Willie Penrose (Longford-Westmeath, Labour)
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I thank the Minister for Jobs, Enterprise and Innovation, Deputy Bruton, for coming to the House today as I know he is busy. I thank the Chair for allowing me to raise what I believe is a very important issue - important for the citizens of this Republic, for the politics of this country and for democracy itself. In recent weeks I had the opportunity to familiarise myself with some of the evidence proffered at the Leveson inquiry in London. I could not but notice that, at the conclusion of each day's evidence, reference was made by a number of witnesses, especially those who were political participants, to the concentration of media ownership and the fact that an excessive concentration of media ownership was not a healthy development. Plurality and diversity of ownership is an essential bulwark of democracy, as recognised by the advisory group on media mergers in recommendation No. 11 of its report.

While recent events in Ireland have brought the matter to centre stage, I am not personally motivated by the fact that ownership of Independent News and Media might transfer from one oligarch to another. However, I am deeply concerned by the fact that, as a result of developments in this area, an undue concentration of media ownership in all its various manifestations and diversity in the hands of a particular individual, corporation or undertaking, and control by a particular individual, can arise. The fact the Competition Authority would be concerned with the effect of such a development on the advertising market but would have little or no dealings with regard to media plurality is a cause for concern in the current legal situation.

I cannot but be extremely disappointed at the slowness of progress, amounting to what I term clear and unnecessary foot-dragging on behalf of the previous Government, and now this Government, in implementing the concise recommendations of the advisory group on media mergers. Its report was completed in June 2008, under the chairmanship of Mr. Paul Sreenan, SC, and was clearly available to the then Government, notwithstanding that the report was not published until 2009.

I say to the Minister that we do not need any more excuses or side-stepping. If there is a particular problem blocking the progress of this important legislation, he should deal with it. I understand the cohort of legislative proposals dealing with media mergers is contained within the consumer and competition Bill and, indeed, I further recall that the go-ahead for the heads of the Bill was given at Cabinet last July, almost 12 months ago. The consumer and competition Bill is clearly Deputy Bruton's responsibility as Minister for Jobs, Enterprise and Innovation. He should get a move on. If there are issues holding up progress, he should extract from the consumer and competition Bill the legislative proposals dealing with media mergers, which are stand-alone provisions in any event and could be incorporated into a short Bill, which could then be introduced onto the floor of the Oireachtas next week by the Minister who has responsibility for same, the Minister for Communications, Energy and Natural Resources. Let us get on with the important and urgent business of putting vital legislation on the Statute Book.

The advisory group on media mergers produced an excellent report which set out what needed to be done to protect Irish society against an undue concentration of media ownership and how this could be properly regulated in the public interest. We must recognise, as pointed out by the report, the important role played by the media in a democracy, how this should be recognised by statute and what is required to ensure actual diversity of both content and ownership. The report was concise in identifying the fact there is a lack of clarity in respect of the relevant criteria for media mergers as currently defined, and a glaring absence of clear statutory mechanisms to protect the public interest in media plurality.

Legislation will have to deal with the definition of media business, which should now clearly encompass the Internet and all other such forms of communication which are now of such major importance in terms of the dissemination of information and influence on public debate. The advisory group also dealt with the role of the Competition Authority and, in particular, advocated a reduced role for the authority in assessing the plurality aspects of media mergers. A further recommendation focused upon the introduction of a statutory test to help guide the Minister in making decisions, which I welcome as being extremely important.

As I understand it, this legislation was expected to be published earlier this year. I would like to know what has caused the proposed legislation to lose its place on the list, especially when it would have a clear objective of ensuring the continuing existence of an active and diverse media sector in terms of both ownership and content. Chapter 8, which contains the recommendations, represents the fulcrum of the changes that are urgently required and the Sreenan principles clearly acknowledge the importance of the plurality of the media and what it would contain.

Richard Bruton (Dublin North Central, Fine Gael)
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I thank Deputy Penrose for raising this issue. I assure him there is no intent on my part to delay this in any way. In fact, as he rightly said, I went to Government in July last year to bring forward proposals. That legislation contains not just the media merger proposals but also contains two important programme for Government commitments, the merger of the Competition Authority and the National Consumer Agency and the introduction of measures to deal with unfair trading in the grocery sector.

I would like to give the Deputy some assurance that while, clearly, the system needs to be improved and we are setting about improving the criteria to implement those changes the Deputy set out, there are already clear criteria in the legislation. Under section 23 of the Competition Act the Minister has powers to consider a public interest determination around issues such as diversity of ownership. The list includes the strength and competition of indigenous media, the spread of ownership, ownership concentration among individuals and among corporates, cross-media ownership, the scope for diversity of views, market share and so on. I assure the Deputy strong criteria are in place to deal with a media merger should it come to my attention. There will also be powers to consult more widely than is set out in existing legislation. As Minister, I have the discretion to consult and impose conditions or otherwise.

There is no doubt the new criteria set out by the review group are crisper and include a more structured consultation being required of the Minister. It is my intention to have a proper consultation process in place as I recognise the need for it in such an area. If there are applications for a media merger, there should be a process to allow people express their views.

The powers to deal with this area will be transferred to the Minister for Communications, Energy and Natural Resources, Deputy Rabbitte, a decision which had not been made before I assumed my role. We have made that decision and agreed to that transfer. The reason for the delay in drafting the legislation is due to other priority legislative measures which I am introducing in the House. There is a full programme of legislation. For instance, I have introduced legislation to reinforce the joint labour committee system, which was struck down by the High Court, to honour the troika agreement, on microfinance, the transfer of agency workers and the loan guarantee scheme.

The Government approved the heads of the Bill to deal with media mergers which include the recommendations from the advisory group. I am keen to push this ahead and keep this legislation as a single unit. I have spoken to the Attorney General and it will get priority drafting. Best regulatory practice says that one should keep a consolidated approach to legislation and not extract one piece from the rest. Accordingly, I got approval from the Government for such an approach. There is a process in train for the drafting of that legislation. It is my intent to proceed with all possible haste to be in a position to introduce the legislation to the House, have it debated and passed.

Willie Penrose (Longford-Westmeath, Labour)
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Recommendation No. 2 of the Sreenan commission on media mergers stated the Competition Act should be amended to incorporate a statutory definition of the test for the public interest. That would be important in helping the Minister to discharge his or her functions. It recognises by implication the influence media has to play in a democracy where it can have a wide sphere of influence. Will the Minister agree it is important the legislation is published soon in order that everyone, including media companies, can have full clarity of the procedures involved? What would be the relevant criteria, set out in recommendation No. 3, that would underpin the public interest?

I support the criteria set out by the advisory group that it is undesirable to allow any one individual or undertaking to hold significant influence in a sector or across different sectors of media business in the State. Such an approach will necessitate the promotion of plurality in media businesses in the State.

Recently, I read a Sunday Independent article by Darragh McDowell on Gina Rinehart, the richest woman in the world who accumulated her person wealth from mining and who, overnight, increased her stake in the Australian company, Fairfax Media, from 12.5% to 19%. She now demands three seats on the board, the right to hire or fire editors of Fairfax titles while refusing to endorse the group's principles on editorial independence. This is in Australia and I am aware Ireland is small with a population of 4.5 million people. However, this is what can happen in media ownership. Will the Minister ensure this legislation gets priority in the autumn session and is introduced in one unit? If there is foot dragging or another hiccup with the legislation, will he sever the element that deals with media mergers and introduce it is a self-contained Bill to the House to ensure it is on the Statute Book as soon as possible?

Richard Bruton (Dublin North Central, Fine Gael)
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I support the recommendations set out by the advisory group. In the interim, between now and the enactment of new legislation, there are already strong protective provisions in place. I do have the power to block or impose conditions on a media merger on the grounds of it conspiring against diversity, plurality, mixed ownership and so on. I also have the power to consult a broad range of interests on a merger. The new legislation will make such consultation obligatory and will be permanent, more transparent and a better arrangement. There is no intention of foot dragging with the legislation. The approach I am taking is in accordance with a decision by the Government and a commitment in the programme for Government to implement several elements of competition law which will be enshrined in this Bill. I am determined to push ahead as quickly as I can with this legislation and enact it as has been set out. I thank Deputy Penrose for raising this important issue. I am confident the existing system to deal with media mergers is robust but that the new system will be better designed. I am also confident we will proceed to the implementation of this as quickly as possible.