asked the Minister for Industry and Commerce if his attention has been drawn to the second memorandum released by the Trinity College resources group; and if he will comment on it.
Ceisteanna—Questions. Oral Answers. - Trinity College Group's Memorandum.
32.
I have seen the document referred to by the Deputy. The main aim of the authors is said to be the nationalisation of the mining industry without compensation and the establishment of a State company or companies to locate, extract, process and market all mineral resources including gas and oil. In support of this aim the document presents a distorted and misleading picture of the exploration and development of our mineral resources and Government policy in relation thereto.
Nationalisation of industry without compensation is not a policy of this Government nor I think is it a policy that would be supported by many of our people.
With regard to the establishment of State companies to search for and develop mineral resources I would refer the Deputy to my reply to a Dáil question on this matter on 19th April when I said the State had at one stage participated directly in mineral exploration and development with marked lack of success and as a result of which the operations of the State companies were brought to an end.
The Government are, of course, most anxious that the State should get an adequate return from mining and as I stated also on the 19th April, I am having a review carried out of royalty and taxation arrangements in the light of which I will consider what long-term fiscal policy for mining would be best suited for the future.
I made it clear that such a policy should give the State an equitable share of increasing profits while, at the same time, being sufficiently attractive to the mining companies to ensure the continued development of the country's mineral resources in an efficient manner and lead to the establishment of a smelter and other associated industries.
It is, I think, necessary to stress again, in view of the content of the pamphlet, that no decision has been made about royalty payments to the State from the operation of the prospective mine at Navan.
It is the broad intention of the Government to derive what the Minister describes as an adequate share of the profits for the State in the application of royalties? In the case of a very rich strike, would the Government derive higher royalties than usual?
It is my intention to acquire it for the State. That is the position.
Is that Government policy?
That is the position.
Would the Minister agree that whatever disagreements there may be with some of the conclusions in this report the work of this group drew attention to the situation which has arisen, and this is very useful and may have contributed to the fact that the Government are at last doing something about this?
No. Last week I conveyed the information that I had set up a departmental body a long time ago.
Before this report was first produced?
No, not before that.
Is the Minister satisfied with the present royalties and with the tax structure? It was stated at the IMI conference in Killarney by one of the top industrialists in the country that we should "tax them out of hell". You have seen that statement?
I did not see that statement.
This was said by one of the leading industrialists. What he meant was that we were not getting enough tax from these mines, but that the money was leaving the country and that this money could be utilised for the benefit of the people. When will the report of the review committee be available? Will it be available before the mines have closed?
They have not opened.
I am not talking about their opening. I am talking about their closing. The Minister knows what I mean. It takes committees so long to come to a decision that the money will have gone out of the country. We will have got nothing at the rate the Minister's committees produce reports.
I would recommended that the Deputy should do some little bit of reading about this subject.
When can we expect a report?
It will be produced in time. I will have my report before any lease is given to the mining company.
(Interruptions.)
Is the Minister aware that the representative of one mining company expressed the view that the 20 year tax concession is four times longer than necessary?
The Minister stated in his reply that the figures produced by the resources study group contained many distortions. In view of the widespread publicity that this study has received and the number of copies distributed, will the Minister indicate precisely the nature of the distortions and will he issue a similar booklet so that the public can judge as between the two cases?
Hear, hear. That would be very useful.
While the review group put a lot of effort into the report it appears reasonably obvious to me that while there was a lot of effort there might not have been a great deal of expertise on their part in coming to their conclusions.
The Minister stated "serious distortions".
Yes, with regard to the value of the ore body.
Could we have the details?
When I am ready to issue a statement, I will issue it.
Is the Minister satisfied that he can adjust royalties to get the State its just and proper share of the profits?
I am satisfied that this is so, and this is my intention.
Does the Minister think it right to have nationalisation of all resources in this country and that the rich industrialists should pay their share of taxes——
The rich industrialists in the country are paying their taxes.
Their fair share?