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Dáil Éireann debate -
Thursday, 13 Feb 2003

Vol. 561 No. 3

National Tourism Development Authority Bill 2002 [ Seanad ] : Second Stage (Resumed).

Question again proposed: "That the Bill be now read a Second Time."

In the short time available to me I wish to draw attention to the kind of tourism facility this country needs so badly and in doing so I pay tribute to the Irish Seal Sanctuary in Fingal in Dublin north which has an amazing ability to attract hundreds of visitors to a beach, regardless of weather, to witness the release of seals which have been injured or ill and nursed back to health by wildlife experts, such as Brendan and Mary Price and Terry Flanagan. Next Sunday in Rush there will be another such release at 12.30 p.m.

The council has given a site. I ask the authority to take on board this issue because it needs capital investment as Ireland is the only coastal EU state with no marine conservation centre. There is a clear benefit for tourism if this type of facility can be developed which will not just be about attracting visitors but will also have an intrinsic value for the overall development of the country. To that extent it is important to focus on capital investment involving the local authority so there is a decentralised and vibrant tourism sector. It is also important to focus on the capital investment from the State which was promised before the last election but still has to be delivered. I hope the Minister and the National Tourism Development Authority will set this as a priority so we can have a facility which is so badly needed in Ireland.

I wish to share time with my colleague, Deputy Cooper-Flynn.

Is that agreed? Agreed.

I am pleased to have the opportunity to express my support for the Bill which my friend and colleague, the Minister for Arts, Sport and Tourism, Deputy O'Donoghue, has brought before the House. Many of the Bills which appear before the House can be described as historic, shaping the social fabric of the lives of Irish people well into the future. In years to come this Bill, which proposes the establishment of the National Tourism Development Authority, will be seen as such, establishing as it does the legal means by which Ireland's tourism project will be promoted on an all-Ireland basis. The Bill seeks to rationalise the promotion and development of tourism facilities and the services within the State. This can only be welcomed by all sides of the House as it recognises that tourism is the State's second largest industry. In his speech the Minister said:

If we build high standard physical facilities, we must also deliver appropriately high quality services. If the operational standards do not match the physical quality of facilities, then the market potential of these facilities may not be realised.

I concur with that sentiment.

I wish to highlight some of the issues we should promote. It beggars belief that the Department and we as a nation have failed to provide a national conference centre. All the agencies involved in tourism development, whether hoteliers, Bord Fáilte or CERT have asked for such a centre. Through the Minister of State, I urge the Department and those involved to use every vehicle available to them to ensure a national conference centre is achieved. At one time substantial funding of the order of £19 million or £20 million was available for the promotion and development of this facility. I hope that is still available to us.

I pay tribute to Bord Fáilte and CERT which are being merged to form the new authority. Both have served the industry extremely well. Some years ago Bord Fáilte decided its strategy and got Government approval for the development of sports facilities, particularly golf. We have seen over the past ten years that this promotion and focus on providing the best of golfing facilities has paid off in a real way throughout the country. There is not a part of the country which does not have a major capital investment in the development of golf facilities and interrelated activities, culminating in the Ryder Cup coming to Ireland in the next few years which is phenomenal. I had the pleasure of attending one such tournament in Valderama. It is possible it will be one of the biggest sporting occasions in the country and in the promotion of tourism thereafter.

I welcome the fact that certain minority sports have been supported in recent years. I was informed yesterday that the substantial investment made by the Department in cricket over the past ten years is about to pay off, as a centre of excellence will be opened soon in north Dublin. More importantly, while the World Cup is taking place in South Africa at present the preliminary rounds will take place in Ireland. Twelve countries will come to Ireland, of which four will qualify for the 2007 World Cup in the West Indies. This has been made possible through the investment provided by the Department and the various agencies in relation to the development of tourism.

My colleague, Deputy Sargent, mentioned the seal sanctuary. I would like to bring him up to date on a proposal that will soon be made to the Department for an Irish marine tourism and convention facility. He will be pleased to know that the site which the Fingal authority will be promoting is in Balbriggan. The idea behind it is that the centre at Portaferry, which my local authority visited recently, which has a similar development and ties in with the Irish seal sanctuary development there, has 90,000 to 100,000 visitors per year.

I am sure when the Minister and the Department see this proposal, it will get the support it deserves. As Deputy Sargent rightly said, there has been a commitment of support for such a development in recent years. Approximately €2 million to €3 million will be needed for such a facility. The broadening out of this proposal may help to achieve what those who have been so vigorous in their efforts to have a seal sanctuary provided on our coastline have sought. I hope this proposal will get the support it deserves when it goes to the Minister.

I welcome the fact the Special Olympics will be held here in the summer. It is a unique opportunity for Ireland as every part of the country will be involved. I welcome the Government's support and all the voluntary work and I congratulate those involved in the games. I wish well to everybody coming to Ireland for the games.

I return to the point about providing the highest standard of facilities. I refer to the investment in our race and dog tracks and the type of support these industries are getting. There was record attendance at Leopardstown last Saturday – some 17,000 people attended – and record betting of €2.6 million on the track. That does not happen automatically; it happens because the best of facilities have been provided. I urge the Department to continue to support the facilities the modern punter and consumer wants.

It is a revelation for anybody to go to a dog track anywhere in the country. This has been a success story because Bord na gCon has invested in dog tracks. There has been a revolution in that the age profile of people attending dog tracks has changed, and the reason is that the best of facilities are available. I hope the Minister will continue to support that.

Many among our immigrant population are drawn to tourism jobs because our own people seek higher pay and employment elsewhere. Although this will be of benefit by broadening the appeal of our tourism industry, we must be careful to ensure visitors still enjoy an Irish welcome by encouraging our people to stay in the industry. It is important the industry recognises that without proper wages and proper facilities, it will lose people. The industry is conscious of that and recognises that it must change and ensure the best working conditions are available to guarantee that the unique Irish culture and character is available to visitors arriving in our country.

The Irish Open will be held in Portmarnock next year. I remember in the 1980s when it was first held in Portmarnock, there were only 50 hotel bedrooms in the immediate area. It is to the credit of Bord Fáilte and various Government initiatives that some of the best hotels in Dublin are available to cater for this most prestigious event. The Royal Marine Hotel, the Grand Hotel in Malahide, the White Sands Hotel in Portmarnock, Portmarnock Hotel and Golf Links Hotel and the Great Southern Hotel at the airport have all been developed in the past 15 years. Without the tax incentives available for those investors to create bedroom space, it would not be there. It is most welcome for us in Fingal and Dublin north that when the Open takes place in June of next year, all of these hotels will be available to the visitors who will come to the area looking for the best of facilities and the highest standards. We are lucky in north county Dublin to have such facilities available.

Promotion of Ireland as a whole, as an integrated tourism product, was always going to be one of the first manifestations of the Good Friday Agreement. It seems only logical and right that the complementary attractions of both sides of the Border should be combined to provide the absolutely unmissable holiday experience Ireland provides.

It gives me great pleasure to have an opportunity to speak on the Bill. I come from County Mayo where 15 years ago, some of the premier tourism resorts were located, including Achill Island to which thousands of people flooded on various weekends of the year. However, we have seen a change over the past ten or 15 years. One of the reasons for that is that a significant regional focus has not been implemented by the different tourism authorities. I appreciate this Bill is about setting up a national structure but I hope when the focus turns to the regional situation, a greater emphasis will be placed on counties such as Mayo which enjoyed such success in the past.

This Bill is important because tourism represents €4 billion in foreign earnings and €1.2 billion in domestic earnings. It represents 5% of GNP and accounts for one in every 12 jobs. By anyone's standards, it is a massive industry which needs to be tapped to the maximum. While we have been successful in attracting large numbers to our shores, it is increasingly important that when visitors come to Ireland, they get the quality and the range of services available in other countries. We must face reality in a competitive market. People will only come to Ireland if they get a good product, a good level of services and value for money relative to what is available in other countries in Europe, the United States and elsewhere.

I mentioned County Mayo at the outset. It is a good example because it has absolutely everything and I hope Members will forgive me for being parochial for a minute while I highlight the situation. Mayo has the highest number of blue flag beaches in the country. It has the beautiful town of Westport which enjoyed the 2001 tidy towns award. It has the most magnificent rivers and lakes and the best salmon fishery in the country in the River Moy and the lakes of Lough Mask, Lough Carra and Lough Cullin which attract many angling visitor each year. It has wonderful festivals, including the salmon festival in Ballina. One of my colleagues yesterday referred to the Gweesalia races festival. It has a great racecourse in Ballinrobe which attracts large numbers of tourists from around the country. It has Ashford Castle, despite the fact County Galway tries to claim it from time to time, a premier location which has brought in huge numbers of American and domestic visitors over the years. It has any number of championship golf courses one would care to visit. There is something in Mayo for everybody. One would have to ask, why in a county which offers so much, tourist figures have shown some decline? Maybe it does not enjoy the same premier location it enjoyed ten or 15 years ago.

I bring to the Minister's attention the importance of an airport to a region. Thankfully, County Mayo has the benefit of a regional airport, Knock Airport. I mention this because I saw a programme recently on the PSO contracts awarded to various regional airports. I was struck by the high level of subsidy per passenger provided in these contracts to try to make a go of the airport. That is something I support because I am anxious that Knock Airport develops and is a huge addition to the tourism industry in County Mayo.

Every passenger who travels in and out of Knock Airport is subsidised to the extent of €500, or in excess of that figure. I have no difficulty with that while the airport is getting off the ground. However, I spoke to a hotelier in the county recently who contacted one of the carriers availing of this PSO contract to try to get added value from the fact people are travelling in and out of the airport – for example, bringing people to Mayo for a weekend in a hotel and to enjoy the various amenities – and to try to encourage people to stay in the county for more than one or two nights. What is surprising is that the airline carrier was not even interested in discussing the matter. Its attitude seems to be that the contract is in place, it is getting its money, and that is the end of the matter. I find that unacceptable, particularly in a county like Mayo. In my home town of Castlebar there has been huge Government investment in Turlough Park House. This is the only area outside of Dublin where the National Museum is located. Together with the other facilities I mentioned, it makes the area an ideal location. There are a number of attractions to keep tourists in the county for at least four or five days or longer. It is important when these contracts are being awarded to various airline carriers that every effort is made to force them to give value for money. I call on the new authority, which will focus on regional issues, to take up the matter with airline carriers prior to being given a contract to the various regional airports.

Last night a number of my colleagues referred to cheap flights to various European destinations, which is what we are up against. We must have an attractive value for money package if we are to compete with flights for approximately €10 or €20 to other European capitals. It is important that we compete and give value for money. The regional airports should consider providing good value packages for people, which I believe can be achieved.

The name Bord Fáilte, which is a household name, is to go. Everyone in the country is aware of the role Bord Fáilte played over the years. It has done some excellent work in bringing many thousands of people to our shores, for which we must be grateful. Given that the name has been synonymous with tourism in Ireland, it is a shame we are going to lose it, even though, under section 7 of the Bill the name, Fáilte Ireland, will probably be used for practical purposes. If a brand name has been successful in the past, it is important to retain it. One should not get rid of something that has had a positive impact. Sometimes it is good to have a fresh approach. I believe the new tourism development authority will take a fresh approach to tourism in this country, which I welcome.

While much of my contribution has had a regional focus, it is because I believe it is badly needed. Coming from one of the most deprived parts of the country, access to and from the regions is scary. Tourism is not just a matter for the Minister, Deputy O'Donoghue, but for all Departments when looking at access to and from the regions. The N5 in County Mayo, in particular, is a disgrace. The section of the road from Charlestown to Strokestown is absolutely appalling. When international partners recently visited many large industries in County Mayo, they asked whether they were travelling along the tourist track because surely it was not the main road to and from the county.

A cart track.

It is a cart track; it is an absolute disgrace and one we cannot stand over. Since I was elected in 1997, we have been speaking in this House about this issue. The time for talking is now over. It is not just the N5 which is a disgrace, the railway service is also completely inadequate. I already referred to Knock Airport. We must develop these services if we are to provide a good quality product and value for money for people travelling to and from the regions. When the time comes to focus regionally on the matter, it should be done in a serious way once and for all, because it is one of the most important industries in the country and every effort must be made to develop it. It offers great opportunities for the future. I commend the Bill to the House.

I welcome the opportunity to contribute to this debate. I compliment Deputy Cooper-Flynn on her contribution because access is crucial for the development of tourism. When abroad approximately 18 months ago, the Minister of State's senior colleague and party leader came to the conclusion that while Ireland had a first world economy, it had a Third World infrastructure. Not a lot has changed since, nor does it seem to be changing at any speed.

I want to raise the issue of the Great Southern Hotel group, particularly the Torc Great Southern, where I recently had the opportunity to meet staff while visiting Killarney. There is huge concern among the staff of the Torc Hotel and the Great Southern Hotel group as a whole in regard to the future development of the group. There is huge concern that Aer Rianta, the current managers and owners of the Great Southern Hotel group on behalf of the State, does not seem to prioritise the hotel group as part of its core business. It has huge potential to be a valuable asset to the development of tourism in the country. I ask the Minister to seriously consider tabling an amendment to the legislation to bring the hotel group under the control of the National Tourism Development Authority. It would make sense to have it under that authority rather than under Aer Rianta.

The Torc Great Southern Hotel was recently approved for sale by Aer Rianta but the sale was never formally approved by the board of Aer Rianta. It was put before the board of the Great Southern Hotel group. The Minister was never consulted on the issue, he was only advised in relation to it, which raises serious questions in light of the fact that the hotel is a valuable State asset.

The Minister for Transport is planning to establish three companies under Aer Rianta for the management of the three State airports at Dublin, Cork and Shannon. He should establish a fourth independent company under the National Tourism Development Authority for the Great Southern Hotel group. That is the ideal home for the hotel group and I hope there will be an amendment to the legislation on Committee Stage to provide for this. The hotel group is not part of Aer Rianta's core business, therefore, it does not seem to be given priority.

When the chairman of Aer Rianta recently met the staff he informed them that the group as a whole would make losses of €8.3 million in 2002 and €4 million in 2003. Yet in a presentation to an Oireachtas Committee a number of weeks ago, the chairman admitted that in 2001, which was a difficult year for the tourism industry, as was 2002, the group as a whole made a profit. Therefore, this is a profitable organisation but there seems to be a problem with the way it calculates the figures. Recent media reports show that the group made substantial profits in excess of €40 million in 2001.

I understand that Farrell Grant Sparks Consultants are looking at turning around the Great Southern Hotel group to make it more efficient and more profitable. It is imperative to put a stay on the sale of the Torc Hotel until the consultants' report is published. Given that this is a profitable hotel, it should be open during 2003. If the hotel remains closed it will become worthless as a going concern. The property will be devalued and it makes no sense to close the hotel, which has not been allocated a marketing budget, during 2003. It has been taken off the 2003 brochure for the Great Southern Hotel group, which gives rise to serious questions about the priority the board of Aer Rianta places on the group as a whole. There are two Great Southern hotels in Killarney and it does not make sense to sever them because they are at different ends of the hotel market.

The Jurys Hotel Group has two hotels in Cork, Limerick, Galway and other towns that have a smaller tourism market than Killarney, to cater for two distinct elements of the tourist population. The Great Southern Hotel Group has traditionally operated two hotels with distinct styles in Killarney, but the family hotel is to be flogged off by Aer Rianta. It is important to note that the employees of the Great Southern Hotel Group, particularly the Torc Hotel, have rights. Legislation provides for a transfer of undertaking, but it seems that Aer Rianta is trying to abdicate its responsibility in that regard by scattering its staff and not selling the hotel as a going concern. There would be a huge public outcry if the obligations and undertakings of a private sector employer were abdicated in such a manner, but that is what is happening in a semi-State company. I ask the Minister for Arts, Sport and Tourism to examine this matter comprehensively. The ideal home for the Great Southern Hotels Group is under the new tourism development authority rather than Aer Rianta.

The regional airports are a massive asset in the development of tourism in the regions. If we are serious about promoting tourism in the regions, we have to invest in regional airports. It is incorrect to say that every passenger arriving in Knock Airport is subsidised to the tune of €500 – passengers are subsidised to such a level for return trips. It is important that regional airports are given grants for capital investment and marketing. The authorities in the regional airports are concerned that their marketing grants will be reduced. Accessibility to the regions is crucially important as part of a balanced tourism policy and our airports should be helped to bring many more tourists into the regions. More resources need to be allocated to Bord Fáilte to develop new tourism products. Leader groups have done a tremendous amount of work to promote tourism and develop tourism projects.

The Department of the Environment and Local Government is responsible for the protection and retention of old buildings. Thatched houses have become virtually extinct in many parts of Ireland due to the fact that thatching grants available from the Department are pathetic. It is not financially feasible for anyone to put a thatched roof on a house. The Minister of State, Deputy Parlon, is aware that many houses that used to be thatched are now covered by galvanised sheeting, which is left to fall in. The roofs of many old houses have fallen in as a result of a lack of repairs. The thatching grant that is available is inadequate to meet the cost of thatching a house. The skill of thatching is dying out as a consequence.

The restoration grant for old buildings is also a Department of the Environment and Local Government matter. Roscommon County Council received about €42,000 last year for such works, which would hardly be enough to repair one house properly. People are moving out of old houses because grants are not available to any great extent and because the cost of the work required to restore such houses to a proper standard is far in excess of the funds available. It is cheaper to build a new house than to restore an old house. Historic buildings and other old buildings have been deserted and left to fall into ruins – they can be seen throughout the country. It is not worth one's while to meet the huge cost of restoration work that has to be done within the regulations.

Tourism has not been properly developed in the midland region, which includes the counties I represent in this House, Roscommon and Longford. Bord Fáilte has ignored the midlands. The fact that the midland region has been divided between a number of different tourism authorities has not helped its cause. The development of the River Shannon, the region's biggest asset, has not been assisted by the fact that over 30 organisations are involved in its development, control, management and promotion. Bord Fáilte has concentrated its efforts on the coastal counties, meaning that tourists speed through the midlands on their way to the west, the south-west or the south-east. I am not arguing that tourists have to stay in the midlands for two or three weeks – the levels of tourism in the region would dramatically increase if tourists could be retained there for one or two nights. Visitors coming to Ireland on package trips promoted by Bord Fáilte should be encouraged to stop in the midland counties for a few nights. There are many hidden tourist attractions in the midlands. The potential of fishing and shooting holidays in County Roscommon should be developed.

Rivers like the Shannon and the Suck are huge assets that have not been developed to their true potential. The maintenance of the River Shannon is the responsibility of the Minister of State, Deputy Parlon. Important pump out-stations that are not in place on the river should be provided. There is a severe shortage of berthing facilities along the River Shannon. I ask the Minister of State to visit the waterways of County Fermanagh, including Lough Erne, to see the development that has taken place there. It is a shame that similar facilities cannot be put in place along the Shannon. The development of an aquatic centre on Lough Ree has been proposed and should be encouraged. The cruiser market along the river should also be promoted. Many people stay in the Erne waterway and do not travel along the Ballymore-Ballyconnell canal to get to the Shannon. They feel they have to travel too far to get a berth, as facilities have not been developed further up the waterway.

The only development on Lough Ree has been on the County Westmeath side, even though County Roscommon has more miles of waterway than any other county. The River Shannon passes through County Roscommon for about 70 miles and the River Suck, which passes through Ballinasloe, flows along the west of the county. Bord Fáilte seems to have ignored the potential for the development of County Roscommon's assets. The great thing about aquatic holidays is that they do not depend on the weather.

There is a lack of maintenance on our waterways. A huge problem developed on the River Shannon two years ago when cruisers started to run aground. Air rescue services had to fly in to remove a family from a cruiser that had run aground on rock. It may be a couple of years before this becomes a crucial tourism issue, but it will cause concern in the immediate future if low water levels during the summer months persist for a number of years. Having visited the Clonown area of County Roscommon when he was president of the IFA, the Minister of State knows the detrimental effect the lack of maintenance on the River Shannon is causing on a day to day basis to many families along the river, and that will be compounded when it impacts on the tourism industry. Do we have to wait until then before action is taken? The maintenance of the river has to be undertaken now, not in five years' time when the tourism market on the River Shannon is on the brink of collapse.

Another problem with regard to midland counties such as Roscommon is the lack of adequate accommodation. I know of one guesthouse owner who could bring over a busload of anglers every week during the fishing season but there is no accommodation available for them. The decision taken in the budget to abolish tax incentives for hotels will have a detrimental impact on promoting and encouraging the development of facilities and accommodation in the midlands. I accept that the Minister for Finance may have an argument when he says that there is over-capacity in coastal counties and that there has been massive hotel development in places like Dublin and County Kerry. However, there is huge demand for accommodation and beds in the midlands and a special case should be made for regionalisation with regard to that tax incentive.

A precedent has been set in the context of tax incentives for the upper Shannon corridor but we need to encourage additional capacity in those counties. Deputy Parlon is the Minister of State at the Department of Finance and I ask him to look seriously at this. There is no point talking about the regional development of tourism if we do not have the necessary beds and quality accommodation available.

An amendment is planned. Some 56 new hotels will be included in that.

I accept that but I would like to know the location of those 56 hotels. I can guarantee the Minister that very few of them will be in the midlands, which endorses the point I am making. It is crucially important that issue is considered.

Infrastructure is vitally important to the development of tourism. The main arteries going into the west – the N5, N6 and even the N4 – are completely substandard roads for the volume of traffic on them. The N5 is the worst of the three and is nothing short of a glorified cart track. It is not able to cater for the existing volume of traffic and it is virtually impossible to encourage tourists to use such poor quality roads.

The rail network is in a similar condition. The television advertisements from Irish Rail say it is not there yet but it is getting there, and that there are 67 new carriages on the way for mainline rail. What Irish Rail fails to tell us is that those 67 new carriages are to replace existing carriages which will be taken out of service. No new capacity will be created by the new carriages for the development of tourism or for bringing people to and from the regions. It is a pointless exercise and while it is vitally important from a safety perspective that the new carriages arrive, there is no potential for new services to and from the regions.

The huge potential of the Atlantic corridor running from Sligo to Limerick to Rosslare port is a good example. It was recently suggested to me that some of the carriages being taken out of service should be refurbished and put on an Orient express type tourist attraction, as has been done in the UK and Europe. A train service should be run from Rosslare through to Sligo. It would bring tourists—

They could go on to Donegal.

They are welcome to go to Donegal afterwards and that will route will, I hope, be opened up.

We are still trying to get there, as the advertisement says.

With regard to foreign tourists hiring cars, up to 12% of accidents in Ireland involve such tourists. There has been lobbying on behalf of the driving on the left campaign which could help to save lives and to ensure that tourists are made more conscious that they have to drive on a different side of the road in this country. The Department should look at that issue. Proposals were brought before the committee with responsibility for tourism in the last Dáil and they have the potential to save many lives on Irish roads.

I am delighted to have an opportunity to contribute to this debate as the chair of the Oireachtas Committee on Arts, Sport, Tourism, Community, Rural and Gaeltacht Affairs, which is not a small title on its own. This is the second Bill to come under the committee's remit, as the Arts Bill has already come through. I welcome the fact that we are moving towards co-ordination because of all the complaints I have on the issue of tourism, the main one is that there are hundreds if not thousands of tourism organisations from village through to national level. They all call themselves tourism organisations but in many ways they are re-inventing the wheel. They do good work in their own right but a lot of money is wasted on administration and chairs, desks, computers and carpets. Many of the issues I would like to see addressed are duplicated while some that need to be dealt with are neglected. Anything that helps towards co-ordination must be important.

This Bill approves the creation of a National Tourism Development Authority to promote tourism within the State and the development of tourism facilities and services which will include training and human resource and marketing skills development, and it has to be welcomed. The Bill's primary purpose is to create the new authority and to merge Bord Fáilte and CERT to create Fáilte Ireland. Therefore, three organisations will still be promoting tourism for the island of Ireland – Fáilte Ireland, Tourism Ireland and the NITB. The ideal would be that one organisation would assume responsibility for all the issues involved and work as one entity. This is not a huge island. It has four regions, which might be called north, south, east and west, but it is strange to think that there will still be three organisations for promotion and marketing. The word I dislike most with regard to tourism is "marketing" because I think it is the most abused word, and I will explain why in my contribution.

Section 8 of the Bill states that the authority's functions will develop tourist traffic within and to the State. I hope that development will be literal in terms of product development. If there is to be product development, access must be the starting point or people will not get to Ireland. People access Dublin, Shannon, Cork and now Galway because there are flights to those areas, an improved road network and a train service that is being upgraded.

With regard to my area, I thank the current Administration because under the same two partners in Government in the last Administration, the Dublin to Derry air link was put in place which gave my region some chance of improved access. However, a train service from Dublin to Derry is awaited. If I arrived in Dublin as a tourist, I would not like to sit in a car for the five hours it takes to get through the traffic to my region. In any case, that journey should not take five hours because it is no further from Dublin than Cork or Limerick. It is also a better part of the country.

The problem of access has been exacerbated by the Troubles. With a more peaceful climate and the establishment of the Executive, I hope every effort will be made to improve relations and to consider my county as part of the north-west region. With a train service from Dublin to Belfast and from Belfast to Derry, there is no reason why a Dublin to Derry service should not also be provided to increase access to the region.

When I first entered this House, the Bus Éireann schedule book did not indicate on the accompanying map that it was possible to travel by bus to Malin Head. Surely the first place visitors want to reach in a country is the most northerly or southerly point. It took me a year to resolve this problem and the scheduled map now indicates the route to Malin Head. This illustrates a view consistently held in my county that it is not recognised unless somebody complains.

Bord Fáilte and the other agencies should ensure that each part of the country is given the same right of access and that there is the same interest in having it accessed. Sections 14 to 18, inclusive, dealing with the membership of the board, reveal a bias, albeit a positive one, in favour of nominees from the north-west who can become members. This bias should continue with the appointment of the statutory board to ensure the north-west is given a fair chance and an expanded role so that it has the opportunity to catch up with other regions. In this regard I agree with five year membership terms and the rotation of offices on the board. It will prevent board members from becoming too complacent.

Section 8 deals with the marketing and development of tourism facilities and services, including the recruitment, training, education and development of persons for the purpose of employment in the industry. The potential for tourism in my region has not even been touched on. Employment is very important and can be expanded by the tourism trade. The provision of good training by CERT is, therefore, welcome.

However, I continue to be amazed that hotels in my region, an area of high unemployment, are unable to recruit staff. While I do not strongly object to foreign workers in this area for whom work permits are sought, there is still an opportunity for us to value hotel work undertaken by Irish staff. Hotel staff are the first people tourists meet on arriving. In view of this, it is important that there are Irish staff in Irish hotels. It is a basic requirement because tourists rely on them. If they have a bad experience in a hotel or guesthouse it colours the rest of their holiday. Despite the fact that hotels in my region pay the minimum wage, and more, to acquire staff, it is not seen as employment people want to take up, although there are very successful CERT training courses and I have met people who are enthusiastic about the support they received on them. I still await a solution to this problem.

I agree with Deputy Naughten's comments on the grading of tourism accommodation. In the past few years, in excess of 20 hotels have been constructed in Dublin. If we continue to encourage people to go only to Dublin, as a place to visit or work, it will grind to a standstill. It is in the interests of all, including those inside and outside Dublin, to encourage people to go to other parts of the country. My region and some other locations have a deficit in terms of the variety of accommodation available. There is enough expertise in Bord Fáilte, CERT and the other agencies to address this problem. It does not require great study because there is enough material on which to work.

Section 24 provides for funding of €65 million to support enterprises and projects relating to the development of tourism traffic and the development and marketing of tourism facilities and services. While I am pleased that the legislation will be backed by financial resources to ensure that facilities are provided, I question the value of the recent allocation of €30 million to market holidaying at home.

Tour companies in my region have over the years brought busloads of tourists to local hotels once or twice a week. They run package holidays at cost price and while they do not provide a great deal of turnover for the hotels concerned, it keeps them open throughout the year and keeps their staff employed. It also means that tourists will buy drinks and souvenirs in the local pubs and shops. It is a way of keeping small towns and villages alive during the year. These companies tell me if they got a small amount of support with their marketing they could double the numbers they bring to their area. Instead, funding is diverted to activities, such as the marketing holidaying at home programme, which are of dubious use. Those who have a proven ability to bring people to a region should be supported by the relevant tourism organisation, which should ask them how they can be helped to expand their businesses.

I agree with the many complaints throughout the country that tourists are being exploited. I recently visited Galway for a race week and was advised to stay in a certain bed and breakfast establishment. When I asked the price of the room I was told it was beyond my reach, despite the fact that my BMW car was in the driveway. That is a damning indictment of the attitude by some to tourism in this country and we are in trouble if we do not address the problem. I stayed in a different bed and breakfast in the city which was much cheaper and I had a very good experience. Had I been a tourist arriving by chance I would have given serious consideration to not staying in the city. It is very serious when one is told it is beyond one's reach to stay in a bed and breakfast in Ireland.

The Special Olympics will be a huge tourism event.

I commend the people involved in the Special Olympics which will affect many towns throughout the country. They have done considerable work. They were looking for 30,000 volunteers and got 29,980, which is a great sign that volunteerism still exists. There will be a great opportunity for us to welcome people from all over the world and I know we will offer our hospitality. There is already €20 million in benefit in kind. The organisers were looking for €36 million to run the Special Olympics and they have collected €32 million already. The sponsorship of individual athletes, run by the Bank of Ireland, will mean that they will get the rest. I wish the Special Olympics well and hope it will have a long-term, positive impact on tourism.

We have a problem with our environmental image that needs to be dealt with. We need to deal with our litter problem and the fact that people are able to purchase cars that have failed their NCT tests, drive them around for a couple of days or weeks, burn them out and leave them as eyesores. The councils will have to get some support to get rid of the cars.

What image do we want to present? Is our country to be a place where people come and drink until they drop? Is the only positive thing visitors will say that they were able to drink tens of pints? It is grand to link alcohol with our image in some respects, but we seem to be creating an image of ourselves as people who drink until we are senseless and fall down. I enjoy a drink but we need to examine our drinking culture.

Who should we target? We should target more Irish people to attract them on weekend breaks. We will not necessarily get the sun worshipers for two-week holidays, because such people might want to go abroad, but there are people who are prepared to holiday for a long weekend if they get value for money.

I congratulate the Government on putting the car ferry from Magilligan to Greencastle into operation. It has carried 150,000 people in three months. That is what I call marketing. It should be emphasised that if one puts such a facility in place it markets itself. If people have a means of gaining access to a destination they will talk about it and come back and encourage others to come and we will not have to spend a penny on marketing. We will have to spend money on putting up a sign to say where the ferry route starts and ends and state in a brochure that a ferry is available. Spending considerable sums of money is not always necessary. We spent only £6,000 marketing our ferry, but that was after it was established. It sold itself. I would like to see a train route and more cruise liners coming into the Foyle.

We are not looking at our culture. We are not selling the concept of coming to Ireland to learn Irish, but we are selling the concept of coming to Ireland to learn English. We are not giving money to our local bands, which are folding up left, right and centre. It is proven in studies in other parts of the world that people will extend their holiday if their is a cultural event for them to participate in or attend. Therefore, if we gave a little money to our town and village bands, they would play during the tourist season and cause some excitement, thus adding another dimension to our tourism product.

In Donegal we have initiated links with Scotland in terms of putting ferries in operation and I hope that the links will be expanded. Our marketing should take Scotland into account and refer to Celtic holidays. Of all the ventures in Inishowen, golf has been a huge success. It is a golfing Mecca because the car ferry links to Portrush, Portstewart and Castlerock, and one can gain access to the courses around Letterkenny. The Inishowen peninsula has a vast array of golf courses and even Nick Faldo wanted to buy the one in Glashedy.

We still have an opportunity to develop horse racing. I would like to think the Minister will take an interest in it now that the sport is included under the arts and tourism brief. Salmon fishing is a pastime that we have not exploited sufficiently. We are working to allow it achieve its great potential. However, there are plans for a wind farm at the mouth of the Foyle and there is no evidence that it will not interfere with the major salmon fishery if it is situated in the proposed location. I do not want to lose a major fishery at the cost of getting 85 30-storey wind turbines. Everything has a place and there is a place for everything and I am not against green energy, but a balance needs to be struck when one considers the major salmon fishery. At the moment the balance is not in our favour.

The attractions in Inishowen include Malin Head, Grianán of Aileach, the Donagh Cross, St. Mura's burial ground, Cooley Cross, Greencastle Maritime Museum and the planetarium in Greencastle. We have and I hope we will continue to have a large fishing fleet in many of our ports around the coast of Inishowen. These attractions are only a drop in the ocean compared to what we have. We have so much to offer tourists if they get the chance and are encouraged to visit.

There is a vast array of opportunities for marine leisure that we are not yet utilising. Destinations like the Swilly need an overall management plan which will allow us examine commercial activities, aquaculture, angling and the kinds of people who want to go jet-skiing, windsurfing or swimming. We have massive potential but we are not looking at the industry in an holistic fashion. There is so much more we can say, and as chairperson of the committee I hope we will be able to account for what people are doing. I wish the new authority well.

I agree wholeheartedly with Deputy Keaveney. She was on the money when she spoke about some of the wasteful marketing in recent years. I have experience of leaflets sitting on desks, which cost an untold amount of money and brought few benefits. I congratulate the Deputy on her courage in raising that issue.

To declare an interest, I am still director of a company called Irish Cycling Safaris, which is involved in bringing tourists into the country. I founded the company 14 years ago. Therefore, I have had some experience of the tourism industry in those 14 years.

It is good to have the opportunity to outline my thoughts on this Bill. I welcome its main thrust, which involves the amalgamation of CERT and Bord Fáilte. It presents an opportunity for a complete review and fresh start in respect of tourism policy. We should not be under any illusion that we need a complete review and a fresh start. My colleague, Deputy Gogarty, highlighted a key point yesterday on which people did not pick up. Tourism figures are showing a 3% drop in visitor numbers – I am open to correction. The key figure to which the Deputy pointed, which I also read in the papers, is that we are also seeing a 20% decrease in the average length of stay of particular visitors in recent years. This represents a 20% drop in the benefit and money accruing from tourism. That is indicative of a serious problem in the industry.

Perhaps it is a law of nature that countries that enjoy huge success in terms of tourism undergo an inevitable cycle. There is no doubt that our tourism industry over the past 14 or 15 years has been phenomenally successful. We have seen unprecedented growth from the late 1980s through to the early and mid-1990s. Perhaps success in this case breeds failure because there is no doubt that it, combined with the massive increase in numbers, put certain locations under too much stress. They received too many visitors in small areas and the quality of the welcome and the ser vice decreased and the price of the service increased dramatically. Perhaps it is a law of nature that certain areas become popular, but their very popularity destroys some of the qualities they are selling.

We should not be fatalistic and accept that trend or the deterioration in the quality of our welcome. The industry has been very aware of that and has been very keen to change it. I hope the State will row in to review the procedures and structures in the industry to try to undo the trend of poorer quality.

Irish tourism has a great deal to offer internationally and we remain competitive in many ways. In my experience, the level of quality accommodation has improved dramatically over the past 15 years and is something of which we can still be proud. We have many excellent people who provide a very good and welcoming service. The quality of our food has improved in recent years though it is incredibly expensive and we are in severe danger of pricing ourselves out of the market. While our scenery is very beautiful, developments in terms of the extensive road network, one-off rural housing and agricultural pollution of our waters constitute a range of changes which are chipping away at the strengths and attractiveness of our environment. There is no one feature to which one can point that is synonymous with the loss of the quality of the environment. That quality is lost when a series of small events erode it until you go beyond the point at which a location is interesting to visit. That is a danger and we must tackle environmental issues to protect our tourism industry.

I would like to see the new body attend particularly to matters in two areas, one of which is product development. The Bill is broadly worded and you could take anything from it. It grants authority to the Minister, the chief executive and members of the authority to implement key sections, in this case section 8 which provides for marketing and product development. One of the real failings of our tourism policy has been a concentration on marketing at the expense of product development. We should have concentrated on providing the products to support marketing. It is unfortunate that Bord Fáilte which was strong in product development and active in registration and monitoring of accommodation was discouraged in this area. From the late 1980s and early 1990s Bord Fáilte was driven towards being a marketing agency purely, but no agency has replaced it in terms of product development. Private companies were brought in to monitor accommodation, but that did not work as effectively as having a State agency do it.

Product development is fragmented and unco-ordinated, which is something I am keen to see the new authority address. It should be a central State authority which directs investment and the development of our tourism products. Deputy Keaveney was absolutely correct to say that marketing is self-defeating in the long run if it is not based on proper product development in terms of the welcome we provide and our tourism infrastructure. If we sell something we do not have, customers will know and the word will get out. In that case, no matter how much marketing we do, we will fail to convince tourists to visit this country.

I have personal experience of lack of product development. I ran a cycling holiday company which brought in between 2,000 and 3,000 people per year. This significant industry has gone through very difficult times recently and many of the companies involved have left. This is not so much due to a lack of popularity of cycling, but a range of different reasons. The increasing traffic on our roads is making it more difficult to find good routes although we still have plenty of quiet back roads which can be used. We need to develop those back roads as alternative cycling routes through tourist areas.

That idea became very popular in the mid-1990s when I worked with others to develop a national cycle network which would largely be based on the provision of signage in key locations. The city of Galway is now impossible to cycle out of in safety. The Barna, Headford and Oranmore roads are very dangerous and fast moving, but ten or 15 years ago I could regularly bring groups straight to them from the city centre which was a lovely experience. We need to develop safer routes out of Galway, Killarney, Limerick and other important tourist points. There is a fantastic national park on the edge of Killarney, but it is very difficult to cycle from the town centre to it. It is an amazing place which we are not using.

When trying to develop the national cycle network I went to the United Kingdom with a number of others where we visited Sustrans which has valuable experience in this area. We asked the charity to help us with a joint report on how to develop a network in Ireland and it agreed. In 1997 I presented to Bord Fáilte and the Minister's Department a very short report arguing the merits of investing in a national cycle network to make use of our assets. Ireland is one of the world's leading cycling destinations and this high value business brings in customers who spend €3,000 to €4,000 per week. They do not want to be stuck in traffic or feel endangered while they are spending that much money.

The report has languished since then and I have gone back and asked every second year whether there have been developments. I was told that a cycle network was included as a priority in the national development plan and that money was available from Europe within the €100 million budget for tourist development. I was told that we were running into difficulties with Europe and that there was a conflict with the European Commission in terms of how money had been used in the past in this State to develop private rather than public facilities. A long delay in the allocation of funding resulted. I admit that I should have gone back to push it again and again, but it is the job of the State to develop the network. I worked as a private operator and it was not my job to build public facilities. Five or six years on not one penny has been spent and the project is no closer to inception let alone completion, even though we are half way through the national development plan.

We are missing a huge opportunity while all our competitors are putting facilities in place. France, Germany, Italy and Austria are the other leading international destinations for cycling tourism and they have developed national routes and produced brochures with great maps which explain where you can go and how safe it is to do so. We have not done that. I feel very strongly about this missed opportunity and this failure to ensure product development. No matter how much we advertise Ireland as a green destination, if we do not back it up with the facilities in question, customers will decide to go to the Loire Valley instead or to cycle down the Danube. They are not stupid. They will not go to Galway or Kerry, let alone Roscommon or Carlow or wherever else we hope to attract tourists.

It is the small things which chip away at the quality of the experience, but which are very easy for a national board to address. We have a plethora of signage and it is the duty of the tourist board to make it easier for visitors to get about. If you get off the Tarbert ferry at Killimer you are faced with a wall of 20 or 30 different signs for various bed and breakfast accommodations. It litters the environment visually and provides no clear indication to tourists as to how to get to accommodation or other facilities. We need a central authority to tackle this because, unfortunately, local authorities do not seem to be able to do it. There has to be a common thread across the country that tourists can pick up on to better understand where to go and how to find amenities.

The Minister of State will remember well the huge controversy we have had about how to develop our heritage industry. Do we develop large heritage sites or other facilities? I advocate very much the development of small, quality sites rather than large heritage centres. If one visits a Celtic or monastic site, having 400 or 500 other people there at the same time takes away from the special quality of the occasion. I would like to see tourists being dispersed as much as possible throughout the country to visit the plethora of interesting historical sites that exist. In order to do that, however, we need a good map of such sites as well as a good local structure, including small parking bays for two or three cars near stone circles and other such locations. The provision of such amenities would have to be co-ordinated nationally, with a plan for providing proper access to our heritage sites. It is not good enough to leave it to the Office of Public Works to put a fógra or notice which provides no information for visitors, such as access details or other arrangements. It should be the job of the new authority to develop a clear strategy for the clever use of heritage sites. I am disappointed that the Bill, as published, gives no indication about that kind of thinking but is, instead, very general. It states that the board shall develop marketing, product and tourism facilities but it provides no sense of direction as to how that can be done.

I could cite a whole range of product areas in this regard. Deputy Naughten made a valid point about the huge investment required to promote angling and protect our rivers. Without that product development issue being taken into consideration, however, we will not continue to attract anglers, whereas with it we will hardly need to advertise the facilities. The Acting Chairman, Deputy McGinley, will know of areas in his own constituency that once boasted fantastic salmon rivers and lakes – in the Bunbeg area, for example, and elsewhere. On a recent visit to Donegal I was told that one lake in the Poisoned Glen area contained only 50 salmon last year compared to thousands in previous years. Unless we develop that lake by restocking it, we will never attract visiting anglers there. If there were 50,000 salmon in the lake instead of 50 it would not have to be advertised because people would come from all over the world in huge numbers, even in the lashing rain of mid-winter. That issue has everything to do with the new tourism development authority and I want to see it engaging in this sort of work, although I do not get any sense from the Bill that it will do so. Perhaps the Bill can be amended on Committee Stage to include such a provision.

Visitors seeking special interest tourism products, including angling, walking and cycling in which I am engaged, will come here in good times and bad. They are less inclined to be scared away by terrorist threats. Even if Ireland in general goes out of fashion, salmon fishing will remain the chosen pursuit of some anglers. In addition, outdoor pursuits such as walking and cycling are more likely to remain in fashion in an economic downturn. Therefore, even if we are going through a product lifecycle where Ireland may be, for a period, out of fashion as a general tourist destination, we can hold onto high value, high quality tourists who will return if we develop our special interest areas. Product development is the correct tourism strategy for this country, rather than going for the large volume, low value market where we will be fighting an uphill battle. The international perception is that Ireland is an expensive destination and the welcome is not what it was. Some visitors may choose other locations from among the many competing destinations around the world.

From personal experience I can back up what Deputy Keaveney said earlier. In promoting my own company, I have attended many international fairs which featured a small desk selling Ireland. One might be in a hall at a messe or trade fair in Germany with 300 or 400 stands all selling their tourism products. My experience has been that I have had to jostle for position with Bord Fáilte which is promoting Ireland, along with three or four regional tourism organisations producing brochures to sell particular areas in Ireland. To my mind, we were confusing the target audience because there were too many people marketing Ireland abroad. To take my own example of cycling and walking holidays, there might be seven or eight different flyers at a tourist fair, describing cycling holidays in the south east, north-west and the west. The people to whom we were selling were not thinking of Ireland in that way; they were thinking "Maybe I'll go to Patagonia this year, or maybe I'll go to Ireland". Therefore, they needed one good brochure selling Ireland as a destination – not a plethora of brochures selling particular areas of the country.

We have allowed a tier of regional tourism development boards to develop, which in many cases do some very good work, although I would like to see them concentrating on product development work since they should have the relevant local knowledge. I am not too sure, however, that those boards should be adding their voices to a central tourist authority when it comes to international marketing because that only confuses people, as well as being a wasteful duplication of resources.

There is no reference in the Bill as to how the local regional tourism authorities will relate to the new national tourism development authority. I understand that the regional authorities have to be subservient to the central authority, but that has not been clear in the past five or ten years. There is often much confusion as to where the real authority lies or from where funding emanates. The new authority should comprise an amalgamation of what is good in both the public and private sectors. I do not know how the Minister will achieve it but I would encourage him to provide a staffing structure for Bord Fáilte whereby people can transfer between the industry to the new national tourism development authority. In that way the new authority will not become a fixed, rigid structure with the private sector operating on the one hand and the State on the other. There needs to be a flow of staff from one to the other so that good ideas can be shared.

I would beseech the Minister, who has huge power in appointing all 12 members to the board of the new authority, to put a spread of people in and not just the standard, big business representatives. I was going to say single, white males but we do not have many of those. A spread of interests among board members would create a diversity of opinion from people involved in a range of interests, including the environment and consumer affairs. The board would not just be reflective of the tourism industry, therefore, but would provide a broad range of directions for the new authority which is very welcome.

I welcome the National Tourism Development Authority Bill which provides the House with an opportunity to discuss the country's overall tourism product as well as highlighting some development issues from the local, regional and national perspectives. I have listened carefully to the debate and I note that many speakers, while dealing with national issues concerning the legislation, have also mentioned the desirability of developing local and regional attractions in their areas. That is what has happened with regard to tourism funding. Up to now we have had a number of national bodies, including Bord Fáilte and CERT, in addition to local tourism organisations. Local authorities have subscribed to those local organisations which have been successful to a certain degree. We continue to increase our numbers as well as attracting people from other parts, who would not normally visit this country.

Given the challenges posed by developing markets in attracting holidaymakers world-wide, we need to sharpen our focus and our tourism product generally. The Bill will sharpen that focus in establishing the board of the new authority and determining how we are to deal with existing tourism structures. Members of the new board should be drawn widely from the industry and beyond. We need new thinking in the authority, including a new commercial approach and new blood in the industry to bring us into the next phase of developing the tourism product nationally. This should be done while not forgetting the successful foundation work that has been contributed to date by the other organisations. We are talking about marketing Ireland as a product and we will have to determine exactly what that means. Ireland has to be marketed as a quality destination which is constantly competing with other destinations offering sun, sea and sand. That is what seems to be happening in the marketplace. We have a good product but we are not considering the full picture; we are not placing sufficient emphasis on this country's physical attributes.

Many speakers in the debate have referred to recreational pursuits such as fishing, hunting, riding and shooting, which form part of our tourism industry but we have not done enough to market those products abroad. We need to examine how we can develop each of those activities. Mount Juliet in Kilkenny is an example from the private sector where investors have been willing to build on a product which offers fishing, shooting and riding in addition to golf. We need to provide more assistance to those who are willing to help us in the national effort to attract visitors for such activities.

Alongside such considerations, we must pay more attention to protecting the environment. Ireland is seen abroad as a place with a green image where one can relax and, despite the weather, enjoy a range of activities in the comfortable surroundings of quality hotels or bed and breakfast establishments. I am concerned, however, about the cead míle fáilte upon which we built our tourism product. Visiting hotels, guest houses and restaurants one can see that the welcome has deteriorated. CERT was involved in this area but the new authority will have to focus its attention on this aspect. Many tourists now complain about how they are being treated throughout the country, although only a small minority of operators fail to provide the standards to which people have become accustomed. The new authority will have to address standards in hotels, B&Bs and other tourist locations. In recent years, concerns have been expressed within the industry about how tourists are treated on arrival here. Much more needs to be done to improve the skills of staff who are dealing directly with tourists. The economic upturn has made it difficult to recruit staff for the tourism sector and, therefore, it has become even harder to persuade owners of tourism premises to allow their staff to undertake further training. It is also difficult to provide staff continuity, thus maintaining the skills and standards in tourism establishments. The new authority faces a huge challenge so funding will have to be forthcoming in order for it to ensure that courses are made available to tourism industry employees who will be properly trained to meet and greet visitors.

Many tourists travel from county to county visiting flagship national monuments which have been restored by the Office of Public Works or, more recently, Dúchas. Hundreds of sites, however, have not been properly restored and are not properly presented to tourists. For example, Kilkenny Castle is extremely busy even in off-peak visiting times. A huge investment has been made there and it attracts large numbers of tourists, yet there are tapestries wrapped in plastic in the castle's stores which cannot be seen by anyone. These should be brought out and presented for public view.

Similarly, there are many old documents concerning the history of Kilkenny Corporation and Borough Council that should be properly presented because they would be of interest to tourists but funding is not available to do that. Funding is needed to present local tourism products to the public. It that were done, visitors might stay longer to see more of the country and they would better understand our heritage.

The new authority will have to examine how heritage sites are managed. Currently they are managed through Dúchas and I do not intend my remarks to be a reflection on that agency's management structure. A new commercialism is required in that area, perhaps featuring a new management model to examine best practice as regards how historic sites are presented in other European countries. In that way the authority will be able to make accurate commercial decisions on how best to present flagship monuments throughout the country. The time has come for change in that area.

Recently, I read a newspaper article about measures that are being taken to privatise the Coliseum in Rome. I am not saying that we should begin to privatise our heritage sites but that example from Italy only goes to show that initiatives are being taken to change existing tourism management structures across Europe in order to present tourism products in a different way. These steps are aimed at ensuring that as much revenue as possible is earned for the upkeep of such famous monuments. The new national tourism development authority will have to examine the commercial aspects of our national heritage sites.

There are sites that have not been restored and I cannot imagine that the new authority will look at the overall picture without also considering what exactly tourists look for when visiting this country. Some sort of consultative process will be required between Dúchas and the new authority in order to ensure that heritage sites which are not publicly accessible will be developed to attract tourists. Such measures will help to promote tourism throughout the country. The restoration plans for such sites should dovetail with the new authority's objectives. I have seen very little such movement in recent years, however.

I can list a number of monuments in my own county which could prove to be huge attractions for visitors. In fact, they currently attract tourists even though no money has been spent on them. Grangefertagh tower, for example, is an excellent location for visitors who are interested in our historical attractions. I have suggested that Dúchas should improve locations such as Maudlin Castle in Maudlin Street, which could easily be roofed to become a museum housing artefacts of interests to tourists. St. Mary's Church in Kilkenny is an extremely important site, yet no money has been spent on it and it is falling into disrepair. The monument and graves around it are being broken and vandalised and nothing has been done. When thousands of people visit the castle they miss an extraordinary building called the Hole in the Wall which is off High Street in Kilkenny. Ways and means must be found to make these very interesting sites open and available to the tourist. There is a great view from Tullaherin tower but it is not open to the public either. A common sight at all these unrestored monuments is a "no entry" sign and scaffolding surrounding the buildings. I cannot understand why we do not concentrate finances in a number of these sites, move through them meticulously and finish the restoration work so that tourists can safely visit them.

There are many local products which could be developed. There is interest from the United States in the coal-mining area of Laois-Offaly-north Kilkenny and this could be developed. I hope the board will engage with the other agencies that are funding products such as this to ensure they are dovetailed with the board's objectives.

Kells priory is a local initiative about which I have always been concerned. It is the oldest mon astic site in Europe and was allocated €300,000 in 1999.

It was before that, it was in 1995.

There is little activity at the site. I continue to pressurise the Minister to ensure restoration work begins on the site.

The Deputy has failed. I delivered the money and the Deputy failed to deliver.

It is a disgrace to see it falling down. Deputy Hogan was there for 15 years before me and he failed miserably, not only on that but on many other projects that were in his care. The Deputy did nothing for 15 years and his record does not stand up to scrutiny very well either.

The Deputy failed to deliver.

I wish to draw the Deputy's attention to the fact that the sculpture at Kells is a huge attraction—

It is a monument to the Deputy's failure.

Over 10,000 to 15,000 people visit that site in a two-week period and I believe that such a number of people would not be seen in IMMA over many months. Artists such as Barry Flanagan, Elizabeth Frink, Lynn Chadwick, Peter Randall Page and 20 other emerging Irish artists have been exhibited over the past years but the site still failed to obtain a grant of €10,000 from the Arts Council this year although the British Arts Council has provided support to the tune of € 3,000 to €4,000 for each year of the exhibition. This is an example of a local community taking the initiative by presenting a serious monument in its care and matching it to art and culture. This is not dumbed-down art because these are fine, leading edge artists who are universally recognised. They looked at Kells and made the decision to participate in the event. It has become a tourist attraction as a result. Now when people come to Kilkenny Castle for the opening of Kilkenny Arts Week they will automatically visit Kells to see not only the historic site but also the exhibition which now has a reputation for showing art of high quality which can be easily appreciated. That project has helped to bring art to the people and ordinary people can now appreciate the work of those leading figures. The 20 emerging Irish artists are given the opportunity to exhibit with leading artists. It was a huge blow to that local community when the money was not allocated to them. Of course, that will not put a stop to the local initiative and I am glad to say it will continue and I give it my support and will continue my involvement with it.

A number of arts festivals are held throughout the country, including the Kilkenny festival, and I am pleased they were allocated special funding by way of a different fund. The Kilkenny festival attracts huge numbers of visitors. It gives the local community an opportunity to express itself through art and music, for example. It is a festival in which the local community can participate and which develops an appreciation of the arts.

It is important to take into consideration the presentation of festivals, in particular the parades on Saint Patrick's Day. That day is our opportunity to market ourselves through television to a world-wide audience. It is important to invest in those festivals and ensure that local culture and heritage and, for example, local bands, would be kept alive. A small amount of money would give a lease of life to these local ventures.

Any tourist who leaves Ireland satisfied with his or her holiday could be regarded as a voluntary salesperson for the country. We should remember that when we are making decisions relating to tourism. I visited New York last year and met the people working for Bord Fáilte. I understand the challenges they face in encouraging visitors to come to Ireland rather than other places. We must do everything possible to promote the country and to show it as a green, informal and enjoyable place for a holiday. That links back to local communities and local festivals and local support for our culture and heritage. We are dealing with a niche market and we must make the investment in tourism on that basis. I commend the Bill to the House and I hope that the members of that authority will look beyond their own body to see how other State agencies are funded and how they contribute to tourism. This industry will face a huge challenge in the coming years.

Aontaím leis an mBille atá os comhair an Tí inniú. I welcome this Bill which seeks to amalgamate two agencies, Bord Fáilte and CERT, which have given outstanding service to the development and quality of the product. We do not give much attention to CERT in this House even though it has been in existence since 1963. It has educated many employees in the tourism business both at home and abroad. The most important people in any tourism business are the staff. Many CERT-trained staff have worked abroad and then return as successful managers of hotel developments in particular. I favour the amalgamation of both organisations. It is a logical step to bring the staff of a very successful organisation such as CERT into the front line of the maintenance of high standards of service and expertise and quality of delivery of the food product.

Like Deputy McGuinness I represent the constituency of Carlow-Kilkenny. The tourism industry is one of the biggest employers in Kilkenny. People often forget that it has such a major impact on so many livelihoods. There are 15 hotels in Kilkenny city, 11 of which have been built within the last ten years. The person who started the ball rolling in relation to expanding the quality of the product was the late Bobby Kerr of Newpark Hotel in Kilkenny. The hotel, which was built in 1966, has developed a reputation second to none. The directors took a big risk and made a large investment to ensure that it was best placed to take advantage of conference and convention events as well as the normal functions any hotel development would have. The atmosphere generated there by the late Mr. Kerr and his fellow directors was more like that of a family home than an hotel.

There are 19 high quality restaurants in Kilkenny City. Despite the fall off in tourism numbers in many parts of the country, Kilkenny seems fortunate to be able to maintain its numbers. That is possibly because of its proximity to the capital and the excellent product offered throughout the year in terms of hotel, leisure, golfing and other activities. Even in winter we are fortunate to be able to attract many events and visitors. Some come for late night activities while others come for sporting and leisure activities. Our product seems to be attractive to visitors, particularly those from the Dublin area. There is a big spin-off for agricultural production and marketing in the general hinterland of Kilkenny which is often overlooked. A huge amount of money is being recycled in the local economy through tourism and that is probably the most important element of the tourism product.

This signals the need for State involvement. We often spend enormous amounts of money through statutory bodies such as the IDA trying to bring overseas investment into the country when we already have a tourism product here with which we could do a great deal more with imagination and product development. Often we depend on private investors or the local community to come up with ideas and we wait for people with good ideas to come forward to Bord Fáilte or some other statutory body for assistance.

State agencies should have a more pro-active approach. They should develop more proposals and seek investment from local, national and international people to develop the product in areas suitable for tourism development. We often react to events rather than being pro-active in developing niche tourism products. Whether in Cork, Carlow or Kilkenny the advantages we have should be exploited and we should promote investment by people who have made money over the years. Many of these would like to invest in an imaginative way but should be given some support from the State to do so.

It was a mistake in the budget to reduce the measures relating to capital allowances. This will result in a deteriorating level of investment in pubs and in product development in regard to hotels, catering and guest houses. People who know our bedroom capacity is not as high as it could be and who want to invest in our tourism product are now having a rethink because of this budget measure. I urge the Minister for Finance to look at this issue again in the context of the Finance Bill. He should look at tourism as an indigenous product in which people would like to invest if they got some tax incentive to do so.

Tourism affects all of us but not all of us realise the importance of the product. It is crucial that we protect our environment and have clean air and water. All Departments must help the National Tourism Development Authority to achieve those objectives and to ensure that nothing is done to damage our environment, our landscape or the quality of the infrastructural measures needed to sustain tourists. For example, the Department of Agriculture and Food proposals concerning the nitrate directive or the expansion of the REPS scheme are crucial not only to the welfare of agriculture and farmers but to the overall protection of our environment. Assistance from Departments would help those involved in farming to sustain themselves and would also be part of a wider package of measures needed to keep our environment pleasing to tourists.

Insurance is a huge issue in regard to land owners who would like to offer greater access to their land. The people of rural Ireland welcome visitors. They like to see opportunities made available for forest or established walks but they have not the capacity to open many of these areas to the public because of the insurance issue. The Department of Enterprise, Trade and Employment has a role to play in this issue to help the National Tourism Development Authority. There are cross cutting issues relating to tourism that are affected by the activity or lack of activity of other Departments. Insurance is one of those issues.

Dúchas is an unsatisfactory organisation in the delivery of its expenditure and product. There are many examples of where money has been allocated but not spent. In 1995 the Augustinian priory in Kells, County Kilkenny, had money allocated to it under the operational programme on heritage but eight years later that money has not been spent. It would not happen in the private sector. Eight years later there is nothing to see but a room in this beautiful village which is a spin-off location for visitors to Kilkenny City. The priory has a great deal of history attached and is an important national monument. Nobody in Dúchas seems to care or show responsibility or accountability for money allocated eight years ago.

It is frustrating for public representatives to have the House delegate authority to a statutory body such as Dúchas which is then not answerable to any Deputy or Minister. The Minister must be more pro-active in dealing with organisations like Dúchas which is at arms length from everybody. It seems to be a law unto itself. It is not acceptable that proposals for places such as Grace's chapel in my parish of Tullaroan or proposals advanced years ago for the development of a coal mining museum in Castlecomer or any other issue should be shelved. Dúchas seems to be doing its own thing in an unaccountable fashion and nobody at national level is ensuring that the good programmes are properly implemented as outlined in the programmes published every five years under the development plan. I would appreciate it if the Minister expressed my concerns to Dúchas.

Tidy towns competitions, FÁS and local community groups are making improvements. It is a retrograde step to cut back on community employment schemes, which made a major contribution towards enhancing the tourism product. FÁS, through the community youth training programme, made a major contribution in my parish of Tullaroan through Brod Tullaroan, which is both a GAA museum and a heritage centre. Were it not for the activity of FÁS, this product, which is making a major contribution to the development of tourism in west Kilkenny, would not exist. The national tourism development authority needs to co-ordinate its role with other statutory bodies such as Dúchas and FÁS to ensure that nowhere is neglected in our efforts to develop tourism.

Our built heritage is of crucial importance. In the city of Kilkenny we are fortunate to have Kilkenny Castle, which has great drawing power for visitors from all over the country and further afield. Once people are in the city we need to give them ancillary tourism products. Some 350,000 visitors per annum come to Kilkenny and we need to be ready to take advantage of the fact that these people are already in the vicinity. We need to get them to stay overnight and to explore other parts of the county such as those I mentioned that are eight or ten miles out the road.

Castlecomer is one of the most neglected areas in my constituency. It has suffered a loss of jobs recently through the demise of Comerama. Tourism can potentially give back employment to this area and this matter should be considered. Otherwise, we have to spend an enormous amount of money trying to attract replacement jobs through IDA Ireland. There is a proposal at the moment in this regard that should be explored. The tourism authority would do well to look at some of these proposals to enhance the tourism product.

Will the Minister clarify some issues in regard to the Bill? There is no reference to the regional tourism organisations, although they have played a role in co-ordinating the effort between various counties and through local authorities. The South Eastern Regional Tourism Organisation Limited has done a reasonably good job. Flagship tourism destinations such as Kilkenny Castle, Waterford Glass, Ferrycarrig in Wexford and the Rock of Cashel are a Mecca for tourism in their respective counties and through imaginative programmes co-ordinated by the regional tourism organisations they have been able to maximise their potential. It would be a retrograde step if we did not continue to have this current level of co-ordination.

I hope the Minister will clarify the role of the regional tourism organisations and tourist offices vis-à-vis Bord Fáilte, particularly, given that they currently receive significant funding from it? The Bill is not specific in regard to the product, the staff and the relationship between RTOs and Bord Fáilte. Existing staff must, understandably, have concerns about the new structures and roles being developed in the area of tourism. The position needs to be spelled out as soon as possible.

There has been much talk about a national convention centre over the past ten years. It is believed that we are losing out on an enormous number of potential visitors. Various studies have been carried out by successive Ministers which confirm this, yet nothing has happened in regard to building a centre. The previous Minister, Deputy McDaid, talked the talk but, unfortunately, he did not walk the walk in delivering that product from EU funding. That money is probably no longer available.

On a number of occasions I proposed to him that we look at the building of regional convention centres. In the Minister's constituency a convention centre almost exists already with the number of hotels in Killarney, but I am sure it could do with another facility to enhance tourism through state-of-the-art facilities for the type of product on which we are currently supposed to be losing out in international terms. I propose Kilkenny as a suitable location for such a convention centre. There are sites available which would enhance the image of an existing tourism location by this value-added product through conferences and conventions.

I am sure the Minister has experience of constituents who are not so keen on the side-effects of potential new industries for their areas. They want an omelette without breaking eggs. They want to protect our heritage to the exclusion of certain industrial developments that might come into an area. Nobody would have a problem with the type of developments to which I am referring, which would be compatible with existing hotel and catering facilities in any area. Regional conference centres would help to dissipate the concentration of activity in the capital city, which is in line with the national spatial strategy where the objective is to move people out of the capital into the regions.

The area of angling has been referred to by previous speakers. We have to tackle the illegal activity that has been taking place for too long off our coast. We need to allow fish to come up the rivers. It is a sad reflection on our State that we turn a blind eye so often to the type of activity that goes on off our coast. Our fishery protection vessels must take a more proactive role in ensuring that in our estuaries, in particular, the law is enforced and fish can come up rivers such as the Nore, the Suir and the Barrow in the south-east so that those who go fishing will not come home disappointed every day.

There are a number of challenges facing the tourism industry. I was surprised the Minister for Defence did not mention on the Order of Business this morning that even though we have €4 billion in tourism earnings it was a retrograde step to impose 1% VAT in the budget on the bottom-line profitability of our tourism sector. It is an indigenous sector that is doing well for employment and local communities at a time when we are under pressure in terms of costs and competitiveness, among other things. On too many occasions we have priced ourselves out of the market and if we continue to do so we will kill the goose that laid the golden egg.

The Ireland of the welcomes is not always evident and we need to look at both the attitudes of staff and the issue of law and order. The standard of signage is very poor in many parts of the country. There is an opportunity to redress some of the measures in regard to capital gains and capital allowances that will enhance the possibility of further investment by individuals who wish to develop the tourism potential in their localities. It is an indigenous resource that still has enormous potential for development, which is needed if we are to compete with other European destinations.

I welcome the Bill and give credit to the Minister for taking this initiative. I add my voice to that of the Deputies who have praised the great work done by Bord Fáilte and CERT over the years. Their trojan work for the tourism industry has sometimes gone unnoticed.

My constituency is similar to that of the Minister in that it is hugely dependent on tourism. The area has many small farmers and fishermen who supplement their income with tourism activities. Tourism is an important industry in this country, one which has been growing rapidly in recent years. I have no doubt tourism will surpass agriculture and fishing in its value to the economy in many areas of rural Ireland on the west and south-west coast in time to come. Agriculture is changing rapidly and tourism is becoming more important.

In the western part of my constituency we do not have a sufficient number of hotels. I am delighted to note that there are advanced plans for a new hotel in Schull in west Cork. I believe development on it is to begin next year. This is an area close to the Minister's heart and one which badly needs an hotel. In the 1960s, PJ and Finbar Murphy had the foresight to build the West Lodge Hotel in Bantry. This has been a huge asset to the town and to the region and I acknowledge their initiative.

I was disappointed recently to hear that Bantry House is to close to visitors this year. Bantry House attracts between 40,000 and 50,000 visitors annually and is a major tourist attraction. It has wet weather facilities and is a wonderful asset in west Cork where we have our share of soft, wet days. I ask the Minister to take a hands-on approach to this matter and to see what can be done. I acknowledge that the House is in private ownership and that difficulties might present themselves but the loss of Bantry House to the region I represent would be like the loss of Muckross House to Killarney or the Rock of Cashel to County Tipperary. I am, therefore, concerned about this matter. Bantry House has considerable adjoining land and perhaps some of this could be sold. The owners of the house also own the foreshore rights to Bantry Bay. I will encourage the Department of Communications, Marine and Natural Resources to buy out these rights in order to throw a financial lifeline to Bantry House. I hope this is a temporary glitch and that whatever is necessary will be done to ensure that the house re-opens next year. The significance of Bantry House to tourism providers in the region is enormous. We cannot walk away from this problem and I urge the Minister to look closely at it.

The Martello tower on Garinish Island has been closed to the public for the past two years. The tower, which is one of the salient features of the island, has been closed for safety reasons. I looked at the tower last year and I am convinced that it could be made safely accessible to the public. It is one of the jewels in the crown of the region.

I compliment the Minister and the various tourism organisations on the amount of money spent in developing tourism in west Cork. Mizen Vision, for example, is widely supported, it attracts numerous tourists and is a huge success. Leader invested considerable money in this project and I acknowledge that.

Hill walking has become a successful aspect of tourism in Cork and other counties, such as Kerry, Clare and Mayo. Hill walking in Ireland has a greater number of participants than golf. I am an admirer of all sports but I have never been a great golfer. I have had more success with a hurley although I am not very good at that game either. Much economic benefit could be achieved through the promotion of hill walking throughout the country. In my area there are two registered tourist walks. I was closely involved with the development of the Sheep's Head walk. It took two or three years to get the project up and running. We negotiated with local farmers and commonage holders, we sorted out the insurance issue with the help of Bord Fáilte and there was also county council involvement.

In the adjoining Beara peninsula there is currently an impasse, about which I am concerned. The farming community is at loggerheads with the tourism organisations and many of the walks on the peninsula have been closed. A top-up REPS grant was promised to land owners who allowed tourists to walk through their land in a safe manner. I ask the Minister to discuss this matter with the Ministers for Agriculture and Food and Community, Gaeltacht and Rural Affairs to see if this problem can be rectified. Closing these walks is a huge blow to the economy of these regions. Much money and local effort have been put into developing these walks. There was considerable consultation with the farmers and the local community and walks are a wonderful attraction. When I occasionally walk a few kilometres across these hills on a Saturday or Sunday I am amazed at the number of people I meet using these facilities. Walking is one of the healthiest exercises we can have and is very inexpensive. It should be encouraged particularly as the Department of Health and Children is constantly looking for ways to cut our health care bills. Hill walks have been a fantastic success. If the impasse that has arisen in the Beara peninsula is not resolved it will have a knock-on effect in other areas in west Cork, Kerry and further afield. That would be a pity.

A previous speaker referred to criticism of Dúchas. I am not in a position to criticise Dúchas but I ask the Minister to consider one or two matters. We had an unhappy experience at the Warren beach near Clonakilty and Roscarbery where the presence of a sea pea colony prevented the funding or works to prevent coastal erosion. The sea pea have apparently left but meanwhile many of the sand dunes and much of the local pitch and putt course has been washed away. It is necessary to break shells in order to scramble eggs. In this instance I was disappointed with the approach taken by Dúchas. Funding has now been put in place by the Department of Communications, Marine and Natural Resources to put groynes in place to stop further erosion. The Warren beach is a huge asset to the area.

There is a notion abroad that Dúchas is an independent body which is not accountable to anyone. I ask the Minister examine the principle of corporate governance. I have come across this idea in my work with the all-party committee on the Constitution and it is being modelled on what the Department of Finance is doing. The idea of corporate governance and accountability might be broadened to other Departments. The Minister might consider this idea.

We are used to hearing of Bord Fáilte and CERT and we will be sorry to see those names going. Nevertheless, I support the thrust of what the Minister is doing. The new National Tourism Development Authority will be a major asset. I have no doubt the Minister will achieve a major success and will benefit Irish tourism.

I hope the situation in Iraq will be safely concluded and that American tourists will continue to come to Ireland. American tourists are hugely important in west Cork as well as in places such as Killarney, Dingle, Parknasilla and Kenmare in the Minister's constituency. When the international situation stabilises we must redouble our efforts to attract American and Canadian tourists. We need tourists from all areas but American tourists are a huge part of the Irish market. When the world settles down I hope this market will be rejuvenated.

I am delighted to follow my colleague in complimenting the Minister on bringing forward this very important Bill.

In his speech on Second Stage the Minister set out the importance of the foreign earnings of the tourism industry to Ireland. The economy earns approximately €4 billion from foreign tourists and €1.2 billion from domestic tourists. That is a huge amount of money and a good deal of income. It behoves all of us to work hard to ensure the tourist market increases and that Ireland holds its own on the international stage of tourism. We have to acknowledge openly that there are more competitors for those tourists' dollars, euros or whatever. More countries recognise the value of foreign tourist earnings and have entered the market. Since the fall of the Iron Curtain, countries such as Poland with Warsaw and Cracow; Hungary with Budapest, the Czech Republic with Prague – beautiful cities which are well worth visiting – are competing. We have to ensure our product is up to the same standard or higher so that customers not only come to Ireland but return here. That is very much part of the Minister's strategy. It is no use having a customer once, we want them to come to Ireland again and again.

I was dismayed by some of the contributions from our Green colleagues who appeared to totally denigrate the Irish tourist product but given that they supported people attacking aircraft with hatchets, it is not surprising. Be that as it may, tourism is very important. The basic strategy of dividing the two tourism functions, the marketing function from the product function, is the way to go. As I understand the strategy, Tourism Ireland will market Ireland as a tourist destination on a national basis, North and South, and will focus exclusively on bringing tourists to Ireland, where the National Tourism Development Authority, which will combine the internal functions of Bord Fáilte and CERT, will bring the product up to standard.

We have some of the finest ingredients of the tourism industry anywhere in the world. We still have very friendly people, beautiful scenery, ancient history and monuments and a relatively green environment compared with many other countries. With those positive ingredients the challenge for us is to ensure that the tourist who comes to Ireland has an enjoyable experience. I hope the authority will be proactive along with all the State agencies and local authorities in regard to those who come to Ireland. For somebody coming off the ferry we should make sure the signage is good and in different languages, that the roads are good and that people have easy access to information on the web, through leaflets and pamphlets.

I have raised the issue of clamping on many occasions with my local authority, Dublin City Council. Is there anything more negative than the clamping of a tourist's car? Tourists may be in breach of parking regulations of which they are not aware. We should ensure the parking regulations in our cities and towns are shown in different languages to ensure tourists' cars are not clamped. We must work hard to ensure bona fide tourists have an enjoyable experience and do not encounter such negative aspects.

Integrated ticketing between all our public transport facilities is essential. We must also look at the products on offer. In the city of Dublin there are some marvellous products such as the National Museum; three great galleries, the National Gallery, the Museum of Modern Art and the Hugh Lane Gallery which has the permanent Francis Bacon exhibition, a treasure trove of paintings, and his original studio. We have a great music scene. We have a great pub scene and I do not apologise for saying that. It would be naive to think people would not enjoy the pub scene in Dublin. That is a plea for responsible enjoyment in drinking and not a plea for alcoholism. While we have to find a balance, it is part of our culture and I make no apologies for that. Part of the image of people who come to Ireland is that they will be able to mix in an enjoyable social atmosphere with music and so on. That is part of what the Irish marketing and tourist package should be.

We can do more in Dublin. While there are some moves afoot, we are badly in need of a convention centre and it should be a priority for the Minister. We are losing a great deal of business in Dublin because we have no major convention centre. I am pleased to learn the Abbey Theatre will be refurbished. In the long term, we should consider the possibility of an opera house. Dublin should have an opera festival like most capital cities. We also need a Dublin museum and some work has been done on starting such a museum in Stack A in the Customs House docks.

More could be done in regard to James Joyce and William Butler Yeats. A greater number of Nobel prizes for literature came out of Dublin and Ireland than anywhere else in the world. We should herald and be proud of that achievement. There should be some way of underlining our incredibly rich literary heritage. As Lord Mayor of Dublin in 2001-02, the first function at which I officiated was the opening of the James Joyce school in Newman House. I was flabbergasted that people from Japan, China, America, Korea, South America and all over the world wanted to learn and study the writings of James Joyce. He is recognised as one of the finest writers ever in the English language. We must do a little more work on marketing the huge literary aspect of the city of Dublin.

The Minister rightly pointed out that we also have to work on our competitiveness. That is the key issue. When people come to Ireland, they must get good value for money. That does not mean we should market Ireland at the bottom of the barrel. People do not expect something for nothing but they want value for money and a top quality product. We have some of the finest beef, fish and dairy produce in the world. The job for the National Tourism Development Authority is to ensure those products are available to the tourist on a value for money basis and to ensure there is a high standard of cuisine and service.

While much marketing research has been done, there should also be a proper complaints system for those who have not had a good experience in Ireland. I commend the Bill and thank the Mini ster for the energetic way in which he is reforming the tourism sector. I look forward to the future development of the industry in Ireland.

I, too, welcome the Bill and the fact that there will be more cohesion in the area of marketing and developing our tourist product and of ensuring excellence. I pay tribute to Bord Fáilte for the excellent work it has done down through the years in developing the tourist business which is of enormous benefit to the economy. The tourism industry employs 140,000 people and generates foreign exchange of €3 billion per year which is of enormous benefit to the State. We must protect it and ensure its further development. The Bill before the House is a step towards that end.

I pay tribute to CERT for its work in the area of training. We have some good people at the coal face of the industry but we must ensure they are also marketers for the industry. Those who serve in bars, restaurants and in the preparation of food and those interacting with tourists are our most important marketing people. We are beginning to hear from time to time that visitors do not receive the same welcome as they did in the past. I do not know how factual that is but we hear more comment in the media that we are less friendly and that we do not give the same welcome to tourists as we did in the past. That is a pity. CERT could intervene here by ensuring its trainees are fully aware of the need to be marketeers for the industry and that visitors are treated as they expect to be treated. It does not take a lot of effort to be nice to people. It should be part of the job description of a person at the coalface of the tourism industry.

In paying tribute to CERT, I understand there may be some industrial relations problems remaining in regard to the amalgamation of Bord Fáilte and CERT. I hope those problems will be dealt with and maybe the Minister will detail the situation in his reply. The one thing needed in both organisations is full and enthusiastic support for and acceptance of the merger so that they unite quickly and become a cohesive organisation to service the industry. Any difficulties in that area will create sluggishness at a time when one needs excellence.

I wish to turn to the west and south and what has happened there. Last year was not one of the best years for the west and south in terms of tourism. I understand that while the first six to seven months of the year were extremely bad, there was a pick-up in the latter five or six months from July onwards. That was a welcome trend, but there is a need to actively promote the west and south. The Dublin-Belfast axis is progressing and we have seen how the Dublin tourism trade has increased, especially since Shannon's status was changed. I welcome that change but we must be conscious of difficulties which have developed in the tourism industry in the west and south.

Much investment has gone into the tourism industry in those regions and the product is good. We need to place additional emphasis on the promotion of the west and south. I welcome the US Airways decision to fly to Shannon and Dublin from Philadelphia. It is, however, disappointing Ryanair has decided to reduce the Frankfurt-Shannon daily flight to a weekly one which is of no value. Ryanair knows its business and it is doing this for totally commercial reasons, and I suppose it is difficult to criticise that.

Another issue is how expensive Ireland is in comparison to other countries. It is becoming more expensive for tourists. Surveys of tourists refer more to how expensive it is. We are losing competitiveness in this area. As in the case of other industries, hotels and suppliers are being hit heavily by insurance costs. We go on about insurance in this House but it is time to take a serious look at how insurance has increased and at tackling the problems in this area. An increase of 40% – up to 200% in certain circumstances – in insurance costs in one year for hotels and so on is a crippling expense. Electricity costs have gone up by 14%.

An Leas-Cheann Comhairle

I am sorry to intervene but the Minister must be called at 1.45 p.m. to reply.

I wish to make a final point which applies more to local authorities than to tourist boards. Local authorities in most counties seem to have no interest in road signage which is shoddy because of age and is not maintained. If signage is broken or falls, it is not replaced. That is something which should be brought to the attention of local authorities.

I thank Members for their comments on the Bill and I appreciate the general support it has received in the House. This Bill provides the legislative framework for the proposed national tourism development authority. It is imperative that the authority is up and running by March. We must maintain the momentum we have established. The longer it takes to get the authority up and running, the greater the chance for organisational drift, and that is something I do not want. In addition, staff of the existing agencies and the industry will be faced with growing uncertainty unless the authority is up and running. In these times, such a situation would be particularly unhelpful for the industry.

It was said by many Members that tourism is a very broad field. The activities and influence of the authority will be wide-ranging. Members referred to several of the activities, strategies and orientations with which the authority will be concerned. While I agree with a lot of them, I do not believe it is appropriate to make detailed provision for all these in the legislation, especially in a tightly focused Bill such as this.

The authority will, as one of its first tasks, draft a mission and corporate plan. These will be informed by national tourism policy. The review of that policy is under way and Members will have the chance to have their say in that process. That mission and plan will no doubt address many issues which have been raised in both Houses. Some issues will be addressed by detailed regulations made by the authority and some may, if necessary and appropriate, be addressed by ministerial direction.

Members raised a number of points and I wish to respond to some of them. Before I do so, I associate myself with those Members who mentioned the great contribution made by Bord Fáilte and CERT over the years. It is right that we should place on the record our appreciation of the great work and achievements of these two organisations over the decades.

There has been much debate about competitiveness. There is a perception that something is wrong. In the tourism field, incidentally, perceptions are sometimes far more important than the reality, and I suppose the same is true of politics. It is word of mouth, as Members said, which gets much of the business and which loses the business as well. The message is clear. This issue is not about prices, it is about value for money. A visitor can pay €100 for a meal and be well satisfied. The same visitor can pay €20 for a meal and be less than satisfied. We need to deliver value for money and we need to be perceived as delivering value for money. That is the issue and, if I may say so, the challenge.

Government may have a role in dealing with this but it is primarily a matter for the industry. To be fair to the industry, there is good value for money. I recently launched the Discover Ireland brochure which contains good deals and I urge people to avail of them.

The industry would argue that it is under increasing pressure in the area of costs and this must be borne in mind during our debate. Many Members have mentioned this and I would be foolish to deny there are significant cost issues for the sector. Nevertheless, any operator in any sector who is under cost pressure must see if he or she can manage the cost base better.

It is easy to say this but for the operators in the field who are under increasing stress and pressure, it is not always easy to see these things or even to know how to go about some of them. That is where the new authority could have a role to play. As some Deputies argued, the authority should consider working more closely with tourism operators, particularly the SMEs, to help them achieve efficiencies and to organise themselves to best exploit the opportunities available to them. That is the way to go.

I share many of the concerns expressed by Deputies in regard to insurance. Deputy Wall was particularly eloquent on the topic. My colleague, the Tánaiste, recently announced a package of proposals to tackle the issue. These include the establishment of a ministerial committee to oversee implementation of the reform programme, including publication of an action plan to implement the 67 recommendations in the Motor Insurance Advisory Board report within a target timeframe and the establishment of a personal injuries assessment board on an interim basis. If we are honest, we will recognise that there has been concern about insurance over the lifetime of several administrations. We know it will not be resolved overnight, but at least we now have a clear programme of action which has been set in train. I hope the authority will be able to make an input into the reform process from a tourism angle.

I accept the point made by many Deputies that we should attempt to spread the benefits of tourism growth beyond the honey pot areas and to build up areas with clear potential, or areas which may not be likely to emerge as major tourism centres, to assist niche tourism operators within these areas. That is the thrust of the Government's tourist product development policy. We have sought to give priority to the needs of some of the less developed areas and we have provided these areas with the opportunity to access funds. We have organised matters so that they receive favourable weighting. We have set up an independent decision-making mechanism and laid down clear transparent criteria. After that it is up to private operators, local authorities and communities to come up with quality proposals.

I am concerned to ensure that the scheme operates effectively and efficiently. Once we have gone through the first tranche, we may need to look at its promotion and administration. It will be a priority task for the new authority to look at the whole product development function which, given Bord Fáilte's focus on marketing, has been somewhat less than optimally resourced. On a general point, we must continuously up-date the nature and quality of our product to meet evolving consumer demands. These are issues the new authority can consider.

For an island, access, particularly air access, is of crucial importance. Many Deputies raised this issue. There is no doubt we need to have the optimal supply of routes and capacity at reasonable cost. That is important nationally and also for the regions. We had significant losses of capacity last year, particularly on the north Atlantic. Capacity was down approximately 20% at the peak season, which meant less seats and higher prices. While this may have been good for carriers, it put a break on visitor numbers in the peak season. I am pleased to report that we are beginning to recover some of that capacity.

Everyone will welcome the return of the Baltimore-Washington route and there will also be a general welcome for the decision of US Airways to travel to Shannon and Dublin from Philadelphia. This will increase to eight the number of gateway cities in the United States from which people can access Ireland. This can only result in increased business, all else being equal. Given the vital importance of access issues, I have been working very closely with my colleague, the Minister for Transport, Deputy Brennan, to support him in his efforts to develop our air transport sector in a way that will facilitate rapid growth.

Deputy Deenihan and others referred to interdepartmental co-ordination, given that the responsibility for many matters which impact on tourism is spread across a variety of Departments and agencies. He mentioned the possibility of an interdepartmental agency tourism committee. I understand his argument and appreciate the suggestion is put forward in a constructive spirit. On one level I do not have a problem with the theory of the proposal. However, we have had such committees and councils in the past and they were not particularly effective.

In recent years, the strategy within the tourism Department has switched to a direct bilateral engagement with individual Departments on specific issues of policy which may have a major impact on tourism. This approach has worked well and has had a good influence on access policy. Once the institutional reform package is completed, we will focus on engaging more closely with one or two other Departments on issues crucial to tourism. It will also be part of the authority's remit to make authoritative input to policy-making in areas of crucial importance to tourism.

Issues were raised in relation to the environment. This is an area to which I would like the authority to devote more resources. Bord Fáilte Éireann has a long record of concern in the environmental area. It was probably well ahead of other State development agencies in this regard. The twin pillars of Irish tourism have always been people and places. The physical environment is one of our fundamental tourism assets. Bord Fáilte Éireann's Tourism Development Plan 2000-2006 and its current product development scheme are infused with a clear environmental orientation. Nevertheless, it is true that staff resources devoted to the environmental area in Bord Fáilte Éireann declined in recent years because of the priority given to international marketing. That process simply needs to be reversed.

The joint Bord Fáilte Éireann and CERT group, which laid the groundwork for the merger earlier last year, recommended that the authority should have a strong environmental focus which is well integrated with its product development function. I fully support that recommendation. I intend to ensure the authority has a strong environmental focus and I expect to see that focus reflected in the authority's mission and corporate plan. There is a need for balance, common sense and mutuality of interests to be established in debates on tourism and the environment, particularly on sensitive issues. I hope the authority will be a force to facilitate this.

Deputy Deenihan and others stressed the importance of taking the interests of staff into account in this merger. I assure him and others this will be done. There has been an intensive consul tation and preparation process for more than a year to prepare the way for the merger. Staff have been continuously up-dated on developments and this process will continue. I met the unions. The interim board and chief executive officer designate, in particular, are in the process of addressing various industrial relations issues and I am confident a satisfactory outcome will be achieved.

Deputies were concerned that the human resource function now held by CERT should not be lost in the new organisation. I assure them there is no fear of that happening. Many Deputies raised issues about tourism that are in reality human resource issues, issues about quality of service and so on. The logic of this merger is that we must have a much greater integration of the physical product and services sides. The authority must also continue to encourage the industry to develop its image as a good employer.

Many, if not most, Deputies raised the issue of signposting. There is no argument about this. It has been a source of major concern to my Department and the tourism agencies over the years. It is an issue that has been around for many years and many Administrations. It has been one of the major visitor complaints and something must be done about it. The Government made a commitment to put in place a five year rolling programme to ensure non-national roads are signposted properly. I am pleased we have commenced the process and that a ring-fenced provision has been made for signposting in an initial tranche of five counties, including Kerry, where €750,000 will be provided this year. I hope this extends throughout the country so that we will have adequate signposting because it is of immense importance. I extend my congratulations to the Minister of State, Deputy Gallagher, for taking on board our concerns in this regard.

A number of Deputies mentioned the €65 million limit. This is a limit in respect of cumulative capital expenditure by the authority over and above voting on the annual Estimates. The current limit for Bord Fáilte Éireann is £50 million. Under the national development plan, €130 million has been allocated for the tourism product development scheme. Less than half of that money will come from the EU and the remainder will have to be found in the budget of my Department and possibly other Departments. In such circumstances, the suggested limit of €65 million, which has been agreed with the Department of Finance, is deemed prudent.

I thank Deputies, particularly Opposition spokespersons, for the strong support they have expressed for this Bill and the proposed new authority. My Department is engaged in a radical overhaul of the national tourism agencies and a corresponding overhaul of national tourism policy. The Bill before us is a vital part of that package and I commend it to the House.

Question put and agreed to.
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