Critical infrastructure constraints limiting economic growth potential in Dundalk

The CEO of Dundalk Chamber, John McGahon, has told the Oireachtas Committee on the Good Friday Agreement that Dundalk is uniquely positioned to act as a major driver of economic growth on the island of Ireland, but warned that critical infrastructure constraints like wastewater capacity are now limiting that potential.

Appearing before the Committee on the issue of cross border trade and business, Mr. McGahon outlined Dundalk’s strategic importance as one of Ireland’s most significant urban centres on the Dublin–Belfast economic corridor, describing the region as “the spine of economic connectivity between the two largest cities on the island.”

“Dundalk occupies a unique strategic position on this island. That has been both to its benefit and its detriment over the last 100 years. However, one constant has been its ability to attract and sustain large-scale enterprise, both indigenous and international,” he said.

Mr McGahon emphasised that Dundalk’s role extends beyond its own boundaries, highlighting the importance of cross-border collaboration, particularly the longstanding relationship between Dundalk Chamber and Newry Chamber.

“When our region is operating on a level playing field, we all succeed. That is why the M1 corridor is so critical, it is the economic engine of the island, linking ports, airports, universities, enterprise hubs, and communities.”

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However, he warned that infrastructure deficits are now acting as a brake on growth, identifying one key area requiring urgent attention.

Mr McGahon highlighted wastewater infrastructure as one of the most immediate barriers to development in Dundalk, stating that current capacity constraints are already preventing housing delivery and limiting business expansion.

“Without adequate wastewater infrastructure, we cannot build homes, support population growth, or facilitate enterprise. This is not a future issue, it is happening now and requires urgent prioritisation.

He further pointed to a growing contradiction in wastewater provision, where Uisce Éireann states there is capacity in Dundalk, yet developments are being refused by An Bord Pleanála. 

With no upgrades to critical infrastructure expected until 2033, he said this lack of alignment is actively constraining housing and enterprise delivery.