Pearse Doherty (Donegal South West, Sinn Fein)

We can already see who the beneficiaries of the McCarthy recommendations will be. Wages in State companies will be reviewed - and we all know what that means - while shareholders in the companies will be bought off and guaranteed an annual dividend of at least 30% of profits. There are no economies there. I could go on longer about all of this; the report deals with it all.

We are discussing the consequences of earlier acts of national treachery. Most of the economic aspects of the oil and gas sector have been dealt with. We have been told that our proposals are unrealistic, would make us uncompetitive and would scare companies away. However, the most recent international experience has been a trend toward a greater state shareholding and increasing taxation rates. Russia, for example, has been referred to, and Norway continues to enjoy a thriving exploration sector despite its high level of tax. Where revised terms have been offered, and in many cases imposed on, companies there has been resistance but none has walked away. They will not walk away here either. To modify what the Minister said in regard to tax rates, 49% of a lot is still a lot.

The Government is telling us that if we introduce a tax at 50% or 51% on these companies they will simply walk away. We need to get them to do a wee bit of exploration and we will get the wee breadcrumbs from the table. We had the same arguments from Fianna Fáil and the Green Party in regard to regulation of the property sector and the housing bubble. There was wonder at why we should take that approach when we were taking in all these taxes. The same arguments are being perpetuated by this Government in regard to the oil and gas reserves, the assets that lie off our coast. There is potential there which can be realised. It is insane that this Government, despite Labour Party policy to review the terms and conditions of oil and gas exploration, has put forward an amendment proposing to continue with the existing regime. It is a complete and utter U-turn by the Government and Members opposite should hang their heads in shame.

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