MBIE confirms $50.7 million wasted on abandoned biometric project

MBIE chief executive Nic Blakely confirmed on Wednesday that $50.7 million of taxpayer money has been wasted on biometric capability upgrades. The abandoned Immigration New Zealand project has seen $42 million already written off, and it has been recommended that an associated $8.7 million In Person Enrolment project also be written off. Blakely could not guarantee that costs would not continue to rise as the ministry investigates its financial controls.

Blakely appeared before a select committee on the final sitting day of the parliamentary term after being found in contempt of parliament last month. The contempt ruling followed findings that he deliberately misled MPs in March regarding the progress of the biometric upgrade by failing to disclose the project had been cancelled. The Privileges Committee stated the ministry's limited answers were intentional and left MPs with a false impression.

Blakely stated, "I recognise that we have a mountain to climb to rebuild the trust and confidence of this committee and of the Parliament". He said he would remain in his role to fix mistakes, noting that both failed projects were completed before he started. To improve oversight, the ministry has completed a stocktake of 70 active technology projects and will now report publicly on its technology portfolio every quarter.

The chief executive said he would consider the findings of a Public Service Commission inquiry and would take necessary actions, including potential employment actions. Regarding ministry culture, Blakely noted that a recent public service census showed MBIE's score for feeling safe to speak up was above the public sector average.

Where reports differ

• One report spells the chief executive's name as Nic Blakely while others use Nic Blakeley

Compiled from reports by Otago Daily Times, 1News and The Post.