Oireachtas Joint and Select Committees

Thursday, 20 September 2012

Joint Oireachtas Committee on Transport and Communications

Bord na Móna: Discussion with Chairman Designate

2:35 pm

Mr. John Horgan:

Deputy Michael Colreavy referred to allegations of widespread bullying within Bord na Móna. I can say with absolute certainty that those allegations are utterly unfounded. We have policies and procedures in place to deal with any complaint of bullying. Moreover, these policies are being revised and will be reissued. There is provision for independent investigations within the organisation which, as is the practice for such investigations, are conducted on a confidential basis. This is done in accordance with good human resource practice and the guidelines laid down by the Health and Safety Authority and the Labour Relations Commission. I reiterate emphatically that there is no widespread bullying within Bord na Móna.

On the issue of peat stocks, their depletion means that Bord na Móna will eventually, in 20 or perhaps 30 years, time, have to abandon peat production almost entirely. There are plans in place for this, including plans to remediate the cutaway bog that is left behind and find alternative uses for it. There will be major challenges in regard to diversification, but there are processes in place to ensure Bord na Móna can deal with it in an innovative way. We already have procedures in place by which projects can be measured in order to verify their justification.

Bord na Móna purchased the AES waste recovery business some years ago and, as the Deputy correctly observes, there was a write-down in our last accounts in that regard. Our policy is to turn that business around and make it profitable. Even if we had different plans for it, I would not be at liberty, for confidentiality reasons, to disclose them at this time. As I said, current policy is to turn the business around.

Deputy Tom Fleming asked about the new water treatment units. A great deal of research and development has gone into progressing that project and I am happy to report that we expect to launch several products, based on new and improved technologies, later this year. As I said, ours is an international business with operations in the United Kingdom and the United States, as well as Ireland. A major programme of investment and innovation is under way and we expect to bring several successful products to market very soon.

In regard to Barna bog, we would like to work with local community groups in developing it. It is a project that must be carefully managed. In the coming years a large number of cutaway bogs will require to be rehabilitated. Many will flood naturally if Bord na Mona stops draining them. They will simply return to wetlands and can be part of a diversity programme. Some can be developed for tourism, while others may be used as water reservoirs. At Garryhinch, for example, we are developing a facility to provide water for Dublin and other parts of the eastern region. There are many other similar projects. Extensive work has been done in terms of what use can be made of exhausted bogs. It was once thought they could be returned to farm land or used to plant forestry, but, unfortunately, many of those projects proved only partially or not to be successful. However, we continue to examine all options. We have had great success with Lough Boora, for instance, where the wetland has been turned into a nature reserve and tourist attraction. Bord na Móna continues to invest in that facility in order to improve the visitor experience. It is an excellent example of what can be achieved and a model for what might be done elsewhere.

Deputy Michael McNamara had an interesting question on whether my remuneration was related to performance. The answer is "No." As chairman designate, I receive remuneration of €21,600 per annum, which I understand is a 10% reduction on the original set fee. At the time of my appointment to the board, I was invited by the Minister to forgo the board member's fee of €12,600 under the scheme in place for that purpose. I declined to do so and I am accepting the full fees for the job. Therefore, I receive €12,600 per annum as a board member and will be in receipt of €21,600 as chairman. That remuneration is not variable and is determined by the Minister, not the board.

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