Dáil Éireann debate -
Tuesday, 11 Oct 2005

Vol. 607 No. 2

Adjournment Debate.

Consultancy Contracts.

Mr. Allen

I thank the Chair for the opportunity to raise an important issue, namely the cost over-runs in the preparation and production of Irish passports and the payment of royalties to contractors for each passport issued. This is another example of the taxpayer forking out for the golden fleeces that we have seen so many of in recent times. There have been at least 13 major cock-ups in public expenditure on capital programmes, the largest of which is the personnel, payroll and related system, PPARS, costing €150 million to date, while the original estimate was €8.8 million. I do not have sufficient time to go through all 13 examples, but on the passport system, the Minister must answer some questions.

Why was the provision of the automated passport system so much more expensive than had originally been estimated? The Minister must also explain why a royalty must be paid by the taxpayer every time the new system is used. According to the 2004 annual report from the Comptroller and Auditor General, the costs for the provision of the new automated passport system, for which a contract was signed in late 2002, was €21.819 million. This cost is 60% higher than that estimated only two years earlier, when a figure of €13.559 million was recommended by the Department of Foreign Affairs. While the development of new technologies in the period from 2000 to 2002 may account for some of the increase in cost, the total price of the contract is still significantly higher than anticipated. The Minister must clarify the situation and outline the reasons for the large increase in costs.

In addition, the contract for the automated passport system provided for the exclusive purchase of blank passport booklets and data pages from the contractor and payment of a royalty for each passport issued. Based on an output of 650,000 passports, the cost to the taxpayer under this specific arrangement is approximately €4.76 million per annum. For each passport produced, the contractor receives more than €7 from the State. Having spent almost €22 million on this new automated passport system, the Minister must clarify why the taxpayer must also pay a royalty to the contractor each and every time the system is used. I also wish to know who owns the intellectual property rights to the new automated system and whether this matter was dealt with in the contract. Taxpayers have paid for the development of a new system. Will they see any dividends if this system is used elsewhere?

Two other issues are detailed on page 80 of the Comptroller and Auditor General's report. First, legal fees rose from €47,000 to over €294,000, a seven fold increase. Second, it was estimated that a minimum of 40 days assistance would be required for project management. A fixed price per service day was required and the per diem rate varied between €480 and €1,450, depending on the particular consultant engaged. At the time of the audit carried out by the Comptroller and Auditor General, some €423,000 had been paid for these services which, at the maximum rate, would represent 290 days work by consultants.

These are serious questions and I ask the Minister to reply to each point raised and give an explanation to this House for the gross misspending of hard earned taxpayers' money.

Minister of State at the Department of Foreign Affairs (Mr. Treacy)

I apologise for the absence of my colleague, the Minister for Foreign Affairs, Deputy Dermot Ahern, who has had to travel north to a meeting this evening with Northern Secretary of State Peter Hain.

During the tenure of the rainbow Government our passport system was allowed to deteriorate to a wholly unacceptable level. To produce just over half of the number of passports which we will issue this year, the public was subject to queues and lengthy delays on a daily basis. The hallmark of the Irish passport system when the parties opposite were last in Government was queues around the block at Molesworth Street and down Kildare Street. Many in this House would have witnessed those queues on their way in and out of Leinster House week after week.

This Government set about repairing this unfortunate situation. This has been done with success and with value for taxpayers' money. Our automated passport system fully meets all international specifications, is widely regarded as one of the most secure in the entire world and has been described by the US administration as absolutely superb.

The system was never estimated to cost €3 million or €13.5 million. All assertions to that effect are totally without foundation or substance and the parties opposite are well aware of that.

Mr. Allen

The Minister of State should take that up with the Comptroller and Auditor General.

Mr. Treacy

There were various early estimations of the cost of upgrading the old system but not for implementing the new state-of-the-art passport system. Again, the Deputies opposite are aware of this fact. The contract price, which is the only relevant estimate, for our automated passport system was €21.8 million in 2002. It will actually cost €27.7 million on completion. These additional moneys are mainly for additional security features in the new passport system necessitated by tightened passport entry requirements in the US following 11 September 2001. Had we failed to introduce these new security features following 11 September while we had the chance, the Deputies opposite would rightly have accused us of negligence.

The additional moneys were also used to introduce the express passport system into Northern Ireland, where there are over 40 post offices now processing Irish passports. This year 26,000 people in Northern Ireland will avail of this new service.

The passport project was, at all times, conducted within Department of Finance guidelines and it avoided the severe problems experienced by other countries in moving to a new passport system. It also allowed Ireland to remain within the US visa waiver scheme.

Deputy Allen has asserted that €5 million will be spent on royalties but the actual figure will be in the region of €360,000 or 52 cents per passport. The sum of 52 cents per passport is paid for the use of patented software technology used in producing the passports. This is a far cry from the €5 million claimed by Deputy Allen, which is nothing short of a political lie. As the Deputy knows ——

Mr. Allen

I resent that remark.

An Leas-Cheann Comhairle

Deputy Treacy should know that the word "lie" is not used in parliamentary debates.

Mr. Treacy

With respect to the House, to the Leas-Cheann Comhairle and to Deputy Allen I rephrase my sentence. This is far cry from the €5 million claimed by Deputy Allen, which is nothing short of a fabrication. The Deputy knows that the €4.76 million referred to in the Comptroller and Auditor General's report for recurring costs in the main applies to the purchase of state-of-the-art passport booklets which feature specialised data pages capable of holding digital photographs and other information vital for passport security and fraud prevention. That is the cost of safeguarding our passports' credibility and providing the potential to build in additional security and anti-fraud features and any reasonable person would accept that.

This debate underlines the Fine Gael tactic of shifting base lines to vastly exaggerate over-spending, to the detriment of the State, its systems and officers for naked political opportunism. It is part of a political tactic to project that party's own record of fiscal incompetence on to this Government. Fine Gael has no fiscal spine and is not tenable in the long-term. It is the party which brought us a 27% rise in hospital waiting lists, an 11% fall in local authority housing output, a £1.80 rise in the old aged pension, the Eircom shareholder compensation plan and the taxi driver compensation plan. It will never be the party of fiscal propriety.

Mr. Allen

What of the golden fleeces of the taxpayer?

Mr. Treacy

That is mere bluster.

Mr. Allen

A total of 13 golden fleeces.

Mr. Treacy

Bluster.

Crime Prevention.

Mr. Costello

I am attempting to find out the plans of the Minister for Justice, Equality and Law Reform to tackle the annual epidemic of fireworks in the run-up to Hallowe'en. The Hallowe'en season is upon us and the annual sale, distribution and indiscriminate use of illegal fireworks, which often end up in the hands of young people, is in full swing.

Each year the Minister for Justice, Equality and Law Reform promises to introduce legislation to curb this illegal activity, but so far he has produced nothing. Unbelievably, it is now reported in the media that he is seeking derogation from a forthcoming European Union directive which aims to establish a common policy to regulate and control the sale, distribution and use of fireworks throughout the member states.

It appears everyone is out of step except the Minister. Elderly people are terrified in their homes and on the street, with bangers going off night and day. Young people, ignorant of the potential dangers of handling fireworks which are literally miniature explosives are liable to serious injury at any time. Two weeks ago, at the National Ploughing Championships, €365,000 worth of fireworks were seized by the Garda. At the Ballinasloe horse fair last week the Garda reported numerous fireworks seizures and horses were stampeded by sudden explosions of fireworks.

While fireworks are currently banned by law in the Republic they are available everywhere. They are not banned in Northern Ireland and the United Kingdom, while they are subject to restrictions on their usage. Surely the first step for the Minister for Justice, Equality and Law Reform is to contact his counterparts in Northern Ireland to put together and discuss a common policy to control and regulate fireworks on an all-island basis. Instead of seeking a unilateral derogation for this country, having got a common approach in Ireland, he should be able to argue a common European Union policy that would allow for common control and common regulation among all the 25 member states.

He should then make regulations so that local authorities would be obliged to take responsibility for good order in the communities for which they have responsibility in the run-up to Hallowe'en. They should play a proactive role in the organisation of safe firework events and alternative Hallowe'en activities for young people. For example, household junk collections should not take place in October or September as is the case in Dublin at present. This allows all sorts of inflammable materials to be collected. They are readily available to all young people who wish to get them ahead of the corporation trucks.

What is needed is a Minister for Justice, Equality and Law Reform who is prepared to show leadership on this issue and ensure we have safety and security throughout the country at Hallowe'en each year. We do not need a Minister who promises each year that he will do the devil and all with the end result that there is nothing to show for it and there is the same fear and threat to elderly people, particularly in housing estates and complexes throughout the country and the same danger to young people who have no proper knowledge on how to handle these explosive materials.

Minister of State at the Department of Education and Science (Miss de Valera)

The Minister for Justice, Equality and Law Reform regrets that he cannot attend the Adjournment debate here this evening.

The Minister is fully aware of the difficulties the illegal use of fireworks present each year around this time, the dangers they pose and the distress they cause to people, particularly the elderly. Conscious of this, last February, the Minister published a "Fireworks Policy Consultation Document" and initiated a process of consultation with a view to bringing forward proposals for amending and strengthening the provisions in the Explosives Act 1875 which govern fireworks.

The 1875 Act provides for control of the importation, manufacture, storage and sale of fireworks. While current Irish law on fireworks does not specifically ban the importation, manufacture, sale or use of fireworks, it is Government policy in the interests of safety and security to restrict to the greatest extent possible, the availability of any category of firework to the general public. Effect is given to this policy through the use of the licensing powers conferred on the Minister for Justice, Equality and Law Reform by the 1875 Act. The Act provides that fireworks may only be imported into Ireland on foot of an importation licence granted by the Minister. It is current policy to only issue licences for the importation of fireworks used in organised displays, conducted by professional or competent operators. In effect, this policy means that the only fireworks imported into the State and legally held here are those used in professional displays. All other fireworks imported, held, sold or used here are illegal and any person in possession of fireworks without a valid importation licence is liable to prosecution.

The Minister has received a wide range of submissions in response to the "Fireworks Policy Consultation Document". It is clear from these submissions that among the options for change outlined in the consultation document there is a general acknowledgement of the need to strengthen the enforcement provisions in the 1875 Act. Accordingly, the Minister proposes to take the opportunity presented by the Criminal Justice Bill 2004 which is currently before the House to bring forward on Committee Stage of that Bill, amendments which will provide for new offences governing the misuse of fireworks in public places and an offence of possession of illegally imported fireworks with intent to supply. He also proposes to significantly increase penalties governing the illegal importation, sale and use of fireworks.

In so far as the seizure of fireworks by the Garda authorities is concerned every effort is made by the Garda to identify persons involved in the illegal importation and sale of all types of fireworks. Where necessary, specific policing plans are put in place in areas where particular problems arise. These plans include intelligence-gathering on known dealers and suppliers and, once identified, putting plans in place to arrest them and seize their stocks of illegal fireworks. Each year, leading up to Halloween, special efforts are made to combat the illegal importation of fireworks. This year, an intelligence-led operation called ‘Operation Tombola'——

Mr. Costello

That is a very exotic title. I wonder where the Minister got it.

Miss de Valera

——which aims to prevent and detect the organised importation of fireworks for sale, has been put in place by the Garda Commissioner. In this context, chief superintendents throughout the country have been instructed to introduce measures appropriate to their respective areas of responsibility with particular emphasis on Garda divisions in the Dublin Metropolitan region and in Border regions. The operation, while being intelligence-driven, is coupled with sporadic high visibility policing activities.

Over the past five years, such operations have resulted in significant seizures of illegally imported fireworks with an estimated value of €2 million. Already this year, as Deputies will be aware from recent media reports, "Operation Tombola" has resulted in the seizure of very large consignments of illegally imported fireworks. All fireworks seized are forfeited by the person importing them and destroyed in accordance with the provisions of the Explosives Act 1875.

I now turn to the question of the draft EU directive on fireworks, which is currently being discussed by the EU Commission. The objective of this directive is to establish rules designed to achieve the free movement of pyrotechnic articles-fireworks throughout EU member states while ensuring a high degree of protection for the consumer. The main thrust of the draft directive is to achieve the free movement of fireworks throughout the EU. While the directive makes certain provisions relating to safety, Ireland is not satisfied that the measures being proposed are sufficient.

Adult Education.

Dr. Cowley

I am grateful for the opportunity to raise this important matter.

The adult education services in Mayo do magnificent work in helping adults with learning disabilities to acquire new skills, including reading and writing. A bombshell, however, has been dropped. This wonderful adult education service provided by Mayo VEC is in jeopardy. A letter dated 5 October was received by tutors which stated that due to a lack of funding to meet increased costs, it will be necessary to cancel all further literacy tuition in County Mayo between October and December 2005. The letter states:

Due to a lack of budget to meet increased costs, I have been informed by the chief executive officer that it will be necessary to cancel all further literacy tuition for the period October-December 2005. I shall be grateful, therefore, if you would inform all tutors and students that classes will cease as and from Friday, 14 October. We regret this action is necessary and contact has been made with the Department of Education in an attempt to get an increased allocation.

Pat Staunton

Adult Education Officer

It is a total and utter disgrace that people who have gone to the trouble to learn how to read and write should be treated this way. As a result, 700 literacy students must finish their tuition by the end of the week. It is terrible news for them and they have received it at short notice. More than 1,000 back to education initiative students must also conclude their studies by the end of the month. It is a total and utter calamity for those people and it is a disgrace that this can be allowed to happen. They are the most vulnerable in our society. They have reading difficulties but they have taken the brave step to participate in adult education.

It is sad that the people who are least able to help themselves and who have gone to a great deal of trouble to enrol themselves in adult education courses with great success should be thwarted in this way. It is unacceptable and unforgivable. These vulnerable people should not be the subject of a cutback and they deserve better.

The Mayo adult education service run by Pat Staunton and his team do good work with people. Margaret Kelly, Marian Cusack in Ballina, Lisal Mercroft in Achill and the 50 tutors are engaged in pioneering work and they are victims of their own success. They were told they would require a minimum of 232 pupils this year but they have attracted more than 1,000 students, a mark of their success. Their target was 45,000 hours contact but they have achieved 85,000 hours. They were encouraged to do this by the Department but their magnificent work is in jeopardy.

The 50 tutors deserve better than this given their wonderful track record, enterprise and pioneering spirit. They have helped many people with reading and writing difficulties, for whom such difficulties were a life sentence as they were unable to get on as well as they should. This service is superb.

Child care and health care support courses were also provided through the service. Students were due to gain a FETAC award next May. This is a nationally recognised award, which would be the pinnacle of their success. However, if the cessation of the teaching programme goes ahead, as planned, it will have catastrophic consequences for the students. If they cannot pursue their courses through November and December, they will not be ready for their award, as they will not have enough modules completed by May, which would be a calamity.

This cutback has serious implications for these students. I ask the Minister to provide €100,000, funding which should have been anticipated and benchmarked. It should have been factored into the budget. I blame the Minister totally for this and I call on her to act immediately.

Ms Cooper-Flynn

I welcome the opportunity to contribute to the debate. Between 40 and 50 tutors employed by Mayo VEC were informed last week that the back to education and literacy courses they were running would be suspended at the end of the month and the end of the week, respectively, due to an increase in administration costs, which meant that money ran out. This affects 50 tutors, 700 literacy students and 1,600 back to education initiative students who are doing a FETAC level 2 course in child care and health care support. This is disappointing news, with serious consequences for everybody involved, particularly they were given short notice towards the end of the year.

Eight weeks of the courses, which would have taken students up to Christmas, have been suspended and it is planned that they will recommence at the start of next year. However, the loss of eight weeks will have serious implications for the timing and scheduling of the course and the awarding of qualifications.

I hope the Minister of State can shed light on this issue. The funding for these courses amounts to €500,000 in 2005. Mayo was the first county to initiate the national adult literacy programme and the service is well regarding by the Department and throughout the country. Many other counties have followed the example of the excellent literacy programme content provided by Mayo VEC. Excellent results have been achieved, hence the popularity of the programme within the country, which has addressed what was a hidden condition until recent years.

It is a brave step for a person who leaves school without the necessary reading and writing skills to take up the challenge of a literacy course. They are an essentially vulnerable group. Why are they being targeted? Is it because it is highly unlikely a person on a literacy course will step forward as a spokesperson to state this situation is completely unacceptable and money should be put in place? These people are trying to achieve competence in the area of literacy and they are particularly vulnerable. It is a cynical exercise to target this course.

I refer to the back to education initiative, which concentrates mainly on unemployed people. However, many of them have paid for the course in full out of their own pockets in the expectation of gaining a qualification next May. The certificates under the FETAC level 2 programme are due to be presented in May 2006 and the scheduling of the course facilitates job applications for child care and health care support vacancies. Given the sudden suspension of the final eight weeks of the course this year, what implication will that have for the scheduling of the course? Will the eight weeks be added on at the end? How will this affect the new courses, which are due to commence in 2006?

Why was there no forward planning? Everybody must have recognised administrative costs would increase towards the end of the year. Why was that not anticipated? If it was anticipated, were additional resources requested from the Department? What was its response?

The people affected comprise vulnerable groups in our society. It is a shame that they have been hit. It is incumbent on me, therefore, as a public representative for County Mayo to speak on behalf of these silent voices on this issue. Both students and tutors are affected. I call on the Minister to make available as a matter of urgency the funding required to enable the County Mayo VEC to complete the adult literacy and BTEI programmes without interruption and to reassure the participants that all such courses will be completed on schedule.

Miss de Valera

I propose to address the issues raised by Deputies Cowley and Flynn together.

The Department of Education and Science was contacted by the chief executive officer of County Mayo Vocational Education Committee, Mr. Joseph Langan, last week on the matter. My officials requested that further details be submitted in writing. I am informed that no further communication has been received so far and we await a response.

The adult literacy services are delivered locally by vocational educational committees under the budget for the adult literacy community education scheme and the special initiatives for disadvantaged adults scheme. The national position regarding the allocations is as follows. All VECs were notified by letter from my Department on 30 March 2005 of their provision for 2005 in terms of their further education programmes. These include the adult literacy and community education programme, the back to education initiative, the vocational training opportunities scheme, post-leaving certificate courses, senior traveller training centres and Youthreach.

The provision to County Mayo VEC for the adult literacy programme in 2005 is €422,187, as against an allocation of €406,176 for 2004. This represents an increase of 10.39%, one of the highest percentage increases to any of the VECs. The corresponding increase in the overall subhead was 9%. This increase was in recognition of the demographic factors and the dispersed nature of the population in that county. VECs are expected to plan for their annual adult literacy programmes within the budget provided. With regard to its literacy budget, Mayo VEC received one instalment in April and a second instalment is due for issue this month. The number of literacy clients for 2004 was 660.

In March 2005, County Mayo Vocational Education Committee was notified by the Department of a budget allocation amounting to €529,000 in respect of back to education initiative programmes for the financial period January to December 2005. Within the BTEI programme, approval was given for 16 child care courses. Approximately 232 places and 45,405 tutor hours are being supported. An initial payment of 60% of the budget allocation, €292,002, was paid to County Mayo VEC in early May 2005. The balance of €236,998 allocated for this year is due to be paid following the receipt and reconciliation of approved financial statements from the VEC in respect of 2004.

The CEO of County Mayo VEC has recently requested a meeting with the further education development unit to discuss the financial reconciliation data. The VEC has also requested an extra €50,000 in respect of additional activity. In the event that the normal financial reconciliation is agreed between the Department and the VEC, the balance of BTEI programme funding will be issued to the VEC shortly. Requests for increased funding will not be considered at this time because the 2005 budget for the BTEI has been allocated to VECs, schools and community strand providers already.

The Dáil adjourned at 9.05 p.m. until 10.30 a.m. on Wednesday, 12 October 2005.