progress over the course of this year. Each Department reports data on the achievement of equality goals in the annual Public Service Performance Report (PSPR), to enhance transparency and accountability on the delivery of results. The 2023 PSPR is currently being finalised and will be published by end Q2 2024.
140. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which he expects the various targets in Project Ireland 2040 to be achieved on time and within budget; and if he will make a statement on the matter. [20131/24]
Amharc ar fhreagraThe Government has committed to €165 billion in capital investment through the National Development Plan (NDP) published in 2021. As set out in the Summer Economic Statement (SES) 2023, an additional €2.25 billion of capital funding was made available to be allocated in the 2024 to 2026 period. This funding will facilitate the progression of important projects and enable more rapid development of key Programme for Government commitments, such as the delivery of actions to fulfil our climate action plan commitments, the provision of more housing and enhanced education facilities.
Following the conclusion of more than 30 bilateral meetings which took place from January to March with my Ministerial colleagues, the distribution of the additional €2.25 billion across Departments was agreed by Government in March 2024. This builds on the existing funding already available under the NDP out to 2026 and it will mean more schools, housing, transport and healthcare projects can be progressed and delivered for our people. In 2024, €13 billion will fund vital infrastructure. The total available capital funding for 2025 is now €14.35 billion and for 2026 it is €15.459 billion. As a percentage of national income, annual capital investment is now among the largest in the EU.
However, the Government and I acknowledge that the significant investment under the NDP does not come without delivery challenges. I am acutely aware of the challenges that the construction industry has faced in terms of material price inflation, labour supply constraints, and supply chain disruption. As a result, in order to safeguard the delivery of key NDP projects, in January 2022, my Department introduced measures to address inflation for new contracts and tenders. Furthermore, in May 2022, a new set of measures to apportion additional inflation costs between the parties to public works contracts were introduced. These interim arrangements were then made permanent in July 2023 which allow for more appropriate risk sharing in the delivery of public works contracts.
In 2023, I secured Government approval for a number of priority actions to improve delivery of NDP projects, including reducing the administrative burden on Departments charged with infrastructure delivery. I am confident that these actions will boost the delivery of the critical infrastructure we need to support a growing economy and higher living standards for those living here. In addition, my Department will continue to work closely with the construction sector in order to improve efficiency and enhanced delivery through the Construction Sector Group.
The Government is committed to detailing progress on the delivery of the NDP at regular intervals into the future to allow for full transparency of the implementation of Project Ireland 2040. This is achieved through regular updates of the Project Ireland 2040 capital investment tracker and MyProjectIreland interactive map viewer which list projects and programmes on a regional and county level. In addition, Annual and Regional Reports on the implementation of Project Ireland 2040 have been published for 2018, 2019, 2020, 2021 and 2022. The Project Ireland 2040 Annual and Regional Reports, capital investment tracker and myProjectIreland interactive map are all available on gov.ie/2040.
141. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which he expects the various targets in Project Ireland 2040 to be achieved on time and within budget; the degree to which reforms throughout the public sector remain in place to ensure accountability, collective responsibility and good value for money; and if he will make a statement on the matter. [20132/24]
Amharc ar fhreagraThe Government has committed to €165 billion in capital investment through the National Development Plan (NDP) published in 2021. As set out in the Summer Economic Statement (SES) 2023, an additional €2.25 billion of capital funding was made available to be allocated in the 2024 to 2026 period. This funding will facilitate the progression of important projects and enable more rapid development of key Programme for Government commitments, such as the delivery of actions to fulfil our climate action plan commitments, the provision of more housing and enhanced education facilities.
Following the conclusion of more than 30 bilateral meetings which took place from January to March with my Ministerial colleagues, the distribution of the additional €2.25 billion across Departments was agreed by Government in March 2024. This builds on the existing funding already available under the NDP out to 2026 and it will mean more schools, housing, transport and healthcare projects can be progressed and delivered for our people. In 2024, €13 billion will fund vital infrastructure. The total available capital funding for 2025 is now €14.35 billion and for 2026 it is €15.459 billion. As a percentage of national income, annual capital investment is now among the largest in the EU. Accountability, collective responsibility and good value for money are essential to deliver on this investment.
My department is responsible for the Infrastructure Guidelines, which replaced the Public Spending Code and were published in December 2023, with an effective date of 1 January 2024. These set the value for money guidance for evaluating, planning and managing Exchequer-funded capital projects. Management and delivery of investment projects and public services within allocation and the national frameworks is a key responsibility of every Department and Minister.
The Department has refreshed the requirements for capital projects in the new Infrastructure Guidelines, reducing the number of approval stages and streamlining the requirements for major projects, while retaining the international best practice governance and oversight arrangements already in place. This will ensure that vital infrastructure projects will be delivered on time and delivered in a manner that ensures value for money.
Some of the key changes implemented through the updated Infrastructure Guidelines include:
• The number of approval stages prior to implementation for projects has been reduced from five to three, which includes Approval Gates by the Approving Authority at:
Preliminary Business Case/Approval-in-Principle Stage
Pre-Tender Stage
Final Business Case Stage.
• The general threshold for major projects has increased from €100 million to €200 million.
• The External Review and Major Projects Advisory Group review remain a requirement for major projects (those greater than €200 million) at the Strategic Assessment and Preliminary Business Case Stage, prior to seeking Government consent following the approval of the Parent Department/Approving Authority.
142. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform his views and vision for the upgrading of basic infrastructure here in order to better cater for the increased population; and if he will make a statement on the matter. [20133/24]
Amharc ar fhreagraAs Minister for Public Expenditure, NDP Delivery and Reform, I am responsible for setting the overall capital allocations across Departments and for monitoring monthly expenditure at Departmental level. The responsibility for the management and delivery of individual investment projects, within the allocations agreed under the National Development Plan (NDP), rests with the individual sponsoring Department in each case.
The Government has committed €165 billion funding for capital investment, as set out in the NDP published in October 2021. This expenditure was considered and agreed in order to support those sectors that would be key in delivering the ten National Strategic Outcomes (NSOs) identified in the National Planning Framework (NPF). Additional capital expenditure of €250 million is being made available for 2024 from windfall exchequer receipts, with a further €2 billion being made available across 2025 (€750 million) and 2026 (€1.25 billion). This allocation is in addition to the committed €165 billion in capital investment through the National Development Plan (NDP), published in 2021.
Census 2022 recorded over 5.1 million people living in the State as of April 2022 which was an increase of 8 percent on April 2016. The Department of Housing, Local Government and Heritage is currently reviewing the National Planning Framework (NPF). The current timeline envisages publishing the draft revision and accompanying technical assessments for public consultation in June 2024. Following the public consultation, a review and consideration of submissions will take place in August which may see amendments to the draft revision. Subject to Government approval, the finalised document will be published in Q3 2024.
143. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if, in the context of economic progress over the next year, he expects to invoke any further reforms to address any likely issues that might arise; and if he will make a statement on the matter. [20134/24]
Amharc ar fhreagra144. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which he expects to rely on reform as a means of meeting public expenditure challenges ahead; and if he will make a statement on the matter. [20135/24]
Amharc ar fhreagra148. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which all Departments and subsidiary agencies continue to observe, in letter and in spirit, the principles of reform as a means of reducing costs; and if he will make a statement on the matter. [20139/24]
Amharc ar fhreagraI propose to take Questions Nos. 143, 144 and 148 together.
My Department continues to review budgetary process and expenditure monitoring to ensure we are adequately tracking developments and utilising best practice methods to assess the impact of public expenditure investment. These processes complement the monitoring of drawdown of funds from the Exchequer reported each month against expenditure profiles in the Fiscal Monitor published by the Department of Finance.
Some of these initiatives include:
• Performance Budgeting;
• Equality Budgeting;
• Green Budgeting;
• Well-being framework; and
• The Spending Review Process.
Together, these reforms are also in place to broaden the approach to how public expenditure is appraised, implemented and reviewed. They govern not only how and where the money is spent but also the impact of public expenditure across different cohorts of society and the different categories of expenditure. They work in tandem with broader initiatives, such as the establishment of the Irish Government Economic and Evaluation Service (IGEES), to develop capacity and enhance the role of economics and value for money analysis in public policy making.
In respect of enhancing efficiency and effectiveness of policy delivery, improving and supporting the evaluation capacity within Government Departments has formed an important part of the reform programme. Supported by the establishment of IGEES, this has led to the development of a number of additional processes and reports to support the budgetary framework. This includes the spending review process, managed by my Department, which seeks to assess the effectiveness of public expenditure in meeting policy objectives and fostering engagement. Over 160 papers published since introduction in 2017.
The current framework for public service transformation is contained within Better Public Services, which builds on earlier reforms by my Department. The core of the Strategy is made up of three themes;
Digital innovation at scale,
Workforce and organisation of the future; and
Evidence informed policies and services designed for and with the public.
Making progress under these themes will support sectoral level reform programmes already underway in the Public Service and build on recent successes in the area of innovation across the Public Service.
145. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if his Department has identified any particular tendencies in the context of public spending, current or capital, including any inflationary elements which may require any corrective measures; and if he will make a statement on the matter. [20136/24]
Amharc ar fhreagraThe Government’s approach to public expenditure policy is set out in the Medium Term Expenditure Strategy (MTES). The objectives of the MTES are twofold, to ensure that the level of core expenditure growth is sustainable long-term and that investment in expenditure protects and delivers improvements to public services. This framework must be responsive to the economic landscape and is reviewed annually as part of the whole of year budget process including the Summer Economic Statement and the Estimates process.
In recent years the Government’s public expenditure policy has allowed for a proactive and balanced approach to fiscal policy while also being flexible in addressing economic trends and unforeseen events such as the Cost of Living Crisis driven by heightened inflation.
A dual pronged approach was taken by the Government where non-core expenditure, ostensibly temporary in nature, was used as part of the response to key economic and social challenges while the core expenditure continued to be assessed in terms of changes to existing levels of service and particular demands within each Department.
This approach of separating core and non-core expenditure enabled the Government to:
• Ensure adequate provision of supports while protecting core day-to-day expenditure and investment;
• Provide transparency on the costs of the challenges;
• Facilitate withdrawal of supports when no longer required by ensuring it does not become embedded in core permanent expenditure.
This has been largely successful, with non-core spending reducing year-on-year since the start of the pandemic. Non-core expenditure has reduced from some €15 billion at the height of the pandemic to a provision of just over €5 billion this year, including the final tranche of benefits from the Cost of Living package in the Budget 2024.
Harmonised Index of Consumer Prices (HICP) is a measure inflation in the Eurozone. The Draft Stability Programme Update, published last week forecasts a decline in the HICP from 2023 and out to the medium term (2.1 per cent in 2024 and 2025, and 2.0 per cent in 2026 and 2027).
Along with the Minister for Finance, I continue to monitor macroeconomic and expenditure developments throughout the year.
146. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which his Department monitors inflation in the construction sector, with particular reference to the impact on the delivery and cost of major capital health projects; and if he will make a statement on the matter. [20137/24]
Amharc ar fhreagraAs Minister for Public Expenditure, NDP Delivery and Reform, I am responsible for setting the overall capital allocations across Departments and for monitoring monthly expenditure at Departmental level. The responsibility for the management and delivery of individual investment projects or sectoral policy strategies, within the allocations agreed under the National Development Plan (NDP), rests with the individual sponsoring Department in each case, including the Department of Health.
My Department monitors overall inflationary impacts which may input on the overall delivery of the National Development Plan. The recent delivery challenges experienced across many Departments, as a result of significant inflation, resulted in a number of changes and supports for project delivery in the Capital Works Management Framework (CWMF) across 2022 and 2023.
In order to safeguard the delivery of key NDP projects, in January 2022, my Department introduced measures to address inflation for new contracts and tenders. Furthermore, in May 2022, a new set of measures to apportion additional inflation costs between the parties to public works contracts were introduced. These interim arrangements were then made permanent in July 2023 which allow for more appropriate risk sharing in the delivery of public works contracts. In addition to these measures, my Department also publishes the Build report annually which assesses the overall trends in construction costs, employment and output, amongst other issues.
The proportion of funding allocated to new projects or to address construction inflation is a matter for the individual Minister and Department in each sector. The delivery of projects has been challenged over recent years by the continued impact of construction inflation on projects. However, it is a matter for individual Departments to prioritise projects for delivery within their overall agreed capital ceilings. The Minister for Health is responsible for deciding on the priority programmes and projects that will be delivered under his remit within the NDP and for setting out the timelines for delivery.
147. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if any changes in respect of procurement are contemplated with a view to speeding up various infrastructural proposals; and if he will make a statement on the matter. [20138/24]
Amharc ar fhreagraMaximising delivery of NDP projects is a key priority for Government. In 2023, I announced a package of actions to enhance delivery of vital public projects. These actions included significant changes to reduce the administrative burden in delivering major capital projects. The Public Spending Code has been replaced by a set of Infrastructure Guidelines which reduce the number of decision gates whilst maintaining robust oversight of expenditure by approving authorities.
As Minister, I have taken a direct role in overseeing delivery of the NDP through chairing the Project Ireland 2040 Delivery Board. I am determined that collectively we can address bottlenecks that exist in order to progress the NDP. In addition, the Construction Sector Group (CSG) continues its work to increase productivity and efficiency through innovation and digital adoption initiatives across the construction sector. The work of the CSG Sub-Group is progressing positively on issues including Modern Methods of Construction (MMC), Building Information Modelling (BIM), and ePlanning.
In September 2023 my department published the Prospects 2023/2024 report. The report sets out a clear pipeline of 50 of the largest individual projects that make up Project Ireland 2040. This pipeline spans projects which are currently at planning and appraisal to projects which are completing construction in 2024. This report aims to provide further visibility on the sequencing of Ireland’s priority infrastructure projects over the coming years, thereby enabling firms to plan, in advance, commercial bids for these major infrastructure projects.
In addition, I have also introduced further significant reforms to the Capital Works Management Framework (CWMF), which sets out the contracts used for public capital projects.
Project Ireland 2040
In January 2024, I chaired a Project Ireland 2040 Delivery Board meeting where a range of issues were discussed, including the backlog in planning applications and the restructuring of An Bord Pleanála to An Coimisiún Pleanála. The Government is prioritising the Planning and Development Bill through the Oireachtas in 2024. The legislation introduces significant reforms in the judicial review processes, including the establishment of Urban Development Zones, which will empower local authorities to strategically advance development projects.
Modern Methods of Construction
The CSG, which is chaired by the Secretary General of my department, ensures regular and open dialogue between government and industry. The CSG and its associated innovation and digital adoption sub-group are driving seven actions, which are making substantial progress. These include:
Construct Innovate, Ireland’s construction technology centre has been established with the assistance of Enterprise Ireland with the aim of making Ireland a global research and innovation leader in sustainable construction and built environment technology.
The Build Digital Project, which is grant aided by my department aims to foster and support digital adoption across the Irish construction sector.
There has also been significant progress embracing modern methods of construction (MMC) in the construction sector with the Roadmap for MMC Adoption in Public Housing being published in July 2023. A significant step in this roadmap is the roll out of the Accelerated Social Housing Delivery Programme, which targets delivery of 1,500 social homes, leveraging MMC approaches by the end of 2024.
In addition, the MMC Demonstration Park in Mount Lucas, County Offaly will be a crucial resource for developers and construction professionals involved in the delivery of high-quality, affordable homes. A planning application has been submitted and phase one of the project is on target for completion by Q3 2024. An action plan for MMC skills will follow the publication of an Ernst and Young report this year.
Eplanning
Another ongoing innovation is the digitisation of the planning application process across our 31 local authorities. The Local Government Management Agency (LGMA), under the governance of the CSG Sub-Group has rolled out an e-planning system in twenty-four LAs. The rollout to the remaining LAs will occur by Q2 2024. The project aims to improve efficiency and reduce the potential for invalid applications, therefore speeding up the planning process for all.
Capital Works Management Framework
The CWMF represents the tools that a public body must use to procure and manage the external resources necessary to deliver a public works project that is to be delivered under the Exchequer-funded element of the National Development Plan. It consists of a suite of best practice guidance, standard contracts, generic template documents and procedures that cover all aspects of the delivery process of a public works project from inception to final project delivery and review to assist contracting authorities in meeting their ongoing procurement requirements.
A review of the policies and practices deployed in the procurement of public works projects commenced in March 2019 and is ongoing. The focus of the review is on improving the delivery of construction projects in terms of quality, timely delivery and cost outcomes. The review will deliver significant changes to the CWMF over the coming years. The review process involves extensive engagement, both with industry stakeholders, and with the public bodies charged with the delivery of public works projects on a broad range of issues such as:
• price variation;
• risk management;
• creating a better quality: price balance in the award of contracts;
• adoption of BIM on public works projects;
• liability, indemnity and insurance requirements;
• performance evaluation;
• encouraging collaborative working.
A high-level strategy has been developed by the Office of Government Procurement (OGP) with the Government Contracts Committee for Construction (GCCC) that will guide the implementation and will be addressed primarily through the progressive refinement and enhancement of the CWMF.
Significant reforms have already been incorporated into the conditions of contract which rebalance the level of risk that consultants and contractors are expected to bear and significant efficiencies have also been introduced to the procurement process. These measures are aimed at increasing the level of participation in public tenders.
Further reforms are under development including the adoption of digital solutions to elements of the tendering process to reduce the administrative burden associated with procurement processes.
It is worth noting that the tender process operates most efficiently where the contracting authority has taken the time to prepare tender documents that clearly set out the project’s requirements, key risks and deliverables along with award criteria that are considered, succinct and comprehensible. This enables tenderers to respond within the time frame and the evaluation team to determine the award of the contract in a timely fashion.
Building Information Modelling
BIM has the potential to transform the processes surrounding project and data management on construction projects and can drive significant efficiencies. BIM can speed up the construction process, reduce waste, cut costs, and deliver projects to a higher quality.
Acknowledging the transformative role it can play, in January 2024, I introduced BIM requirements into the CWMF. This requirement now applies to public work projects with a capital value of over €100 million. Over the next four years, these requirements will be extended to cover all public works projects.
The Build Digital project aims to ensure that world-class digital practices, which already exist in certain elements of the Irish construction and built environment sector, are adopted throughout the industry, and supply chain. They have published templates, guides, and other digital tools required by the sector.
As part of my reforms to the CWMF we are also adopting the International Cost Management Standard, to enable consistent reporting of costs, life cycle costs and life cycle analysis including embodied carbon across the National Development Plan.
149. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which he remains satisfied regarding the degree to which controls exercised by his Department continue to contribute in a meaningful way to national guidelines in respect of pay and conditions throughout the public sector; and if he will make a statement on the matter. [20140/24]
Amharc ar fhreagraPublic service pay has been governed by a system of collective agreements since the Croke Park Agreement was negotiated in 2010. These collective agreements have helped to ensure that public pay is managed in a sustainable, affordable and orderly manner. These agreements have also enabled significant reform of public services and changes to work practices.
The value of public pay deals to the Government and the taxpayer is ensuring that pay costs are managed in a sustainable and orderly way and in a climate of industrial peace.
Public Service Agreement 2024-2026 provides for increases of 10.25% over a two and a half year period. This is made up of general round increases totalling 9.25%, as well as a provision for a Local Bargaining mechanism equivalent to 1% of the basic pay cost.
Lower paid public servants will see benefits in excess of this due to the targeted measures contained in the agreement. Over the lifetime of the agreement, the lowest paid public servants will see cumulative benefits of up to 17.3%, inclusive of the local bargaining provision. This is a progressive approach, which ensures that those who are most vulnerable to inflation and cost of living issues will see the greatest increase in their pay.
150. Deputy James Browne asked the Minister for Enterprise, Trade and Employment the position regarding a personal situation related to a company (details supplied); and if he will make a statement on the matter. [19920/24]
Amharc ar fhreagraThe Corporate Enforcement Authority (CEA) is Ireland’s company law enforcement agency. The CEA is an independent statutory body equipped with significant enforcement powers required to carry out its statutory functions which are provided for in section 944D of the Companies Act 2014. These functions include to enforce and encourage compliance with company law, to investigate suspected offences under the Companies Act 2014, to prosecute detected breaches of the Companies Act and to refer cases to the Director of Public Prosecutions on indictment. Section 944D(4) of the Companies Act 2014 provides that the Authority is independent in the performance of these function
The CEA encourages members of the public to submit complaints, expressions of concern and protected disclosures (where applicable) to them where there may be indications of breaches of company law. However, the matter outlined in the question relates to non-compliance with a settlement made in the Circuit Court. Neither the Department nor its agencies have any remit in enforcing court awards.
151. Deputy Cormac Devlin asked the Minister for Enterprise, Trade and Employment to provide an update on the transposition of the EU Directive on Adequate Minimum Wages into Irish law; and if he will make a statement on the matter. [19994/24]
Amharc ar fhreagraThe EU Directive on Adequate Minimum Wages includes two key areas: Minimum Wages, and Collective Bargaining. The Directive must be transposed into Irish law by 15th November 2024.
My Department has received legal advice on the minimum wage elements of the Directive that Ireland’s current minimum wage setting framework, namely the Low Pay Commission, is largely already in compliance with the provisions of the Directive. My Department has also requested legal advice as to whether any legislative change is required in order to transpose Article 4 on collective bargaining.
The Directive also requires Ireland to develop an action plan to support collective bargaining by the end of 2025. A technical working group has been established with the social partners to progress Ireland’s implementation of the Directive in relation to collective bargaining and the development of the action plan.
152. Deputy Jim O'Callaghan asked the Minister for Enterprise, Trade and Employment if he will detail, in tabular form, on the basis of a local authority breakdown, the number of businesses that have registered for the Increased Cost of Business Scheme grant as of 29 April 2024, or the latest date available; and if he will make a statement on the matter. [20073/24]
Amharc ar fhreagraAs you will be aware, as part of Budget 2024, the Government signed off on a package of €257 million for the Increased Cost of Business (ICOB) grant as a vital measure for small and medium businesses.
Local Authorities, funded through the Department of Enterprise, Trade and Employment, are administering the grant to qualifying businesses on behalf of the Department.
Local Authorities have written to all rate paying businesses with details of how to register for the grant and it is a very simple process for businesses to verify their details through an online portal.
The grant has been open for registrations since 14 March. Local Authorities began the payment process to eligible businesses last week. The closing date for registrations for the ICOB grant is 1 May 2024. I urge all eligible businesses to register for this grant before the closing date of 1 May.
The following is the situation in relation to uptake of the scheme across all Local Authorities as of Monday 30th April:
|
Agency Name |
Original estimate businesses |
Total Submissions |
Percentage of Original Estimate Businesses |
|
Carlow County Council (101) |
1504 |
832 |
55.32% |
|
Cavan County Council (102) |
2385 |
1010 |
42.35% |
|
Clare County Council (103) |
3474 |
1643 |
47.29% |
|
Cork City Council (104) |
9333 |
3482 |
37.31% |
|
Cork County Council (105) |
6404 |
4274 |
66.74% |
|
Meath County Council (106) |
3801 |
2107 |
55.43% |
|
Donegal County Council (107) |
4449 |
2016 |
45.31% |
|
Dublin City Council (108) |
16246 |
6837 |
42.08% |
|
Dun Laoghaire-Rathdown County Council (109) |
4369 |
2278 |
52.14% |
|
Fingal County Council (110) |
5310 |
2549 |
48.00% |
|
Galway City Council (111) |
2900 |
1757 |
60.59% |
|
Galway County Council (112) |
4251 |
1584 |
37.26% |
|
Kerry County Council (113) |
3880 |
2045 |
52.71% |
|
Kildare County Council (114) |
4083 |
2630 |
64.41% |
|
Kilkenny County Council (115) |
2521 |
1089 |
43.20% |
|
Laois County Council (116) |
1470 |
824 |
56.05% |
|
Leitrim County Council (117) |
991 |
422 |
42.58% |
|
Limerick City and County Council (118) |
4466 |
2415 |
54.08% |
|
Longford County Council (119) |
1106 |
680 |
61.48% |
|
Louth County Council (120) |
3393 |
1748 |
51.52% |
|
Mayo County Council (121) |
3372 |
2239 |
66.40% |
|
Monaghan County Council (122) |
1702 |
1075 |
63.16% |
|
Offaly County Council (123) |
1707 |
858 |
50.26% |
|
Roscommon County Council (124) |
1439 |
871 |
60.53% |
|
Sligo County Council (125) |
1656 |
886 |
53.50% |
|
South Dublin County Council (126) |
6210 |
2697 |
43.43% |
|
Tipperary County Council (127) |
4683 |
2114 |
45.14% |
|
Waterford City and County Council (128) |
3355 |
1608 |
47.93% |
|
Westmeath County Council (129) |
2206 |
1215 |
55.08% |
|
Wexford County Council (130) |
4417 |
2518 |
57.01% |
|
Wicklow County Council (131) |
3448 |
1885 |
54.67% |
|
Total |
120531 |
60188 |
49.94% |
153. Deputy Neasa Hourigan asked the Minister for Enterprise, Trade and Employment further to Parliamentary Question No. 355 of 25 April 2024, the total expenditure in the form of grants or relief given to social enterprises for research and innovation in each of the years 2020 to 2023; and if he will make a statement on the matter. [20102/24]
Amharc ar fhreagraThere are two avenues through which social enterprises can access research and innovation supports. Social enterprises can access the innovation vouchers offered by Enterprise Ireland once they are an SMEs that is a limited company registered in Ireland, with fewer than 250 employees and not exceeding an annual turnover of €50m.
In terms of the remaining research and innovation supports offered by Enterprise Ireland, they may be able to access them once they become an Enterprise Ireland client provided they can create over ten jobs and can trade internationally in an eligible sector, under the Industrial Development Act.
While Enterprise Ireland will accept a company that describes itself as a social enterprise as a client or give them access to innovation vouchers, they do not classify them by this description, as social enterprise is a business model rather than a sector. Enterprise Ireland identify clients by sector, size and location. The sector information is needed by Enterprise Ireland to know if the clients are undertaking eligible activity under the Industrial Development Act definition of sectors that it can support.
Given this, Enterprise Ireland have advised that the information requested cannot be extracted from their database.
154. Deputy Brendan Howlin asked the Minister for Enterprise, Trade and Employment the number of IDA-supported jobs for each of the past three years in each county, in tabular form; the number of site visits organised by the IDA for companies in each of the past three years, by county; and if he will make a statement on the matter. [20103/24]
Amharc ar fhreagraRegional development is a key element of Government's enterprise policy, as set out in the White Paper on Enterprise and is a key focus of the work of my Department. In that regard, IDA Ireland is committed to the pursuit of balanced, compact regional development and is targeting that at least half of all investments - that is 400 of 800 - from 2021 to 2024 to regional locations.
IDA has over 1,800 client companies within its portfolio employing 300,583 as at the end of 2023, with employment levels above 300,000 for the second consecutive year. 248 investments were won in 2023, 132 of which were secured across regional locations, representing 53% of all investments. Employment in Foreign Direct Investment (FDI) companies now accounts for over 11% of the workforce. Additionally, my Department estimates that for every 10 jobs generated by FDI directly, another eight are created in the wider economy. This translates to over 540,000 direct and indirect jobs supported by FDI at the end of 2023, almost 20% of the workforce.
The total number of regional jobs now stands at 163,471. The Midlands Region saw the strongest level of growth in 2023, up 5.8% on 2022 levels. There was also growth in the Border Region (up 2.7%) and Midwest Region (up 2.6%) with the Southwest and Southeast Regions up by 1.2% and 1.4% respectively. Elsewhere, job numbers in IDA clients in the West Region was down by 1.8% whilst Dublin and the Mid East Region declined by 1.2% and 4.8% respectively.
Investment by IDA Ireland through its Regional Property Programme aims to ensure the supply of land, buildings and infrastructure in regional locations to remain competitive in attracting Foreign Direct Investment (FDI) to the regions. IDA Ireland continues to engage with current and prospective clients to promote Ireland as a location for their business and facilitates both virtual and in-person sites visits for companies. The use of digital platforms by IDA has contributed to an enhanced digital engagement with existing clients and in hosting e-visits with potential new investors.
The number of IDA-supported jobs and site visits in each county for each of the past three years are shown in the tables below. Site visit figures reflect both in-person and e-visits.
Table 1 IDA Supported Jobs by County, 2021-2023
|
Total IDA Client jobs by County |
2021 |
2022 |
2023 |
|
Cavan |
777 |
797 |
821 |
|
Donegal |
3,671 |
4,793 |
5,036 |
|
Leitrim |
815 |
1,008 |
1,104 |
|
Monaghan |
445 |
354 |
283 |
|
Sligo |
2,650 |
2,955 |
2,929 |
|
Dublin |
125,091 |
138,732 |
137,112 |
|
Kildare |
9,953 |
12,010 |
11,909 |
|
Louth |
4,826 |
4,673 |
3,674 |
|
Meath |
1,983 |
2,012 |
2,173 |
|
Wicklow |
2,824 |
2,771 |
2,673 |
|
Clare |
6,541 |
6,193 |
5,919 |
|
Limerick |
14,264 |
15,299 |
16,018 |
|
Tipperary |
4,474 |
5,067 |
5,320 |
|
Laois |
165 |
163 |
155 |
|
Longford |
1,450 |
1,621 |
1,801 |
|
Offaly |
1,240 |
1,378 |
1,385 |
|
Westmeath |
4,084 |
4,328 |
4,582 |
|
Carlow |
1,469 |
1,361 |
1,440 |
|
Kilkenny |
915 |
857 |
1,037 |
|
Waterford |
8,958 |
9,226 |
9,078 |
|
Wexford |
3,720 |
3,640 |
3,746 |
|
Cork |
47,144 |
48,683 |
49,253 |
|
Kerry |
1,936 |
2,024 |
2,043 |
|
Galway |
22,814 |
24,687 |
24,080 |
|
Mayo |
5,188 |
5,488 |
5,434 |
|
Roscommon |
1,445 |
1,477 |
1,578 |
|
Total Jobs |
278,842 |
301,597 |
300,583 |
Table 2 IDA Site visits by County, 2021-2023. Figures below reflect both in person and e-visits.
|
Site Visits by County |
2021 |
2022 |
2023 |
|
Carlow |
4 |
3 |
5 |
|
Cavan |
3 |
1 |
2 |
|
Clare* |
20 |
22 |
40 |
|
Cork |
44 |
45 |
39 |
|
Donegal |
7 |
7 |
7 |
|
Dublin* |
153 |
201 |
173 |
|
Galway* |
31 |
40 |
38 |
|
Kerry* |
1 |
13 |
8 |
|
Kildare |
7 |
6 |
4 |
|
Kilkenny |
6 |
3 |
10 |
|
Laois |
3 |
3 |
5 |
|
Leitrim |
1 |
2 |
1 |
|
Limerick* |
37 |
48 |
52 |
|
Longford |
0 |
5 |
2 |
|
Louth |
10 |
16 |
11 |
|
Mayo |
2 |
1 |
3 |
|
Meath |
0 |
1 |
2 |
|
Monaghan |
2 |
4 |
3 |
|
Offaly |
4 |
4 |
3 |
|
Roscommon |
1 |
3 |
4 |
|
Sligo |
6 |
10 |
7 |
|
Tipperary |
12 |
9 |
10 |
|
Waterford |
8 |
12 |
18 |
|
Westmeath |
20 |
20 |
13 |
|
Wexford |
1 |
5 |
2 |
|
Wicklow |
1 |
2 |
2 |
|
Total |
384 |
486 |
464 |
|
Total outside Dublin |
231 |
285 |
291 |
Note: Potential clients visiting Ireland may visit more than one county and may return to a location more than once. These figures represent individual visits and are therefore not indicative of the number of companies that have visited.
*visits to these counties include 3 one-to-many visits that took place during 2023.
