Bernard Durkan (Kildare North, Fine Gael)
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60. To ask the Minister for Public Expenditure and Reform the extent to which he has identified possible mechanisms to facilitate off-balance sheet capital expenditure in respect of strategic infrastructural deficits in such areas as energy, housing, water supply, transport or other essential requirements, given the economic benefits likely to accrue; and if he will make a statement on the matter. [19715/16]

Bernard Durkan (Kildare North, Fine Gael)
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186. To ask the Minister for Public Expenditure and Reform the extent to which his Department has identified infrastructural deficiencies requiring urgent investment in the context of economic recovery such as the public housing programme, transport, energy and communications which might benefit from or qualify for off-balance sheet Government expenditure or investment; if a mechanism can be found to meet such requirements; and if he will make a statement on the matter. [20041/16]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 60 and 186 together.

As the Deputy is aware, a strategic review of infrastructural requirements was undertaken by my Department as part of last year's capital review. This resulted in the publication in September 2015 of 'Building on Recovery: Infrastructure and Capital Investment 2016-2021', which outlined a €42bn framework for infrastructural investment across Ireland. The Plan prioritises spending on what were considered to be the areas of greatest need as the economy continues its strong recovery.

As always, to support traditional procurement, alternative means of funding continue to be explored by my Department, which includes 'off-balance sheet' methods allowed for under the fiscal rules. To support the planned Exchequer capital investment and €14.5bn commercial State sector investment elements of the Capital Plan, a new third phase of Public Private Partnerships (PPPs) to a value of €500m was announced as part of the Capital Plan. This off-balance sheet investment via PPP was specifically targeted at addressing priority needs in three areas - education, health and justice - while Phase 2 of the PPP programme announced in Budget 2015 is targeting social housing. Phase 1 of the PPP programme, announced in 2012, is addressing infrastructural needs in the areas of education, health, justice and transport.

The Programme for a Partnership Government commits to a review of Government priorities within the Capital Plan in the context of the mid term review to be undertaken in early 2017. The programme also provides for the Government to propose that the Oireachtas approve a cumulative, additional €4 billion in exchequer capital investment up to 2021, targeted in particular at the areas of transport, broadband, education, health and flood defences, to accelerate delivery of infrastructure requirements. The Summer Economic Statement provided for a further additional €1 billion capital investment, over and above the €4 billion already signalled in the Programme for a Partnership Government, thus bringing the planned total extra spending on capital investment to €5 billion over the period of the plan.

In undertaking the mid-term review of the Capital Plan in 2017, my Department will continue to consider the potential for alternative financing mechanisms to supplement direct exchequer investment in infrastructure, including off-balance sheet models.