Dáil debates

Thursday, 15 January 2015

Topical Issue Debate

Road Projects Expenditure

4:15 pm

Photo of Anthony LawlorAnthony Lawlor (Kildare North, Fine Gael)
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I thank the Ceann Comhairle for allowing me and Deputy Heydon to raise this issue. I also appreciate the Minister taking time out from his busy schedule to give us a response. This project concerns upgrading the N7, including the Osberstown interchange and the Sallins bypass. If the Minister does not mind, we will group them all together because in Kildare we look upon them as being part of one package.

The N7 has been upgraded from two lanes to three lanes as far as Naas, but then comes into a two-lane road. This has caused serious congestion, particularly at peak traffic times. As a result of that congestion, there is increased traffic going through the villages of Kill and Johnstown which have been bypassed since the early 1960s. The planning on this upgrade has been passed by An Bord Pleanála because it is a strategic piece of infrastructure. That was welcomed last September, but we now need funding to progress this upgrade further.

The economic benefit of this is quite clear. The National Road Design Office has explained that the development is justified when it is at an economic benefit rating level of one. The Sallins bypass is at level 17, while the Naas bypass can be up to 15. The N7 is the second busiest road in the country after the M50. The interchange at Osberstown has the potential to create 6,000 jobs in the north-west quadrant of Naas. Anybody passing by can the see the development there by the Kerry Group and so the necessary infrastructure for the Osberstown interchange is vitally important in that respect.

We are seeking a commitment for multi-annual funding for 2016 to 2018 because this project will take about 18 months to complete.

5 o’clock

This project will take about 18 months to complete. At present, the NRDO hopes it will be able to make further progress on it.

4:25 pm

Photo of Martin HeydonMartin Heydon (Kildare South, Fine Gael)
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I thank the Minister for attending personally to address this issue. His doing so is greatly appreciated because it is an issue of significant importance, not only to the residents of Kildare, including south Kildare, but also to those residents and businesses in the south of the country. The road in question is the main artery. As Deputy Lawlor stated, it is the second busiest road in the country after the M50.

My constituents in Kildare South, including commuters from Newbridge, Athy, Kildare, Rathangan and beyond, are greatly affected by having to sit in traffic at the spot in question. They greatly appreciate the €100 million investment in Newlands Cross in that this has made part of their journey easier. However, the solving of the problem at Newlands Cross has led to further congestion down the line. There are three lanes as far as the big ball at Naas, from where there are two lanes. Those commuting from Dublin to Cork and Limerick will be very aware of this. Traffic slows to a crawl until one gets beyond Newbridge. That is why the investment is crucial.

Those affected, who must sit in traffic, include constituents of mine who are rushing home to get their children who have spent a long day in child care, in addition to business representatives and delivery staff. There are economic, social and national arguments for securing road funding. It is very badly needed. From the big ball, we need three lanes all the way to the M7-M9 junction, in addition to an upgrade to the junction at No. 10, or the Bundle of Sticks, as it is known locally.

To put the congestion in context, it is the equivalent of 42 vehicles sitting in traffic for 24 hours per day for 30 years. As the country recovers and as we get more people back to work, it will only increase. The problem is a function of recovery. The increase in the number on the roads is a good problem to have in that so many people are back to work. However, as road projects go, the one in question is really important. We got planning permission at the end of last year, and now we need funding committed to it. The project has the full backing of the Garda because there is a significant safety element, as raised during the recent oral hearings.

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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I thank Deputies Lawlor and Heydon for raising this matter with me. Both Deputies have raised it with me persistently. They raise it continually with my Department and me to emphasise the importance of the project, both nationally and locally. At some point in the future, when progress is made thereon, it will be in no small part due to the efforts of both Deputies consequent to their having continually raised the matter with me and my Department, and on the Dáil floor through parliamentary questions and Topical Issue debates.

As the Deputies are aware, I have responsibility for overall policy and funding regarding the national roads programme. The construction, improvement and maintenance of individual national roads, such as the Naas bypass widening, is a matter for the National Roads Authority under the Roads Acts 1993 to 2007, in conjunction with the local authorities concerned. The assessment and prioritisation of individual national road projects is a matter for the NRA within its capital budget and in accordance with section 19 of the Roads Act.

With regard to the interchange and bypass referred to by both Deputies, the improvement and maintenance of regional and local roads is the statutory responsibility of each local authority, in accordance with the provisions of section 13 of the Roads Act 1993. Works on those roads are funded from local authorities' own resources, supplemented by State road grants. The selection and prioritisation of works to be funded is, therefore, a matter for the local authority.

Owing to the national financial position, there have been very large reductions in roads expenditure in recent years. Funding in 2008 was €2.3 billion while funding this year is around €730 million for the national, regional and local road network. The reality, as I have stated publicly, is that the available funds do not match the amount of work that needs to be done to maintain existing projects and roads while addressing the growing demand both Deputies have raised with me. For this reason it is not possible to progress a range of worthwhile projects. The focus has to be on maintaining and repairing the existing road network. The Deputies will be aware of the great importance of road safety, and that is why I have devoted all funds available to me to maintaining existing roads before prioritising new projects. Only a small number of new national projects have been progressed to construction stage.

It is important to reiterate that the role of Exchequer grants for regional and local roads is to supplement the funds of councils. I am aware that the projects raised, which have considerable merit, are interconnected and have a substantial overall cost. The objective of the M7 Naas bypass widening scheme is to increase capacity and to improve traffic flow on the Dublin-Cork road corridor. The interchange and bypass schemes are intended to enhance connectivity between the M7 and the towns of Naas and Sallins. The interchange will connect to the proposed R407 Sallins bypass to the north and the existing roads to the south. The receipt of planning permission for these projects last September was a very positive and important development. Unfortunately, the current financial realities are such that the budgets proposed for my Department for 2016 and 2017 indicate that capital funding will continue to be very tight, and my ability to progress new projects and PPPs is limited.

I acknowledge it is important to restore over time capital funding for the transport sector to ensure that infrastructure is maintained but, as of now, I am not in a position to give a commitment in regard to funding of the projects in question, although I acknowledge their national and local importance.

Photo of Anthony LawlorAnthony Lawlor (Kildare North, Fine Gael)
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Overall, I am not very enthused by the Minister's response. I understand the financial constraints the country is under but I hope part of the funding may be secured on a European basis. Deputy Heydon will talk about this. NAMA, which owns the land surrounding the proposed Osberstown interchange, is willing to put forward €10 million towards the project there. Therefore, there are outside sources of funding. The project is expected to cost approximately €110 million overall. We can identify other sources for approximately 25% of this.

I understand a capital programme is to be initiated shortly. I hope the Minister will consider this project as a priority for the capital funding being proposed for the period from 2016 onwards. At least, we might then get the project up and running. Deputy Heydon and I may refer to the local aspects of the project but it is a national one. The road is one of the main arteries in the country. It is not only a national route but also a European route. Consequently, we hope that the Minister will push the Minister for Public Expenditure and Reform, Deputy Howlin, on the project when the capital programme is being analysed.

Photo of Martin HeydonMartin Heydon (Kildare South, Fine Gael)
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I thank the Minister for his response. I am very disappointed with it and it makes me even more determined to increase the priority accorded to the project. I accept completely the Minister's statement that he accepts its importance and that there are so many competing projects in the Department but, as he knows, there is potential to obtain European funding for the M7 Newbridge-Naas bypass upgrade scheme. The application deadline for the Connecting Europe Facility, CEF, funding for the scheme is the end of February. The application cannot be lodged without the commitment of funds for the balance of the scheme by the member state. Therefore, there is a minimum State requirement of approximately €38.5 million. This is the scheme cost of €55 million minus the €16.5 million in potential CEF funding for the years 2016 and 2017. Approximately €19 million per year would be required. Without this, the potential CEF funding may be lost until the next application round in 2016. I accept that the Minister's Department is tight on funds because of constraints. This is a matter that we need to bring to the attention of the Minister for Public Expenditure and Reform, Deputy Howlin, as part of an overall examination of capital funding for 2015 and potential stimulus programmes. This project is of the utmost importance to the country.

4:35 pm

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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I thank the Deputies for their response.

I fully accept and recognise that my initial response is disappointing because I know how important this project is locally and I accept the importance of it nationally. On job creation, I am very much aware of the investment that Kerry Group is making in the millennium park which, I understand, will employ between 350 and 400 staff. They emphasised to me directly that they believe the development of better access would be important to ensure their investment pays out and delivers what they want to the economy.

I have a number of points on what my colleagues have put to me. First, I have been informed that were we to go ahead with the interchange, it would increase traffic flow within the vicinity by approximately 8%. Deputy Heydon correctly stated that a project such as the flyover that has been opened beyond the Red Cow can shift traffic congestion elsewhere which feeds into the concern he has with this project. The current analysis of the projects to which the Deputies refer is that were we to go ahead with them it would be highly advisable to progress the three of them together to ensure we do not end up shifting a problem from one part of their community to another. In order for that to go ahead, the overall cost of that project is €110 million. While they acknowledged that there could be other funding opportunities out there and I recognise that NAMA indicated it would be willing to make a contribution, there are still many tens of millions of euro that I would be required to contribute to this project.

I emphasise how important I know the project to be in order to support economic development within the Deputies' region. While I cannot give them a commitment now that it can be progressed because the Government simply does not have the funding to do it, I am aware that this project has received planning permission. Despite all the competing demands that I must manage, I will continue to see if I can find any opportunity to progress projects that are economically and socially important.