€6 million has been ring fenced for the River Mall Flood Relief scheme.
The news was announced by Minister Brian Hayes during a visit to Templemore this week.
Locals have also welcomed the news, which will hopefully remedy problems with the Blackcastle road, which is impassable during times of heavy rain.
The works, which will begin by summer, have also been welcomed by Local Fine Gael Deputy Noel Coonan.
