The committee is resuming in public session. We are now moving to consideration of the Defence group of Votes. The Dáil ordered that the following Revised Estimates for the public services be referred to this committee for consideration: Vote 36 - Defence (Revised) and Vote 37 - Army Pensions (Revised). I thank the Minister for Defence, Deputy Shatter, together with the officials, for attending and assisting the committee's consideration of the Revised Estimates and I ask him to begin.
Vote 37 - Army Pensions (Revised)
I am happy to appear, yet again, before the committee, this time for its consideration of the Defence and Army Pensions Revised Estimates for 2011.
The combined Estimates for Defence and Army Pensions provide for gross expenditure of some €935 million, including €1.5 million by way of capital carryover. This compares with actual expenditure in 2010 of €962 million, including capital carryover of €1 million.
The Defence Forces ceremonial role was in evidence during the recent visits by Queen Elizabeth II and President Obama. Less obvious is the part that defence policy and associated military capabilities play as an integral element of the State's security framework. To obtain best value from the military capability retained by the State the Defence Forces also provide a range of services to other State agencies. Internationally, the military capabilities made available for peace support operations continue to make an important contribution to Ireland's international credibility. Naturally, the provision for defence has reduced. However, the Defence Forces remain in a position to deliver the outputs demanded of them by Government. This position is a result of the reform and modernisation driven from within the defence organisation during the past ten years and more. Defence bucked the trend throughout the public service in terms of both expenditure and numbers employed. I put on record my thanks to all members of the defence organisation for their contribution to what is a particular success story. This Department could provide a good example for all Departments of Government and it is a great pity that in years gone by its example was not followed. Reform and re-organisation will continue during 2011 and I am confident the Defence Forces will rise to the challenge ahead. The comprehensive review of expenditure will consider the further contribution from Defence to the budgetary correction.
The Department of Defence Estimate for 2011 includes provision for the pay and allowances of some 9,800 Permanent Defence Force personnel, more than 700 civilians employed with the Defence Forces and some 340 civil servants. It also provides for the pay of members of the Reserve Defence Force while on full-time training. The Army Pensions Estimate provides for the payment of in excess of 11,000 service-related pensions and disability related benefits to former members of the Defence Forces and their spouses and children.
The employment control framework, ECF, for the Defence Forces is based on a figure of 10,000 for all ranks, appropriately configured across the Army, Naval Service and Air Corps. The total strength of the Permanent Defence Force as of 31 May 2011 was 9,650, with 7,847 in the Army, 1,016 in the Naval Service and 787 in the Air Corps. Targeted recruitment has taken place in 2011 with the primary focus on operational effectiveness. To date in 2011, some 265 general service recruits have been enlisted and a proposed intake of 30 cadets is expected from the 2011 cadetship competition currently taking place.
The Defence Forces provided much needed support to the civil authorities to deal with severe weather emergencies and gorse fires this year. In early May this year, there was a serious outbreak of gorse fires in counties Donegal, Galway and Mayo. Following a request for assistance, the Defence Forces deployed Army and Air Corps assets to assist fire-fighting efforts. The deployment involved the use of troops, aircraft and specialist fire-fighting equipment. This support in times of emergency forms a key part of the insurance policy available to the State in the form of military capabilities. The various procedures in place nationally and locally operated efficiently during these emergencies.
The Defence Forces provide aid to the civil power and I have already remarked on the significant contribution made by the Defence Forces to the security arrangements surrounding the recent visits of Queen Elizabeth and President Obama. The security arrangements were primarily an operational matter for the Garda but the Defence Forces played an important though less visible role in the overall success of both of these visits. The role played by the Defence Forces included specialist search teams and surveillance and security operations on land, at sea and in the air. The Defence Forces were also involved in the guarding of vital installations such as Casement Aerodrome, Baldonnel and in the provision of ceremonial duties as part of Queen Elizabeth's State visit. Apart from the response to these high profile events and weather emergencies, the Defence Forces continue to provide a range of outputs on a daily basis, including explosive ordnance disposal, cash and prisoner escorts, Portlaoise Prison guard, maritime patrols and air ambulance flights.
Hard choices have been made on expenditure and equipment because it is not possible to continue the same level of expenditure as has taken place in recent years. However, it is the intention to continue investment in priority equipment to maintain Defence Forces capability. The provision for 2011 will allow for the acquisition of equipment, such as chemical detection equipment, force protection equipment and military radio equipment.
Several ships in the Naval Service are coming to the end of their useful life. A strategy for the replacement of Naval Service offshore patrol vessels commenced with a tender competition in 2007. In 2010, a contract was awarded for the provision of two new offshore patrol vessels for the Naval Service at a cost of approximately €100 million. Payments on the contract will be made in a period of eight years up to 2017. Preparations for the construction of the new vessels have commenced and the first new vessel is scheduled for delivery in early 2014. The second vessel will follow one year later.
I refer to Ireland's commitment to overseas missions. A key element of Ireland's contribution to international peace and security is the commitment of personnel to international peace support missions under a UN mandate. Ireland is currently contributing 563 Defence Forces personnel to 11 different missions throughout the world. Our latest contribution to an overseas mission has been the deployment of 446 Defence Forces personnel to the United Nations Interim Force in Lebanon, UNIFIL. They went there last month. The Irish Battalion is based in Sector West of UNIFIL's area of operations, centred on the major towns of Tibnine and Bint Jubyal and the Blue Line, which separates Lebanon and Israel. The Finnish Government has also approved participation by the Finnish Armed Forces in this mission. The Finnish forces will deploy to UNIFIL in due course to form the joint Irish Finnish contingent towards the end of this year or early next year.
The committee will be aware that the number of personnel in the missions in Kosovo and Bosnia and Herzegovina is being reduced. During 2010, the withdrawal of the Irish contingent from the NATO-led international security presence in Kosovo, KFOR, took place between April and October 2010 in the context of a phased withdrawal of forces from KFOR generally. A small number of Defence Forces personnel are being retained at KFOR headquarters in support of the mission. The reduction in numbers in the Defence Forces contingent serving with the EU-led Operation ALTHEA in Bosnia and Herzegovina from 44 to less than ten personnel will take place later this month. Some 150 additional personnel were on stand-by during the first six months of 2011 for rapid deployment as our contribution to the Nordic battle group. These personnel were stood down at the end of last month. Planning is ongoing for Ireland's participation in the Austrian German battle group which will be on stand-by for the second six months or the second half of 2012. Ireland's participation in battle groups is a further development in the Defence Forces' capabilities and reflects Ireland's desire to be able to respond across the whole spectrum of operations in support of and in response to requests from the UN for capable and interoperable forces. The contribution of more than 560 personnel to overseas missions reflects the Government's continued commitment to our responsibilities in the area of international peace and security.
I wish to outline developments in the area of the EU's Common Security and Defence Policy, CSDP. The primary and fundamental role of CSDP is to provide the Union with the capacity to support international peace and security in accordance with the principles of the Charter of the United Nations. Our participation serves to enhance our position on the international stage because it is aimed primarily at conflict prevention, peacekeeping, humanitarian missions, crisis management and strengthening international security.
The White Paper on Defence, published in February 2000, sets out defence policy having regard to the defence and security environment. In the period since 2000, there have been significant changes within the defence and security environment and it is now appropriate that a new White Paper on defence be prepared. While preliminary work on the preparation of a new White Paper had been ongoing, I have decided to expand the planned consultative process. This will be facilitated by the preparation and completion of a Green Paper on Defence. I trust this discussion paper will act as a catalyst to ensure an appropriate and informed debate on defence matters. In turn, this will inform the development and completion of a new White Paper.
A value for money review of the Defence Forces Reserve commenced in February 2010 and is ongoing. A civil-military steering committee, with an independent chair, is overseeing the review. The review is examining Reserve costs, efficiency and effectiveness, including the progress made with the implementation plan. The steering committee and the working group have engaged in an extensive programme of consultation and have sought and are analysing detailed information relating to Reserve activity. This work is necessary to ensure a comprehensive and balanced picture of Reserve activity. Work is continuing on the review and it will be progressed as quickly as possible.
The office of emergency planning is charged with the management of the National Emergency Co-ordination Centre located in Agriculture House, Kildare Street. It hosts meetings of the Government taskforce and other emergency planning events. The centre is equipped with the very latest in state-of-the-art communications and conference facilities and is designed to provide a facility for Departments to manage an emergency situation at a strategic level and to facilitate Departments and agencies in carrying out their structured exercise programmes. Its most recent significant activation was for the co-ordination of the national level response to the severe weather event that occurred during November and December 2010. Reviews of response to emergency events have acknowledged the value of having an emergency centre in which all the main players can come together to share information and develop a "whole of Government" response to emergencies. The 2011 provision represents the ongoing maintenance and development costs for the centre and as Minister for Defence I will continue to chair the meetings that take place regularly.
While these are challenging times, my priority is to ensure the Defence Forces are organised, equipped and staffed in a manner which will ensure they can continue to deliver the services required of them by the Government. Material on the individual subheads for both the Defence and Army pensions Estimates has been circulated to members. Accordingly, I do not propose to comment further on individual subheads at this stage. I commend both Estimates to the committee and am happy to respond to questions that members may wish to rise.
I thank the Minister and his officials from the Department of Defence for appearing before the committee. I endorse everything the Minister said regarding the Defence Forces and the Department over the past ten years, as the transformation has been fantastic. The month of May showed this in every respect. I refer to every aspect of the operation from the ceremonial side, the response to the gorse fires and then into June, the deployment of our forces in Lebanon. We all should be very proud of the Defence Forces.
The Minister mentioned the response to the gorse fires in his contribution and from our previous exchange, he is aware of my impression that many such fires happened on commercial sites. The Estimates include an allocation for recouping money in respect of banking escorts and given the commercial value inherent in many of those commercial forestry sites, a similar effort should be made to recoup some of the costs involved therein. I acknowledge it is an insurance policy and there is much common ground but this also affected private ground from which people are making a substantial amount of money. Were they to pay for that insurance policy, there might be a more responsible attitude to the issue of fires.
From where will the Defence Forces element of the costs associated with the visits of the Queen and President Obama come? Will it come from subhead C, which pertains to subsistence allowances or will a new Estimate be required? The figure previously given to members in this regard was €1.2 million. Has that amount increased since then? In respect of subheads K and L, which refer to barrack expenses and buildings, are any disposals planned during 2011 or are further changes in store thereafter? As for subhead S on equitation, will the Minister provide members with an assurance that the Government will provide for the fine tradition of having an equitation school in the Army, as well as an active Army presence at equitation events around the world? It performs a fantastic service for both Ireland's reputation abroad and its valuable equine industry. There is a note attached to subhead T on compensation relating to employment cases and I seek detail in this regard from the Minister.
Subhead X pertains to the Red Cross and in the course of an Adjournment debate in the Dáil a number of weeks ago, extremely serious allegations were made with regard to funds used and under the control of the Red Cross. The Minister took that Adjournment matter and stated he had sought assurances from the chairman of the society regarding the use of funds on which members here are about to vote. I understand that representatives from the Irish Red Cross Society have met the Minister subsequently and have issued clarifications in respect of new governance procedures. I ask the Minister to comment on this issue. Finally, on subhead Y, there is quite a substantial reduction in the rebate from the European Union in respect of fisheries control. Given the present climate, more fisheries control from European Union countries probably is required and I also ask the Minister to comment on this reduction.
As for the gorse fires and the possibility of recouping money from commercial bodies, I do not know whether this will prove possible although I am happy to consider it. As I understand it, an amount of this work did not relate to commercial bodies but in so far as it did, I will examine the possibility. I can say no more about this issue. As for the contribution by the Defence Forces to the security arrangements for President Obama and Queen Elizabeth, the sum mentioned by the Deputy remains the position and no additional allocation is being sought. In a response to a question from the Deputy tabled in the Dáil, I indicated my view that the defence establishment can cope with the expense that was incurred within the existing Estimate and is not seeking additional funds from the Government in this regard. On foot of the efficiencies within the defence establishment, it does not create undue pressures for us to deal with the matter. Within the defence budget, there always is some element designed to address unexpected events and it can be dealt with in that context.
In respect of barracks and buildings, I can only reiterate to the Deputy what my immediate predecessors also would have stated, namely, there always is a continuing ongoing review to ensure that assets are being used in a manner that is financially efficient and that the best use of resources is made. This is part of a continuing review process within the Department and I cannot go beyond that at this stage. I can recall that under both of my immediate predecessors, not including Deputy Ó Cuív, who only served as Minister for an extremely brief period, some disposals of property took place. The Defence Forces presently has property, in the form of barracks that were previously closed, that it was hoped might be, but in the current climate has not been, disposed of. There always is the possibility there might be an engagement with local authorities in respect of closed barracks that might generate some funding for the Defence Forces or otherwise. However, this matter is under continuous review and in the present economic climate, it is more difficult to dispose of property that no longer is required than had been the case in the past.
I am glad to provide the Deputy with the assurance he seeks with regard to the Equitation School. It performs a particular function in the context of public relations and the image of the Defence Forces and for this country. As Minister, I am anxious to ensure we retain it in the context of the financial exigencies with which I am confronted in dealing with the 2012 budget for my Department. It is under a variety of pressures but it certainly is my hope and intention that the Equitation School remains as is and continues to participate successfully into the future in the same manner it has in the past.
In respect of the issue of compensation cases the Deputy has raised, I am informed this merely is a provision that is made should issues arise. In every organisation there are employment issues which may give rise to people making claims. I do not have to hand information as to the up-to-date position in that regard but my Department will write to the Deputy and provide that detail. As happened last year and again this year, that type of provision is made within the Estimate. The extent to which it is ultimately required depends on the outturn at the end of the year.
On the question of the Irish Red Cross Society, I deliberately addressed that issue at some length in the Dáil Chamber on an Adjournment debate about two weeks ago. A number of issues arise. I refer to the infamous situation within the Red Cross where substantial funds were raised within one area and were retained in a bank account and not utilised. They were not misused and there is no question of them being misused. I understand those funds went back into Red Cross funds as required. During the Adjournment debate I detailed the specific sum provided by this Department to fund the running of the Red Cross headquarters and the separate sum provided to the International Red Cross in Geneva. My Department has received the accounts and there is no reason to believe that Government funds provided to the Red Cross have been used for any purpose other than the one for which they were intended and this is not an area of difficulty. The capacity of my Department to pay to the Red Cross a sum next year the same as this year - particularly with regard to its funding of its headquarters - is an issue that must be addressed. At this moment I am unable to guarantee the funding position for this year for any particular agency outside the Department. The Government and governments of different political persuasions over the years have always supported the work of the Red Cross. The organisation performs a very important function domestically as well as internationally. I intend to continue to provide support to the Red Cross.
It is important that the Red Cross runs and manages its operations in a cost effective and transparent manner. There have been issues raised as to the management structure, the manner in which the Red Cross deals with its internal affairs. The current chairman and chief executive have introduced some substantial reforms which I detailed in the Adjournment debate and further reform is promised. Those reforms are necessary to bring modern management systems into play to provide extra transparency and further work is being done in that area. I am scheduled to meet Mr. O'Callaghan to discuss issues relating to the Red Cross. From recollection, that meeting will take place later this week, perhaps on Thursday, but I will be corrected if I am mistaken.
However, I have a concern that the board of the Red Cross in particular - the main oversight group within the Red Cross - should have a reasonable turnover of individual members. I do not regard it as good for an organisation that an individual may fill an executive position for 15 or 20 years and that no one else has an opportunity in real terms as opposed to in theory, to fill that position. Every organisation needs to encourage its grassroots members to stand for executive positions to give them an opportunity to participate at a higher level and to be engaged in making managerial, strategic and administrative decisions. This is a matter I addressed in correspondence to the Red Cross. However, it is an independent organisation but I was conscious that a number of individuals have expressed concerns publicly and privately about the need for a degree of new people to be engaged at executive level. I say this without in any way impugning the good intentions, integrity or commitment of those who for many years have served at executive level within the Red Cross.
I note a small change has been introduced with regard to people stepping back from positions having served for a period of time, but I believe a good deal more could be done in that area. I am confident, based on my exchanges with the Red Cross, and based on the internal developing commitment to reform, that some very valuable changes have been made. It is in the interests of the Red Cross that further change occurs and I will continue to encourage that while respecting the fact that the Red Cross has an independence which should not be impinged upon. Nevertheless, in circumstances in which the State is providing in the region of €1 million a year, we are entitled to show an interest in these matters, provided we do so in a constructive and helpful way and still leave people with areas of discretion to determine how to best implement issues about which we have concerns.
The Deputy also raised a matter about fisheries.
I referred to subhead Y and whether there is a reduction in the projected revenue from the EU as a recouping of the cost of fisheries patrols.
I do not have an immediate answer for the Deputy. I will come back to the Deputy.
I refer to subhead J which notes a 40% reduction in funding for marine fuel. Is it a case that there are fewer patrols? Perhaps this is related to the fisheries question, I am not too sure. Subhead M.2 deals with uniforms and shows a significant increase from €1.8 million to €5.3 million. I ask the Minister to comment.
The simple answer to that question is that last year there was a great deal more fuel anticipated to be used - I do not know whether it was to do with the pricing of fuel at the time but it might be a factor. On the cost of uniforms, this is just a cyclical issue where more is expended in one year than another. The obverse may apply in 2012.
If Deputies have no further questions I thank the Minister and his officials.