Colm Burke (Cork North Central, Fine Gael) | Oireachtas source

I thank the witnesses for the work that they and all the people employed by the Department are doing in schools and colleges throughout the country. My questions relate to public private partnerships, PPPs, in respect of which I want to raise, first, a comparison of costs issue. Page 21 of the appropriation account includes a reference to two projects. In the case of the first, the National Maritime College of Ireland, the account details expenditure of €126 million and a total cumulative cost of €187 million. In regard to the second, the CIT Cork School of Music, expenditure of €101 million is indicated and a total cost of €220 million. Why is there such a big variation in cost between the two projects? The additional cost for the National Maritime College of Ireland is some €50 million, whereas the additional cost for the CIT Cork School of Music over the cumulative period is more than €119 million.

Second, I understand there is a provision under the PPP contracts process whereby projects can be refinanced, to the benefit of both the Department and the contractor. Some of these projects would have been agreed at a time when interest rates were extremely high. Given that interest rates are currently very low, I am wondering what level of engagement there has been between the Department and the companies with which it has contracts on the possibility of refinancing, which could be to the benefit of both parties.