Dáil debates

Wednesday, 12 May 2010

3:00 pm

Photo of Batt O'KeeffeBatt O'Keeffe (Cork North West, Fianna Fail)

I propose to take Questions Nos. 48 and 80 together.

As both the National Consumer Agency and the Competition Authority were established under statute, it is necessary to give effect to the newly merged body by way of primary legislation. At the time the merger of the two bodies was announced, as part of the rationalisation plan for State agencies during the 2009 Budget Statement, work on a review of the operation and implementation of the 2002 Competition Act was well under way. The various submissions received following a public consultation process were being considered, as was the report and recommendations of the advisory group on media mergers.

Rather than give effect to the amalgamation of the National Consumer Agency and the Competition Authority in a stand-alone Bill, to be followed in due course by legislation to amend, reform and update the 2002 Act, it was decided to introduce a single comprehensive Bill that will create the new consumer and competition body, update existing competition law, strengthen the public interest test in respect of media mergers in line with the report of the advisory group on media mergers, make some minor amendments to the consumer protection legislation and give effect to the Government commitment under Towards 2016 regarding the exemption of certain specified categories of vulnerable workers from competition law. While work on the draft legislation on this basis has been progressing, developments in other areas have arisen which have led to additional requirements in the Bill.

The renewed programme for Government contains a specific commitment to "implement a code of practice for doing business in the grocery goods sector to develop a fair trading relationship between retailers and their suppliers" and "to review progress of the code and if necessary to put in place a mandatory code". An enabling provision for this code will be provided for in the legislation. This all-encompassing approach has to some extent delayed the legislation for the rationalisation of the two bodies. However, we will be better served in the long run by a single legislative measure that both establishes the new body and provides for a combined and updated consumer and competition code with appropriate enforcement provisions being given to the new body. Work on the draft heads of the Bill is now at an advanced stage and I intend to bring these draft heads to Cabinet within the coming weeks. I hope to publish the Bill in the autumn.

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