Fine Gael unveils €11bn stimulus proposal

Fine Gael today published details of its €11 billion stimulus plan that it says will kickstart the Irish economy and create 100…

Fine Gael today published details of its €11 billion stimulus plan that it says will kickstart the Irish economy and create 100,000 jobs over the next four years.

Under the plan, unveiled by party leader Enda Kenny today, a new industrial development holding company, NewERA (New Economy and Recovery Authority) would be established.

This company would be responsible for overseeing developments in green energy power generation, telecoms and broadband roll-out and an upgrading of Ireland's water distribution and treatment networks.

It  would employ "no more than 100 people who are highly qualified", Mr Kenny said.

Mr Kenny said the plan, entitled  Rebuilding Ireland,would turn Ireland into the "most competitive and sustainable economy" in Europe.

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“This plan today sets out a roadmap that will get 100,000 people back to work in the next four years, but in the process, will position our economy as a world leader in green energy, make us energy self sufficient and a net energy exporter by 2020 and turn us in to a genuine hi-tech base for Irish and overseas investors," Mr Kenny added.

Under the plan, NewERA would establish a range of new State companies focusing on improving the electricity grid, broadband network and national drinking water supply. It would also invest heavily in renewable resources, bio-energy production and improving energy standards in tens of thousands of homes.

It would be funded from a number of sources, including the draw down of National Pension Reserve Fund monies, additional forms of borrowing by NewERA and the sale of existing State assets that no longer serve the strategic goals of the NewERA initiative.

"These sales will only take place when market conditions are favourable and will have to be approved by Government and the Oireachtas," Mr Kenny said. "The funds raised by these asset sell offs can then be used to replenish the NPRF and will, in effect, result in the swapping of old state assets for new state assets in the form of new green energy and broadband infrastructure."