Willie Penrose (Longford-Westmeath, Labour)

In the terms of what constitutes a fair share of the resultant benefit under section 4(5)(ii) of the Act, it seems there is a significant gain in consumer welfare among all qualifying households. They get timely and ready access to medication and it is free for medical card patients, or else it is subsidised by the Government under the drugs refund scheme. The ultimate benefit to the consumer across the country is very clear.

Section 4(5)(iii) states that the only terms imposed on the undertakings in the case of pharmacy services is to supply the medicines free of charge, or in the case of the drugs refund scheme, free of charge over the €90 threshold and the keeping of relevant accounts. According to section 4(5)(iv) of the Competition Act, only pharmacists can supply medicines covered by these schemes. I again cannot see how the current arrangement between pharmacists and the State can afford to an undertaking the possibility of eliminating competition in respect of a substantial part of the products or services in question. There is no price competition in methadone or in the medicines schemes because the price is agreed with the State. There might well have been an issue when we had a limitation on the number of pharmacies, but as we have now the most liberal pharmacy market in Europe, the current negotiation arrangements must surely comply with this section of the Act. In passing the Competition Act of 2002, it was never envisaged that the Act would prevent negotiations with representative bodies for members who supply services on behalf of the Government to citizens of this country.

I question the handling of this whole situation by the HSE, which is indicative of its handling of many other issues. What is going on between the HSE and the Competition Authority? Was it divine intervention that prompted the Competition Authority to raid the offices of the Irish Pharmaceutical Union? Who prompted it? Who asked the Competition Authority to get involved? Why would the Competition Authority want to interfere in markets when, as I have explained clearly, the potential for price competition is limited? Is it helpful to have the authority involved in what is a sensitive, volatile and difficult industrial relations issue? I ask the Minister to ensure that there is no collusion between State institutions in trying to force their will on any law-abiding individual or organisation. Surely we have an obligation to all our citizens to protect their rights of association, representation and fair procedures.

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