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Dáil Éireann debate -
Tuesday, 22 Apr 1997

Vol. 478 No. 1

Priority Questions. - Below Cost Selling.

Mary O'Rourke

Question:

4 Mrs. O'Rourke asked the Minister for Enterprise and Employment when the long-promised legislation to outlaw below-cost selling of newspapers will be presented; the drafting difficulties, if any, which have arisen; and if he will make a statement on the matter. [10754/97]

A legislative prohibition on below cost selling of newspapers is one of a number of recommendations of the Commission on the Newspaper Industry which I have been examining.As already indicated to the House, I am concerned that any legislation containing provisions to prohibit below cost selling would be both robust and safe from legal challenge while proving effective and workable. The Deputy will be aware that, given our membership of the EU, any legislation in this area must be compatible with the EU Treaty and with European Court of Justice decisions. Accordingly, any proposals in this area must apply in a non-discriminatory way to all newspapers sold on the Irish market.

I continue to obtain the best advice on the complex legal and economic issues involved. The issues involved relate to, among others, definitions, including defining cost, revenues and newspapers, compatibility with EU law, consideration of exclusions or exceptions and compliance and enforcement. This detailed consideration of complex legal and economic issues is proceeding apace. In addition, I have had meetings with newspaper interests on an ongoing basis about the commission's recommendation on below cost selling. These contacts are continuing.

What specific difficulties have the Minister, his officials or the experts he has engaged encountered to explain the long delay in producing legislation? It is almost 12 months since the commission reported in May last year. Since then, both Deputy Harney and I have asked questions on the issue at various times. Each time my party leader asked the Taoiseach, he was told it would be before Christmas. At Christmas, it was to be before Easter. When is it to be?

Who are the Minister's experts and what difficulties are they encountering? The Minister stated on several occasions the legislation was to be robust. It has not yet been published. Does the Minister intend to produce this legislation within the next few weeks or has this been a mechanism whereby he has attempted to gain kudos for actions to be done when he has not introduced anything?

There are matters of considerable difficulty surrounding complex issues such as the definition of what costs and revenues would be included in a ban on below cost selling, ensuring compliance with EU law, especially Article 30 of the EU Treaty and consideration of what exclusions might be permitted. Considerable progress has been made and, at this stage, I have sent draft proposals to the Attorney General's office on which legal advice is being sought. The legal experts are appointed in the normal way by the Attorney General and I would not name individuals in such a context. We are putting in a great deal of work and we hope to have robust heads which we can bring to Government as soon as possible. However, I do not see legislation being published in the next few weeks and I did not indicate that it would be, when this was discussed on the last occasion in the Dáil.

The Minister may not have, but the Taoiseach did on two separate occasions speaking on behalf of the Government. I do not have the references with me but they are on the record of the Dáil in the October to Christmas period last year and the Christmas to Easter period this year. He said in both sessions that it would be introduced in that term. Therefore, it is on the record that legislation was to be introduced.

The Minister said he was to engage experts — not the Attorney General — to help his Department in drafting the legislation. Everyone understands the Attorney General engages outside people to examine the legal complexities. Who are the outside officials who have been engaged? It is clear that this legislation was never meant to be introduced before the election. I am glad that is now evident. The Minister may not have said so but others have. The Taoiseach and the spin doctors have said it is about to be introduced. Has the Minister got the heads of the Bill?

The Deputy has spent some time in Government and knows that the Attorney General appoints legal advisers.

They are the Minister's experts.

I am using the legal advisers appointed by the Attorney General. That is the normal, proper way to proceed. I have already indicated that we have draft proposals on which we are seeking legal advice. We will proceed as soon as possible. There is no point in proceeding until one is satisfied that complex issues such as compatibility with EU law and the workability of the definition applied have been properly dealt with. The Deputy's expectations of our not being able to deal with this before the election suggest that she has information about the timing of an election which I do not have.

The Minister should give that up.

He should ask his brother.

I intend to be in a position to introduce this legislation in the lifetime of this Dáil. In any event, I expect to proceed with it after the next election.

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