Enda Kenny (Mayo, Fine Gael)
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Question 86: To ask the Minister for Finance if he is assessing new structures as part of the reform of the PPP process; if so, the proposals he is considering; and if he will make a statement on the matter. [12529/05]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The Government is committed to developing the PPP process as a viable procurement option for appropriate projects within the overall context of public investment in infrastructure and public services. PPPs are one procurement tool to be used alongside traditional approaches. The PPP procurement option, however, has an important role to play when applied to appropriate projects where there is the right scale, risk and operational profile to harness the benefits of this new approach.

There has been good progress on PPPs overall since the first group of pilot projects were announced in 1999. Reasonable deal flow has been established in the roads and environment areas but progress in relation to projects funded by unitary payments from the Exchequer has been slower. We are still learning and continue to keep our processes and procedures under review.

In that context, I am actively considering what changes, if any, are appropriate to support the continued evolution of the process for projects funded by unitary payments from the Exchequer. PPPs are acknowledged to be complex, involving as they do a long-term financial commitment for both the private and public sector partners. Significant effort is also required up-front in scoping and negotiating the projects. Building on the lessons learnt to date and on the progress and expertise already developed, one of the challenges going forward is to determine how best to ensure that the appropriate skills and capacity are in place to assist Departments in procuring PPP projects. I am currently considering that issue and my intention is to have that process concluded as quickly as possible.