Oireachtas Joint and Select Committees

Wednesday, 25 January 2023

Joint Oireachtas Committee on European Union Affairs

Priorities for European Presidency: Engagement with Ambassador of Sweden

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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I welcome on behalf of the members of the committee the ambassador of Sweden, H.E. Mr. Magnus Rydén and his colleague,Ms Annica White. You are both most welcome to today's meeting to discuss the Swedish Presidency for the upcoming six months, already of course well established. I apologise for the absence of the Cathaoirleach. You will have to put up with me as Leas Chathaoirleach to chair the meetings today. Before we begin, I am obliged to read this note on privilege and housekeeping matters. All witnesses are reminded of the longstanding parliamentary practice that one should not criticise or make charges against any person or entity by name in such a way as to make him or her identifiable or otherwise engage in speech that might be regarded as damaging to the good name of any person. Therefore, if a statement is potentially defamatory in relation to an identifiable person or entity the witness will be directed to discontinue their remarks. Members are reminded of the longstanding parliamentary practice to the effect that they should not comment on or make charges against a person outside of the Houses or an official either by name or in such a way as to make him or her identifiable. I remind members of the constitutional requirement that members must be physically present within the confines of the Leinster House complex in order to participate in the in-public meetings and therefore I cannot permit members who are not physically present to ask questions.

I now invite His Excellency Ambassador Rydén to make his opening statement and I thank him for circulating it in advance.

H.E. Mr. Magnus Ryd?n:

I thank the Chairman and the members of the committee. It is an honour for me and my deputy, Ms Annica White, to be here to present the priorities of the Swedish Presidency of the Council of the European Union. This is Sweden’s third time in the EU Presidency role and we are delighted that we have the opportunity to be here and that the Swedish EU Presidency coincides with Ireland and Denmark celebrating 50 years of EU membership.

The central role of the Presidency is to lead the work of the Council at all levels. Another important task is to advance the EU agenda in the common interest of all the member states. During the Presidency, there will be some 2 000 formal meetings and we will organise 150 informal meetings in Sweden. We will welcome some 17 000 delegates to Sweden to attend the meetings. Most importantly we will, together with the Commission and the European Parliament, address some 350 current policy and legislative issues during the first half of 2023. This is at the core of the EU Presidency.

Sweden's Prime Minister, Mr. Ulf Kristersson presented the priorities in December. They are based on the trio programme jointly developed by Sweden, France and the Czech Republic. The motto for the Presidency is "A safer, greener and freer Europe".

The four priorities of the Presidency will be security; green transition and energy transition; competitiveness and democratic values; and the rule of law. These are the four priorities but as is the case with all Presidencies, we also have to be prepared for the unexpected. We have to be flexible and ready to change focus depending on external events and circumstances.

The primary task of the Swedish Presidency is to help ensure Europe’s security. The EU’s rapid and determined response to the Russian aggression against Ukraine was a sign of strength. Maintaining this unity regarding both enhanced support to Ukraine and sanctions against the Russian regime will be an absolutely key task for the Presidency. Not only the external security but also internal security must be strengthened through better border surveillance and enhanced police co-operation.

On the green transition and energy transition the Swedish Presidency aims to finalise negotiations on the remaining parts of the EU's Fit for 55 climate package. The EU has an ambitious target of reducing its net emissions by at least 55% by 2030 and achieving climate neutrality by 2050 and we will be making key contributions to meet this target. In order for the EU to be able to rapidly reduce its dependence on Russian gas and other fossil energy sources, more fossil-free and reliable electricity, including nuclear power, is needed. We need to respect the right of each member state to decide on its own energy mix. The EU must also be well-equipped for next winter. The Swedish Presidency will need to be prepared to take additional emergency measures to manage the energy crisis and energy costs. The first quarter of 2023 may also see work begin on a major reform of the European energy market.

During our Presidency we will celebrate one of EU's greatest achievements, the Single Market. We will mark the 30th anniversary of the Internal Market by looking forward and setting a long-term competitiveness agenda for the European Union. The Single Market works well for goods, but needs to be developed for services and digital business models. We will also push for an ambitious free trade agenda with our trading partners around the world.

On democratic values and the rule of law, we have seen in recent years challenges to the rule of law mounting both here in the EU and globally. Independent judiciaries and functioning democratic institutions are necessary for mutual trust between member states. Upholding the principle of rule of law and fundamental rights is therefore an essential element of Sweden's Presidency of the Council. The Commission's Rule of Law Report presents significant developments at EU level which is encouraging.

Also, Europe’s geopolitical position has changed and the need for unity has never been greater.

I would like to add the following point on enlargement. The Presidency will follow up on the European Council’s decision to grant candidate status to Ukraine and Moldova and to offer a European perspective to Georgia, and we will continue the EU's integration process of the western Balkan countries. The future of these countries and their citizens lies in the EU. The EU needs to continue to support these countries in their efforts to implement reforms as part of the accession process. Reforms in the area of the judiciary and rule of law are crucial in this context. I thank members for their attention.

Photo of Lisa ChambersLisa Chambers (Fianna Fail)
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I thank the ambassador for being here. It is interesting and welcome to hear the outline of his agenda and Sweden's programme for the Presidency. I have three areas I want to focus on. The ambassador spoke about security as being the first area, both internal and external, and he referenced Russia. What is Mr. Rydén's view and what is the view of his country on sanctions against Russia and the disparity of application of those sanctions across member states? Some member states are doing a lot more than others and that is breeding resentment across member states. Does he have any views on how that should be addressed?

My second question is around the ambassador's comments surrounding an ambitious free trade agenda. There will always be conflicting views on that because it is a trade-off. When you enter into a free trade agreement with another country, a third party, it wants something in return. Where does Mr. Rydén foresee the challenges in that? I specifically reference the area of food and agriculture. We have particular concerns in Ireland around a free trade agreement with countries where agricultural standards are not as high as they are here. We would certainly not want the EU market to be flooded with produce that is not produced to the same level as it is in Ireland, to the disadvantage of our farmers and agricultural community.

Why has Sweden omitted the issue of migration from its agenda for this year? It is the key issue and the elephant in the room. It is the top challenge for every single member state, not just flowing from the war in Ukraine but from other conflicts around the globe and from climate change. It is the most contentious issue at an EU level and I wonder if it has been left off the agenda on purpose because it is so challenging. It is something that might prompt reflection because it should be included as an issue to be addressed by the Presidency.

H.E. Mr. Magnus Ryd?n:

I thank the Senator for her questions. On Russia, we see increased support for Ukraine, politically, economically, militarily and in humanitarian and legal support. The establishment of an international platform for the co-ordination of reconstruction support will also be an important element going forward. We need to continue putting pressure on Russia, Belarus and others responsible, for example through more sanctions and by ensuring accountability for international crimes. Russia's aggression has consequences for the EU's internal security, as I mentioned and as the Senator mentioned. Combatting organised crime, terrorism, violence and extremism is a priority in order to ensure the safety of EU citizens, which is something we will take forward during our Presidency.

I thank the Senator for the question on the free trade agenda. It is important to continue the work on free trade agreements and we have to negotiate and ratify the trade agreements, which we are working on, together with the Commission. Hopefully we can take a step forward during our Presidency. The reconstruction of Ukraine is also on the trade agenda, as I have just mentioned. We will also need to prioritise trade relations with the United States, which is extremely important for transatlantic trade relations. We are looking at a modern and forward-looking trade agenda. We want to include digital transition and sustainability and we also need to look at the reform of the World Trade Organization as part of our Presidency. We have some important fights being discussed in Brussels, which we also need to work on, such as the anti-coercion instrument and the generalised scheme of preferences, GSP, system. That will be part of our trade agenda.

Migration is also one of our important questions which we need to take further. There will be a European Council meeting in February and we will discuss migration at that time. We will work on the migration and asylum pact in line with agreement between the institutions. There is a deadline set for before the next European Parliament election; that is the timetable the Council, the Parliament and the Commission have set for themselves. We need to look at that and at the clear and fair division of responsibility, where all countries contribute. We are looking forward to a discussion on migration next month in Brussels.

Photo of Joe McHughJoe McHugh (Donegal, Fine Gael)
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The next speaker is Deputy Haughey but Deputy Ó Murchú is under a time constraint, which is not unusual. If that is okay I will go to Deputy Ó Murchú.

Photo of Ruairi Ó MurchúRuairi Ó Murchú (Louth, Sinn Fein)
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I appreciate that from Deputy Haughey. This should be a delight for the committee because usually I just hog this space. I am not good at being brief, as we all know. The ambassador has laid out a considerable number of priorities, and some of them are obvious, such as renewables. He made the point that you have to expect the unexpected because nobody could have guessed any headline we have had in recent years.

I agree with what Senator Chambers said about migration being an issue that needs to be dealt with across Europe. We need to find better modalities of dealing with people who are fleeing the war in Ukraine and who are seeking international protection. We must also facilitate the people who every economy requires to work in jobs and positions that we cannot fill. Some of that is for another day and a wider discussion.

Since the Ukrainian crisis and the Russian invasion there has been a change in Sweden and Finland’s neutrality. Would Ambassador Rydén mind going into the changing nature of the views of the Swedish people? NATO is not necessarily a place I would like to see Ireland go, although Sweden makes its own determinations. Sweden has felt some flak from Turkey at times. I ask the ambassador to comment on that, not that I would necessarily be buying some of President Erdoan's claims.

H.E. Mr. Magnus Ryd?n:

I thank the Deputy for the questions. On security, as part of our priorities we will enhance the co-operation between the European Union and NATO. Not being part of the EU Presidency priorities and role, I will put my Swedish hat back on and we can note that Sweden has applied for membership of NATO, together with Finland. There is an agreement between Finland, Sweden and Turkey, which we are working on, so we will take that forward. That is not part of the Presidency, however. We need to continue working on the common foreign and security policy of the European Union and that is also something we will look into during our Presidency.

Photo of Ruairi Ó MurchúRuairi Ó Murchú (Louth, Sinn Fein)
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I was interested in that point, given that we are possibly meeting with a committee from Turkey, possibly in the Committee on Foreign Affairs and Defence. I was interested to hear the ambassador's view on that but that is a work in progress from where he is coming. There has been a change of view in Sweden, which has been in the public domain. A lot of people have probably changed their views on many things, given the set of circumstances in which we find ourselves.

One of those major things is as follows. I am always uneasy about making points like this and I accept that every state has a right to make its own decisions.

I am not sure we necessarily want to see situations where people lock themselves into nuclear energy, while accepting there is currently a considerable amount of production of nuclear energy across Europe. We really need to see those game changer moves in the context of renewables. That has to be a priority. Here, it has been a failing across the board, given the nature of the island of Ireland and the amount of offshore wind capacity we should have. That has to be rectified; we have no choice in that regard. Where does that sit in terms of Sweden’s priorities for the Presidency and, beyond that, for Sweden itself? Scandinavian countries have a reasonable history in terms of state involvement in energy production and whatever else.

H.E. Mr. Magnus Ryd?n:

I thank the Deputy for his questions on green transition and energy transition. It is, of course, a priority. As I stated in my initial remarks, the Fit for 55 package will be very important in this context,. We also need to look at other measures to handle the energy crisis without backtracking on the green transition. The coming reform of the EU electricity market will be a priority. It will be crucial to secure a functional market with initiatives for green transition in the energy sector. We further prioritise the work with the new ecodesign regulation, which will ensure a well-functioning internal market and products that are easier to repair, reuse and recycle. We have a lot on our agenda on the energy side and we will want to work with the Commission, the Parliament and all member states to take this forward during our Presidency.

Photo of Seán HaugheySeán Haughey (Dublin Bay North, Fianna Fail)
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I thank the ambassador for outlining his country’s programme. I agree with the four priorities he outlined for the Swedish presidency. Security and the war in Ukraine continues to be the major issue. As he is aware, Ireland pursues a policy of military neutrality and defence is a national competence, but I invite him to expand on the Swedish application, in association with Finland, for membership of NATO. Has there been a decoupling of that joint application? I ask the ambassador to bring us up to speed on developments in Sweden’s application. Where is Sweden at now with the application and the role of Turkey? I appreciate it is a Swedish domestic issue but I would be interested to hear the views of the ambassador on it.

On democratic values and the rule of law, it is time for the EU to bite the bullet. There seems to be a lot of backsliding in some member states, as well as in some applicant countries. Hungary is the bold child of Europe and Poland is not far behind it. Does the ambassador envisage a more strict line being taken in respect of these countries, with Article 7 proceedings and so on? It is coming to a head. Is there political will at the European Council to deal with this situation? I suspect there is not, but I would be interested in hearing the views of the ambassador on how Sweden, through its Presidency, intends to tackle that issue.

The ambassador mentioned enlargement and the western Balkans. There is very little movement in that regard. It is important for the geo-political situation. Ireland is commemorating 50 years of EU membership. I met the ambassador at a function last night at which the Taoiseach mentioned the western Balkans and the need for progress to be made in that regard. Will a priority for the Swedish Presidency be to make real progress in respect of these applicant countries? Is there the political will to do so?

H.E. Mr. Magnus Ryd?n:

I thank the Deputy for his questions. To comment on the rule of law first, of course, we fully support the rule of law and the use of all available tools in the European Union. We will continue the Council’s country-specific discussions in the rule of law dialogue that is ongoing at the Council. That is an important instrument. Another instrument is the Article 7 procedures the Deputy mentioned and we will continue them, together with the Commission. As I stated, we also have the Commission’s report, which is encouraging when it comes to the rule of law. In addition, we welcome the decision in December 2022 in accordance with the conditionality regulation regarding Hungary. The Swedish Presidency is prepared to handle any issues that may arise in the Council following the decision in December. Those are some of the instruments on which we are working.

On enlargement, I echo what I stated in respect of the western Balkans. I thank the Deputy for noting that. We will work to enhance the enlargement process in the European Union, including in the western Balkans.

Finally, on Turkey, as the Deputy stated, this is not a matter for the EU Presidency itself. We applied for NATO membership last year, along with Finland. Together with Turkey, Finland and Sweden, we had an agreement last summer from the NATO meeting in Madrid. Since then, 28 of 30 EU countries have ratified the Swedish and Finnish accession process. We now continue that work, together with Finland, going forward.

Photo of Sharon KeoganSharon Keogan (Independent)
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The ambassador is very welcome to Ireland. I wish Sweden well on its EU Presidency this year.

The first issue I wish to raise relates to the Swedish Embassy. Sweden closed its embassy in Ireland in 2010. What are its plans in respect of reopening its embassy here?

The second issue I wish to raise is similar to that raised earlier by Senator Chambers in respect of the migration issue. I refer to the domestic challenges Sweden faces as a nation in that regard. I understand it has struggled with the integration of migrants into society, as well as violent crime. How are those two issues shaping the political debate domestically? What domestic proposals does Sweden have to deal with those worrying issues? If they affect Sweden, they affect Ireland.

H.E. Mr. Magnus Ryd?n:

I thank the Senator for her questions. Regarding the reopening of the Swedish Embassy, we have great news. We will reopen the embassy this year. On 1 February, we will be moving to a temporary location. That is great news.

Photo of Sharon KeoganSharon Keogan (Independent)
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Very good.

H.E. Mr. Magnus Ryd?n:

A lot of things are happening this year. Not only will Sweden hold the EU Presidency, we will also be coming back to Ireland and upgrading our diplomatic presence here. We look forward to that.

On migration, it is an important issue at EU level and national level. In Sweden, we have had a broad debate in respect of migration. We have a new Government that has a programme of Government for the coming four years of its term. It has a couple of proposals to deal with migration and other issues raised by the Senator. We will continue to work on that. That will also be part of the EU agenda when we discuss the asylum and migration pact in the European Union. We will have a Government that has a programme and we will continue with a couple of proposals nationally to deal with the situation in Sweden.

Photo of Sharon KeoganSharon Keogan (Independent)
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Does the ambassador believe the proposals are currently working? In the past 20-odd days, there has been serious violent crime in Sweden.

H.E. Mr. Magnus Ryd?n:

Yes.

Photo of Sharon KeoganSharon Keogan (Independent)
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What are the proposals and how will they be implemented?

H.E. Mr. Magnus Ryd?n:

There are a couple of proposals which I could perhaps share with the Senator after the meeting.

Photo of Sharon KeoganSharon Keogan (Independent)
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No problem.

H.E. Mr. Magnus Ryd?n:

There is a will to-----

Photo of Sharon KeoganSharon Keogan (Independent)
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To combat that.

H.E. Mr. Magnus Ryd?n:

Yes, of course. We will come back with some of the proposals.

Photo of Sharon KeoganSharon Keogan (Independent)
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I thank the ambassador.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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I thank the Senator.

I have a few questions. My first is on the declaration that the Swedish Presidency would seek to establish a comprehensive strategy for European competitiveness. Has the Presidency looked at the relaxation of state aid rules since last year, and its impact on European competitiveness? We can see that France and Germany, since March 2022, account for 77% of the €672 million approved in state aid. The concern from less financially robust countries is that Germany and France would be able to distort internal competitiveness with subsidies and supports. Is that issue encompassed by the Presidency and what does it propose to do about it? On a related issue, which is the United States and its stimulus packages, concern was raised at last week's Franco-German meeting about the impact that would have on Europe. Is that on the economic agenda of the Presidency, in terms of what might be done about it? My third question, and I ask the ambassador's forgiveness for straying beyond the remit of our invitation, but in his submission he states that democratic values or the rule of law are among the priorities Sweden has set for its Presidency. In that context, and as I was the Minister who introduced whistleblowing legislation into this jurisdiction, I ask him to reflect if he has seen the article by Michael Brennan in a recent Business Postconcerning the treatment of a whistleblower. His name has been published. It is Mr. Power. This treatment is by a company 60% owned by the Swedish telecoms company, Telia. Mr. Power is a constituent in Waterford, in a neighbouring constituency to my own. He has asked to meet with the ambassador to discuss these matters. Has the ambassador given that any consideration and would he give it any consideration? He may not wish, or be in a position, to respond to that immediately. Those are my opening questions.

H.E. Mr. Magnus Ryd?n:

I thank the Chair. I understand the first question about the competitiveness agenda, and of course we will look at that. It needs to be looked at both in the short term and in the long term. As I have said this is a very important agenda and priority for the Swedish Presidency. We will celebrate 30 years of the EU Single Market this Spring, which of course is a chance to highlight the importance of the Single Market for the free movement of people, goods, capital and services. That is something we will do, together with an external trade agenda that is part of the competitiveness agenda. The Chair raised the question of subsidies. There has been a political debate around the US Inflation Reduction Act, which we also need to look into. Right now the Presidency is awaiting the Commission's analysis of the situation, and looking at different proposals. We will see what the Commission presents and we will take that forward in the Council. Next month there will also be a debate on competitiveness in the European Council. In March we have the European Council, which will be devoted to competitiveness agenda issues. We will raise the issue of state subsidies and also look at various proposals the Commission may present. That is an important agenda point. On the rule of law we will of course continue with Article 7, the country-specific discussions, which is the instrument I mentioned. On the Chair's final point I will look into the matter and I thank him for raising it. I will have a look at it and come back to the committee.

Photo of Joe McHughJoe McHugh (Donegal, Fine Gael)
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I greatly appreciate that and thank the ambassador. I call Deputy Haughey for a supplementary.

Photo of Seán HaugheySeán Haughey (Dublin Bay North, Fianna Fail)
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We did not mention the green transition and energy transition, which is so important. Energy is one of the big issues on the agenda following the Russian invasion of Ukraine, and I want to wish the ambassador well with that. It is a complex issue, but no doubt the EU will deal with it. I will return to Swedish domestic policy. Sweden was a neutral country and is now applying to join NATO. I am anxious to explore that a little more, and in particular the ongoing debate regarding the Leopard 2 German tanks and so on. Is Sweden giving that any consideration? Is it a matter of interest for Sweden? Does it arise in its case? How is Sweden helping Ukraine at this point in time? Obviously it is a multi-faceted approach so far as Ireland is concerned with regard to Ukrainians coming here as refugees, our support for the European peace facility and the ongoing rounds of sanctions and so forth. However, I would be interested to know Swedish popular opinion relating to the war in Ukraine, how it should help and how it is assisting the effort. Finally, is the specific issue of the Leopard 2 tanks of interest or concern to Sweden?

Photo of Joe McHughJoe McHugh (Donegal, Fine Gael)
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We are all straying beyond the ambassador's Presidency remit, but I invite him to respond if he is able to do so.

H.E. Mr. Magnus Ryd?n:

I thank the Deputy for the questions. Looking at Sweden we have said that there is a before and after 24 February. We applied for NATO membership after the 24 February. That was later, in May. We have had a discussion and there is strong support for NATO membership in the Swedish Parliament and among the citizens too. There is also strong support for the EU as a whole in Sweden. It is interesting, because that support has grown after our Presidencies. For example, when we had the first Presidency in 2001 we could see that opinion was stronger for the European Union. It was the same with the other Presidencies. Hopefully with this Presidency we will also see an increase in public support for the European Union.

Coming back to the recent debate, we follow it every day and we see the discussions. Sweden, of course, has both supported Ukraine with humanitarian aid, economic aid and military means. I would not exclude anything these days but I have not seen any report as yet. The government decided on a huge package for Ukraine just last week.

Photo of Joe McHughJoe McHugh (Donegal, Fine Gael)
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I thank the ambassador for his attendance. We may well need to interact again over the course of the next six months. On behalf of the committee I wish the ambassador and all of his colleagues well. We know how demanding a Council Presidency is, and we all like to put our best foot forward. I know Sweden will do splendidly in its third opportunity to lead the Council.

The joint committee adjourned at 10.49 a.m. until 9.30 a.m on Wednesday, 1 February 2023.