Dáil Éireann díospóireacht -
Thursday, 24 May 2001

Vol. 537 No. 1

Written Answers. - Post Office Services.

Brendan Howlin

Ceist:

31 Mr. Howlin asked the Minister for Social, Community and Family Affairs if he will report on the current prospects for the Department's contract with the post office division of An Post, in view of the fact that this business accounts for almost half the activity of the post office network. [15288/01]

Minister for Social, Community and Family Affairs (Mr. D. Ahern)

The contract under which An Post supplies payment delivery services to my Department reached the end of its term on 31 December 1999. The Government had previously decided that the term of this contract should be extended for a further three years, 2000 to 2002 inclusive.

Certain legal issues regarding the extension of the contract have been raised with the EU Commission by a third party. In accordance with its usual practice in these matters, the Commission referred these complaints to my Department for its observations.

Responses to the complaints, and the complex legal issues upon which they are based, have been sent to the Commission. I understand that the Commission is currently examining the arguments advanced by the complainant and the observations supplied by my Department.

The necessity to address and resolve the issues raised with the EU Commission has delayed the completion of a new contract with An Post. In the meantime, recognising that the payment delivery services which An Post provides to my Department's customers must continue without interruption, my Department and An Post have agreed that the company will continue to provide these services on an interim basis. The Commission has been notified accordingly.

I have already reiterated this Government's commitment to maintain a network of post offices. While not wishing to pre-empt the outcome of the issues being considered by the EU Commission, I am confident that An Post will continue to have an important role in the delivery of services for my Department.