asked the Minister for Industry, Commerce and Energy if his attention has been drawn to a recent report that the ESB is by far the dearest sales outlet for domestic electrical goods; the reason for this; and if he considers it needs investigation.
Ceisteanna—Questions. Oral Answers. - ESB Sales Outlet.
7.
I have seen the report in question. The Deputy will appreciate that trading patterns, and so on in the electrical appliance market is a very complex matter, but I am satisfied that, having regard to the existence of other outlets and the quality of the service provided by the board, the overall position is not to a customer's disadvantage. I do not consider that any further investigation is needed.
Could the Minister say if such a difference in the retail price of electrical appliances is due to more efficient management by the other firms or is it due to the fact that the ESB have higher costs?
I would venture the opinion—it is no more than my opinion—that the ESB must have higher costs because it is providing a service for potential electrical appliance customers in all parts of the country all the time. Individual retailers of electrical appliances deal with local markets only, generally in the more built-up areas where the market is likely to be better, and because of that and, perhaps, for other reasons they are able to sell at lower retail prices than the ESB feels able to do.
Does the Minister not agree that there is no reason for having such a divergence in the price structure? Wholesale electrical dealers, supermarkets and every other outlet are far and away cheaper, and can the Minister see justification for this difference between the prices?
I have sought to give the Deputy my own opinion as to one possible major reason for the difference. From what I know of the retail electrical appliance industry in the private sector, it engages in a good deal of competition and price cutting. I do not think the ESB indulges in that. That may account also for part of the difference.