Paul Connaughton Snr (Galway East, Fine Gael)

The Competition Authority must be revamped. In fairness to the authority it has had a long, difficult road to travel since its inception. Ireland has a culture of cosiness which is conducive to the emergence of cartel arrangements and that has resulted in a wide range of impediments being placed in the way of real competition. This manifests itself daily in 1,000 different ways.

The Competition Authority has set out to gain the confidence of ordinary consumers and small, downtrodden companies which are no more than fodder for the sharks of industry in manufacturing and services. More people than ever before are aware of the authority's role but while it has had some success in the area of mergers, it is foundering in the area of enforcement.

Now that the principles, role and purpose of the Competition Authority are known, the question arises as to whether it has been effective. The authority is somewhat similar to the Garda Síochána in that it has no shortage of laws with which to work but it does not have sufficient personnel to enforce them.

The public and big business learn quickly. For instance, although the penalty points system had a major impact when introduced, it is ineffective because members of the public are aware that the chances of being caught are minimal. The same applies to big business. It is faced by a paper tiger in the form of a Competition Authority with no real teeth. As the Minister knows better than anyone, some cases brought by the authority have been pending for more than nine years. How could this be good for our competitive edge? Justice delayed is justice denied. If the Competition Authority is to achieve the results which are vital to the promotion of real competition, much faster, crisper procedures need to be established to put manners on the greedy manipulators involved in the business world.

The rip-off culture is sparkling and can be found in every aspect of business life. It is evident in equal measure in private business and public utilities and is so widespread that consumers are as likely to pay higher interest rates if a bank believes it can get away with it as they are to pay an exorbitant charge for a simple cup of coffee in a small restaurant.

My colleague, Deputy Hogan, referred to Cement Roadstone Holdings. In representations made to me it has been alleged that this company has enjoyed a monopoly for years. It has taken the Competition Authority too long to decide whether CRH is a monopoly or a cartel, and such uncertainty creates significant problems. I understand another long-standing case brought by the Competition Authority against a company involved in the oil business was this week put back for a hearing until next October. Clearly, there is something wrong with a system in which such delays arise.

The Competition Authority requires a much greater financial allocation. To achieve what the Fine Gael Party is proposing, for example, the Government would need to double its funding. In parallel, the staff of the authority will have to include the best and brightest investigators. There is an old saying in my part of the world that one does not send a boy on a man's errand. Those involved in carrying out investigations and doing the detective work necessary in the big, bad world of business must understand what type of activity is taking place. The Competition Authority has a massive job ahead and will need much greater resources to carry it out.

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