John Dardis (Progressive Democrats)

In all free markets, every government, even the most liberal in economic terms, will have some degree of control to ensure monopolies and cartels cannot develop.

There may be a need for the Bill to be more specific in some areas. It has been asserted in the United Kingdom that Boots will go out of business because of the predatory pricing policy of Tesco. All Senators were in receipt of communications from RGDATA, which has been consistent on this matter, and in the past I would have supported its position. On this occasion, the organisation states that the Competition Act does not expressly prohibit predatory pricing, or even mention the practice. However, the Minister has dealt with that point adequately in his opening remarks and will not have to rebut RGDATA's argument again at the end of the Second State debate, unless he feels inclined to do so. His key point is that below-cost selling is not the same as predatory pricing. There is a difference between the two and it is important for people to realise that. The Minister also spoke about persistent misconduct on the part of dominant players, a matter with which I have dealt.

The removal of the groceries order will introduce greater competition, be good for consumers and give retailers the freedom to determine what their prices should be. I welcome the provisions regarding so-called "hello money" and other undesirable practices within the retail sector. Attempts to enforce competition law demonstrate the difficulty of proving collusion. The recent television programme on the motor trade in Ireland showed that sweetheart deals were made, people were financially penalised if they sold vehicles below a certain threshold and there were informal arrangements within the trade. We must be vigilant and stop such practices. We are dealing with highly sophisticated and organised businesses and a degree of vigilance will be required to ensure that the excellent measures contained in the Bill are enforced and will operate to the benefit of consumers and producers.

The Competition Act of 2002 prohibits anti-competitive behaviour in the economy and this is enforced by the Competition Authority. This legislation is another step forward. Some have complained that the progress of the legislation has been very speedy. At the same time, it is a constant criticism in this House that legislation takes too long to come through. Of all the legislation that has gone through the Houses in recent times, none has involved more consultation than this. No other measure has had as much debate and discussion over such an extended period, not just in terms of the Minister's recent consultation process, but over the last ten years or more. Every year or so, this matter has been debated in the Houses. It has been debated to death and I welcome the fact that the legislation is now before us. I hope it will have a speedy passage through the Houses, will become law and have the effect that the Minister and the rest of us desire.