Dáil debates

Thursday, 30 January 2014

Topical Issue Debate

Post Office Network

1:55 pm

Photo of Fergus O'DowdFergus O'Dowd (Louth, Fine Gael) | Oireachtas source

On behalf of the Minister for Communications, Energy and Natural Resources, I wish to reassure the Deputy it is Government policy that An Post remains a strong and viable company, in a position to provide a high quality, nationwide postal service and to maintain a nationwide customer-focused network of post offices. Operational matters and the role of developing commercial strategies for the post office network are matters for the management and board of An Post and not ones in which the Minister has a statutory function. However, the Minister has a strong concern about the ongoing commercial position of the company and he regularly liaises with the company in this regard.

I refer to a plan for the future sustainability of the post office network. The Minister welcomed last year's report of the Joint Committee on Transport and Communications on promoting a sustainable future for the post office network which he found both positive and ambitious. The Minister agrees with the thrust of that report which looked at the configuration of the post office network, the importance of Government contracts and suggestions for extra business for post offices. The pivotal financial and social role of the post office in local communities was acknowledged. The desirability of channelling more Government business through the network is an issue which is often raised. However, any such developments would need to be in compliance with EU procurement obligations and this aspect was acknowledged by the committee in its report.

An Post has many strengths and has the largest retail presence in the country. The Minister has impressed on the company the need to further exploit its unique position in this regard. He has been supportive of its attempts to diversify its income streams and to win a wider range of commercial contracts offering higher margins. In the context of the public sector transformation agenda, the Minister will continue to engage with his colleague, the Minister for Public Expenditure and Reform, in consideration, as appropriate, of the post office network for transactional elements of the business of Departments and agencies. He has stressed to his Government colleagues that the network is ideally configured for over-the-counter transactions. Any such developments would need to be subject to public procurement requirements as appropriate. Having invested in the computerisation of all post offices, the post office network is well positioned to become the front office provider of choice for Government and the financial services sector. Overall, the Minister sees a strong future for the network by using its existing strengths to remain a significant player in the delivery of a wide range of services on a nationwide basis.

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