Noel Dempsey (Meath, Fianna Fail)

I am not aware of any plans to go back to an SDS type operation in respect of parcel post. That service was set up a few years ago and had to be closed quickly. The work on the closing of that service was completed only in the middle of last year. I am not aware of any decision to revert. I am aware An Post will aggressively market its parcel service through the normal post and is seeking to compete with private couriers for that end of the market. On the question of other Government services, at every available opportunity the Government is seeking to ensure that any services that can be provided through the post office network will be so provided. The most recent service is the fine paying system, on which agreement has been reached between the Department of Justice, Equality and Law Reform and the postal service. The Government made a decision some years ago to ensure, where possible, that each Department, in line with public procurement policies, would try to provide services through An Post to enhance the viability of the post office network.

On the issue of the post office network throughout the country, I mentioned in my reply that we still have the highest number of post offices per head of population of any country in Europe. I am aware that many people attended meetings of the IPU before Christmas. At those meetings even the IPU questioned whether we could sustain the post office network and the current number of post offices into the future. In light of its report and other issues it had with An Post I have asked Eamon Ryan to assist it in negotiating with An Post to try to enhance its position which in turn would enhance the post office network. I accept the Deputy's acknowledgment of the resolution of the dispute. Hopefully, we can move forward and that the remaining matters that need to be resolved, as part of the Labour Court decision, can be finalised.

Competition is increasing. An Post needs to modernise to adapt. I have no doubt with goodwill on all sides that can happen. If by 2009 An Post is not in a healthy state and able to compete with the best in the private sector it will have a major difficulty. I am confident it will adapt, accelerate the change process and will be in a healthy state at that time and able to withstand competition.

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