More than €192 million worth of State contracts were awarded without tendering in a 12-month period.
According to figures obtained by The Irish Examiner, 729 contracts valued at more than €25,000 were awarded without a competitive process in 2019.
Sinn Féin’s public expenditure spokesperson Mairéad Farrell, who received the figures from Minister for Public Expenditure Michael McGrath, said: “I am concerned about the large number of contracts that were awarded without full procurement procedure being followed.”
In 2019, more than 50 per cent of procurement in the HSE was found to not be fully compliant, she said.
“In order to ensure value for money and best quality service for the taxpayer it is essential that standard procurement procedure is followed. That is why these guidelines are in place,” she said.
There is a requirement for Government departments and offices to report all contracts above €25,000 awarded without a competitive process to the Comptroller and Auditor General (C&AG) by March 31st of the following year.
Despite this requirement, Mr McGrath was not able to provide any figures for 2020 or 2021.
Procurement rules
Mr McGrath said procurement rules aim to promote an open, competitive and non-discriminatory public procurement regime that delivers the best value for money.
EU directives acknowledge there can be legitimate reasons for awarding contracts without the use of a competitive process, such as extreme urgency brought about by unforeseeable events or where there is a single supplier to perform the contract.
Mr McGrath said the justification for using non-competitive procurement is a matter for each contracting authority. Contracts awarded without a competitive process should be subject to an internal review.
The Dáil's spending watchdog recently ordered an overhaul of how goods and services are procured by the health service after an “alarming” level of noncompliance was uncovered.
