Written answers

Thursday, 24 October 2019

Department of Transport, Tourism and Sport

Departmental Budgets

Photo of Marc MacSharryMarc MacSharry (Sligo-Leitrim, Fianna Fail)
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228. To ask the Minister for Transport, Tourism and Sport if the reduction by €115 million between the capital expenditure ceiling for 2020 for the Vote group published in the mid-year expenditure report 2019 and that outlined in budget 2020 will be accounted for. [43957/19]

Photo of Shane RossShane Ross (Dublin Rathdown, Independent)
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The 2020 capital ceiling for my Department, published in Appendix 7 of the Revised Estimates 2019, and P. 9 of the Mid Year Expenditure Report 2019, was €2.058bn. My Department secured €1.943bn in Budget 2020, an increase of €357m.

The nature of multiannual capital projects is that the actual pace of delivery does not always mirror that forecast at the outset of the project. The Department, through its agencies, is able to estimate with accuracy when funds will be drawn down from the capital investment programme. Taking the two years 2020 and 2021 together our analysis forecasts that some capital expenditure profiled for 2020 will now fall to be paid in 2021. This re-profiling does not impact on the pace of any major projects.

As a result, due to the large number of projects in the pipeline and the various stages of progression of those projects, my Department was able to re-profile €125m or 6.4% of capital, without delaying projects presently in the pipeline. As part of this, I have asked TII to draw on their cash reserves in 2020, which they had earmarked for major road projects in 2021. This will allow a release in the order of €50m in 2020.  The estimated value of projects re-profiled in practice is, as a result, €75m, or 3.8%.

Working closely with Minister Donohoe, I have a commitment from my Cabinet colleague that this capital funding will be returned in 2021 (with the exception of some €33m which I have asked to be spread over the following two years at the request of TII to suit their projected spending).

Separately, my Department received €10.5m from funds ringfenced for carbon tax. The €10.5m will be invested in EV charging infrastructure (€1.5m), Urban Cycleways (€4.5m) and Greenways (€4.5m).

The following is a table of the subheads where funds have been re-profiled and a summary of the specific projects.

Subhead Description Amount Re-profiled

A.3 Regional Airports 2
B.3.1 TII Reserves 50
B.3.6 A5 28
B.8.2 Heavy Rail programme IMMAC 15
C.3.2 Coast Guard 2
D.4 Local Authority Swimming Programme 2
D.5 National Sports Campus 6
D.7 Large Scale Infrastructure 10
E.6 Tourism Product Development 10
Total 125

A.4 Regional Airports:Completion of Ireland West Airport Knock Runway Overlay Project ahead of schedule has created the opportunity to bring forward expenditure, facilitating the re-profiling of funds from 2020 to 2021.

B.3.1 Grants to Transport Infrastructure Ireland re Capital Renewal and Maintenance of National Roads: TII will draw on their cash reserves in 2020 and which they had earmarked for major road projects in 2021. This will allow a release in the order of €50m in 2020.

B.3.6 A5 Border to Derry Road: Ongoing planning delays within the jurisdiction of Northern Ireland are delaying the requirement for delivery of a funding commitment of €28m originally profiled for 2020.

B.8.2 Heavy Rail Safety and Development: €14m of small projects can be safely deferred until 2021. This is approximately 5.5% of the total annual value of the maintenance programme.

C.3.2 Coast Guard: The Office of Public Works planning and scheduling of two Coast Guard projects, Greystones Coast Guard Station and the development of the Marine Rescue Co-ordination Centre at Malin Head, mean that €1m can be re-profiled from each of these projects to 2021.

D.4 Local Authority Swimming Programme: The profile of projects expected to proceed in 2020 means that €2m can be re-profiled without impacting on the current project schedules.

D.5 Sport Ireland (Velodrome and National Badminton Centre): The project has not yet gone to tender.

D.7 Large Scale Sports Infrastructure Fund: The fund is at project selection stage and it is anticipated that €10m can be re-profiled from 2020 without impacting on the development of projects by successful candidates, when selections are completed and announced.

E.6 Tourism Product Development:€10m can be re-profiled without impacting on planned projects for 2020.


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