Oireachtas Joint and Select Committees

Wednesday, 27 November 2019

Joint Oireachtas Committee on Health

Update on Construction of National Children's Hospital: National Paediatric Hospital Development Board

Photo of Stephen DonnellyStephen Donnelly (Wicklow, Fianna Fail) | Oireachtas source

I thank Mr. Gunning. I would like to move onto the issue of costs, which has obviously been one of the big issues with this project. Just last night I received a response to a parliamentary question from the Minister for Health, Deputy Harris. I had asked for an update on the potential future overruns. This project started at €650 million and it has now reached €1.733 billion. At least five separate categories of additional cost risk have been discussed by this committee, namely, inflation, contractor claims, changes to regulations or taxes, design changes and delays. All of those risks have potential cost implications. I did not expect the Minister to update me on the absolute costs. I fully understand that we do not know because these are moving targets. However the people running any major project, certainly a capital project like this, have provisional estimates of these potential costs. The work must be proceeding on the basis of some provisional sums, which of course encompass a range of potential figures.

The Minister said last night that there has been no change to the figure advised to Government, that is, €1.4 billion or €1.733 billion. He said the board has not advised him of any additional costs. He went on to state "As the National Paediatric Hospital Development Board (NPHDB) has statutory responsibility for planning, designing, building and equipping the new children's hospital, I have referred the further parts of your question to the NPHDB for direct reply."

Here we now are. I would love a direct reply.

In terms of the five categories and, indeed, any other categories, what is the current best estimate as to what the final price will be, above the €1.4 billion that has already been advised?

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