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Dáil Éireann debate -
Tuesday, 27 Nov 2001

Vol. 545 No. 1

Written Answers. - Postal Services.

Brendan Howlin

Question:

39 Mr. Howlin asked the Minister for Public Enterprise when the liberalisation of postal services is scheduled to be discussed at the Council of Ministers; the implications there are in regard to a limitation of postal services in the less populated areas here; and if she will make a statement on the matter. [29662/01]

A draft directive amending Directive 97/67EC with regard to the further opening to competition of community postal services is under discussion at the European Parliament. The main measures which have yet to be ratified by the European Parliament, are: a reduction of the weight and price limits in the reserved area to 100 grams in 2003 and 50 grams in 2006 with corresponding price limits of three and two and a half times the standard tariff; outgoing cross-border mail may continue to be reserved within the same weight and price limits to the extent necessary to ensure the provision of universal services; a study is to be completed by the European Commission on the impact of full liberalisation on the universal service in all member states, leading to a report to the European Parliament and the Council of Ministers by the end of 2006; and a proposal confirming, if appropriate, the date of 2009 for full liberalisation of the market or determining any other step in the light of the study's conclusions.

There is no firm date as yet for these matters to return to the Council after consideration by the European Parliament. These measures have no implications for the provision of postal services in rural areas. An Post, as the designated universal service provider, will continue to be obliged to provide a nationwide service at a common tariff. Clearly, further liberalisation of the letter post market will have an impact on An Post's core business. However, it will also present opportunities. I am confident that An Post, which in terms of price and the quality of the service it provides remains competitively positioned in the European Union, will meet the challenge of an increasingly liberalised market.

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