Oireachtas Joint and Select Committees

Wednesday, 5 February 2014

Joint Oireachtas Committee on Transport and Communications

Competition in Ports Sector: Competition Authority

10:20 am

Photo of Patrick O'DonovanPatrick O'Donovan (Limerick, Fine Gael) | Oireachtas source

I thank the witnesses for the submission. The physical constraints in ports should be a consideration. Panamax vessels are already a fact of life for bulk ports, particularly the Shannon Foynes Port in my constituency. It is no coincidence that the port will attract the investment and the attention it deserves into the future simply because it happens to be the deepest. What analysis did the Competition Authority carry out into the physical constraint of the water depths at these ports? Larger Panamax vessels will become a fact of life, particularly for bulk cargo. Moneypoint has the largest coal-burning electricity generation plant in the country and some of the biggest ships in the world go in there. They cannot get into any other port in the country. Physical constraints will have to form part of the basis when considering competition between ports. There is no point talking about ships that may or may not call to port; the reality is that they are already calling to those ports.

Has this been looked at in the context of the operation of European ports and intra-port competition in terms of stevedoring and things like that? In some cases the stevedores are employees of the ports and might have built up employment rights, etc., depending on their length of service. How would the model of competing interests in the port operate on the basis that the infrastructure in many cases is owned by the port, the workers are employees of the port and the port is a State entity? How has this model worked in other countries where increased levels of competition have been introduced?

During the analysis of competition within ports, what interaction did the Competition Authority have with the stakeholders, including the employers and haulage operators? Would those people have had similar experiences in European or UK ports? If there is greater levels of competition in those countries, is there evidence that it leads to improved levels of competitiveness from the point of view of the stakeholders?

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