Leo Varadkar (Dublin West, Fine Gael)

The existing policy on regional harbours is as published in the 2005 ports policy statement, namely, that the continued operation of harbours under the Harbours Act 1946 is unsustainable on the grounds of good governance. It proposed that harbours would best achieve their potential through a transfer to local authority ownership or, in the case where harbours had significant commercial traffic; that consideration would be given to bring them under the control of a port company. My Department has worked with the Department of Environment, Community and Local Government over the past number of years to progress the transfers. The transfer of harbours is consistent with the objectives of a reduction in the number of State agencies, strengthening corporate governance of significant State assets, unlocking amenity value of the assets to the benefit of local communities, and enabling the repeal of the Harbours Act 1946.

Some 12 out of a total of 13 harbours have now transferred. In the past few months, Fenit Harbour transferred to Kerry County Council while Baltimore, Kinsale and Arklow harbours transferred to local authorities on 1 January 2012. Bantry Bay Harbour is now the only remaining harbour operating under the Harbours Act 1946. The core business of Bantry Harbour is the oil storage and transhipment terminal on Whiddy Island. The ConocoPhillips oil facilities on Whiddy Island are privately owned. Aquaculture, fishing and tourism are prevalent in the harbour and a small number of cruise liners also visit the harbour each year. The KPMG review of regional ports and harbours published in 1999 first recommended that the harbour authority merge with the Port of Cork. Amalgamation with Cork would provide access to port expertise, marketing, strategic development, planning and the skills required for the regulation of navigation, ship and port security requirements, pilotage, safety, emergency response and pollution etc. Provision was included in the Harbours (Amendment) Act 2009 to allow the transfer of Bantry Harbour to the Port of Cork. The Act provides that public consultation must be completed before the transfer can take place and outlines how that consultation should take place in section 18(2)(d).

Bantry Bay Harbour Commissioners is the responsible authority under the Harbours Act 1946 for the control, operation and development of Bantry Harbour. Its main role relates to jurisdiction over the waters, for example, responsibility for safety, navigation and pilotage etc.. The operation of large oil tankers, bulk carriers and cruise liners in and out of the bay requires specific expertise. The Port of Cork company currently provides a harbourmaster service on a contract basis to assist in this regard.

Work commenced earlier this year to examine the requirements to transfer the harbour to the Port of Cork. The process is complex and will include meetings with the Port of Cork and the harbour commissioners, due diligence on Bantry Harbour and an examination of a range of issues including remedial works, foreshore issues, staff, legal cases and financial accounts, to name but a few. A meeting was held recently between my Department and the Port of Cork, which is positive about the transfer and willing to work with the Department and the harbour towards this objective. Cork already has a very good professional relationship with ConocoPhillips through the oil refinery in Cork Harbour. The Port of Cork also has a contractual arrangement with Bantry to provide professional expertise and a harbourmaster to bring in large oil tankers and cruise liners into the bay. This is an absolute requirement by the company to operate their business in Whiddy to help mitigate the risks of maritime accidents and environmental damage. A general discussion also took place between my Department and the chairman of the harbour commissioners on a range of issues that will have to be dealt with before any transfer can take place. It is likely that the harbour commissioners will raise a number of issues relating to the proposed transfer and my Department will work closely with the harbour commissioners and with the Port of Cork to address any concerns raised. I will pay close attention to local views on the matter and engage with all stakeholders. There are no proposals to amend the jurisdiction of the Bantry Bay Harbour Commissioners geographical area as it stands.