Iarnród Éireann has said it has “no certainty” when its failed €50 million IT project will be delivered.
The rail company has written down the value of the planned IT system, due to ongoing issues with the delivery of the project, the Joint Oireachtas Transport Committee heard.
Its Chief Executive Mary Considine said the “stark truth” is that the “project has reached a point where Iarnród Éireann has no certainty as to when the contractor will fulfil its contractual obligations”.
The Spanish-based Indra Group was given the contract to develop the system for a new national control centre at Heuston Station in 2020.
The contract included the design, supply, installation and commissioning of the system, as well as the responsibility of maintaining it for a 15-year period.
The upgrade is needed to enhance and future-proof the rail network for further expansion.
However, Ms Considine told TDs that “six years on, and two years after the original commissioning date, Indra still do not have a developed product fit for deployment on our rail network, and they remain in a product development cycle”.
Iarnród Éireann outlined the “need to recover this crucial” Traffic Management System (TMS).
Ms Considine said there “is currently no programme” for any of the TMS commissioning phases.
She said Iarnród Éirann has encountered “serious problems” with the contract that are of “deep concern”.
This is despite the “extensive and continuing efforts” of Iarnród Éireann and the National Transport Authority (NTA),” she said.
The committee heard that Iarnród Éireann wanted the contract with Indra terminated a year ago.
In mid 2025, Iarnród Éireann undertook signalling principles testing to see if Indra’s software product worked as planned.
However, “Indra’s product did not pass this testing, identifying a number of systemic issues, and Indra’s own independent safety assessor also confirmed that the software was not ready to be deployed into service”.
This led Iarnód Éireann to discuss its “continuing lack of confidence in Indra with the NTA”.
From then on, the NTA took a “significantly more active role in project oversight and contract management from this time” with fortnightly meetings held between Indra and Iarnród Éireann.
Ms Considine assured the committee that “we are seeking to act in a way that can deliver the TMS project in a manner that supports our wider investment programme and minimises any further exposure to the taxpayer”.
She said Iarnród Éireann is reviewing its options, consulting with the NTA and will be bringing a recommendation to the Iarnród Éireann Board meeting later this month.
Fianna Fáil TD Shane Moynihan asked Iarnród Éireann officials when concerns were first aired about the project, and if “that whistle should have been blown earlier”.
His view was shared by committee chair and Fine Gael TD Michael Murphy, who said “why did you continue to support further expenditure [on the project] rather than trigger a formal stop and review”.
In response, Ms Considine said “you’ve hit a really good point there” and that “in total there have been six missed deadlines on the project”.
Iarnród Éireann’s Director of Capital Investment Paul Hendrick said that while there was a June 2024 completion date, the company “reset the programme a couple of times”, leading Mr Murphy to ask “why when those warning signs were there did the costs continue to rise?”.
