Catherine Connolly (Galway West, Independent)
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56. To ask the Minister for Jobs, Enterprise and Innovation the implications for CETA of the judgment of the ECJ regarding the competence of the European Union in respect of the EU-Singapore Free Trade Agreement; and if she will make a statement on the matter. [30462/17]

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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The opinion of the Court of Justice of the European Union (CJEU) was sought in relation to the competence of the European Union to sign and conclude the EU Singapore Free Trade Agreement.  The opinion of the CJEU issued on the 16th of May 2017, and found that the Free Trade Agreement between the European Union (EU) and the Republic of Singapore (EUSFTA) cannot be signed and concluded by the EU alone: it has to be signed and concluded both by the EU and by each of its Member States, i.e. that it is a ‘Mixed Agreement’.

In its Opinion the CJEU found that some aspects the agreement fall within the EU’s exclusive competence while other aspects will require additional approval from national and regional legislatures.  These are referred to as ‘shared competences’.

The competences shared between the EU and the Member States are  provisions on investment protection in so far as they relate to non-direct foreign investment (i.e., portfolio investments); and provisions on Investor-State Dispute Settlement (ISDS).

The Opinion means that those aspects of a trade agreement in respect of which the EU does not have exclusive competence, cannot be applied until ratified by Member States according to the requirements of their national law.

Consideration must now be given by both Member States and the EU Commission as to whether existing agreements which have yet to be ratified, or current agreements, which are under negotiation, should be concluded as ‘Mixed’ or ‘EU-only’ agreements. My Department is currently examining the Court's judgement including its implications for the ratification of future EU trade agreements.

As you may be aware, on the 30 October 2016, CETA was signed by representatives from Canada, the EU and its Member States. On 15 February 2017, the European Parliament voted in support of the provisional application of CETA.  The provisions relating to investment protection, investment dispute settlement and the Investment Court System are excluded from provisional application.  This means that these provisions will not take effect until voted on by the Dáil and every other Member State according to their national procedures.