Dáil debates

Thursday, 13 February 2014

Topical Issue Debate

Post Office Network

5:05 pm

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

I thank the Deputy for raising this matter, which I am taking on behalf of the Minister for Communications, Energy and Natural Resources. I assure him that his comments will be brought to his attention directly. An Post is committed to a strong and viable post office network and supports the maintenance of the maximum number of economically viable post offices. The commercial operation of An Post's post office network is a matter for the board and management of the company and not one in which the Minister has a direct statutory function.

The postmaster in Barnaderg passed away in January and I offer my condolences to the family. An Post has given a temporary contract to the daughter of the deceased postmaster to maintain continuity of service to the community of Barnaderg while the future of the post office is assessed. In circumstances such as this, it is standard procedure for An Post to review the future need for a post office and to hold a public consultation. In accordance with its normal practice, a customer notice regarding the review was placed in the post office last month. This notice advised that An Post was considering the future service provision needs at Barnaderg, which could include closure of the office.

However, before taking a decision, interested parties who wished to do so were given three weeks to submit their views on the matter to the company no later than this Friday, 14 February. An Post has advised the Department that three weeks is the standard period for response to its consultation process and in its experience this duration has proved to be more than satisfactory. I also understand that An Post will meet a local community delegation tomorrow and this will form part of the consultation process. In coming to its decision, An Post will take account of network coverage needs; the level of business at the office; customer access to service elsewhere, for example, travel distances, etc; and capacity of neighbouring offices to handle business if the office closes.

Following consideration of all the views received as a result of the consultation process, An Post will then proceed to take a decision on the future of Barnaderg post office. I fully understand the concerns of the Deputy about its future and the importance of the post office to the local community. However, An Post is currently facing many challenges not just financially, but also from the development of communications technologies and the impact of e-substitution. Any decisions it may take must be considered in the context of maintaining a sustainable post office network.

As a shareholder, the Minister has strong concerns regarding the ongoing commercial position of the company. The reality is that the core mail business has suffered a major fall in recent years and this has impacted seriously on the company's revenue. 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 and he has been supportive of its attempts to diversify its income streams and to win a wider range of commercial contracts offering higher margins.

The Government recognises the strategic importance of the postal sector. It has been long-standing policy that An Post remains in a position to compete in a liberalised market and to continue providing wide-ranging services to both urban and rural communities.

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