Dáil Éireann debate -
Tuesday, 17 Dec 2002

Vol. 559 No. 5

Leaders' Questions.

Mr. Kenny

Every Member of the House will support measures to increase safety on the roads and prevent accidents and deaths. Following the announcement by the Minister for Transport yesterday, is it intended to enforce the regulations, in so far as provisional licence holders are concerned, from 1 January? Is this not a case of putting the cart before the horse in that there is no real plan or agenda by Government to deal with the issue of the 45% failure rate of driving tests? Inconsistency applies between centres for driving tests, for instance, between Sligo and Clonmel. There is a complete lack of regulation in respect of driving instructors and driving instructor schools and inadequate provision of driving instruction being incorporated in second level schools where driving instruction should be of critical importance, as it is for life.

The thousands of people who want to do the driving test but who have to wait six and eight months to do so will now find themselves outside the law if they attempt to drive to and from work or school and if nobody is available to travel with them, they will have to get a taxi, hire a hackney or not travel at all. Is it intended to implement all of these regulations from 1 January and will the Government, in implementing these road safety measures, take these issues into account? What progress is the Government making towards decreasing the time individuals have to wait for their driving tests?

The Taoiseach

From 1 January, anyone driving must carry his or her driving licence regardless of whether he or she holds a full or provisional driving licence. The Minister hopes to progressively implement a number of the penalties for infringements under the penalty points system. The law says provisional licence holders must be accompanied by a full licence holder when driving. The Minister hopes to link this into the penalty points system.

The Minister proposes to establish a new agency – this may require legislation – to deal with the regulation of driving instructors and the related matters raised by Deputy Kenny. The Government is conscious of the number of people who do not hold full licences. If all are to be adequately able to take their driving test, changes must be made. The Minister will make an announcement in due course.

Mr. Kenny

Is the Taoiseach aware that statistics show the most dangerous drivers to be those who have passed their tests within the previous six months? Does the Government intend to give drivers who pass their tests restricted driving condition plates for the first 12 months of holding a full licence? Will the driving test be reformed? It has not been reformed in the past 25 years. Will the Government see to it that the result sheet given to those who fail their driving test is legible? In reviewing this, will the Taoiseach take into account the detailed analysis and constructive proposals produced two and a half years ago in a document compiled by Deputies Naughten and Coveney? The document dealt with driving instruction in secondary schools and related road safety issues.

The Taoiseach

I will bring the issues of illegible result sheets and the document compiled by the Deputies to the attention of the Minister. The Minister is considering proposals to bring road safety initiatives and issues around the test to transition year students.

I understand research shows the most dangerous drivers to be those who hold provisional licences. I recall this being discussed in Cabinet some months ago and that was the impression I got. I am open to correction on it. All these proposals are built around an effort by the Government to both strengthen and implement the road safety legislation. We published a strategy document on this three or four years ago. The proposals will be implemented and the points system will be phased in over a period.

Mr. Rabbitte

Will the Taoiseach tell the House why the Minister for Transport has suppressed the report of the taxi hardship panel? Two years ago the taxi licensing system was deregulated. Following that, it was admitted that there were a number of hard cases in the immediate transfer. Unfortunately, some people had purchased plates immediately prior to deregulation, others were relying on the sale of the plate for their pensions and widows of taxi drivers were left stranded. All of this happened because of the manner in which Fianna Fáil had led taxi drivers up the hill and then down again.

Deputy Callely fought their case and brought them to Government Buildings. The Taoiseach set up a forum, put his arm around the taxi leaders and told them it would be all right on the night. A judge made a ruling and the Progressive Democrats saw an opportunity to claim the decision as its own. A taxi hardship panel was then established to bring Fianna Fáil over the election period. The Minister told the House on 16 October that he had received the report and would announce his decision in due course. Nothing has happened since. Women connected with some of the most seriously affected drivers went to Brussels last week to make their case.

What is in the report of the taxi hardship panel? Why can the House not be made aware of what is in it? When will the scheme and its terms be announced? Those involved had relied on having compensation before Christmas, but more than two years have now elapsed. The Minister must have found the report to be uncongenial and is not making it public. Judging from the mirth running along the depleted Cabinet Benches it has been discussed at Cabinet. The rest of us should be told what it includes and maybe then we can share in the fun. Many taxi drivers and their families do not find it funny.

Mr. N. Dempsey

We do not think it is funny, we think Deputy Rabbitte is funny.

Mr. Durkan

Many people do not think the Minister is funny.

The Taoiseach

Deputy Rabbitte has outlined what has happened over the past two years. There were 3,000 taxi licences but now there are 12,000. Within those 3,000 licence holders there were people who had borrowed to buy the licence and widows who had rented them to earn an income. The Government agreed to establish an independent group to look at the cases put forward by the taxi representative groups and draw up a scheme to assist those who had suffered real hardship. The group met in February or March and has recently reported to the Minister. The Minister will publish the report but wants to find a mechanism to put in place the structures for payments. He has recently appointed a taxi regulator and that was widely welcomed in the industry. The regulator will be charged with implementing the terms of the hardship panel. I understand the report is to be published before Christmas.

Mr. Rabbitte

I regard that as ominous. If there was anything positive in it, the Minister, Deputy Brennan, would have issued two press releases today. Clearly, it is to be hived off to a regulator. I presume the Minister of State, Deputy Callely is not resigning his post and taking over that of regulator of taxis.

An Ceann Comhairle

A question, please, Deputy.

Mr. Rabbitte

Is it not the case that the Minister of State, Deputy Callely, provided that service for years, that he misled the taximen and led them over the abyss with the connivance of the Taoiseach who told them it would not happen? Then the courts dropped them in it and even the Progressive Democrats – Bobby Molloy having set up the committee – admit there are hardship cases. I refer to people genuinely in plight who remortgaged their homes to pay for a plate, widows who were left in a state of penury and people who were ill and were relying on the sale of the plate to retire on a pension. These are hard facts that even the Progressive Democrats admit are the case. Is it not the case that on 16 October the Minister told the House that he was taking the report to the Cabinet? Why must some citizen be found to accept the role of regulator and dispense the largesse? If there was largesse, the Minister, Deputy Brennan would be the first to announce it and to play Santa Claus. Where is he?

The Taoiseach

I am glad Deputy Rabbitte shares my concern and that of the Tánaiste about people who suffered as a result of this. Some 3,000 taxi people took to the streets two years ago. Every year at this time I answer questions here about the plight of the hard-pressed citizen who cannot get a taxi. Deputy Rabbitte was correct in saying that I set up a forum and sought to obtain an additional 800 licences. He was also correct in saying that the courts moved on that and we now have an additional 9,000 taxis, although I would have been satisfied with an additional 800 only a few years ago. All those developments have taken place.

Some people were financially caught as a result of these developments. We obtained an independent report which assesses this matter. The person who completed the report met everyone concerned, including the representatives of all the taxi groups and the representatives of FARE, the group of women representing taxi people, to whom Deputy Rabbitte referred. While it is one matter to issue a report, the Minister, Deputy Brennan, wanted to develop a process. It is not the Government's intention to change the report. We accept its proposals and it is intended to implement them as quickly as possible. A regulator who will be appointed early in new year will take on that task.

Mr. J. Higgins

Is the Taoiseach aware that the remuneration package of €4.5 million for the former chief executive of Eircom has scandalised ordinary people throughout the country and outraged, in particular, the people who were lured by the Government to invest in the privatisation process and then heavily lost much of their savings as a result? Is the Taoiseach ashamed that what was once a vital publicly owned asset, and could have been developed as such, is now a commodity with which to be speculated by international venture capitalists and sucked dry by them for personal enrichment?

Does the Taoiseach agree that his colleague, the esteemed Leader of the Seanad and former Minister for Public Enterprise, has not a shred of credibility when she glides in front of a microphone on national radio and whines about this scandal, having been the Government's instrument in cranking up the carousel of greed that led to this obscene avarice? Is the Taoiseach aware that the revelation of this rip-off follows the announcement from the Revenue Commissioners that the richest of the rich in this State pay about 10% of their income in tax in contrast to at least 30% of income tax paid by ordinary working people? Will the Government continue to protect this obscene inequality?

An Ceann Comhairle

The time allocated for the Deputy's question has concluded.

Mr. J. Higgins

Will the Taoiseach continue to protect the status of millionaire tax exiles who swan in and out of this country at weekends, the people who are seen tugging his sleeves at places of renown up and down the country or he tugging theirs at the Galway Races?

An Ceann Comhairle

I have ruled other Deputies out of order after their time was concluded. I must call the Taoiseach.

Mr. J. Higgins

If the Government is to have a shred of credibility, it would make sacrifices in the current pay talks.

The Taoiseach

Deputy Higgins is worried about what was happening at the Galway Races. I was also at the Dingle races this year to which I believe the Deputy is a frequent visitor.

Mr. J. Higgins

There would not be as many millionaires there.

The Taoiseach

There are not, no.

Ms Harney

They keep it quiet down there.

Mr. J. Higgins

The Taoiseach was probably the best paid attendant at those races.

An Ceann Comhairle

The Deputy has made his case.

The Taoiseach

I was not, Deputy Higgins's neighbours down there are not doing bad.

Mr. Allen

Is the Taoiseach referring to Charlie?

The Taoiseach

Is that not where Deputy Higgins had his fundraising event for the last election, in Dingle?

Of the top 400 earners' cases examined in 2002, 117 had an effective tax rate of less than 30%, 231 had an effective tax rate of between 30% and 44% and 52 had an effective tax rate of 45%. That study, to which Deputy Higgins referred, indicates there is an increase in the effective tax rate of high earners in the year under review, a part of the study to which the Deputy omitted to refer.

I have no responsibility for what a private sector company does. If Deputy Higgins is asking me to give my view, it seems extraordinary that somebody would get a severance package as high as that reported. I presume those figures are correct. I do not know the basis of that package or what the arrangements were. If the Deputy is asking me to share a view with him that the severance package seems an extraordinary large amount of money, I agree with that statement.

Mr. Rabbitte

Deputy Higgins did not expect that answer.

Mr. J. Higgins

Will the Taoiseach acknowledge that he bears responsibility for this display of greed when he sanctioned the policy of privatisation that led to the sale of this public asset? The Minister for Justice, Equality and Law Reform cannot restrain himself, but he will have to listen to what ordinary people are saying.

An Ceann Comhairle

A question, please, Deputy.

Mr. J. Higgins

I am getting to that, but I am being distracted as I look across the floor of the House.

An Ceann Comhairle

The Deputy has only a minute to make his point.

Mr. J. Higgins

We should bring in one of those padded cells the Minister is getting rid of to restrain him on occasions such as this. We would need straps as well in his case.

Mr. J. Brady

The less the Deputy says about padded cells the better.

An Ceann Comhairle

Allow the Deputy to continue without interruption.

Mr. J. Higgins

Is it the intention of the Government to continue with the privatisation of crucial public assets, such as Aer Lingus, so that they too can go on to service the inflated greed of those who wish to get their tentacles around them? Can we hope that, in the quiet of the seasonal break as the Taoiseach tends his hanging baskets or munches on mince pies, the Government will resolve to give up its auld sins and quit pandering especially to the private greed of that narrow sector of society who wants to get its hands on crucial public assets to make a killing rather than to serve the public interest?

The Taoiseach

When I listen to Deputy Higgins, I think back to the Soviet leaders in the bad old days when they brought in all those rules and followed all those policies, but they had five or six of the largest cars in the world. They always showed great care and regard for people.

With regard to privatisation, the policy of the Government is to deal with relevant issues on a case by case basis and to discuss them with the trade union movement, organised labour and the workforce generally, regardless of whether its members are members of a union. We will discuss such issues to ascertain the strategic interests of the company concerned, taking into account the public good, the welfare of the staff and the strategic alliances of the company. There is not an ideological reason for such an approach. We privatised companies in recent years that were broken, bust and on the road to closing down and we also privatised companies that were of good value and use. We will continue on that basis. There are no specific proposals as of yet, but we will continue with that policy. The workforce, unions and organised labour want the Government to continue with it and there is no reason other than that. I have already dealt with Eircom.