Written answers

Wednesday, 2 April 2008

Department of Environment, Heritage and Local Government

Waste Management

9:00 pm

Photo of Ruairi QuinnRuairi Quinn (Dublin South East, Labour)
Link to this: Individually | In context

Question 1001: To ask the Minister for the Environment, Heritage and Local Government if, in view of the statement relating to the Dublin waste to energy project made in Dáil Éireann on 22 February 2007, adjustments or changes were made to such arrangements in the final contractual terms embraced in the agreement that was announced by Dublin City Council later in 2007; if so, the dates such changes or adjustments were made; if such adjustments or changes were made to the arrangements indicated by him on 22 February 2007, whether they were made with the consent or approval of himself or the Minister for Finance or the Government; and if such approval or consents were given on the dates they were given; the nature and extent of changes or adjustments that were made to the arrangements indicated by him on 22 February 2007; and if he will make a statement on the matter. [12282/08]

Photo of John GormleyJohn Gormley (Dublin South East, Green Party)
Link to this: Individually | In context

The facility in question is provided for in the Dublin regional waste management plan for which the four Dublin local authorities have statutory responsibility under the Waste Management Acts. Section 60(3) of the Waste Management Act, 1996 precludes the Minister from exercising any power or control in relation to the performance by a local authority of a function conferred on it under the Act.

In view of the project's status as a prospective public private partnership, my Department was involved in certifying that the procurement was conducted in accordance with public policy on the procurement of infrastructure in this way. The Department by letter dated 14 September 2005 advised Dublin City Council, which acts as lead authority for the project, that having considered the submissions received in respect of the procurement process there was no objection to Dublin City Council proceeding to enter into contractual arrangements with the selected private partner. My Department is not a party to this contract and has no further role in the matter.

However, in 2007 my Department was advised that the selected private partner, Elsam, had been subsumed by Danish Oil and Natural Gas (DONG) leading to a corporate restructuring which has also involved extending the partnership to include Covanta, a US firm. In light of the corporate restructuring the project board, which in accordance with normal practice and procurement policy oversaw the procurement process, was reconvened.

The board included representatives from the National Development Finance Agency (NDFA) and my Department. Following technical and legal examinations by the consultants acting for Dublin City Council as a Client's Representative, a standard feature of PPP projects, a meeting of the board was held on 14 May 2007. On the basis of the advices available to it the board concluded that the proposed revised arrangements to reflect the restructuring on the side of the private partner were not materially different from those which were originally envisaged and are the product of the procurement process which the NDFA and my Department validated. My Department noted and concurred with this decision and consequently the need for any further certification did not arise.

Photo of Ruairi QuinnRuairi Quinn (Dublin South East, Labour)
Link to this: Individually | In context

Question 1002: To ask the Minister for the Environment, Heritage and Local Government if, in view of paragraph 2.7.9 of the Department of Finance guidelines on public private partnerships where it is stated in the case of a once-off project where there is not likely to be any similar procurement in the future, the release of the PSB after the contract has been signed could be considered and whereas the Dublin waste to energy project at Poolbeg, finally activated is clearly a once-off project, he will arrange for the public release of the PSB on the Dublin waste to energy project; the extent to which the contractual terms of any final agreement between a company (details supplied) and Dublin City Council is compatible with such public sector benchmark; and if he will make a statement on the matter. [12283/08]

Photo of Ruairi QuinnRuairi Quinn (Dublin South East, Labour)
Link to this: Individually | In context

Question 1003: To ask the Minister for the Environment, Heritage and Local Government if, in view of the recommendations on the First Interim Report 2007 Access to the Private Element of Public Private Partnerships — An International Comparison, March 2007 of the Committee of Public Accounts that contracts should eventually, after the appropriate time interval, say three months after completion, be assessed in their entirety which would allow ongoing assessment of a project and provide reassurance to the public that its interest was being respected by reference to the Dublin waste to energy project, he will immediately arrange for the publication of any contractual agreements, letters of intent or memorandums of understanding made between Dublin City Council and companies (detailssupplied) between 2002 and 1 November 2007; and if he will make a statement on the matter. [12284/08]

Photo of John GormleyJohn Gormley (Dublin South East, Green Party)
Link to this: Individually | In context

I propose to take Questions Nos. 1002 and 1003 together.

The facility in question is provided for in the Dublin regional waste management plan for which the four Dublin local authorities have statutory responsibility under the Waste Management Acts. Section 60(3) of the Waste Management Act, 1996 precludes the Minister from exercising any power or control in relation to the performance by a local authority of a function conferred on it.

In view of the project's status as a prospective public private partnership, my Department was involved in certifying that the procurement was conducted in accordance with public policy on the procurement of infrastructure in this way. The Department by letter dated 14 September 2005 advised Dublin City Council, which acts as lead authority for the project, that having considered the submissions received in respect of the procurement process there was no objection to Dublin City Council proceeding to enter into contractual arrangements with the selected private partner. My Department and the National Development Finance Agency had representation on the project board established to manage the procurement process. The project board did not have a role in regard to the contractual arrangements subsequently entered into by Dublin City Council. My Department is not a party to this contract and has no further role in the matter.

The Minister for Finance in his response, in April 2007, to the recommendations in the Committee of Public Accounts report took the view that this recommendation would need to be considered by the relevant sponsoring agency on a case by case basis, having regard to protecting the State's negotiating position and the statutory, civil and legal rights of contracting parties. He also noted that all of the PPP documentation and analyses are available to the Comptroller and Auditor General.

In the case of this project Dublin City Council is the relevant sponsoring agency, and the Council has not made any proposal to my Department to release the Public Sector Benchmark. My Department is aware that independent statutory processes are still in progress in regard to the project, and any issues which arise in that context with implications for the contract are a matter for Dublin City Council.

Comments

No comments

Log in or join to post a public comment.