Written answers

Thursday, 14 February 2019

Department of Defence

Capital Expenditure Programme

Photo of Jonathan O'BrienJonathan O'Brien (Cork North Central, Sinn Fein)
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50. To ask the Taoiseach and Minister for Defence the capital projects completed by his Department since 2011; the initial contract value of same; the final cost of same; and the final cost of the capital projects that have had an ex post review in tabular form. [7847/19]

Photo of Paul KehoePaul Kehoe (Wexford, Fine Gael)
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There has been one capital project with a value in excess of €10 million completed by my Department since 2011, the Naval Vessel Replacement Programme.

A contract was placed with Babcock International in 2010 for the purchase of two Offshore Patrol Vessels at a contract price of €132.2m. The final cost of these vessels was €133.51m. This contract also included the option of the purchase of a third ship at a contract price of €67.16m. This option was exercised in 2014 and the final cost of this purchase was €68.48m. The first new Offshore Patrol Vessel (OPV), LÉ Samuel Beckett was delivered by Babcock International from their Appledore yard in the UK in April 2014. The second ship, LÉ James Joyce was delivered in July 2015. The third ship LÉ William Butler Yeats was delivered in July 2016.

In 2016, a contract for the purchase of a fourth ship under this programme was put in place with Babcock International, at the contract price of €66.79m. The final cost of this contract was €68.14m.

All above figures are inclusive of VAT. The minor variations between the contract price and the final cost for these Naval Vessels were agreed based on the following:

- Fuels and lubricants on board the vessels at handover;

- Training, manuals and publications provided;

- Spare parts provided with the vessel;

- Additional agreed works including works to bringing all vessels in line with revised Ship Classification requirements.

A number of further significant, multi-annual, capital projects are currently underway as part of the investment in Defence under the National Development Plan. This investment provides for a programme of sustained equipment replacement and infrastructural development as identified and prioritised in the White Paper.

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