Siteserv sale procurement concerns
Deputy Catherine Murphy raised public opposition to water charges and sought answers about the procurement of IBRC’s Siteserv sale, including alleged EU-rule breaches and a €105 million loss to the State. The Taoiseach did not have the details but undertook to obtain them from Irish Water and place the answers on the public record.
As we speak, thousands of people are making their way to Dublin for this afternoon's protest. I believe they are coming for two main reasons. They want the Taoiseach to listen and they want to get answers. Yesterday, the Taoiseach claimed once again that all the issues of concern with regard to water charges have been addressed. I hate to break it to him that the thousands of people who will be outside Leinster House this afternoon disagree with him. I agree with the Taoiseach that this is about more than water. Many people, including some who are in favour of water charges, have major concerns about the circumstances surrounding the creation of Irish Water and the awarding of the metering contracts. They want some very specific questions to be answered, but those answers do not appear to be forthcoming. I asked some of those questions when I spoke on the Water Services Bill 2014 in this House last week, but I am still waiting to receive answers. I have also tabled parliamentary questions.
One of my parliamentary questions was flatly refused and the answer to the other was so anemic that it was a non-answer. The questions referred to the circumstances surrounding the awarding of the Irish Water metering contract and how the company, Millington Limited, was able to acquire Siteserv and, thus, GMC/Sierra Limited at a significantly reduced cost from IBRC, a deal that saw the State lose €105 million. GMC/Sierra went on to win the metering contract.
There are some known facts. We know that the bids had to be in by 30 June 2013. We know that one of the companies awarded one of the major contracts did not exist until 15 July, weeks after the closing date for bids. As such, I wish to ask some of the questions that I asked but to which I have not managed to get answers. If the closing date for applications to be considered for the contract was 30 June 2013 according to a parliamentary reply last year from the former Minister, Mr. Phil Hogan, how did GMC/Sierra, company registration No. 530230 and which did not come into existence until 15 July, manage to win a contract? How could a company that did not satisfy the requirement to have a tax clearance certificate be considered for the contract?
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How did the procurement process satisfy EU rules? Why did IBRC choose to accept a bid from Denis O'Brien's Millington for Siteserv when it was actually the lowest of the bids and resulted in a loss to the State of €105 million?
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I will take the Deputy's questions, though, and find the answers for her from Irish Water.
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I welcome the fact that the Taoiseach has committed to giving me the answers. I ask him to put them on the public record-----
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-----rather than providing them to me directly. It is essential that we move to address people's concerns. There has been a sizable engagement on this issue for some considerable time, mostly via social media and online. It is critical that this be above board. We all know that European rules apply to these matters and that one must comply with statutory provisions on the treatment of employees, conflicts of interest and tax clearance certificates. These are specific requirements. It is critical that everything be above board. Otherwise, an entire set of other issues will dog this company if it survives, about which there is a major doubt.
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As I recall, the only discussions we have had at Cabinet sub-committee meetings about that was that there would be regional contracts awarded for the installation of meters and that those contractors would be entitled to employ subcontractors and that there would be a requirement that a 25% allocation would come off the live register, that is, people who might have been involved in the construction sector before.
As I said, the Deputy has asked very specific questions. I will have those transmitted to Irish Water today. I hope we do not get a watery reply. I will see that the detail the Deputy has asked for is provided. Of course it should be on the public record.
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Short and savvy, like the Taoiseach's own answers.
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Can we have extra time for that, a Cheann Comhairle?