Micheál Martin (Cork South Central, Fianna Fail) | Oireachtas source

I thank the Deputy for his remarks. I would argue that there is no poverty of ambition. This year we are spending up to €13 billion plus on capital infrastructure, which is significantly higher than previous years. The rate and level of capital expenditure during this Government's term has been significantly higher than previous Governments. The challenge with capital expenditure, of course, is the balance of making sure you do not overheat the economy in terms of the allocation of additional billions. What we have done, which shows real ambition for the future, is establish the Future Ireland Fund and the Infrastructure, Climate and Nature Fund, where we are essentially future-proofing infrastructure for the long haul and giving confidence and certainty to industry, to the housing sector and the other sectors, that we intend to maintain expenditure levels or increase them progressively over the next number of years notwithstanding the potential of cyclical changes. There will be ups and downs in the economy, revenue could go down but through the Infrastructure, Climate and Nature fund, we are saying we will have a fund there to make sure we get the metro done, get the roads we want done built, get more schools and hospitals built and infrastructure more generally.

There will be a release of additional capital from the AIB shares. It is fairly clear that this will be allocated to infrastructure, principally housing, to future-proof housing expenditure right through the decade, and water infrastructure. It is key, particularly for the towns and villages across the country, that we mandate Irish Water to do more with local authorities in respect of villages, towns and the water treatment provision and plants in such towns. Of course, investment in the grid is going to be essential in terms of the wind energy transformation that will occur in this country but will require certainty around capital investment in the grid over the medium term. Those three areas, housing, water and the grid, are essential pillars in terms of the future development of the Irish economy and Irish society. The Apple funding as well will be allocated principally to those areas, although no final decisions have been taken. Political parties no doubt will establish their priorities in respect of that. This Government is quite entitled to outline its priorities in respect of the capital and I have given three key areas there. We also have surpluses. The issue actually is not an absence of capital, the issue is how we develop a sustainable programme of capital investment over a decade, and how we can shelter that from any winds or storms that might come our way in the intervening period. That is the objective.

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