Dáil debates

Thursday, 7 May 2009

Priority Questions

Urban Renewal Schemes.

3:00 pm

Photo of Terence FlanaganTerence Flanagan (Dublin North East, Fine Gael)
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Question 5: To ask the Minister for the Environment, Heritage and Local Government the housing regeneration and maintenance projects which will be delivered in 2009; the projects which have been shelved due to budget cutbacks; and if he will make a statement on the matter. [18406/09]

4:00 pm

Photo of Michael FinneranMichael Finneran (Roscommon-South Leitrim, Fianna Fail)
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As I announced last week, my Department will once again be supporting an ambitious programme of housing regeneration, remedial and energy efficiency improvement works this year with almost €230 million in Exchequer resources being provided from a number of funding streams within the overall housing programme. Within the regeneration programme, the redevelopment of Ballymun and regeneration initiatives in Limerick, Dublin, Cork and Waterford cities will continue to receive support, while works will commence at Mitchel's Crescent, Tralee. Planning for projects at Cranmore, Sligo and Cox's Demesne, Dundalk will also receive support. Overall, funding for regeneration projects in 2009 is being increased by 5% to €135.9 million. Funding for the remedial works programme will increase by 3% this year to €54.9 million, supporting 47 projects, including two new projects at Mullaghmat in Monaghan and Townspark in Navan. Following a call for new remedial works proposals late last year, six further projects have received approval in principle, and I expect progress to be made on these over the course of this year. Housing authorities have also been asked to revise plans on an additional 16 projects, with a view to inclusion in the programme in due course.

In addition, a further 2,100 local authority dwellings will benefit from the final year of the national central heating programme in 2009. A new programme to improve the energy efficiency of local authority housing will also get under way this year, with some €20 million being provided towards the cost of improving the energy efficiency rating of vacant local authority units prior to being relet. A number of pilot retrofitting projects will also be funded. Housing authorities will continue to fund a range of housing maintenance and improvement activities from their own resources and this is expected to be approximately €100 million.

Photo of Terence FlanaganTerence Flanagan (Dublin North East, Fine Gael)
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I thank the Minister for his response. The record of the Government on social housing is appalling. This is no direct reflection on the Minister of State but many projects are underfunded. In the recent budget there was a €314 million cut in the social housing budget and people in communities awaiting regeneration are suffering. They are living in appalling housing developments. Deputy Catherine Byrne referred to rental accommodation two weeks ago as kips. These should not be out there. Five PPPs, which were given to one property developer, were abandoned last year. The Minister announced a review of PPPs. What is the result of that review?

The Minister of State referred to Ballymun regeneration, a project that came in massively over budget and late. What lessons have been learned from this? Many towers in Ballymun are in an appalling state. There is much crime and community gardaí do not police the areas. These are no-go areas and it is important that we get these areas regenerated as soon as possible.

Photo of Michael FinneranMichael Finneran (Roscommon-South Leitrim, Fianna Fail)
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In our programme of housing support in 2008, we supported some 19,000 households, a substantial figure. While there is trimming back of €290 million in the housing capital budget for this year, that figure would meet between 400 and 500 houses. I am providing for 2,000 extra houses under the leasing programme. There will be a net gain of 1,500 or 1,600 houses under the social housing programme.

Regarding standards, there are laws and local authorities are obliged to deal with inspections. I understand an increase in inspections has taken place.

Deputy Flanagan referred to Ballymun, which is an example of success. I supported that success by allocating €45 million to Ballymun for 2009. An enormous amount of development has taken place, six of the landmark towers have been demolished and 2,800 of the existing flats are demolished or are under contract to be demolished. Some 1,400 new homes are there, along with a new street, two hotels and a whole neighbourhood of facilities and amenities. The new IKEA store will open in July with 500 new jobs. Ballymun is a success story to date although it may have taken longer than expected and gone over budget. We can aspire to finish it to a high standard.

The PPP model has been debated in this House. One of the first matters on my desk after being appointed Minister of State last May was that PPP projects were under scrutiny because developers were not in a position to go ahead with them due to the downturn in their finances and the economy. A review has taken place and Dublin City Council has come forward with new proposals for St. Michael's Estate. My Department is examining these proposals at this time. I am hopeful progress will be made in the coming year.

I have also set aside moneys for works to be carried out, namely, the relocation of people from O'Devaney Gardens flats. Dublin City Council is working on this and examining other areas of development in those complexes. I do not want those areas to go back to monotenure developments. This is a difficulty for the city council because these monotenure developments caused social problems. A mix of public and private developments is important. Private development is not coming forward but hopefully that will change. I do not want to allow monotenure development to take place. I want a mix of sustainable communities so that we do not generate the social problems we are dealing with in other regeneration areas.

Photo of Terence FlanaganTerence Flanagan (Dublin North East, Fine Gael)
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I thank the Minister for his comprehensive response. Local authorities were asked to resubmit a cost-benefit analysis. Can the Minister of State give us an update? One area earmarked for regeneration in my constituency is the Buttercup estate in Darndale. Can the Minister of State re-examine this? It has gone on for many years and regeneration should have taken place by now. It is the only estate in Darndale that has been forgotten.

The Minister of State has set aside €500 million for the home choice loan scheme. Can the Minister of State set aside some of the money to deal with regeneration and social housing problems?

Photo of Michael FinneranMichael Finneran (Roscommon-South Leitrim, Fianna Fail)
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The areas we continue to support are Ballymun, Bridgefoot Street, Queen Seán Treacy House and Lourdes House in Dublin city. We also have regeneration projects in Cork, Waterford, Limerick, while Sligo and Cox's Demesne in Dundalk are at the planning stage. Tralee town council has a new project. I will check up on the estate in Deputy Flanagan's constituency.

The sum of €500 million is a facility under the housing finance agencies. It is for local authority loans and is not money set aside in a package. Money up to that limit can be drawn down under the home choice loan. It is available to local authorities if those type of people draw down these loans, not to me. I am not in a position to grab the money and put it elsewhere.