Timmy Dooley (Fianna Fail)

—which has already been applied for. There is no doubt that the project fits all the criteria set out in the capital project from the Department of Arts, Sport and Tourism. One of the major stumbling blocks is the local authority's inability to borrow under the Government guidelines and the current cap. Perhaps the Minister of State would examine this.

The envisaged €3 billion borrowing is totally insignificant when the level of investment in infrastructure is considered, as identified in the Estimates. It is great to see the national debt has halved since 1997. This provides in the region of an extra €1 billion which is used as investment in the public sector. We now see the benefits of not going back to that level of borrowing, which created many of the difficulties the Government has had to address in recent years. Thankfully, we have moved away from that. That the Government is in a position to spend as outlined in the Book of Estimates is a sign of a healthy economy. It is noteworthy that the public spend will be twice the EU average and that is a point of which we should be proud. There is no doubt that this has not come about by chance. Some people on the other side of the House believe this was destined to happen. It would not have happened without the prudent economic management exercised not just by the Department of Finance but by other Departments ensuring their spending remained within projected levels. Over the last 12 months they have ensured that their levels of spending have remained within the projections. The approach has been to consolidate when circumstances change or when faced with a downturn. The bursting of the dotcom bubble in 2000, the tragic events of 11 September 2001, the foot and mouth outbreak and other developments created the recent difficult economic circumstances we have experienced. It is important to recognise these facts because when the economy picks up again people will tend to forget the difficulties that were overcome in the past.

I am glad the Minister pointed out that public spending must be matched with revenue. Everybody understands the principles of budgeting in the home, in business and elsewhere. One cannot spend what one does not have. There are demands from numerous interest groups in a range of areas, all with justifiable cases and on behalf of good causes. However, nobody wants a return to increased taxation so only the amount of money that is collected can be spent.

The priorities identified in the Estimates are the most important – health, social welfare, education and infrastructure. As Fianna Fáil's spokesperson on transport in the Seanad, I am delighted that the high level of investment in roads has been maintained in the Estimates for next year. It matches the amount spent last year, which was historically high. Approximately €1.3 billion will be invested in the construction of motorways and dual carriageways. This will be spent on a number of projects that are about to be completed, and which were identified by other contributors to this debate, and on the commencement of other projects. As Senator McDowell indicated, the Ennis bypass is scheduled to go ahead early next year on the basis of this continued high level of investment.