Oireachtas Joint and Select Committees
Wednesday, 21 January 2015
Joint Oireachtas Committee on Finance, Public Expenditure and Reform
Operations and Functions: Office of Government Procurement
2:30 pm
Mr. Paul Quinn:
I thank the Deputy for the questions. The first item might be better handled in a tabular format through a separate written response. We believe we can make more progress quickly with regard to main goods and services. Capital is included in the office's remit from a policy perspective and Mr. Campbell's policy team deals with procurement policy across both goods and services and capital works. Operationally, capital works are typically large bespoke projects, where the procurement bit is a small aspect of the overall tendering process. At this time, from a taxpayer perspective we would be best to focus on working on goods and services, which is a major part of the transactional activity - and repeat transactional activity - taking place within the State. I would not rule it out at a later stage but where we are in our development, I do not think it will happen.
If the committee has the PwC report that was circulated, I will give some very useful information relating to the open nature of Irish public procurement. A document from the EU was its genesis and it was drafted by PwC and other parties. It is the first time it has contrasted not only works awarded by the Irish State to businesses outside the State but it also brings into play contracts awarded to Irish companies by other jurisdictions. Pages 66 and 67 of the report give the relevant figures. In summary, between 2009 and 2011, for above-threshold procurements or large procurements that must go into the EU Journal, 14.3% of the expenditure by value went outside the Irish State. In contrast, 17.2% of the value of goods and services that the Irish State has as above threshold came into the economy. Being open is not a one-way street and Irish businesses are winning more in Europe than is flowing the other way.
No comments