Paschal Donohoe (Dublin Central, Fine Gael)
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I thank the Minister of State for being present to take this matter. I am sure she is familiar with the background to the Dominick Street regeneration project. It is one of the flagship regeneration projects that has been promoted by Dublin City Council in recent years. It was recently dealt a hammer blow when the construction company that was in place declared itself no longer to be in a position to deliver the project. This has plunged the project into grave difficulty.

The Dominick Street regeneration project is located at the top of O'Connell Street in the city centre. The community there is a long-standing, vibrant and very proud one and its members have been making do in very difficult circumstances. The one ray of light for them in recent times was the fact the project finally received planning permission from An Bord Pleanála. The Dominick Street regeneration project had been plagued by two huge difficulties, namely, the lack of a lead developer and also the lack of planning permission. As a result of the fact that planning permission had never been granted, it was extremely difficult to attract a lead developer. Those who were interested in becoming involved with the project were never quite sure what they were going to be in a position to build.

I tabled this matter to urge the Department of the Environment, Community and Local Government to take the most active role possible in either facilitating or funding the facilitation of this project. The community in the Dominick Street area has put up with a huge number of difficulties and has done really well in such circumstances. Its members now finally have an idea with regard to how their physical environment might look in a few years time. I appeal to the Minister of State to ensure everything is done to give them the support they so badly need and really deserve. I anticipate what I hope will be a positive reply from her.

Jan O'Sullivan (Limerick City, Labour)
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I thank Deputy Donohoe for raising this issue. As he is aware, regeneration is a matter in which I have a particular interest. I wish to begin by restating my commitment and that of my Department and the Government to the national regeneration programme. My Department supports an ambitious range of regeneration projects which seek to address the causes of disadvantage in communities and large social housing estates through a holistic programme of physical, social and economic regeneration. Of the €390 million available to me under the 2012 housing programme, I have set aside some €90 million - 23% of the total - to progress regeneration projects in 2012, including that at Dominick Street.

As the Deputy is aware, Dublin City Council previously intended carrying out the redevelopment of Dominick Street by way of a public private partnership. Under these arrangements, it was intended to deliver a significant mixed-use development at no net cost to the Exchequer. However, by late 2008 the downturn in the housing market and wider economic conditions had made the original plans for the public private partnership project unviable. With support from my Department, the council established a multidisciplinary special housing task force to examine alternative redevelopment options. As a result of this process, the council developed a proposal for a mixed-use development at Dominick Street to include 58 housing units, seven commercial units, a new community centre with a multi-purpose hall and related facilities, a covered sports pitch and 3,525 sq. m of public realm improvement works locally. An Bord Pleanála granted planning permission for the proposed development on 22 May last.

The next step in this process will be the preparation of a detailed proposal by Dublin City Council for submission to my Department. I expect this submission will build on the good work done by the council in consultation with the local community and regeneration boards and will address the social, economic and physical regeneration needs of the community in the area. I have allocated over €40 million to regeneration projects in Dublin this year, some €15 million of which is earmarked for regeneration projects including Dominick Street, Croke Villas, O'Devaney Gardens, Saint Theresa's Gardens, Saint Michael's Estate and Dolphin House. Dublin City Council continues to operate a de-tenanting strategy, with the support of the Department, for the relocation of households out of the regeneration areas to facilitate the demolition of vacant buildings. Of the funding available to Dublin City Council in 2012 approximately €7 million has been assigned for this purpose. I anticipate that demolition works on some of the flat blocks in the Dominick Street complex will commence later this year.

Now that the statutory planning element has been dealt with, it is a matter for the city council to prepare the detailed regeneration plan for the Dominick Street complex and to set out how this will be delivered over the next few years. Given its strategic location, I expect that there will be considerable private sector interest in the commercial element of the project. There is potential to involve approved housing bodies in the residential and community elements and also, in the interests of furthering the sustainable communities agenda, to make some housing units available for private purchase or for purchase under the incremental purchase scheme. In the meantime, my Department will liaise closely with the city council in finalising the detailed plans and will continue to provide funding for ongoing regeneration work locally.

Paschal Donohoe (Dublin Central, Fine Gael)
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I thank the Minister of State for her response. When the regeneration plan comes from the city council, following the successful granting of planning permission, I hope the Department of the Environment, Community and Local Government will do all it can to respond positively to the regeneration plan. The Minister of State has highlighted the likelihood of commercial interest in the site. It is in an amazing location in the city centre. Given the amount of money the Government has already earmarked for regeneration in the capital, there is potential for the Department to make an amount of money available upon which the city council can build, using its own resources and the funds it will attract from the private sector.

The collapse of this regeneration project was one of the heralds of the end of the period of extraordinary growth through which the economy went. I hope the future funding of the project will herald the return of a better kind of growth. I ask the Minister of State to keep this in mind.

Jan O'Sullivan (Limerick City, Labour)
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I thank the Deputy. I understand the importance of the location of this project and its potential for the local community. Again, I emphasise my commitment and that of the Department to regeneration and to continued funding of it. Co-operation with the city council will be an important part of that.

I cannot anticipate the submission of Dublin City Council but I assure the Deputy that I will fully co-operate and respond to the submissions that come to the Department.