Gerald Nash (Louth, Labour)
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29. To ask the Minister for Public Expenditure and Reform if he will provide an update on the under-profile and outturn of capital expenditure to date in 2021; if he will provide an update on the revised National Development Plan; if the National Development Plan will address the recent IPCC report and set out clear plans and targets with respect to climate action; and if he will make a statement on the matter. [45499/21]

Michael McGrath (Cork South Central, Fianna Fail)
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As the Deputy will be aware, the drawdown of capital expenditure from the Exchequer is detailed each month and is publically available in the Fiscal Monitor, which is published on the gov.ie website. All line Departments and agencies submit information on their expenditure levels against profile to my Department, along with an explanation outlining details regarding any variance of under or over spending against profile.

The latest capital expenditure figures available to end-August reveal that the net capital spend, including capital carryover, was €4,153 million. When the carryover amount is omitted, the net capital spend amounts to €3,726 million, which is 14.8% or €649 million behind the profiled amount of €4,375 million, with all but one Department declaring underspends against profile.

While there was an impact on building activity earlier this year, due to Covid restrictions, activity in the sector has ramped up significantly since sites re-opened when restrictions were lifted in April. With this increased activity, Departments generally expect spending to realign with profiled expenditure as the year progresses.

The revised NDP is currently being finalised and it will set out annual expenditure ceilings for the initial 5 years for each Departmental Vote Group, including capital ceilings for 2022. This document is due to be published in the coming weeks, following final Governmental approval.

As part of the Programme for Government the review was brought forward from 2022 in order to assess the resourcing requirements for the most important challenges facing us as a nation including Covid-19, climate action, housing, balanced regional development and healthcare.

The revised NDP will address the recent IPCC report and in recognition of the importance of the climate objectives for the Government in the coming years, through the renewal of the Climate Action Plan and the new Climate Bill, the impact on climate and the environment will take a more central role within the new NDP. It will be important to ensure that the NDP is consistent with recent and upcoming commitments from the Irish Government to become carbon neutral by 2050 and to meet the more immediate climate targets by 2030.