At least £1.85 billion has been earmarked for public-private partnerships - infra structural projects to be built by the private sector on behalf of the State. According to the plan, this figure represents a minimum target for such partnerships and will cover roads, public transport, waste management and water services.
The inclusion of such a significant amount for the partnerships was welcomed last night by IBEC, which has argued the case for this method of funding for some time. IBEC said the focus now should be on ensuring the projects were implemented swiftly and well. In the plan, the Government says the benefits of private-sector involvement in all stages of public capital projects are widely acknowledged in many European countries.
"This approach can not only increase the level of funding available for investment, but can also generate benefits for the public sector by allocating risks to those best able to handle them, and by generating greater efficiency," the document argues.
Under the plan, some £1 billion will be allocated to roadbuilding projects, or 23 per cent of the total; with a further £449 million on regional waste management, 69 per cent of total; £300 million on the Luas and "long-term" suburban rail, 60 per cent of total; and £100 million on water supply, 9 per cent of total.
IBEC executive Mr Arthur Forbes, who has worked on the issue of public-private partnerships for two years, said last night he believed the consensual approach adopted by the Department of Finance on the question had served the Government well.
"I think we've got past the stage where people see this as a wholesale privatisation of State assets," he said. But he admitted the projects are likely to lead to further tolls being imposed on Irish motorists as private companies run roads, bridges and tunnels on behalf of the State.
In some other countries, he added, such projects included an alternative called "shadow-tolling", where the private company recouped its investment by charging the Government, rather than the motorist, a certain amount per journey. The Government had so far voiced no enthusiasm for this, Mr Forbes said.