Dáil debates

Wednesday, 4 May 2022

Competition (Amendment) Bill 2022: Report and Final Stages

 

6:50 pm

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail) | Oireachtas source

I thank Deputy O'Reilly for giving an opportunity to address these amendments. I intend to address both amendments together, because there is considerable overlap between them. I agree wholeheartedly with Deputy O'Reilly that it is important that the regulatory body is adequately resourced to coincide with any necessary legislative provision that gives it additional powers. As I stated previously, my Department and the Competition and Consumer Protection Commission, CCPC, recognise that significant additional resources will be required to implement the new legislation. In the past two budgets, the CCPC has received an increase of over 30%. It currently has 146 staff and it intends to increase the number to more than 200 by the end of this year. If the CCPC assessment is that additional funding is required, based on the structures required under this Bill, it can submit an increased Estimate bid as part of the budget 2023 negotiations. This bid is subject to agreement by the Tánaiste and Minister for Enterprise, Trade and Employment, and if it is approved, it will be incorporated into the overall departmental Estimates package, which will be the subject of negotiation with the Department of Public Expenditure and Reform for the upcoming budget.

The Deputy's amendments would be an unusual departure from the process, in that past spending would have to be accounted for rather than projected spending. Accounting for projected spending has been the norm. If the budgets were based on past performance in 2017 and 2018, the CCPC would not have received the additional 30% budget increase in 2021 and 2022, because those were based on projected activity, not past activity. The best way is for the CCPC to come forward in advance of the budgetary process and put forward a business case for the funding it needs to carry out its future work. That has been done in the past two budgets.

We demonstrated in these budgets that we recognised that additional resources would be needed and those resources were provided. I advised on Committee Stage that the Government is obliged under EU law to ensure that its competition authorities are sufficiently resourced. Since then, I have given the points raised by Deputy O'Reilly further consideration, because I genuinely accept where she is coming from, particularly with regard to what options are open to the CCPC if it found itself under-resourced and unable to carry out its functions at any future date. I consulted the CCPC and was advised that if such an event occurred, it has the ability to contact the European Commission's Directorate-General for Competition directly. The CCPC has direct contact with Commission officials in the appropriate unit. That would probably be the first point of contact if it had concerns about resourcing. This means that the CCPC has recourse if a future Government did not adequately resource the commission or, as Deputy O'Reilly suggested on Committee Stage, a Government decided to slash its budget.

While I genuinely appreciate the Deputy's concern and know where she is coming from with regard to belt, braces and baler twine, I believe that there is no need for these amendments so I do not propose to accept them.

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