Tommy Broughan (Dublin North East, Labour)
Link to this: Individually | In context

Question 17: To ask the Minister for Arts, Sport and Tourism his views on ongoing reports of profiteering by the local tourism industry during the period of the Ryder Cup competition being played here; if he has made efforts to prevent same; his further views on the potential damage this could do to Ireland's reputation internationally as a tourist destination; and if he will make a statement on the matter. [21011/06]

Emmet Stagg (Kildare North, Labour)
Link to this: Individually | In context

Question 23: To ask the Minister for Arts, Sport and Tourism his views on the decision not to make the Ryder Cup a free-to-air television event; his further views on whether this will dilute the impact of the event nationally and internationally; if he has had discussions with the Department of Communications, Marine and Natural Resources on this issue; and if he will make a statement on the matter. [21034/06]

Jack Wall (Kildare South, Labour)
Link to this: Individually | In context

Question 25: To ask the Minister for Arts, Sport and Tourism if his attention has been drawn to recent comments from the chief executive of Tourism Ireland that any attempts to rip off visitors during the Ryder Cup will do long-term damage to the tourism industry here; the efforts he is making to ensure that visitors to this country are not exploited financially during the period of the Ryder Cup; and if he will make a statement on the matter. [21009/06]

John O'Donoghue (Kerry South, Fianna Fail)
Link to this: Individually | In context

I propose to take Questions Nos. 17, 23 and 25 together.

I am aware that concerns have been expressed about the risk of excessive prices being charged by certain elements of the Irish tourism and hospitality industry in the context of the Ryder Cup taking place in Ireland. The State tourism agencies are being particularly vigilant in this area and in all their dealings with the industry are taking the opportunity to encourage a commonsense approach to the pricing of our tourism products. In addition, my Department wrote to the Director of Consumer Affairs last November requesting that a special initiative be undertaken around the time of the Ryder Cup to ensure that price lists in restaurants and public houses are displayed prominently. The Director of Consumer Affairs has informed me that the appropriate checks will be carried out.

Ireland will deliver value for money during the staging of the Ryder Cup. The vast majority of visitors will have purchased packages that have been priced for quite some time. Furthermore, all approved accommodation providers will have published maximum prices that they cannot legally exceed. Nevertheless, I will continue to raise these issues, as appropriate, in my regular contacts with the industry and in the media in the build-up to the Ryder Cup.

In particular, I urge all tourism service providers to take a long-term perspective on the benefits of the event. The value of word of mouth publicity cannot be over-estimated and we want our visitors to return home with glowing reports about their stay here and confirmation that the hospitality and friendliness for which we are renowned really exists. More importantly, we want them to be able to say that the golf was excellent, that they received value for money and that they will want to come back again.

I do not believe that the decision of the Government not to include the Ryder Cup on the list of designated events for free-to-air transmission will have any adverse impact from a tourism perspective. My Department was consulted about the possible designation. As the House will be aware from the press statement issued at the time by the Minister for Communications, Marine and Natural Resources, the decision not to so designate the event was made on the basis that it did not meet all the necessary criteria and the reasonable expectation that it would remain outside the remit of free-to-air for 2006 given that it had been decided not to include it at the time of the first designation.

From a tourism perspective, media access to our key international markets is paramount and in this regard the Ryder Cup represents an unprecedented opportunity to showcase the island of Ireland to a worldwide television audience of 1 billion people in 150 countries, including 56 million golfers worldwide. Earlier this year I announced that, in addition to providing an additional €4.5 million to Fáilte Ireland to support an enhanced programme of marketing and promotion activities around the Ryder Cup, it was agreed that Fáilte Ireland would engage with the European Tour for delivery of an appropriate complementary programme of events, including initiatives intended to raise the profile of the occasion within Ireland and enhancing the official opening and closing ceremonies.

Jack Wall (Kildare South, Labour)
Link to this: Individually | In context

I could not disagree more with the Minister on the matter of designation of the Ryder Cup for free-to-air transmission on television. It was an unbelievable error not to include the event and not to ensure that it would be seen on national television channels because those in Ireland involved in general tourism during the event will not have that facility if they are situated in an area without access to Sky television. Indeed, I am told that only 14% of people access Sky television. I could never understand the logic of what the Minister did in this regard and I still believe it is a matter which he should consider. Certainly, not including this event was a major error because in our lifetime we may not see it here again. It has become such a world event that it may not be possible to hold the Ryder Cup again in Ireland in the future. The Minister certainly threw away a major chance of ensuring that it could be viewed by the maximum number of tourists who will be in Ireland at the time of the Ryder Cup but not here for that event, and of developing links with golf here in that regard.

On the question on the long-term damage to the tourism industry, the chief executive of Tourism Ireland, Mr. Paul O'Toole, was quoted in an article in The Irish Times as stating that it is a marvellous opportunity to showcase Ireland but it is crucial that we do not fleece the customers while they are here and that hotels in Dublin and Kildare will not charge rack rates or top prices approximately 25% to 28% above the average. Surely that sets the trend for everything else attached to the Ryder Cup. I am flabbergasted. If the person most involved in generating tourism from the event states it is all right if the prices rise by only 25% to 28%, how can the Minister honestly state that he will try to control prices during the Ryder Cup? It is unbelievable to think that would be said in the context of a rip-off.

One must bear in mind that there will be tourists in Ireland at the time of the Ryder Cup not solely attached to the event. Will we see an aspect of differing treatment in hotels, where regular tourists will be charged ordinary prices and a Ryder Cup tourist will be charged 25% to 28% more? If the Minister is to try to set a trend right across all aspects of the services involved in providing for the Ryder Cup, surely the statement to which I refer should be retracted as a matter of urgency. It is unbelievable that a 25% to 28% rise is acceptable. If Tourism Ireland agrees that immediately we should accept a 25% to 28% increase, there are no grounds for the Minister to argue the point. How can the Minister get that statement retracted and how can the Minister's argument be channelled down to all the various aspects of the services involved in this?

John O'Donoghue (Kerry South, Fianna Fail)
Link to this: Individually | In context

I do not think the chief executive of Tourism Ireland believes it is quite all right for people to raise prices by 20% to 25% just because a major event, the Ryder Cup, is being held in their locality. People should recognise that the tourism business is not a short-term one and does not exist for short-term gain. It is a long-term business. It is, quite simply, our single largest indigenous service industry and is generating enormous revenue. Revenue from tourism last year, with a record 6.9 million visitors yielded, before carrier receipts and transport costs, was almost €3.5 billion. This is an enormous amount of money and if one includes the domestic element, the industry is worth approximately €5 billion to the economy.

One will always find that a minority of people will buck the trend and attempt to make the fast buck in a slip-shod wink and nudge way. They do a grave disservice to the majority in the industry who wish to ensure that people enjoy the experience and return home with the view that Ireland was a wonderful place to visit and, above all, that they were treated fairly. In that respect, approved accommodation providers must advertise the maximum rates which they charge. At certain times of the year the same accommodation providers charge less than they would at other times. For example, when the Ryder Cup took place in the Belfry, demand exceeded supply, as it will in Kildare and in surrounding areas during the course of the Ryder Cup. When it was held in the Belfry room yields in Birmingham increased by 36% for the period around the competition. I do not wish to see that replicated in Ireland.

I am confident that Ireland will deliver value for money relative to other Ryder Cup venues. In any event the vast majority of visitors will have purchased their packages before they arrive here and they will know precisely the cost because these have been priced, and deals concluded, for some time. Furthermore, as I stated, all approved accommodation providers will have published maximum prices which they cannot legally exceed.

Incidentally, all sectors of the tourism industry are acutely aware of the value for money issues and the available research from Fáilte Ireland suggests that in an overall sense the consumer is very satisfied with the cost of accommodation and of the golf product in Ireland, although less so, admittedly, as I stated previously, with the cost of drinks and eating out. However, the level of overseas competition continues to grow and, as such, Deputy Wall can be assured that there is no complacency in this matter.

The Ryder Cup offers Ireland's tourism industry a golden opportunity, not just to showcase our golf product but to showcase the beauty of our country and, more specifically, the value for money available in Ireland. I appeal to the industry across the country to take that opportunity.

Jimmy Deenihan (Kerry North, Fine Gael)
Link to this: Individually | In context

In view of the fact that bringing the Ryder Cup to Ireland cost taxpayers in the region of €16 million, surely they should be entitled to at least see it free-to-air. As Deputy Wall stated, only one in five households here have Sky Sports. The Government could have included this event in the legislation. The excuse that golf is not considered part of Irish culture is rather lame. More people are playing golf in parts of the country than any other sport. It is very much part of the discussion in pubs where people speak more about golf than almost any other sport.

In deciding that the Ryder Cup should not be free-to-air, the Government has done a major disservice to the taxpayers. It was their money that brought this event to Ireland and come September when people find out they have to pay €700 or some such sum to Sky in order to see the Ryder Cup they will be most annoyed in view of the investment they have already made in it.

I do not know if the matter is open to negotiation with Sky. Perhaps an arrangement could be made with RTE so its viewers could view the event free-to-air or will the Minister indicate if it is possible for the Government to contribute a fee? If there is a window of opportunity, it should be explored because the current situation is grossly unfair.

In terms of what Deputy Wall said about pricing, the Minister should send out the word to golf clubs around the country not to increase their prices for this event as thousands of American golfers will come here in the weeks before the event and they will see the prices in June, July and August and if prices are increased for September it will send out a bad signal about Ireland.

John O'Donoghue (Kerry South, Fianna Fail)
Link to this: Individually | In context

The event has the capacity to be beamed to 1 billion people in 150 countries. A total of 56 million of those 1 billion people will be golfers.

Jimmy Deenihan (Kerry North, Fine Gael)
Link to this: Individually | In context

I do not dispute that.

John O'Donoghue (Kerry South, Fianna Fail)
Link to this: Individually | In context

It is also the case that a deal was reached by the European tour with Sky. It is further the case that the designation did not meet with the criteria in accordance with the advice of the Attorney General so it was not possible to designate it. Even if it had been possible to designate, I must be honest and state we reached a deal with the European tour, in as much as we reach deals with other sporting organisations across the world in regard to the hosting of certain events in Ireland, in which certain understandings, written or oral, were reached. It is important those understandings are honoured. If it is the case that we stop honouring understandings, then I am afraid what will eventually happen is that people will not trust us to host major events.

Jimmy Deenihan (Kerry North, Fine Gael)
Link to this: Individually | In context

What about the FAI?

John O'Donoghue (Kerry South, Fianna Fail)
Link to this: Individually | In context

In that context, from the time we commenced the sports tourism initiative, which is administered by Fáilte Ireland, we have sponsored a total of 102 events to the end of 2005 with a funding allocation of some €29.64 million. To date in 2006, the initiative has supported 16 events, not only in golf but also in other sports such as yachting, showjumping, rugby, athletics, motor racing and windsurfing.

It is the case that RTE can negotiate freely with Sky with a view to sorting out this problem. Ireland is a relatively low market in comparison to Sky's potential market in terms of this event.

Catherine Murphy (Kildare North, Independent)
Link to this: Individually | In context

The review of the designated events was a sham. There is no excuse for not having this event free-to-air. I do not know why we went through that process when commitments had clearly been made. I received replies to parliamentary questions stating no commitments had been made. In recent weeks I read in a daily or Sunday newspaper of the amount of money the Government has committed towards the event. It is a wonderful event and I look forward to it. I know it will be a major success.

Pat Carey (Dublin North West, Fianna Fail)
Link to this: Individually | In context

Will the Deputy ask a question, please?

Catherine Murphy (Kildare North, Independent)
Link to this: Individually | In context

The review was a sham. Will the Minister indicate if commitments were entered into? I have been told categorically by the Minister for Communications, Marine and Natural Resources that no commitments were entered into.

Not only are people taking a short-term view of the tourism industry by ripping people off but they are letting down the industry and the voluntary effort that is being put in by communities around the event centre in the K Club in Kildare who have been adding to the event. They should be taken into consideration also.

Pat Carey (Dublin North West, Fianna Fail)
Link to this: Individually | In context

We are out of time so I ask the Minister to give a brief reply.

John O'Donoghue (Kerry South, Fianna Fail)
Link to this: Individually | In context

I confirm to the Deputy that no contractual commitments were entered into.