Dáil debates

Thursday, 7 May 2015

Challenges Facing the European Union: Statements

 

11:00 am

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail) | Oireachtas source

Fianna Fáil is committed to a democratic and accountable European Union of member states who work together for the mutual benefit of all Europe's citizens. We believe strongly In the principle of subsidiarity which guarantees the freedom of member states to act where they are most effective. In the past two decades we have seen a number of European institutional developments which have sought to deepen and enhance the process of European integration. While we do not wish to see any of these rolled back, we recognise that the speed and nature of some of these moves have left many citizens unsure and disconnected from the European Union. The EU must pursue policies which promote growth, equality and fairness for all its citizens. While we strongly believe that Ireland's best interests politically and economically are best served by our remaining at the centre of the European Union and the eurozone, we also believe that we must critically analyse all political developments in the European Union to ensure that the interests of the Irish people are best served by those developments. As the Minister of State said this debate takes place as the British people go to the polls today. The outcome would appear too close to call at this point. We must be conscious that the Conservative party has contested the election with a pledge to a referendum on continued membership of the European Union.

In the event of the Tory party leading the next British Government, there will be legislation in the first session of the next parliament for an in-out referendum to be held on Britain's membership of the European Union before the end of 2017. The Tories pledge to negotiate a new settlement for Britain in the European Union and then will ask the British people whether they want to stay in on this basis, or leave. A key part of this will be immigration and the Tories want to renegotiate welfare rules so that immigrants have to be working for a certain period in Britain before they can claim benefits. That is the pledge that has been made. Britain is Ireland's biggest trading partner and close ally in the European institutions. We can have strong, robust differences on particular issues but I know from my own experience, I am sure the Minister of State will agree, that Britain is a close ally on a huge number of important issues of mutual concern and interest to both countries. It is also the only country with whom we share a land border.

It is essential that we have a contingency plan in the event that the UK decides to leave the European Union. Such an action plan in place would outline the policy to be pursued to lessen the impact of any British decision to leave on our economy, on our position in European Union and our vital relationship with the UK overall. Coming from a rural parish that borders County Fermanagh I grew up with the customs posts and the permanent vehicle checkpoints. At our recent Ard-Fheis on a session on Northern Ireland, there was huge participation from the floor in regard to the question of British continued membership of the European Union. Many of the contributions from the floor were from people who live in Northern Ireland who are party members and people originally from the North of Ireland who are now living in the State. Their absolute concern was in regard to possible developments and Britain's continued membership of the European Union. It would be an absolute nightmare if Ireland was a member of the Single Market and Britain was not which would necessitate it leaving the Single Market if it left the European Union. We do not want customs posts back in south Ulster and along part of Leinster and Connacht. That would be a nightmare from the point of view of trade, commerce and developing business. Thankfully, since the mid 1990s we have had huge progress on a North-South basis and on an east-west basis also and we want that progress to continue. It has been asserted by some in Britain that they can quit the European Union but retain full access to the Single Market. This is a ludicrous contention. Membership of the European Union must have some distinct advantages and responsibilities.

The Greek situation remains very serious. We have consistently argued as a party that Greece needs further substantial action on its debt if it is to be given a credible path to growth. There have been encouraging signs in recent days in regard to dealing with the particular issues that will arise shortly in regard to debt repayments and hopefully the necessary progress can be made.

One of the very difficult issues the European Union has to face up to is relationships with the East and, particularly, with Russia. We should be developing stronger relationships with Russia. It is not the European Union's fault that there have been negative developments in the past 18 months. It is clear that all is not well with the political system in Moscow. Increasing Russian aggression towards its neighbours and internally towards political opponents is a most frightening development. There appears to be an increasing culture of fear in Russia. Current Russian foreign policy has resulted in war in Ukraine with untold devastation and the undermining of that country's sovereignty. Even Ireland, a country which has traditionally had a distinctly cordial relationship with Russia, has been touched by this aggression through the infringement of Irish controlled air space by Russian military aircraft. This we have learned resulted in commercial air traffic having to be diverted or suspended when travelling to and from Irish airports. That is not acceptable. Irish controlled air space has to be under the control of the relevant authorities. That abuse by the Russians is not acceptable. There is so much potential with regard to possible increased trade. We have witnessed the results of sanctions being imposed by the European Union and the negative effect they have had on various sectors particularly in the food area. We would like to see agreement reached from the point of view of commitments being made and conditions established to ensure trade can resume.

Fianna Fáil calls for a re-examination of the structures of the Economic and Monetary Union as well as the mandate of the European Central Bank. The architecture to ensure the long-term sustainability of the eurozone still needs to be put in place to provide a secure basis for the future prosperity of the European Union. The ECB's mandate must require policies for targeted growth as well as targeting inflation. The European Union must fulfil its commitment to separate sovereign debt and banking debt within the Union. The Euro Area Heads of State or Government agreed in June 2012 to break the vicious circle between banks and sovereigns. It is now time to fulfil this commitment by retroactively recapitalising Irish banks and recognising the unfair burden Ireland has largely due to ECB insistence at critical points of the financial crisis.

Europe must lead in the fight against climate change. We must ensure that the European Union supports sustainable, sensible and renewable energy policies at a European level. The European Union must also ensure that our international partners keep their commitments to reduce the causes of climate change internationally. The implementation of policies to tackle climate change must ensure the safeguarding of sustainable food production systems, which are vitally important in the fight against hunger and malnutrition. We support policies which reduce European dependency on outside energy resources. The EU must pursue policies which increase energy security and stability within the Union.

Fianna Fáil believes that the EU's enlargement policy is one of the most effective foreign policy tools the Union has at its disposal. Our party has, however, consistently outlined that it is important to consolidate the new EU legislative structures introduced in the Treaty of Lisbon and to continue to build economic stability in the EU in advance of any further enlargement.

I do not think the Minister of State referred to the proposed transatlantic trade and investment partnership, TTIP. Fianna Fáil supports the successful and balanced conclusion of the EU-US free trade agreement. It has the potential to boost the European economy but we have to be conscious of concerns surrounding food standards and safety. The EU must ensure that food standards are not diminished in Europe by this agreement. In that regard, the Irish Government must raise its voice to defend Ireland's interests in agriculture and the agrifood sector in the negotiation of this deal. Fianna Fáil is also opposed to any agreement which allows for the undermining of the Irish courts' jurisdiction through an investor-state dispute settlement, ISDS, clause. The EU must make a clear decision and commitment in the negotiations that there be no dumbing down of workers' rights in any proposed agreement. That has to be a kernel of our position.

This is the first time that a round of funding for the Common Agricultural Policy, CAP, has been reduced, between 2014 and 2020. Thankfully, the milk quotas were abolished at the end of March. We secured a commitment at the health check of the CAP review in November 2008 to the ending of milk quotas at the end of March 2015. That was a very good decision but many members of the EU did not support it enthusiastically. We were one of the few countries that were very vigorous and forceful in demanding that the EU abolish milk quotas. Subsequently, and it was utterly crazy, many member states made an effort in late 2009 to pause that decision to abolish quotas, which would have sent a terrible mixed message to the farmers in the EU who would not know whether or not quotas would be abolished. We fought that vigorously. The decision confirmed in 2008 remained in place and, thankfully, that restriction has been removed from our farmers.

It is disappointing that the EU is imposing a super levy on farmers just at the time when they need to invest to expand. All of us who represent rural counties are particularly conscious of the opportunity there is for farmers to expand but that needs investment. Unfortunately, the EU is imposing that super levy on farmers which is most regrettable. The levy goes back into central funds and is not necessarily kept to support the dairy sector. I hope the Government will try to get the EU to change on this issue.

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