Oireachtas Joint and Select Committees

Thursday, 26 July 2018

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach

Public Private Partnerships - Liquidation of the Carillion Group: National Development Finance Agency and the Department of Public Expenditure and Reform

11:00 am

Photo of Pearse DohertyPearse Doherty (Donegal, Sinn Fein) | Oireachtas source

Does Mr. Cahillane see the conflict of interest there? That is ridiculous. It is bonkers. The problem here is that it is in the interests of PPP Co to do what it is planning to do. I understand that the priority is getting these schools opened in September and that the NDFA is dealing with a major mess, but it also has a responsibility in relation to the quality, the assurances and the subcontractors. There will be children going into these schools knowing that the people who built the schools did not get paid and their companies have been put to the wall. It is not appropriate that, in an area where we try to foster values in our children, that is the starting point.

I appeal to the NDFA to take a different approach and to look at the way in which it can enforce that. There is a lot of vagueness in terms of the responsibility being on the independent assessor and PPP Co to get certification, and if they cannot do that, they are in deep trouble. The NDFA is putting the responsibility onto the building control. The building control is saying that it is taking its advice from the Department. There is a triangle here in terms of all the parties trying to resolve this issue. It is resolving the issue in getting the schools opened and getting them completed, but it completely and utterly shafts the subcontractors. The NDFA needs to go back to the drawing board and take on board the views of the subcontractors. I can understand why the NDFA came to that approach. There are many other bundles, including the one in Portlaoise, and that is what happens: the subcontractors get shafted. This is different, however, because the NDFA holds an ace, a trump card, in this case.

I want to ask a further question which picks up on what my colleague, Senator Conway-Walsh, was querying about the cost of bundle 3. She mentioned that the expenditure on the unitary charge, which is the ongoing maintenance charge for bundle 3, was €411 million over 25 years. Mr. Cahillane disputed those figures.

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