Bertie Ahern
Question:6 Mr. B. Ahern asked the Taoiseach the studies, if any, which are currently being carried out by the National Economic and Social Council. [2149/97]
Ceisteanna—Questions. - National Economic and Social Council Studies.
The following are the studies currently being carried out by the National Economic and Social Council (NESC):
Study No. 1: Challenges for the European Union: Integration and Enlargement. This is an analysis of economic and social policy issues arising in the European Union. The study focuses on three issues: (i) economic and social cohesion; (ii) the Union's eastern frontier and possible eastern enlargement; and (iii) economic and monetary union.
The study examines each of these policy areas in the light of new understandings of EU policymaking and the current stage of European integration. This study was undertaken by the NESC Secretariat and is currently going through final approval by the council. Its likely time of publication is early March.
Study No.2: Competitive Advantage and Clusters in the Irish Economy: A Study of Selected Manufacturing and Service Activities. The central purpose of this study is to explore how policy can promote the development of clusters in the Irish economy. This involved an analysis of industries in three sectors:
(i) indigenous manufacturing for which the dairy industry was selected; (ii) the internationally traded services for which the music industry was selected; and (iii) a sector which has been influenced to an appreciable degree by some form of contact or interaction with foreign multinational companies in Ireland and here the software industry was selected. This study was undertaken by consultants who have now submitted their first report which is currently being considered by the council.
Study No. 3: Ireland's Investment Performance. This study was undertaken by a consultant and is now being worked on by the Secretariat. It will be discussed by the council at its meeting on Friday,21 February 1997.
Study No. 4: Socio-Demographic Trends and Settlement Patterns: Implications for Public Policy. The council is undertaking a study of socio-demographic trends and their policy implications. A work programme was agreed comprising an examination of observed and projected trends and patterns in demographic and related social change. This study has now been reactivated, having been set aside for the Secretariat's work on Strategy into the 21st Century. It is now proposed to incorporate a study of settlement patterns in the overall study. Such a study was requested by my Department following the action plan of the Western Development Partnership Board. I have requested that the first reports be made available by mid-1997, if possible.
Study No. 5: Benchmarking. Partnership 2000 includes a commitment that the NESC, in consultation with relevant Government Departments, will benchmark Irish progress in the areas covered in the partnership, both over time and in comparison with other countries. This will involve reviewing the evidence, both national and across EU countries, of experience with benchmarking and related approaches in the public sector, and evaluating its appropriateness for application in the Irish public sector. The study will be undertaken by the Secretariat with consultancy input where specialist expertise is necessary. A research proposal will be presented to the April meeting of the council.
The Taoiseach will recall that a year ago I suggested that the National Economic and Social Council undertake studies on European Monetary Union. I welcome the fact that this report will be available in approximately one month. As a result of the conclusions of the work of the council a number of business organisations have suggested — Deputy Harney raised this matter earlier — that they should engage with the Government and the State agencies to help industry prepare for European Monetary Union. Studies undertaken in 1996 indicate that while there is still enormous support for European Monetary Union among small, medium and large businesses, there is a lack of knowledge in regard to what they should be doing to prepare for European Monetary Union. Does the Taoiseach agree that the council's study should be used in conjunction with the Government to assist industry in preparing for European Monetary Union which they support but for which they are totally unprepared?
That is a constructive suggestion with which I agree. It would be useful not just to have this report debated in the rather limited circle in which such reports tend to be debated but to have a proactive discussion with both sides of industry, and the farming sector also, on the implications of the single currency and, most importantly, the opportunities of the single currency. It is important to recognise that the onset of the single currency will bring major opportunities for Ireland. It will reduce the costs of transactions in and out of Ireland; it will make Ireland a more attractive investment location than it has been previously; and hopefully it will open up access to sources of long-term finance in particular that may not have been available to us previously where there was a currency risk, however small, involved in the transaction. It would be very useful to have a structured, joint analysis of the opportunities and the threats between the Government services and the social partners. While I indicated to Deputy Harney earlier that the NESC would be the body to carry out a study, the elaboration of that study into practical sectoral discussion is something that might require a new structure, and I will certainly pursue that matter.
I thank the Taoiseach for his reply. While some valuable work on European Monetary Union has been done by committees of the House over a number of years, little debate has taken place on the floor of the House. Some Members may have fallen behind with valuable work. There is a view that some of the proposed studies that have been debated have not taken place, although I am aware they have because I have taken a personal interest in this issue. This report should be debated in the House and the presentations should be summarised for Members so everybody will be aware of them. If Members are engaged in informing the public that there has not been dialogue and debate we could all run into great difficulty later. That would be regrettable because I strongly support economic and monetary union.
I would not rule that out at all but it might be best if the Committee on Finance and General Affairs looked at it first.