Dáil debates

Tuesday, 27 January 2009

3:00 pm

Photo of Lucinda CreightonLucinda Creighton (Dublin South East, Fine Gael)
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Question 103: To ask the Minister for Foreign Affairs the priorities for the new EU Presidency; and if he will make a statement on the matter. [2404/09]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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Under an over-arching motto of "Europe Without Barriers," the Czech Presidency will focus on the economy, energy and the European Union in the world. Under the external relations umbrella, the Czech Presidency has identified three key priorities: the eastern partnership, transatlantic relations and Western Balkans-enlargement. The eastern partnership, which is part of the European neighbourhood policy, is a key Presidency priority. The Commission's communication of 3 December will form the basis for the Czech Presidency's efforts to move this initiative forward.

On Kosovo, the main task for the incoming Presidency will be to ensure that, following initial deployment of the EU Rule of Law Mission in Kosovo, EULEX, on 9 December, it will be in a position to focus on the full implementation of its mandate. The Presidency will prioritise the accession negotiations with Croatia, which is aiming to complete its negotiations by the end of 2009.

In addition to addressing the issue of energy security, the Czech Presidency will have an important role to play in shaping the Union's continuing response to current extremely difficult global economic conditions. These events have underlined the value of European nations working closely together under the EU umbrella in order to protect our many shared interests.

I particularly look forward to co-operating with the Presidency in taking work forward on the legal guarantees on the Lisbon treaty committed to Ireland by the December European Council in response to concerns that surfaced during our referendum campaign. It is important that we finalise these guarantees to our full satisfaction in the coming months. The Czech Presidency is a fitting way to mark the 20th anniversary of the collapse of the Soviet system. I wish the Czech Government well for its Presidency and expect that it will discharge its responsibilities in an effective manner.

Photo of Lucinda CreightonLucinda Creighton (Dublin South East, Fine Gael)
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I am aware that the economy, energy and external relations are the key themes. However, I am surprised that the Minister has managed to gloss over the economy, which is probably the most pressing issue of direct relevance to this country. I have noted that the Czech Presidency has laid particular emphasis on the role of the EU in enhancing competitiveness, and I have some questions in that regard. We have seen emphasis over the past ten years or so as regards the Lisbon strategy and improving and enhancing competitiveness across the EU. I wonder whether any particular developments are envisaged in that regard, because this is now of major concern to the Irish people.

In addition, under the economy heading, a good deal of emphasis has been laid on the role of small and medium-sized enterprises, SMEs. As I am sure the Minister is aware a package, known as the "Small Business Act", which is a series of proposals on reducing regulation and making it easier for SMEs to operate in the EU, is of major concern, both for the Irish and the European-wide economies, and is being emphasised, it appears, by the Czech Presidency as well. I wonder whether there are concrete proposals in that regard. I asked the Minister's colleague, the Minister for Enterprise, Trade and Employment, Deputy Mary Coughlan, about this last autumn, but bizarrely, she did not even seem to have heard of it. Are there any specific proposals on credit flows for SMEs under that package?

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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The major package on the economy was the one agreed at the December Council, initiated by the French Presidency, namely, the economic recovery plan, which was an over-arching framework for providing a stimulus to EU economies. In the Irish context the more than 5% investment in capital infrastructure, which will take place in 2009, represents our economic stimulus package on the economy. It is double the rate of most of EU states in terms of capital spend. In terms of the development of small to medium-sized enterprises, we have been very active, for example as regards the implementation of the small business forum, that I established about two years ago when I was Minister for Enterprise, Trade and Employment. This comprised SME entrepreneurs along with the agencies in devising a blueprint for the development of small business, such as the provision of venture capital, and facilitating access to business agencies, funding and so on.

The European Investment Bank as part of the EU's reaction to the current economic crisis, provided substantial funding through loan facilities. It is up to the banks in member states to avail of the EIB package to assist credit flows to SMEs across the European Union.

In terms of the Czech Presidency, the ECOFIN Council will deal primarily with the economic side, while GAERC will deal, mainly, with the foreign affairs agenda and——

Photo of Michael D HigginsMichael D Higgins (Galway West, Labour)
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The platitudes.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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No, that is not correct. It will deal with the other dimensions, such as energy, which we dealt withyesterday. There is a key emphasis on energy infrastructure because of the Ukraine-Russian crisis.

Photo of Lucinda CreightonLucinda Creighton (Dublin South East, Fine Gael)
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As regards the energy flow, in particular, we urgently need to see a reduction in our dependence on Russia. That was particularly highlighted over the Christmas period, given the crisis in eastern Europe, which clearly will have a knock-on effect if we do not reduce our dependency. Perhaps the Minister can enlighten the House as to whether there are any proposals or developments in that area.

On the priority being given to Croatian accession, does the Minister intend to impose the same restrictions on free movement of Croatian workers, in the event, as are at present in place for Bulgaria and Romania?

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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In terms of the energy situation, clearly the issues that arose between Russia and Ukraine had severe impacts on quite a number of EU member states. In a spirit of solidarity all member states are very concerned at what transpired, in terms of the commercial and economic disruption as well as the inability of both countries to live up to their contractual responsibilities in terms of the delivery of gas to EU member state customers. That has highlighted the need to diversify in terms of energy.

In the context of the economic recovery plan, a range of energy infrastructure projects are under discussion, relating to inter-connection and the improvement of energy supply and so forth, which would facilitate a better and more diversified energy situation. That is under active consideration by the Commission as we speak.

As regards Croatia, once the terms of an accession treaty have been agreed, the Tánaiste, as Minister for Enterprise, Trade and Employment will bring recommendations to Government as regards how that particular matter will be dealt with.