Tom Parlon (Laois-Offaly, Progressive Democrats)

In the course of this debate the Opposition spokespersons have repeatedly singled out a small number of individual cases of concern in regard to alleged waste of public expenditure. They have sought to use these particular cases and the Comptroller and Auditor General's report to exaggerate the extent of waste of public expenditure, to suggest indifference on the part of the Government to the issue of wasteful expenditure and to undermine the Government's achievements in regard to public expenditure. I want to completely refute any claims that the Government does not take the issue of waste and the achievement of value for money for the taxpayer seriously.

As stated by the Minister for Finance in his contribution, the Government welcomes the Comptroller and Auditor General's report on the 2005 Appropriation Accounts as a valuable contribution to the ongoing process of minimising waste and ensuring better value for money for taxpayers. Issues in the report will be formally addressed in detail when, in accordance with normal procedures, the Committee of Public Accounts considers the report and the Minister for Finance responds by way of formal minute to the issues raised.

As regards the main cases cited by the Opposition Deputies, the issue of Thornton Hall is a matter for the Tánaiste and Minister for Justice, Equality and Law Reform. The Comptroller and Auditor General states in regard to the site that "a well-managed, third party approach might have allowed the Prison Service to procure suitable land at a much lower price than was paid for the land at Thornton". It is a pity Deputy Connaughton cannot wait to hear this because it is important in terms of clarifying the fairy tale notion he had about how this site was bought.

In this context, as indicated by the Tánaiste and Minister for Justice, Equality and Law Reform and his Department, a "third party approach" means that a site would be acquired in secret through a third party. No one would be told that the State was involved or that land was being sought for the most significant penal development in the history of the State. There would have been no public advertisement.

The Accounting Officer of the Department of Justice, Equality and Law Reform has already gone on record stating that in the light of the nature of this particular project and to ensure proper accountability, a deliberate and principled decision was taken not to use a third party approach. There are strategic, moral and practical reasons for that decision. The best practice for public procurement requires an open and transparent process that provides all suitable vendors with the opportunity to participate. Without an advertisement inviting parties to express an interest in making land available for a prison site, it would not have been possible to confirm that all suitable available sites had been considered nor would it have been possible to show that the final selection was on the basis of objective criteria rather than the subject of influence or corruption. The OPW fully accepted the reasonableness of the Department's decision to disclose its interest and the proposed end use.

The Accounting Officer also points out that initial explorations using a third party approach did not identify a wide range of potentially suitable sites. The most suitable sites would not have come to notice without a public advertisement. In any event, because of the size of the project and the need to carry out surveys, it is doubtful that a sale could have been closed without the vendor becoming aware that the State was the purchaser.

To deliberately mislead the vendor as to the identity of the purchaser and the intended purpose of the site would be in breach of the State's duty to act in good faith. This would be particularly so where local opposition might be aggravated and the vendor forced to leave the area. Land in the greater Dublin area zoned for agricultural use has been selling for prices up to €800,000 an acre. The Department of Justice, Equality and Law Reform is not aware of any suitable site closer to Dublin being sold for less than the €200,000 an acre paid for Thornton.

I emphatically reject the Opposition motion which is without any real substance and I strongly commend the Government's amendment to it.

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