John Minihan (Progressive Democrats)

I welcome the Minister to the House and I also welcome the Bill, the aim of which is to provide for the development of the Grangegorman site in Dublin as a modern campus for the Dublin Institute of Technology, DIT, and to provide the former Eastern Regional Health Authority with upgraded facilities.

When the Government decided in December, 1999, that the Department of Education would purchase 65 acres at the Grangegorman site from the Eastern Regional Health Authority for a new DIT community campus, an examination of the overall project was set in train. It is absolutely essential that such a development be managed in an integrated and sustainable manner. These are not simply buzz words. The development must fit into the community and landscape in which it is situated. It must also be sustainable because we have a duty to ensure that new projects are managed in such a way as to avoid the mistakes of the past regarding long-term environmental impacts. This is a significant issue because the full Grangegorman site is some 73 acres in the heart of the city, within walking distance of O'Connell Street. It is in a densely populated, primarily residential area so any development must be sensitive and appropriate.

An interdepartmental working group was established by the Taoiseach and reported to Cabinet. This report was followed by an expert strategic review of all of the issues involved in developing the Grangegorman site. The expert recommendations were published in November of 2001 and they highlighted the need for Grangegorman to be developed carefully and strategically. It was deemed necessary to establish a Grangegorman development company to manage the development and determine the type of procurement to be employed. In April 2002, the Government agreed on this course of action and the legislation before us provides for the establishment of the recommended Grangegorman Development Agency. The Bill provides for the agency to undertake the development of the site as a location for education, health and other purposes and is thus to be commended.

I cannot speak highly enough of the role the Dublin Institute of Technology has played in the education and development of people in this country over many years. Although it only became a single academic structure in the 1990s, its origins go back over 100 years. Today, the DIT provides academic, professional, applied and technological education. Courses range from apprentice-based training, through certificate, diploma and degree courses, to postgraduate masters and doctoral courses. The institute's accomplishments in targeted research have made it a successful recipient of national and international research and development funding. All of this, and more, has been achieved while the institute suffers from an operational burden. While Bolton Street, Kevin Street and Aungier Street will all be familiar to Members of the House as DIT locations, how many people fully realise that the institute is spread over 39 buildings on 30 sites across Dublin, as outlined by the Minister? Would many see that as ideal or even appropriate for this modern third level institution?

This brings me to my central point. The institute, of course, must deal with serious operational inefficiencies because of the wide variety of locations. There is a definite negative impact on the institution. Rent for premises has been outlined by the Minister as being in the region of just over €4 million per year. However, I would like to look at the broader implications. A recent report by Forfás to the interdepartmental committee on science and technology set an ambitious target for Ireland to increase expenditure on research and development from 1.4% of GNP to 2.5% of GNP by 2010, in line with the levels of performance in other knowledge-based economies. This target follows the substantial increase in investment by the Government to €2.48 billion, compared with €0.5 billion over the period 1994-99. This momentum must be sustained and built upon.

When I used the phrase "other knowledge-based economies" earlier, I consciously put Ireland in this category. A 2004 report evaluated Ireland's position as an up-and-coming knowledge economy. The findings are important for the topic before us today. While Ireland has just 26% of its workforce in so-called "creative" occupations, it has seen by far the greatest growth in these occupations, experiencing a 7.6% annual growth since 1995. The findings also put Ireland at the top of an index which measures talent and technology growth since 1995. However, Ireland ranks in the middle of the overall "euro talent" index, which looks at the number of university graduates and scientists.

The DIT believes that the proposed development is expected to support some 4,500 knowledge employees, with a substantial number of spin-off jobs arising in the local economy. We cannot overstate the importance of this for our own knowledge economy. Ireland faces strong competition from other economies for foreign direct investment and the associated jobs growth. We have to adapt and move into new sectors in the higher end, with research at their core. We are fortunate that we have the brilliant young people to allow us to do this. However, they deserve the most excellent facilities in which to be taught, to learn and to carry on their research and development activities. The DIT will play an immensely important part in this national advancement.

The development of the Grangegorman site, and the DIT's move there, will allow for the provision of a better research infrastructure. It will allow the DIT to optimise the resources available and to maximise their exploitation. One should think of the practicalities of a single-site campus versus the current disparate one. For example, research activity by its very nature requires state-of-the-art, and consequently, very expensive scientific equipment. Maximising the value of this equipment means sharing it between students as effectively as possible. A single campus would facilitate this process to a far greater extent. The institute will be able to purpose-design new facilities as opposed to appending them to old existing ones.

The DIT has outlined what it sees as the opportunities for growth and new activities, given a single, larger campus. The institute has traditionally supplied top-class graduates to many industries, serving our economy and, as a result, our society. We should take the long-term view and provide the DIT with the ability to take advantage of the opportunities provided by a developed Grangegorman site. It is to the benefit of the institute, to it students and ultimately to our economy.

As I outlined earlier, the surrounding area of the Grangegorman site is, by and large, residential. A sensitive approach and appropriate development are critical. I am satisfied that the legislation presented to us by the Minister makes provision for an extensive consultation process with all interested parties. Examples of these interested parties include local residents, health care staff and patients located on or near the site, the relevant academic and student bodies of the DIT and the ERHA. The strategic importance of the Grangegorman site has been well articulated, as have the benefits that will accrue to the DIT and others. However, it is imperative that local residents, in particular, are included in all the consultations and developments involving this site. This is not just a strategically important site for development. It is also part of people's neighbourhood and community. Their concerns must be heard and responded to. I am happy to welcome this Bill as a mechanism to see the Grangegorman site developed in a sensitive, appropriate, integrated and sustainable manner.