The University of Galway has written off €1.6 million on expenses incurred for a student record management system, the Public Accounts Committee has heard.
The committee heard that the development of the IT system is "ongoing" and "over time", with €10.6m spent on it to date.
The university also spent €552,000 on contract-dispute resolution relating to the project, including mediation, legal review and consultancy costs.
The Comptroller and Auditor General told TDs that it was due to be completed in 2023.
Séamus McCarthy said the Higher Education Authority (HEA) is aware of "difficulties that have been encountered in a number of colleges".
"It hasn't been as bad in other third level institutions, but there are cases where projects are struggling," he added.
He said this was part of a "generational shift" in colleges around the country.
"The student records system is a very important support for the business of the university," he said, adding it is important the University of Galway's system is completed.
PAC chair John Brady said: "Another IT project, it's absolutely staggering."
He said €1.6m has been "essentially lost and its repetition is right across the board in all departments and all agencies".
Sinn Féin TD Cathy Bennet said €10.6m on a student records system it is an "extraordinary amount of money".
She said the committee needs to delve deeper to "see if other colleges are spending this amount of money on student management systems."
Fine Gael Grace Boland asked if other agencies and other universities are "learning from all off these issues".
Mr McCarthy said the University of Galway's financial statements disclose an independent review of their experience with the project.
"They refer to some of the learnings and some of the mistakes," he said.
Ms Boland said: "These IT issues are right across all sectors. This needs to be escalated right to the top."
Fianna Fáil TD Séamus McGrath said it is "absolutely crazy that each college designs its own system".
He called it an "extraordinary waste of public money".
"Every college doesn't need to reinvent the wheel. There should be a consistency and coordination between the colleges," he said.
Mr McCarthy said the HEA would be best placed to provide an overview, adding that ICT systems are "extremely expensive".
Labour TD Eoghan Kenny asked if other universities have used this same system and "haven't had that expense".
The C&AG replied: "That would be my understanding".
The committee agreed to write to University of Galway and the HEA to get more information, and to see if other universities have been affected.