Bernard Durkan (Kildare North, Fine Gael)

The primary function of the company is not to trade in shares. Rather, it is the provision of a utility service. There is a grave danger the company might be distracted by other issues such as the buying and selling of shares and so on. I am totally in favour of the involvement of employees in the shareholding of the company because it gives them a particular or special interest. That has long since been my party's policy. The situation is changing, however, in view of increased competition as a result of the liberalisation of markets and so on. We may well find that companies are increasingly privatised, sold or taken over quickly by means of the buying of shares from employees and others.

I ask the Minister to keep this in mind in the context of this Bill. I would not like to see companies involved in the delivery of services such as energy being sold on a regular basis as has happened, for instance, in the case of Eircom. While such a development may be progressive from the point of view of shareholders, be they corporate or otherwise, it may not always be in the best interests of the company in developmental terms. Shareholders may need to look again at how the company progresses in terms of the delivery of its services.

In the United States, where privatisation and flotations seem to work better than they do here, there are provisions in regard to the delivery of utility services whereby an onus rests on the company to ensure adequate refinancing takes place and that its development is not impeded or in any way obscured by the efforts of any party to trade its shares in the markets. The raison d'être of the company must be borne in mind at all times. Concerns in this regard are particularly sensitive in regard to energy. If we were to wake up one morning to discover large swathes of the country were without energy, the hue and cry of recent weeks in regard to the cutting off of telecommunications services to the customers of a particular company would pale into significance.

The Minister and his Department must keep in mind that the provision and supply of energy is a most serious issue. The delivery of energy affects every household, factory and heating installation. I say this as someone who is entirely supportive of the concept of employer involvement in company shares.

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