Mr. Des Whelan:

I thank the Chairman and members for the opportunity to address the committee on how I envisage the Port of Waterford progressing during my chairmanship over the next five years.

I will begin by running through some of my experiences in business as a director and chairman of some businesses. I have been in business in Waterford for 36 years. I operated a local radio station for a decade and then won a licence in 1989 to broadcast to Waterford city and county. I have been doing that for the past 25 years and that is what takes up most of my time. I am the managing director of WLR. We celebrated 25 years broadcasting, as members of the committee probably know - the committee had a reception not so long ago for the industry here. When the industry was very young I was involved in setting up the advertising services and the independent news sector for the broadcasting industry. I was an original founding shareholder in Newstalk.

At the start of 2000 I was involved in a number of licence applications and I was eventually successful in putting together a consortium and establishing a company to win Ireland's first regional broadcast licence for Beat 102-103. I am also a founding shareholder and chairman of Radio Nova in Dublin and chairman of Red FM in Cork.

My day job is very much about running WLR and I have a great interest and passion for things in Waterford. For the past three years I have been a director of the Waterford Treasures museums in the heart of the Viking Triangle, which is playing a very important role in the rejuvenation of the city.

I am also chairman of the organising committee of the Waterford Viking marathon. Waterford was previously the only city in Ireland that did not host a marathon. This work was part of my day-job running Waterford Local Radio, WLR, and the marathon has been held successfully for the past three years.

I was part of the marketing committee when Waterford hosted the tall ships in 2005 and I chaired the overall organising committee when the tall ships returned in 2011. This was deemed by most to be a success, attracted the largest ever crowds to the city and generated a major economic boost. I had great support in this from everyone involved. I have a great passion for the sea and Ireland's maritime sector - I do some boating and hold a coastal skipper certificate.

One might wonder how a person involved in the broadcasting sector has ended up as chairman designate of a port. I have some background experience in this area. My father was a cattle dealer in the south east for many years and shipped cattle to the UK every two weeks. My first job was on the quayside loading cattle onto ships in the 1960s, which I remember fondly.

I realise it is an honour and a considerable responsibility to be asked to chair the Port of Waterford company. I gave the offer much thought before accepting it. This is not something I take lightly and I appreciate the challenges that lie ahead. I hope that my experience, the experience of the board and the commitment of the management and staff of the company will bring prosperity to the port.

Waterford is 1,100 years old this year and it has a wonderful history starting from the Vikings who came up the river in longboats. Many trade routes were established between Waterford and great European and American ports over the centuries. As the country's oldest city, Waterford has a tremendous maritime tradition. Waterford Harbour Commissioners was established in 1816 and in 1999 the Port of Waterford became a commercial semi-State company. In the 1990s it was noted that the city quays were too confined for modern shipping and the port moved four miles down river to Belview, County Kilkenny. The Port of Waterford is the fourth largest port in the Republic of Ireland and has Ireland's most modern port infrastructure. It is recognised as a port of national significance in the national ports policy of 2013. The Port of Waterford is a superb facility that has world-class road access and it is one of only two Irish ports with a direct rail link - it is also the closest Irish port to continental Europe. This starting point offers great opportunities to grow traffic through the port. In addition to its excellent location, there is a substantial development zone at Belview that will allow the port to expand its services and accommodate growth from companies that benefit from the location.

The port at Belview can cater for ships of up to 4,000 tonnes and 190 m in length. Ships carrying loads of up to 20,000 tonnes are common and ships with a draft of up to 9 m can be catered for either side of high tide. The port is currently served by a twice-weekly container vessel service to Rotterdam, via Dublin and Cork.

Waterford Port has the full support of Kilkenny County Council and Waterford City and County Council, along with other key public and private sector stakeholders. There is no doubt that a thriving port can facilitate economic recovery in the south east while benefitting from increased overseas trade. The Port of Waterford depends on imports and exports and, like many businesses in the south east, it was severely affected by the recession. Turnover peaked in 2008 at €12 million and revenues are now at half that figure. Waterford port made a loss from 2009 to 2012 but following a major restructuring, which saw staff numbers reduced from 49 to 27, the port made a profit of over €900,000 in 2013. This compares to a loss of €1.2 million in 2012.

Tonnage through the port of Waterford in 2013 amounted to 1,430,000 tonnes and the port’s share of the bulk market in Ireland increased last year to 3%.

The port does face many challenges. It carries a substantial pension deficit, which now stands at €7.2 million. That has reduced over the past three years from €10.9 million. Following the storms of last January and February, dredging costs will be doubled for 2014 and 2015. The port must also replace its current CEO, Stan McIlvenny, who retires in 2015 and it is to be hoped that the remuneration package will allow a high-quality successor to be secured.

At national level, there is reason for some cautious optimism about the future of the ports sector as economic recovery takes hold. For instance, Irish shipping and port activity rose by 4% in the first quarter of 2014 when compared to last year, according to the latest data from the Irish Maritime Development Office. The IMDO also reports that container traffic grew by 6% over the same period. While I have yet to chair a board meeting, I have been impressed by the positive attitude and culture of the workforce in the port. Corporate governance is excellent as are the health and safety standards in operation.

I must acknowledge the work of former chairman, Michael Flynn, and his board and the hard work of the CEO and his team. Anybody in business will understand the hard graft and effort that it takes to reduce company size during difficult times. The port now has a much lower cost base and a committed, hard working and well organised management and staff. Much of the hard work is done and the port is geared for growth. As the economy improves, it will be the new board’s priority to get further container services to the port and in particular a feeder service to Rotterdam, and to make those south-east businesses and transport companies using ports at the very least reconsider the attractiveness of using Waterford. Sales and marketing will be to the forefront of the business and it will be a priority to create new job opportunities as business improves. The port’s excellent location and world class facilities will be a very attractive proposition for the new Glanbia production facility at Belview and the reform of CAP will further increase the port’s agribusiness potential.

We are also confident that many more relevant businesses will locate at Belview and during my term as chairman I would hope that we can make a concerted effort to tidy up the old North Quays in Waterford and give visitors to the city a better first impression. This could also help in retaining and developing the port’s cruise business which – while not hugely significant to the port in revenue terms – is an important part of its contribution to the south-east region as cruise calls are an important driver of tourism revenues. The Minister's predecessor in the Department of Transport, Tourism and Sport, Deputy Varadkar, has appointed a skilled and experienced board and I look forward to working with the new board and management team to help continue to revitalise the Port of Waterford. Thank you.