John Browne (Wexford, Fianna Fail)
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Question 70: To ask the Tánaiste and Minister for Foreign Affairs and Trade the estimated cost of the oil embargo on Iran to the Irish economy; the actions he proposes to take in conjunction with the EU to prevent the uranium enrichment programme being pursued by Iran; and if he will make a statement on the matter. [9547/12]

Mick Wallace (Wexford, Independent)
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Question 71: To ask the Tánaiste and Minister for Foreign Affairs and Trade the justification for Ireland's support of further European sanctions on Iran in view of our policy of neutrality; his views on reports that current sanctions on Iran mean the country is struggling to buy basic staples to feed its 74 million people; and if he will make a statement on the matter. [9626/12]

Eamon Gilmore (Dún Laoghaire, Labour)
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I propose to take Questions Nos. 70 and 71 together.

The latest report of the International Atomic Energy Agency on Iran, issued on 8 November, concluded that there are both strong grounds for serious concerns regarding possible military dimensions to Iran's nuclear programme and that information available indicated that Iran had carried out activities relevant to the development of a nuclear explosive device. The report is based on information drawn from a wide variety of sources and deemed by the IAEA to be "consistent in terms of technical content, individuals and organizations involved, and time frames". The IAEA is, of course, the internationally recognised watchdog on this issue, with unrivalled technical expertise and a record of absolute impartiality and independence. The Government is satisfied, as are Ireland's EU partners, that the IAEA's report is credible and its conclusions must be taken very seriously.

Regrettably, Iran made no move to address the findings of the IAEA report. Therefore, in addition to tough bilateral sanctions implemented by US, Canada and the UK, the EU has recently been compelled to adopt two further rounds of restrictive measures which I fully support. These were agreed at the Foreign Affairs Councils held on 1 December 2011 and 23 January 2012 and include a phased embargo of Iranian crude oil imports to the EU.

While Ireland does not import any Iranian crude oil, Ireland is of course affected by increases in the global price of crude oil. While any such recent increases are regrettable, Ireland has been prepared, along with our EU Partners, to accept them as the necessary price for maintaining international cohesion and pressure on Iran to address the concerns over its nuclear programme. Moreover, any increase is likely to be at least partially offset by concerted efforts underway to promote increased alternative oil supplies and lower price agreements by existing consumers of Iranian crude.

There is no doubt that Iran is becoming increasingly isolated internationally as a result of its government's refusal to address the nuclear issue. This isolation is compounding the already extensive economic problems which Iran is currently facing and is negatively affecting the wider Iranian population, with whom the EU has no quarrel.

However, these sanctions can be swiftly reversed if Iran takes concrete steps to address the very serious concerns of the international community and provide assurances as to the peaceful intentions of its nuclear programme. In this regard, I note with interest Iran's recent acceptance of the E3+3's proposal of October 2011 to renew talks.

It is my belief that the additional measures adopted by the EU, as well as the tough bilateral sanctions implemented by US, Canada and the UK in recent months, have been of great influence in triggering this belated acceptance of talks by Iran. I hope that renewed negotiations will begin soon and that Iran will now address comprehensively the international concerns about the possible military dimension of its nuclear programme. I urge the Iranian side to enter negotiations this time in a genuine spirit of compromise and cooperation. Ultimately, it remains the Government's strong view that the issues surrounding Iran's nuclear activities can only be adequately addressed and resolved through diplomacy and negotiations, and not by any other means.