Éamon Ó Cuív (Galway West, Fianna Fail)
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Question 27: To ask the Minister for Communications; Energy and Natural Resources his future strategies regarding the delivery of post office services and particularly if he has had discussions with the Department of the Environment, Community and Local Government and the Department of Transport, Tourism and Sport regarding the possibility of post offices collecting car tax and issuing car tax certificates; and if he will make a statement on the matter. [15949/11]

Pat Rabbitte (Dublin South West, Labour)
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The role of developing commercial strategies for the post office network is a matter for the board and management of An Post and one in which I have no statutory function. The legislation establishing An Post, the Postal and Telecommunications Services Act 1983 requires the company to provide counter services for its own and Government business, and other uses that the company sees fit.

Responsibility for motor tax policy and legislation lies with my colleague, the Minister for the Environment, Community and Local Government, and any decisions around the outsourcing of the collection and issuing of motor tax certificates would be a matter for him. I have no statutory function in this matter and I have had no discussions with either the Minister for the Environment, Community and Local Government or the Minister for Transport in this regard.

Éamon Ó Cuív (Galway West, Fianna Fail)
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In this case a commercial company could not decide to do something unless the Government decided to give it the function to do so. Does the Minister consider it would be a good idea to make this service available locally as it would have the treble advantage of localising a service, reducing the carbon footprint of people travelling to the central towns to purchase their car tax, and increasing the viability of the post office system and using it to maximum effect? Does the Minister intend to have formal discussions with his colleagues to bring forward this issue and provide this service locally?

Pat Rabbitte (Dublin South West, Labour)
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I agree that anything that enhances the viability of the post office network is worthy of consideration. However, winning Government contracts perhaps ought not be the first focus of An Post from here on out because increasingly more Government business is going online and that will have its own implications. There is no reason An Post ought not be able to win new commercial contracts. With initiatives such as its Postfone arrangement with Vodafone and so on, it has started to do that and that is likely to be more productive. Approximately 77% of revenue currently comes from Government contracts. Whereas I am all in favour of An Post capturing new business in the State or elsewhere, it is in the commercial area that its future lies.

I have had discussions with An Post management about the future of An Post and the extraordinary challenges facing it because of electronic substitution and so on. It has made enormous progress recently and is involved in a major restructuring programme. It is well aware of further commercial possibilities.

Éamon Ó Cuív (Galway West, Fianna Fail)
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Is it not convenient for people to pay their car tax in local post offices instead of making round trips of, for example, 100 or 120 miles? I am surprised by the Minister's negative attitude. As he knows, people have been able to get car tax online and through the post for many years, but many still choose to visit their local authorities. One can see the queues every month. Will the Minister pursue this issue, given that people must now travel considerable distances to avail of an extra customer service that used to be provided to them locally?

Pat Rabbitte (Dublin South West, Labour)
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I am all in favour of An Post getting business wherever it can since it has the most extensive retail presence in the country. From memory, it has 1,345 post offices. I can recall no other organisation that has such a network nationwide. As to the matter the Deputy is pursuing, one can already get one's tax online. I am happy to speak to my colleagues about the issue formally. I have spoken to them unofficially. Within the Act, it is not my function to canvass for business for An Post, but I am happy to speak to my colleagues in that regard.

In recent years, An Post's great success has been the provision of financial services in an arrangement with two banks. Given the banks' attitude, the constraints on them following the hames the Deputy's Government made of supervising them and the crash, there will be a greater possibility for An Post to enter into arrangements with the banks concerning the provision of financial services to the type of customer to whom the Deputy referred. Post offices see a significant footfall, constitute a tremendous retail network and have delivered expertise in terms of An Post's arrangements with the National Treasury Management Agency, NTMA. Those products have been successful and there is greater potential for An Post in that respect.

Éamon Ó Cuív (Galway West, Fianna Fail)
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Would the Minister not agree that, for someone who wants car tax-----

Michael Kitt (Galway East, Fianna Fail)
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We only have one hour. I apologise but we must move on to Question No. 28.

Éamon Ó Cuív (Galway West, Fianna Fail)
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I appreciate that, but providing banking services will not be much good for someone who wants car tax.

Michael Kitt (Galway East, Fianna Fail)
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I am calling Deputy Martin Ferris's Question No. 28.