Dáil Éireann díospóireacht -
Thursday, 3 Dec 1998

Vol. 497 No. 7

Written Answers - Multilateral Agreement on Investment.

Trevor Sargent

Ceist:

55 Mr. Sargent asked the Tánaiste and Minister for Enterprise, Trade and Employment if she has received correspondence from a person (details supplied) in County Galway in relation to the possible implications for Ireland of the implementation of the multilateral agreement on investment as constituted; and her assessment of the concerns raised in that letter. [25428/98]

Minister of State at the Department of Enterprise, Trade and Employment (Mr. T. Kitt)

I received correspondence, from the person referred to in relation to the multilateral agreement on investment, and replied, on 5 November confirming that France had withdrawn from the process and stating that there was no prospect of a resumption of those negotiations.

A concern raised, regarding the expropriation provisions in the draft text of the MAI, was that foreign companies might be able to sue a host government in a case where environmental regulations had the effect of reducing the value of a particular company's assets. This problem was under discussion at the time the MAI negotiations ceased. Delegations were working to ensure the provisions on expropriation could not be used to interfere with environment regulations. In the absence of further negotiations, the issue will not be resolved in the MAI context. It will undoubtedly be a feature in any future multilateral discussions on investment.