Vol. 399 No. 4
12 Mr. Rabbitte asked the Minister for Communications if he has received a request from An Post for sanction for the development of banking and retail services; if there are any plans to expand the services of An Post in this area; and if he will make a statement on the matter.
Development proposals for the banking and retail services of An Post, drawn up by the company in conjunction with its main agency customers were finalised and approved at the end of 1989. Implementation of the proposals was adversely affected by difficulties which An Post experienced in relation to the supply of a central software package. The proposals are currently being assessed by the company in the light of these difficulties.
Does the proposal to the Minister involve assistance in raising the necessary capital and funding to introduce the various banking and retail services An Post wish to develop?
No.
Could the Minister indicate the extent to which finance and capital will be needed by An Post and their proposals for raising the necessary money to invest in this expansion? Does the Minister give his full approval to the expansion of An Post in this area, to the levelling of the playing pitch in the banking area? Are any delays or impediments being created for An Post in the Department?
There are no delays in the Department in relation to it. I favour An Post going into the services area generally. There has been very little growth in the core business. We now have electronic mail, FAX machines and a more efficient telephone service. It will be a problem for An Post to come to grips with the challenges ahead of them. The new chairman of An Post, together with the board and management, are coming forward with a plan for the future. A new chief executive is about to be appointed. In the course of the next few months we will see major changes which no doubt will include the suggestions made by the Deputy in relation to extra services in financing and banking.
Would the Minister agree that if An Post do not move with haste, they may well lose substantial business opportunities to the commercial banks? Within what time scale will we see the putting in place by An Post of these new developments in the banking and retail area?
I have asked the board of An Post, in view of the financial position there, to come forward with their proposals as a matter of urgency. It is a matter for the board to act and I should like to see the proposals.
In view of the expanded services outlined by the Minister, which we very much welcome, would he consider asking An Post not to proceed with the proposed closing of about 700 sub-post offices throughout the country, pending the development of these services?
The Deputy is raising a separate matter worthy of a special question.
Is it part of the proposal to provide a full range of banking facilities similar to those in a commercial bank? Will the service extend to each of the sub-offices throughout the country?
I should prefer to wait for the proposals and I will then be in a better position to answer. Some services would obviously be more suitable to main offices than sub-offices.
While welcoming the intention to expand the range of services offered by An Post, does the Minister not accept that An Post would be well advised to discharge their primary duty, that is, to ensure that a letter gets from A to B within a specified minimum time, before they proceed into the area of expanded services? Their fundamental duty is not being met.
That is unfair to the management and staff of An Post. They have been very concerned about their core business which is the delivery of letters from point A to point B. They have made great progress in the past 18 months or so.
They have in their boot.
Over 90 per cent of letters posted are delivered the following day.
That is nonsense.
This is a very good record.
That is not the case.
That is the situation at present.
That is what they claim but it is not the case.
Question No. 13.
The postal service has deteriorated.
Have we not exhausted the time for questions to the Minister for Communications?
There is one minute left.
