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Dáil Éireann debate -
Tuesday, 27 May 2008

Vol. 655 No. 3

Priority Questions.

Public Private Partnerships.

Phil Hogan

Question:

88 Deputy Phil Hogan asked the Minister for the Environment, Heritage and Local Government if he has been in contact with the local authorities regarding the use of public private partnership to provide social and affordable housing; and if he will make a statement on the matter. [21194/08]

Following the announcement by Dublin City Council on Monday, 19 May 2008, that a number of regeneration projects being carried out through PPP arrangements would not proceed as planned, my Department and the council met to examine the implications of the announcement for the projects concerned. The city council has informed the Department that, while the developer in question has not formally withdrawn from the projects, he has indicated that due to the adversely changed circumstances of the current private housing market, along with additional costs cited due to increased apartment sizes and new energy requirements, the approach under which the projects were tendered is unsustainable in the current market.

I understand that a further meeting between the council and the developer concerned took place yesterday and, arising from this, the developer is to submit proposals to the council by Thursday of this week, setting out an approach through which he considers the projects might be taken forward. The council has undertaken to consider these proposals as a matter of urgency. My Department is also examining the potential implications of these events for the PPP housing programme generally and a specialist group has been established to further this aim. My main concern at this stage is to reassure the communities directly involved that the regeneration process continues. Dublin City Council remains firmly committed to this objective and my Department will continue to engage actively with the council as it endeavours to move the process forward as quickly as possible.

Since the news reached the communities in Dublin where the five regeneration projects were to take place, there has been a great deal of concern and anger at the delay in bringing them to fruition. The PPP process was deemed to be the solution to the problems related to acquiring the necessary capital for, and to giving impetus to, these housing projects. After waiting eight years for them to proceed, does the Minister of State accept the urgency regarding this matter has reached a level where the patience of the residents, who are the most important consideration in the entire debacle, is being called into question? Will he apply himself fully to ensuring Michael McNamara and Company, the successful bidder for these projects, and his Department engage with the communities to make sure they are reassured about the potential for many new and regenerated homes in their areas?

I accept that the five communities involved have concerns. The position is that three of them are signed contracts and two are at the tender process. Dublin City Council is in consultation with the regeneration boards in the different areas. My Department is actively in consultation with the council regarding these matters. As I said, a specialist group has been established under the chairmanship of my Department to look at the PPP process.

I beg the Ceann Comhairle's indulgence to apologise to the Minister of State for not congratulating him on his first day here answering questions as Minister of State with responsibility for housing and to wish him well.

The national development plan had significant targets in respect of social and affordable housing. The PPP process was part and parcel of the strategy to deliver those targets. With the rapid reduction in the number of house completions and the forecast for house completions in the next couple of years, can the Minister of State tell us what the revised social and affordable housing targets for the next couple of years are arising from the massive downtown in house completions we have seen this year and which is forecast for next year and the year after?

As the Deputy knows, the capital announcements have been made to the different local authorities. An allocation of €250 million has been made available to Dublin City Council. The PPP process is only one of a number of options available to Dublin City Council as regards the provision of housing.

As I said, the developer in this case has not withdrawn from the projects. He has raised questions and ongoing discussions are taking place. We will have a further report by Thursday.

The Minister of State already knows that the money allocated to each local authority this year is insufficient to even meet the plans already put in train in 2007. Does he accept that there is a shortfall in the considerable amount of resources required in each local authority to fulfil the objectives set out in the national development plan? Will he revise his figures downwards to meet that new reality?

Obviously, we will take into consideration all of the reports. As the Deputy is aware, the report from the different local authorities is due to be returned to my Department inside the next couple of weeks. There are 17 live PPP projects across the country, most of which are in Dublin. They will offer 1,427 social housing units, 2,131 affordable housing units and 4,105 private units so there is still a major housing development programme in place. As I said, Dublin City Council alone has been allocated a sum of €250 million towards its housing needs for 2008.

Electronic Voting.

Ciaran Lynch

Question:

89 Deputy Ciarán Lynch asked the Minister for the Environment, Heritage and Local Government if he will introduce electronic voting or electronic counting in time for the forthcoming local elections or if he will continue with the paper-based system; the costs to date of the development, roll-out and promotion of the electronic voting system; and the cost to date of storage and other costs. [20942/08]

As I have previously indicated to the House, I am at present considering the next steps to be taken in respect of the electronic voting project. In all of this, I am taking into account the work of the commission on electronic voting which has examined the system, relevant experiences and developments internationally and the need to maintain public confidence in the electoral process, as well as the provisions in the programme for Government relating to electoral reform generally.

I am not in a position, therefore, to be definitive regarding the timing of future use of the system. I am conscious of the extensive work inherent in the recommendations of the commission on electronic voting, including the replacement of the election management software, as well as adaptations to the equipment and further end-to-end testing. At the very least, it will be problematic to envisage use of the current e-voting scheme at the local and European elections in 2009.

The total cost incurred to date in the development and roll-out of the electronic voting and counting system is €51.3 million, including some €2.6 million in respect of awareness and education initiatives. In addition, information provided by returning officers to my Department indicates that the total annual storage costs incurred by them in respect of the electronic voting machines and ancillary equipment in 2007 is some €489,000, with figures for 2004, 2005 and 2006 amounting to some €658,000, €696,000, and €706,000, respectively. Costs incurred to date in respect of the movement of the electronic voting equipment to centralised storage arrangements are some €328,000. Further costs will be incurred in respect of the completion of these arrangements, including buy-out costs.

The pertinent part of the question asked whether electronic voting will be used in next year's local elections. Judging by the Minister's response this afternoon, the answer is "No". His response mentions the commission's 2006 report which contained a number of recommendations and very clear points.

Electronic voting was set up to improve the efficiency of the electoral administration, create minimum maintenance for the pre-election, election and post-election periods and support the positive image in the country of the use of electronic information. On those three fronts, electronic voting has clearly failed.

Has the Minister signed up to this project or not? It has been two years since the commission brought its report before the House and its recommendations are quite clear. If the Minister is not sure about this, I call tell him that last week the Dutch Government, which used the same electronic voting system as us, found that the system it purchased is so faulty that it has now scrapped it and reverted to a pen and paper system. This is the same system which is costing us €500,000 per year, at a subsidised rate I might add. We got the rate reduced to €500,000 per year to store annually. The sum is now approaching almost €16 million in total expenditure to date.

It is unbelievable that the Minister can say that he is looking at it when a report has been on the desk of the Minister for the Environment, Heritage and Local Government since 2006. I accept that the report has been on the current Minister's desk since last autumn. Will the Minister clarify whether he is seriously looking at the use of these machines for the local elections next year or is he saying that there will be further examination of this matter?

The report has been on my desk since 2007. The Deputy said it had been there since 2006.

The commission's report was put on the then Minister's desk in 2006.

Let us be very clear on this issue. Due to my involvement in very close election counts over the years, I have advocated the use of electronic voting. The most important thing is that we have public confidence in the system. The Deputy rightly points out that there have been reports from the Dutch Government. It recently issued a statement that it is currently not possible to guarantee that a newly developed electronic voting system would be secure from the emission of radio signals within the stringent threshold set and, therefore, decided to abandon all plans to use electronic voting systems at this time. The statement also refers to the significant investment that would be required to produce the new proposed electronic voting system, which the Dutch Cabinet has decided would add little value compared to voting with pencil and paper. The Dutch electorate will vote using pencil and paper in the foreseeable future.

However, the Deputy needs to be aware that the Nedap voting machines, which are the machines about which we are talking, have recently been recertified in Germany, with the Federal Interior Ministry concluding that the Nedap machines correspond fully with the requirements of German democratic elections. A statement from that Minister late last year found that the recommendations of the Dutch committee to no longer use the Nedap machines was not based on technical uncertainty and were not transferable to Germany. Parliamentary elections in Hessen went ahead with the use of the reapproved Nedap machines on 27 January 2008.

I am weighing up all these issues and the very latest data. I have a predisposition to caution but will weigh up all the options. If I find that the cost is prohibitive and, in particular, that we cannot get public confidence in the system, I will have to look at that very carefully and make a decision on that basis. That is the situation. I hope that when I reach a definitive decision, the Deputy will pat me on the back for doing so.

We know the Dutch and German position on this but we do not know the Irish position. I ask the Minister to set about establishing an Oireachtas committee with powers of compellability to examine the future of electronic voting in this country so that within six months we will have an answer to the question as to whether we will proceed.

As much as I would like to empower Members of the Oireachtas, there is no need for that. I am quite capable of making those decisions myself and I will be——

When will the Minister make a decision?

I will be making those decisions on the basis of all of the evidence available. We only received the Dutch report last week. I must examine all of the data and make a decision but a decision I will make.

Water Quality.

Phil Hogan

Question:

90 Deputy Phil Hogan asked the Minister for the Environment, Heritage and Local Government if he is confident that the policies of the Government and its agencies will achieve the targets set down in the water framework directive when considering the standard of septic tanks in use here; and if he will make a statement on the matter. [21195/08]

The water framework directive requires member states to achieve at least good status of waters by 2015 and to prevent the deterioration of the status of all bodies of water, including rivers, lakes, ground water, estuaries and coastal waters.

These objectives will be achieved through river basin management plans which are required to be prepared under the directive. Draft river basin management plans are due to be published in 2008 and adopted by the end of 2009. Each plan will be accompanied by a programme of measures aimed at achieving the environmental objectives set out in the directive. The objectives of the directive relate to the protection of ground water and require specific measures to be taken to prevent or limit the input of pollutants to ground water. The programme of measures must be made operational by 2012 at the latest, with the aim of achieving the environmental objectives by 2015.

Where measures already taken have not fully met the objectives of the water framework directive, or fall short of achieving the good status objective for waters by 2015, additional measures will need to be developed at river basin management level.

The regulations which transpose the water framework directive into national law assign the responsibility of making river basin management plans to the constituent local authorities of each of the river basin districts. This work is led by a co-ordinating local authority in each river basin district.

My Department will shortly issue guidance on the preparation of river basin management plans. The guidance will, inter alia, set out the steps that must be taken by public authorities involved in the river basin management planning to align the objectives of other plans and programmes, for example, regional planning guidelines, county development plans and so forth, with the objectives and goals of the water framework directive and to promote the co-ordinated implementation of the directive across river basin districts.

Additional information not given on the floor of the House.

With regard to septic tanks, the EPA is currently finalising a revised edition of its code of practice on waste water treatment systems serving single homes. This will refer to the most up-to-date European standards and I understand that the National Standards Authority of Ireland will replace its existing 1991 standard applying to septic tanks with the EPA code. More generally, since the adoption of the water framework directive, successive water services investment programmes have taken account of its requirements in the prioritisation of schemes to protect and improve water quality and this emphasis will be maintained in future years.

Does the Minister accept that malfunctioning septic tanks, whether operated by local authorities or individuals, and current waste water treatment systems do nothing to enhance Ireland's reputation or improve our chances of meeting the objectives of the directive? There is no chance of meeting the objectives on the basis of current measures, in line with what is required by 2015. What additional measures is the Minister considering to achieve the objectives? The Department of the Environment, Heritage and Local Government has never specified or required a minimum level of quality for treated effluent or durability to be achieved, either by septic tanks or other means. Does the Minister accept that and what will he do about it?

I do not accept that. The existing standards for septic tanks are set out in the recommendations for domestic effluent treatment and disposal from single dwelling houses, published in 1991 by the NSAI. These standards are incorporated into Part H of the building regulations dealing with drainage and waste water disposal. The aim of these standards is to achieve satisfactory practice in the design, construction and maintenance of septic tank drainage systems.

The EPA is currently developing a code of practice for waste water treatment systems for single houses. This will incorporate the requirements of new European standards, due to come into force on 1 July 2009. My Department has placed local authorities on notice about the pending application of the European standards. Two circular letters have issued, which include recommended performance levels for treatment systems which have been determined by the Irish Agrément Board, the national and European-recognised body for certifying new building products or systems, for which national standards do not exist.

I intend that the EPA code of practice will replace the NSAI standard of 1991, under the building regulations. As soon as the EPA completes its work, in the coming months, I will incorporate the code of practice and replace the standard recommendations of 1991 under Part H of the building regulations dealing with drainage and waste water disposal.

By not answering the question, the Minister has effectively acknowledged that the Department has never specified or required a minimum standard for effluent disposal. We are operating to a British standard. The EPA standard to which the Minister referred dates back to 1991.

No, not the EPA standard. The EPA standard is currently——

The EPA——

It is the NSAI standard which dates back to 1991.

We are operating off SR6 1991.

That is correct. That is the standard.

It has never been reviewed to take account of the type of measures that are required in order to meet more appropriate standards because of the intensification of house building and the other activities which took place during the Celtic tiger era. I ask the Minister to outline the additional measures he will introduce in order to meet the higher standards that are required by the directive by 2015.

I do not fully understand the Deputy's question. On the one hand, he is saying that there is no standard and on the other, that there is a standard, but it dates back to 1991. That is the standard, the NSAI standard. I have just informed the House that there is an EPA standard. I have also informed the House that I have issued letters to the local authorities on the matter. We are taking account of the directive and are implementing higher standards.

The Deputy knows that local authorities have the power to issue by-laws in this area. Only one has done so to date, namely Cavan County Council, mainly because of the topographic situation in that county. We are working on the matter and the Deputy is right to identify the septic tank as a major issue in the context of water quality.

Tax Code.

Phil Hogan

Question:

91 Deputy Phil Hogan asked the Minister for the Environment, Heritage and Local Government if he has been in contact with the Department of Finance or the Commission on Taxation regarding the introduction of a carbon tax; and if he will make a statement on the matter. [21196/08]

The terms of reference of the Commission on Taxation require it to "investigate fiscal measures to protect and enhance the environment including the introduction of a carbon tax". They also provide that "as the introduction of a carbon tax requires a completely new tax charge and structure, the commission is asked to commence work in this area immediately". These terms of reference directly reflect the commitment in the programme for Government to investigate fiscal measures to protect and enhance the environment, including the introduction of a carbon tax.

At the invitation of the commission, my Department has made a submission on the wide range of issues encompassed in the commission's brief. On the issue of carbon tax, the submission sets out the background to the previous consideration of the measure and points out that the case for the tax is now more compelling and more urgent than ever, in the context of our Kyoto Protocol targets and the need for much greater reductions in emissions in the post-Kyoto period.

The submission also advocates looking beyond minimum compliance targets, no matter how stringent. The more fundamental issue is the need for an early and effective transition to a low-carbon society, which has the potential to deliver significant environmental and economic benefits.

The submission also draws attention to the recent ESRI medium-term review, which factors a carbon levy into its economic modelling for the period up to 2015. This analysis assumes that a carbon tax will be introduced in 2010 at the market price of carbon and that the resulting revenue will be used to keep labour taxes lower than they would otherwise be. The analysis shows that the economic impact is positive — the competitiveness of the Irish economy is increased, with higher employment and economic growth than would otherwise have been the case.

The Minister said last Christmas, at the publication of his carbon budget, that the introduction of a carbon levy was his top political priority for 2008. Now we are hearing it is 2010.

I did not say that.

Is the Minister accepting the report to which he referred which suggests 2010 as the earliest date for the introduction of a carbon levy? The chairman of the Minister's party indicated he has no difficulty in speaking to the Minister for Finance about these issues. The Minister did not answer the question on whether he would contact the Department of Finance to ensure it reviews or brings forward the introduction of a carbon tax for the 2009 budget which will be presented in December 2008, as indicated by him last Christmas at the time of the publication of his carbon budget and as stated in the programme for Government.

The Deputy will be aware that I speak to the Minister for Finance regularly.

I would not be aware of that.

This is the most important point. This is now the preserve of the Commission on Taxation. My Department has been in contact with the chair of the Commission on Taxation and has put forward our views in a coherent way. Under the terms of reference its full report must be made by 31 September 2009. It is in a position to issue interim reports. We have to get this right. We must make sure that such an important issue is fully integrated into the financial arrangements of the country to ensure it works well, as envisaged in the ESRI report. I am confident it will happen.

I am also confident that we will have a carbon levy. It is a question of when, not if, it will happen. It will definitely happen, but we must make sure that we get it absolutely spot on. This is a rigorous Government in terms of the financial management of the country and I am sure we will get it spot on.

Will the Minister ask the Commission on Taxation to provide an interim report on the introduction of a carbon levy to meet the commitment he gave, namely, that it would be his top political priority to introduce a carbon levy for 2009?

As I understand it, discussions have taken place on the possibility of an interim report and it is up to the chair of the Commission on Taxation to determine whether that is possible. He has expressed the view that all elements must be integrated and that one cannot consider one issue in isolation. He is considering the matter. However, the Deputy must understand that when we appoint experts to commissions we must respect their judgment on these important matters.

Building Regulations.

Terence Flanagan

Question:

92 Deputy Terence Flanagan asked the Minister for the Environment, Heritage and Local Government if he will introduce new standards to ensure pyrite does not contaminate building material; his views on reviewing penalties for persons in breach of supplying pyrite-contaminated building materials; and if he will make a statement on the matter. [21197/08]

Responsibility for the elaboration of standards and for the certification of products rests with the National Standards Authority of Ireland, NSAI. When the issue of pyrite arose, and following an intervention by my Department, the NSAI reconvened its aggregates panel to give urgent consideration to the publication of additional guidance on appropriate protocols for testing under-floor infill material.

The NSAI published a new standard recommendation which is a definitive amendment to an existing standard recommendation of 2004 on aggregates. This standard recommendation came into effect on 7 December 2007 and the intention is that it will address the quality standards of new homes in so far as problems relating to pyrite are concerned.

The national building regulations set out the legal requirements for the construction of new buildings, including houses, and for extensions and material alterations to existing buildings. The related technical guidance documents provide technical guidance on how to comply with the regulations. In the case of pyrite, the relevant regulations are part C dealing with site preparation and resistance to moisture and part D dealing with materials and workmanship. I have set a process in train to incorporate further guidance on the new NSAI standard in technical guidance document C. I am awaiting the conclusion of a mandatory three-month consultation period with the European Commissioner and the Commission under Internal Market rules before its formal adoption.

Strengthened enforcement powers were given to building control authorities on 1 March 2008 following commencement of the relevant sections of the Building Control Act 2007.

I take this opportunity to congratulate the Minister of State, Deputy Finneran, on the elevation to his new role as Minister of State with responsibility for housing, urban renewal and developing areas and I wish him well. I thank the Minister, Deputy Batt O'Keeffe, for his courtesy during Question Time, which was very much appreciated, and I also wish him well in his role as Minister for Education and Science.

The issue of pyrite in homes is a major one that has been raised with me as a representative of constituents on the north side of Dublin. Hundreds if not thousands of homes are affected and with the delay in testing by some builders and HomeBond, it is difficult to put a figure on the number of homes directly affected. The Minister has ignored this issue during the past year. He does not want to get directly involved, but he must intervene because hundreds if not thousands of young home owners are directly affected. Some of them cannot sell their homes due to negative equity. Furthermore, they cannot live in their homes. The Minister must take direct responsibility for this issue. Hopefully, now that we have a new Minister of State with responsibility for housing, he will have a fresh perspective on this issue and will be able to give a commitment to reconsider it.

What new measures will the Minister put in place in terms of the building regulations to ensure that an issue such as this one will never happen again, that there no longer will be self-regulation of building standards and that regulation and certification will be undertaken by local authorities?

Since 1 March last I have commenced new enforcement powers under the Building Control Act 2007. In summary, these powers will significantly increase the maximum penalties for breaches of the national building regulations. For example, the old fine of IR£10,000 has been increased to €50,000 on conviction or indictment. We will introduce the option for authorities to bring summary prosecution for all building code offences in the District Court, thus simplifying the prosecution process. We will provide a new income stream for the building control authorities by retaining any fines income for their activities and recouping expenses incurred in the prosecution process. We will widen the right of the building control authorities to seek an order from the High Court or the Circuit Court to stop work on buildings where there is non-compliance with the building code.

If the Deputy is asking what has been done about the use of this contaminated material, the local building control authority for the area in question, Fingal County Council, contacted the builders and the quarry concerned directly to ascertain the full extent of the problem and to ensure that there is no further use of this material for house building. That is the position. It is clear from that contact that we are acting on this matter. It is an important issue and the Department is doing everything it can to ensure that this will never happen again.

I thank the Minister for his response. That is fine and good and we very much welcome the new regulations in this area, but what about the position of people affected on the north side of Dublin? These new standards will not help them. Has the Minister any plans to commission a report into what happened in the case of these homes and can he intervene to act to resolve the outstanding issues?

It is clear that what has occurred here is not acceptable. The builders in question behaved in a way that is not acceptable. We must ensure that practice does not happen again, but ultimately these are matters for the individuals and the builders in question. That is the position. As a Government, we must regulate the activities of these individuals to ensure this matter will not arise again. That is the role of the State in this regard.

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