Dáil debates

Wednesday, 8 May 2019

An tOrd Gnó - Order of Business

 

3:00 pm

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail) | Oireachtas source

Under the public spending code, the benchmark figure is the basis for determining value for money for any major project. Reading through the memo from the Department of Public Expenditure and Reform to the Department of Communications, Climate Action and Environment, it is very clear that they raise serious questions about the public spending code being breached by the Department in respect of the national broadband plan and contract. This illustrates the degree to which the Government was spinning and not telling the full truth on this all along. The memo confirms the original estimate was €500 million. In September 2017 the benchmark figure was €800 million. The memo is asking how the €800 million became €3 billion in a year and a bit. The Government was saying to us that it was a different project. It was not a different project. It went from €800 million in September 2017 to €3 billion. Very clear questions are raised in the memo, which notes that the public spending code requires that approval of the sanctioning authority for a raised financial limit be sought before contracts are placed. It states further that the revised projections appear to be derived from the views of the bidders' technical solutions and the outcome of the dialogue process with the bidders, as opposed to having been independently calculated. The Department of Public Expenditure and Reform is raising a red flag in terms of the breach of the public spending code on this project. Is the Government going to review the basis on which the public spending code operates, given what is clearly an extraordinary breach of or diversion from it and the ignoring of the procedures that should be followed under it?

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