Seanad debates

Wednesday, 1 December 2010

Communications Regulation (Postal Services) Bill 2010: Committee Stage

 

4:00 pm

Photo of Paddy BurkePaddy Burke (Fine Gael)

This is an interesting debate. I am reminded of the turf cutting legislation passed in 1998, which gave Ireland a ten year derogation. In this case, one could argue that we have a seven year derogation. Senator O'Toole raised an important point in regard to the definition of "installations". In seven years' time, I fear we will be blamed for passing legislation which results in the reduction of services to the islands and in installations being located at the heads of roads. I am disappointed with this aspect of the Bill. The form of competition now being proposed is not designed for our small economy and rural population. If we had a semi-State company which charged only as much as it needed to provide a service, would the Competition Authority play a role? An independent European committee should be established to benchmark the service provided in Ireland against jurisdictions in which competition exists before we legislate for multiple providers.

Several years ago, when banks were opening left, right and centre, I suggested there were too many banks. I was told I was off the wall because supposedly we needed all the banks to ensure competition. We may now be left with only one bank, in which case there will be no competition. What could the regulator do about that? Would the State be required to set up another institution in competition with itself?

I support Senator O'Toole in regard to the definition of "installation". Before we proceed further, we need to deal with the core question of where installations will be located. Will they be located at the heads of roads or may people even be forced to drive to their local towns to collect their post?

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