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Dáil Éireann debate -
Wednesday, 21 May 2003

Vol. 567 No. 2

Other Questions. - Taxi Regulations.

Denis Naughten

Question:

86 Mr. Naughten asked the Minister for Transport if he will implement the recommendations of the EU Petitions Committee report on taxis; and if he will make a statement on the matter. [13701/03]

Joe Costello

Question:

124 Mr. Costello asked the Minister for Transport when he intends to meet with the FAIR group in view of the undertaking he gave to the Petitions Committee of the European Parliament to do so; and if he will make a statement on the matter. [13668/03]

Joe Sherlock

Question:

161 Mr. Sherlock asked the Minister for Transport his views on the findings of the Petitions Committee of the European Parliament calling on the Government to provide compensation for families who lost out as a result of the manner of the deregulation of the taxi industry; and if he will make a statement on the matter. [13693/03]

I propose to answer Questions Nos. 86, 124 and 161 together.

I am aware of the recent report of the EU committee on petitions in relation to their fact finding mission to Ireland in connection with the effects of taxi liberalisation. I met with the delegation from the committee on 4 April 2003 and outlined the background to tax liberalisation and the establishment of the independent three person taxi hardship panel to them. I also explained that the panel was established by the Government to report in general terms on the nature and extent of extreme personal financial hardship that may have been experienced by individual taxi licence holders arising from loss of income as a direct result of liberalisation and that based on legal precedent there can be no legal duty on the State to compensate taxi licence holders in relation to open market licence values that may have existed prior to liberalisation. This position remains unchanged.

On 17 December 2002 the Government approved the implementation on a phased basis of the recommendations of the taxi hardship panel in accordance with An Agreed Programme for Government. Any payments to be made as a result of this implementation will not represent compensation but rather compassionate payments in respect of extreme personal financial hardship experienced by taxi licence holders arising from the liberalisation of the taxi market. The report of the taxi hardship panel recommends the establishment of a scheme to provide payments to individual taxi licence holders who fall into one of six categories that the panel assessed as having suffered extreme personal financial hardship.

The design and administration of a scheme to implement the recommendations of the taxi hardship panel and the arrangements to facilitate the making of payments to eligible persons is being progressed as quickly as possible in order to ensure that applications are dealt with on a confidential and objective basis. Every effort is being made to put in place a structure to facilitate the commencement of payments on the basis of the panel recommendations as soon as possible but I have no current proposals for any payments beyond the recommendations of the panel report.

On 19 November 2002 the Government approved the establishment, initially on a non- statutory basis, of the office of the national taxi regulator. In this context, the preparation of the necessary legislation to support the establishment of a commission for taxi regulation is proceeding as a matter of urgency in my Department.

As an interim measure, I have appointed an interim chairman of the commission pending the recruitment of a statutory chairman and Mr. Farrelly has commenced a series of detailed consultations with those involved in the taxi, hackney and limousine industry, local authorities, the Garda Síochána and other interest groups with a view to assessing and addressing issues relating to standards in the industry. I have indicated that I am prepared to act on any recommendations proposed by Mr. Farrelly for urgent changes to the current regulations on standards proposed following this consultation. I have also asked Mr. Farrelly to progress, as a priority, the implementation of the findings of the panel report.

As indicated to the EU committee on petitions, I am available to meet with the FAIR group again and would hope to do so at a mutually convenient date in the future.

When will we see payments? The regulator has no powers in relation to this area. Following its visit here, the EU delegation stated that the Government has a moral and political responsibility to provide proper redress to families and individuals. Does the Minister agree that €15,000 is unacceptable for a widow with dependants who may be repaying a loan of up to €100,000? The Minister gave a commitment to the EU delegation that he would review the levels of compensation. In light of the fact that over €60 million has been collected through the issuing of licences, will he review the levels of compensation being paid to particular sets of individuals?

Does the Minister accept that he has a moral and political obligation to follow through on the recommendations of the petitions committee? It has been recommended that he consult with the transport committee in order to review the schedule of payments proposed by the hardship panel. We are waiting to meet with the Minister. We want to engage in this and to come up with a scheme that is fair to everybody concerned, and particularly to those people who have suffered a serious injustice as a result of the overnight deregulation. Does the Minister intend meeting with us to agree a new schedule of payments in the near future?

The Minister gave an undertaking to Mr. Proinsias De Rossa at the meeting with the petitions commitee that he would meet with the FAIR group. Will the Minister set a date within the next fortnight?

I met the FAIR group and have indicated that I will do so again. I will do that as soon as it is possible for us to arrange a date.

Will the Minister meet the group in the next two weeks?

We cannot arrange diaries across the floor of the House.

Can we have a reasonable timescale? The Minister gave a commitment two months ago.

I met the FAIR group before. I know its members well.

The Minister said he would meet them again.

I will meet them as soon as I possibly can. I have no difficulty in meeting with FAIR. They have put up a very good case and they have been very committed. I appreciate the trouble and hardship they have suffered.

With regard to the payment itself, I do not propose to un-pick the hardship panel. I made this clear to the delegation from the EU. However, I indicated that there may be scope within the report from the taxi hardship panel, within the overall level of funding envisaged by the Government, to examine what levels of payment can be made as long as relationships between the payments are kept reasonably intact. I cannot stand over any wholesale un-picking of an independent report from a taxi hardship panel that comprised top professional people who, over quite a long period, came up with a report and who recommended payments, not for compensation but for hardship.

Is the Minister saying "may" or "will"?

There cannot be any un-picking of that report to any substantial extent. I left open the possibility that, within the overall limit of funding available to Government envisaged for the report and depending on the number of applications that come forward and the number of people who satisfy the conditions and criteria laid down in the hardship panel's report, it may be possible to make some adjustments. That will depend on the number of people who apply.

Is there any additional funding?

There is no additional budget.

Written Answers follow Adjournment Debate.

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