Seanad debates
Wednesday, 14 October 2015
Public Services and Procurement (Social Value) Bill 2015: Committee and Remaining Stages
10:30 am
Simon Harris (Wicklow, Fine Gael) | Oireachtas source
I thank Senator O'Brien for the work he has put into developing the Bill. We had a very good debate on Second Stage in the House. I am pleased, in the spirit of bipartisanship and recognising that a very constructive effort has been undertaken by the Senator in consultation with a number of stakeholders, to allow the Bill to pass Committee, Report and Final Stages today and not to oppose it. I have one caveat, which the Senator and I have discussed - namely, that it will need further work. I envisage that work could take place in the Dáil when the social clauses working group has reported, and I expect that report in the next number of weeks.
For the benefit of the House, I wish to state that there is a benefit to having social clauses legislation because it sends out an important message in terms of our Statute Book, namely, that we want people to consider the social impact of procurement. I think the Senator will agree that it is important that such legislation is coupled with guidance in order that it has a practical effect.
I will not go through everything in the Bill, but I will mention one or two concerns I have for the interests of clarity. The definition of a public service body is something I would like to see examined further. I have some concerns about the inclusion of the Central Bank, NAMA and the NTMA, and would need to consult the Offices of the Chief State Solicitor and the Attorney General about this. The definition of "public service" contained in section 3(1) of the Ministers and Secretaries (Amendment) Act, may, for example, be a useful reference in defining public service bodies covered under the Bill. Section 2 of the Bill puts a legal onus on contracting authorities to consider community benefit requirements, which is broadly acceptable and not prescriptive. It reads very well and has a good impact. However, there is obviously a need for flexibility, something we discussed on Second Stage. We do not want to have any unintended consequences whereby an SME or Irish company would be accidentally put at a disadvantage.
I see no major problems in a number of areas the Bill is trying to target, such as training, recruitment, subcontracting, SMEs and innovation. As I said, there is an overlap with some of the work being done by the social clauses working group, which is led by the Office of Government Procurement, and we are already piloting a number of social clauses regarding the devolved schools building programme and the Grangegorman campus development. Another touchstone in the area to which I will have to return when the Bill goes to the other House is the 2010 guidance on social clauses developed by the European Commission, which lists a wide range of social issues that may be addressed.
I am praising the Bill rather than being critical. It has a number of very good elements. I do not think it is overly prescriptive, but we need to tease out a number of definitions to make sure we achieve what everybody in the House wants to achieve. I am very pleased that the Bill can pass all Stages in the House today. I do not intend to move the Bill in the Dáil - I hope political parties on all sides of the spectrum would respect that - until the social clauses working group produces its guidance, because we need to see that report if we want to make sure the Bill is implemented correctly.
I will shortly receive from the Office of Government Procurement a report on the SME working group - that is, stakeholders with whom we have engaged. That, coupled with the social class working group, should give us a real insight into some of the issues. The reform of public procurement is and remains driven by the need to obtain value for public money in procuring work, supplies and services. It is absolutely essential, even though we are in somewhat better economic times, that we continue to strive to achieve value for money. It cannot be adversely affected by the inclusion of social value clauses.
Public procurement is a very big market. We want Irish companies involved in it and we want procurement, where possible, to be used for social good. It is in that spirit that I am happy to accept the Bill, and I thank Senator O'Brien for the work he has done and his co-operation on it, with the caveat and clear understanding that this is a Bill that will require significantly more work. I hope it is something his party and others will work on with me in the Dáil.
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