IDA Ireland submission to Department of Transport on
Strategy Statement 2008 – 2010
IDA Ireland’s role is the promotion of Foreign Direct Investment (FDI) into Ireland through
the development of the existing client base and the attraction of new clients to Ireland. FDI
has played, and continues to play, a critical role in the development of the Irish Economy.
Currently the FDI sector accounts for 135,500 jobs, ?2.8bn in Corporate Tax receipts, and they spend ?14.9bn in direct expenditure in the Economy of which ?5.7bn is on Payroll,
?3.4bn is on Irish Materials and ?5.76bn is on Irish Services. Over 50% of jobs in new IDA
supported investments in 2006 have wage & salary levels in excess of ?40,000 per annum.
In addition to these direct effects, FDI has multiplier effects throughout the economy, creating
demand for high skills, advancing management and business processes and guiding beneficial
national developments in education, science, telecommunications and other infrastructure.
Over the last 10-15 years Ireland has undergone a transformation from a low wage/low cost
economy, towards a high value and knowledge-based one. Arising from this transformation,
the nature of FDI has changed and Ireland is now competing for premium mobile investments
against the most advanced countries in the world.
It is against this ever changing and more competitive environment that IDA secures high
value, knowledge driven investments that support the development of the Irish Economy. A
key element in Ireland’s ability to secure such investments is its transport infrastructure. The
provision of this infrastructure is critical in demonstrating Ireland’s ability to move people
and goods in an efficient and effective manner that is supportive of FDI needs.
Key Strategic Transport related priorities
As has been stated above a critical component in the attraction and retention of FDI is the
provision of a world class, integrated, efficient and international best practice transport
Ireland, to continue to be successful, has to match the transport infrastructure and services
(road, rail air and sea) available in the most advanced economies in the world. Much progress
has been made over the period of the last NDP 2000-2006 to address Irelands transport related
weaknesses, particularly the inter urban road infrastructure.
While the investments proposed in Transport 21 and the 2007-2013 NDP will advance
Ireland’s transport infrastructure a number of elements will have a significant impact on FDI.
Key principles in the provision of transport infrastructure are outlined below with specific
transport priorities detail in Appendix 1.
a) Adherence to the National Spatial Strategy(NSS)
The NSS should be seen as the overarching guiding structure which should play a key role in
shaping and focusing transport policy. Focusing investment in transport infrastructure along
the lines of the NSS supports the prioritisation on transport projects which promote the
development of gateway and hub locations. This is important not only to maintain a high degree of coherence and economic efficiency, but also because the FDI Ireland now competes for increasingly favours locations in or near centres of urban scale, with access to concentrations of infrastructure, skills and services. Balanced Regional Development is a cornerstone of IDA policy. Adherence to the NSS is the key to advancing this policy and maximising Ireland’s potential in a regional context.
b) Speed of Delivery
Around the globe Governments are investing in infrastructure as a mechanism to facilitate economic development and provide an attractive environment for FDI. While Ireland’s infrastructure offering is being significantly advanced through Transport 21 and the NDP 2007-2013, competing countries are similarly investing in their infrastructure. Speed of delivery of the infrastructure proposed under the two programmes outlined above is critical for Ireland to continue to maintain its competitive advantages in the increasingly competitive and complex FDI market. In particular the priorities outlined in Appendix 1 have a major relevance for IDA and its client base.
c) Cater for Future Growth in Demand
Ireland’s fast developing and dynamic economy, and growing population is manifesting itself in increasing pressure on the transport system. The provision of large pieces of infrastructure can take a number of years from conception to final completion and commencement of use. Thus it is essential that the provision of new transport infrastructure should take account of growth patterns and future projected demand post anticipated project completion date. In this way new pieces of infrastructure should include spare capacity to meet growth projections for a number of years following completion.
d) Infrastructure alignment
A key element in the delivery of transport infrastructure is the potential to integrate it with other related services e.g. water, electricity, gas etc. In this regard consideration should be given to co-alignment in the provision vision of infrastructure. This would facilitate the provision of transport and other services in an integrated and co-ordinated framework. In addition, it could facilitate cost savings in the form of lower overall land requirement and potential construction savings particularly where projects are undertaken simultaneously. The overall benefit could include reduced total land sterilised for development and thus facilitate more integrated planning.
e) World class standards and international best practice
In developing Ireland’s transport infrastructure each project should be undertaken so that it meets world class standards and is undertaken and operated to international best practice. When investors compare Ireland with other leading advanced economies the provision of a modern world class transport infrastructure is taken as a basic requirement, it is no longer seen as a luxury. Infrastructure that does not meet these requirements in terms of world class standards and international best practice will not provide a positive impact in encouraging further high value knowledge intensive FDI into Ireland.
f) Linking Gateway and Hub Locations
Upgrading the road and rail systems between Dublin and the 5 major urban centres was a key focus of the 2000-2006 NDP, with completion of many projects due over the coming years. Going forward, the priority projects under Transport 21 and NDP 2007-2013 should be
improving transport infrastructure and services between Gateway locations and the linking of Hubs with their respective Gateways, particularly sections of road that currently cause significant slowdown in the time taken to get between these locations.
g) Public Transport in Key Urban Centres
To compete effectively for high quality FDI large cities like Dublin need a widespread, modern, efficient, and well integrated public transport system. It is essential that such a public transport system is progressed in Dublin and its surrounding commuter counties so that it can continue to be a competitive location for FDI. The integration should include, scheduling, capacity, timetables and tickets.
Public transport systems should also be further developed in other leading gateway locations notably Cork, Galway and Limerick.
In addition to the provision of public transport facilities themselves it is essential that appropriate and sufficient car parking is provided to facilitate the movement of people onto public transport.
e) Access to airports
The capability of airports to attract and sustain business orientated air services is a critical factor in the attractiveness and retention of FDI throughout the regions. Transport policy needs to focus on growing the effective “catchment” area of airports (e.g. the population who are within one hour of a specific airport). Good road and rail infrastructure is vital to ensure that the airports are within easy reach of as large a population as possible to maximise route selections offered and ensure viability of the airport. The provision of this infrastructure will support the airports in developing business friendly services with appropriate locations.
f) Projects of note
Appendix 1 provides a list of specific projects which are critical to the continued development of the knowledge economy in Ireland. While the projects are listed by region many provide a much wider national benefit. The timely delivery of these projects is strongly supported and encouraged. These projects are noted for their importance in supporting the attraction and retention of FDI and particularly the regional development agenda which is a key component of IDA’s strategy.
FDI has made a significant contribution to the development of the economy and the generation of funds to facilitate investment in infrastructure. Ireland’s ability to continue to attract FDI is significantly influenced by the availability of high quality, efficient and modern transport systems. It is imperative that investments concentrate on the provision of world class
infrastructure such that Ireland improves its relative international performance particularly relative to key FDI competitor countries.
EAST (DUBLIN + MID EAST) REGION
M3 Dublin- Navan Motorway
Progress proposed Outer Orbital Route
Kildare Rail Project (Heuston to Hazelhatch)
Re-opening of Navan rail line
Luas extensions and the delivery of the Metro project.
Comprehensive overhal of bus services, covering frequency of services, provision of bus corridors, customer information on routes and ‘real-time’ information on bus times.
Integration with rail services to provide a holistic approach to public transport.
New Terminal at Dublin Airport
Upgrade the N52 and N80 to ensure good quality inter-linkage between the three towns of the linked gateway and the surrounding region.
Examine the feasibility of re-opening the Athlone - Mullingar rail line.
Completion of the N6 Galway/Dublin motorway.
Improvements on N5 (Dublin-Castlebar)
Completion of the N18 (Ennis-Galway).
Provision of a Galway outer bypass and upgraded N17 (Sligo-Galway). Improve regional road connections, such as the N59 Belmullet-Ballina and N60 Castlebar-Roscommon.
Provide commuter services to Galway from Athenry (2009) and Tuam (2011). Progress reopening of the Western Rail Corridor.
Progress regeneration of Galway docks
Improve air services out of Knock and Galway, especially on London routes.
MID WEST REGION
Completion of continuous dual carriage/motorway from Dublin to Limerick Completion of the new N18 crossing of the Shannon
Upgrading of N21/22/23 Limerick to Tralee
Upgrading of the N69 to Listowel, particularly to Foynes and Askeaton
Upgrading of the N18 route from Limerick to Galway to dual carriageway standard Completion of the southern ring road of Limerick and the construction of a northern bypass Improve public transport links between Limerick, Shannon and Shannon Airport
Improved business services at Shannon with a particular emphasis on connectivity to key
international air transport Hubs
Improved frequency of flights between Dublin and Shannon
NORTH EAST REGION
M3 - The delivery of the M3 motorway
N2 completion of the Ardee and Slane By Pass upgrading of the N52 between Ardee and Kells Improved links between Dundalk and Sligo Rail
Improve frequency on the Dublin-Belfast route
Assist Belfast International Airport to expand its range of routes
NORTH WEST REGION
N2 – Upgrade Dublin-Derry road
N4 - Completion of the Dromond-Rooskey and Castlebaldwin – Collooney upgrades/bypasses.
A6 Support improved access Derry to Belfast N15 – Upgrade the entire Sligo to Letterkenny route N17 - Significant upgrade from Collooney to Knock Airport N14 – Upgrade the N14 Lifford to Letterkenny route N16/A4 - Upgrade of the A4 route from Sligo to Belfast. N2/A5 – Upgrade of the route from Derry to Dublin.
Increase speed and frequency of services to Sligo,
Improved business services at Ireland West Knock, Belfast International and City, and
SOUTH EAST REGION Road
Completion of the Waterford-Dublin motorway/dual carriageway. Completion of the bridge crossing and the Waterford city bypass. Completion of the N11 upgrade to Wexford
Improved access to Waterford Regional Airport
Upgrade of N25 Waterford to Wexford and Rosslare Port route.
Time of travel on Waterford to Dublin line to be reduced to two hours.
Expand business friendly services at Waterford Regional Airport
SOUTH WEST REGION Roads
Completion of the Dublin/Cork motorway
Completion of the N28 to Ringaskiddy
Upgrading of N22 (Macroom and Ballyvourney bypass) Cork to Killarney Upgrading of N21 (to include Castleisland bypass) Tralee to Limerick Completion of the Cork Southern Ring Road (N25)
Progress implementation of CASP.
Improve/extend direct rail services on Dublin to Tralee/Killarney routes Improve customer facilities at Mallow Rail station
Continue developments at the Ringaskiddy deep water port facilities. Improve
road access to the port (N28).
Continue to expand services out of Cork International Airport and Kerry Regional