Joe McHugh (Donegal North East, Fine Gael) | Oireachtas source

Section 82 provides that the Minister, with the consent of the Minister for Public Expenditure and Reform, may sell State-owned minerals instead of granting a mining licence where the tonnage or value of the minerals is small and it is expedient and efficient to do so. Given that efficiency and expediency are included, one hat probably does not fit all; however, I take the Senator's point about the definition. Such minerals will then become excepted minerals, which means the Minister will not have the exclusive right to work them, and the Mining Board will be so advised.

While I share the concerns about the sale of State assets that Senator Ó Clochartaigh expressed on Second Stage, I assure the Senator, and Senators Cullinane and Reilly, that it is not my intention in proposing the section. The section is intended to address a situation in which a small deposit of low-value minerals is identified, and setting up a procedure for collecting periodic royalties would not be justified on grounds of the cost of administration. The sale of the minerals in a once-off, up-front deal would be more appropriate in such circumstances. The sale of the minerals would be limited to the particular minerals being mined and would be considered only where the Minister was confident that the full value of the deposit could be accurately predicted and a net present value could be placed up on it. The consent of the Minister for Public Expenditure and Reform would be required before such an arrangement would be entered into. While the provision would rarely be justified, it would be useful for the Minister of the day to have the option available, should it be considered appropriate. Therefore, I am not inclined to accept the Senators' arguments.