Micheál Martin (Cork South Central, Fianna Fail)

We repeatedly pointed out to officials that we were not taking this from anywhere in Europe. Location within Ireland would not have made any difference. That is not the issue; the issue is definition of innovation. During the Irish presidency, as this framework was being negotiated and concluded, Ireland was successful in getting a footnote into the framework agreement which allows for flexibility in terms of leading edge technology companies of this kind. We felt that clause was the way the Commission should have dealt with this particular project. China, India, the US and a range of countries outside the European Union are putting forward competitive packages for attracting foreign direct investment. Europe does not have a preordained destiny that means it will always be strong. We must get competitive and that is what the Lisbon Agenda is about. After six months in the job, I feel there is a mismatch between the rhetoric and commitment surrounding the agenda and decisions of this nature. We must reflect on and review that at pan-European level, given the competitive forces within Europe and outside.

There was a degree of advance spinning before this decision was announced by the Commission yesterday about which I also have concerns. It is important, even when going into a full formal process, that confidentiality is assured to companies in terms of commercially sensitive material they may be asked to submit. The events of recent days would not lend confidence to the process and this is a point I intend to take up with the Commission in light of my experiences this week.

The Commissioner indicated in writing to me that she felt she would not be prepared to approve the aid package at preliminary stage and therefore we cannot now grant the notified aid to Intel. However, work on the project has already commenced at the Leixlip site and will continue. We have a very good relationship with Intel and I have been in constant contact with the company throughout the process. I met different individuals and they are happy with their performance, staff, productivity and outcome in Ireland. They feel that Intel Ireland has been good for the company as a whole, and we feel Intel has been good for Ireland. It is my job and the Government's responsibility to maintain that strong and fruitful relationship into the future.

I agree with the Deputies on the indigenous issue. I am passionately committed to the implementation of the recommendations of the enterprise strategy group, in particular the internationalisation of indigenous Irish companies in the growth of small and medium-sized enterprises, equipping them with all that is required to internationalise and develop markets and build presence in overseas markets. I have a strong record regarding research and development in my previous portfolios at the Departments of Education and Science and Health and Children. I intend to give the issue a major priority in the context of Ireland's competitiveness, in particular the commercialisation of research and the linkage between research and small businesses in Ireland within the indigenous sector. I am in agreement with the essence of what the Deputies said regarding the importance of bringing indigenous enterprise centre stage.

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