The Government is to introduce a range of new measures to ensure value for money in public expenditure projects and programmes.
Minister for Finance Brian Cowen last night unveiled the measures, which follow a series of embarrassing revelations in recent weeks about cost overruns on large projects. They include the Health Service Executive's €165 million PPARs payroll system.
The measures include fixed price lump-sum contracts and economic cost-benefit appraisal for all projects above €30 million.
In addition, one individual will take responsibility for all major capital and IT projects, bringing to their department or office management committee any problems or overruns.
Mr Cowen told the annual dinner of the Dublin Chamber of Commerce that in future there would be no extension of large service contracts without tendering.
"We need a more accountable, transparent and effectively functioning public sector. Public services must be ready to meet the requirements of an increasingly complex and - appropriately in my view - demanding society by delivering better value for money and increased quality of service in each and every area," he said.
There will be more vigorous competition for public sector contracts offering greater access to public sector contracts for smaller entities, he said. Additional specialised training for the civil service and State agencies will also be put in place in areas such as procurement, project management and project appraisal, the Minister promised.
There will be open recruitment of a number of full-time specialists to the public sector in IT procurement and capital project evaluation and management.