herald

Monday 18 December 2017

We paid €310,000 to advisors on the city's bin collection mess

THE taxpayer footed a €310,000 bill for advice on the disastrous sale of the city's bin service -- not the €250,000 previously stated.

Fresh details have emerged on the controversial consultancy contract, awarded to Ernst and Young, to ensure a smooth privatisation of the service.

The Herald can today reveal that Dublin City Council forked out a jaw-dropping €310,822, despite telling us that it signed a €250,000 contract.

Information supplied to Independent councillor Nial Ring reveals that council management clocked up a much larger consultancy bill than it previously admitted.

Public fury over the running of the service under the new operator, Greyhound Recycling and Recovery, has failed to let up this week.

One North Dublin resident contacted the Herald to say mice had been spotted in their bins as they had not been collected in days. In response to a series of questions about the controversial consultancy contract, executive manager Damian Drumm said that the cost was "€256,878 ex-VAT".

This means that the overall cost including VAT of 21pc came to €310,822.

And fresh details have also emerged of the exact work carried out by the firm's officials in return for the hefty fee.

Mr Drumm told Cllr Ring: "The work involved contacting waste management operators to establish interest in taking on the waste collection throughout the city, preparation of an information pack and inviting initial submissions from waste operators, preparation of a data room and processing of offers from initial receipt to final acceptance and arranging final agreement."

An estimate of over €462,000 was made initially for the consultancy work -- but this was reduced by Ernst and Young "on the basis that they could use their previous experience in assisting the city council".

The company had previously advised other local authorities with regard to exiting the waste collection service.

Cllr Ring today slammed the council. "It's insulting to the people of this city that first the council would make a hames of the entire privatisation service and then they would not come clean on how much the true cost of the Ernst and Young contract came to. This is extraordinary money to say the least."

hnews@herald.ie

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