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Dáil Éireann debate -
Tuesday, 13 May 1986

Vol. 366 No. 4

Ceisteanna — Questions Oral Answers. - EC Common Transport Policy.

9.

asked the Minister for Communications his policy with regard to an EC common transport policy; his priorities in the development of such a policy; and the present position of the Council of Ministers in the matter.

Ireland has maintained a positive attitude towards the development of a Common Transport Policy for the Community.

The requirement to adopt a Common Transport Policy derives from Articles 2, 3, 75 and 84 of the Treaty of Rome. In a judgment delivered in May 1985, the European Court of Justice, in an action brought against the Council of Ministers by the European Parliament, found that the Council was in breach of the Treaty of Rome for having failed to secure freedom in the provision of services in the field of inland international transport, and in not having fixed the conditions under which non-resident carriers might operate within a member state.

In response to this judgment the Council at its meeting in November 1985 recorded its agreement on the following policy approach:

(1) creation of a free market in transport with no quantitative restrictions by 1992 at the latest;

(2) during the transitional period, progressive adaptation of the bilateral road haulage permit quotas on a nondiscriminatory basis, coupled with a simultaneous development in Community quotas;

(3) elimination of distortion of competition during the transitional period.

Proposals will now have to be debated and adopted to give effect to the Council's conclusion.

As a priority I strongly support the principle of liberalisation of international road haulage and accordingly I favour the removal of quantitative restrictions between member states, subject to qualitative controls directed mainly towards technical and professional competence. I am also adopting a positive approach to proposals being developed by the Commission in the areas of vehicle weights and dimensions and of the structure of vehicle taxation which proposals are designed to harmonise conditions of competition.

As regards maritime transport policy, I have welcomed at the Council of Ministers, the EC Commission memorandum on maritime transport policy put forward in March 1985. In its document the Commission supports the concept of a free competitive market and proposes that a number of measures be adopted, including measures aimed at combating unfair pricing practices of non-Community shipowners in the liner trade to and from the Community and all forms of discrimination and protectionism by third countries. Measures are also proposed to open up the Community market in maritime transport services to all Community shipowners and apply the competition rules of the Treaty of Rome to maritime transport. The Council of Ministers at its meeting in June 1985 agreed the main ideas in the Commission memorandum and asked that priority be given to discussion of the measures mentioned with a view to their early adoption into Community law. These proposals are in line with the open port policy of successive Irish Governments and I will be supporting their early adoption as a package. Discussions on the proposals are continuing.

In so far as air transport is concerned, the forthcoming Transport Council will review progress being made on the tariffs, capacity and competition fronts. At this stage, it is not possible to indicate what decisions will emerge, but I suspect that further work may be necessary before a package of measures in these areas can be agreed. The area of market access, to which Ireland attaches a particular priority, is likely to become a more prominent discussion point later this year. I shall be using every possible opportunity to further our aim of expanding the commercial opportunities for Irish airlines to develop viable air services.

Would the Minister agree that the Council of Ministers are giving the impression of foot dragging and that they had to be pushed into action by the court case brought against them by the European Parliament? Would he further agree that since June 1985, the date the Minister mentioned in his reply, and November 1985 practically no progress has been made in this field?

The Transport Council have been notorious for dragging their feet over the years. After 22 years a set of proposals was finally agreed during our Presidency in the later part of 1984. We got agreement on annual increases in the Community quotas for road hauliers for the next five years, there are some changes in weights and dimensions and a commitment to achieve liberalisation by 1992. That was aided and abetted by the Court decision. There is no doubt that there has been a great deal of foot dragging, but I am of the view that because of the pressure of certain Ministers, including myself, the European Court, the European Parliament and the Commission, movement is beginning to take place and by the early years of the next decade we will have a completely liberalised and harmonised road transport system in the EC.

Would the Minister tell the House what role he sees for the European Council of Ministers for Transport when the final Common Policy on Transport is decided in the EC?

Much work needs to be done on many fronts. I do not expect that when complete liberalisation and harmonisation of inland transport are achieved there will be no further problems. Of course there will be ongoing problems in inland transport. Of course there will be infrastructural issues, air issues and maritime issues. It is not that there will be no work but rather that there will be so much work to be done——

Will ECMT's role disappear?

The ECMT deals with all free Europe, not just the EC. I do not see its role being affected. The trend towards liberalisation in the EC may have to run parallel in the other ECMT countries.

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