Oireachtas Joint and Select Committees

Thursday, 26 May 2022

Public Accounts Committee

2020 Report of the Comptroller and Auditor General and Appropriation Accounts
Vote 38 - Health (Resumed)
Health Service Executive: Financial Statements 2020

9:30 am

Mr. Paul Reid:

I might take that. It is more an operational issue. We had commissioned a review because we wanted to look back and see what were the learnings in relation to that. The review was published by KPMG. I think we circulated previously the outcomes of that.

We do have to go back and take a bit of context. What had happened all across Europe was that the EU procurement rules were suspended or put in abeyance. Manufacturing plants across the world were closed, particularly in China. The market had collapsed. Forces were at play that I have referred to previously, which accommodated piracy where when you secured an order someone else came in and paid multiples of that order. Things like surgical masks went from about 67 cent each to over €11. That was the context in which the market was operating. We used the Irish international agencies, including IDA Ireland and our ambassadors all over the world, to help us secure orders. As a nation and as a health service, we performed extremely well by comparison with even some of our very close neighbours in Europe and beyond to the extent that other countries were coming to us about PPE. However, the Deputy is absolutely correct. We had to pay a price in multiples. A small amount of supplied kit had to be exchanged back to China and there was other PPE distributed to the system that was not fit for purpose but had not necessarily been procured through our own procurement processes. They were done through other people with best intentions for donations. We have set out our learnings. This was a market in which people were working 24-7 to secure PPE. Relatively -----