Leo Varadkar (Dublin West, Fine Gael)
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Question 95: To ask the Minister for the Environment, Heritage and Local Government if he has ensured that local authorities will not allow the creation of management companies as part of planning permission conditions for traditional estates; and if he will make a statement on the matter. [22746/07]

Deirdre Clune (Cork South Central, Fine Gael)
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Question 142: To ask the Minister for the Environment, Heritage and Local Government when he will ensure that new procedures are introduced for the taking of estates into charge by local authorities; and if he will make a statement on the matter. [22747/07]

John Gormley (Dublin South East, Green Party)
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I propose to take Questions Nos. 95 and 142 together.

The Planning and Development Act 2000 sets the statutory framework within which planning authorities must take in charge estates. In addition to the legal framework, my Department has also issued comprehensive policy guidance on the taking in charge of estates. In circular letter PD1/06, planning authorities were reminded of their responsibilities in this area and were asked as a priority to establish a policy on taking in charge to be approved by the members of the authority and reported on to those members on a regular basis or at least annually.

In July 2006, my Department issued circular letter PD5/06 to planning authorities stating that conditions requiring management companies should not be attached to planning permission for traditional housing estates, namely, estates of houses with individual private gardens, except in very specific circumstances. Such circumstances would include, for example, the maintenance of a particular service or shared facility that is provided for residents' use only, such as a playground.

The circular acknowledged, however, that the question of who should be responsible for the maintenance of certain shared facilities in the newer type of mixed estate needed further examination. Accordingly, my Department established a working group, representative of local authorities, architects, planners and consumer interests to consider this issue and other issues related to the taking in charge of estates. The group considered the issue of responsibility for the maintenance of common shared facilities in residential estates including small open spaces, car parking and playgrounds. It also looked at issues relating to the completion of estates and the taking in charge process. The group has completed its work and has produced suggested draft policy guidance for my consideration.

As indicated in previous replies to the House, I will carefully consider the draft policy guidance in the context of the new programme for Government commitments in this area, in order to determine the most effective course of action. I expect this process to be completed shortly.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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I welcome the Minister's statement that the working group has completed its work and will shortly report on it to him. Will the Minister acknowledge there is ongoing extortion in respect of this scheme which is being used by some people to gather money for themselves rather than as payment to maintain open spaces in apartment complexes?

Will the Minister agree it is important legislation be introduced now to deal with this important issue rather than dealing with it by way of regulation in 2009, as recently indicated by him?

John Gormley (Dublin South East, Green Party)
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I have spoken to Deputy Hogan's colleague, Deputy Varadkar, about this matter. I know he is genuinely concerned about this. I am aware that as a councillor he experienced at first hand many of the difficulties involved in dealing with management companies.

I would like to reassure the Deputy that I received confirmation from my Department before coming into the Chamber that the working group has completed its work and that its report will be on my desk next week. This is a serious issue on which we must move as swiftly as possible. For this reason, I will use every ounce of my energy to ensure the matter is progressed as quickly as possible.

Terence Flanagan (Dublin North East, Fine Gael)
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I thank the Minister for his response. On management companies, I have tabled a parliamentary question in respect of certain estates in my constituency. This sector is completely unregulated and people are being charged on the double in terms of high prices for homes and between €500 and €800 in management fees, depending on whether they live in a house or an apartment.

This is a serious issue. There are huge delays in the taking in charge of housing estates by local authorities. The management companies are extorting money from people for up to ten years in some instances. Will the Minister ensure the taking in charge process will be improved upon?

John Gormley (Dublin South East, Green Party)
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As I stated in reply to Deputy Hogan, this is a matter of great concern and I want to ensure is sorted out. These difficulties arose, as the Deputy will be aware, in the context of the unprecedented building programme which took place here. Estates were springing up like mushrooms all over the place, without, I acknowledge, proper facilities and where the management companies in place were exploitative in many cases. This is a matter deserving of urgent attention and it will be on my desk next week. The Deputy's colleague, Deputy Varadkar, has stopped me in the corridor on a number of occasions and I would be happy to talk to him about this matter.