Ossian Smyth (Dún Laoghaire, Green Party) | Oireachtas source

I thank the Deputy. Within the contract, there is provision for early termination on both sides, and there are details around that. At this stage, we have no reason to expect that NBI will do anything other than continue to deliver the contract in full within the seven years for the maximum amount of money that was agreed. The figure of €2.1 billion is a maximum payment rather than a fixed payment.

There are milestone payments. The structure of the payments within this contract has been carefully detailed. The contractor is paid for the work that is done as we go along. For each number of homes connected, it receives a particular bonus. If it does not connect the homes, it does not receive any money. That is the structure of the contract. It is not such that the contractor will continue to receive payments month on month or year on year without delivering on its contract. Its payments are strictly linked.

There has been an impact from Covid-19. It has slowed the contractor down. It has made it several months later than it should be. However, that is not the entire story. Part of the problem is the contractor's fault. Part of the delay comes simply from the natural things that happen within the roll-out of a large contract, whereby there will be a period of time where you are developing momentum and becoming more skilled. I would expect that at least a portion of the delays are the fault of NBI. It may believe it is the fault of its subcontractors and may try to attribute blame, but that does not excuse it because it is not in a position to abdicate its responsibility. It must take responsibility, even in a situation where it has delegated authority for some of its functions. That is my answer to that.

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