Dáil debates

Thursday, 19 July 2012

 

Public Procurement

4:00 pm

Photo of Jack WallJack Wall (Kildare South, Labour)

I appreciate the Minister of State with responsibility for this matter being in the House to take this issue. The programme for Government states: "We will reform public procurement to become a tool to support innovative Irish firms and to allow greater access to Irish small and medium sized businesses." In a recent article in The Irish Times the Minister of State acknowledged, rightly, the concern that some small firms may be squeezed out of the public procurement market by centralised frameworks. He stated: "I am actively working with the small and medium enterprise sector to ensure that SMEs are better prepared to bid for public service contracts and barriers to their tendering are being identified and addressed."

Several of these SMEs have approached me. In Ireland there are approximately 120 such firms involved in the provision of copiers and printers etc. to the education system. These firms have approximately 2,500 employees. They maintain they are being squeezed because of the central framework mechanism. They provided an illustration of their concerns relating to the forthcoming tender process for managed print services. The criteria adopted as part of the tender process effectively eliminated 90% of these firms from the beginning because of the requirement of a minimum average turnover in the previous three yeas of not less than €10 million. Over the years all of these groups have built up a wonderful relationship with the schools and other organisations with which they have been dealing. If we are to adopt this central framework we must ensure that this point is not overlooked.

In many cases involving the provision of printers etc. there is a maintenance service programme as well. Some service users, including principal teachers, end up ringing someone in Hong Kong to get direction on how to work a printer. Naturally, when the language breakdown arises the telephone at the far end is put down but who suffers as a result? The school and the children in the school. This is a considerable problem which must be addressed according to the groups that have approached me. I readily accept the comments of the Minister of State in the newspaper recently with regard to his overview of the sector but there is a need to act on this. The Minister of State should follow up with the small and medium sized enterprises and other individual groups and open the door of his office to allow them to present their case.

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