Oireachtas Joint and Select Committees

Wednesday, 27 April 2022

Joint Oireachtas Committee on Transport, Tourism and Sport

Reform of Public Works Contracts for the Construction of Transport Infrastructure: Discussion

Mr. Tom Parlon:

We have repeatedly raised the issues with the Minister. Mr. Sheridan has a path worn to the Office of Government Procurement. There is good engagement. The Minister acknowledged that there is a serious problem and asked the Office of Government Procurement to bring forward some options. I spoke with the Secretary General with the Department of Public Expenditure and Reform this week. He said there would be a further meeting with the Minister this week and the Department hoped to bring forward some proposals. He spoke about how complicated and politically sensitive an issue this is. I appreciate that is the situation.

However, contractors who signed up to a project based on prices 18 months ago have much bigger problems. A couple of large well-known firms have gone out of business. A number of large UK firms that were operating here, such as Balfour Beatty, have left the country mainly because of public works contracts.

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