Claims over sovereignty 'not correct'

IRELAND’S SOVEREIGNTY is not an issue where European involvement in the State’s budgetary process is concerned, Tánaiste Mary Coughlan told the Dáil.

She rejected as “populism”, “inappropriate” and “not correct”, Opposition claims that sovereignty could be threatened by the European Commission’s proposals that states in the euro zone must submit their budgets to Europe before they are introduced in national parliaments.

There were heated exchanges about demands for a debate on the commission proposals. The House was suspended for 10 minutes at one point, and Labour finance spokeswoman Joan Burton accused Ceann Comhairle Séamus Kirk of being sexist because she felt she was interrupted. Ms Burton told him that “sometimes your sexism gets the best of you”, and said he did not “interrupt or barrack” other TDs.

Mr Kirk said he had allowed her to raise the issue, but would not permit detailed contributions on the Order of Business.

Sinn Féin Dáil leader Caoimhghin Ó Caoláin first raised the EU issue, demanding a debate “to address this very serious and potentially dangerous matter for the fiscal sovereignty of this State”.

Ms Coughlan pointed to “speculative attacks on member states within the euro zone”, and said a “shared interest in an enhanced economic co-ordination throughout that zone is appropriate. Greater co-ordination on economic policy is also legislated for in the treaty.”

The measure was “not exclusive to Ireland” but “inclusive of all members of the euro zone”, and there would be opportunities next week to discuss it in the Dáil.

Ms Coughlan added that “further clarification on technical issues is currently being discussed with the commission”.

Arising from that “we may have to introduce legislation, although we are not in a position to completely verify its necessity”.

Mr Ó Caoláin said “not only might legislation be required but also a new treaty”.

Ms Burton said the Lisbon Treaty provided that “national parliaments would debate these issues before prime ministers, tánaistes and ministers for finance went off and made decisions”.

The Tánaiste said there was provision in the Lisbon Treaty for such budget co-ordination across Europe, but Ms Burton rejected this as incorrect. She believed it would be unfortunate to have a “phoney war” about arrangements with the EU “which are important in terms of our national interest”.

Ms Burton said the Lisbon Treaty gave national parliaments the right to debate issues before they were scrutinised at EU level and she wanted to know if the Taoiseach and Minister for Finance had already agreed to the commission’s proposals. “Does this parliament decide our budget or is the budget privately agreed in Brussels beforehand?”

Ms Coughlan said “if there are other issues requiring further discussion, they can be facilitated in due course”.