Dan Boyle (Cork South Central, Green Party)
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Question 48: To ask the Minister for Communications, Marine and Natural Resources his Department's policy in relation to the future of the post office network; the estimated number and geographical distribution of post offices closures that will be undertaken; the steps he intends to take to secure agreement for an exit package for the Irish Postmasters' Union; and the estimated budgetary allocation to fund the said package. [33487/06]

Denis Naughten (Longford-Roscommon, Fine Gael)
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Question 82: To ask the Minister for Communications, Marine and Natural Resources the action he is taking to secure the availability of post office facilities in rural Ireland; and if he will make a statement on the matter. [33498/06]

Noel Dempsey (Meath, Fianna Fail)
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I propose to take Questions Nos. 48 and 82 together.

The future of the post office network, post office closures and the availability of post office facilities in rural Ireland are a matter, in the first instance, for the board and management of An Post. This Government and the Board of An Post are committed to the objective of ensuring the continuation of a viable and sustainable nationwide post office network as set out in the Programme for Government. The challenge for all stakeholders in An Post is to generate sufficient profitable business to maintain the network at its current size.

I have asked the company to ensure that any strategy for the development of the company should ensure the long term viability of the post office network.

It was to this end that the Government recently gave its approval for An Post to enter into a joint venture agreement with Belgian Bank, Fortis to set up a retail banking business. This will entail the provision of a range of financial services operated through the post office branch network, using the An Post brand and other An Post assets. Key to the Government approval of this joint venture was that it not only offers a real opportunity for the growth and development of An Post and the post office network but that it will, in time, greatly benefit the income streams of postmasters.

In relation to the terms and conditions of postmasters, including funding, severance packages and the funding of such packages are a matter for the company and the postmasters. However, I appointed Mr. Eamonn Ryan to act as facilitator between the Irish Postmasters' Union and An Post to identify issues of mutual concern, including the possibility of an exit package, and plot a roadmap for their resolution. In this regard, Mr. Ryan recently completed a report on these issues and made a number of recommendations. I understand that these are now the subject of ongoing discussions between the IPU and An Post.