Sean Barrett (Independent) | Oireachtas source

I wish to express some concern about a newspaper headline yesterday, namely, "Noonan wants €750 million capital fund to boost employment". The thinking in the article seemed to be that each €1 million spent creates eight to 12 new jobs and, therefore €750 million would create 6,000 to 9,000 jobs. It does until a project is over. One is then left with debt and no asset necessarily arises because we do not do a cost benefit analysis. I apologise to the Leader for referring to that yet again.

We need projects. One can spend money building a motorway with a capacity of 55,000 vehicles a day but if it is used, as some are, by one fifth of that figure, it is not a project which generates any return. We are weak at capital investment project appraisals. We should have learned to do them during the recession. I ask that the Minister, Deputy Howlin, who is in charge of public expenditure and reform, address the House on how we can ensure that money is spent efficiently and effectively and will boost the economy. Our track record is the opposite.

We have a tradition of spending public capital to the tune of about twice as much as any other OECD country and it is part of the reason we are in trouble. Arising from that, I note a proposal to spend €7 million replacing bus stops. That is definitely an investment which would yield no return. The object should be to spend as little time at bus stops as possible. The €7 million concerned should be spent on something more useful.