Dáil debates

Tuesday, 13 November 2012

Topical Issue Debate

Regulatory Bodies

5:40 pm

Photo of Colm KeaveneyColm Keaveney (Galway East, Labour) | Oireachtas source

Last week a committee of the Oireachtas was subject to what I can best describe as a show of disdain and arrogance by the chairperson of the Commission for Communications Regulation, ComReg, in his refusal to answer questions or provide any sense of being responsible to anyone but himself in the exercise of the functions of his public office. ComReg has since come into increasing conflict with An Post and I can best describe their relationship as dysfunctional. The financial health of An Post hangs in the balance. Workers, their unions and the management of An Post are working together to secure the financial health of the company. ComReg, however, is pursuing a policy that will result in damage to An Post's financial standing and threaten service provision across communities. It is pursuing what appears to be a pro-privatisation agenda towards An Post and has done so in a manner that has played fast and loose with the public interest.

ComReg pursued a legal action against An Post which it subsequently lost in the High Court. An Post opposed ComReg's original decision on the grounds that it amounted to an unacceptable form of micromanagement of its postal delivery service by the regulator. An Post must bear the cost of the High Court case, as well as the cost of a Supreme Court appeal. Worse still, it will also be picking up the legal bill for ComReg. This action by ComReg will be responsible for financially damaging a valued and necessary public utility and the only winners will be the lawyers, certainly not consumers.

ComReg recently fined An Post €12 million for its quality of service levels. This seems to be an outrageous amount of money and I question the metric used to arrive at this levy. There is little point in comparing the efficiencies achieved by An Post with those of other universal service operators in other countries, given our low population density and spread. Will the Minister establish the impact of this fine on An Post? Will he ask ComReg to forward to us the metric used in arriving at this fine?

An Post is forced to pay for two sets of private consultants to measure the quality of service in dispute. Why not only one? The additional cost imposed by ComReg by the requirement to have two consultants is racking up millions of euro for An Post and impacting on the service provided for consumers. While the independence of the regulator from ministerial or political interference is to be valued, there must be accountability to this House. The regulator should be compelled to answer questions on its role from Oireachtas committees and the Minister, not hide behind legislative shields. No officeholder in the State should be permitted to exercise the functions of his or her office, a trust given by the Oireachtas, without a degree of accountability.

ComReg’s actions threaten the interests of consumers and communities across Ireland. Is the Minister considering proposals to review the operation of the regulator, alter the focus of its office and ensure an impartial approach to how An Post’s functions are refereed?

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