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Dáil Éireann díospóireacht -
Thursday, 18 Nov 1976

Vol. 294 No. 3

Joint Committee on State-Sponsored Bodies: Motion (Resumed).

Debate resumed on the following motion:
(1) That it is expedient that a Joint Committee consisting of 7 members of the Dáil and 4 members of the Seanad (none of whom shall be a member of the Government or a Parliamentary Secretary) be appointed to examine the Reports and Accounts and overall operational results of State-sponsored bodies engaged in trading or commercial activities (being the State-sponsored bodies referred to in the Schedule hereto), and to report thereon to both House of the Oireachtas and make recommendations where appropriate.
(2) That, after consultation with the Joint Committee, the Minister for the Public Service with the agreement of the Minister for Finance may include from time to time the names of further State-sponsored bodies engaged in trading or commercial activities in the Schedule, or delete from the Schedule the names of any bodies which he considers no longer to be State-sponsored bodies engaged in trading or commercial activities.
(3) That, if so requested by a trading or commercial State-sponsored body, the Joint Committee shall refrain from publishing confidential information regarding the body's activities and plans.
(4) That the Joint Committee shall have power to send for persons, papers and records and, subject to the consent of the Minister for the Public Service, to engage the services of persons with specialists or technical knowledge to assist it for the purpose of particular enquiries.
(5) That every report which the Joint Committee proposes to make under this Order shall on adoption by the Joint Committee be laid before both Houses forthwith whereupon the Joint Committee shall be empowered to print and publish such report together with, as it thinks fit, any evidence and other such related documents given to it.
(6) That 4 members of the Committee shall form a Quorum of whom at least 1 shall be a member of Dáil Éireann and at least 1 shall be a member of Seanad Éireann.
Schedule—Aer Lingus, Teoranta; Aerlínte Éireann, Teoranta; Aer Rianta, Teoranta; The Agricultural Credit Corporation, Limited; Arramarra Teoranta; Bord na Móna; British & Irish Steam Packet Company Limited; Ceimicí, Teoranta; Cómhlucht Siúicre Éireann, Teoranta; Córas Iompair Éireann; Dairy Disposal Company, Limited; Electricity Supply Board; Fóir Teoranta; Industrial Credit Company, Limited; Irish Life Assurance Company Limited; The Irish National Stud Company, Limited: Irish Shipping Limited; Irish Steel Holdings Limited; Min Fhéir (1959) Teoranta; National Building Agency Limited; Nítrigin Éireann Teoranta; Óstlanna Iompair Éireann Teoranta; Pigs and Bacon Commission; Radio Telefís Éireann; Voluntary Health Insurance Board.
—(Minister for the Public Service.)

Before Question Time I was adverting to the question of policy, the inclusion of review of policy in the work of this committee. That is an arguable question. In the case of the Committee of Public Accounts, policy considerations are excluded and a lot of the efficiency of the committee results from that fact in that distracting excursions into that rather vague area are avoided. Policy is clearly defined and the committee can function. We have a slightly different situation here. Unless policy is defined, accounts, reports and operational results cannot be easily assessed and interpreted. Policy can have two meanings. It can have the usual meaning that is attached to it, capital "P", or it can refer to administrative or business policy or the policy of the State body in regard to its priorities. Apparently this committee will merely lay its reports before the Houses of the Oireachtas, which I consider inadequate. For that reason I have asked the Minister to consider a more specific reporting. If the committee cannot at least inquire into what is the governing policy and if the people who are answerable in these State bodies to the committee are not required to at least say what the policy is, then there may be a good deal of stultification.

I should like to see the word "policy" included, with the understanding that the functions of the committee would be mainly in the area of its functioning and accountability. Its policy beyond these limits is a matter for the Houses of the Oireachtas or the Government. Admittedly there is a grey area here, but if this mechanism is to be introduced in an attempt to regularise the responsibility of these State bodies to Parliament, then we have to provide for comment on policy. I see no reason why we should not.

Let us take a typical example and consider the case of CIE several years ago on the question of commercial policy. Was the emphasis to be given to rail or road? Admittedly, in its broader aspects, this would be laid down by the Executive and controlled by the Minister and the Executive but, in the implementation of that, there is surely room for comment. It is precisely in this area that a committee can be useful. Take the closing of the Harcourt Street line, for instance. This line was closed with what most people consider was indecent haste and, to this day, there are comments on the pity of it. That might not have happened with the same precipitation if there had been a committee, and if that committee had power to comment on the implementation of policy in that sense.

I would not seek to make that committee the deciding factor but at least it would be a brake on the responsible parties, not only taking an action, but taking it so precipitantly that it could not be reversed. It is that kind of check on policy I would envisage here and, in the general nature of the committee being set up, I think it would be wiser to include the word "policy" and see how it works. If this committee merely considers social policies—I would not go as far as Deputy Halligan; I see a warning light in his approach to it— then it will solve its own problems very quickly. I do not think anybody would be very worried about it. If it interprets matters rationally and concentrates on accountability of public money and value for money's worth— because this is essentially what is involved here, as I see it—then the inclusion of the word "policy", while necessary to give scope, need not be a cause of apprehension. For that reason, I support that amendment.

Taking our amendments in order, I have already dealt with the question of the chairman. That remark is sufficient to deal with the question of policy. Policy must be clear and defined, and a person answering to the committee should not be able to plead something was a matter of policy and therefore he could not answer. That is not what happens at the Committee of Public Accounts. Certainly, an accounting officer will plead that a matter is one of policy explained in order to put the question at issue in context, and this is very frequently done. The Committee of Public Accounts has a long tradition behind it—110 years. As Deputy Halligan pointed out this new committee is sui generis and it would be safer to add in the word. That accounts for our second amendment.

Our third amendment is in paragraph (2) to delete: "or delete from the Schedule the names of any bodies which he considers no longer to be State-sponsored bodies engaged in trading or commercial activities". If the Minister keeps one set of State-sponsored bodies which has in common with the other State-sponsored bodies that it is in receipt of a subvention from public funds and is spending the taxpayers' money, it should be equally responsible with the others. If the Minister does not mend that situation by bringing accountability into the regular course of answering in the Dáil by whatever mechanism, without casting aspersions on anyone, I fear the road is open to manoeuvre.

In his opening speech the Minister discussed at some length what a State-sponsored body is. The bodies are listed in a Schedule. They are definite. He said that a general principle is being adopted that commercial bodies are those which derive the greater part of their current revenues from the sale of goods or services. That is very vague. It seems to me to open the door for removing a body from that category if things get too hot. In other words, it is too definite and there is a temptation, possibly, for manoeuvre. I do not see why that paragraph should be in the motion. Why would the Minister want to delete one of the Bodies included already? I do not mind him adding to the list, but why would he want to take some of them out of the Schedule? They are a heterogeneous bunch when judged by that one criterion.

With regard to the amendment dealing with confidentiality we suggest the deletion of "shall" and the substitution of "may, if it so decides." Here we are getting at a serious problem for these bodies. They are in a competitive business. Ordinary business confidentiality, and particularly confidentiality about plans, may be very important, and may need care. For instance, take an airline competing abroad. Their plans for the future would have an element of confidentiality in them. So would other bodies. Therefore, one can understand why this is being included.

I wonder is paragraph (4) of the resolution really effective. There are many confidential matters in the public service and confidentiality is preserved notwithstanding the Committee of Public Accounts. There was the famous incident with the Department of Justice several years ago to which I referred already. The rules were reiterated in Department of Finance minutes and circulars. There has never been any real trouble about this. As the Leas-Cheann Comhairle knows, that Committee has been composed of the most diverse elements from different parts of the House. There has been no problem about confidentiality so far as I know. I do not see why it should be a problem in regard to this committee, provided it functions in the way I postulated earlier. I do not see why responsible Members of this House would not do so.

On the other hand, how much good is that? I could understand the Minister providing that confidential information would not be given to the committee, in which case the committee might as well go home before it starts. If confidential information is to be given to the committee, all this does is prevent the committee putting it in a report and publishing it. We all know how matters can be disseminated. Either it is genuinely confidential material where the confidence will be respected—and I would say that will be the vast majority of cases—or the confidentiality may be one of convenience for the executives concerned and there might be justification for publication and criticism.

In that case what do you think will happen even if you have this? If I am a member of this committee and I get that information, what is to stop me breaking this here in the House? I have absolute privilege here. I cannot be muzzled. I make that point to show that this provision is to a certain extent unnecessary, and I am not so sure whether the better solution would not be to drop it altogether and to assume that people will act responsibly, as in most cases they will. However, the inclusion of a provision like that will lead to friction and, in the last resort, it will be useless in the very case where somebody would want it to be effective. I would like the Minister to consider our amendment and his own drafting in that light—we are approaching this in a constructive way, I hope— and see whether the provision should be there at all.

Paragraph 4, prompts me to ask a question about technical specialists. I am a little cynical about this. There may be cases where it is necessary to call in a specialist consultant but the spectacle of this committee, with the State-sponsored bodies' technicians on one side and commission technicians on the other side in a technical argument which the lay members of the committee could not be expected to understand, is a futile waste of time and money that I would prefer to avoid. It is probably necessary to include such a provision, but it should not be the rule.

Every one of these State bodies have their technical advisers and experts, and the approach of the committee should be fundamentally to rely on the executives and experts of these bodies rather than to bring in outsiders as a practice. That is the way we function with the civil service and by and large it functions well. The broader thinking of the committee is not dependent on technical details of this sort.

In regard to the list of bodies here, the Comptroller and Auditor General audits some of these accounts. For instance he audits accounts for Bord na Móna, Fóir Teoranta, the National Stud, Nítrigin Éireann and Radio Telefís Éireann; the others he does not. It seems to me that to impose the complete auditorial job on the Comptroller and Auditor General would be overloading him unless a very significant expression were made in his activities. On the other hand, there is a very strong case why such a definite commercial activity as Aer Lingus and CIE should not be governed by the same rules as govern the State service, and there is a case for their own auditors in these instances. Therefore, the question of auditors and the role the Comptroller and Auditor General plays in regard to public accounts and the corresponding role to be played by one agency or maybe several agencies vis-à-vis this committee need examination as well. Certainly the Comptroller and Auditor General would not simpliciter be the answer.

A great deal of thought will have to go into making this committee work. Its terms of reference are important, but its purpose should be made absolutely clear and its limitations defined. It may be that the first tentative effort of the first committee may require modification. We should be prepared for that. On the other hand, the hope would be that this committee would do what it sets out to do, fill the gap in the accountability of the spenders of public money and accountability for public administration. All this involves a structured organisation. It is not like the old days when the House could appoint a committee and could do all the work within itself. In the case of this committee there will be several tiers before it comes to this House at all. The lowest tier will be the State-sponsored bodies; above them there will be the individual Departments to which they are responsible; above them again the Department of Finance and the Comptroller and Auditor General as the controllers and dispensers of public money, the taxpayers' money. Quite possibly the Department of the Public Service would also have a role here, but I do not see it just at the moment. On top of that there would be the committee itself, and then this House.

There is a structure that seems to be taken more or less for granted in this motion, but at every level smooth-working machinery needs to be supplied which would not only do what we are setting out to do, to make these State bodies efficiently accountable for public moneys and for public activities, but would also co-ordinate them and make them part of an effective overall system of parliamentary control of public expenditure and administration.

All these things can be said generally and perhaps that is our job here, to say them generally. But these generalities will produce no fruit unless the detailed mechanisms are provided. I would hope that in the setting up of the committee, the details of the terms of reference and so on would be worked out with greater precision than we have been able to visualise here today.

I have listened with some interest to Deputy de Valera's comments. I have not heard all of them, but he has had considerable experience on the Committee of Public Accounts, which is a slightly different animal from what is contemplated by this motion. The Committee of Public Accounts very often deals with things very much after the events have occurred.

Paragraph (1) of the motion reads:

That it is expedient that a Joint Committee consisting of 7 members of the Dáil and 4 members of the Seanad (none of whom shall be a member of the Government or a Parliamentary Secretary) be appointed to examine the Reports and Accounts and overall operational results of State-sponsored bodies engaged in trading or commercial activities (being the State-sponsored bodies referred to in the Schedule hereto), and to report thereon to both Houses of the Oireachtas and make recommendations where appropriate.

The last speaker referred to this paragraph and raised the question of the policy of State-sponsored bodies. We know that State-sponsored bodies are set up by statute. In some cases it is evident that the statute does not give the Minister adequate powers to direct the policies of such bodies. As the accounts and operations of these bodies are examined, it will become apparent that each one will have to be taken on its merits and structure. The committee will probably waste a good deal of time in their first few cases in researching their histories. The State bodies listed will have to be prepared to answer questions relating to their origins as operating entities. The committee will probably ask for this information because of the wording of the motion. This motion does not set any guidelines or standards by which the committee can assess the operations and accounts of these bodies.

Deputy de Valera referred to the conflict between the commercial and social aspects of the performances of the State bodies. That would be an easy problem, but I foresee bigger problems. Time passes, and these concerns are involved in a commercial field. It is the intention that the report of the committee will be, if I may use the word, neutral. I do not mean that the report will not have teeth or criticism in it, but I hope there will not be polarisation within the committee. If there are disagreements, I hope they can be noted in an appendix as a minority view.

I have been in the House since 1973 and have acted on nine committees in that time and as chairman of three select committees. In some of those committees matters were put to votes and there was a political content in the decisions and in the manner of voting, sometimes an irrelevant political content. I hope that we will not have the same atmosphere in this proposed committee. If that were to be the case, it would defeat the purpose of the committee. We are primarily concerned with the commercial and financial aspects of the State bodies concerned. I am aware that the majority of the employees of these State bodies have long wanted a committee of this type. They have naturally been the but of criticism, partly because they have not been accountable to anybody. They have produced their annual reports and the Minister may give directives in regard to policy to the senior executives or boards of these bodies. Owing to the rules of the House, parliamentary questions can only be asked in a limited fashion. A tremendous feeling of frustration has been building up in regard to these bodies. I do not believe this committee will satisfy this feeling of frustration, but it will at least go some distance towards relieving it. It will probably take a considerable time before the committee is recognised as an entity in the working of these bodies. There is a committee of this type in the United Kingdom Parliament. It reports on a number of select bodies. I imagine that the committee's approach in dealing with the first six companies in the list would be a guideline to the other State bodies when it is their turn for examination.

I must express concern as to whether the members of the committee will be properly qualified to deal with the technical matters that will arise for decision in the first year. I wonder whether they will be qualified to make a decision in regard to contents of the report. I foresee a slow teething stage for this committee. There are no guidelines or standards for the operation of the committee.

Deputy de Valera referred to the meaning of the word "policy" and its inclusion in the terms of reference. I have referred to the constraints imposed on the Minister by the wording of the statutes. Policy in this case may not be similar to the objects which are set out in an ordinary company's memorandum. In State companies matters of policy can arise from day to day because of the heavy social implications in their operations. The State bodies were established because private enterprise was not prepared to provide the structure or to do the work that the State bodies do. That type of origin means a heavy social element. I and, I am sure, many other people have read the thoughts of the late Deputy Seán Lemass in relation to State-sponsored bodies. He said that the object should be to have progressive, modern business management with public accountability, that they should not show excessive caution because that might kill initiative and the flexibility of a trading concern. He said that if there was not public accountability there was a danger of an inlooking process setting in. There would be a danger of being staff orientated.

While the Government may not provide money directly to State bodies, they go guarantor. We have had a recent example of this in dealing with Aer Lingus. This is one of the processes whereby power is given to these State bodies to borrow money, but the ultimate person with whom the buck rests if something goes wrong is the Minister for Finance and the Government. In the long run the buck stops with the Deputies of this House who vote to give these powers to allow further borrowing or to give the Minister authority to go guarantor. This is one of the things that worries the public. They feel that there should be a running accountability, an interim check on the operation. One does not need to be a lawyer or an accountant to know that accounts can be presented in a certain form. It is not nice but it is a fact of life that accounts do not disclose possible serious troubles within a concern. We all read in the newspapers how very large companies have crashed in a comparatively short time because of a big change in the market conditions in which the company operated. This committee will not be able to examine all that sort of thing, but at least senior executives who make decisions in State bodies will know that ultimately their work will come in for examination by this committee.

I have adverted to whether a committee will be really competent to make the proper examination of a particular State body. The Minister said and there is provision in the motion that experts within the public service could be made available and also that, if a certain situation should arise, outside experts could be consulted by the committee. That is very necessary. Specialist services would probably deal with the explanation of accounts and with technical matters that may arise. Not alone will we deal with accounts, but we will deal with matters like market expertise—and I do not see that coming from any Government Department because they are primarily administrators. In that circumstance I can see an outside specialist being brought in and questioned about the market to explain what the general background should or should not have been. I hope that the work of this committee will not be a question of examining the stable after the horse has bolted. This will be one of the real dangers of failure on the part of this committee.

We will have 27 State bodies to be reviewed by this committee. The House sits on three days a week and I cannot see this committee sitting more than so many hours a week, if it does that. I can see this committee laying an undue burden on back benchers, because this is the type of work that a Deputy cannot be absent from on a committee: he must keep up to date with the company that is being examined at the time. It is no use being there for one meeting and not being there for a second, because any judgment that has to be given on the affairs of any company must be given as an overall view on the information made available. I suggest that when it goes before the House the report will show on what days certain members were present and on what days certain members were not present. If members of a committee are prepared to work, they must work properly. They will be in a position of trust. They will have to examine the financial affairs and the overall running of a State body for which the public ultimately are paying.

The Minister was right in putting the point in relation to confidentiality. I do not understand the reason for the amendment put forward by Deputy Colley to paragraph 3. Paragraph 3 reads:

That, if so requested by a trading or commercial State-sponsored body, the Joint Committee shall refrain from publishing confidential information regarding the body's activities and plans.

and the amendment says "may if it so desires" instead of "shall". I got a bit puzzled here. I cannot quite follow what Deputy de Valera was dealing with in this, because he was supporting the amendment and at the same time saying that there is no real confidentiality before a committee of this sort. I completely disagree with that. I am a member of the Committee on Procedure and Privileges and the rule is that what is discussed within the four walls is confidential and the only thing that can come out of that committee is a report, if it feels fit to make a report. That rule has, by and large, worked very well. Sometimes it takes time for new members of the Committee on Procedure and Privileges to understand the significance and the necessity for that rule. Deputy Carter will bear me out on this as he is a long-standing member of that committee. That committee works, and I think this will work also.

As Deputies with a public duty it is in our interest to ensure that these public bodies work well and do not suffer from any undue handicap as a result of negligence or of a slip on the part of any of us. We have adequate precedent for that. While I do not think it is written anywhere that the proceedings of the Committee on Procedure and Privileges are confidential, the confidentiality aspect is long established and it is a code that can be adopted in relation to the members of the committee we are talking about here. I do not see why it should not be possible to devise a code of rules in relation to the managing of this committee. If it is to be a paramount committee of the House it may be necessary to look at Standing Orders in order to make certain provisions for the committee. It is a committee which is very much to be an arm of this House. The report will not be made to any particular Minister or to the Government. It will be made to the House as a whole in rather the same position as the committee dealing with the secondary legislation of the European Parliament. In the report advice is given to nobody apart from the Members of the House in toto. That is a good situation. It is the sort of situation that the public require. Up to now there has been a sense of frustration among the public in relation to public bodies to the extent that the public do not know what is going on in these institutions apart from what appears in the glossy yearly reports. This situation can be of no benefit to the public bodies concerned.

This committee will be a new experience for the House. I suppose the nearest existing committee we have to it is the Committee of Public Accounts, the proceedings of which are confidential until the time of the production of the reports. I do not know what are the hopes of the Minister in relation to this new committee. In his opening speech he kept his remarks virtually to a minimum but said it is significant that the emphasis is on examining the general efficiency and effectiveness of the bodies rather than on attention to operational minutiae. It is necessary to take that view in the first instance. As time elapses one may have to add a further dimension to the work of the committee. I am thinking in terms of the financial sphere. The various people who have written about State bodies have drawn attention to the question of where the staff stand and of the finance involved.

I do not think any useful purpose would be served by pointing out the fact that staff in State bodies are in a far more sheltered sphere of activity than those who are in the private sector. When this committee examine the affairs of State bodies I should imagine that this matter will be highlighted as comparisons are bounds to be made between technicians of the same grade and ability who are employed in State bodies and those employed in private enterprise. We are living in a developing society of a mixed economy. It may be that these State bodies will be entering more into the export field or into spheres allied closely to that area. When that arises there will be much emphasis on the question of the viability and competitiveness of State bodies. I wish the committee well. Its setting up is long overdue because it is something that should have been in existence during the past 20 years. It surprises me that up to now no one has taken the initiative in this regard but I compliment the Minister for the Public Service on grasping one more nettle in his career and I wish him luck in regard to it.

We are all aware that for a long time past there is much competition among various Departments in their efforts to get their Estimates through the House. We are aware, too, that on some occasions a large number of Estimates were not discussed at all in the House in the financial years concerned. This is not a satisfactory situation. While we are setting up this machinery for statutory corporation we should look also at this question of Estimates to ascertain whether by way of procedure we might make better plans for the future. Those of us who have any experience here would be agreeable to an agreement such as that which obtains in the House of Commons whereby the Opposition have the choice of discussing Estimates which are deemed to be in respect of big-spending Departments. If we had this option here it would enable us at least in alternate years to discuss the ramifications of the large-spending Departments. I was a member of the committee set up about 1972 to study matters of procedure and I know that it is not very easy to separate administration from public economic policy. However, now that we have specific plans to deal with the affairs of semi-State companies, we should make an effort to make this distinction.

For a long time both inside and outside this House it has been said that Minister present the spectacle of having no power in regard to semi-statutory corporations on matters even of minor policy. What is policy, anyway? Does it not affect all facets of a business? I have witnessed Ministers shunning the idea that they had any responsibility for any of the work of semi-State groups. Deputy Esmonde referred to the question of responsibility. For a long time politicians have been much too timid in regard to accepting responsibility and retaining powers of decision in relation to these bodies. Political parties have been falling over each other in their efforts to disentangle themselves from the responsibility of power in this regard. A politician must have power and must be seen to have power in this area. Whether he exercises that power rightly or wrongly is a matter for the electorate.

That is the check on this House. I think we—I am not referring to a particular party but to all parties— did not allow sufficient scope in the past to the politicians individually to determine that fact. If a politician does something wrong there is a rigid way of dealing with him. He is subject to public criticism; whatever he does is discussed in public at every fireside and over the meals. That is the public safeguard in regard to his activities.

This matter is large in scope and I think the debate could range fairly widely but let it be said at the outset that when the idea of founding semi-statutory corporations originated here we had in the civil service—and we should recognise this—men of integrity who were able to take over, despite the fact that they were supposed to be administrators and not businessmen, and administer the affairs of those companies. Let it also be recognised that this is no reflection on those men or on the personnel of the corporations concerned. We should make that perfectly clear. Any shortcomings, failings or other elements which could be deemed to hamper those companies would be our responsibility as politicians making up the personnel of this House. That goes for Government and Opposition.

As the Minister rightly pointed out, we have over 100 of those companies with assets in excess of £1,000 million and a turnover of £500 million. This is enormous business and it is not generally recognised that when we went into Europe we were nearly the most socialised country—when we talk in terms of socialism and public ownership—becoming a member of that club. Therefore, to this extent, we have fair experience of the failings and advantages of semi-statutory corporations. We should be able now to take this in easy stages and be able to separate the large spenders from the small spenders and see how a committee set up by this House is able to deal with this range of business.

It is most unedifying to find social, economic and other administrative policies clashing on the floor of this House and we often have to go into recess without having fully discussed some of the affairs of the larger spending Departments of State. We should take steps to clear the Order Paper and to see that in future this will not occur if we can possibly avoid it. It is not easy to avoid; it is occurring in all Parliaments, but the general scope of semi-statutory corporations is growing as well as the scope of legislation dealing with other matters. We would be doing a good day's work if we got rid of the unedifying spectacle of having Ministers partially but not wholly responsible for the working of those corporations. I would not be too squeamish and hesitant about whether confidentiality would be respected. I believe confidentiality would be respected. As Deputy Esmonde pointed out, it is respected on many other committees. If it is not respected, the House has ways and means of dealing with that situation. I would say that is only a small point in this whole matter. I think it will be generally agreed that after nearly 35 years, since the first semi-State company was set up, we have fair experience of the workings of those companies. To this extent we should be practised enough to be able to assess their performance and comment, if necessary, on their internal workings.

It is also essential that we should recognise that in the first instance this House voted the money to found those companies and it would be wrong, I think, if we did not conclude on the floor of this House that this Chamber is best suited to make whatever arrangements are deemed necessary for the smooth and efficient running of the company and for whatever expansion of business they may engage in. On the other hand, it could be and will be argued that if those companies present a balance sheet yearly this should be sufficient to satisfy this House as regards their operation. In fact I do not think it is, but I shall not go too far into that aspect of the matter. I believe it is preferable that in regard to the large spenders more information should often be forthcoming and should be forthcoming to whatever committee is set up to deal with these matters.

Today we have large slices of the framework of the economy depending on the ramifications of those companies. If we look at power and energy alone, two enormous factors in any developed or developing country or even in any undeveloped country, these are factors which can enhance or inhibit a country's progress. Therefore, we have Bord na Móna and the ESB here jointly engaged in the generation and distribution of power. Power makes up a large slice of our activities today.

There may be something, in fact a good deal, to be said in our circumstances for private enterprise but it was long ago recognised, I think rightly, that private enterprise could not grapple with the business at that time which was facing the State, which the State had to do. Therefore it is to the credit of all those involved that, without any previous experience of semi-statutory corporations elsewhere, this State as a young State went forward with the idea which from there on was taken up with gusto and worked. Now that we are a number of years watching this and living with it we should be able to understand better the workings of those companies through a committee composed of Members of both Houses of the Oireachtas formed in circumstances similar to what is suggested here.

One could go back to 1950, as the Minister pointed out, and I was looking at the report of the Seanad for the year 1950 when this matter was discussed. At various other stages, sometimes when the Estimate for the Department of Finance would be presented here, at other times when the Ministers and Parliamentary Secretaries Bills would be here for amendment or otherwise, and we had several motions at various other times advocating some sort of administrative approach as is suggested here.

Apart from the activities of those larger semi-State companies we have the enormous factor that they are large employers of labour. This is a fact which we are bound to take into account and to recognise. Sometimes this House imposes plans on some of those companies which turn out to be wholly of a social kind and not compatible with the workings of a company engaged in business. A company engaged in business would have us believe in private enterprise terminology that profit is the main motive. That is not so in regard to a semi-statutory corporation where this House can come along and impose overnight, by way of a decision, work running into thousands of pounds which is not remunerated to the company. In the context of this suggestion here we need to have regard to this factor. I do not want to go into that whole slice of legislation because here one could easily get lost. I do not want to expand or extend the argument too far, but it is an area which a committee of the House when it would settle down would be qualified to consider.

There is the further question on the setting up of this committee of how far ministerial power would come into conflict with the general aims underlying this setting up. This is a nice point and one which was not developed enough in this argument. The Minister said in his introductory speech that the Minister would still be responsible wholly for the policy of a semi-statutory corporation under his control. If he is, then he would not seem to be responsible in the House. He does not seem to be responsible in public. Will he be wholly responsible in the case of a committee of this kind? Would a committee of this kind in such circumstances come into conflict then with the directives of the Minister or of the Government as the case might be? I am not very clear on this point, and I take it that possibly what the Minister means is that the committee so set up by this House would need to be a fairly diplomatic unit in order to be able to inquire into the affairs of a company and at the same time not to cut across the aims of the Government or of the Minister concerned in trying to formulate policy for the company. It is a difficult problem. I have no doubt whatever that if the committee were so set up the Minister would get the co-operation of the committee but he would have to have some regard to the Opposition of the day and to seek the co-operation of that Opposition.

I pose some of these points because they may crop up later on and it would be well at the outset that we should be clear as to the aims and objectives of this proposed committee. One may speak of the Committee of Public Accounts, but to my mind it is a different thing altogether. I was myself chairman of the Committee of Public Accounts and I must say that I am not a great admirer of the methods adopted sometimes in that committee, because it is often two or three years after the money is spent that that committee inquire into the spending or otherwise of the various Departments. That is not to say that I find any fault with the Comptroller and Auditor General or that I am finding fault with ourselves. We clog it up. Maybe we have an election or even two on hands and this causes the work of the committee to fall back maybe two years or more, and one finds oneself struggling with money that was spent maybe two or two-and-a-half years ago. This would not be the case, I assume, with a committee of the kind we visualise here. The fact that a committee may send for a person's papers, documents and so on is giving it quite a good standing. I do not think that there would be any further analogy with the Committee of Public Accounts. If there is, I cannot see it. It is not an inquisitorial committee. I assume this committee would set out to be part inquisitorial and part helpful. That committee should co-operate if they had newer techniques or ideas to help companies seeking such help. Today most companies are seeking such help. I will not go too far into that subject because I do not think it is called for at this stage.

When the Minister refers to this committee as a committee of the Oireachtas, I think it is wise to have a proportion of Members from the Upper House because they have a combination of talents which could be of considerable help to Members of the Dáil when dealing with some subjects that might come before that committee. The mix would be calculated to enhance not merely the prestige of this House but also the prestige of the company concerned. One hopes that that committee would be co-operative and helpful.

As years pass it is obvious that the activities of committees will broaden, not contract. I mentioned two semi-State bodies with which I am fairly familiar, that is, the corporations engaged in producing energy. The scope of activities of the ESB will increase enormously in years to come especially if we go into nuclear power. Similarly there will be drastic changes in the activities of Bord na Móna and not only in regard to production, they could help the Forestry Division and so on. I can see no contraction in the amount of work in the fields of energy for the future.

In the past when it was found that public business was being carved up on the floor of this House, the idea arose that the various Ministers would hand over the work envisaged to the semi-State bodies. This was a good idea. One can see the work in this House broadening every day. Every age begets its own problems. New problems emerge every day of the week. There is need for greater scope by way of Bills. We have need for increased subheads in various Departments and so on. All this activity adds up to more pressure on the table of the House. Therefore, the sooner we can regularise our procedure to deal with that kind of procedure, the better and, as was said elsewhere, the easier it will be for semi-State bodies to plan ahead. This could be a good move providing we keep to the rules.

I mentioned earlier that the volume of business which finds its way before this House is increasing. It is essential that we should be in a position to be relevant. Parliaments become irrelevant when they fail to take account of the factors I have mentioned, to harness the scope of their business or so to regulate their business that each facet will not be discussed in full. Democracy is a talking shop. The longer it remains so the better. Freedom must ring round a democracy.

Our main aim should be to see that we do not indulge in wasteful talk. Whatever suggestions we have to make we should make them with a view towards enhancing the power and prestige of this House. If we could make plans to discuss our selected Estimates more fully at special times and to clear a number of matters affecting semi-State bodies from the floor of this House, we would be seen to be making more relevant progress.

Debate adjourned.
The Dáil adjourned at 5 p.m. until 2.30 p.m., on Tuesday, 23rd November, 1976.
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