asked the Minister for Posts and Telegraphs if he will give the following in relation to the recent award of a major contract for telecommunications to a French firm; (a) the date on which tenders were first invited for the equipment concerned; (b) whether the French firm concerned responded to the invitation to submit tenders; (c) the reason none of the original tenders was accepted; (d) the reason the French firm was invited to tender; (e) whether the amount of the tender accepted was higher or lower than the lowest tender originally received; (f) the estimated positive implications for employment in Ireland of each tender; and (g) how the tender finally accepted will be financed.
Written Answers. - Telecommunications Contract.
187.
Tenders were invited on 2 February 1979 for the contract in question from Irish and major international manufacturers—including French—of automatic exchange equipment. The invitation to tenderers included an invitation to them to submit to the Industrial Development Authority proposals for the manufacture of the equipment in Ireland. It was clear that the most attractive "package" covering both supply of suitable equipment and industrial proposals was being sought.
After consideration of the tenders and associated industrial proposals discussions took place with the firms which had submitted the most attractive offers. It was decided, all things considered, that the contract be awarded to an Irish firm, Telectron Ltd., whose tender was based on an agreed association with a French firm (CIT-Alcatel). The contract was not re-advertised at any stage.
The expenditure arising from the contract will be financed primarily from Telephone Capital Funds but arising from Ireland's participation in the European Monetary System purchase of the equipment will be partly financed with French bilateral aid which will be extended in consequence of the contract.
It would be contrary to long-standing practice in relation to public contracts to disclose confidential information relating to competitive tenders. Hence I am not in a position to give some of the information sought by the Deputy.
In a press statement issued at the time the selection of the successful tender was announced, the IDA stated that the placing of the Post Office contract with Telectron Ltd. Would result in the establishment of two new industrial projects in Ireland which should lead to the creation of almost 1,000 new jobs and involve an investment of over £7 million. I am informed that this information relating to the approved proposal to the IDA was published with the consent of the companies concerned. I am advised that information on proposals made to the IDA is otherwise treated as confidential.