Written Answers Nos. 1-30
11. Deputy Seán Kyne asked the Minister for Public Expenditure and Reform in the context of the State's improving financial position, if it is an opportune time to review the geographic structure of the civil and public service in consideration of targeted and effective relocation of offices, as such measures would help foster regional economic recovery; and if he will make a statement on the matter. [5771/15]
Amharc ar fhreagraThe Deputy will be aware that the Government agreed in November 2011 that the Decentralisation Programme, announced in the December 2003 Budget Statement by the then Minister for Finance, should be cancelled in the light of the budgetary and staffing outlook.
It was also agreed that a review of 22 decentralisation projects should be carried out. Following completion of that review in January 2012, a total of 43 projects had been cancelled, while 50 were maintained, to be managed in the same way as other regionally based offices and Departments. In addition, it was agreed that one project - the Defence Forces in the Curragh should proceed, on a cost effective basis, as soon as budgetary resources permit.
Up to the date of the cancellation of the programme, about a third of the target numbers of staff over 3,400 were decentralised. Consequently, while the decentralised offices account for less than 10% of serving civil service staff, taken together with the pre-existing regional and district offices of Departments the proportion of civil servants working outside Dublin is now just over 50% which highlights the extent to which the geographic distribution of civil service staff supports economic activity across the State.
While there are no plans to introduce a further programme of decentralisation, the Deputy may wish to note that the recently-published Civil Service Renewal Plan includes a commitment to expand career and mobility opportunities for staff across geographic, organisational and sectoral boundaries. The delivery of this action will help ensure that the civil service continues to play its part in ensuring balanced regional development.
12. Deputy Catherine Murphy asked the Minister for Public Expenditure and Reform the reason the Public Appointment Service does not keep track of the status of applicants for temporary clerical officer positions; if his attention has been drawn to the fact that, for the minimal effort to record such information, large efficiency savings can be made and offers of employment can be sent to those who are in a position to accept at the time the offers are made; and if he will make a statement on the matter. [5741/15]
Amharc ar fhreagraRecruitment to the civil service is governed by the Public Service Management (Recruitment and Appointments) Act, 2004 and by the Civil Service Regulation Acts, 1956-2005. The 2004 Act provides for the establishment of the Commission for Public Service Appointments (CPSA) and of the Public Appointments Service (PAS). PAS - an independent statutory body - provides a centralised recruitment, assessment and selection body for the civil service.
Under the Codes of Practice prescribed by the CPSA appointments into the public service must be made in accordance with the principle of merit. In practice this means that candidates are ranked based on their performance in the competitive recruitment process, and are then offered appointments in order of merit.
I recognise that the suggestion made in the Deputy's question is intended to improve the efficiency of the recruitment process for temporary clerical officer positions. However, unfortunately the proposed approach would conflict with the fundamental principle of merit-based appointment laid down in the CPSA Code which PAS is obliged to respect. In essence, it would give rise to a situation in which PAS would determine which candidates are in a position to accept an offer of employment and that PAS should then offer appointments selectively on this basis.
The decision on whether to accept an offer of appointment must always be one for the candidate concerned who is entitled to determine whether to take up an offer of employment based on their consideration of whatever factors are relevant to their assessment of that decision.
13. Deputy Mary Lou McDonald asked the Minister for Public Expenditure and Reform his plans to create a new interim procurement board. [5784/15]
Amharc ar fhreagraPending the introduction of enabling legislation for the establishment of the OGP, on an independent and statutory basis, I have appointed an interim Board of the Office for Government Procurement. The interim Board is chaired by my colleague, the Minister of State at the Department of Public Expenditure and Reform, Mr Simon Harris, TD.
The other members of the Board are: Martin Fraser, Secretary General, Department of Taoiseach; Paul Quinn, Chief Procurement Officer; Eileen Creedon, Chief State Solicitor; Mr. John McCarthy, Secretary General, Department of Environment, Community and Local Government; Mr Jim Breslin, Secretary General, Department of Health; Ms. Niamh O Donoghue, Secretary General, Department of Social Protection. In addition, it was identified that a suitably qualified and experienced external person would be appointed. This appointment was commenced in 2014 through the Public Appointment Service, and this appointment is expected in the near future. The interim Board will continue to operate until the enabling legislation is put in place and a new Board established in accordance with that legislation.
14. Deputy Terence Flanagan asked the Minister for Public Expenditure and Reform his reform of public sector pay, including Garda pay; and if he will make a statement on the matter. [5718/15]
Amharc ar fhreagraThere are two measures which currently underpin public service pay and pensions policy: the Financial Emergency Measures in the Public Interest Acts (or FEMPI) and the Haddington Road Agreement (HRA). The HRA, in the Government's view, sets the parameters for pay policy in the public service for until July 2016. The pay and conditions of members of An Garda Síochána come within the ambit of public service pay policy in this regard.
The pay reforms in the period from 2009 to 2015, encompassing both the Haddington Road Agreement and the preceding Public Service (Croke Park) Agreement, have seen the Exchequer pay bill reduced by some 20% from peak. Public servants continue to make a significant contribution to meeting our international fiscal obligations including bringing the general government deficit below 3 per cent of GDP by 2015. Measures under the FEMPI legislation have achieved a reduction of €2.2 billion in the pay and pensions bill. Overall, the Public Service gross pay bill has reduced from its peak of €17.5 billion in 2009, to an estimated €13.8 billion net in 2014. This has been an important element in reducing public expenditure.
These cost reductions and the substantial productivity increases, including the additional hours, which the Agreement has facilitated, have allowed the Government the scope to reinvest in key frontline services such as education, health and policing by recruiting additional staff to deliver them. The recent recruitment of some 100 gardaí is very tangible evidence of the reform dividend that will help sustain the Public Service Reform agenda by re-investing some of the efficiency savings we are delivering into improved services.
The public service unions have indicated their intention, should the State's financial circumstances permit, to lodge a pay claim. If such a claim is made the Government will of course have to consider it, in line with the prevailing fiscal position. Any ensuing discussions will encompass the pay and conditions of all public servants in line with the well established public service industrial relations procedures including those relating to An Garda Síochána and their staff representative associations. The legal position concerning the financial emergency legislation, which has underpinned the public service pay and pension reductions to date, will also have to be addressed in that context while ensuring that this country has a sustainable pay arrangement over the longer term.
15. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which he and his Department have identified the most important elements of infrastructural deficiency most likely to affect economic performance in the future; the extent of his ongoing proposals to address such deficiency, with a view to ensuring the maximisation of employment opportunities throughout the economy in the future, and achievable through improved infrastructure; and if he will make a statement on the matter. [5745/15]
Amharc ar fhreagraMy Department commenced a review of the public capital programme in April of last year in parallel with the Comprehensive Review of Expenditure. The purpose of the review is to assess all areas of public capital investment and to refresh the existing investment strategy and multi-annual envelopes. This is to help ensure that they are in line with emerging Government priorities and that our limited resources are focused on the areas that can best support continued, sustainable and equitable growth.
As part of the Estimates process, and informed by the capital review, Government has made decisions on the capital allocations for the next three years. These were set out in Budget 2015. The report of the capital review is currently being finalised and I intend to publish it in the coming weeks. The report will include the three year ceilings announced on Budget Day along with new ceilings for the period 2018 to 2020.
While investment for economic growth is vital at a time when our economy is in recovery, we must ensure that this growth is equitable and sustainable. For this reason, the capital allocations published in the Budget include increased investment for social housing reflecting the Government's prioritisation of investment in this area. They also provide continued investment for Education to meet demographic demands in our schools and for Health to allow the HSE to progress a number of large scale and priority projects. The new investment plan will also ensure the sustainability of our strategic resources through measures to tackle climate change and improve energy efficiency.
The exchequer will of course continue to invest in our roads and public transport and support jobs and the business sector through our enterprise support agencies.
16. Deputy Clare Daly asked the Minister for Public Expenditure and Reform his plans to privatise further State assets in the remaining time in office of this Government; and if he will make a statement on the matter. [5609/15]
Amharc ar fhreagraThe original programme of asset disposals agreed by Government included
- The sale of Bord Gais Eireann's Energy business;
- The sale of some of ESB's non-strategic power generation capacity;
- Consideration of the sale of some assets of Coillte, but excluding its land; and
- The sale of the State's remaining shareholding in Aer Lingus, at the right time, for the right price and under the right conditions .
The planned asset disposals by Bord Gais Eireann (now Ervia) and ESB have now been completed.
In relation to Coillte, detailed analyses undertaken in preparation for a potential sale of harvesting rights indicated that the consequences of such a transaction for Coillte itself, and for its remaining business, were such that the net proceeds that would be extractable by the Government by way of dividend following such a sale were very modest, compared with the gross proceeds achievable. For that reason, the Government decided not to proceed with its plans to dispose of Coillte's harvesting rights, but instead to proceed to restructure and streamline Coillte as a company. This restructuring, which is ongoing, is addressing the various issues that had been identified in the detailed reviews, and will also facilitate a partial merger with Bord na Mona, in the form of a Joint Venture, focusing on a number of business areas of both companies which offer the greatest potential for efficiencies and synergies - in particular the areas of biomass and wind energy.
The final asset included in the Government's asset disposal programme was Aer Lingus, and a Government Steering Group is currently assessing the approach that has been made by AIG in relation to a possible takeover of Aer Lingus by IAG. The work of that Group will inform Government's consideration of whether it should agree to sell its remaining shareholding in Aer Lingus to IAG.
Apart from the above, the Government has no plans to dispose of any further State assets.
17. Deputy Brian Stanley asked the Minister for Public Expenditure and Reform the number and location of decentralised Departments in Portlaoise, County Laois; and the amounts paid in rent for accommodation between 2004 and 2014 inclusive. [5607/15]
Amharc ar fhreagraAt present, there are three decentralised locations in Portlaoise leased for the Department of Agriculture, Food and the Marine in Portlaoise. The National Council for Curriculum Assessment (NCCA) is also accommodated in Portlaoise. These leases are set out in the following tables.
|
Name and address of Building |
Annual Rent |
|
Unit 11 Clonminham Industrial Estate, Portlaoise (primarily storage for DAFM) |
98,133.16 |
|
Grattan Business Centre, Dublin Road, Portlaoise (2 leases) |
233,650.00 |
|
Eircom Building, Knockmay, Portlaoise (2 leases) |
218,000.00 |
|
TOTAL |
549,783.16 |
The National Council for Curriculum Assessment (NCCA) are also accommodated in Portlaoise as set out on the following table.
|
Name and address of Building |
Annual Rent |
|
2 James Fintan Lawlor Avenue, Portlaoise |
50,000 |
Note : 18 Department of Agriculture, Food and the Marine staff are also located in Kilminchy Crescent, Portlaoise at an annual rent of €84,051.49. This location pre-dated decentralisation.
As part of the decentralisation programme, the Office of Public Works (OPW) took seven leases in four buildings in Portlaoise to accommodate 254 Department of Agriculture personnel. At present, there are 207 Department of Agriculture staff in Portlaoise and the bulk of these (182) are in two locations (Grafton Business Centre and the Eircom Building. Seven staff are in Unit 11 Clonminham Industrial Estate which is primarily a records and document storage facility.
The total amount paid in rent for accommodation in Portlaoise on behalf of the Department of Agriculture, Food and the Marine from 2004 – 2014 amounts to €6.4m.
The current annual rental for the Department of Agriculture, Food and the Marine staff in Portlaoise is €633,834.65. €549,783.16 of this relates to the accommodation of decentralised personnel. This rental amount has been reduced from €926,000 approximately.
18. Deputy Mary Lou McDonald asked the Minister for Public Expenditure and Reform if he will report on the operation of the amended Freedom of Information Act 2014; and if his attention has been drawn to the problems arising from the new fees regime. [5783/15]
Amharc ar fhreagraI am glad to report a number of very positive developments in the operation of FOI that have been brought about since the new FOI Act came into force on 14 October 2014.
- The upfront FOI application fee was abolished immediately following enactment. This was accompanied by a significant re-design of the search and retrieval fees regime allowing for up to five hours search, retrieval and copying time at no charge and caps on the amount of such fees that can be charged.
- A Code of Practice on FOI has been published in tandem with the coming into effect of the new legislation. The Code draws heavily on proposals made by a group of FOI experts. It promotes best practice in the operation of FOI and seeks to bring about greater efficiency and consistency throughout public bodies in dealing with FOI requests.
- A single FOI Training Framework has been put in place which provides a panel of trainers from which FOI bodies can procure quality-assured training in a consistent and cost-effective manner.
- Over 1,000 civil and public servants have attended briefing sessions on the new legislation and Code of Practice.
- A new FOI Central Policy Unit website has been developed and is an important resource for public bodies and the general public.
- Work is underway on the development of a model publication scheme for FOI which I propose to make this year.
Statistics on the operation of FOI during 2014 are being collected at present from FOI bodies and will be published in due course by the Office of the Information Commissioner.
In response to the Deputy's second point, my Department's attention has not been drawn to any specific problems for FOI users relating to the new reformed FOI fees regime. Indeed, the abolition of the FOI application fee, the provision of uncharged 'search and retrieval' time and the capping of the overall level of search and retrieval fees has been received favourably by requesters.
If the Deputy has been made aware of problems in this area and if she provides me with details of same, I will ask my officials to examine the matter and I can advise the Deputy of the outcome.
19. Deputy Brian Stanley asked the Minister for Public Expenditure and Reform the position regarding the provision of a permanent building for the Department of Agriculture, Food and the Marine in Portlaoise, County Laois; and the current cost of renting offices in Portlaoise. [5606/15]
Amharc ar fhreagraA site was acquired in Portlaoise for the provision of a building for the Department of Agriculture Food and the Marine under the decentralisation programme. As the Deputy will be aware this building was not constructed due to the Government decision not to proceed with further decentralisation.
To accommodate the Department of Agriculture, Food and Marine staff, OPW took seven leases in four buildings to accommodate 254 personnel. The Commissioners of Public Works have been working with Department of Agriculture Food and the Marine to consolidate their accommodation in Portlaoise. In October 2013, sanction was received from the Department of Public Expenditure and Reform to proceed with an extension to the existing Government Buildings at Abbeyleix Road to facilitate this but funding was not provided and consequently this project has not been advanced.
The Department of Agriculture Food and the Marine still consider it a priority that consolidation of various business areas should proceed. In that context, three leases in Gandon Court were surrendered in 2014 and additional centralised space was leased in Portlaoise town. In addition to the consolidation of staff, a rental saving of approximately €100,000 per annum was achieved.
In order to secure further efficiencies, it is proposed to commence a space audit of the State owned Government Offices on the Abbeyleix Road. This will establish the potential for consolidation of staff through re-configuration of the space with a more modern open plan layout and furniture. The provision of the extension will be reviewed following completion of the space audit.
The current annual rent in respect of the Department of Agriculture, Food and Marine's leases in Portlaoise is just short of €634,000. (This includes accommodation that was not part of decentralisation). This rental amount has been reduced from €926,000 approximately.
20. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform if he will report on talks and-or negotiations with the public sector unions regarding the abolition of the pension levy and how this relates to the commitment in the Croke Park agreement to use savings to the Exchequer from this agreement to restore pay to those earning under €35,000 per year; and if he will make a statement on the matter. [5747/15]
Amharc ar fhreagraWith regard to revising the public service pension related deduction, it is a progressively structured reduction to the pay of pensionable public servants ensuring that those on higher remuneration rates are impacted more adversely than those on lower pay. Given the amounts raised every year, it is therefore a critical component of the public service pay and pension measures adopted as part of our national fiscal consolidation.
However, it should be noted that a start has already been made on reducing the impact of PRD on public servants. As legislated for in the Financial Emergency Measures in the Public Interest Act 2013, and as provided for in the Haddington Road Agreement, the rate of PRD on the €15,000 to €20,000 band of pay received in a year fell from 5% to 2.5% on 1 January 2014. This cut is worth €125 annually in gross terms to most public servants, with those taxed at the standard rate enjoying the greater gain in terms of take-home pay boost.
As the Deputy is aware, the powers granted by the Oireachtas under the Financial Emergency Measures in the Public Interest (FEMPI) Acts in relation to public service pay and pensions are subject to annual review. The Haddington Road Agreement also reaffirms the commitment made previously in the Croke Park agreement to give priority to public servants with pay rates at €35,000 or less in any review of the pay measures. Section 2.3 of the HRA confirms that when economic circumstances allow, and the public finances are restored to a sustainable position, the pay measures applied to public servants under the HRA and the FEMPI legislation will be reviewed.
I would envisage that the question of further amendments to the PRD will be raised by the unions and associations representing public servants in the context of the discussions which are likely to take place later this year with a view to ensuring a fair and equitable review of pay measures imposed under the FEMPI Acts.
21. Deputy Sean Fleming asked the Minister for Public Expenditure and Reform if he will extend the remit of the Office of Government Procurement to cover professional services and medicines purchased on behalf of the State; and if he will make a statement on the matter. [5776/15]
Amharc ar fhreagraThe procurement reform programme is an important element of the Government's overall reform agenda and is tasked with delivering increased value for money, more accurate and timely data and improvement in the capacity and capability of procurement across the public service.
The new model for procurement was approved by the Government in September 2012, with common goods and services to be procured by a new central sourcing organisation, the Office of Government Procurement (OGP) and with centralised sectoral sourcing organisations in health, education, local government and defence procuring sectoral-specific goods and services. Common goods and services account for approximately 60% of the State's public procurement spend. Instead of public bodies each tendering separately for these common goods and services, the OGP, when fully established, will put in place contracts for these categories that all public bodies will buy from.
With regard to the procurement of professional services and medicines, this is a specialised sector-led activity overseen by the Department of Health. There are currently no plans to extend the remit of the OGP to cover this area.
22. Deputy Paul Murphy asked the Minister for Public Expenditure and Reform his views on pay rises in the public sector in view of the call by SIPTU, the Services, Industrial, Professional and Technical Union, for a 5% pay rise across the economy and a minimum wage of €11.45 (details supplied); and if he will report on contacts made with trade unions on the matter of pay. [5786/15]
Amharc ar fhreagraAs I have already said, in the event that the public service unions make a pay claim as they have indicated that they will, the Government will enter into discussions with them on successor arrangements to Haddington Road and the gradual wind down of the financial emergency (FEMPI) Acts. In this regard I have indicated that my preference is to have the first quarter Exchequer returns available to me before inviting the unions for talks, so that I would have the most up-to-date information on the public finances. The economy is recovering, in no small part due to the contribution of public servants to keeping the cost of the public service paybill at sustainable levels. I expect that their representatives will be strongly pressing that contribution in the context of any discussions.
In addition the structure of any pay review will have to take account, in the public service, of the need to address the financial emergency measures legislation in a phased way. In that context therefore, suggestions of a generalised pay increase in gross wages over a certain period are less applicable then they might be for profitable private sector employers.
The Government is clear that any discussions on pay will take place in the context of the State's fiscal position and the pace of financial recovery for this year and 2016, as well as ensuring a sustainable fiscal position over the medium term.
There are strong indications that reviews of pay levels will take place across a broad range of private sector employers across the wider economy this year which is a welcome sign of a normalising economy. I also welcome the work of my colleague Minister of State Ged Nash in establishing the Low Pay Commission to review issues around low pay across the economy.
23. Deputy Denis Naughten asked the Minister for Public Expenditure and Reform the position regarding flood relief works on the River Suck catchment; and if he will make a statement on the matter. [5605/15]
Amharc ar fhreagraThe River Suck, which is the main tributary of the River Shannon, forms part of the River Suck Joint Drainage District. Responsibility for maintenance of the channel rests jointly with Galway County Council and Roscommon County Council. The Councils have heretofore discharged their responsibility through the River Suck Joint Drainage District Committee. The most recent formal report submitted by the Committee to the Office of Public Works (OPW) shows that it expended almost €142,000 in 2011. This expenditure comprised routine maintenance works including the cleaning of drains and river bed, cutting back trees or other obstructions, weed control and, where possible, improving water flow. The OPW has been advised that the Committee has since expended €136,000 in 2012, €149,310 in 2013 and €150,891 in 2014 on further maintenance works. I am advised that the River Suck Joint Drainage Committee was disbanded with effect from 1st January, 2015 on foot of Ministerial Order. However, as I have indicated, the ongoing maintenance of the channel and the funding of that work remains the joint responsibility of Roscommon County Council and Galway County Council.
Substantial funding has been provided by the Office of Public Works under the Minor Flood Mitigation Works and Coastal Protection Scheme to enable Galway and Roscommon County Councils to undertake flood alleviation projects within the River Suck catchment to address localised flood problems. Since the introduction of the Scheme in 2009, nearly €2.1m has been approved to Galway County Council and over €550,000 to Roscommon County Council for this purpose. Details of all the projects for which funding has been approved to local authorities under the Minor Flood Mitigation Works and Coastal Protection Scheme are available on the OPW website www.opw.ie.
With regard to the overall position in relation to flood relief works in the River Suck area as part of the larger River Shannon catchment, the OPW's core strategy for addressing flood risk in the Shannon Basin is the River Shannon Catchment Flood Risk Assessment and Management (CFRAM) Study. The output of this important project will be an integrated plan of specific measures to address, in a comprehensive and sustainable way, the significant flood risk factors in the Shannon basin. Draft predictive flood maps are currently being produced by engineering consultants undertaking the Shannon CFRAM Study, on behalf of the OPW, in partnership with the relevant local authorities. The draft flood maps will be subject to public consultation during this year, details of which will be advertised locally and on the Study website.
The next phase in the CFRAM Study will then be the identification of appropriate flood risk management options for each significant risk area, following which, Flood Risk Management Plans are scheduled to be prepared in late 2015/early 2016. Updates on the study are available on the Study website.
24. Deputy Sean Fleming asked the Minister for Public Expenditure and Reform if he will provide detailed proposals regarding developments at Kilmainham Gaol, its role in the 1916 centenary celebrations; and if he will make a statement on the matter. [5780/15]
Amharc ar fhreagraKilmainham Gaol is a National Monument site in the care of the Office of Public Works (OPW) and is - with 328,886 visitors in 2014 - one of the most popular and heavily-visited tourist sites in Ireland.
Visitor numbers have been increasing year on year and have now reached a point where the Monument cannot accommodate increased demand with the existing entrance / layout arrangements. Kilmainham Gaol is also, as we know, a very significant site associated with key events in Irish history and, in particular, the 1916 Rising.
The OPW's role at Kilmainham is to maintain the site and present it to the public through a dedicated guide service, explaining its 220 year history and its role in some of the key events in the formation of the State, including the execution of the 1916 Leaders. The site opens to the public on a fulltime basis 362 days a year and has a strong profile as a "must see" visitor site in Dublin; it is therefore a key location in the marketing strategy of Fáilte Ireland for Dublin.
The former Kilmainham Sessions house (Courthouse) occupies a site immediately adjacent to the Gaol to the east. It has presented a unique opportunity to create additional capacity to deal with visitors and to provide ancillary curatorial, exhibition, research and visitor welfare facilities.
In the context of the focus currently on marking the centenary of 1916, and where Kilmainham Gaol obviously holds such a particular strong resonance, the Sessions House facilitates the provision of a greatly enhanced visitor experience at Kilmainham to celebrate some of the seminal moments in the history of the formation of the State, recalling in particular the 1916 executions and the events of the Civil War.
Mindful of the fact therefore that the Gaol makes a very powerful statement about this period of our history, the Government wishes to particularly mark it as a place where the history of the Rising, and many of the historical artefacts associated with it, can be celebrated and shared with citizens and overseas visitors alike. The Government has decided to proceed with the development of this project as one of its signature capital developments associated with the commemorations and arrangements are in train to have these works carried out in time for Spring 2016.
The second major element of work is the refurbishment and adaptation of the existing Museum within the Gaol. This was constructed in the mid 1990's and has been the location for all the Interpretation and artefact displays at Kilmainham. The exhibition is particularly outdated however and needs to be completely redone. In addition, the building itself is being upgraded and a new entrance is being provided so that it can meet the significantly increased visitor traffic flow from the new Courthouse / Gaol entrance arrangements.
On completion of the entire project, Kilmainham Gaol and the new Courthouse Visitor facility will host one of the early official events associated with the 1916 Commemorations with a wreath-laying event on Easter Sunday, 27th March 2016.
25. Deputy Mary Lou McDonald asked the Minister for Public Expenditure and Reform if he will report on his latest plans for the retention or sale of State assets, including State shares in commercial companies. [5781/15]
Amharc ar fhreagraThe original programme of State asset disposals agreed by Government included
- The sale of Bord Gais Eireann's Energy business;
- The sale of some of ESB's non-strategic power generation capacity;
- Consideration of the sale of some assets of Coillte, but excluding its land; and
- The sale of the State's remaining shareholding in Aer Lingus, at the right time, for the right price and under the right conditions.
The planned asset disposals by Bord Gais Eireann (now Ervia) and ESB have now been completed.
In relation to Coillte, detailed analyses undertaken in preparation for a potential sale of harvesting rights indicated that the consequences of such a transaction for Coillte itself, and for its remaining business, were such that the net proceeds that would be extractable by the Government by way of dividend following such a sale were very modest, compared with the gross proceeds achievable. For that reason, the Government decided not to proceed with its plans to dispose of Coillte's harvesting rights, but instead to proceed to restructure and streamline Coillte as a company. This restructuring, which is ongoing, is addressing the various issues that had been identified in the detailed reviews, and will also facilitate a partial merger with Bord na Mona, in the form of a Joint Venture, focusing on a number of business areas of both companies which offer the greatest potential for efficiencies and synergies - in particular the areas of biomass and wind energy.
The final asset included in the Government's asset disposal programme was Aer Lingus, and a Government Steering Group is currently assessing the approach that has been made by AIG in relation to a possible takeover of Aer Lingus by IAG. The work of that Group will inform Government's consideration of whether it should agree to sell its remaining shareholding in Aer Lingus to IAG.
Apart from the above, the Government has no plans to dispose of any further State assets.
26. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform if he will report on the agreement under the Croke Park agreement deal that savings made from the deal would restore pay to those earning under €35,000 per year; and if he will make a statement on the matter. [5746/15]
Amharc ar fhreagraThe Deputy will be aware that there are two measures which currently underpin public service pay and pensions policy: the Financial Emergency Measures in the Public Interest Acts (or FEMPI) and the Haddington Road Agreement (HRA). The nature of the Financial Emergency Measures legislation is that the powers granted by the Oireachtas under the legislation are temporary in nature and are predicated on the continuing financial emergency in the State. The HRA is due to last for 3 years from 1 July 2013 and, in the Government's view, sets the parameters for pay policy in the public service for its three year length.
The Haddington Road Agreement also reaffirms the committment made previously in the Croke Park agreement to give priority to public servants with pay rates at €35,000 or less in any review of the pay measures. Section 2.3 of the HRA confirms that when economic circumstances allow, and the public finances are restored to a sustainable position, the pay measures applied to public servants under the HRA and the FEMPI legislation will be reviewed.
As provided for under section 12 of the FEMPI Act 2013, I am required to conduct an annual review, and lay a written report of my findings before each House of the Oireachtas. My last review was laid before the Houses of the Oireachtas on 29th June 2014. In that review I concluded that there is a need to continue to apply the relevant provisions of the legislation controlling the cost of remuneration of public servants and the other measures controlling the cost of the public service pay and pensions bill. It is worth restating that the expenditure proposals as set out in Budget 2015 are based, in part, on the reduced public service pay rates, as well as on the revenue accruing from the Pension Related Deduction and Public Service Pension Reduction as provided for under the Financial Emergency Measures in the Public Interest Acts.
As well as the statutory requirement for an annual report to be made by me as Minister to the Oireachtas on the operation of the Acts, the legislation is maintained under constant review to ensure only those measures absolutely necessary are maintained on the statute book. The legal position concerning the financial emergency legislation, which has underpinned the reductions to date, will also have to be addressed as part of putting in place more normal pay setting arrangements in the public service for the future.
As the pay setting environment normalises across the economy, it is important that the Government give consideration as to how, over the medium term, pay policy needs to develop in the public service, to help ensure that overall fiscal targets including achieving a deficit of less than 3% of GDP by the end of 2015, will be met. In addition, the public service unions have indicated their intention, should the State's financial circumstances permit, to lodge a pay claim next year. If such a claim is made, the Government will of course have to consider it, in line with the prevailing fiscal position.
27. Deputy Sean Fleming asked the Minister for Public Expenditure and Reform if the Government’s proposed spring statement will outline its current and capital expenditure plans; and if he will make a statement on the matter. [5778/15]
Amharc ar fhreagraIn 2014, my Department carried out the second Comprehensive Review of Expenditure. The purpose of this exercise was to establish the Government's expenditure priorities for the coming years, and to then allocate expenditure ceilings across Government Departments accordingly. This process, which involved engagement with the public and other Government Departments, culminated in the publication of the Comprehensive Expenditure Report on Budget day setting out the multi-annual current and capital expenditure ceilings for all Vote Groups over the period 2015 to 2017.
The publication of multi-annual expenditure ceilings sets the parameters for Government expenditure over a rolling three-year period, and facilitates a whole of year approach towards the budgetary process that allows for constructive discussion on how resources should be prioritised over the medium term. Decisions in relation to specific new budgetary measures would then fall to be considered in the context of the annual Budget in light of the most up to date fiscal and economic data.
This Spring, in addition to the usual publication of the Stability Programme Update in line with our European commitments, it is proposed that the Government publish a Spring Economic Statement. Such a publication would help to develop the domestic whole of year budgetary framework by providing a clear separate point in the year for a statement of national fiscal policy.
As Ireland is set to leave the Excessive Deficit Procedure at the end of 2015 and enter the preventive arm of the Stability and Growth Pact, the Spring Economic Statement would provide the opportunity to set out how Ireland's fiscal policy post EDP will progress the Government's key economic and social objectives, while at the same time living within the parameters as set out under the revised framework of EU fiscal rules.
28. Deputy Ruth Coppinger asked the Minister for Public Expenditure and Reform when the public sector recruitment embargo will be completely lifted; and if analysis has been done on the way the employment embargo is actually adding to budgetary costs and to delays in service provision in health, education and many other Departments. [5773/15]
Amharc ar fhreagraAs I have previously advised the House, the Moratorium on recruitment to the Public Service was introduced in 2009 in response to the severe economic and fiscal challenges faced by the country at that time. As a policy device it was very successful, reducing public service numbers by some 10%, with savings of over €3 billion. This made a very important contribution to the stabilising of the public finances. The Moratorium was not, however, a blanket ban on recruitment. During its operation, provision was made for targeted recruitment in the sectors to which the Deputy refers - Health and Education, and also in the Justice sector.
Most recently, in Budget 2015, I made provision:
- for some 1,700 teachers, SNA and resource teachers; and
- for a further 100 Garda recruits in 2015, on top of an additional 200 in late 2014;
In addition, targeted recruitment into the Civil Service which began in 2014, is continuing this year in the grades of Clerical Officer, Executive Officer, Administrative Officer, Assistant Principal Officer and Principal Officer.
The Deputy may also be aware, as I announced on Budget day, that arrangements are currently being put in place to replace the Moratorium with a framework whereby management of public service staffing will be delegated to Departments and frontline managers.
The new framework will, subject to binding overall pay ceilings, and commitment to ongoing reform and efficiency objectives, give front-line managers greater flexibility to manage staffing in response to service needs as they arise. My officials are currently finalising the details of the new framework with the other Government Departments.
29. Deputy Joan Collins asked the Minister for Public Expenditure and Reform his views as to the amount that has been collected annually from the pension levy imposed on public sector workers; and his plans on revising this levy as part of the Haddington Road agreement regarding negotiations. [5603/15]
Amharc ar fhreagraThe public service Pension-related Deduction (PRD), referred to as "the pension levy" in the Deputy's question, was introduced in March 2009 under the Financial Emergency Measures in the Public Interest Act 2009. The Exchequer yield from PRD since its inception up to 2014 is as follows.
|
Year |
PRD Yield (€ million) |
|
2009 |
837.419 |
|
2010 |
948.605 |
|
2011 |
960.224 |
|
2012 |
934.739 |
|
2013 |
925.986 |
|
2014 |
884.369 (provisional) |
|
Total |
5,491.342 |
The amounts in the above table do not include non-Exchequer PRD receipts, as arising for example in the local government sector.
With regard to revising PRD, it is a progressively structured reduction to the pay of pensionable public servants ensuring that those on higher remuneration rates are impacted more adversely than those on lower pay. Given the amounts raised every year, it is therefore a critical component of the public service pay and pension measures adopted as part of our national fiscal consolidation. However, it should be noted that a start has already been made on ameliorating the impact of PRD on public servants. As legislated for in the the Financial Emergency Measures in the Public Interest Act 2013, and as provided for in the Haddington Road Agreement, the rate of PRD on the €15,000 to €20,000 band of pay received in a year fell from 5% to 2.5% on 1 January 2014. This cut is worth €125 annually in gross terms to most public servants, with those taxed at the standard rate enjoying the greater gain in terms of take-home pay boost. I would envisage that further amendments to the PRD will be raised by the unions and associations representing public servants in the context of the discussions which are likely to take place later this year.
30. Deputy Denis Naughten asked the Minister for Public Expenditure and Reform the steps he is taking to implement the recommendations contained in the Report entitled, Eight Proposals Urgently required to tackle flooding on the river Shannon, its tributaries and the waters feeding into it, published by the Oireachtas Joint Committee on Environment, Culture and the Gaeltacht in July 2012; and if he will make a statement on the matter. [5604/15]
Amharc ar fhreagraThe July 2012 Report of the Joint Committee on the Environment, Culture and the Gaeltacht on Shannon flooding dealt with and included recommendations on a number of issues across a range of Government Departments and State Bodies. The Office of Public Works responded to the Committee by way of a written reply in September 2012, in relation to the specific matters within the OPW's area of responsibility. The main area addressed in the reply related to the Catchment Flood Risk Assessment and Management (CFRAM) programme and how the OPW is addressing flood risk on the River Shannon in the context of the CFRAM Programme.
The Shannon CFRAM Study is the OPW's core strategy for addressing flood risk in the Shannon basin. I am advised that good progress continues to be made on the Study. A total of 66 locations along the Shannon have been identified for further assessment under the Study, which is being undertaken by engineering consultants on behalf of the OPW. A public consultation on draft predictive flood risk mapping for these locations is currently being rolled out throughout the Shannon region. Further details on the public consultation and on the Shannon CFRAM Study are available on the Study website www.shannoncframstudy.ie. Following the finalisation of the flood mapping and the assessment of appropriate flood risk management options, the final output from this important project will be integrated plans containing specific measures to address in a comprehensive and sustainable way the significant flood risk factors in the Shannon basin.
