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Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: These contracts are internationally recognised.

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: We are in an inflationary environment because circumstances are outside of our control in the Ukraine in terms of oil, material and other costs. We also have a considerable number of people who work in the construction sector, more particularly on contracts with TII. We have a national development plan to roll out projects the length and breadth of the country. Roadbridge brought into...

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Is it correct to say the areas being looked at concern inflation?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Is there an option within existing contracts to vary the circumstances under which claims can be made? Does such a facility exist? Is that legally possible?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Has the TII had direct discussions with the Department of Transport, the Office of Public Works or DPER on this matter?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: How often does the contracts committee meet?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Did that committee meet recently on this?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Did TII express its major concerns?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Did TII have discussions with the Department of Transport on this?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: What is the name of the committee?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Is the Department of Transport represented on the committee?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: For us, as a committee, it is clear that we have an alarming situation developing in terms of inflation, particularly with contracts. I shall put this in stark terms. First, we have existing contracts that are bound to put no claims in for inflation for 30 months and then they can submit a claim only if inflation is 50% above the contract price. Second, the newer contract has existed since...

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: The witnesses have said that in many cases contractors would not make a claim because it was not an inflationary period but we are now in an inflationary period.

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: The likelihood is that with the old contracts inflation is not above 50% although in some areas it is, but a contractor must wait 30 months. However, the new contracts have only started since 1 January and those contractors can do nothing for two years about inflation because the contracts are time specific. The committee will follow up automatically. We will write to the Department of...

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Yes.

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Is that the one with the landowners?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Does TII anticipate that when that comes through it will go to An Bord Pleanála?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Then TII goes to An Bord Pleanála. Will that take a year to 18 months?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: That would go to 2024. All going well, the process would continue. Is it a two-year build?

Joint Oireachtas Committee on Transport, Tourism and Sport: Transport Infrastructure Ireland Projects and Related Issues: Discussion (6 Apr 2022)

Kieran O'Donnell: Would it start in 2024?

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