asked the Minister for Energy if he will outline Government plans for the future development of Bord na Móna; if it is intended to divide the company up into three separate trading subsidiaries; if employment levels in the company are likely to be reduced; and if he will make a statement on the matter.

14.

asked the Minister for Energy whether he has taken any initiative to develop an effective regional strategy for the midlands region in the light of the 1,250 redundancies in Bord na Móna.

20.

asked the Minister for Energy if he intends to introduce legislation in this Dáil session enabling Bord na Móna subdivide their existing activities into three operating subsidiaries.

I propose to take Questions Nos. 12, 14, and 20 together.

Given the well-known severe financial difficulties of Bord na Móna it has been clear for some time now that urgent initiatives are required to safeguard its future. In this context, I have appointed consultants to carry out an in-depth study of Bord na Móna's entire operations and I expect to have their findings by the end of March, 1989. In the light of these findings I will then be in a better position to take appropriate decisions on the board's future activities including those located in the midlands.

The board itself has been examining its structures and, while no decision has been taken on this analysis, certain measures are proceeding including a voluntary redundancy/early retirement scheme. This scheme, negotiated with the unions, has attracted many applicants.

Because peat is a finite resource, the Government, in their forestry policy, were conscious of the advantages of providing alternative employment opportunities through afforestation in those areas where peat extraction is coming to an end.

EC aid in the Valoren package is also contributing to the midlands area through the development of extra bogs, to maintain almost 500 jobs in the region which would otherwise have been lost.

For the future, the amending legislation which I introduced earlier today will enable Bord na Móna to engage not only in peat-related activities but also to diversify into other employment creating operations where it has acquired expertise. It is not the purpose of this Bill to deal with the organisation matters referred to in the questions.

Besides the submission which has been made by management and other groupings, is it the Minister's intention to have a full evaluation before any decision will be made on the question of carving up Bord na Móna?

The question of carving up Bord na Móna has not arisen except in the context of the task force report which was prepared at the behest of the chief executive, Mr. O'Connor, and his management team. The consultants are already appointed and they are looking at the operations of Bord na Móna. I expect them to report to me by the spring, at which stage the task force report together with the report of the consultants will be of benefit to the Government in arriving at decisions for the future of Bord na Móna. So that time will not be lost, I have today circulated legislation which will allow Bord na Móna to become involved in joint ventures and in areas outside their immediate remit, namely peat extraction. For example, they can become involved in engineering, horticulture and consultancy services and use their expertise as leaders in the peat extraction area where they have an international reputation.