asked the Minister for Industry and Commerce whether any representations have been received by him from the E.S.B. regarding the proposed withdrawal of capital subsidy for the rural electrification scheme, and, if so, if he will indicate their character.
Ceisteanna—Questions. Oral Answers. - Rural Electrification Scheme.
Mr. Lemass
Mr. Lemass
asked the Minister for Industry and Commerce whether the E.S.B., in view of the proposed alteration of the financial basis of the rural electrification scheme, intends to alter the rate of development under the scheme, and what measures, if any, he has in contemplation to ensure that the scheme will proceed as originally planned.
Mr. Lemass
asked the Minister for Industry and Commerce if he will state the statutory authority under which the E.S.B. is entitled to increase its charges under the rural electrification scheme consequent on the withdrawal of capital subsidy, and if the Government intends to introduce proposals for legislation to amend the Electricity Supply Acts so as to limit the board's discretion in this regard.
With the permission of the Ceann Comhairle, I propose to take Questions Nos. 14, 15 and 16 together.
The views of the E.S.B. were obtained and considered before it was decided that the subsidy from the Exchequer towards the cost of rural electrification should be discontinued. I do not consider it to be desirable that the views of the board on this matter should be announced. I am of opinion, having regard to the financial resources of the board generally, that the full cost of the rural electrification scheme should be met from the funds of the board and that it will not be necessary either to curtail the programme of development or to increase the charges made to consumers under the scheme.
The statutory authority under which the board is empowered to fix charges is Section 59 of the Electricity (Supply) Act, 1927. It is not proposed to amend the statutory provisions in relation to the fixing of charges by the E.S.B.
Mr. Lemass
Would the Minister state if he has any assurance from the board that neither the rate of development nor the rates of charge will be altered?
I am satisfied that there would be no justification whatever on the part of the board either in increasing the charges or slowing down the rate of development because of the fact that they are now required to bear the State portion of the rural electrification charges. Their funds and prosperous financial position will enable them to do that without the slightest difficulty and without in any way necessitating an increase in the charge or slowing down the rate of development. If at any stage the board endeavours to increase charges or slow down the rate of development that will be an entirely new situation and it will be dealt with.