Brian Lenihan Jnr (Dublin West, Fianna Fail)

The Comptroller and Auditor General spoke to the Committee of Public Accounts on this matter on 17 April and he emphasised that it is not the case that PPPs are good and traditional procurement is bad, or vice versa, rather that certain situations are more suitable to a PPP solution. The Comptroller and Auditor General also noted that there are many different types of PPP and he specifically drew attention to the expertise of the National Development Finance Agency as crucial in that regard and I agree with his view. There are certain projects which are appropriate for the PPP model.

Regarding the relative allocation of risk and whether such arrangements represent value for money, I accept such projects are value for money in certain circumstances as the Comptroller and Auditor General recognised, for the many reasons I have set out in my earlier reply.

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