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Appointments to State Boards

Dáil Éireann Debate, Wednesday - 8 June 2016

Wednesday, 8 June 2016

Questions (66)

Richard Boyd Barrett

Question:

66. Deputy Richard Boyd Barrett asked the Minister for Agriculture, Food and the Marine if the appointment of a person (details supplied) as executive director of Coillte Teoranta heralds a further commercialisation of the company; if this is appropriate for the company; and if he will make a statement on the matter. [14504/16]

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Written answers

Coillte Teoranta was established as a private company under the Forestry Act, 1988 and day-to-day operational matters, such as the recruitment of staff, are the responsibility of the company. The recruitment process, including engagement of a recruitment agency, preparation of the job specification and the ultimate selection of the successful candidate for the position, was accordingly a matter for the company and the Board.

However, in making their selection, the Board is likely to have had regard to the terms of recent Government Decisions in relation to Coillte and their implementation. These Decisions required inter alia that Coillte undertake a restructuring of the company and to work with Bord na Móna towards a partial merger of their businesses, focusing on the areas of overlap between the two companies by way of a joint venture between the two companies to manage their common business activities in biomass, wind energy, shared services, and recreation and tourism.

With reference to the appointment by Coillte of Mr. Fergal Leamy as its Chief Executive with effect from 13 April, 2015, I note that Coillte considered that the breadth of Mr. Leamy’s experience in relevant sectors would be a significant asset to the future development of Coillte and that they regarded that his record of transforming and growing businesses and managing a diverse portfolio of assets as exceptional.

It should be noted that one of the principal objects of Coillte, as stated in the Forestry Act 1988, is to carry on the business of forestry and related activities on a commercial basis and in accordance with efficient silvicultural practices. However, in addition to its commercial activities, Coillte also provides a range of recreational opportunities for the general public continuing the long tradition of open access to the State owned forests and land.

Coillte is cognisant of its role in relation to the provision of public goods. I note, for example, that the Chairman of Coillte, in his Statement in the Coillte Annual Report 2015, referring to the company’s financial performance in 2015, advised that a strong financial foundation is vital for the company to achieve their ambitious growth plans for the business as well as continuing to deliver social dividends - notably nature conservation, recreation and carbon sequestration - that have local and global impacts.

I do not consider that the growth of the company in order to achieve an increased commercial return to the shareholders and State and the continued provision of public goods such as recreational access to be mutually exclusive. I was therefore pleased to note the statement in the recent Annual Report that Coillte will continue to deliver world class environmental and social benefits to the people who enjoy their forests today and for generations to come.

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