City council wants Hogan to intervene in Poolbeg project

Dublin City Council last night demanded that Minister for the Environment Phil Hogan intervene in the management of the controversial Poolbeg incinerator project following a second report highlighting rising costs.

An internal council review of a recent Government audit criticised the scheme for going €20 million over cost and for there being two breaches of public procurement policies, all without sufficient levels of oversight.

The project is headed up by the city council but includes all four local authorities in the county. A decision on the build contract is due to be made next month but will likely be delayed.

Fianna Fáil leader on the council Mary Fitzpatrick said the project had been dragging on for more than 15 years at a total cost of €90 million. She said the Minister should take the project back from the city council. There should be no further spending on it until all the inadequacies cited in the internal audit were addressed.

City manager John Tierney expressed his regret at the shortcomings of the “waste to energy” project but insisted it was essential for the county.

He rejected suggestions money had been wasted, saying the requisite finances were used in order to progress the project to this stage.

However, a Fianna Fáil motion calling for Mr Hogan to intervene due to a lack of confidence in the council’s ability to supervise the project received widespread support.

Spiralling costs

The original Government audit on the facility, circulated last December, identified spiralling costs of about €80 million, in advance of the actual construction of the facility, and labelled the project “weak” and “not adequate” for purpose.

The council’s internal review confirmed that “consultant to the project, originally contracted in March 2001, and paid a total of €28.4 million compared to the original contract for €8.3 million, procurement rules were breached in this case”.

“The committee also noted the potential for lack of clarity and fragmentation of role, responsibility and accountability that existed between the various groups . . . this potential weakness in project governance still remains.

“The audit committee is not in a position to provide assurance to the city council that current project governance arrangements adequately address the weaknesses identified.”

Independent councillor Mannix Flynn said: “I think it’s going to be very hard to call on the public to give us more money for property tax when you see this kind of thing.”