Parliamentary Control of Public Corporations in Eire
| Author | Michael Scully |
| Published date | 01 December 1954 |
| Date | 01 December 1954 |
| DOI | http://doi.org/10.1111/j.1467-9299.1954.tb01220.x |
Parliamentary ControZ
of
Public
Corporations in Eire
By MICHAEL SCULLY
Mr.
Scully’s
uualysis
of
Irish
experience
jirst
appeared
in
“
Adininis-
tratioti,”
Spring,
1954,
and we are
grateful
10
the
Editor
for perniissim
to
repiiiit.
HIS
article is confined to the extent
of
the control exercised by the
T
Oireachtas (Parliament) over three bodies: the Electricity Supply
Board, C6ras Iompair Eireann (Transport Board) and Bdrd na Mdna (Turf
Development Board). The three boards are the giants among the State-
sponsored bodies
;
between them they employ about 3 per cent. of the total
number of occupied people over 14 years
of
age in Ireland (exclusive
of
the
Six Counties). Thcy are most important from a national economic viewpoint
as they control vital fuel, power and transport industries; two
of
them
are nation-wide monopolies.
It
is obvious that the degree of public control
exercised by the Oireachtas over their operations is of interest.
While it is generally accepted that the Oireachtas should control the
corporations, the method and degree of control has been the subject of
controversy. The public corporation is in itself a form of organisation
deliberately designed to avoid the complete range of control which the
Oireachtas exercises over Government Departments.
It
is a widcly accepted
opinion that this close control hinders efficient administration by causing
excessive caution to be exercised in the running of Departments. Conse-
quendy, it was thought desirable to avoid placing State-owned industries,
in
which the advantages of entcrprisc and flexibility associated with busincss
concerns are desirable, under the direct control
of
Ministers. During the
debate on the Electricity Supply Bill, 1927 (Second Stage), Mr. Lemass,
rcfcrring to thc Electricity Supply Board, said in Dail Eireann
:
“
It
will
be noticed that the Board is to be removed as fa- as possible from political
pressure.
It
is intended
to
remove it as far as possible from incessant
Government watchfulness or parliamentary interference.”
In theory the Oircachtas can exercise any degrec of control it considers
necessary by setting out the powers of the Government or Ministers in
regard to the Corporation in the Acts which specify the duties and functions
of the Boards. Ministers must then answer to the Oireachtas for the exercise
of these powers.
Under Section
2
(4) of thc Electricity (Supply) Act,
1927,
the Government
appoints the members of the Electricity Supply Board and under Section
5
of
the same Act it has power to remove members from office. The removal
of
a member, however, requires the laying beforc cach House of the Oireachtas
of
a statement in writing of the rcrnoval and the reason for it. Scction
i
of this Act requires the Board to submit an annual Report, and Accounts,
audited and set out as directed by the Minister for Finance, to the Minister
for Industry and Commerce for presentation to the Oireachtas. Under
existing legislation the Board has no powcr to borrow capital. The capital
which it requires is advanced to it from the Central Fund by the Minister
455
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