Framework for Action on - Department of Taoiseach

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DEPARTMENT OF THE TAOISEACH FRAMEWORK FOR ACTION ON INFRASTRUCTURAL DEVELOPMENT AND PPPS Section 3: Measures to address bottlenecks and constraints including capacity, skills and institutional issues 17. The Team recognise that the capacity of the construction and ancillary sectors to fulfill the increased demand <strong>for</strong> infrastructural development will be critical to the achievement of the National Development Plan. The indigenous sector may not have, or be able to provide, adequate capacity to deliver the accelerated infrastructure programme proposed in the plan. There are also growing signs that capacity constraints may be leading to above average price inflation in the construction area. Clearly if this trend is to continue there would be adverse effects <strong>for</strong> the quantum of infrastructure delivered by the National Development Plan allocations. The Minister <strong>for</strong> the Environment and Local Government has asked the Forum <strong>for</strong> the Construction Industry to consider as a matter of urgency how capacity in the industry can be increased in order to ensure that this does not happen. 18. The Team recommends that particular emphasis should be placed in this review on the availability of skilled professional and technical personnel necessary to undertake the vastly increased planning and project management workload to implement an increased and accelerated infrastructural development programme. 19. To complement this initiative, the Team recommends that the following programme to address these difficulties be put into operation immediately: • Public Private Partnerships to be used: - to help increase capacity, particularly to supplement national capacity with that from abroad, - to develop appropriate skills in Ireland both in the public and private sectors and - to obtain the benefits that such partnerships can bring not only in Design and Build but also in relation to the Operational part of projects over their lifetime. • augment the overall capacity of the construction industry, including through increasing the size of projects to stimulate the interest of <strong>for</strong>eign contractors • flexible and innovative personnel recruitment measures be used where necessary to augment the capacity of the implementing agencies. Public Private Partnerships 20. PPP can play a significant role in enhancing capacity to deliver key projects, by harnessing private sector technical, financial and management skills as well as providing additional financial resources. Effective use of PPP requires implementation agencies to adopt an innovative approach to the management of programmes as well as projects, such as identifying suitable classes of projects at an early stage and shifting their focus towards project outcomes and outputs. It is essential to take early decisions on approaches to PPP in the context of the accelerated programme. The pilot roads projects which are based on full or partial toll financing, are: (date planned to seek tenders) • Water<strong>for</strong>d By-pass, including a new bridge on the Suir, on the N25 (late 2000) • Second West Link Bridge on the M50 (early 2000) • New Western River Crossing in Limerick on the N7 (mid 2001) It is also intended to actively explore the potential <strong>for</strong> a PPP to develop the Kilcock-Kinnegad section of the N4 (mid 2001) - 6 -
DEPARTMENT OF THE TAOISEACH FRAMEWORK FOR ACTION ON INFRASTRUCTURAL DEVELOPMENT AND PPPS In addition, it is proposed to adopt a PPP approach to elements of the LUAS project. However, the Government will need to consider the appropriate approach to be adopted. Subject to the avoidance of undue delays, the transfer of planning risk should be considered <strong>for</strong> one of these pilot projects. 21. It is important now to set targets <strong>for</strong> implementation and in particular the means by which the estimated £1bn PPP element of the NDP national roads expenditure is to be achieved. For example the use of mechanisms other than hard tolls need to be developed. The role of PPP in helping acquire project management expertise also needs to be progressed urgently. Section 4: Legal Issues Planning issues 22. As an indication of the importance that the Government accords to this issue the Team recommends that the Planning Bill should be given the highest priority in the legislative programme and be enacted be<strong>for</strong>e Easter 2000. The Bill contains a number of fundamental re<strong>for</strong>ms in relation to the provision of public infrastructure. Chief among these is the transfer to An Bord Pleanala of the functions of the Minister <strong>for</strong> the Environment and Local Government in relation to the confirmation of Motorway Schemes/Compulsory Purchase Orders (CPOs) made by local authorities and the certification/approval of environmental impact statements in regard to major local authority developments e.g. motorways and water treatment plants. 23. However, the Planning Bill amendments will address only improvements in the approval procedure <strong>for</strong> DOELG infrastructure projects. Other legislation and administrative procedures which can apply to infrastructural developments including rail, conservation, marine licensing etc needs to be reviewed as a matter of urgency by the relevant Departments. The aim should be to eliminate unnecessary delays in the approval process. The Infrastructure Support Unit of the Department of Finance and the Regulatory Re<strong>for</strong>m Unit of the Department of the Taoiseach will give this package of re<strong>for</strong>m the highest priority. Process of Judicial Review 24. The Planning Bill contains a provision whereby those seeking Judicial Review will have to demonstrate a "substantial interest" in order to be successful in their application. In its decision on the Planning Bill (S180/20/10/0193) of 21 July 1999 the Government authorised the Minister <strong>for</strong> Justice to take steps to ensure that judicial review of planning and infrastructural cases are dealt with speedily by the High Court, if necessary by setting up a special division of the Court. The Team will examine the judicial review process (a) to ascertain whether Court Rules and procedures are unnecessarily delaying the resolution of legal challenges to infrastructural projects and (b) to ascertain whether the judicial review procedure is the most expeditious process <strong>for</strong> determining legal challenges to infrastructural projects. The team will also study the feasibility of having larger segments of infrastructure approved in one procedure and methods of improving the approval procedures <strong>for</strong> projects so as to minimise the likelihood of judicial review proceedings being sought. 25. The Team will also consider whether amendments to the Constitution are necessitated to protect the community interest in ensuring that infrastructual projects are completed speedily without unnecessary legal and other obstacles while preserving the rights of individuals under EC Law and under the European Convention of Human Rights. - 7 -
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Framework for Action on - Department of Taoiseach

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