Oireachtas Joint and Select Committees

Wednesday, 29 June 2016

Select Committee on Communications, Climate Change and Natural Resources

Estimates for Public Services 2016
Vote 29 - Communications, Climate Change and Natural Resources (Revised)

9:00 am

Photo of Denis NaughtenDenis Naughten (Roscommon-Galway, Independent)
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A number of reviews have taken place and some elements, as the Deputy understands, are commercially sensitive. I will ask my officials to look into what has been done. There has been a NewERA efficiency review and the key findings were that RTE had demonstrated efficiency and now produces more at less cost than it did in 2003. In comparison with European peers, RTE experienced the largest decline in revenues between 2008 and 2012 and reduced its operating costs by more. RTE is in a constrained financial position and its ability to undertake any meaningful capital expenditure in the future will be challenging. The suggestions made by NewERA included the identification and assessment of potential cost savings via the reduction or elimination of some services and a review of services that are currently or could be provided by the market. That review is taking place. It was also suggested there should be a robust analysis of options regarding the use, in part or whole, of the site in Donnybrook, and that analysis has been completed. I expect a memo on that quite soon. It was suggested there should be additional public funding for the consideration of in-house production and independent commissioning through a review of the possible introduction of an approach based on the window of creative competition used by the BBC.

Deputy Lawless asked about outside consultants and the great benefit of NewERA is that it has gone to many semi-State bodies under my control and had the ability to do an "in-house" assessment, so to speak, within Government. It is separate from my Department but it can do an independent evaluation. This is more open and transparent but we are still talking about Government doing the assessment.

We found NewERA extremely useful not just in carrying out reviews like that done in RTE, but across the board. It is involved with a review currently in An Post. There are projects coming before me for authorisation of investment, in this country or elsewhere, and NewERA can do an independent evaluation and give its views to me on them, which is very beneficial to me in making a final decision on whether to approve an investment by some of the semi-State bodies.