Instead of achieving savings in public expenditure the Federal Government's IT outsourcing program has already cost $24.6 million, according to an Auditor-General report released this week.
The audit findings, which examined the first four tenders in the government's IT outsourcing program, has not been able to reach projected savings and has resulted in a net shortfall of almost $25 million.
Unmet service level agreements have resulted in financial penalties of $1.1 million to EDS as part of the ATO tender, $2.4 million to CSC in Cluster 3 and $960,000 to Advantra Pty Ltd in Group 5.
IT Opposition spokeswoman Senator Kate Lundy said the report also revealed the 'extraordinary' amount of money spent on 'strategic advisers' to the Office of Asset Sales and IT Outsourcing (OASITO).
Senator Lundy said the original budget of $13 million has been exceeded threefold to $33.17 million.
"I reaffirm Labor's call for the government to halt this failed program to limit the damage; it is clear that the parliament must be given the opportunity to investigate this debacle," she said.