Dáil debates

Thursday, 16 July 2015

Other Questions

Pyrite Remediation Programme

10:20 am

Photo of Clare DalyClare Daly (Dublin North, United Left)
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8. To ask the Minister for Environment, Community and Local Government his views regarding the operation of the pyrite remediation scheme, with particular reference to any consideration being provided to widen the terms of the scheme to include more homes with pyrite, particularly those which do not have a Building and Construction Authority rating of 2; and if he will make a statement on the matter. [28734/15]

Photo of Clare DalyClare Daly (Dublin North, United Left)
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I welcome that the pyrite remediation scheme is up and running. A number of units have been entirely remediated and a number of others are underway. what are the view of the Minister of State? Is he happy with the progress, is he fully briefed on the issues that have emerged in the course of that remediation which may require a change to the scheme, and is he looking at revisiting those who are eligible for the scheme, most particularly those who do not have a building condition assessment, BCA, rating of 2?

Photo of Paudie CoffeyPaudie Coffey (Waterford, Fine Gael)
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I note Deputy Clare Daly and many other colleagues, from all parties and none, are actively engaged in assisting homeowners with the pyrite remediation scheme. I have been briefed on it. I visited a number of sites where remediation is getting underway and it is progressing at a rapid rate. I expect to be reporting considerable progress over the coming months.

The pyrite remediation scheme, which was first published by the Pyrite Resolution Board in February of 2014, was developed having regard to the recommendations set out in the Report of the Pyrite Panel and the relevant provisions of the Pyrite Resolution Act 2013. The full conditions for eligibility are set out in the scheme, which is available on the board's website. It is a condition of eligibility under the scheme that an application to the board must be accompanied by a building condition assessment carried out by a competent person in accordance with I.S. 398-1:2013 Reactive pyrite in sub-floor hardcore material.

I emphasis that the pyrite remediation scheme is a scheme of last resort which aims to repair homes with substantial damage due to pyritic heave and is targeted to assist a restricted group of homeowners who have no other practicable options to access redress. Deputy Clare Daly has been active on this issue, as have many Deputies. I do not want to see residents left in the lurch. I have seen the distress that it has caused to many families.

In the first year of the scheme, we were setting up the board, the housing agency and the technical staff had to be put in place, and we ran a pilot scheme before Christmas. I am happy to report that substantial progress has been made and many tenders are being prepared so that they can be contracted out for further progress. However, it is a scheme of last resort. We are prioritising those that are worst affected, that is, category 2. It is my job to ensure that this scheme is run as efficiently as possible to ensure that these residents are assisted with the problems with which they have been left due to the legacy of poor standard regulation in the building sector. The priority is category 2, and that is where the priority will remain for the moment.

Photo of Clare DalyClare Daly (Dublin North, United Left)
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We are now in a new phase of the scheme. Inevitably, there would be teething problems. The board is confident that it can achieve its target of having 600 houses completed by the end of next year. I welcome that and hope it is the case.

I refer to some of the issues that have emerged during the remediation works. In some areas, when homeowners moved out, the job took longer because of structural problems that emerged in the course of the remediation of the infill or other issues that were outside the control of the homeowners. These homeowners have had to enter into three-month leases in rented accommodation, move their post and, for example, be eligible for two water charges bills, and the idea of the works being extended beyond a couple of weeks throws that into crisis because of the inability to extend. People do not operate on that basis. Is the board considering that it is not reasonable to expect the homeowners in that situation to bear the extra cost?

Issues have emerged about the quality of the replacement products, that they are not up to standard with what some of the homeowners had in terms of flooring, house decoration, etc. That needs to be looked at. In particular, there is the issue of the need to change the scheme away from being purely damage-based. Once the scheme gets up and running, we must look at those who have pyrite with less damage.

Photo of Paudie CoffeyPaudie Coffey (Waterford, Fine Gael)
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Deputy Clare Daly acknowledges the progress that is being made. It is not before time. I am committed to ensuring we give it full focus and priority over the coming months. As I said, I expect substantial progress to be made now as more homes are remediated.

The Deputy is correct in saying that some issues are coming to light when the mediation crews are moving onto site where they are discovering further defects, in terms of substandard building and construction works. This is something about which we need to be careful, first and foremost, because the pyrite resolution scheme is essentially to deal with the pyrite-related issues only. As other substandard work arises, it is important that it is highlighted as early as possible after it is discovered. The remediation crews have a responsibility to ensure that no house is handed back in a dangerous or substandard condition.

It is not appropriate that the cost of remediating other structural works that have nothing to do with pyrite should fall back on the taxpayer. That would give rise to all kinds of issues, not just concerning pyrite, right around the country. The scheme is a scheme of last resort. We are conscious that other issues arise. We are working with the homeowners through the project managers to ensure the issues are addressed as appropriately as possible.

10:30 am

Photo of Clare DalyClare Daly (Dublin North, United Left)
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We need to revisit the other structural issues that emerge, including in respect of HomeBond, for example. I do not know whether the Minister of State has done any work on this. He is correct that some of these matters are very serious. While the taxpayer should not be liable under this scheme, the homeowner should not be either.

With regard to the basis of the scheme and the idea that it is connected with damage, the board has asked what the problem is if one's house is not damaged. If there is pyrite, the house will get damaged. One cannot build an extension and one cannot sell the house, decorate it or put in a new floor. One cannot move the house. Therefore, there needs to be a system that captures those people who have pyrite that may result in problems. There needs to be some way to alleviate the burden of testing so those concerned might be able to get a green certificate after a certain period. If there is to be no oxidisation and further damage, the homeowner needs to be able to show this. Unless the problem is remediated or the homeowner gets a green certificate, he or she cannot move on. We are talking about tens of thousands of homeowners. This will have to be addressed, probably sooner rather than later.

Photo of Paudie CoffeyPaudie Coffey (Waterford, Fine Gael)
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The budget is being provided for, and priority is being accorded to, those who are most affected, namely those in category two. However, I am conscious of many of the issues that arise. I have met many of the householders who have concerns. They do not know whether they have pyrite in their houses. Core testing is the only way this can be decided upon. I appreciate that it is costly but our funds are going towards remediation.

As I said to the householders, I do not want to leave anybody behind who has been affected by pyrite. The Government has committed to addressing this but the scheme is one of last resort. I will work with the homeowners to determine whether we can find solutions. As I said to them, the more houses that are remediated, the closer we will be to dealing with their issues. I mean that and do not want to leave anybody behind.

The Deputy referred to HomeBond. It is on the record and I have no problem saying that HomeBond did not cover itself in glory regarding this issue. If other structural defects are found — some are arising — it will be open to the homeowners or other householders to pursue HomeBond or any other insurance company or builder associated with the building. We cannot let this fall back on the taxpayer. It is completely separate from the pyrite remediation scheme.