Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

I propose to take Questions Nos. 89, 93, 98 and 133 together.

The Government has committed €165 billion in capital investment through the national development plan, NDP. As a percentage of national income, annual capital investment is now among the largest in the European Union. In the current year, almost €12 billion will fund vital infrastructure in areas such as housing, transport, education, enterprise, sport and climate action. There are at least 50 proposals in the Exchequer-funded element of the NDP that are considered major public capital projects, that is, those with an estimated cost in excess of €100 million.

My Department is responsible for the public spending code, which sets the value for money requirements and guidance for evaluating, planning and managing Exchequer-funded capital projects. The management and delivery of investment projects and public services within allocation and within the national frameworks is a key responsibility of every Department and Minister. The majority of public investment projects are delivered on budget and on time and there is a high level of professionalism across the sectors. However, noting the higher risk profile of larger projects, it was recognised that new procedures were required in order to improve project outturns, avoid cost overruns and avoid delays to project delivery. Responding to this need, my Department put in place an external assurance process to provide independent scrutiny for major public capital projects, which cost in excess of €100 million. This will involve independent expert reviews at two key stages in the project life cycle under the public spending code, that is, at the approval-in-principle stage and prior to tendering. The purpose of the new process is to improve value for money and to support funding Departments and the Government with expert insight relating to project risks, delivery feasibility, and robustness of costings, governance and procurement, among other issues.

The major projects advisory group has also been established by my Department. It will support my Department in assimilating the outputs from the external reviews, and aid Departments and agencies in improving the quality of project proposals. I look forward to seeing all of these measures being implemented, which is now taking place. These new processes are up and running and I need to make sure they help us to deliver on our public capital programme in an efficient and timely manner and to do so within budget.

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