Computer systems ‘wasting taxpayers’ money’

THE Government was yesterday accused of wasting taxpayers’ money on elaborate computer systems that over-ran projected costs and which did not perform to the required standard.

As the Health Service Executive (HSE) defended the €120 million payroll system which embarrassingly put €1m into an employee’s account, the Public Accounts Committee (PAC) issued a damning report on a forestry services system that cost over twice what was projected and took five times longer to install.

Yesterday the HSE insisted that a payroll system was “working well” and said “measures were put in place to ensure no repeat of the error”.

But it emerged yesterday that Comptroller and Auditor General (C&AG) John Purcell is conducting a value-for-money inquiry of the €120m system, known as PPARS (Personnel, Payroll and Related Systems).

The opposition last night said it was a further example of the Government wasting taxpayers’ money.

“It is clear that there has been an astounding lack of oversight and direction from successive ministers and the Department of Health and a cavalier attitude to pouring money into this project without any proper review of what it was achieving,” said Fine Gael finance spokesman Richard Bruton.

Meanwhile, PAC chairman Michael Noonan said time and cost over-runs for a forestry services computer system were indefensible.

Launching the fourth interim report of his committee on Mr Purcell’s 2002 report, he said the system was projected to cost €5.3m but ended up costing €9.2m. The report also highlighted that the project was to take 11 months but took 53 months.

Mr Noonan said the key reason for the delay and over-runs was that the forestry division had decentralised to Wexford around this time and had lost 100% of its IT staff and 90% of its key administrative staff.

However, Mr Noonan and fellow committee members John McGuinness (FF) and John Curran (FF) said it had concluded that the Department of Communication’s decision to proceed with an ambitious project to increase the capacity of high-speed data connectivity between Ireland, the US and Europe was a reasonable one.

In all 160 connectivity channels were provided to the US and Europe at a cost of €77m. However, the State managed to sell only half.

Mr Noonan and Mr McGuinness said they were holding discussions to increase the remit of the C&AG to include the auditing of local authorities.

The chairman also confirmed that & Mr Purcell was currently conducting an investigation of the Abbey Theatre, which had losses of almost €2m in 2004.