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Dáil Éireann debate -
Wednesday, 30 Mar 1994

Vol. 440 No. 8

Ceisteanna—Questions. Oral Answers. - Future of Telecom Éireann.

Phil Hogan

Question:

6 Mr. Hogan asked the Minister for Transport, Energy and Communications the plans, if any, he has to appoint consultants to assist his Department in the assessment of various proposals coming from An Bord Telecom in respect of the future of the company.

I have no immediate plans to appoint consultants to assist my Department in relation to the future of Telecom Éireann but the use of consultants is something I will consider seriously if and when the need arises.

This question was tabled because of a statement by Telecom Éireann that it was in negotiation with Cable and Wireless in respect of a strategic alliance. Will the Minister be more forthright and say when those negotiations commenced, at whose behest——

I am sorry, Deputy, but I must intervene. There are specific questions on the Order Paper concerning Cable and Wireless and Telecom Éireann. It would be unfair to anticipate those questions.

I accept your ruling, a Cheann Comhairle, but the Minister made a statement recently that he was postponing for six months any decision he would make or approve with Telecom Éireann in respect of a strategic alliance. Does he intend to appoint consultants to assist him in that process? Will the Minister give some indication to the managment and the workers of Telecom Éireann, and to this House if, in principle, the Government has agreed to a strategic alliance and with whom that alliance will be formed?

I have to advise that Question No. 9 refers specifically to discussions between Cable and Wireless and Telecom Éireann.

My question relates to the future of the company.

I am aware of that and I do not see why we should upstage Question No. 9.

I do not wish to upstage my colleague in any way, nor would I be able to upstage him but——

The Chair seeks to have fair play in such matters.

——I am entitled to know, from the point of view of the future of Telecom Éireann, what investment proposals will be made to assist the company financially, of which the Minister has full responsibility.

Bearing in mind what I have said I call the Minister to respond.

We must get the terminology right. As I stated in this House previously, a proposal was received from Cable and Wireless and I immediately issued a directive to Telecom Éireann. I am adopting a pragmatic and practical approach to this issue. In an upfront and open way I want the range of options studied by the board in the first instance, the people with responsibility for setting out the future prospects of this company, and, once that has been done, they will report to me within six months. That length of time is required for them to undertake that full range of consideration to decide what is in the strategic interests of the company. There will be no preemption or decision in relation to that matter until such time as I hear from the company.

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