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RHI: 'Corruption did not cause' energy scheme failure | |
(32 minutes later) | |
Corrupt or malicious activity was not the cause of what went wrong with Northern Ireland's failed energy scheme. | Corrupt or malicious activity was not the cause of what went wrong with Northern Ireland's failed energy scheme. |
The findings into the Renewable Heat Incentive (RHI) scheme were published on Friday. | The findings into the Renewable Heat Incentive (RHI) scheme were published on Friday. |
It found the scheme was a "project too far" for the NI Executive and "should never have been adopted". | It found the scheme was a "project too far" for the NI Executive and "should never have been adopted". |
The scheme, which opened in 2012, paid businesses to switch from oil and gas to environmentally-friendly heating. | The scheme, which opened in 2012, paid businesses to switch from oil and gas to environmentally-friendly heating. |
The 656-page report said that while there was "unacceptable" behaviour by some officials, ministers and special advisers, what went wrong was a "compounding of errors and omissions over time and a failure of attention". | The 656-page report said that while there was "unacceptable" behaviour by some officials, ministers and special advisers, what went wrong was a "compounding of errors and omissions over time and a failure of attention". |
Set up to encourage the use of renewable energy sources, the RHI closed to new entrants in 2016 amid concerns about the potential cost. | Set up to encourage the use of renewable energy sources, the RHI closed to new entrants in 2016 amid concerns about the potential cost. |
Those boilers used wood pellets, but the subsidy payment was higher than the cost of the fuel, creating an incentive to use the boilers to generate income. | Those boilers used wood pellets, but the subsidy payment was higher than the cost of the fuel, creating an incentive to use the boilers to generate income. |
It became known as "cash for ash". | It became known as "cash for ash". |
The scheme was introduced by then Enterprise Minister Arlene Foster. | The scheme was introduced by then Enterprise Minister Arlene Foster. |
Mrs Foster, now the first minister, told the inquiry that she did not read the regulations before bringing them to the assembly. | Mrs Foster, now the first minister, told the inquiry that she did not read the regulations before bringing them to the assembly. |
The inquiry found: "The minister, in presenting the regulations to the assembly and asking for their approval, should have read them herself. | The inquiry found: "The minister, in presenting the regulations to the assembly and asking for their approval, should have read them herself. |
"Not least because in the inquiry's view to so do is a core part of a minister's job." | "Not least because in the inquiry's view to so do is a core part of a minister's job." |
However, it has found that as enterprise minister, Mrs Foster was given inaccurate and misleading information. | However, it has found that as enterprise minister, Mrs Foster was given inaccurate and misleading information. |
The report also criticises the arrangement between Mrs Foster and her special advisor Andrew Crawford. | The report also criticises the arrangement between Mrs Foster and her special advisor Andrew Crawford. |
It said the division of responsibility between them for reading and digesting important documents was "ineffective and led to false reassurance on the part of the minister". | It said the division of responsibility between them for reading and digesting important documents was "ineffective and led to false reassurance on the part of the minister". |
The Northern Ireland Civil Service (NICS), and in particular the Department of Enterprise, Trade and Investment (DETI), have come under heavy criticism. | |
The report finds that at the development stage "insufficient care was taken within DETI to weigh properly the whole-life costs" of the scheme. | The report finds that at the development stage "insufficient care was taken within DETI to weigh properly the whole-life costs" of the scheme. |
No minutes | No minutes |
A draft regulatory impact assessment presented to Mrs Foster in 2012 "lacked necessary cost information". | A draft regulatory impact assessment presented to Mrs Foster in 2012 "lacked necessary cost information". |
The report noted that at this point she had already been "incorrectly" told by officials that the scheme provided "the highest renewable heat output at the best value". | The report noted that at this point she had already been "incorrectly" told by officials that the scheme provided "the highest renewable heat output at the best value". |
The lack of record keeping was also highlighted. | The lack of record keeping was also highlighted. |
It emerged during the inquiry that many meetings had not been minuted by civil servants. | |
"Basic administration and record keeping, normally the bedrock of the Civil Service, was on too many occasions lacking within DETI," it said. | "Basic administration and record keeping, normally the bedrock of the Civil Service, was on too many occasions lacking within DETI," it said. |
"This contributed to uncertainty as to what discussions had actually taken place." | "This contributed to uncertainty as to what discussions had actually taken place." |
What was the RHI scandal? | |
The RHI scheme paid 1,200 businesses to switch from oil and gas to what was meant to be environmentally-friendly heating, using wood pellet boilers. Some businesses put in multiple boilers. | |
But the subsidy payment was higher than the cost of the fuel, creating an incentive to use the boilers to generate income. | |
It became known as "cash for ash" and a lack of cost controls meant it threatened a massive overspend on the Stormont budget. | |
The financial scandal led to the collapse of Northern Ireland's political institutions in 2017 and caused a three-year political stalemate. The political institutions were only reinstated in January 2020. | |
A public inquiry into the scheme was set up in 2017. It took evidence from high-profile politicians, civil servants and consultants who designed the scheme as well as administrators who ran it. | |
No expertise or support | |
Further criticism of the NICS said that having embarked on the RHI scheme, DETI did not ensure that "adequate resources and expertise were applied to its development". | |
"Those junior civil servants responsible for the scheme day-to-day, no matter how hardworking and well-intentioned, were consistently under resourced. | |
"They were not equipped with the necessary expertise, nor adequately supported." | |
A "wholesale and uncoordinated changeover of staff" who had knowledge of the scheme within DETI should not have been allowed to happen between 2013 and 2014. | |
In 2015, when problems were recognised, the actions of senior civil servants were not good enough to ensure they were identified and addressed. | |
The inquiry also found that the whistleblower who repeatedly contacted DETI with her concerns should have been treated better. | |
Janette O'Hagan repeatedly contacted DETI between 2013 and 2015 to highlight abuse of the scheme, but her warnings were overlooked. | |
The report said her treatment "fell well below the standard she was entitled to expect". |