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 Rose Conway WalshRose Conway Walsh (Sinn Fein) | Oireachtas source

I find it quite alarming because it says to me that there has been negligence here. The EU directive outlines exactly how the contracting authority may be required by a member state to ask the tenderer to indicate in its tender any share of the contract it may intend to subcontract to third parties and any proposed subcontractors. That would give the chain of responsibility and would allow for the measures to be put in to protect the food chain. It would not end up with those at the end of the food chain having to pay the whole price. The directive continues by stating member states shall provide that at the request of the subcontractor and where the nature of the contract so allows, the contracting authority shall transfer due payments directly to the subcontractor for services, supplies or works provided to the economic operator to whom the public contract has been awarded, that is, the main contractor. All the answers were there within this about how the protections could be put in place. Can a Carillion-type situation happen again tomorrow morning? What has been put in place by the State to stop it happening? Is there anything to stop it happening?

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