Transport projects to be shelved or delayed

A number of key transport initiatives will be shelved or delayed after the Department of Transport was awarded an increase of a only two per cent in its funding for next year.

With the rise in public transport spending amounting to just €2.9 million, or an increase of one third of a percentage point on last year, a number of promised public transport initiatives will be badly affected, the Minister for Transport, Mr Brennan conceded.

The LUAS light rail project for Dublin will be delayed by at least three months until early 2004, there will be no building work done on the Dublin Metro system and the rail link between the city centre and Dublin Airport is being put on the back burner until 2004 at the earliest.

The total budget available to the Department next year will be €1.818 billion, with €1 billion to be spent on roads and €668 on public transport. A number of infrastructural projects detailed in the National Development Plan may now be delayed by several years.

Mr Brennan said that although there was "no Government Department throwing its hands up with glee" at today's Book of Estimates, he was satisfied that his department "will be able to maintain the current level of projects". This is despite the fact that the increase in his department's budget is significantly below the current inflation rate of 4.8 per cent.

Mr Brennan said inflation in the construction industry, which has been running at up to 20 per cent in recent years, was expected to halve, meaning capital costs would be lower in real terms next year.

There are 30 road projects ongoing, the minister said, including the Dublin Port Tunnel, the Drogheda bypass and the M50. The only new road project he foresaw for 2003 was the Kilcock-Kilbeggan bypass.

The Department's outrun for 2002 turned out to be €90 million over the published estimate.The newly introduced penalty points system will be allocated €5 million.

The Fine Gael spokesperson on Transport, Mr Denis Naughten TD, said the Estimates "herald an escalation of the transport chaos".

"At a time when we should prioritise infrastructural investment to address thecurrent Third World standard and ensure that the structures are in place for usto capitalise when world markets pick up, we have a Minister who is downscalingthe NDP, leading to delays in road projects of at least three years," he said.