Tom Hayes (Tipperary South, Fine Gael)
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Question 513: To ask the Minister for Defence the measures agreed for his Department under the Value for Money Review 2006-08; the projects which had the necessary changes made; when they are planned for completion; if a value for money review is planned after 2008; and if he will make a statement on the matter. [25855/08]

Willie O'Dea (Limerick East, Fianna Fail)
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In June 2006 (S180/20/10/0839B), the Government approved a schedule of Value for Money and Policy Reviews for the period 2006-2008 replacing the previous Expenditure Review Initiative and strengthening the institutional arrangements underpinning this process. Four reviews were scheduled for completion by the Department of Defence in this period. The Reviews and their current status are as follows:

1. A review of Maintenance of Aircraft in the Air Corps was published in July 2006. The main findings of this review were that the efficiency and effectiveness of aircraft maintenance was being compromised by the age and diversity of the fleet that the Air Corps operated over the period of the review.

The ongoing investment in Defence equipment has resulted in significant modernisation of the Air Corps fleet and has resulted in reduced fleet diversity. Very significant improvements in logistical support for the modern aircraft types were put in place as part of the procurement contractual processes. Power by the Hour contracts are in place with Pilatus, Eurocopter, Agusta Westland, Learjet and McAlpines (for the Garda helicopters). These contracts improve the availability of spare parts for maintenance purposes. In two cases, Pilatus and Agusta Westland, the aircraft manufacturers have placed a consignment stock of spares in a bonded store at Baldonnel to maximise logistic efficiency.

The ongoing infrastructure investment programme has seen improvements to the maintenance infrastructure. Other recommendations which focused on organisational matters, have been considered and implemented where appropriate. It is anticipated that all these changes will significantly enhance the efficiency and effectiveness of aircraft maintenance in the Air Corps.

2. A review of Clothing Procurement in the Defence Forces was published in September 2007. This review has identified potential for increased efficiency and effectiveness in the clothing storage and distribution system. An implementation group, tasked with drawing up a detailed implementation plan has been established. The anticipated improvement in inventory turnover ratios should decrease the volume of clothing stock on hand. However, it is vitally important to ensure that the Defence Forces clothing needs continue to be met. The optimisation of inventory levels and the clothing distribution system are inextricably linked to supplier performance and the implementation group are considering this factor in their deliberations.

3. A review of Naval Service Vessel Maintenance is currently being progressed.

4. A review of Usage of Military Training Land is currently being progressed.

It is anticipated that the outstanding reviews will be completed by end December 2008.

Arrangements for the next round of reviews, which may cover the period 2009-2011, are being considered by The Value for Money and Policy Review Central Steering Committee.