Oireachtas Joint and Select Committees

Thursday, 28 February 2019

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach

Estimates for Public Services 2019
Vote 1 - President's Establishment (Revised)
Vote 2 - Department of An Taoiseach (Revised)
Vote 3 - Office of the Attorney General (Revised)
Vote 4 - Central Statistics Office (Revised)
Vote 5 - Office of the Director of Public Prosecutions (Revised)
Vote 6 - Office of the Chief State Solicitor (Revised)

Photo of Barry CowenBarry Cowen (Offaly, Fianna Fail) | Oireachtas source

I thank the Taoiseach for making himself available today and for his extensive presentation on the Revised Estimates associated with his Department and others under his remit. I will concentrate on a few key issues, in particular, the primary role of the Taoiseach's Department, which is to support him in his executive functions as Taoiseach, to support the Government and to oversee the implementation of the programme for Government. Allied to this are the key strategic priorities of the Department of the Taoiseach to ensure that happens. In terms of progress and efforts around relationships with Europe and the wider world and in regard to Brexit, in respect of which there is unanimity in the Dáil in support of the Government's stance and efforts to ensure the least worst outcome emerges, we applaud and support all efforts in that regard. We expect the Department's whole commitment to that effort and we support the provision of any funds required to ensure the least worst outcome.

I propose to focus on four issues. I am conscious of the Taoiseach's role in implementing the programme for Government and his efforts in that regard while at the same time maintaining a sustainable economy and planning for the future. The areas of critical importance in the public domain, in the context of the success of this Government's time in office, are health, housing, insurance and broadband. Without getting into the debacle associated with the existing and potential further overrun in the Department of Health or by the board of the national children's hospital, the Taoiseach mentioned in an interview this morning that he found the whole episode scandalous. What aspect of it specifically did he find scandalous? That being the case, what actions are under way that will arrest the overrun and eradicate anything of that nature happening again and thus ensure value for money is achieved? As has been said on many occasions, we all welcome the provision of a children's hospital and we want to ensure it is provided as quickly as possible but that does not mean we should not investigate forensically the contract provided in the first instance, how it was arrived at, whether it was porous because of the rush to get on site such that we are now being punished.

In regard to housing, in the final paragraph on page 27 of the Revised Estimates it states that a new council was appointed in May 2017 and that its work programme up to September 2019 comprises three themes, one of which is housing and land, which is to be a transport-led development in housing policy. How many times has this council met?

In the budget of October 2017 the Government set up the Land Development Agency. I welcomed that and hoped it would be afforded the right legislation, authority and remit to implement policies that could help and assist in ensuring it made a difference. Yesterday, I heard its chair, John Moran, say it had met for the second time recently. I do not know when he was appointed but it was October 2017 that this agency was being put in place in the first instance. In response to Seán O'Rourke, when he was asked how it would help and assist in regard to the housing crisis, addressing the issue of homelessness and the huge and terrible figures associated with that, Mr. Moran said it was not necessarily his remit, job or role. He was quickly reminded that it would not have been set up were there not a housing crisis. Many councils throughout the country, unfortunately, do not necessarily have the capacity or the sort of professionalism and commitment to the provision of houses that they had previously. With that in mind, this agency could have had a greater role in so far as it could have provided a vehicle for either public or private finance to engage private developers to build houses on State lands, and rent them to local authorities for 100 years, if necessary.

I am particularly conscious of credit unions and the role they can play. The credit union in my county this week had €285 million at its disposal; it has €65 million out in loans so it can adequately cater for that; and it was laying off €50 million this week and getting 0% return. It does not have the capacity under present legislation or Central Bank rules to participate in a scheme such as this, when it is more than willing to do so and more than willing to get a return on it. Any return would be far greater than 0%, and if it was only 2%, it would be 200% better than what it is getting at present. I hear the Taoiseach ask what difference exists between us and the Government in regard to policies or what recommendations we are making. That is a recommendation I made some time ago and I was given to believe we were moving in that direction, yet here we are, nearly two years later, and I do not see any progress in that area. I would like the Taoiseach to respond on that also.

In regard to broadband, I am nervous that this too could end up like the children's hospital. To date, €22 million has been spent and not an inch of fibre optic cable is in the ground yet. The Taoiseach said in response to a question in the Dáil yesterday that he is afraid the cost might be many multiples of what was initially envisaged. The national development plan provides for €275 million this year. If it is many multiples of that, when we will know how many multiples it is? Will a decision be taken to share that information with us before the contract is signed or afterwards? If it materialises to be many multiples, apart from the ability of the contract to deliver or the quality of it, what then happens with regard to the commitments in the national development plan? We have yet to get much of the detail associated with the €100 million that is to come off this year's spend in regard to capital development in the national development plan, let alone the spring statement that is to tell us what the story is for next year, given €100 million-plus is to come off it for the next four years, in light of the commitments that have been made since the launch of Project Ireland 2040. If this cost is many multiples of that, where do we stand and when will be put on notice as to what the consequences of that overspend is going to be in regard to the national development plan?

I want to raise the issue of insurance. I am talking broadly because I acknowledge the detail that is contained within the Estimate and the spend within the Department of the Taoiseach. As the Taoiseach said in his initial statement, the primary role of the Department is to support him in his functions as Taoiseach, which in turn supports the Government and oversees implementation of the programme for Government. In regard to insurance, is it true to say the delay and procrastination in regard to the Judicial Appointments Commission Bill is blocking the efforts of the Department of Justice and Equality to bring forward a judicial council which might assist in regard to the whole area of insurance, which is a major difficulty for business, unfortunately, and the ability to do business in many parts of the country. Is that the case? I would have thought the Department would be well able to multitask and that this legislation could be brought before the House in parallel with the other issue.

The Taoiseach answered questions in regard to Project Eagle and the cost associated with it. I take the point he makes and it is well made, yet there is an interest and expectation on the part of the public, further to the recommendation of the Dáil, to ensure that information in that regard could be brought back for adjudication on people's involvement in it, and so on. That was to be ready last June and we are now told it will be reporting this June.

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