Tommy Broughan (Dublin North East, Labour)

I have reflected on the nature of Government and Opposition in recent weeks. I recalled in particular the 1994-97 period when the Minister of State and his colleagues were in opposition. It was a very good Opposition in many respects. Each morning, the present Ministers, Deputies O'Donoghue and Martin, who were backbenchers would jump up and down and rant and rave, and the present Taoiseach, Deputy Bertie Ahern, would sit there with a really cranky face. Basically, there was very little policy on offer, just a cranky, obstreperous opposition. They were really good at it. When I read the Comptroller and Auditor General's report I concluded they were equally bad at Government. One of the problems highlighted in this House in report after report is that based on its past record, the Government should ideally be in opposition and perhaps the people on this side who have some policies and strategies should be in government. I hope tonight's debate and the unbelievable stream of incompetence and waste this report displays confirms that both Fianna Fáil and the PDs should head into opposition as soon as possible.

I will deal briefly with chapter 11 of the report on the astonishing saga of Media Lab Europe. It opened in May 2000 and collapsed ignominiously earlier this year. During its lifetime it employed more than 70 workers and just prior to closure there were 45 people. It was part of the regeneration of the digital hub project in the Liberties. It collapsed with ultimate losses in the region of €65 million, and astonishing direct costs to the State of almost €40 million in subsidies and grants to MLE, MIT and property spending of almost €24 million or €25 million. It is clear that the sad and sorry saga of Media Lab Europe's existence has cost the Irish State dearly. However, it appears that once again this Government is prepared to shrug its shoulders and paint the disaster as just one of these things that happen, attributing it to just the normal cost of technological change and risk. It is only €65 million or €40 million, or only €150 million this morning. It does not really matter.

Media Lab Europe, however, was at the very heart of the digital hub strategy for the regeneration of the Liberties. Yet when it was established with a hefty outlay of taxpayers' money, the Taoiseach and his aide de camp, Mr. Paddy Teahon, put no structures in place to ensure effective, transparent and fiscally responsible management for the centre. From the outset there was a total lack of strategic vision for the digital hub and MLE, especially up to 2002. When compared to what the Korean government did in Seoul and the Malaysians did in Kuala Lumpur one can see what a pathetically organised plan it was. It lacked dynamic leadership and vision from the very start, although there were four highly rewarded chief executives. The Taoiseach liked to swan around with Professor Nicholas Negroponte of MIT, the MLE chief executive, Dr. Rudy Burger and the others. None of them, including the Taoiseach, gave the slightest thought to what this project was actually for.

The conclusions of the Higgins consultancy report in 2004, from which the Comptroller and Auditor General quotes, are pretty devastating. It stated that the contribution of MLE to its founding objectives appeared to be zero or close to it and that the quantitative indicators pointed to a flawed and largely failed entity. That report went on to identify failure after failure. When negotiations between the Minister then responsible, Deputy Dempsey, MIT and MLE finally collapsed, one of the fundamental conclusions was that there had been almost no link or collaboration with Irish universities such as Trinity College Dublin, DIT and the National College of Art and Design, all located close to the project. The mismanagement of MLE was mirrored at Government level where responsibility for the laboratory was shifted from pillar to post — from the Department of the Taoiseach to the Department of Public Enterprise, to the Department of Communications, Marine and Natural Resources.

The Taoiseach had two pet projects, both disastrous for the State. He and Mr. Teahon gave their favourite pet project, the Abbotstown campus, at least some attention, and so we have the leaking National Aquatic Centre. However, they totally and disgracefully ignored and neglected Media Lab Europe. It was obvious from an early stage that we would head into serious difficulties. Earlier this year on behalf of the Labour Party I requested that the Comptroller and Auditor General urgently investigate the MLE disaster and how it was being run up to 2005. I know that Deputy Noonan, Chairman of the Committee of Public Accounts did so, too. I welcome the Comptroller and Auditor General's investigation of the disgraceful mismanagement as revealed in his report, which makes such grim reading.

Even allowing for the hi-tech downturn and the level of risk involved in any technological development, MLE was a unique €60 million disaster, another desperate failure for which the Minister responsible would immediately resign in a normal democratic country. In this case the Minister responsible is the Taoiseach. It is past time for him to resign.

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