Niall Collins (Limerick County, Fianna Fail)
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282. To ask the Minister for Public Expenditure and Reform the position regarding the programme for Government commitment to conduct a consultation on the merits of establishing a procurement ombudsman. [40835/16]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Programme for Government has a number of objectives in relation to public procurement including supporting SME access, conducting a consultation on the merits of establishing a Procurement Ombudsman, conducting an independent review of the Tender Advisory Service (TAS) and refining the new procurement structures, such as the Office of Government Procurement (OGP), as they bed down and make adjustments according to best international practice and in conjunction with Irish businesses

My colleague, Minister of State Eoghan Murphy, who has responsibility for public procurement, presented his proposed holistic approach to meeting these commitments to the SME Working Group in October. Minister of State Murphy has asked the OGP to evaluate the existing review and appeal mechanisms in place in public procurement and assess if they are sufficient, appropriate and proportionate. The experience in other jurisdictions will inform the evaluation. Consultation will be conducted through the SME Higher Level and Working Groups to ensure input from industry representatives and public sector practitioners. It is important to balance the need for appropriate appeal mechanisms with the onus on the State to deliver projects in a timely, efficient and effective manner that delivers value for money for the taxpayer.

Niall Collins (Limerick County, Fianna Fail)
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283. To ask the Minister for Public Expenditure and Reform the position regarding the programme for Government commitment to refine the new procurement structures in place, such as the OGP; and the action taken to date. [40836/16]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Programme for Government contains a number of objectives in relation to procurement; one of which is to refine the new procurement structures in place, such as the OGP, as they bed down and make adjustments according to best international practice and in conjunction with Irish businesses.

Public procurement is a key part of my portfolio and an integral part of the Government's overall reform agenda. Given the €12bn quantum of annual spend, it is essential that a strategic approach is adopted and value for money is achieved. Since of OGP commenced operations in 2014, it has engaged with stakeholders both nationally and internationally to seek and implement new and innovative approaches to procurement. Most recently these reforms would include:

- the transposition and implementation of a revised suite of EU Procurement Directives;

- informed consideration of SME issues through the establishment of the SME Higher Level Group and Advisory Groups;

- Progress Report of the High Level Group on SME Access to Public Procurement;

- Commitments in the Action Plan for Jobs in relation to SME access to procurement and developing further strategies to improve SMEs access and innovation;

- Improving how SMEs can access public procurement opportunities via the OGP Published Schedule, the national portal, eTenders and OGP's Helpdesk;

- Participation in training opportunities to assist SMEs in developing the necessary tendering skills and where necessary to build consortia.

- The introduction of the Tender Advisory Service;

The published by the OGP and launched by Minister of State Murphy in September, indicates that 95% of the analysed expenditure is with firms with a base in the State and the majority of the spend analysed is with SMEs. In addition the OGP conducted an analysis of the 94 Framework Agreements it has in place which shows that 68% of Framework members are SMEs and 63% of the Frameworks had multiple lots, facilitating SME access.

Ireland's procurement reform programme has been successful in establishing new structures and building momentum but, of course, more needs to be done and the OGP, in line with the Programme for Government Commitments, will continue to refine the model.

Finally, I would point out that while the main driving force behind the establishment of the OGP has been the need to deliver better value and sustainable savings for citizens, great care has been taken to ensure this is achieved in a manner that fully recognises the important role SMEs play in the Irish economy and also taking account of wider societal concerns.