Dessie Ellis (Dublin North West, Sinn Fein)
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Question 11: To ask the Minister for Public Expenditure and Reform the type of Exchequer funded projects that the European Investment Bank and Council of Europe Bank have indicated they would be willing to fund. [35190/11]

Brendan Howlin (Wexford, Labour)
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In recognition of Ireland's current difficulties, both the European Investment Bank and the Council of Europe Bank have indicated their support for Ireland and indicated a willingness to offer loans directly to Ireland in respect of infrastructure projects. The interest rate on these loans would be lower than those obtainable either in the bond market or from the European Financial Stability Facility, EFSF. The loans could be used to finance the traditional procurement of infrastructure projects or to finance an Exchequer capital contribution to PPPs. Any moneys obtained would not represent additional funding for infrastructure projects but would simply displace more expensive sources of Exchequer financing.

I understand the Council of Europe Bank would be willing to lend money for such projects as detention facilities, projects in the education and health sectors, Government buildings and environmental protection projects. The European Investment Bank has been a significant investor in Ireland's PPP roads programme and has also made substantial investment in the commercial semi-State energy sector. The EIB has indicated that it would be willing to contemplate further applications for direct loans to the State to fund projects such as public transport, research and development, energy, environmental services and education. For example, we may be seeking EIB assistance for the Luas Broombridge project, which I announced last week. We continue to work with EIB on maintaining its engagement with PPPs.

This morning, officials from my Department met representatives from European Investment Bank. Deputy McDonald was a little breathless arriving here today. I ran in from a meeting I had just left with the vice president of the European Investment Bank to discuss investment projects, two of which he signed off today relating to education and energy. There are others on which I want to engage with him.

Mary Lou McDonald (Dublin Central, Sinn Fein)
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I thank the Minister for that answer. I am glad that engagement is under way. He is probably aware that we launched our pre-budget submission this week. Broadband infrastructure is a very obvious absence from the Government's capital expenditure programme. For the purposes of developing broadband and wind energy infrastructure, and as part of our capacity to provide stimulus for jobs, we encourage the Government to use every lever and explore every opportunity with the European Investment Bank and with any other international institution that can assist. Earlier the Minister made the point that stimulus would be great but we simply cannot find the cash for it. This underlines the point that there are partners who will provide money in a flexible manner and at good interest rates, which can facilitate investment in infrastructure such as broadband.

Brendan Howlin (Wexford, Labour)
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I agree entirely with the Deputy. One of the areas I discussed with the vice president of the European Investment Bank, who has the wonderful name of Plutarchos Sakellaris, was that of wind energy and other alternative energy sources. It has already invested in infrastructure and also wants to invest directly in wind farms, which was one of the matters we discussed this afternoon.

On broadband infrastructure, I am anxious not to use scarce public moneys or even scarce borrowed moneys to displace commercial investment that is happening anyway. A very significant capital investment in broadband is happening. Deputy Wallace will know that Eircom has just made a very significant investment in Wexford, a town we both represent, which now has a very high level of broadband of 150 megabit. That level of investment is happening across the country in different ways. Satellite technology is being used. I do not want to dislodge investment that is coming from the commercial companies in any event. I have asked my colleague to investigate the significant amount of money put into MANs. In Wexford very few people are using the MAN after a significant investment. We need to ensure we do not just invest money for the sake of it and that we get real value for money and it drives jobs and investment.