Dáil Éireann Debate, Thursday - 30 January 2014
29. Deputy Denis Naughten asked the Minister for Communications, Energy and Natural Resources the steps being taken to support the maintenance of the post office network; and if he will make a statement on the matter. [4119/14]
View answerIt is Government policy that An Post remains a strong and viable company, in a position to provide a high quality, nationwide postal service and maintain a nationwide customer focussed network of post offices in the community.
Operational matters and the role of developing commercial strategies for the post office network are, of course, a matter for the management and Board of An Post and one in which I have no statutory function. As shareholder, however, I have a strong concern in relation to the ongoing commercial position of the Company and I regularly liaise with the Company in this regard.
The Post Office Network has many strengths and has the largest retail presence in the country. I have been supportive of its attempts to diversify its income streams and to win a wider range of commercial contracts offering higher margins.
I have welcomed the selection of An Post as the provider of over the counter cash services for social welfare customers. The social welfare contract is the largest contract held by the post office division of An Post. The Department of Social Protection intends to implement a strategy whereby the bulk of social welfare payments will be made electronically and has recently published a Request For Information on ePayment Solutions for welfare clients and associated business processes. I understand that the post office network will pitch strongly for the social welfare e-payment business when it is put out to tender by the Department of Social Protection.
Having invested in the computerisation of all post offices, the post office network is well positioned to become the front office provider of choice for Government and financial services sector. Progress towards diversification within the financial services sector is already underway with the enhanced arrangement with AIB and the agreement with Aviva for the transfer of their branch offices personal insurance business to One Direct.
In the context of the public sector transformation agenda I will continue to engage with my colleague, the Minister for Public Expenditure and Reform in relation to consideration, as appropriate, of the post office network for transactional elements of the business of Government Departments and Agencies and have stressed to my Government colleagues that the network is ideally configured for over the counter transactions. Any such developments would, of course, need to be subject to public procurement requirements as appropriate.
Overall, I see a strong future for the network by using its existing strengths to remain a significant player as a front office for Government services. In this connection, The post office network has secured over the counter Local Property Tax payments. Garda fixed fines, TV licences and passports can all be paid or purchased at the post office as well as dog licences and toll fees. I also see a strong role for the post office network in the next phase of the standard bank account project as the target segment for this project are already comfortable in using post offices for financial transactions.
