Noel Ahern (Dublin North West, Fianna Fail)

While a financial contribution is a legitimate option, it is a matter for the local authority to accept or reject the offer, having regard to its housing strategy and whether it constitutes the best use of the resources available to it. The developer may propose, but it is the local authority which decides. When doing so it is bound to consider what is statutorily laid down and the best way of meeting the requirements identified in its housing strategy. That point must be clear. The developers do not decide. The developers may offer cash or land or houses elsewhere, but the local authority makes the decision. A cash contribution is in lieu of a percentage of the land that is subject to the planning application and not in lieu of housing units.

There were two main policy motives behind Part V of the Act, to increase the supply of sites for social and affordable housing and to have a good distribution of sites for social integration. Part V is beginning to deliver on its promise. Up to end of June 2006, 2,787 homes were acquired under Part V, while 3,801 dwellings were under construction and a further 4,109 were planned on foot of agreements with developers. Some 51 land transfers to local authorities have been completed involving 40 hectares and a further 259 partially or fully serviced sites have been transferred to local authorities and voluntary housing bodies. Up to €38 million has been received in lieu of lands. Proposals to develop the lands and spend the moneys received are in train in many local authorities. This will deliver many more houses. Even at a low density of 25 units per hectare, these sites and lands will result in additional output of 1,000 units on the land transferred. I hope the local authorities will come forward quickly with their plans to build social housing on these lands.

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