Dáil debates

Wednesday, 1 February 2006

Competition (Amendment) Bill 2005 [Seanad]: Second Stage (Resumed).

 

7:00 pm

Photo of Barry AndrewsBarry Andrews (Dún Laoghaire, Fianna Fail)

I agree to an extent, competition is a false god worshipped by some. It has distorted our views of the economy and society, two words I use deliberately because they do not mean the same thing.

Deputy Michael Higgins criticised the Competition Authority, talking about workers who are not always in the marketplace, such as actors, and the way in which the authority has dealt with their issues. In a previous life, I was in that category as a barrister. The Competition Authority has made recommendations that are ignorant of the circumstances and conditions that younger barristers must face. Only seven years ago there were 1,000 barristers and now there are 2,000 barristers but still the Competition Authority sees fit to ignore these facts. I am reminded of Screaming Lord Sutch, the head of the Monster Raving Looney Party, who complained that there was only one Monopolies Commission. Perhaps there should be another Competition Authority, or at least one with a broader view of society. Deputy Higgins made the point that price is not the only issue, just as the economy is not the only issue.

Many speakers have used the phrase "social infrastructure", referring to better planning in dealing with these issues. Some people might laugh at my referring to Foxrock, because it is a place used to deride those with too much money, but I was invited to visit the post mistress there to talk about her concerns on the post office and its future in the community. It is the only financial outlet in the village of Foxrock. I stood for 20 minutes waiting for the queue to disappear. It was not a particular day when there were more collections than any other, but the queue took a long time to dissipate because the post mistress knew everyone coming into the shop. She could quiz them on siblings and sore knees, she knew where they had been on holiday and could ask about children who had been sick. This impressed me because it proved to me there was more to the assessment of An Post than pounds, shillings and pence or balance sheets in the black.

That is not considered fully when the Government makes decisions. Equally, the Competition Authority is blind to these factors and the circumstances on the ground. It is our job to stand back from all vested interests, including the Competition Authority, which has a specific outlook, and to look at the bigger picture of the economy and society.

This Bill has some weaknesses. While I support what the Minister is doing, there are questions to be asked about enforcement. A list of worthy exclusions is given in section 15(b), where restrictions on certain practices are allowed, but that does not answer the question of how these provisions will be enforced. There must be stronger enforcement by the Competition Authority. Only one criminal prosecution was taken by the authority in 2004.

I would also like the Minister to tell us how a supplier is supposed to make a complaint to the Competition Authority against a major customer without destroying his relationship with the retailer and, possibly, the entire business. The Bill envisages on the one hand the supplier or undertaking bringing a case before the Circuit Court or the High Court, or on the other hand, the Competition Authority doing so. The figures show the authority is not effectively policing unfair practice in the economy and it is very difficult for a supplier to bring a case against a company with which he has close relations.

Trying to show a particular undertaking is abusing its dominant position is fraught with difficulty. First, it must be proved it is in a dominant position.

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