Róisín Shortall (Dublin North West, Labour)
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Question 845: To ask the Minister for Social and Family Affairs the amount paid to An Post for services rendered in 2008; the amount to be paid in 2009; and the breakdown of the way this overall figure is arrived at and the services covered. [38383/09]

Mary Hanafin (Dún Laoghaire, Fianna Fail)
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An Post provide an agency service for the Department for the delivery of payments to customers. The transaction fees paid to An Post are based on a four point matrix. In March 2007 the Department of Finance sanctioned an increase based on the Consumer Price Index in respect of the period 2003 to 2006. The current scale of fees is as follows:- · First 35 million transactions €1.46 · Next 5 million €1.03 · Next 5 million €0.66 · Each additional transaction €0.49.

In 2008 An Post were paid €53.5 million based on transaction volumes of some 37,300,000. In 2009 An Post will receive approximately €52m based on transaction volumes of some 35,800,000. The agency fee payable to An Post in any given year is calculated on the basis of transaction numbers incurred two years previously. In 2009 An Post received an arrears payment of €3.9m in respect of 2007. An Post also provide postal services for the Department which includes a delivery and collection service at all the Department's headquarter and local offices on a daily basis.

In 2008 some €10.5 million was paid to An Post in respect of postal services and postage costs. It is anticipated that postal service costs in 2009 will be in the order of €10.8 million. The breakdown of postage expenditure to end September 2009 is as follows: · Bulk Mail (Ceadúnas mail only) 5.226m · Franked Post €2.436m · Freepost envelopes €0.653m · Pouch / Internal mail €0.322m · Total €8.637m