Parliamentary Question to the Minister for Public Expenditure and Reform

To ask the Minister for Public Expenditure and Reform the number of jobs that have been created to date as a result of the EU €2 billion stimulus package; the number that will be put in place by end 2013; and if he will make a statement on the matter.

Reply from Minister Brendan Howlin T.D

On the 17th of July 2012, the Government announced its plans for an additional 2.25 billion euro investment in public infrastructure projects in Ireland. The most important contribution capital investment can now make is in providing the capacity for the economy to grow, which will in turn create employment.

The stimulus package included 1.4 billion euro to fund the proposed new Public Private Partnerships (PPP) programme. This investment is directed towards projects that meet key infrastructural needs and are in line with the priorities in the Government’s Investment Framework. These projects will form the first phase of a new programme of PPP’s designed to stimulate economic growth and create employment. As the Phase 1 projects are progressed and as funding permits, projects that could be delivered as part of further phases will be considered.

Job creation is a critical priority for Government. Investment in the projects included in the Stimulus package is expected to generate significant numbers of jobs spread out across the country. Analysis of each sector indicates that the investment may generate around 13,000 direct jobs and many more indirect jobs. It will also create much needed social and economic infrastructure and aid economic recovery.

The National Development Finance Agency (NDFA) are working closely with Departments to progress projects and to accelerate delivery of this much needed activity. The preparatory work for the projects is well underway in the various Departments and Agencies. At this early stage in the process most of the employment impact to date has been in the technical and advisory areas. Further employment benefits will be evident as the projects progress through the tendering phase and the construction gets underway.

The indicative timetable for the projects shows that the most advanced ones will be proceeding to tender from quarter 2 of this year and construction is expected to commence by end of 2014.

My Department together with the NDFA and the Sponsoring Authorities are also looking at how to maximise job creation as part of each tender competition that is in line with procurement regulations. With the NDFA, we are also examining ways to encourage SME participation by facilitating access to the programme and the NDFA is working with Enterprise Ireland to organise awareness raising events for SMEs.