John Gerard Hanafin (Fianna Fail)

I am pleased to welcome the special report on the enhanced role for national parliaments in the Lisbon reform treaty. The reality is that despite claims that this will give less democracy within Europe, the Lisbon treaty will deliver more. While I do not like any sword of Damocles hanging over decisions, it is important to appreciate the ramifications of a "No" vote. Economically, Ireland is a little island, like a cork on the ocean, and we are very dependent on markets, not least Europe. At the time we joined the EEC, Ireland was almost wholly dependent on the UK. In 1973, 54% of exports went there and agriculture was the vital contributor at that time. The prices of commodities were dictated by our major trading partner. Britain's best interests lay in maintaining a cheap food policy and it continued to receive commodities from the old empire countries, subsequently the Commonwealth. It was getting sugar from the Caribbean, beef from South America and lamb from New Zealand, as well as buying butter and bacon from the Danes. Irish commodity prices were effectively being fixed by the British economy.

It is good to be aware of the implications. If, as I believe, this is a reform treaty, it might have been more in our interests to represent it as such were it not for the tradition of naming such agreements after the cities in which they were agreed, such as Maastricht, Amsterdam and Nice. Given the state of current international markets, I believe there will be a lack of confidence within the economic market, with serious consequences. We are going through a slowdown at the moment, with construction slowing down which is having knock-on effects on the wider economy. Somebody selling carpets or curtains will be affected, as will the shopkeeper selling the breakfast roll in the morning. There is an immediate knock-on effect. At this time, when the money markets are tight and inter-bank lending is much slower because of the lack of confidence and when the markets could do with a boost, I honestly believe a "No" result would be a significant blow to the economy.

More seriously, as mentioned by Senator Bradford, we work on goodwill within Europe, and should we be seen to be unreliable or undependable, that would be more serious on an ongoing basis. There are many parts of the Lisbon reform treaty that are very positive, such as the fact that national parliaments will have the "yellow card" and "orange card" mechanism to rein back the institution within Europe which is claiming a competence that is seen to be outside the subsidiarity principle. This is to be welcomed. I would not like to see at this time a vote of no confidence in what has been an extraordinary successful political achievement. I am mindful in particular of the opportunities provided to people such as me who finished school in the 1970s and have reaped the results through the 1980s, 1990s and into the new century.

It would be unfair, disingenuous and lacking in spirit of us not to give the young people coming forward today the opportunities we have enjoyed, because this is no more than a reforming treaty to take cognisance of the fact that there are now 27 member states as against the six at the start and that we need to reform the institutions as a result.