asked the Minister for Transport and Power whether his Department has come to any decision regarding the future of those State companies operating in the cross-Channel freight trade; and whether he will make a statement on the relationship between State and private companies so operating.
Ceisteanna—Questions. Oral Answers. - Cross-Channel Freight Trade.
10.
As announced in April last, my Department initiated a major review of the policies of the State companies which are concerned with cross-Channel freight transport. A firm of consultants, McKinsey & Company, who had previously carried out similar studies internationally, were commissioned by me to assist in this complex task. The consultants have now completed their assignment.
Arising out of the McKinsey investigation the B & I have been pursuing with British Rail the possibility of securing agreement on a measure of rationalisation of operations which would obviate excessive investment by both companies thus leading to a reduction in real costs. The first results of these discussions which are continuing was the agreement announced last Wednesday to operate a single joint freight terminal in Dublin. The companies had earlier agreed on joint livestock operations by a British Rail/ B & I consortium.
Possible reshaping of the marketing operations of B & I and CIE suggested by the consultants is being pursued by these companies in consultation with the other interests concerned but early decisions are unlikely.
Any measures adopted by the State companies in relation to cross-Channel freight trade will, of course, be in accord with established Government policy which aims at ensuring efficient services at competitive rates for shippers, maintaining an equitable level of Irish participation in the trade, encouraging participation by private operators and excluding restrictive practices which are contrary to the public interest.
Does the Minister see the signs already of growing participation in the cross-Channel trade by foreign interests and withdrawal by Irish interests? In this connection does the Minister see any possibility of including any of the operations of the Hibernian Group who have just gone into liquidation, even though they were not involved in the McKinsey Report to which the Minister has referred?
I find it difficult to reply to this supplementary in so far as it affects the reply to the question the Deputy originally put. As I stated, arising from the report certain action has been taken and further consultations are going on. All of those consultations will take into account the overall factor of endeavouring to interfere to the minimum extent possible with private enterprise.