Enda Kenny (Mayo, Fine Gael)
Link to this: Individually | In context

Question 4: To ask the Taoiseach if there is a corporate procurement plan in place in his Department; and if he will make a statement on the matter. [46600/08]

Eamon Gilmore (Dún Laoghaire, Labour)
Link to this: Individually | In context

Question 5: To ask the Taoiseach the main features of the corporate procurement plan operated by his Department; if changes have been made to the plan as a result of the recent announcement of spending restrictions; and if he will make a statement on the matter. [7521/09]

Eamon Gilmore (Dún Laoghaire, Labour)
Link to this: Individually | In context

Question 6: To ask the Taoiseach the main features of the corporate procurement plan operated by his Department; if he plans changes to the plan in view of new spending restrictions; and if he will make a statement on the matter. [8414/09]

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

I propose to take Questions Nos. 4 to 6, inclusive, together.

The corporate procurement plan in place in my Department was developed to implement the requirements of the national procurement policy framework published by the Department of Finance. It reflects my Department's commitment to effective and efficient resource allocation and service provision as prescribed by the Public Service Management Act 1997.

Procurement of goods and services by my Department is carried out under procedures recommended by the national public procurement policy unit in the Department of Finance which is responsible for procurement policy, national procurement guidelines and the application of EU directives. These procedures are designed to ensure that appropriate competitive processes are in place to select the providers of goods and services which represent best value to the Department, taking account of a number of important criteria including cost and suitability for purpose.

The procedures in place in my Department, which vary according to the nature and amount of the procurement involved, require purchasers to specify accurately their requirements; to select an appropriate competitive process; whether by seeking quotations, advertising, use of central purchasing facilities and centrally negotiated framework agreements or more formal tender processes; to evaluate alternatives according to preset criteria; to agree clear contract terms; and to monitor service delivery. The procurement plan is due to be reviewed and updated this year. The new plan to cover a three-year period will incorporate any new measures identified by the Department of Finance to contribute to improving the procurement process.

Enda Kenny (Mayo, Fine Gael)
Link to this: Individually | In context

The Taoiseach is aware that in November 2008 the Government published the action plan for the public service. At that time it was announced that a task force would be set up, a national operations unit, within the Office of Public Works. Four months on, what is the status of that unit? Can the Taoiseach provide an example of what the projected savings will be, as a consequence, for public procurement? They must be significant. There has been talk about them for 20 years.

Four months on, is there an example of a contract for products, goods or services which has actually been agreed under the public procurement operation? What are the consequent savings to the State?

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

I do not have that sort of detailed information. I can answer in a general manner. The unit has been set up within the Office of Public Works and works to leverage the public service's buying power and organises procurement across the public service of common goods and services such as office equipment, furniture, vehicles, electricity and fuel. Where better value for money can be obtained it will develop further the e-tender system. The unit will also support a more professional approach to public sector procurement through the provision of advice and the organisation of networks of procurement professionals. It was established this year and it has a target of achievable savings of €25 million for this year with increased savings in subsequent years.

Eamon Gilmore (Dún Laoghaire, Labour)
Link to this: Individually | In context

In the Government's announcement in connection with the public finances on 8 July last, it stated, "All expenditures by Departments and agencies on consultancies, advertising and PR would be reduced by 50%". What level of reduction has been achieved to date by the Taoiseach's Department?

I refer to a report at the weekend that the Public Relations Institute of Ireland was to seek a meeting with the Taoiseach to discuss the issue of public relations contracts with Departments. Has the meeting been sought? If so, what matters will be discussed?

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

I understand my Department has complied with the direction on reducing——

Eamon Gilmore (Dún Laoghaire, Labour)
Link to this: Individually | In context

Has it achieved a 50% reduction?

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

I believe so. I do not have specific details but I will get them for the Deputy. I am sure this has been complied with.

A meeting has been sought by the PRII. I recall seeing correspondence to that effect. I do not know whether a meeting has been set. I have no problem meeting its representatives and I will let the Deputy know the outcome.

Enda Kenny (Mayo, Fine Gael)
Link to this: Individually | In context

Last July, the Minister for Finance announced that his Minister of State, Deputy Mansergh, would head up a joint procurement task force between the OPW and the Department of Finance. At the announcement, the view was that he would bring forward specific proposals to save €50 million this year. Has the Taoiseach a list of the proposals? Is the task force on target to achieve €50 million in savings this year? What is the impact of the Minister of State's proposals on the Taoiseach's Department?

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

That question would be best put to the Minister of State. The task force established to set out how to implement the recommendations of the report published in July reported before Christmas and the Minister of State is in the process of setting up all of that now. A question to him would be better, as I can give only the information I have.

Enda Kenny (Mayo, Fine Gael)
Link to this: Individually | In context

Is the Minister of State heading up the joint procurement task force between the OPW and the Department of Finance to drive reforms across all Departments, as was envisaged? Is he engaged in that work now?

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

Yes, he has that policy responsibility.

Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
Link to this: Individually | In context

Are there guidelines within the Taoiseach's Department or any other Department that encourage the acquisition of goods or services from Irish sources, which would have a beneficial effect on employment in Ireland? Are there major restrictions on what Departments can do in giving such guidance as a result of EU competition law? Is there within the Union any re-evaluation, reconsideration or relaxation proposed of the restrictions that may apply to governments and local authorities that wish to see public moneys expended locally and nationally first? Given the ever straitening economic circumstances, is there a potential benefit to those in employment in terms of corporate procurement from their sectors? What can the Taoiseach tell us regarding same?

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

Procurement policy and practice must conform to certain core principles and must be accountable, competitive and non-discriminatory, provide for equality of treatment and be fair, transparent and conducted with probity and integrity. As the Deputies have stated, those kinds of consideration have come into play in respect of what were formally known as "Buy Irish" campaigns, which did not have those constraints imposed upon them. We are now members of the Single Market and people have access to apply for tenders over a certain threshold. The same applies to Irish companies in respect of other EU states in which we compete.

I would take the point that tenders are prepared in a way that would not exclude smaller or medium-sized enterprises, which should have an opportunity. Those who prepare tenders need to be mindful of the need to ensure that people are not excluded by reason of the way in which tender documents are constructed and to be conscious of the need to divide tenders so that SMEs would not be automatically excluded. These kinds of consideration have to be borne in mind in an effort to make sure that local suppliers are given the opportunity in their own country to tender for these contracts.

Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
Link to this: Individually | In context

I welcome the Taoiseach's response, which demonstrated an understanding of the Deputy's question and intent. I appreciate the difficulties involved. Does the Taoiseach agree that careful preparation and management of the tender examination process are required to remain in compliance with current EU directives?

In terms of local government, will the Taoiseach indicate to his ministerial colleague, the leader of the Green Party, that this situation is applicable, not only to Departments, but across the local authority spectrum? I come from a constituency wherein furniture and cabinet making has been integral to generations of workers, but that sector has been devastated by cheap imports and kits, which have become the order of the day. This fact was in the Deputy's mind when he asked his questions.

From the Taoiseach's recent EU engagement, where matters not unconnected with what is at the core of this series of questions were raised, is there a potential for some relaxation of requirement orders within a specified value? Have other ideas been explored? We have a restriction across the board on open access to tendering, but is there no opportunity to ameliorate the situation by considering the order profile in terms of value scale. This might offer some important assistance to Irish manufacturers and service providers in these difficult times.

Eamon Gilmore (Dún Laoghaire, Labour)
Link to this: Individually | In context

Are we almost out of time?

John O'Donoghue (Kerry South, Ceann Comhairle)
Link to this: Individually | In context

Yes.

Eamon Gilmore (Dún Laoghaire, Labour)
Link to this: Individually | In context

Arising from the 3 February announcement on the reductions in the range of professional fees in Departments, has a change been made in the Government procurement requirements?

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

No, it related to where professional fees are charged on the basis of contractual arrangements between professionals providing the State with services. The tendering process deals with the question of value for money more generally. As for Deputy Ó Caoláin's points, the issue pertains to the introduction of reforms such as e-auctioning, whereby people could offer a price on a certain number, consistent with their own capacity, in respect of a much larger tender. In other words, such flexibility must be considered in order that the tender need not be filled by a single supplier, if people have a knowledge of the quality of the product that is being suggested by various smaller suppliers.

Sometimes one must balance the effort to accommodate everyone regarding the submission of tenders with the overall need for value for money. E-tendering or e-auctioning has a benefit in that, for example, one can lump together a tender and achieve best value for money by having a number of local authorities apply for the same type of product or service at the same time. Simultaneously, it enables people to apply without being obliged to fill the tender themselves solely, if the Deputy understands my point. There are ways and means by which the issues pertaining to value for money and the flexibility to ensure the process is inclusive can be worked on, were people to apply their minds creatively to it.

Brendan Howlin (Wexford, Labour)
Link to this: Individually | In context

I will take a brief supplementary question from Deputy Doyle.

Andrew Doyle (Wicklow, Fine Gael)
Link to this: Individually | In context

I refer to tenders that must be advertised on an EU-wide basis. If jobs are placed in jeopardy by awarding such tenders abroad, is the Taoiseach allowed to invoke that clause? I will draw a simple example. The PAYE tax booklet, which involved a relatively small contract, was awarded to a printer outside the State. However, had the Irish and English versions been grouped together, it is possible that it would not have attracted tenders from outside the State. While I do not suggest this necessarily would have been the case, the Irish version of that booklet was printed here and the English version——

Brendan Howlin (Wexford, Labour)
Link to this: Individually | In context

Briefly, Deputy.

Andrew Doyle (Wicklow, Fine Gael)
Link to this: Individually | In context

I understand that if jobs are in jeopardy, the Government can invoke this clause to award the contract locally, even if the lowest tender comes from outside the State.

Brendan Howlin (Wexford, Labour)
Link to this: Individually | In context

The Taoiseach, on this specific question.

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

It is and I do not have the specific answer for Deputy Doyle. However, I take the point, in respect of the preparation of tenders, on the need to do things, which obviously are legal, and no one would ask anyone to do anything that was not above board, but to do them in a way that is helpful.

Olivia Mitchell (Dublin South, Fine Gael)
Link to this: Individually | In context

To the Irish cause.

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

That is something that should be considered.