Dáil Éireann Debate, Thursday - 16 April 2026
80. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation whether he is considering proposals for a State construction company in his plans to ensure that public infrastructure projects are completed within agreed timelines and budgets without overruns; and if he will make a statement on the matter. [27662/26]
View answerThe State directly employs construction craftspersons across a range of sectors – typically in the repair and maintenance areas, conservation works and on certain flood prevention works.
The buildings and infrastructure that the State develops span a wide range of sectors resulting in a requirement for a significant range of skills and expertise. The volume of work is rarely in a steady state in each sector or within a region so it requires a response that can flex to meet the variation in demand.
The scale and variety of projects is also a key consideration and a number of the critical infrastructure projects which require very niche expertise is only available from the wider, global construction market.
In 2026, examining the ambitious objectives of the National Development Plan, the ESRI identified substantial potential challenges to its delivery. The economy currently faces considerable capacity constraints, particularly in the construction sector. With the economy currently operating at or close to full employment, the scope for significantly expanding the labour force domestically - in particular in the construction sector - is likely to be limited.
In light of the ESRI review, the question of establishing a State construction company would need careful consideration, notwithstanding the length of time it would take to establish such an entity in terms of legislation. It would also take time to build capacity and would have to compete with private sector companies in an already constrained employment market whilst being funded by the taxpayer. Even then it would have to engage specialists to undertake certain elements of work.
Given these constraints it is vital that we look at how we are delivering projects to ensure we are utilising the most efficient means at our disposal. The Accelerating Infrastructure Report and Action Plan sets out a range of actions aimed at improving productivity through a greater focus on project planning and management. These include the adoption of Lean principles to digital delivery tools as well as streamlining regulatory processes to create greater certainty with respect to project pipelines.
All state projects, regardless of whether they are delivered by internal resources or through the engagement of contractors, have defined time periods to completion and approved budgets. It is a matter for the contracting authority concerned to ensure that there is proper oversight on projects to see that they are delivered on time and within the approved budget.
Guidance on best practice delivery approaches is published under the Capital Works Management Framework and appropriate project governance is set out in the Infrastructure Guidelines both of which are maintained by my Department.
