Dáil debates

Tuesday, 13 February 2007

National Development Finance Agency (Amendment) Bill 2006 [Seanad]: Second Stage (Resumed)

 

6:00 am

Photo of Paul Connaughton  SnrPaul Connaughton Snr (Galway East, Fine Gael)

I do not subscribe to that view. Although it is not explicit in the Bill, the provision of an over-arching role to the Minister for Finance of the day would benefit the democratic process.

An economy that is going as well as ours and for so many years has many positive aspects. However, other aspects have not keep abreast of play. Numerous references have been made to the inability to provide an adequate road network. We all call to mind projects with which we are familiar. I was convinced the N6 would arrive in Galway city in 2006 but it will not be operational until 2010. Many other inter-urban road projects are gaining momentum but they will not be finished for up to six years after the completion dates envisaged in the National Development Plan 2000-2006.

Only two or three ways exist to tackle large scale public projects. When one considers the current state of the economy and the credit rating we possess on international financial markets, one could suggest access to private funding was more important in the past than it is currently. On the other hand, if a partnership arrangement means a project can be completed faster and with greater efficiency and at better value than could be provided by the State then that is the best option. That is the nub of this debate. Regardless of the chosen method, we must provide for the infrastructural projects that are required to improve competitiveness, enhance job creation and provide the social fabric that will enhance each individual's lifestyle.

In so far as PPPs are concerned, the model available has not worked well on several occasions. Design, build and operate projects are first cousins to PPPs. I accept they are best suited to smaller projects but in terms of a county's expenditure the projects in question are considerable in nature. Some projects have finished up in a mess and offered poor value for money because it took so long for them to be completed. I refer, for example, to a sewerage project in Galway. It was decided to amalgamate the villages of Kilkerrin, Dunmore and Leenane in Connemara for a design, build and operate sewerage project. The money was made available in 2000 and the service pipes were laid in the ground in 2006. Something has gone wrong with the contract to dig the treatment plants in each village and they have yet to go out to tender. We can rest assured that whatever amount of money was earmarked for those projects in 2000, by the time they are completed in another year or two, sewerage schemes could have been provided to two other villages in County Galway for the difference between the contract price in 2000 and what will be the eventual price. I hope the Bill will ensure the necessary expertise is made available. That will be a great step forward.

I wish to examine other aspects of the Bill.

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