Alan Farrell (Dublin North, Fine Gael)

I thank the Minister of State, Deputy O'Sullivan, for her earlier speech. It was said already, and I would like to repeat, that while the Bill is quite a technical document, it was refreshing to receive such a frank and simple explanation from the Minister of State.

There is a requirement on the part of the Government to continue to abolish unnecessary and superfluous agencies and quangos in an effort to streamline the delivery of services within local government and, ultimately, improve delivery for our customers, the taxpayers. The pooling of resources and expertise into one agency will save money both in terms of manpower and the procurement services offered until recently by separate agencies and by local government.

The centralisation of local government is a piece in the jigsaw of a larger reform structure in the centralisation of services and procurement processes across all Government sectors in a bid to elicit further savings for the taxpayer. For example, in terms of procurement processes, which have been spearheaded by the Minister of State, Deputy Brian Hayes, in recent months, the reformed framework for managed print services is expected to generate savings of up to €22 million annually and a pilot project regarding e-invoicing across the public sector could lead to further millions in savings by reducing administrative and transactional costs.

Yesterday, in a move welcomed by many, the Minister, Deputy Howlin, announced plans for a large procedural change involving a human resources shared services centre, HRSSC, consolidating administrative roles throughout all of the Civil Service while freeing up resources and staff and reducing cost of service delivery. I believe both great progress and savings can be made with the deployment of this strategy with regard to shared services of office facilities, better resource management, control of expenditure, better service and performance delivery and, of course, monitoring. There are clear benefits to be gained from introducing shared services in areas such as HR, payroll, ICT and finance, and we must use the flexibilities under Croke Park to ensure reform is driven and that we deliver public services in a more efficient, cost-effective way.

It can be difficult for both staff and the wider public to understand that while processes and structures change, even on a radical level, we have to remember that, as a Government and as a service provider, times are changing and we must evolve with them. As a nation, there is a fear of losing the personal touch or of change in terms of reduction in the number of people or agencies providing various services. The reality, of course, is that modern facilities allow us to do a lot more with far less, and we still have the opportunity to make savings for the taxpayer, which must be placed high on the agenda.

That is not just in the provision of local government or local services. The same could be said, for example, of the banking sector, with the AIB chief executive giving a briefing not far from this House earlier today, when he proposed amalgamating services to provide a better product for the customer at the end of the process. That is similar to the aim of this Bill.

While amalgamation means a reduction in the number of people providing a service, it does not mean the quality of the service has to suffer. At local government level, the amalgamation of both Limerick and Tipperary councils, with the suggestion of other amalgamations to follow, presents us with a fairly rare opportunity to realise significant savings for the ratepayers in those counties as well as offering savings to the taxpayer. To echo the comments of Deputy Heather Humphreys in regard to single managers for counties, it assists in regard to the identity of those counties in continuing to deliver services.

In the context of local government reform, the amalgamations of local authorities should not be viewed in isolation. I am certain that future announcements will yield further savings as well as perhaps instilling greater confidence in the ability of local councillors and officials to deliver and to be held accountable. While we continue to deal with the fallout from the economic crisis, we must be fully aware that the world in which we live is changing at an accelerating rate. That is the reason I believe these changes are essential, both in terms of saving money for the Exchequer and the ability of the Government to deliver on the commitments it made in the programme for Government.

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