Timmy Dooley (Clare, Fianna Fail)
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Question 58: To ask the Minister for Public Expenditure and Reform the position regarding the sale of shares in semi-State companies in view of the current economic conditions which could affect the price of such sales; if he will provide a timeline for such sales; and if he will make a statement on the matter. [3756/12]

Brendan Howlin (Wexford, Labour)
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The Deputy's question refers to the commitment in the programme for Government to sell non-strategic State assets with a view to generating resources to fund additional investment in job creation initiatives in the economy. As I have told the House in response to previous questions, this will be done over time, when market conditions are right and in a manner that allows time to implement necessary regulatory reforms and ensure value is secured and fire sales are avoided. The Government has no intention of engaging in fire sales in this area. As I have indicated, good progress was made in discussions during the troika's recent mission. However, the Government has yet to agree the overall scale and composition of the programme to be pursued. In making its decision it will take account of any necessary regulatory, policy, legislative or financial considerations. These factors will, in turn, determine the timescale over which the programme will be implemented. The House will be fully briefed on the matter when the Government makes a decision.

Seán Fleming (Laois-Offaly, Fianna Fail)
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It sounds like a good decision. The Government has essentially decided to put the whole process on the long finger. The Minister put it more nicely. Policy issues have been introduced.

Brendan Howlin (Wexford, Labour)
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Does the Deputy agree with our approach?

Seán Fleming (Laois-Offaly, Fianna Fail)
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There will be no fire sales and regulatory matters are to be examined. Obviously, the European Union has a big role to play in that regard. It sounds as if the Government jumped the fence very quickly. The Minister agreed with his Fine Gael colleagues that the Labour Party should be bullied into selling off the ESB, Coillte and several other semi-State bodies. I am delighted that the brake has been put on all parties in government by the EU regulatory frameworks in the energy sector, etc. That is very good and important. A figure of €2 billion was mentioned in the programme for Government with regard to the sale of State assets. Some of the Minister's colleagues said in this House that the troika was looking for €5 billion. However, the troika has made it clear that it does not have a particular view on the issue. Certain Ministers have engaged in serious bluffing about the demands of the troika which they said wanted the Government to achieve a certain figure from the sale of State assets. It now transpires that was not the case.

Brendan Howlin (Wexford, Labour)
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The Deputy will be familiar with the programme agreed by the last Government.

Seán Fleming (Laois-Offaly, Fianna Fail)
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It included no figure.

Brendan Howlin (Wexford, Labour)
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It included no figure, but it stated the then Government would examine the sale of State assets on foot of the then unpublished McCarthy report. During our initial discussions with the troika it was pushing the issue of the sale of State assets. As I have indicated, it wanted the entire proceeds of any such sale to be used to retire debt. Under the programme for Government negotiated by the two parties in government, we came to an agreement that we would sell State assets to a value of €2 billion. We said we would seek to use the resources accruing to the State from these sales for the purposes of job creation. We also said we intended to use the vehicles we had designed for that purpose, including the NewERA concept, which we have now put in place, and the strategic investment fund. We further said we would have regard to the utilisation of residual funds from the National Pensions Reserve Fund for the purposes of job creation if there were robust proposals for doing this. That remains the position. Nobody has resiled from anything. We have done what we said we would do. We have taken great care to ensure any decisions we have made are in the national interest and represent value for money. There will be no fire sale. We will get value for the taxpayer. We will not damage the strategic interests of the State. I notice the Deputy sitting beside Deputy Sean Fleming is nodding. The strategic interests of the State were not to the fore when Eircom was sold some years ago. We have no intention of repeating that disastrous mistake. We need to have access to resources and funds for job creation and are determined to grow the economy. We will take the fiscal decisions necessary to ensure the 3% deficit target is reached by 2015.

Seán Fleming (Laois-Offaly, Fianna Fail)
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Will the Minister confirm that no sale of semi-State companies, or shares in semi-State companies, will take place in this calendar year? Is it the case that the matter has been put on the long finger until 2013 or beyond?

Brendan Howlin (Wexford, Labour)
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No decision on the specifics has yet been taken by the Government which announced last September that it had decided to sell a minority shareholding in an integrated ESB. We have undertaken a proper analysis of that decosopm in regulatory and value for money terms. We have established a cross-departmental group, chaired jointly by the Departments of Public Expenditure and Reform and Communications, Energy and Natural Resources, which has presented its report to us. As I indicated in response to Deputy Mary Lou McDonald, all of this will inform the Government's decision-making process.

Seán Fleming (Laois-Offaly, Fianna Fail)
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The timetable is gone.