Curbing coastal erosion will cost about £120 million but just £5 million is available over five years to deal with the problem, the House was told.

The Minister for the Marine and Natural Resources said the local authorities around the State had talked of £120 million to deal with the problem and "urgent works of £30 million to £35 million. That gives an idea of just how serious and urgent the whole thing is."

"It is a very big problem," Dr Woods said. "Back in 1992/93 we had only £100,000 or £200,000 provided. Now at least there is a million in the last couple of years."

All the £1 million funding for this year will be spent on extracting 250,000 tonnes of gravel from the Codling Bank off the east coast to use for coastal protection at Bray, Co Wicklow.

Priority for next year's funds will be given to the crisis problem at Quilty, Co Clare, which was an "extremely urgent issue". The capital cost for the project would be about £850,000.

Dr Woods said the Quilty to Kilkee road is "about to start vanishing into the sea. And some of the houses that happen to be just about between the road and the sea are in great danger."

The Minister said "erosion is a major problem and one that is not going to get any easier in future. It is going to be an increasing problem in future."

Mr Michael Finucane (FG, Limerick West) raised the concerns of fishermen that removing gravel from the Codling Bank would have a major impact on fish stocks because of siltation of shellfish grounds and removal of the spawning beds.

Dr Woods said, however, that the Codling Bank was 200 sq km and the affected area was 1/800th of that. Consultants said the adverse effects on fisheries would be minimal and "every possible step that can be taken to preserve the fishing grounds will be taken". A liaison group had been set up to deal with fishermen's concerns, particularly when the dredging starts.

When the Minister told Mr Dinny McGinley (FG, Donegal South-West) that there was about £1 million a year available over five years for coastal erosion, Mr Finucane said: "Ireland could be described as a shrinking island with only £5 million of a budget over five years."

Dr Woods replied that Ireland shrinking was one way of looking at things. "Ireland is also sinking. I don't want to upset anybody, but it is - at a very slow rate. That is the scientific position: that Ireland is sinking in certain areas particularly and especially in the southern half."