Foynes and Limerick port companies to be amalgamated

The Government has moved tonight to end the bitter, long-running political and industrial controversy on the Shannon Estuary by deciding to amalgamate the two port companies at Foynes and Limerick. The Minister for the Marine told the Chairmen of both companies that, following an investigation into their operations, the Government was no longer prepared to tolerate the actions of vested interests who were preventing the development of the Estuary.

There has been controversy for 40 years over Government attempts to amalgamate the two port companies on the Shannon. All attempts up to now have failed. An investigation by consultants into the operations of both companies has reported that development of the Estuary, arguably Ireland's most potentially important international waterway, has been frustrated by vested interests defending their own patches.

The Minister for the Marine, Frank Fahey, told the Chairmen of both companies at a meeting in Limerick that the Government could no longer tolerate this and they would be amalgamated. Any staff redundancies will be voluntary and the headquarters of the new company will be in Foynes.

Accepting that there are likely to be difficulties, the Minister said he was determined the amalgamation will go ahead and legislation to support it will be passed by June. While the Chairmen of both companies have accepted the decision there are already indications that there will be objections from some sections of staff, particularly in Foynes.