Kieran O'Donnell (Limerick East, Fine Gael)

The danger here is that NAMA will effectively become a monopoly, as the largest property developer in Ireland, Europe and the world. It is extremely challenging. The Bill refers to "acquire and dispose of property", "make any planning application in relation to land", "undertake development for the purpose of realising the full value of any asset" and "carry on any business that NAMA considers can be conveniently carried on in connection with any of its functions or is calculated directly or indirectly to enhance the value of or facilitate the realisation of or render profitable any of NAMA's property or rights". It is critical that NAMA gets best value for money for the taxpayer but NAMA in its application must examine the wider aspect such as those operating outside NAMA.

Examining the business plan, I note that nothing happens until 2013. At that point there are enormous repayments of principal, where the sum goes from €2.5 billion to €7.5 billion, a threefold increase. Within the first three years, does the Minister intend that the structure of the SPV and the NAMA will engage under the headings I have cited? I do not necessarily refer to acquiring or disposing of property but the provision to make "any planning application in relation to land, and intervene in any planning application made by another person". Does NAMA intend to get involved in that area in a quick fashion? It may also "undertake development for the purpose of realising the full value of any asset" and "carry on any business that NAMA considers can be conveniently carried on in connection with any of its functions". In respect of this section, if it is done for the common good it is good but not if it is done so that NAMA gains a dominant position in the Irish market, whereby outside of NAMA very little activity will happen. With the structure the Minister has created, with assets overvalued to the tune of €7 billion or 15% and much higher if we return to a lower value, he will create a false floor under the valuation of assets. There will be no movement and he will bring further constraints to the property market that will hinder the market returning to normal. That is why it is so important that the assets in NAMA are bought at market value. The Minister is effectively creating a false market for assets. The worry is that this will be added to by further interference in the market under this amendment. I would like to hear the Minister's comments on the practical aspects of this.

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