Vol. 731 Wednesday, No. 2 4 May 2011 DÍOSPÓIREACHTAÍ PARLAIMINTE PARLIAMENTARY DEBATES DÁIL ÉIREANN TUAIRISC OIFIGIÚIL—Neamhcheartaithe (OFFICIAL REPORT—Unrevised) Dé Céadaoin, 4 Bealtaine 2011. Leaders’ Questions ……………………………… 371 Request to move Adjournment of Dáil under Standing Order 32 ……………… 380 Order of Business ……………………………… 381 Ceisteanna—Questions Taoiseach ………………………………… 384 Minister for Education and Skills Priority Questions …………………………… 388 Other Questions …………………………… 396 Adjournment Debate Matters …………………………… 408 EU-IMF Programme: Statements ………………………… 409 Private Members’ Business Residential Mortgage Debt: Motion (resumed)……………………445 Adjournment Debate Banking Sector Regulation ………………………… 467 Pupil-Teacher Ratio …………………………… 470 Register of Electors …………………………… 471 RoadNetwork………………………………473 Questions: Written Answers …………………………… 475 DÁIL ÉIREANN ———— Dé Céadaoin, 4 Bealtaine 2011. Wednesday, 4 May 2011. ———— Chuaigh an Ceann Comhairle i gceannas ar 1.30 p.m. ———— Paidir. Prayer. ———— Leaders’ Questions Deputy Micheál Martin: The Taoiseach will be aware of the comments of the Minister for Finance yesterday in this House, when answering questions about the Exchequer figures. The Minister commented that the fiscal figures for April show that the tax profile is beyond the budget Estimate for December and that expenditure is below the budget Estimate. The Mini- ster also said that for the first four months of the year, “things are better than on track and we hope that continues for the rest of the year.” However, he said this does vary. He concluded by saying “we will not have any degree of certainty until we get the June figures. It will be early July, therefore, before I would be firm on the figures, but so far so good.” Will the Taoiseach confirm to the House and to the country that he agrees with his Minister for Finance that Exchequer Estimates were broadly correct, and that the recovery programme that was in place is working? The Taoiseach: I agree with the Minister for Finance. I also agree with him that the Govern- ment of which the Deputy was a member entered into commitments for which there was no back-up to provide the wherewithal to deliver on them. For instance, €50 million was suppos- edly left aside by the previous Minister for Agriculture, Fisheries and Food for an agri-envir- onment options scheme, but we found nothing there at all. There is a raft of commitments entered into by the Government of which the Deputy was a member, but for which no moneys have been provided. I agree with the Minister. He will be in a much clearer position when the June figures come in. The figure bandied about around budget time for dealing with the requirement for bank debt was €10 billion. After the PCAR exercise that was raised to €24 billion. There has been an increase in interest rates and in the cost of fuel, a decrease in consumer demand, and an increase in the savings ratio. All of these things have had an impact on the circumstances surrounding our economy. For that reason, one of the central features of this Government will be to promote the creation of a stronger economy through the development of jobs and opportunities. That will be central to the Minister’s statement on the jobs initiative next Tuesday. Deputy Micheál Martin: In fairness to the Minister for Finance, he was very emphatic about it. He said that the figures were better than on track. He said that the Estimates were broadly correct, as defined by the outgoing Government. The Taoiseach rightly mentioned the agree- 371 Leaders’ 4 May 2011. Questions [Deputy Micheál Martin.] ment with the troika. Central to the ongoing certainty mentioned by the Minister for Finance yesterday will be the revised agreement with the troika, which I believe has been published today. Page 16 of that report states that it is important that we make effective use of our State assets, and where appropriate, dispose of them, to help reduce our Government debt. This is a new, clear commitment to privatisation. Given that the Cabinet will have had to agree this document, how is it that the Minister for Communications, Energy and Natural Resources, Deputy Rabbitte, who controls many of the State’s most valuable assets, was able to state categorically in a national media interview on 24 April that he would not dispose of State assets merely to write down debt? Has the traditional Fine Gael ideology won the day? Or has the Government performed yet another U-turn that it hoped people would not notice? The Taoiseach: This Government is not into performing U-turns or pirouettes like the Government of which the Deputy was a member. The Minister with responsibility for public expenditure and reform has asked every Department to respond to him by the end of May in respect of the possibility of the potential for disposal of non-strategic State assets. This matter was raised on several occasions during discussions between the Ministers in the Department of Finance and the troika. The Minister for Communications, Energy and Natural Resources set out clearly a strong view that in the event of any non-strategic State asset being sold at the appropriate time, it should be used for the purpose of investment in job creation measures. Very few people would disagree with that. Deputy Micheál Martin: It is not what the Government has agreed to. The Taoiseach: The conclusion of the discussions between the troika and the Government was that this could be dealt with on a case by case basis. Deputy Micheál Martin: No, it states that there should be a disposal of assets to help reduce the Government debt. The Taoiseach: From that perspective, elements of the original deal done by the last Govern- ment with the IMF and the EU have been changed following discussions between this Govern- ment and the troika about stronger and greater efficiency measures and greater investment in the growth of our economy. When the Minister with responsibility for public expenditure and reform receives, by the end of May, the view of each Department on the McCarthy proposals and the disposal of non-strategic State assets, then if the Government decides to dispose of any of these assets in due course, the return on that will be a matter for discussion between the Government and the troika. An Ceann Comhairle: I call on Deputy McDonald. Deputy Micheál Martin: We are discussing this document today. We cannot discuss a docu- ment that the Taoiseach is resiling from an hour or two after its publication. It states that the Government will dispose of assets to reduce the debt. An Ceann Comhairle: Deputy, please resume your seat. Deputy Micheál Martin: He comes in here now and says something different. He is taking—— An Ceann Comhairle: Did you hear me Deputy? 372 Leaders’ 4 May 2011. Questions The Taoiseach: The troika has a clear understanding with the Government in respect of the sale of any non-strategic State asset and what it can be used for. An Ceann Comhairle: I call on Deputy McDonald. Deputy Mary Lou McDonald: The Government has tied us to an EU-IMF deal that explicitly envisages the sale of State assets to write down debt, and that imposes vicious austerity on ordinary people. The result of this is real hardship for people. I do not know whether the Taoiseach saw last night’s RTE “Prime Time” programme, which showed the kind of hardship experienced by many communities in Dublin and beyond in this State who have been abandoned, and the conditions in which they are living. Does the Taoiseach agree the conditions we saw on last night’s programme are unacceptable? Sinn Féin has raised this issue many times previously, here in the Dáil and elsewhere. We have worked with residents in St. Teresa’s Gardens, Dolphin House, Croke Villas, O’Devaney Gardens and many other areas across Dublin and in Limerick and beyond. The conditions in which many citizens are living—— An Ceann Comhairle: Do you have a question? Deputy Mary Lou McDonald: ——are not fit for human habitation. They live in flats that are damp and overrun with rats. We saw last night children with asthma and other medical conditions—— An Ceann Comhairle: A question, please. Deputy Mary Lou McDonald: ——living in circumstances which a senior microbiologist described as reminiscent of refugee camps. Deputy Noel Coonan: Deputy McDonald is a public representative for the area. Deputy Mary Lou McDonald: I want to know what the Taoiseach and his Government propose to do about that. The Taoiseach: The Government proposes to sort out the economic mess it has been left with by a Government which wrote into an agreement that it denied was taking place. They denied that the IMF was coming to our shores. They denied in public, time and again—— Deputy Micheál Martin: Answer the Deputy’s question. The Taoiseach: ——that this country was not in a position to borrow money—— Deputy Niall Collins: Move on now. The Taoiseach: ——and that its banks were not in a position to borrow money. This Govern- ment will use the mandate given to it by the people to sort this out in Ireland’s interest, to restore the public finances to good health and to be in a position to provide through proper and efficient government, facilities for those whom Deputy McDonald mentions. Deputy Timmy Dooley: The Taoiseach is sorting it out in a very different way to that which he promised in the election. He was going to burn the bondholders. An Ceann Comhairle: Can we have a bit of quiet, Deputy Dooley? The Taoiseach: I am aware of the circumstances of many of these people. 373 Leaders’ 4 May 2011. Questions Deputy Brendan Howlin: Deputy Dooley’s party ruined the country.