Fergus O'Dowd (Louth, Fine Gael) | Oireachtas source

I thank the Senator for bringing this matter to the attention of the Department. I am responding to the debate on behalf of the Minister for the Environment, Community and Local Government, Deputy Phil Hogan.

Contracts for a wastewater treatment plant and a network upgrade for phase 2 of the Bandon sewerage scheme were included in the 2010-13 water services investment programme of the Department of the Environment, Community and Local Government as being among the contracts to start during the life of the programme, at a current estimated cost of ¤13 million. The network upgrade element of the scheme comprises the provision of storm and foul sewerage works in Bandon town and its environs. The new sewerage infrastructure will lead to the separation of storm and foul flows in the existing combined sewerage system and provide for increased foul wastewater collection facilities. It will also provide storm sewerage infrastructure for low-lying areas of the town. As the Senator said, such areas experience flooding from the River Bandon during times of high flow. The Bandon Estuary downstream of Innishannon is a designated sensitive area under the urban wastewater treatment directive. The proposed scheme will ensure foul wastewater is collected to the best practical level and transferred for treatment to the existing wastewater plant.

On 8 June 2011 Cork County Council submitted revised contract documents for the network element of the scheme to the Department. These contract documents were approved by the Minister on 29 August 2011. Following the tender process, Cork County Council submitted a funding proposal of ¤3.9 million to enable it to award the contract to the most economically advantageous tenderer.

The Minister approved funding for the contract on 22 February 2012, Cork County Council awarded the contract in March 2012 and the contractor commenced preliminary work in March 2012.

The Department was notified of contractual issues in August 2012. Subsequently, the matter was referred to conciliation and a conciliator was appointed. Conciliation meetings took place between the parties in September and October 2012 on the principle of four of the disputed issues. The contractor and the council agreed to the termination of the contract by mutual consent and a commercial settlement was agreed between the parties. The Department raised no objection in principle to the settlement but requested clarification on a number of issues. These clarifications were submitted to the Department on 10 December 2012.

A new consulting engineer has been appointed as consultant to complete the project and is preparing contract documents for the scheme to complete all outstanding works. It is anticipated that the contract will be tendered in the first quarter of 2013 and the work will recommence in the third quarter of 2013.