As part of a package of reforms to boost NDP delivery announced in 2023, the Minister is committed to keeping the government informed on NDP delivery throughout 2023 and 2024. This week the Minister presented the sixth Memorandum in this series to Government, updating on NDP delivery and progress on capital expenditure for the third quarter of 2024, including:
• the Memorandum sets out the capital expenditure position at end-September 2024, in line with the agreed Government procedures for keeping expenditure under review. The end-September figures show the strong performance in capital expenditure this year, increasing almost 40% compared to the same time period last year. Expenditure of €8 billion to end September has delivered increased investment in our schools, housing, and transport infrastructure
• the figures also show that capital spending is €400 million or 4.6% ahead of profile at end-September
• as Chair of the Project Ireland 2040 Delivery Board, the Minister's primary focus is on measures that can assist in addressing barriers to the delivery of the priorities outlined in the NDP. The September meeting centred on a presentation from the IDA which noted that public investment in infrastructure is one of the key enabling conditions for FDI, resulting in lower costs and improved competitiveness
Speaking today, Minister Donohoe said: "I was happy to inform Government this week of the progress we have made in the third quarter of this year in ensuring continued delivery of the NDP. Work on the six priority actions to boost NDP delivery continues to support the delivery of vital infrastructure needed for our future economic and social progress.
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"Reflecting on some of the key progress made this year, I would highlight in particular the publication of the Infrastructure Guidelines in January that have reduced the administrative burden on departments charged with infrastructure delivery while ensuring the value for money guidelines for the evaluation, planning and management of public investment projects is now working well.
"A series of actions have also been taken to improve confidence in NDP delivery including in the areas of digital and innovation, construction inflation and Modern Methods of Construction.
"At the September meeting of the Project Ireland 2040 Delivery Board IDA Ireland made a presentation on Ireland's FDI performance to-date and on the outlook for future FDI into the country. Ireland continues to be an attractive place to do business in and enhanced competitiveness is key to our future success. Continued and sustainable investment in public infrastructure is key to realising this success.
"The government is also committed to communicating clearly and transparently the significant progress being made under the NDP. On September 17th I was pleased to announce the publication of the Project Ireland 2040 Annual and Regional Reports for 2023 during my visit to the newly developed Naas Library and Cultural Centre. These reports give clear insight on the progress that is being made in the delivery of major capital projects throughout the country.
"In Budget 2025 recently, I was pleased to announce that capital funding will be almost €15 billion next year. This record level of investment will build on the significant progress already made in delivering the NDP and will mean more schools, public transport more schools, housing, transport and healthcare projects which will transform the lives of all our citizens.
"Infrastructure is a fundamental component of Ireland's competitiveness. The government has agreed in principle that the funding arising from the recent decision of the Court of Justice of the European Union should be invested to expand our infrastructure - water, electricity, transport, and housing have been identified as four strategic investment pillars. Investing in these areas will support the needs of our people, assist in growing our economy, and help in meeting our climate and nature goals. This once-off resource will further complement the investment planned under the National Development Plan.
"In addition, the recent disposal of part of the State's shareholding in AIB provides an opportunity to allocate additional funding of €3 billion towards capital spending over the coming years. This will help build on progress already made, eliminating key infrastructural bottlenecks more rapidly, and lead to further improvements in living standards and competitiveness."
