Franklin D. Roosevelt said that the story of bridge building tells the story of civilization's progress. The document discusses Ireland's construction boom and the progress made in building infrastructure like the Aviva Stadium, Samuel Beckett Bridge, and Port Tunnel. It argues that Ireland now has an opportunity to internationalize its construction industry and export its expertise, but must also continue supporting construction at home to maintain skills and drive future growth.

2. ‘There can be little doubt that, in many ways,
the story of bridge building is the story of
y g g y
civilization. By it we can readily measure an
important part of a people’s progress’
Franklin D Roosevelt.
Roosevelt
CORK 2010

3. Progress – Legacy of Construction Boom
•Much Improved Infrastructure
Aviva Stadium
Samuel Beckett Bridge &
Port T
P t Tunnel
l N8 Cashel to Mitchelstown
The Convention Centre, Dublin
CORK 2010

4. Progress – Legacy of Construction Boom
New Criminal Courts Centocor (FDA
New IT Building, WIT
of Justice, Dublin approved 21st April)
O2 Arena M50 Interchange Limerick Tunnel
CORK 2010

5. Progress – Legacy of Construction Boom
Boyne Bridge Beacon Hospital Cork School of Music
Grand Canal Theatre Ritz‐Carlton,
Ritz Carlton Powerscourt Aghada Alstom CCGT
CORK 2010

6. Progress – Legacy of Construction Boom
• World Class Construction Industry
– Project Management
– Pharma / Micro‐Electronics
– Road Building
– PPP, etc.
• Skilled Experienced Engineers
– What’s next for Ireland’s Engineers?
CORK 2010

7. What’s next for Ireland’s Engineers
– Pack your bags
– Internationalize Irish Construction
– Support Construction in Ireland
– Think Long Term
CORK 2010

8. Irish Engineers – Pack Your Bags
• Construction Industry 2011 – 20% of 2007 volume
• International Reputation. Capable, Resilient
• Tradition of Emigration
– Then – unskilled / tradesmen
– Now – High calibre experienced engineers
• As Economies Recover – World of Opportunities
• Experience / Innovation – Bring back to Ireland in the Future
• Prepare for the Future – Languages / Management Skills
CORK 2010

9. Now is the time to Internationalize Irish Construction
• International Recognition – Our time has come
• Use experience /expertise acquired during Irish boom
• Other Countries success – UK, Denmark, Spain, etc.
• International Partnerships
• Specialist Skills – Project Management, Pharma, Energy, Oil/Gas,
Health/Education,
Health/Ed cation Road B ilding etc
Building,
• Re‐Construction – Haiti?
• Leading the way – ESBI, CRH, PM, Mercury, Kentz, Sisk, etc
• Important to have strong home base (
p g (volume / g
/significance) to support
) pp
internationalization.
CORK 2010

10. Support Construction Industry in Ireland
• Construction Industry in long‐term (2013 and beyond) 10‐12% GDP
– Oversupply of Resi ‐ 7‐8% short‐term (2010‐’12)
• Vital to maintain skills and capability to support recovery
• Government must generate jobs – invest in infrastructure (Industry should
support 150,000 jobs, not 80,000)
• Exceptional value for money ‐ €1bn invested now buys what €1.5bn bought
in
i 2007 and i d d what it could cost i 2014
d indeed h t ld t in
• High calibre construction industry vital to attract FDI
• Strong home base vital to support internationalization
CORK 2010

11. How does Construction fit into Economy?
EU Average 10%‐12% GDP
Mature Well Developed Economies 6%‐7% GDP
2007 = €38bn 25% GDP
Residential – 60% ‐ €23bn
Remainder ‐ 40% ‐ €15bn
Right Si I d t
Ri ht Size Industry 2007
Residential ‐ €7.5bn €22.5 bn
Remainder ‐ €15bn 14% GDP
%
Industry excluding Resi at €15bn was OK
CORK 2010

12. How does Construction fit into Economy?
Right Size Industry 2011?
7% GDP €10bn
8% GDP €12bn
Outlook 2011?
Public Capital Programme €5.5bn – Construction €3.5bn
Non voted Capital Expenditure (Semi‐State) €1.5bn
Private/Resi €1bn
€6bn
(4% GDP)
Government cannot borrow more but MUST ACT
→ Maximize amount of PCP to Construction
→ Prioritize Projects – revise NDP
→ PPP Programme of €3bn for 2011/2012
(Off Government balance sheet)
CORK 2010

13. ‘ We shape our buildings thereafter they shape us’ Winston Churchill.
• Good Quality Infrastructure
– Quality of Life. Confidence.
– Competitiveness
– Attractiveness for Investment / Tourism
– Advanced Competitive Economy
• Room for Improvement / Investment / Stimulus
– OECD Report – Ireland 25th of 28
– Engineers Ireland – Infrastructure for an Island Population of 8 million
‘Annual Investment Equivalent of 5% GDP for next 20 years’
• Education – Health – Roads – Public Transport –
Water/Wastewater – Social Housing – Renewable / Green
Energy – Sustainability ‐ Broadband
CORK 2010

14. ‘The road to success is always under construction’
• Recessions end
• Most economies accelerate investment in infrastructure to create
jobs and stimulate economic growth
• Top class infrastructure is critical to Ireland’s future prosperity
• Construction in EU is average 10% GDP, not 25%, NOT 4%
Time For Leadership / Creativity
CORK 2010