Seanad debates

Wednesday, 2 June 2010

Competition (Amendment) Bill 2010: Second Stage

 

1:00 am

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)

That may be, but I make the point that no one has come forward. I have asked the Competition Authority to be proactive in investigating that as opposed to waiting for a person to come forward and present evidence. If there is hearsay evidence, has the authority the competency to try to find evidence to highlight whether "hello" money is being used in the broader industry? I have travelled the country and met people from the primary producer up. Some people have clearly stated information to me but when I ask them if they would present that to the authority they say they will not. One would think at this stage that people who have left the business would now come forward. They may not have any material interest because they are no longer in the business but they could come forward and present evidence. I urge anybody who has evidence but who has no material interest or fear of presenting that evidence to come forward. To date that has not happened.

The consumer Bill, which will be published later, will be broad legislation. It is not only about the amalgamation of two agencies but restructuring them in their entirety, from competition right through to the consumer. The code of practice could be placed on a statutory basis in that Bill. We must try in that legislation to provide a balanced code which will be fair and reasonable to everyone and on which there will be genuine buy-in.

On the issues raised, I mentioned the recommendations from the Competition Authority, about 40% of which have been implemented. This Bill is quite specific. It is merely ensuring we have the statutory minimum requirements for the make-up of the authority. There were a few more issues raised by the Senators and I have covered most of them. We will have an interesting debate on the legislation that will be published later in the year.

Border counties were referred to and the issues raised in that context have been the cause of great distress to retailers along the Border. There are some issues that are completely outside our control such as sterling depreciating against the euro which creates a pull to the North. The opposite was the case previously and that was beneficial. We must ensure there is competitiveness in the economy. There are a few areas we need to address and the Competition Authority plays a key role in that. There is a broader Government policy on fuel and energy costs and other anti-competitiveness measures. There is the issue of retail planning guidelines and the size of stores. All these issues are key components in how we structure our economy in the area of retail. We are conscious of the significant pressure on retailers in Border counties and that has been highlighted continually by Senator MacSharry and other public representatives from the region. The Senator has been forceful in trying to come up with solutions to ensure there is no drag from local communities. He was involved in innovations such as encouraging people to stay local, something people should be conscious of. If people take money out of the economy it means that there is less in the economy to support services through taxation. It is a simple matter of arithmetic. If money is spent elsewhere and we are losing revenue, there is less in the Exchequer to spend on badly needed public services.

I look forward to taking Committee Stage quickly and to evaluating any amendments. It is critical that this authority has the competency because at times the EU also delegates some competencies to this authority. There could be a merger or an acquisition at any stage that would have to go before the authority and if it is not constituted, we could be left in a precarious position and there could be legal challenges.

I thank Senators for their broad support and look forward to Committee Stage. When the Bill is passed, I look forward to the publication of the competition and consumer Bill and there being a broad debate on it. I hope there is a consensus in the House in support of that Bill to ensure a system is in place that acknowledges the right of the primary producer to a fair price and ensures the consumer has access to competitive prices in the grocery and retail sectors.

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