The Justice Minister Charlie Flanagan has claimed there have been "grossly misleading comments" made about direct provision services in Ireland.
He was speaking after a bidder withdrew from the tender process for a centre for asylum seekers in Oughterard, Co Galway.
Local residents had been holding round-the-clock protests outside the former Connemara Gateway Hotel for over a fortnight to demonstrate against the proposed centre.
It’s been confirmed that the owners of the Connemara Gateway Hotel in #Oughterard are pulling out of the deal to locate a Direct Provision Centre at the former hotel
Locals had been holding around the clock protests outside the hotels for over a fortnight @NewstalkFM pic.twitter.com/49zZbKcNxm— Barry Whyte (@BarryWhyte85) October 1, 2019
One group said they were protesting against the prospect of people being housed in "inhumane" conditions.
The situation in Oughterard has reignited debate about Ireland's system to accommodate asylum seekers, which has frequently faced sharp criticism from human rights organisations.
Today, the Department of Justice said the withdrawal of the bid was "disappointing" and will "exacerbate a very serious situation in terms of a shortage of accommodation for those who come to Ireland seeking accommodation".
They've warned Ireland is "perilously close" to a situation where accommodation cannot be offered to asylum seekers.
A spokesperson acknowledged that direct provision is "not perfect" but stressed that efforts are underway to improve the system.
They added that they'll continue to examine other bids received and to progress the remaining tenders in the Dublin and border regions.
"Totally mischaracterized"
Minister Flanagan, meanwhile, responded to what he described as "grossly misleading comments" recently made about the direct provision system.
He argued: "The nature of the services - which have improved steadily over many years and are now in line with EU law - have been totally mischaracterized.
"People have demanded we close down our accommodation centres.
"They have been less forthcoming with proposals as to where housing would be sourced for the 6,014 people currently availing of services in Centres, the 1,379 people being provided with shelter and services in emergency accommodation and the dozens of people who will present today, tomorrow and the next day seeking the protection of the State."
Minister of State David Stanton, meanwhile, said he's seen how community concerns about new direct provision centres tend to "resolve" once the centre opens.
He suggested: "This was acknowledged by the Ombudsman, Peter Tyndall recently, when addressing an Oireachtas Committee and has been evident over many years in centres such as Wicklow, Mosney, Millstreet and Lisdoonvarna, to name but a few.
“The positive stories about the critical supports the State provides through direct provision and the benefits a Centre brings to a community are largely ignored and that is a great pity."
He said the State has a "responsibility and a legal obligation to offer accommodation and other services to those who seek protection" - adding that direct provision services are "entirely optional".