Leo Varadkar (Dublin West, Fine Gael)

The Bill I am introducing today has two main components, namely, the reform of commercial vehicle roadworthiness testing and the designation of the Road Safety Authority, RSA, as the driver licensing authority. The provisions relating to the two areas will bring about significant and positive changes to the way in which each is operated and managed. This will result in major service improvements for all users.

The primary purpose of the Bill, as suggested by its title, is to establish a legislative framework for commercial vehicle roadworthiness, CVR, testing in the State. The Bill will see the functions of local authorities regarding CVR being assumed by the Road Safety Authority. In addition, the Bill will provide for a new licensing or authorisation system in respect of test centres and authorised testers as well as greater powers of enforcement through targeted roadside inspections and inspections of commercial operators' premises in respect of vehicle maintenance and roadworthiness.

The Bill also provides for revised administrative arrangements for the processing and management of driving licences. The administrative change will provide the necessary support for the introduction of a plastic card driving licence in Ireland at the beginning of 2013 and for the transfer of the driver licensing function from local authorities to the RSA. These initiatives are important elements of my Department's action plan under the Croke Park agreement. The reforms being delivered on foot of this Bill will result in a significant saving in the current organisation of public services in these areas and should result in a better public service. I commend the leadership and commitment shown by the RSA, local authorities and those working in the area in responding to the challenge of public service reform and working to deliver the service changes underpinning this Bill.

Before outlining in detail the provisions contained in the Bill, I would like to broadly explain the background against which these proposals were framed. Regarding commercial vehicle roadworthiness testing, a number of years ago, following some high profile collisions involving commercial vehicles, my predecessor tasked the RSA with undertaking a comprehensive review of arrangements for the roadworthiness testing of commercial vehicles in Ireland. At present, commercial vehicles are required to undergo an annual roadworthiness test at an authorised test centre. Local authorities are responsible for authorising privately operated garages to provide testing services and for completing regular supervision of these authorised testers in their area. Following the comprehensive review, which was carried out by independent consultants on behalf of the RSA, the recommendations contained in the report were approved by my Department.

The recommendations involved two courses of action that would seek to raise the standard of commercial vehicle testing across the country on a permanent basis. The first element was a complete overhaul of the CVR testing system to provide for a three-strand approach by addressing the testing process to ensure that roadworthiness tests are conducted impartially and correctly at all times; developing a programme of roadside inspections to ensure continuous compliance with roadworthiness standards; and the introduction of operator premises checks and intelligence-led targeting of operators based on risk. The second element was the transfer of responsibility for the management and operation of the commercial vehicle testing system from local authorities to the RSA. The two elements are inextricably linked and necessary to meet the overall objective of the transformation programme, which will make a step change in the quality of commercial vehicles using Irish roads and thereby help to improve road safety, reduce congestion, ensure fair competition, develop a much greater awareness of road safety issues and promote a culture of safety in the transport industry in respect of the use and maintenance of commercial vehicles including trailers.

Many in the industry have claimed that commercial pressures have led some operators to cut corners in terms of vehicle maintenance and compliance with required vehicle standards, thus providing such operators with an unfair commercial advantage. This is not hearsay and the claims are supported by RSA and Garda enforcement activity and reports from enforcement authorities in other EU member states on the defects found in Irish commercial vehicles. A failure to act would perpetuate this problem to the detriment of operators who take a more responsible attitude. In the current economic climate, it is even more important to take all necessary steps to ensure the roadworthiness and quality of the national vehicle fleet does not deteriorate further.

In terms of safety, an estimated 17.5% of road fatalities on Irish roads over the period from 1996 to 2010 involved commercial vehicles, so an improvement in the roadworthiness of these vehicles could not only save lives but also result in substantial savings to the State. While it may seem callous to discuss the financial cost of fatalities, it is a reality. The avoidance of four fatal collisions or 25 serious injury collisions per year involving commercial vehicles would more than cover the operational cost of this proposed reform. However, it is the avoidance of loss and pain for the families involved that will provide the ultimate gain.

Another major contribution of this reform is to reduce congestion caused by breakdowns of commercial vehicles. It is estimated that up to 10% of total congestion on primary roads is caused by such incidents. Vehicles that are not compliant with the roadworthiness testing system are considered to be a significant contributory factor. Based on UK estimates of the economic impact of such incidents, the cost to Ireland would be in the range of €1 billion to €2 billion. It is clear that avoiding even a small number of these incidents on the M50 or the port tunnel, for example, would have considerable economic benefit.

Other indirect benefits from a reformed system include increased business for the vehicle maintenance and testing industry, increased revenue to the Exchequer from fines for non-compliance as well the restoration and improvement in the reputation of the transport industry. The measures will support compliant operators in their business through more effective enforcement of non-compliance. The measures will also support a system which reduces the administrative burden on operators, including, for example, the need to visit a motor tax office to obtain a certificate of roadworthiness and online motor tax for commercial vehicle owners.

Following approval of the proposals, the RSA developed a transformation roadmap which outlined a phased approach to establishing a reform programme for the commercial vehicle roadworthiness testing system. Preparations are well advanced for implementing the many elements of this roadmap. The requisite number of staff has already been transferred from local authorities and the RSA is engaged in procuring IT and structural support for the measures. With the legal support of the provisions in the Bill, the Department and the RSA will proceed immediately to drafting the necessary secondary legislation to enable the RSA to take the final steps to put in place the revised structure for CVR. Subject to the appropriate legal provisions being in place, it is envisaged that the testing function will transfer to the RSA by the end of this year. Furthermore, the new system of managing and supervising the performance of test centres to ensure a minimum consistent standard of testing throughout the country will be in place by the end of this year. The other measures will be in place in the first half of next year.

The other area to which the provisions of the Bill relate is the transfer of the driver licensing function from local authorities to the RSA. The Irish driver licence system has operated on a decentralised basis since 1964 when the current system came into being. The system as it currently stands has a number of strands. Local authorities, operating out of motor tax offices, are responsible for processing applications and delivering licences. Budgetary responsibility for the licence service rests with the Department of the Environment, Community and Local Government. My Department has responsibility for policy oversight and the driver licence database, which is managed by the national vehicle driver file in Shannon. Operational oversight at national level and certain elements of policy guidance rests with the Road Safety Authority.

The impetus for the change I am now undertaking is the introduction of the plastic card driving licence in 2013. Under EU Licensing Directive 2006/126, all member states are required to introduce a plastic card driver licence in January 2013. The introduction of this new form of licence presented an opportunity to review the licence issuing system as a whole and an examination of whether greater efficiencies could be achieved by a change of approach. The review conducted on behalf of the RSA concluded that, while the existing licensing delivery system has some advantages, the distributed nature of motor tax offices does give rise to variable practices, inefficiencies and an inability to benefit from economies of scale.

The review suggests that for reasons of security, efficiencies and economy of scale the plastic card licence should be produced by an outsourced provider. Apart from other considerations, it would not be economically feasible to site plastic card production facilities at multiple locations. The main recommendation of the review was that a centralised model for dealing with all aspects of the plastic card driver licence should be proceeded with. The advantages flowing from such an approach cover identity features, security, customer service, efficiency and value for money. Having examined the review, I considered various State bodies and concluded that the RSA was best positioned to undertake responsibility for centralised processing and production of driver licences. The authority already holds responsibility for the driver theory test and driver testing. The extension of its functions to include licence processing and production brings a synchronicity to this area and provides the customer with a one-stop-shop approach to driver licensing.

Having set out the background, I want now to outline to Senators the major provisions of the Bill. First, I should clarify that while the Bill vests all of the powers and functions in me as Minister, it is my intention to confer these powers on the RSA and this is provided for under section 37.

Part 2 provides the new legislative framework for CVR testing in the State. This Part will cover all aspects of CVR from a regulatory perspective and provides significant powers to various statutory officers to support the reform of the system.

Chapter 1 provides for the making of regulations in relation to the commercial vehicle testing and certificates of roadworthiness. It includes relevant offences for using a vehicle without such a certificate and provides that the person using the vehicle and the owner can be guilty of an offence if not the same person. Under section 7, a member of An Garda Siochána will have the power to demand a certificate of roadworthiness from the driver or the owner of a vehicle within one month of an occasion where the member has reasonable grounds for believing that the CVR vehicle was being used in a public place. There will also be an offence in respect of non-compliance with this requirement.

Chapter 2 contains the most significant provisions in terms of the reform programme. It establishes a new regulatory regime for authorised testers who are responsible for operating the test centres, carrying out the tests and issuing pass statements for CVR vehicles. The Bill provides for replacement of the term "authorised tester" with "CVR test operator". Upon commencement of these provisions, the new regime will apply to existing authorised testers and the necessary transitional provision for this is provided under section 10. Existing authorised testers will be required to apply for a renewal of their authorisation within 18 months of the commencement of section 10. Any application to become an authorised tester, which was being processed but not determined prior to the commencement of this legislation, will also be covered by this section.

The Bill sets out the detailed requirements that will be imposed on persons applying to be CVR test operators. The provisions in this chapter will raise and strengthen the required standards necessary for authorisation. Not only will conditions attaching to the authorisation deal with a number of areas, including categories of vehicles to be tested, the type of tests to be carried out and the requirements in relation to testing centres and testers, it will also provide for other criteria against which an application may be considered. These considerations will include the need for the competent delivery of CVR testing, the need for a well-functioning, well maintained, accessible, competitive, integrated and safe network of CVR testing centres as well as the need for appropriate equipment, facilities and premises for testing.

In addition to the above authorisations, section 17 provides for the authorisation of CVR testers. CVR testers are the people who physically carry out the tests on the vehicles at the test centres. This section provides a transitional provision for the testers who are already registered for this purpose and provides that a register of authorised CVR testers may be established and maintained. Similarly, there is a provision under section 29 that the RSA shall establish and maintain a register of CVR test operators and this register will be made available to all, both online and at the headquarters of the authority.

All aspects of authorisation in respect of both CVR test operators and CVR testers will be overhauled by this Bill and the new standards will be enforced by provisions to suspend and revoke authorisations when needed. Sections 18 to 22, inclusive, provide for such suspensions and revocations. Any non-compliance with the standards, conditions or directions prescribed in this legislation will now have serious implications for authorised CVR test operators as well as CVR testers. Provision has also been made for the details of such suspensions or revocations under sections 18 and 19, respectively, to be made available as appropriate on the registers of CVR test operators and testers already mentioned.

Enforcement will be the key to raising the national standard of commercial vehicle roadworthiness. This Bill will allow for greater powers of enforcement through targeted roadside inspections, inspections of commercial operators' premises and CVR test centres. These powers are being channelled through various statutory officers, namely, authorised officers, CVR inspectors and, of course, members of the Garda. Sections 24 and 25 provide for the appointment of authorised officers and the powers of these officers in relation to CVR testing. Authorised officers will have the power, subject to section 26, to enter a CVR testing centre or any other premises where he or she believes CVR tests are being carried out. He or she may inspect the premises, the equipment and the facilities and enter and inspect CVR vehicles. The authorised officer will be able to observe and supervise testing in progress and inspect or remove any documentation, as necessary, relating to the maintenance and testing of vehicles. Authorised officers will have the power to issue directions to a CVR test operator where tests are not being carried out as required. Failure to comply with the requirements or directions prescribed will result in an offence being committed by the CVR test operators. The full extent of the authorised officer remit in relation to CVR testing is clearly set out in section 25 of the Bill.

In Chapter 3 of the Bill, section 31 also provides authorised officers with additional powers in relation to CVR maintenance obligations. The authorised officer will have similar powers to those mentioned already. In this case, the powers will allow the officer to enter any premises where he or she believes CVR vehicles are being kept or information on CVR vehicles is being kept. The section provides that an authorised officer can search premises to locate a vehicle and inspect such vehicles or any equipment being used to maintain the CVR vehicles. He or she can also require an owner or a person in charge to provide any documentation or information related to the maintenance of the vehicle and the officer may inspect, take extracts or copies of such documentation. These extensive powers should provide a truly effective means of ensuring compliance with the standard of testing and the vehicles themselves.

Similarly, significant powers have been provided to CVR inspectors in Chapter 4, which deals with roadside inspections. A CVR inspector will be a member of An Garda Síochána or a person appointed as a CVR inspector under section 33. Section 34 sets out the powers of a CVR inspector and provides that where a CVR inspector is a member of the Garda or is accompanied by a member of the force, powers are being provided to stop a vehicle and keep it stationary for a period that is reasonable for the purposes of carrying out an inspection. Once a vehicle has been stopped by a member of An Garda Síochána, the CVR inspector will also have the power to require the driver to produce a certificate of roadworthiness, seek information that assists in the inspection and drive a vehicle for a reasonable time and distance. The CVR inspector will also have the power to carry out any tests or make any requirements that are deemed reasonable by the inspector for the purposes of inspecting the vehicle. The provisions in relation to CVR inspectors go beyond my brief description. I hope I have given a flavour of the type of powers that will be given to statutory officers for the purposes of enforcement.

Chapter 6 of the Bill will provide for the conferral of functions related to CVR on the Road Safety Authority. The authority will assume responsibility for the oversight, management and direct control of the CVR function and will be central to implementing a robust testing regime. The proposed overhaul of the CVR system involves the use of a risk register for systematic targeting of non-compliant operators and test centres. Section 39 provides for this system. Currently, most inspections are carried out on a random basis. This largely random approach leads to compliant operators being inconvenienced as much as the non-compliant or higher risk operators. The risk assessment system proposed is intended to be a fair and evidence-based system which will treat each operator consistently based on the information available. Operators who adhere to good practices, hold appropriate records and consistently maintain their vehicles to the required standards will reap the benefits as compliance and enforcement activities are focused to a greater degree on higher risk operators.

The CVR reform programme also includes an integrated information technology system, which will assist the Road Safety Authority in ensuring vehicle testing is carried out to a common standard. This will support intelligence-based enforcement by building up a profile of CVR test operators. The system, which is provided for in section 28, will enable targeting of non-compliant operators and minimise disruption to compliant operators. The information and risk rating systems will be central to developing a modern and internationally recognised system of roadworthiness in Ireland. This Bill will underpin everything that has been envisaged. It is testament to the work that has been done and will continue to be done by all parties in a challenging environment.

Chapter 8 of the Bill deals with miscellaneous amendments to the Road Traffic Acts, some of which arise from the main provisions in this Bill. These are not substantive amendments and are primarily technical in nature.

Part 3 of the Bill deals with the transfer of the licensing function from local authorities to the RSA. As stated, we will move to a plastic-card licence next year. As part of a review to determine the best means of introducing this new type of licence, a centralised model in respect of driver licensing provision was recommended. This will be vested in the RSA, which will become the licensing authority for the purposes of processing, managing and issuing driver licences.

Section 49 amends section 4 of the Road Safety Authority Act 2006 to provide the RSA with the functions of a licensing authority within the meaning of section 21 of the Road Traffic Act 1961. Sections 50 to 55, inclusive, deal with all necessary amendments to the road traffic and finance Acts to reflect accurately this change in function.

The objective of this Bill is to introduce a reform programme that will improve the roadworthiness and safety of commercial vehicles and to provide for the introduction of a plastic card driving licence with more efficient and effective management arrangements. I hope Senators will support the Bill and that it will pass in the Seanad. I look forward to hearing Senators' views on its provisions.