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Dáil Éireann díospóireacht -
Wednesday, 18 Jul 1979

Vol. 315 No. 17

Adjournment of Dáil: Motion (resumed).

Debate resumed on the following motion:
That Dáil Éireann, at its rising on Wednesday the 18th July, 1979, do adjourn for the Summer Recess.
(The Taoiseach.)

I welcome the opportunity to speak in this debate and to deal with some of the matters which have been quested for comment. For instance, in yesterday morning's papers Deputy P. Barry was reported as saying that the Government should establish whether they are able to contradict the gloomy forecast made by the ESRI, otherwise "industrialists planning investment here will inevitably cancel or postpone their plans until the economic prospects become clearer."

The numbers are not important. The time of this House has been wasted and the people have been misled consistently by speakers from that side of the House.

It is bad manners to point.

I have limited time so I will not take the interruptions.

(Interruptions.)

Order, please.

The time of this House has been wasted consistently as it is being wasted now and the people of Ireland have been misled consistently. I want to spend some time dealing with the numbers as carefully as I can in order to show how unimportant they are and how they have been used to obscure the real issues. I will come back to concentrate on what I believe to be the important issues and the manner in which they should be tackled now. I do this because some people, including some media commentators, have referred, for instance, to estimates of the economic situation by institutes such as the ESRI being consistently more pessimistic than the utterances of Ministers and so on. That is true. I want to draw the distinction as carefully as I can between the forecasts or estimates produced by outside bodies and the targets set for Government policies.

First, I want to show that some of these estimates by the ESRI are on balance more pessimistic than were justified by the outcome of events. We have before us the mid-summer forecast of the ESRI published the other day which is considerably more pessimistic than the target of the Government. The easiest way to draw a quick comparison is to go back 12 months and ask what the ESRI were saying about 1978 in the summer of last year. What were the then Government targets? What appears to have happened in 1978? I stress the words "appears to have happened". That is another point that I want to deal with as carefully and as clearly as I can.

The main economic targets referred to by the ESRI in June 1978 were: expected growth rate 5.75 per cent in our GNP based on growth in exports 10 per cent, growth in investment 7.5 per cent and growth in consumer expenditure of 6.75 per cent, and 5 per cent for current Government expenditure. These are all volume terms, in other words we put aside inflation. The Government targets were GNP 7 per cent, exports 9-10 per cent, investment 12 per cent, consumer expenditure 7 per cent and Government current expenditure 3.5 per cent.

Essentially the difference is that we were expecting faster growth in investment and in consumer spending. The information such as we have for the last year suggests that GNP did rise by 7 per cent, that exports rose by 14 per cent— more rapidly than either we in our targets or the ESRI in their forecasts were expecting—investment rose by 15 per cent, again much more rapidly than either the Government targets or the ESRI forecasts. In consumer expenditure the volume increased 8.5 per cent, again more rapidly than anticipated, and the growth in current Government expenditure was 3.5 per cent, in other words in line with the Government's target and below the figure suggested by the ESRI.

What is the source of those figures?

They are the latest preliminary estimates available——

——on an agreed basis between the Department of Finance and the Department of Economic Planning and Development.

(Interruptions).

What about the Central Statistics Office?

I will come to the Central Statistics Office in a few moments.

The Chair would like to point out that half an hour is permitted for each speaker. The Chair will endeavour to ensure that half an hour is given to each speaker without interruption.

The Minister should not tell jokes.

Deputy FitzGerald was asking about the CSO. He knows that the first official figures from the CSO will become available in the summer of next year.

That is right, but the Minister was not discussing that factor.

I propose to deal with it. I ask Deputies not to interrupt and to allow me to make my case. In so far as we have any comparisons they suggest, in order to show that this is not a partisan matter, that the ESRI forecasts to tend to be a bit pessimistic on balance. Let me go back and look at the record in previous years. The easiest one to take is 1975, the year when the ESRI were forecasting, in June, 1975, that there would be a fall of 1.5 per cent in GNP. By the autumn of that year they had revised that downwards to a fall of 3.5 per cent in GNP. The latest estimates we have—and I would emphasise that they are that—for the apparent out-turn for that year shows that, on balance, there was a very modest increase of perhaps between a quarter and a half per cent. I could go through the figures for other years. But I hope any fair-minded person who looks at them will establish that as the pattern. I will come back to the reason for the difference between these forecasts, which I want to stress again—that is what they are, forecasts of what the ESRI think will happen—and targets for policy set by the Government.

I want to emphasise that it is important not to spend too much time on these sorts of numbers. I have consistently said that in this House before, whether we are talking about figures for GNP, for employment or anything else. Why do I say that? Let us take the latest publication which Dr. FitzGerald is waving in front of him. If he cares to turn to page XI, Table 2, he will be told there the apparent increases that have taken place in GNP over the last seven years, the years of this decade. What does one discover? If one asks what was the growth rate in 1977 one discovers that people will always say the CSO estimates it at 4.9 per cent. Most people will not know that that is the average of two estimates, an estimate derived from expenditure information and a separate estimate derived from output information. There are quite significant differences between those two estimates. For a relatively normal, easy year, like 1977, the differences are that the output data shows 4.6 per cent and the expenditure data a growth of 5.2 per cent—a difference between the two of 15 per cent—not too terrible one might think.

Point 6, not too terrible; 15 per cent. Yet I want to show just how great these differences can be and what happens over time. If one looks along the table to ascertain if that is a typical sort of discrepancy, one would be inclined to say: No, not really; look at the previous year, 1976, and remember we are now two and a half years on from 1976 when the output data suggested 1.4 per cent and the expenditure 0.9 per cent, a difference of more than 50 per cent.

Let us go back further to a year I used a few moments ago when we were talking about the ESRI. Let us talk about 1975, a year of rapid change. The average figure suggests that a growth of .3 per cent occurred in that year. If one looks at the two separate estimates, the expenditure data suggested an increase of 1.6 per cent, the output data a fall of .9 of 1 per cent, a total gap of 2½ percentage points or, in percentage terms so beloved by Dr. FitzGerald, a discrepancy of 275 per cent. Therefore three-and-a-half years later we still do not know, to a margin of error of 275 per cent, what happened in 1975. Surely this illustrates the absurdity of wasting the time of this House in spurious and irrelevant arguments about arithmetic.

What else is the Minister doing?

But that is not all. This is what Dr. FitzGerald and other Members of his party do. If one goes back and looks at what happened each year as this book is published—and what many people do not realise is that, of course, these numbers are revised every year—for instance, what does anybody think happened in 1971 or 1972? We now have seven different estimates for 1971; six different estimates for 1972; five different estimates for 1973; four for 1974 and so on. The crucial point here is that not only do these revisions alter the numbers by modest amounts, they even alter our whole perception of what happened. Let us cast our minds back to 1972-1973. I can recall very clearly the budget of that year introduced by my colleague, the Minister for Finance, Deputy Colley. I remember it because it was the first year that a modest budget deficit had been introduced designed deliberately to give a stimulus to the economy. I can recall it clearly being described as hoping to boost the growth rate by about 1 per cent from the 1971 figure, estimated at that time at a 3 per cent growth, hoping to increase that to about 4 per cent. I can recall that, when the first results became available for 1972, they appeared to confirm that, because the first estimate we got for 1972 suggested a growth of 3.8 per cent, close enough to the 4 per cent.

Then going back to 1973 I can recall that everybody thought there was going to be even faster growth. There was the period of our entry to the EEC and so on, the upswing still continuing, and everybody talking about a growth rate of about 6 per cent. Right enough, if one asked for the first official estimate for the CSO, it gave one a figure of 6 per cent. Therefore, one would look back and say: yes, at that time the first official estimates were 3.8 per cent for 1972, 6 per cent for 1973. What has happened every year since then? Every year the figure for 1972 has been consistently revised upwards and that for 1973 consistently revised downwards. So if one looks at the latest estimates published in July 1979, we are now told, if we can believe it, that the growth rate—the average of the two estimates of expenditure and output data—in 1972 was 5.6 per cent whereas the growth rate in 1973 has now fallen to 4.4 per cent.

Here we are, seven years later; we have consistently revised our ideas of what happened at the time. What this means is that, when we get to 1985—unless the statistics improve enormously in the meantime—we still will not know where we have been this year. I hope to goodness we still will not be wasting the time of this House——

(Cavan-Monaghan): The Minister should come down to earth and talk about strikes and the state of the country.

(Interruptions).

I want to turn now to Deputy Cluskey and to take one other illustration of this point, when we were talking about unemployment and employment——

(Interruptions.)

Deputy Cluskey, when we were talking about unemployment, consistently tried to argue that there was not the growth in employment taking place that was being estimated by us. He claimed that what was happening was a great upsurge in emigration. Both inside and outside this House on a number of occasions I pointed out to him that the only preliminary estimate we had for a long time was the year February 1977 to February 1978 and that suggested an emigration of about 7,000. The Deputy spoke consistently in terms of emigration increasing rapidly and used numbers in the region of 14,000 to 15,000 consistently as being the order of emigration that took place last year. When we now get the first preliminary, official estimates from the CSO—which we got a week or two ago—what do they suggest? They suggest, far from there being any emigration, that there was immigration of the order of 10,000 or 11,000. They were estimated on the same basis as he had chosen to use in his earlier remarks.

Tell us about the live register.

I will come to that in a few moments. If the Deputy had the courage now of his previous convictions he would logically want to argue that employment last year must have risen, not by the 17,000 which we are claiming, but by something of the order of 30,000 to 35,000; otherwise he would have to lead us to believe that these people who entered the country have mysteriously vanished in some manner.

I make all these points, not to score any statistical points, but to argue, as I have said repeatedly, why I have consistently avoided going into detailed numbers in this House. I have said it was unhelpful and irrelevant. It is that side of the House that has tried consistently to introduce these numbers debates designed to confuse and mislead. The reason I am doing it today—and I want to say it as clearly and emphatically as I can—is that they and I know there are all of these limitations, uncertainties and inaccuracies that surround statistics and he who has the greater knowledge has the greater sin, and he should not be wasting the time of this House, confusing and misleading people with these irrelevant discussions.

(Interruptions.)

What is much more important—we are not sent here as professors to engage in academic debates about numbers—is that we are sent here to deal with the problems of the people of Ireland, to spell out the policies that are needed to deal with those problems——

Would the Minister do that?

——and to undertake a programme of action. That is what we have been doing. I think the Deputy has a confounded nerve to come into the House, as he did last week, and say that the Government did not appear to be aware of the importance of the problem facing this country in the area of finding employment for our young people. He was drawing attention to our demographic trends; he was talking about how there would be a growing number of young people looking for work up to the turn of the century. He was commenting on the 60 per cent increase in the number of young people under the age of 20. Where were the policies during his period in Government to deal with that? Nowhere. What happened? There was a fall in employment. Before and since we came into office we identified that problem. I am not talking about numbers now. I have consistently said it did not matter what the real level of unemployment was; we knew that it was high, we knew that it had increased during the four years of wasted Coalition Government; we knew that it was crucial for the sake of the country that an immediate, urgent start be made on tackling that problem.

(Interruptions.)

The Minister should be allowed make his speech without interruption.

We have made that start. However one does the calculations the information available to us shows quite clearly that there has been a growth in the number of people at work in the country over the last two years especially in the number of young people at work.

(Interruptions.)

I have consistently invited speakers from the other side of the House to put forward alternative policies for tackling that problem if they disagree with the Government programme. They have singularly failed to do so and that is why they waste their time trying to confuse and mislead the people. They have no policy, they did not have it in Government and they do not have it in opposition. At the rate they are going they never will have a policy. Deputy Cluskey's response, when drawing attention to the slowing down that was taking place, when we were the first to say that we would not achieve our targets for this year because of those difficulties, is to say——

(Interruptions.)

Order. If the Minister's time is taken from him by interruptions I will permit him extra time.

Of course you will.

(Interruptions.)

That is typical of Deputy Fitzgerald's approach to the most serious problem of the country since the foundation of the State, that all he wants to do is laugh. The heading in this paper is Drop Plan on Development. What does he want to put in its place? Nothing, no policy, no programme, no action.

With regard to the argument about whether the jobs should be productive or not again, when we have the time—I suggest not in this House—we should not waste our time on what Deputy FitzGerald ought to know are again confusing and ultimately irrelevant arguments about what is a productive and what is a non-productive job. He is trying to imply that most of the jobs created in the public sector are unproductive. I would be delighted to hear if that view is shared by the Members on the Labour benches. I suspect it is not but if it is I would like to know it.

Most of the jobs provided by the Minister have been non-productive.

Is it because they are provided by Fianna Fáil?

If they were provided by the Deputy's party they would be.

Because of the Government's private enterprise mind.

So, if they are provided by the State they are productive whereas if they are provided by the private enterprise on the other side they are not productive?

(Interruptions.)

We have constantly argued that the vital task and the reason why we ought to be in this House is to identify the real problems and to identify programmes of action for solving them. We have put forward a programme. If people do not like that programme, if people have a superior alternative to it, it is their duty as the elected representatives of the people to say so loudly and clearly. The only comments I have been able to identify from either of the main speakers from the Opposition benches is the remark of Deputy FitzGerald that a lot of the jobs being provided by the Government are bad or unsound because they are in some sense unproductive. He is really saying that although we are supposed to be concerned about the unemployment problem of our young people he is putting them on notice that he would do far less to solve it, that he would condemn far more of them to spend their time on the dole queues or else to look around for the emigrant ship.

(Interruptions.)

Order. The Minister without interruption.

I said at the outset that there was an important difference between the kind of forecasts or estimates which are prepared by independent bodies such as the ESRI and the setting of targets for dealing with policies. I hope I have said enough to make it clear by now that although I have had to deal with the forecasts of the ESRI in what might be regarded as a critical manner it is not my intention to criticise them. Let me make it clear that I welcome the work of any independent body provided the nature of that work and the nature of its relevance to discussion is clearly understood. That is what I am trying to put right on the record this morning. I also want to put on the record, therefore, a quotation from the ESRI report at the bottom of page 13 and the top of page 14:

There is a tendency to concentrate over much on the actual numerical results of any forecasting exercise. To do so is to lose out on the flavour of developments in the economy—in particular, the assumptions made on policy tend to obscure the very real difficulties surrounding policy choices made by economic agents in this society.

They are saying that we should not allow ourselves to be distracted or confused by the numbers, we should concentrate on the real policy issues. It is in this context that we have consistently set targets. In the two years that my Department have been in existence I have refused to publish any forecasts for that reason because there are enough independent bodies doing that already. One more forecast or estimate will not necessarily add anything to our understanding.

What about the Minister's employment forecast?

What is important in identifying the problems and the policies is to try to lay out some comprehensive, though clear-cut, programme of action. An important part of that exercise is to set out targets, that is, some form of signposts or milestones against which we can measure our progress in solving the issues and problems.

But never to make progress.

The analogy that could be drawn very easily here is that if we wanted, for instance, to travel from Dublin to Galway we would identify the distance that would have to be travelled, the nature of the transport mode that would be used, whether one was travelling by car, train or whether one was marching, and would then set out the milestones along the route so that we could estimate the time by which we would arrive at various points along the way.

And to turn off the road altogether.

That is where one can establish if some detour is necessary because a road has been flooded or an obstacle arises along the way, whereas the approach of Deputy FitzGerald and that of Deputy Cluskey is that we should not say where we want to go. We are not supposed to talk about full employment. It is too dangerous an objective to set before the people. It will intoxicate them, it will arouse their expectations unduly. Not only should we not tell them where we want to go, we certainly should not say anything about the pace at which we are going to get there. In their view it is very dangerous and very wrong to say how much progress one hopes to make this year or next year because in some mysterious sense that will lead us all astray. That is the poverty of thought, the poverty of policy-making and the poverty of action which has been demonstrated so clearly from the Opposition benches. That is the clear choice which faces the people in our approach to those issues. I have absolutely no doubt in my mind that the correct approach is the path we have chosen. Why should we not say that we can set ambitious targets and reach them provided the right action is taken? Part of that action lies within the domain of the Government and to the extent that it does, it has been, is being and will continue to be taken.

What action?

Other important parts of that action depend on the support and the action of others. Here again the Government have set out quite clearly the manner in which they propose to achieve that programme and to win that support. Though our target in respect of full employment seems to be regarded by the Opposition as an impossible dream, I would make it clear that in the early months of this year often we had had prolonged discussions with members of the trade unions and employer bodies, the trade union movement's first decision at a special delegate conference in March this year, when they were giving a mandate to their officials to enter into discussions with the Government on the talks that led to the draft national understanding, was to endorse the importance of the full employment target and to express their support for it. They welcomed the action that had been taken by the Government in their effort to begin improving employment for our young people in particular. There, then, is the clear evidence of where an important independent group—and they are important in that they represent a large section of people—outside this House endorsed the Government's approach.

The Government's policies were not endorsed at the time of the European and local elections.

Deputy L'Estrange must not interrupt the Minister.

If we had a responsible Opposition they would be making a positive contribution to the debate by putting forward their policies and ideas in an effort to help strengthen further that programme for the provision of full employment. It is their duty to be positive but we have not had from them a single word on those subjects. However, the Government will continue to do their duty and will continue to have discussions with the trade union and employer bodies, with the farmers and with other sections of the community——

They must not forget the backbenchers.

——regarding the programme on which we have embarked and which has already achieved spectacular results in the form of a record increase in employment last year and with the expectation this year of another record situation.

What about inflation?

The people opposite have a nerve to mention inflation. Even if we take the latest forecast from the ESRI of inflation possibly reaching 12½ per cent, we might remember that that figure was exceeded in every year of the Coalition's term in office.

It is at 12½ per cent now.

During that time the then Government did nothing but to whine and cringe about the oil price increases in 1973-1974. At that time the price of oil increased by eight dollars per barrel.

There was a 400 per cent increase.

There was an eight dollars per barrel increase in the price of oil in six months of this year.

Let us have regard to the percentage increases.

As I have said and as Deputy FitzGerald was quick to point out also, percentages are irrelevant in this context. What is important is the absolute difference and eight dollars is eight dollars.

(Interruptions.)

The Minister is getting under the skin of the Opposition.

We have had exactly the same disturbing impact from higher oil prices this year as was the case four or five years ago but the difference lies in the response to that problem.

Deputies

Hear, hear.

In 1973-74, Fianna Fáil in opposition attacked the Coalition Government consistently on the basis that their policies led to a collapse of investment.

The Minister's people are attacking him.

There has not been any attack on me.

The Minister is the answer to the dissident's prayer.

At that time there was a collapse but that collapse was signposted clearly by Fianna Fáil. Alternative policies were put forward and the emphasis was put where it belonged properly, that was, on investment. The right test of whether we are pursuing the right policies this year is not related to numbers as such but to the direction of policy and in this context I am happy to know that the ESRI in their latest forecast recognise that the volume of investment this year is increasing much more rapidly. They are talking of a volume increase in investment of 12½ per cent. Therefore, for two years running we will have had record increases in investment and that is the key to sustained growth and development in the economy.

There will also be a record in terms of inflation and of external deficits.

If the Deputy is talking of balance of payments deficits, he is about 18 months late in making the point because that situation was signalled in the January 1978 White Paper. It is clear from the evidence that the policies being pursued are the correct policies.

It is a question of getting the wrong results.

The results are showing clearly in the record increase in employment, a situation that contrasts with the abysmal failure and the appalling growth in unemployment that was experienced during the wasted years of the Coalition's term in office. Our record of progress will continue to be demonstrated clearly in the months and years ahead.

That is the least convincing speech I have ever heard in this House.

On a point of order, is it to be the pattern in this House that speakers will be interrupted continuously? During the Minister's 30-minute speech there were 36 interruptions from the Leader of Fine Gael and 11 interruptions from Deputy Cluskey. Not including the many interruptions from Deputy L'Estrange and others who came in deliberately to interrupt, we have had an average of an interruption per minute. This is a disgraceful performance. It is turning the House into a skunk house.

Short of adjourning the House, the Chair cannot compel people who should know better to preserve dignity in the House. The interruptions while the Minister was speaking were unprecedented.

His speech was unprecedented, too.

Nothing justifies interruptions.

I invite Deputy Dr. FitzGerald to contradict any statement I have made.

Deputies on either side of the House should appreciate that the Chair must endeavour to ensure that speakers are not interrupted.

I take it that I have half an hour.

The Deputies opposite have taken from their own time.

Before the Tánaiste and the Minister for Economic Planning and Development leave the House I should like to tell them that in my 18 years here I have just witnessed the greatest exhibition of statistical diarrhoea that the House has ever witnessed. We have had a glaring example of Alice-in-Wonderland policies, of a Minister living in cloud-cuckoo land who chooses to entertain us with a litany of figures while our people are suffering the effects of the bad administration of this Government during the past two years and none more so than the effects of the break with sterling. Another example of the Minister's blindness to the Irish position is his having dealt exclusively with the economic situation. No Dublin Government have the right to decide unilaterally on the economic position of the country without having reference to the Northern position, because politics are influenced by trade and the way in which we have conducted our affairs in terms of trade with Northern Ireland and Great Britain is nothing more than an indictment of this pseudo-republican group known as Fianna Fáil, a group that were brought together in 1927 for the purpose of uniting the country and who came into government in 1932 on the basis of a promise to unify the country but who have driven the people further apart in a way that no other group have done in our history.

Yesterday we had the example of Ian Paisley protesting in the European Parliament that the flag of his country was upside down. Those of us in this part of Ireland ask: his country? That is not the flag of his country, but to him it is, because we have made it impossible for him to identify with the flag of our country. Nobody has contributed more to that than the Fianna Fáil Party, the pseudo—republicians from the Blaney blarney to the Colley folly to the O'Donoghue I do not know what. This is the hypocrisy of a party who will go to the country with promises that will get them votes for no other reason than to get back into power, a party who have codded and fooled their own supporters with high emotions based on sham Republicanism. Their contribution to Irish unity has been nil in the period of their existence.

I have no doubt that some people on the backbenches of the Fianna Fáil Party believe in the philosophy of Eamon de Valera and all their leaders. They should look closely at the position. The only person who led the Fianna Fáil Party who believed in a possible solution between North and South was the late Seán Lemass. He saw clearly that free trade with Britain and with our Northern countrymen was colouring the politics of tomorrow. Now we have gone into reverse.

Our break with sterling has caused confusion in the minds of the Irish people particularly in Border areas, and very particularly in the northern part of the country where, for the first time, Irish currency is foreign currency in six Irish counties, all because of the blindness of the Minister for Economic Planning and Development who, before Christmas like a child with a toy, came in here during the EMS debate, held up this abstract called the EMS and made backbench Members of the Fianna Fáil Party believe that his economic arguments were right. He instilled confidence in the figures he quoted. He bluffed, persuaded, gulled and misled decent ordinary Fianna Fáil back benchers who, if they were asked now to decide what they would do about the EMS, would give their decision and I know what it would be.

I have many friends on the backbenches of the Fianna Fáil Party. Their thinking on what Ireland should be is not very far removed from my position. The only difference is that, for some reason or another, I am inclined to give more time to thinking about it than Members of my own party even who are far removed from the Border and who fall into the same bracket as Fianna Fáil Deputies who are far removed from the Border. I am not slighting Fianna Fáil Members because of the lack of interest they demonstrate.

The Minister for Economic Planning and Development spent a full half hour talking about economics which are folly to the minds of the ordinary people. Let him talk to people living in Belfast, Derry, Antrim, Down or Fermanagh who get an Irish pension and who go into a post office in Northern Ireland and get 92p or perhaps 91p for every £1 of the pension they are paid by their native Government, by the party who said to them: "Give us a chance and we will bring you under the tricolour." I wonder what old age pensioners living in Ballymena, or Coleraine, or Newry, or Strabane, think about the nationalism and the republicanism and the sincerity of the Fianna Fáil Party when they go to collect their pension and are told it is cut by 10 per cent.

People living in the Republic and in receipt of British pensions go into the post office and are paid at parity. It makes no difference to people living in Cork, Dublin, Galway or southern parts of the Republic. People living along the Border go into their local post office in Donegal, Monaghan, Cavan, Louth or Leitrim get their pensions at face value. They get IR £10 for £10 sterling. They do not see the folly until they go to the North to spend the IR £10 and they are cut by 10 per cent.

I ask myself: where the hell are this Government going? No Government have created more problems between the Irish people than this Government. Their 1977 mandate is no longer valid. It is time the Taoiseach understood clearly that the mandate he received in 1977 is no longer valid. The promises he and his party incorporated in the 1977 manifesto are a sham and a shame and an affront to members of the Fianna Fáil Parliamentary Party and to their supporters at county council level. It is not possible to quote a line from the manifesto without being interrupted at county council meetings because they are ashamed of the document. I do not fault them for being ashamed of it. It was meant to cod people. It was the most corrupt document ever put before the Irish people. I deliberately use the word "corrupt" because they tried to fool people and get them to support them with votes. The manifesto corrupted the minds of the people because it made false promises which Fianna Fáil knew they could never fulfil.

Traditionally the banking centre of east Donegal was the town of Strabane. All the farming families, whether they were Catholics or Protestants or had no religion, had their bank accounts in Strabane. There was nothing disloyal or unpatriotic about that. It was a family tradition. My relatives in the town of Lifford continued that tradition right up to the break with the EMS. I would have continued it but for the fact that I moved six miles away from the Border. I moved my account to a bank in County Donegal because it was more convenient for me, just as it was convenient for people living immediately in Border areas to have their accounts in banks in the North.

A constituent of mine had an overdraft of £5,000 and the bank manager in Strabane said to him: "Your Government have said your account must now be in the Republic of Ireland. You will have to go to our bank in County Donegal and negotiate a loan with the bank manager to discharge your account here." He went to the bank manager in County Donegal and explained the position and the bank manager said: "The currency is sterling in Strabane. You will have to pay them in IR£s and you will need £5,800, not £5,000 to discharge your overdraft. We cannot give you that because the Central Bank have told the Government that all overdraft accounts are to be frozen." These are the daily problems being caused by the break with sterling. It was the damned nonsense of the Minister for Economic Planning and Development, a shortsighted little man, that walked us into this. He and he alone is responsible for it.

The Minister for Finance may say I had the right to vote against entry to the EMS. I said I was in favour of EMS membership when Ireland was going into the EMS, not when the Republic of Ireland was going into it. The Taoiseach, the Minister for Finance and the Minister for Economic Planning and Development used terms like "Ireland's entry", "the Irish economy will benefit", "the Irish people will support us in our entry", "this will be good for everybody living in Ireland", but they were talking about the Republic of Ireland. They were not talking about the island of Ireland.

I want to give an example of the interest the Government have in unity, reconciliation and friendship. Yesterday I asked the Minister for the Environment if he would recognise driving licences issued in Northern Ireland. His reply was given to me in writing this morning. It reads:

There have been no recent developments on securing a bilateral agreement on matters between this country and the United Kingdom.

My question had nothing to do with this country and the United Kingdom. My question dealt with the unity of people, to see that the people of this country—the 32 counties of Ireland —would not have to do driving tests on moving from one political unit to the other. The blindness of this is that the Government subconsciously give the impression of being more partitionist than any other political group. Everything they do is partitionist. They say, "We do not believe in Ireland being divided" but everything they do builds a partition between North and South. If this is Ireland, then the flag which Paisley said is the flag of his country is his flag. Paisley is right and we are wrong. There is no point in laughing at Paisley when he calls the Union Jack the flag of his country. I mean no disrespect to our flag. The people who designed the Tricolour meant well and it should be respected. However, it has come to be the flag of the Republic and the flag of the republican groups who use it as a rag to infuriate Irish people of another Irish tradition.

Year after year the members of this Government visit Wolfe Tone's grave to preach to the dead but they scorn anyone who goes to the North to speak to Protestant Irish people as being some kind of a political queer. When one walks the streets of east Belfast one is in some way disloyal, in some way less Irish. Members of the Fianna Fáil Party have pointed across the House at me and said, "He is a queer guy. He talks to Unionists". My contribution to Irish politics and Irish public life has been more fulfilled than the contributions of the hypocrites who go to Wolfe Tone's grave each year and preach to the tomb stones. It was Tone who said that it is necessary to "forget all former feuds, to consolidate the strength of the entire nation and to form for the future but one people". What is the nation? Have Fianna Fáil now defined the Nation as being those people living in the 26 counties, living in the Republic? Speaker after speaker, including the Taoiseach, continue to refer with monotonous regularity to "this country", "this nation", "the Irish people" and "Ireland". If we have defined the 26 counties as being Ireland we should be consistent about it. If partition is here to stay, Ian Paisley is no longer part of this nation. The trap is that they are also saying to Gerry Fitt, Austin Curry and John Hume, "You are also no longer part of this nation". That is the folly of argument.

Who is Ian Paisley?

He is one of the finest Irishmen that I know and he does not know it himself. People like Ian Paisley are probably more Irish than Deputy Moore, who is one of my personal friends in this House, because Ian Paisley was born on the island of Ireland. Any person born on this island is Irish.

He does not recognise our part of Ireland.

Is the Minister deciding on Paisley's judgment or on his own judgment? What nationality does the Minister call Ian Paisley?

The Deputy said that he was the finest Irishman ever born.

In my judgment.

He has no regard for the Deputy's country.

The Minister is confused. He has linked being Gaelic with being Irish. I have nothing but praise for the people who promote Gaelic culture but they should not lead us into a Gaelic nation. One can be Irish without being Gaelic and Ian Paisley could prove that he is Celtic. He does not have to be Gaelic to be Irish. I am not arguing about what Ian Paisley thinks he is. I am arguing about what we think he should be. If we define Ireland as the Thirty-two counties and if we define the Irish as the people who live here, he is as Irish as the Minister but he does not have to conform to the Minister's thinking to prove that he is Irish. Neither do I have to conform to the Minister's thinking and thank God for that. If I were living in the North I would have grave doubts about the leadership that is being foisted on the Irish people by this Government.

When we joined the EMS we argued that it was wrong to join in advance of Britain. I know that information was passed by the British Government to the Government that Britain was not against joining the EMS but that she was against its structures at that time and that after the general election Britain would join the EMS under either a Conservative Government or a Labour Government. Members of my party suggested that the conditions of entry be renegotiated and that we should ask for better terms. We asked for a 6 per cent band but the Minister for Economic Planning and Development said that it was not necessary, that the 2¼ per cent band would protect our position with sterling. We joined the EMS on 13 March. Seventeen days later, one hour and five minutes after the exchange banks opened, we had broken the link with sterling. Since that time our economy has rocked. Not alone has our economy rocked, the Fianna Fáil Party have rocked. It is not too long since the Taoiseach had confidence in the Minister for Economic Planning and Development. It is not too long since many Fianna Fáil backbenchers had confidence in him.

We still have.

Deputy Moore should not be whistling when passing the graveyard. If Deputy Moore was now confronted with the idea of joining the EMS would he still support the Minister for Economic Planning and Development?

I would.

Deputy Moore has now put on record his belief that a 92p £ is a good thing for the people of this State.

The Deputy is not being serious this morning.

I am being very serious.

Order. The speaker should be allowed to continue without interruption.

I said that the Deputy was not serious when he said that Paisley is the greatest Irishman ever born.

I did not say that. I said that he is probably a better Irishman than the Minister because he does not have to prove that he is Irish by waving tricolours, by singing rebel songs, by attending Gaelic football matches and by running to visit tombstones. He has a Celtic culture that makes up the foundation of the State. I am taking the most extreme political case in Northern Ireland to illustrate that there are people living in this island who are not Gaelic and who will never be Gaelic but they are as Irish as Deputy Hussey is. I know them. If the Minister wants to build an Irish nation he had better realise that that is the direction he is going in. Otherwise he should be honest about it and say that he does not want an Irish nation, that he wants a Celtic or a Gaelic nation. In that case he should admit that Partition is right and that he will support Partition. He should go in front of his convention in Galway at the next general election and say that he is no longer interested in the unity of Ireland or the Irish people, that he believes now in Partition, that he believes in the two nations theory which Fianna Fáil castigated Conor Cruise-O'Brien for before the last general election because, believe it or not, Deputies Moore, Hussey and Conaghan are proving that Conor Cruise-O'Brien was right with this glib talk they have of the Irish nation and the Irish people as an exclusive right of Fianna Fáil.

(Interruptions.)

There is nothing funny about it. This type of thinking has cost the lives of 2,000 people in Northern Ireland. Everyday Irish people who happen to wear RUC uniforms are being shot by other Irishmen. That is the reality. If the Minister thinks that is unpatriotic he should go and ask the families of the fathers and husbands who have been killed what nationality they belong to. It is nothing to laugh at because nobody realises more than I do that the Scottish live in Scotland, the English live in England, the Welsh live in Wales and the Irish live in Ireland and it does not matter a damn into what political grouping they were born or grew up in or what influence they got from their parents or what church they go to on a Sunday morning.

If we are serious about building an Irish nation there are a lot of naked things that we have got to realise and one of them hits very hard at the core of Fianna Fáil because they never tried to build a nation of Ireland; they tried to build an exclusive nation of Gaelic people that even excluded Catholics who happened to be looking for conciliation or unity among the Irish people and their traditions. It excluded people like me because I did not conform to their type of thinking; I did not wave a flag. The Government will have to think a wee bit more seriously than the Blaney blarney that has influenced them or the Colley folly that also influences them.

I knew the only person leading Fianna Fáil who could clearly see that the unity of Ireland could only be brought about by trading with our Northern countrymen and by having a free trade agreement with Britain. That was Seán Lemass. I often wondered why he was in that party. The only answer I can think of is that he was young enough to be influenced by the emotion of Fianna Fáil in his younger days and he found himself trapped. But let not those people of Fianna Fáil forget that what Lemass could see as the solution—and what I acknowledge as Lemass's theory—was a common market between Britain and Northern Ireland and the Republic of Ireland. If we had harmonised our economies, if we had kept step with Britain, if we had continued to have a harmonisation in costs and prices it would not have been difficult for Protestant businessmen and Protestant industries to sell their goods south of the Border. Because of that intercourse we would have had a better relationship between North and South.

While there is free trade between Northern Ireland and Great Britain those businesses that sell goods to Britain from Northern Ireland will continue to be influenced by that type of economy. Is it wrong therefore for me to say that Fianna Fáil are so blatantly wrong in their economic policies because they ignore completely the political dimension of our dealings with Northern Ireland? No Government, whether it is a Fianna Fáil government, a Fine Gael government, an inter-party government or a Labour government can have it both ways. It is totally inconsistent to argue about the political unity of Ireland and, on the other hand, ignore the politics of Ireland and deal unilaterally with the economic position. The country that gives the greatest trading example is Yugoslavia. Yugoslavia argues continually that if it does not get enough trading with the west then it becomes part of the Eastern bloc and that it is unhealthy for them to sell too much to Eastern Europe and to the Russians because the people will eventually think along those political lines. If we cannot see our own position, far off then let us look somewhere else to show us the example.

I am now saying that the economic policies of Fianna Fáil since their foundation have been wrong. Until such time as the Government grow up and realise that if we aspire to the unity of Ireland, which will resolve our security problems, cause an Irish people to have peace and harmony and do away with all the hatred and death and destruction and bind together the Irish people in one nation, there is no escape from the direction that I am advocating. It is shortsightedness on the part of the Government to take short-term economic advantage or financial gain by trying to fiddle with the EMS. It can be argued that we are holding parity with the other European currencies but we ignore the fact that, if we had stayed with sterling, when Deputy Moore goes abroad he could buy with the Irish punt many more Deutschemarks, many more francs and many more lira than he can now. We cannot buy with the present currency value of the punt the amount of Deutschemarks, francs and lira that we could have bought if we had stayed with sterling. Therefore, it will cost more to buy oil and other imports and in our trading with Britain in this financial year the loss will be so colossal that it will affect even the very poorest in our community. Everybody will suffer. The quicker the Government realise that their messing around with the EMS has been a calamity for this State the quicker will they realise that their mandate no longer holds and they will go to the country and seek a new mandate.

Before going on to make my contribution, I must refer to the happenings here this morning while the Minister for Economic Planning and Development was speaking. We saw an exhibition from the Opposition parties of bad manners and downright rudeness and irresponsibility. They reminded me of school many years ago when we were breaking up for the summer holidays and the boys would act in a very irresponsible manner. They were schoolboys. But today we saw a spectacle here with members of Fine Gael and Labour carrying on in a most disgraceful manner. It is no object lesson for the people in having respect for this national assembly if this is allowed to happen. Anyone who speaks in the House is an elected Member and has the right to speak. I am very disappointed that the leaders of the two parties did not try to assert themselves and bring some discipline to their members.

This is the Adjournment Debate. When we look at the national scene let us not forget that the problems of the country are the concern of everyone of us who has been returned to this House by the people. We have had a very chequered history if we go back to famine days and on through the time of Parnell, and 1916 and after that. We always had problems but up to the 1920s they were caused by outside forces and a foreign Government. We have had control of our own affairs since 1921 and we must now see how we are handling them. Never before has our society been so affluent. By that I do not mean that everybody has enough or that we are satisfied with our progress because far too many people have not yet got an acceptable standard of living.

Therefore, we must try to build the economy so that everybody will have an opportunity of providing for his needs. We must find employment for young people and make our old people comfortable. All our resources should be so distributed that we will have social justice. We have become selfish, all of us, and we no longer care for our neighbours sufficiently. Over 2,000 years ago we were given commandments which we are now disregarding. Much of the suffering in our country is self-inflicted. There is chaos on the industrial scene. I do not attempt to apportion blame for it. Some of the industrial disruptions may be blamed on both employers and unions or their members. In other cases, it is the fault of the unions; in others, the fault of management. We must try to reestablish the urge to achieve the common good. We need an injection of common sense. If we saw an old person being attacked we would feel outraged and would probably go to his assistance but I have seen old people suffer frightfully because of no light, no heating or because something else was missing. Yet the industrial unrest goes on and even seems to be getting worse. If we believe that we are our brother's keeper and if we want to build up the nation for the good of all, we must ask where are we going wrong.

We read about the boat people of Vietnam. We pity them and we are taking in a small number of refugees. But for many years we had our own boat people, people forced to go abroad for employment, once in coffin ships and later in better craft, but they had to go to get work abroad. Unless we put the industrial situation right we shall have more boat people leaving our shores. There may be social injustices that cause men to strike and these must be removed. There are ways of remedying these grievances. I praise the efforts of the Irish Congress of Trade Unions who have worked hard to try to get harmony in industry. Probably 90 per cent of the people involved in industrial disputes want peace and progress: that is the tragedy.

Where have we gone wrong? I have asked trade union leaders and business people this question. One gets various reasons but, in fact, we are not improving the position. According to the Taoiseach's statement, in the first six months of this year we lost over 1 million man-days by disputes. Each strike or dispute is eventually settled but it seems we want to inflict suffering on ourselves and we do not settle disputes in a reasonable time. A letter in last evening's papers suggested that we want another Jim Larkin. He was one of the greatest trade union leaders ever to appear on the national scene, especially on the labour scene, but if he were here to-day he would have a very difficult task in trying to blend the work force into an organisation which would always bear in mind that the common good was the aim to be achieved. Larkin would grieve to-day at the sufferings of many people. The trade union leaders and the employers are also very concerned. What is it then that is causing the great suffering of the people today? My voice will not carry much weight with either side but I appeal, not so much as a Deputy but as an ordinary man in the street who sees much suffering especially among old people, to all concerned to examine the social ills of our system, determine to eradicate them and not go on inflicting suffering.

I often find it hard to understand the Opposition attitude to the Government plans for the development of our resources and the creation of full employment. I do not suggest the plans are perfect or that the Opposition have no right or duty to criticise but the aim of full employment is something we all dreamed about. Before we got our freedom people said that when we got rid of the conqueror we could plan our own economy and achieve full employment. Surely this is a worthy idea? The Minister for Economic Planning has been derided because he is striving for and believes we can achieve full employment. People are very glad that the Government have this idealism. There are many people who say we cannot achieve it. That is not the point. If we feel despondent, no matter what our aim in life, and say we cannot achieve it, we will never achieve anything. The people appreciate that this idealism is worth following.

When people say it cannot be done and the Government say it can, we should remember the remark of Bernard Shaw that "some people saw things that were and asked why, but we saw things that never were and asked why not". He spoke abuot the Irish people. I feel the same way now. Some people see unemployment and ask "why". We never saw full employment but we said "why not?" We can achieve it but we cannot do it on our own. Together with the Government, trade unions, employers and so on we can dedicate ourselves to the cause of full employment.

One of the reasons why the Coalition lost the last election was the parents were worried because their children were not employed. People said they would change the Government in the hope that they would have better results under a new Government. Parents and young people are concerned about employment and I get very angry when I hear people say that people do not want to work. The vast majority of the unemployed want to work. All our efforts should be concentrated towards that. The Opposition can put forward ideas and criticise but they should not deride the fact that full employment is obtainable. If we believe it we can do it. We have a duty to do this.

Democracy in many countries today is under great pressure. We are a democratic State and believe all men are equal in the sight of God. We have a duty to give whatever talents we have towards achieving full employment. If the people see that we are striving towards this they will back us.

The Government must bend their mind towards the creation of a just system of taxation. We know taxation can bear unfairly on many people. It bears mostly on parents with young children. These are the people who must be looked after adequately in our taxation. I back any means the Government take to tax luxury living. The family, being the basic unit of our society, must be given all possible help and a distribution of the national wealth in great proportions. The family is taking a great bashing from influences inside and outside the country.

When I speak of this country I mean North and South. Unfortunately we do not have much influence over the North. If we can convince them that we have the basis of a just society, that we believe in providing employment and good housing, this will find an echo in the Six Counties. Deputy Harte spoke about east Belfast and the North in general this morning. We should have made common cause long ago with people from the working districts in the North. We have suffered in ways they have suffered from unemployment and bad housing. We can find common ground here for unity.

Without going into academics, the man from the Shankill Road does not realise that economics and not so much religion has played a great part in the frightful upheaval that has taken place in Ulster in the last 10 years. Deputy Harte spoke about the GAA. The GAA is a great organisation but I was never a member of it. I played soccer. I went to the North, to Ravenhill and Windsor Park. I did not feel I was any less an Irishman for doing that. I felt affinity with the people there long before the trouble started. I would be very much at home in discussing the merits or demerits of a team playing at Windsor Park or Ravenhill. There is goodwill in the North towards us.

I know Deputy Harte lives near the Border and is, perhaps, more aware of the situation than I am, but in the Fianna Fáil philosophy we look for a united nation and this will come. People in the North need basic things like full employment and good housing. A lot of our people need them, too. We can say to the people in the North that we are striving towards a better society and that they are welcome to be part of that. Let us go forth together striving for these targets.

When the Opposition decry the efforts of the Government towards full employment, I cannot follow their line of argument. If the Government are not going the right way about it the Opposition should say so. If they are not and the Opposition put forward good arguments as to the way they should, we can take those suggestions and be glad of them. The day is past when the only duty of the Opposition was to oppose. It probably never was their duty. We live in dangerous times and we should have a more responsible attitude from the Opposition than was displayed this morning. There are many problems facing us particularly in relation to our city.

About one-third of our population live in the Dublin area and that figure is increasing all the time. Since the industrial revolution big cities have tended to expand to a great extent because they have attracted people to them. While decentralisation might help to stem that flow, I do not think any democratic country has been able to curtail such growth. Various Ministers have tried to preserve even one green belt around our cities, but few cities were successful. We tried to preserve a green belt in Dublin but, because we have to face enormous pressures in relation to housing, we were not successful.

It must be remembered that within a few years the population of Dublin will exceed one million. For that reason we must give more thought to the city problems which are becoming more apparent and serious. Housing is the basic thing we need. I know of many young couples who cannot get proper accommodation except at exorbitant rents. We need a tremendous investment of capital and thinking in housing. We must avoid the mistakes made in other cities in the past and use the resources we have to the utmost to create a proper society in the city. Many of the problems and temptations of young married couples would be removed if they had proper housing. Our people tend to marry at an earlier age and, therefore, the demand for housing is great. We are all aware that building techniques have changed to such an extent that houses can be built a lot faster than ten years ago. Great efforts have been made by the local authorities in Dublin to deal with this problem and they have managed to reduce the number of applicants on the waiting list but that number is still at an unacceptably high level. We must do everything to cut that number drastically. Such problems will not go away. All sectors of society must be called into play to help solve this problem. We have a great opportunity of creating a society here which could be a model to other countries. We have a minimum of resources and little influence over external happenings that affect our standard of living but in spite of that I believe we can succeed by using our best talents in the Oireachtas and in industry and commerce to guarantee our people a good standard of living.

The basis of a lot of our trouble in the city is the fact that the educational system available to many of our people is not good enough. We need more schools and a reduction in the pupil-teacher ratio. We still need the help of religious orders who have served us well in the educational sphere down the years. While it may not be very popular to praise such orders today I believe we must show them appreciation for the work they have done. Now more than ever their influence is needed on the educational scene in the city. People would not criticise the raising of extra taxation which is earmarked for a better educational system. The Minister for Education is doing a good job. His thinking on educational matters is refreshing. We should show our confidence in him by backing him in his efforts to create an educational system which will guarantee to all our citizens who desire further education that this will be forthcoming. A lot of tasks face us but the Government are on the right track. Hopefully, by next year we will have made further progress in the fields of endeavour I have mentioned.

Two years ago, after the general election, Fianna Fáil were returned with a tremendous majority. My comment then was that as the people had chosen we must accept their decision. I felt that if all the things that were promised in the manifesto, which is now known to rival Hans Anderson's fairy tales, were carried out, we would be doing well. I believed I could gain from some of the promises. I decided to give the Government a chance to put their plans into operation, if they had any plans. For that reason in the last two years, as the Minister for Industry, Commerce and Energy pointed out recently, I have occupied a back seat watching Fianna Fáil moves. I watched that Minister in particular because, of all the Ministers appointed two years ago, he was the one with the promises which culminated in him taking off his coat to fight the oil giants before heading for China to announce a massive increase in the price of petrol.

During the last two years I discovered that Fianna Fáil announced the promises in the manifesto only in order to gain re-election. They did not have any plan. Obviously, they depended on the ideas of the Minister for Economic Planning and Development. They either accepted those ideas as being the way which the country could make a tremendous surge forward or they knew he was talking through his hat but felt that because he would succeed in getting them returned to office they were worth a try. Whatever the reason, they got back into government and their return to office was followed by a series of mistakes, things which one could not picture happening to seasoned politicians. One would imagine somebody, particularly somebody who has been in government before, should not make the mistakes which have been made time after time, not alone by new Ministers, but by the Taoiseach and the senior members of his Cabinet.

The evening immediately before the last general election the Taoiseach announced, in a statement on television, that he was going to wipe out the dole queues immediately. He was asked specifically when it was going to happen and he said immediately they got back into office. Several times since he has spoken about this problem and as recently as a few months ago he repeated that in a few years' time—it was three first, then he felt that was a bit close and would be within the life of this Government, so he put it back to five; in four or five years—there would be no dole queues. This is probably what Deputy Moore was talking about. Probably he heard the same statement.

I was a trade union official for 30 years. Therefore I know as much about employment, and putting people into employment, as does anybody else in this House. The so-called programmes which have been put before the House and the country in no way are likely to create full employment, about which the Taoiseach spoke also. As a matter of fact I am one of those people who believes that going into the age of the silicon chip will make it extremely difficult to reduce unemployment substantially, but we must aim at that goal. Yet Fianna Fáil, knowing that they cannot do so, knowing that what they are saying is pure claptrap, have repeated it again and again. The fact that they are blatantly saying things that are untrue was evidenced by this morning's antics in this House. I regret as much as anybody else the fact that there was a continuous barrage of interruptions during the time Deputy O'Donoghue was speaking. I can sympathise with him very much because on numerous occasions, as a Minister speaking from the front benches in this House, I was subjected to the same type of barrage by the people now protesting from Fianna Fáil. However, that does not justify it. I do not think it is a good idea. Everybody is entitled to make the statements they want in this House. But I can see the point of people who know that statements being made just could not be true, and indeed the person making the statement knows that what he is saying is pure and simple bluff. Therefore, there is a certain amount of sympathy for those who suddenly find themselves so incensed that they interrupt. But that does not excuse what happened and I regret it as much as anybody else.

To go through the Minister's remarks as quickly as I can—and half-an-hour does not allow very much time for this sort of exercise—my successor is in a Department whose title has been changed from that of Local Government to the Environment, which has consisted simply in having new notepaper printed, nothing else. There has been no effort made to alter the face of the Department, rather simply the need to give the impression that something was being done. The first point I would make in this respect is that the amount of money being made available for local authority housing has dropped consistently. Furthermore the number of houses being built by local authorities this year, in my opinion, will be an almost new low record. Yet we have Deputy Moore coming in here telling us of the necessity to build houses in Dublin, particularly in the city centre.

I should like to remind Deputy Moore that he was one of the people who was a consistent critic of mine when I was allowing over 40 per cent of the amount of money allocated to local authority housing to be spent in Dublin city, when I sanctioned CPOs for areas in this city, including the one he represents, which had been refused by Fianna Fáil predecessors of mine. I would remind the House further that houses being built since the change of Government are simply the result of efforts made by the Government of which I was a Minister, and carried out faithfully by Dublin Corporation. My sympathies now are with Dublin Corporation because I believe they will not be given the money to continue that programme. I believe that the housing situation in Dublin, and indeed throughout the country, will deteriorate badly. I hate to say this but the small man in this country, the working man who would not have sufficient money earned or saved to build a house, indeed, even newly-weds looking forward to building their own homes, have no hope whatever of being able to go into a new house because, first, the State will not provide the money to build local authority houses and, secondly, the price of private houses has gone out through the roof. It costs now twice as much for a site, even in a backward, rural area, as a few years ago would have built a house on that site. This is what my successor has done as Minister for the Environment, and I have great sympathy for the people who will suffer as a result.

Coming now to roads, can anybody in this House say that our roads were ever as bad? They are a disgrace, as one can see travelling from one end of the country to the other. No effort is being made to improve them because the money just is not there. There was a small percentage increase in the allocations this year but then the Government notified the local authorities that for the first time VAT must be paid on road materials and machinery. The end result is that the net amount given for road building and repairs has been reduced, with an appalling situation obtaining throughout the length and breadth of the country.

I do not know what has happened in regard to water and sewerage grants. We seem to have gone back to the bad old Fianna Fáil system of to-ing and fro-ing vis-à-vis the Department, making it impossible to get schemes implemented or off the ground, if that is an appropriate expression to use in relation to water and sewerage. This is the treatment we are receiving from the Department of the Environment, which has been given a new name and nothing else.

I always remember, when our Government were in office, the Minister for Labour, then Deputy G. Fitzgerald, coming in here like a little terrier every time there was even a rumour of a strike, when he was up on his hind legs shouting at the then Minister, Deputy M. O'Leary, telling him what he should do to stop the strike; what he should have done to prevent it, that every strike begun should not have been allowed; that it was his job to sit up all night to deal with them. What did he do when he assumed office? He seemed to have disappeared; he just went; he intervened in no strikes, and they got worse and worse. Perhaps it was just as well he kept out of them. Then last weekend I noted that a terrible thing happened him: he had gone down to Cork and had to come back all the way to Dublin to talk sternly to the oil men on strike. I could not understand why he had not remained in Dublin in the first place because all of us knew that the row would burst over the weekend, and it would have been a very good idea to have made an effort to have settled the dispute here. But to go home and come back again was too much for him; he should not have been asked to do it.

I want to make myself very clear on one thing. I believe that trade unions were and are very necessary. I believe they are representative of a large body of working-class opinion and that it is their job to negotiate wages and working conditions. Having said that, I believe also that possibly they could have more discipline within their ranks. I believe it is wrong that any small group, no matter how incensed they may be about the conditions in which they work or the wages they earn, should, on their own, decide that they will hold, not an area or a section of people, but the whole country to ransom. If they are dissatisfied with the service they are getting from their unions, there is a vehicle by which that dissatisfaction can be brought to the notice of Congress, when Congress can investigate it. And, if they are not doing their job, there are always other trade unions to which they can resort.

I believe also that it is the responsibility of the trade unions to ensure that they give service to those people. There must be a better way than simply going on unofficial strike. I will not agree that the employers are innocent of blame in this charge. Many of them simply allow things to get so bad, refusing to negotiate that eventually their employees become sore, with a resultant unofficial stoppage of work. One of the things wrong is the quickness with which employers who have got into trouble, or when an unofficial dispute occurs, are prepared to negotiate directly with the people who have gone on strike rather than with the trade unions concerned.

I am a great admirer of the trade union movement, having been part of it for so long. They must put their foot down, no matter what Government are in power. They must ensure that they are the people who do the negotiations and that the mavericks who want to go off at a tangent to get something for themselves on the side are not allowed to do so. Speaking as a trade union official of 30 years standing, I believe that the responsibility must be carried by the trade unions themselves. If a trade union official is not doing his job there is always another trade union official who will be able to do it. The ICTU and other groups of unions feel very strongly about this, and if they would come together we might get somewhere.

At present there are numerous strikes and rumours of strikes. There are stoppages for this, that and the other, some of them reasonable, some unreasonable. It is very annoying when I go to get my lunch and there is no electricity, and that evening there is no light because for one reason or another there is no electric power. Because the electricity has been cut off water is not being pumped and whole areas are without water. This is in Ireland in 1979. Some of this is caused by industrial disputes and some by sheer inefficiency on the part of the people running the organisation. Some of it is caused because the Government do not appear to know what they want to do. It is a little bit too much, when we look back at the postal strike, to realise that the terms offered and accepted in the end would almost certainly, had they been offered, have been accepted before the dispute started.

Let us not talk about what the workers who were out lost. They lost a lot and, as one who has been involved in disputes, I know what it costs to a worker and his family. You do not take such a decision lightly and when it is taken things are very hard when you stand up to it. The postal workers were on strike for a long time, and the ramifications of that strike will be with us for years to come. There were the lost orders, the tourists who could not come in, arrangements of various kinds which could not be made, the old folks who could not hear from, talk to or write to their friends and relatives for many months. The people responsible for that were the Government of this country who fought the issue deliberately under the impression that they could starve those strikers back to work. But for the fact that the Presidency of the EEC was coming along today, that strike would still be on. It would be an awful embarrassment if correspondence could not be passed backwards and forwards and the members of the EEC would look askance at the strike-bound country with its Prime Minister, the Taoiseach, as President of the EEC.

The strike was ridiculous and outrageous and it will never be forgotten that Fianna Fáil allowed it to drag on for so long. They could have settled it easily but they made no effort to do so. I would give no bouquets whatever to the Minister for Posts and Telegraphs because, decent man that he is, either he took orders from the Government or, because of his nature, kept his head down. The ostrich act may be all right but it is no way for a Government Minister to behave with a storm raging as this storm was for 18 weeks.

I listened this morning here to the Minister for Economic Planning and Development and I have heard him on a number of occasions previously, but this is the first time that I have seen a brazen, hard-necked person come into this House and say that there was net immigration at present. All the evidence proves that there is emigration of somewhere between 11,000 and 20,000 people per annum and yet the Minister for Economic Planning and Development has discovered suddenly that there is net immigration. He got the IDA to print his little advertisement suggesting that key jobs were available for a lot of people, Irish, British or otherwise, who would come over here to work. If there are any key jobs here they should be filled by the almost 100,000 people who are still unemployed despite the promise in the Fianna Fáil manifesto to do away with unemployment completely.

A bouquet was thrown at the Minister for Education. I will not be too critical of him, and perhaps he is doing his best. The manifesto said that there would be a reduction in the class sizes immediately and that new school buildings were to appear all over the country, but these do not seem to have happened. At present, despite our free education, little children of six, seven or eight years old come home with notes from their teachers looking for £10 and £12 for school books. Multiply that by five or six as the children grow older and that means that very little is left out of £100 for some unfortunate working man. Also, because his child is living 50 yards outside the limit, that child cannot even travel to school on the bus while more wealthy people living further down the road have no hesitation in taking the vacant seats. If the Minister for Education really wants to live up to the reputation which he had before he became Minister as the result of his statements in this House, he will want to do a lot more than he is doing at the present.

The Minister for Finance introduced a budget here. The trouble with Ministers for Finance is that they have come to accept that the budget is not the annual housekeeping account. It is now something to put before the Dáil more or less to please the Government's supporters and to give the impression that something is being done. On two occasions at least the Minister has given a solemn guarantee that there will be no supplementary budget this year. I will wait to see what will happen before the end of the year. One thing he did this year was to remove completely the subsidy on some foods and he also reduced substantially the subsidies on others. The income tax remission which he talked about in the budget has turned out to be the dampest of damp squibs. The tax bands were changed and the people who were paying under the A band are now paying under the B band, and they find that, although they seem to have a higher personal allowance, they are paying more tax out of the same amount of money. The people mainly affected by this are those at the bottom of the ladder.

I do not know whether the Minister for Finance, the Taoiseach or the Minister for Economic Planning and Development was responsible for what happened with regard to the EMS. We had statements and counter-statements. The Taoiseach made statements and the Minister for Economic Planning and Development here and on radio and television contradicted flatly what the Taoiseach said. In some peculiar way the Taoiseach was under the impression that a grant of £650 million was being given and in the same television programme he was corrected from Brussels by one of the television commentators, who shall be nameless, who explained that there was a slight error and that what he was talking about was a loan. A person who does not know the difference between a grant and a loan of that amount knows very little about anything. Then there was the question of the £45 million. We were getting a £45 million grant. We were getting a £45 million subsidy. So far we have got nothing. Yesterday evening it was reported in the papers that the £45 million was to be given and the guess was hazarded that that money was now going to be spent in tax remission. I understand that the £45 million is the interest which will be paid on whatever loan we get and either we will not get that or, if we do get it, it is for the purpose of passing it back again to those who lend the money. Then it will be said that it is not available for the purpose of paying tax.

Lined up beside that was the question of the £60 million which the Minister for the Environment said he was going to give to those who would be converting from oil to solid fuel. I do not believe a word of it. He said that there would be no inspection. There might be the odd spot check, but anybody at all who applied, whether having a house or not, would get that £600 grant, or at least so it appeared in the papers. I am not holding the Government or the Minister responsible for what appears in the papers, but a kite must be flying somewhere which they have used. It is not possible to do what is suggested. The Minister himself in this House last week was very confused over what he had said he was going to give. He said he would make a statement, but that statement does not appear to have been made yet.

I want to deal with the question of oil and petrol. The Minister for Industry, Commerce and Energy was reported recently as having said that there would be heating oil supplies available in August. If he said that it was simply for the purpose of taking the heat off the Minister for the Environment. A lot of people were converting, in the hope of getting the grant, to solid fuel and this would be one way of preventing them doing that. I met a lot of people who said they were thinking of converting to solid fuel but if the heating oil was made freely available it would be all right.

Shortly before Easter I had a question down to the Minister for Industry, Commerce and Energy about petrol and heating oil. He was not present and neither was his Minister of State, Deputy R. Burke. His Minister of State, Mrs. Geoghegan-Quinn, answered the question. For up to ten minutes she berated me about scare stories and said that there was no question of a shortage of any kind, there was plenty of oil and plenty of petrol and it was people like me who were causing the trouble. Shortly afterwards a further question was asked by somebody else and the same reply was given.

I commented on a radio programme that I thought it was appalling that we should be put in the situation where the petrol and oil supplies were apparently almost non-existent and yet the story was being given out that there was plenty available. The Minister then came on the scene. He was supposed to have taken on the oil giants and he was going to tell them off. Again, the newspapers suggested that we would even be able to get supplies of oil from Russia if the oil giants did not toe the line. He was not going to allow them to raise prices. Whatever he did after he left the country and went on his trip to China, we then got a notification that prices were going up. They have gone up twice since and we understand they are going up again.

We also have queues. We have the cowboys, the people who will look for petrol although they have got a full tank, bring it home and fill it into something else, who should not be facilitated in any way. We have queues at petrol stations and people are very badly incommoded. The Minister, so far, has done very little about it. He played around with the £5 minimum amount but that is no answer. While I dislike petrol rationing I firmly believe that if the petrol shortage is as great as it is supposed to be we have got to do something very serious about it. Perhaps the Government may have to think about petrol rationing. The Minister assured me that the coupons were ready if that was necessary.

The question of diesel oil is far more serious because farmers have complained to me that they cannot get enough oil to carry on their normal farming work. The amount of oil they are getting is not sufficient. Somebody who normally got 500 gallons now gets 100 gallons and then he has to waste time going back looking for more which he sometimes gets and sometimes does not. As far as heating oil is concerned I believe we are in for a very cold winter. I am glad the Minister is here because I would like him to make a categoric statement about the matter. I believe he knows there will be a severe shortage of heating oil. He said he would ration it if necessary. He did not say how he would do it but when the time came he would have his mind made up. The people who use central heating oil are entitled to know what will happen.

I am proud of the fact that on 24 May 1974 I made an order that no new house could be built without at least one fireplace which would use solid fuel. If I did not do that we would still be in cloud cuckoo land going around with our little can of oil expecting that the central heating oil would last forever. We should finish this codology about whether or not oil supplies are there and arrange to let the country know exactly what the position is. We are grown up and we should know.

I would like to refer to the EMS. I do not know if people realise that we have reached the stage where we are importing an enormous amount of English goods. We are importing household goods which practically everyone buys in the shops. Nine out of every ten articles sold are British made. We are paying an 8 per cent subsidy on those goods. The Minister for Finance had the hard neck to go on radio and television last week and say that people should thank them because it will give us a better competitive edge by our pound being worth 8 per cent less than the British pound. He said that this was all right and he then referred to Germany, a strong country, and said that we needed a strong currency to be a strong country. I do not know how he added those two together and got them to agree.

The cost of living has gone up much more than the cost of living index shows because things which are not included in that index are being bought every day by our people and we are paying 8 per cent more because the stuff is British. If we want to know what we should do about industry why do we not attempt to manufacture in the country a lot of the stuff we are importing? The Buy Irish campaign, which was started some years ago and on which a lot of money was spent, is a complete joke because people do not buy Irish. I insist every time I can on getting Irish goods but many people do not bother their heads buying Irish at all.

The Minister for Foreign Affairs was very annoyed when the leader of the Labour Party attacked him about the way the troops in the Lebanon are being treated. He was not prepared to do very much about it. We have only to look back and remember that he is the man who was advising the IFO and other kindred organisations about the necessity to have the 50-mile limit. It is written into the Fianna Fáil manifesto that Fianna Fáil thought that a 50-mile limit to protect our fisheries was necessary. Now nobody in Fianna Fáil wants to hear anything about that. If that is the kind of Government we have come to, then what Deputy Harte said when concluding is right. What President Carter has succeeded in doing in America might be copied here. Perhaps the Taoiseach would go away for a couple of weeks, bring his ministers together, have a long talk with them and they might then hand in all their resignations.

Unfortunately in the time available to me I have to be brief and I can only cover parts of two topics relating to my Department and even those by no means as fully as I would wish. I make that point at the outset lest I be accused of not dealing with umteen matters that I could deal with, if I had the opportunity to do it, in the course of this debate.

First, on the question of industrial development, I would like to say that the pace and rate of overall expansion by Irish manufacturing industry during 1978 was not equalled in any member state of the EEC and, indeed, to the best of my knowledge, was not equalled by any country in the world during that year. Our manufactured exports rose to £1,623,000,000 representing a volume growth of over 10 per cent and manufacturing output increased by nearly 9 per cent. A most encouraging development was the gain in labour productivity at 6 per cent, which demonstrates the underlying strength of our manufacture base and its potential for further sustained growth. Employment in the manufacturing sector in the December 1978 quarter was 6,700 higher than the year previously. This was the best performance since the boom year of 1973. An even better outturn would have been achieved were it not for the continuing incidence and disappointing level of job losses.

Economic dynamism, the need to adapt to the growing impetus of marketing and technological changes and the new international division of labour make some redundancies inevitable. However, there is no doubt that in certain instances jobs are lost and factories closed because of the failure to invoke in good time the support and assistance that are available from the State agencies. This country is fortunate in that we have the best and most professional industrial promotional agency anywhere in the world. The track record of the Industrial Development Authority is the envy of all our competitors. Its success owes nothing to luck but owes everything to unstinted dedication and unrivalled expertise.

The IDA's approach to industrial planning is both comprehensive and systematic. Recently the authority published a new industrial plan for the period 1978 to 1982. I propose to mention to the House some of the principle objectives and strategies of the plan, the primary aim of which is the creation of a total of 75,000 grant-aided jobs in manufacturing industry in the five-year period, 1978 to 1982. This level of job creation has never been achieved previously, not even in the world-wide trade and investment buoyancy of the early seventies. The challenge is even more daunting because of the recent international developments regarding energy and the damaging labour disputes here in vital public services. The scale of job creation necessary in the years immediately ahead means that the IDA's programme for the attraction of industry from abroad must remain an essential feature of our development strategy. New overseas projects are expected to contribute about 45 per cent of the total job approval target of 150,000 contained in the plan. This will not be easy because of the intensifying and sometimes bitter competition which exists for a declining global stock of mobile international investment.

Since there was so much talk in the House earlier today about targets and growth rates, it may be worth recording here again that all the targets set in terms of industrial development last year were met and in most cases exceeded.

The new 10 per cent corporation tax for manufacturing industry being introduced from 1 January 1981 to replace exports sales relief will act as a powerful stimulant to investment in job creation for both Irish and overseas sources and will also constitute a further spur to existing industry to hasten the pace of modernisation and re-equipment programmes. In designing this generous and imaginative incentive, it was recognised that the manufacturing sector has a major influence on the economy and must provide a large proportion of the new jobs that the Government have aimed to create in the coming years.

If our industrial development efforts are to succeed we must identify and share in the international growth and investment that has taken place in certain sectors and subsectors of industry. Projects in these growth areas offer the best prospects for producing goods of a high value added and for providing high quality and enduring employment. The IDA intend to concentrate on such sectors as electronics, mechanical engineering, consumer goods, including household appliances, sport and leisure equipment, health care and chemical products and food. Ireland is fast becoming one of the prime locations in Europe for the rapidly advancing electronics industry. The growth of the health care and chemical sector in terms of output in exports in the past two years has been nothing short of phenomenal. This industry now employs about 5 per cent of the total manufacturing workforce. An integral and equally important part of the IDA's sectoral strategy will be aimed at the development of industries based on our natural resources, particularly agriculture, timber, minerals and other resources. The benefit to the nation of the exploitation of new investment opportunities in some of these areas will be in the form of savings in our imports and exports expansion as well as the creation of jobs.

In 1978 the IDA approved for grant assistance projects with a job potential in excess of 30,000. That was the highest rate ever of job approvals. If the IDA are to maintain and improve on this performance in the next four years it will be necessary for them to have adequate physical resources. A considerable part of their budget for 1979 which, incidentally, is well in excess of £110 million, is being expended on the acquisition of sites for the building of advance factories under the largest factory construction programme ever undertaken by the authority. This will entail an investment of £27.5 million and the provision of two million square feet of factory space. This is double the total floor area provided under all previous programmes combined. The authority estimate that more than half the overseas promotive projects which they will be endeavouring to attract in the next few years will be seeking to locate in advance factories.

Therefore, it is essential that in the face of growing international competition the IDA are in a position to offer advance factories as part of their incentive programme. In 1978 the authority purchased 712 acres of land for industrial development purposes and since 1 January last a further 325 acres have been acquired. Because of the time constraint that is all I have time to say for now in relation to industrial development. I would summarise my remarks by saying that we have ambitious programmes, programmes which the country and the authority are capable of meeting but as a nation we can create the obstacles. Some external obstacles are created for us by, for example, the energy situation in recent months, but by far the greater and more important obstacles are those which are being created here at home.

For the Opposition to describe these ambitious targets as foolish and to express the hope frequently that the targets cannot be met is an indication of the form of activity that passes for opposition in this House. To say the least it is unpatriotic. We have a considerable task on hands, but the nation should unite in trying to achieve the targets we set ourselves.

Is the Minister suggesting sabotage?

Targets that are ambitious are much more worth while than targets which would be achieved in any event. I wish to deal now with some aspects of the energy scene. Ireland is assuming the Presidency of the EEC at a most critical point in the world energy situation. In the past six months meetings of the Heads of Government of the Nine which took place in Paris in March and in Strasbourg towards the end of June were dominated by the energy problem. Again, at the Summit meeting of the major industrial countries which took place in Tokyo on 28 June those present devoted the greater part of their attention to the energy situation, the seriousness of which was accentuated by the further increase in OPEC oil prices which was announced at that time. As a result of the initiative taken on 18 June by the Council of Energy Ministers, the Community countries were able to adopt a leading role at the Tokyo Summit and were successful in pursuading the US, Japan and Canada to proceed on lines that have been approved already at Community level.

From the point of view of our Presidency, an immediate objective at Community level is to obtain agreement on a system of registration of prices of oil imports both from other member states and from third countries. It is hoped that the establishment of such a system will bring more transparency into the oil market and will show the extent to which supplies and prices are affected by the spot market. There is an obligation on the Community and on industrialised countries to bring activities on the spot market under control. The oil-producing countries are encouraged to increase the official OPEC price when they see the ridiculously high prices that are obtained on the spot market. In early September it will be necessary for us to undertake a major programme to give effect to the decision reached by the European Council in Strasbourg in June and by the industralised countries at the Tokyo Summit.

During the past few months we have been facing the full implications of the fact that we are an energy-deficient country. We are dependent on imported energy to the extent of more than 80 per cent and our oil import dependence level is in excess of 75 per cent. In 1978 our total fuel consumption was about eight million tons of oil equivalent and in 1979 the figure is expected to be of the order of eight and a half million tons equivalent. Of these, total oil imports accounted for about six MTOEs in 1978 and for about six-and-a-half MTOEs in 1979. In recent years we have had one of the fastest growing economies in the Community with the corollary that our energy consumption, especially our oil consumption, has likewise increased substantially. There has been a 50 per cent increase in oil consumption in the past ten years. It is clear therefore the economic growth with its concomitant of increased energy usage will continue in Ireland, as productive employment for our growing population must be made available.

The Irish oil market traditionally has been the preserve of the multinationals trading here who, between them, have about 85 per cent of the market, the remaining 15 per cent being shared by a number of smaller companies. In the first quarter of this year, despite the shortages arising from the troubles in Iran, the oil companies delivered into consumption substantially more oil than in the corresponding period last year. This pattern continued in the second quarter, although not to the same extent, as the effects of the loss of Iranian oil began to bite. Nonetheless, over the first six months of this year, total deliveries into consumption were still significantly higher than in the first six months of 1978.

The complete certified figures are available for the first five months at the moment. The six monthly figure will not be available for about another ten days. The certified figures for the first five months show that the deliveries into consumption of oil products here to the end of May will be 8.6 per cent up to the corresponding deliveries for the corresponding five month period in 1978. The fact of this increase does not, of course, alter the fact that there were shortages in some oil products. We could not expect to escape unscathed from the effects of the widespread shortages in some oil products which many other countries are experiencing. When we consider that both the US and the United Kingdom, despite their very substantial indigenous production, have had appreciable shortages in various oil products, we can perhaps regard ourselves as fortunate that the supply constraints under which we have laboured, relatively speaking, have not been all that great.

In IEA countries generally, the shortfall in oil supplies across the board is now 3 per cent, a slight improvement on the shortfall of 4 to 5 per cent which existed earlier this year. The shortfall is greater in some products than in others, notably gas-diesel oil, which is in widespread use in this country. There is, therefore, some concern that sufficient products will not be available for all our needs this coming autumn and winter. The Government must, therefore, consider very carefully the manner in which available supplies of likely to be scarce products such as gas-diesel oil should be allocated, bearing in mind that the reasonable needs of essential industries must be met before all else. This is the over-riding requirement. As I told the House last week, some allocation of gas-diesel oil for domestic heating purposes will be made.

As regards motor spirit, the supply position into the country has eased in recent weeks, and I emphasise the phrase "into the country". The oil companies are not expecting pressure on supplies of motor spirits in the immediate future, assuming they are in a position to import and distribute as they wish. Assuming that the level of supplies continues on the same broad basis as it is at present —and I want to emphasise that assumption—no undue difficulty in getting supplies of motor spirit over the coming winter is anticipated at this stage. There is, of course, the critical threat to supply and normal distribution arising from the current industrial dispute which has not yet been fully resolved. There are difficulties at the moment in the internal distribution within the country of both motor spirit and gas diesel oil——

And long before the strike took place.

——which were accentuated in the past week or two by an industrial dispute. That industrial dispute is at least partially resolved, as I understand the current position, and I hope very fervently that it is about to be fully resolved. To say the least of it, it is very unfortunate that the difficulties we have had over a period of months should be so seriously accentuated at a vital time like this, particularly in terms of the tourist season, by this unfortunate development. I do not want to say any more about that dispute, which I hope will be fully out of the way in the very near future.

I want to turn now to the availability of certain fuels and sources of energy in the coming winter, and what the position is likely to be. The availability of adequate solid fuel supplies is a major concern. I arranged for a series of meetings in my Department with the principal coal suppliers during the month of June so that the position could be reviewed in good time. The companies fully appreciated my anxiety to have arrangements made to meet the anticipated increase in winter demand. They told me they have sought very substantially increased supplies from Poland and, in some cases, they were looking at alternative sources. My Department and the Department of Foreign Affairs have taken steps to explain our position to the Polish authorities and to press for the increased supplies which are being sought by the trade.

A similar series of meetings held with the distributors of bottled gas confirmed that the companies in this fuel sector also anticipate a significant increase in demand and are making arrangements accordingly. It is worth pointing out that, while one hesitates to make definitive forecasts of sources of energy supply for obvious reasons—the forecasts everybody in the world made a year ago were proved to be wrong— nonetheless the present indications are that liquid petroleum gas, or bottled gas as it is called here, is likely to be available in greater quantities, and more readily, than many other alternative forms of imported energy. We are fortunate that the North Sea oil fields produce considerable quantities of liquid petroleum gas and that domestic demand for it in Britain is not as high as it would be per capita here, or in some other countries, because the British are very widely served by the huge quantities of natural gas they have and which they are able to utilise so widely.

As Members of the House know well, turf production is very sensitive to weather during the harvesting season. The weather in the early part of this season was very poor and, as a result, Bord na Móna's current programme suffered an early setback. The latest information I have is that a good deal of the leeway has been made up. With continued favourable weather conditions —and this remains a critical assumption—the board's current targets of 880,000 plus tons of sod or machine turf, and 360,000 tons of briquettes, can be substantially achieved. Weather apart, the quantity of briquettes which can be produced is limited by current plant capacity. In the immediate future it will not be possible to meet all demands for this fuel.

In due course there will be increased production from a new factory at Littleton in County Tipperary which is scheduled to commence production in 1981 and a further new factory which I announced recently at Ballyforan in County Galway which will commence production in 1984. When the additional factories are in full production the total Bord na Móna briquette production will be 750,000 tons or more than double the existing production.

I come now to deal with the question of the ESB. It is an understatement to say the position about the electricity supply is not as I would wish it to be. The total generating capacity of the board is about 2,800 megawatts compared with a peak demanded of about 2,000 megawatts at the height of last winter. Given these figures, any ordinary citizen would be forgiven if he or she had difficulty in understanding why we have been having power cuts during what amounts to a heat wave. The present situation results from a complex combination of circumstances, some of them foreseeable and some of them not.

At this time of year a substantial part of the ESB's generating capacity is out of use for plant maintenance. It is obviously good policy to have all regular maintenance done within the period of least demand. Due to a backlog of maintenance, the amount of plant out of line over the past few weeks has been considerably higher than would be normal. This backlog of maintenance has been carried forward from last year when no maintenance at all was carried out to the board's generating plant for a period of 14 weeks, due to an industrial dispute of one kind or another.

The most critical factor in this difficult situation is created by the demarcation dispute at Poolbeg generating station in Dublin which has resulted in about 20 per cent of the capacity needed to meet current peak demand being out of service. There is also force maintenance. Certain items of plant which have developed faults have to be shut down temporarily for repair, which happens from time to time. The general shortage in capacity has put a considerable strain on the hydro-stations, which are small and are no longer of great significance in the make-up of the board's generating capacity. The water levels have run down because of the considerable use of these hydro-stations in recent weeks.

They have reached the stage where the board cannot allow the level of our two main generating rivers, the Shannon and the Erne, to fall any further as it would interfere with the amenities on these rivers. This is the factual situation. I am not suggesting that we should accept it with resignation or equanimity.

The accumulation of problems has undoubtedly created a position of special difficulty. The ESB and everyone in it have special responsibilities and in certain respects they enjoy special privileges. Our whole system of centrally controlled utilities will run into serious difficulties if particular groups decide to pursue their own interests first and ignore their privileged status and the responsibility which they have to the public, including in particular their colleagues in other employments.

While we have had numerous power cuts in recent months it is correct to say that at no time was the shortfall in the board's generating capacity in excess of 270 megawatts. If, therefore, the dispute at Poolbeg between two unions had not existed the board would not have had any power cuts, which is the way we expect it to be and the way it should be. Even allowing for that dispute, if the board had not had to contend with the position that exists on the Border we would have been able to depend on the inter-connector which operated between 1970 and 1975.

In no sense, therefore, can it be suggested that the management of the ESB has been lacking in making arrangements and allowances for normal demand and foreseeable increases in demand. It is now faced with the two situations, both of which are beyond its control and which are having a serious effect on the country.

It has not been my practice to make comments on individual industrial disputes but this dispute is not a dispute between the ESB and any of its unions; it is a dispute between two unions about which union 13 men should be members of. In other words, the dispute is whether union A or union B should collect the weekly union dues of these men. The apparent enmity between these two unions can be carried to the extent that it causes losses in industrial production running into millions of pounds. Apart from the losses caused to industry, the ESB have lost about £1 million because their biggest and most efficient thermal station is out and they have to generate electricity through a less efficient station and use more oil to generate less electricity. The direct cost to the board in terms of oil costs alone has been £1 million. The cost to the country is, of course, incalculable. In terms of lost production alone it certainly runs into millions of pounds.

What worries me more is the kind of loss that one cannot quantify: the factories that will not now be established here because this has happened. We have what is sometimes called a strict moral and legal code. Some years ago I read in a newspaper a report of a person being sent to jail for 12 months for stealing one pound of butter from the shelf of a supermarket. That person is regarded as being legally culpable and morally culpable. I suppose at the time the cost of a pound of butter was 40p or 45p. That person got 12 months' imprisonment for the crime. For all I know, that person may well have been hungry. A small group of men can, without any apparent culpability, either legal or moral, steal thousands of jobs which could have been created for our young people. I wonder if some moral cupability might follow if this House were to create some legal culpability. It is something that we might well contemplate.

I started my short contribution to this debate half-an-hour ago by setting out the existing situation in regard to industrial development, by setting out the achievements of last year and by setting out the enormous opportunities that exist in this year and in each of the next three years if we as a nation want to grasp them. It is a matter of personal choice for all of us. If we are prepared to condone and tolerate a petty squabble between two small British-based unions about who should control 13 men and collect their weekly dues to the extent that it destroys thousands of jobs for our young people, then we do not want to succeed.

Debate adjourned.
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