I extend my best wishes to the Minister of State, Deputy Áine Brady. I have no doubt she will do well in her portfolio. I look forward to working with her. It was mooted on the corridor this morning that there was a new man-made lake on the way for Tallaght along with a new harbour if Deputy O'Connor spoke on the Bill. Time will tell whether that is true.

I welcome the opportunity to speak on the Bill. It is worthwhile acknowledging the contribution harbours have made to the success of the State in recent years. The Bill enhances the commercial ethos conferred on ports by the Harbours Act 1996. The Bill is necessary to give effect to certain aspects of Government policy, as set out in the ports policy statement launched in January 2005.

The principal objectives have been outlined by the Minister, namely, to introduce the enabling provision to allow for the potential transfer of Bantry Bay Harbour Commissioners and Tralee and Fenit Pier and Harbour Commissioners to port body control in line with the Government's ports policy statement. There is also provision to widen the borrowing powers of port companies to facilitate port capacity expansion and to amend a number of provisions relating to pilotage.

The Attorney General gave advice on insufficient principles and policies in the 1996 Act to allow for future alteration of the harbour limits. An amendment was deemed necessary to address that issue. There is also provision for a clear legislative basis to underpin the investment by port companies outside their current harbour limits. That amendment is considered necessary to facilitate the development and successful completion of proposals relating to investment by port companies outside existing harbour limits, and outside the State.

The Minister is also transferring powers to An Bord Pleanála in the context of the compulsory acquisition of land by port companies. The Harbours Act 1996 provides for port companies to have regard to any relevant Government policy or guidance on the acquisition of land, as considered appropriate. In the interests of consistency and best practice that provision should apply also to the disposal of land by such companies.

The Harbours Act 1996 provides for the boards of port companies to consist of 12 members, comprising three directors appointed on the nomination of the relevant local authority, one or two employee directors, depending on the size of the company, either directly elected by employees or appointed by the Minister to represent employee interests. The chief executive officer and the remaining directors were to be appointed at the discretion of the Minister.

The amendment proposes to change the number of directors on the port company boards from 12 to eight. That is a necessary and welcome change. The statutory representation of local authority directors on boards will cease and the number of employee directors will be set at one per company. In addition, it is proposed to cease the practice of appointing port users to port company boards to avoid any potential conflicts of interest.

It is worth noting the amount of money that has been spent on piers and harbours in recent years. Much development work has been done and I would like to put a few items on the record, as these issues do not arise very often in the House. I refer specifically to a number of piers and harbours in my own constituency in Donegal.

We have a pier in Rathmullan that is one of the deepest sea ports in the country, but that pier is currently in a very poor state, and heretofore was never a funding priority. While I know that times are tight at the moment, it now is a priority with Donegal County Council. When we are in such a position to provide funding for piers and harbours again, this pier should be made a priority. While Killybegs at the other end of the county is a very important pier and harbour for Donegal and the country as a whole, much of the trade there comes through Rathmullan. However, in its current state, Rathmullan cannot do the business of which it is capable. If we got the required funding to upgrade the pier - currently estimated at €2.4 million, but it could be less if it was reviewed in a few months - then it would add greatly to the area by way of jobs and activity on the pier.

There have also been developments in recent years on ferry services in my constituency that link us with Derry, particularly the Greencastle to Magilligancar ferry. While it has been up and running for a number of years, finance is an issue just as it is with so many other things recently. As it is a cross-Border ferry, there are security issues involved which mean it costs much more to run than is deemed necessary. In light of the peace process and developments in Northern Ireland, there needs to be a review between the Minister for Transport and his Northern Ireland counterpart regarding security on this ferry service. At present, the service is in doubt and if this issue was addressed it would continue for some time to come.

I again welcome the opportunity to speak on this Bill. It will enhance our piers and harbours and the commercial traffic in the harbours, and I commend the Bill to the House.

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