Supplementary Budget 2009
Ministers Dempsey and Ahern announce €3.1 billion for Transport
- Almost €1 billion on improved Public Transport
- Almost €2 billion on National, Regional and Local Roads, including €37 million on Road Safety
- €48 million for the Maritime sector including the activities of the Coast Guard
- €30m for the Aviation Sector and development of Regional Airports
The Minister for Transport today (7th April) announced that the revised Estimate for his Department would total €3.1 billion following the Supplementary Budget:
- €2.4 billion for capital investment
- €705 million for current expenditure.
The Government decided on reductions of €315 million on the earlier Estimate for the Department of Transport in the Supplementary Budget:
- €15 million saving on current expenditure
- €300 million saving on capital expenditure.
The €15 million reduction in current expenditure will be in the following areas:
- A reduction of €5 million on national road maintenance, bringing the revised provision to €44 million
- A reduction of €10 million in public transport service payments to CIE, the revised provision being €303 million.
The €300 million reduction in capital expenditure will be in the following areas:
- There will be a €150 million reduction in the capital provision for regional and local roads so that the overall expenditure allocation for regional and local roads will now be €448m (€332m capital and €126m current).
Revised grant allocations will be issued to local authorities in the coming days. This budget adjustment will result in an unavoidable reduction in the overall level of road improvement and renewal work in 2009. However, this comes on the back of more than a decade of increased Exchequer expenditure on regional and local roads which has addressed investment backlogs and made major strides in improving this extensive network. Between 1997 and 2009 the Government has provided in excess of €5.5 billion in Exchequer funding for regional and local roads. The revised Exchequer provision for 2009 is still more than twice the provision in 1997. Emphasis will now be placed on continued road repair and maintenance this year to ensure these gains are held. These reductions should also be seen in the context of tender price reductions of between 10%-20% in recent times.
- The capital provision for public transport will be reduced by €150 million to €630 million.
The reduced capital allocation for public transport will result in some delay in the implementation of a number of projects that are still in the planning stages. Planning and design work on these projects will continue but the timing of procurement and implementation will remain dependent on the availability of funding in future years.
There will also be modest reductions in the allocations for the railway safety, traffic management and accessibility programmes.
The capital allocation for national roads is unaffected. This is because all but €50 million of the €1.44 billion is already contractually committed.
Speaking today Minister Dempsey said: “This Budget has been an enormous challenge for the Government and has been difficult for the public. However, this Government’s commitment to radically improve the transport system in Ireland remains unchanged. This is reflected in the substantial provision of €3.1 billion which is being retained in such difficult circumstances.
Of the €2.4 billion to be spent on capital projects, just over €2 billion is for Transport 21 projects. The delivery of Transport 21 projects is still a priority. However, in the changed economic circumstances top priority will be given to investments which create and sustain jobs.”
Speaking today Minister of State at the Department of Transport, Mr Noel Ahern, TD said: “The good news about road safety is that what we are doing is working. Road deaths in Ireland have dropped by 30 per cent in the period from 1997 to 2007. 2008 saw the lowest number of fatalities on record, down to 279, and the downward trend continues this year, with a further reduction at end March of 20 on the same period last year.”
The revised allocation of over €3 billion for 2009 will enable major progress to be made notwithstanding the economic downturn:
Public Transport - €972 million
This will enable progress on a wide range of projects, including:
- Completion of construction on the Luas extension from Connolly Station to Docklands,
- Opening of Phase 1 of the Western Rail Corridor from Ennis to Athenry,
- Re-opening of the Cork-Midleton rail line leading to a major extension of commuter rail services in Cork,
- Completion of construction on the Kildare Rail project providing four tracks and allowing for the trebling of passenger capacity,
- Continuation of work on the Luas extensions to Cherrywood and Citywest,
- Construction of Phase 1 of the Navan rail line,
- The Dublin City Centre Resignalling project,
- Planning works on Metro North
- Planning works for the DART Interconnector,
- Continuing investment in bus priority in Dublin and the regional cities.
Funding will be continued in 2009 for:
- Public transport services
- The Rural Transport Programme (providing some 20,000 passenger journeys in rural areas each week)
- The Green Schools Programme (targeting by 2012 260,000 school children by providing walking/cycling/public transport alternatives to get to school).
Roads - €1.99 billion
Adequate funding is being provided to ensure the completion on schedule of the road links between Dublin and the main regional cities of Cork, Galway, Limerick and Waterford. These major interurban routes are on time and on budget for completion by end 2010.
The NRA expects that eight major projects, totalling 156 km of dual carriageway road, will open to traffic this year. These are:
- N4 Leixlip to M50 Junction,
- N6 Athlone to Ballinasloe,
- M7 Nenagh to Limerick,
- M8 Mitchelstown to Fermoy,
- N9 Waterford to Knocktopher,
- M9 Kilcullen to Carlow,
- N25 Waterford City Bypass,
- N51 Navan Inner Relief Road.
Work will continue on a range of other important projects, totalling 322 km of road, including:
- M3 Clonee to North of Kells,
- N6 Galway to Ballinasloe,
- N7 the Limerick tunnel,
- M7 Castletown to Nenagh,
- M7/M8 Portlaoise to Castletown/Cullahill,
- N9 Carlow to Knocktopher,
- N18 Gort to Crusheen,
- N21 Castleisland Bypass,
- M50 Upgrade Phase 2,
- N52 Tullamore Bypass.
€448 million is being made available to local authorities throughout the country for the improvement and maintenance of regional and local roads.
Road Safety - €37 million
This funding will be aimed at maintaining the downward trend in road deaths. Deaths on Irish roads have dropped by 30 per cent in the period from 1997 to 2007. Road safety continues to be an important priority for Government and the Road Safety Strategy 2007-2012 provides our road map. It is being successfully implemented with the involvement of a number of Departments, An Garda Síochána and other agencies. The downward trend has been achieved despite the fact there has been a large increase in the number of drivers and vehicles on our roads.
Road deaths in Ireland have dropped by 30 per cent in the period from 1997 to 2007. 2008 saw the lowest number of fatalities on record, down to 279, and the downward trend continues this year, with a further reduction at end March of 20 on the same period last year.
Maritime Transport and Safety - €48 million
This allocation will allow us to improve and modernise the Irish Coast Guard and maritime safety to meet the needs of a 21st century maritime nation.
Regional Airports/Aviation Sector - € 30 million
The Department has made provisions to meet contractual commitments on the various regional airport projects and our share of the cost of the City of Derry Airport development. Funding is also being provided to support the provision of essential air services to and from our regional airports and to provide revenue support for the airports themselves.
ENDS
Further information:
Press Office: Department of Transport (01) 604 1090 / (01) 604 1091.