David Norris (Independent) | Oireachtas source

Yes, I am a great interpreter. In the Netherlands, 73% of contracts were awarded to the lowest bidder. We still have a situation where the State is getting the best price but is also getting good quality, and that is very important for the taxpayer. Senator Kieran O'Donnell spoke about taxpayers but we all pay tax. Even the most penurious old age pensioner has to pay tax because he or she pays VAT and this, that and the other. We are all taxed to death practically in this country.

The Bill is significant in that it acknowledges the fact that there may well be situations in which the lowest price is the best. It is significant that discretion is allowed here and one is not tied into a contract in a rigid way. The parties that award the contracts are allowed significant discretion. Other Members referred to various situations which call for a parliamentary response. I refer to matters such as the Scally report where it was clear that part of the problem was opting for the lowest possible price and that created a significant problem. Then there is the Carillion issue. This work was outsourced to a British company, despite the fact that it was widely known that it had a high risk rating, but the State took the lowest price possible, not worrying about the question of quality. Then we have the question of the construction of the children's hospital. This is quite extraordinary. There was a low quality rating and 75% of it was awarded on the low cost and 25% of it on quality. That is ridiculous, particularly when the lowest bid was €130 million less than the next one. That is a margin of 20%, which is unheard of. There might be 5% or 10% flexibility but when it reached 20%, questions should have been asked and if this Bill were in operation, such a situation would not continue to occur. I applaud Senator Higgins and her group for introducing this Bill and I look forward to its passage through the House.