Written Answers Nos. 128-133
132. Deputy Thomas Gould asked the Minister for Finance if his attention has been drawn to the fact that there is no recourse for complaint regarding decisions taken by the nominations committee of a credit union. [31798/21]
Amharc ar fhreagraCredit unions in Ireland are regulated and supervised under the Credit Union Act, 1997 (the 1997 Act) and regulations issued by Central Bank, which set out the framework for the registration, regulation and operation of credit unions.
Board of directors
Sections 53-57 of the 1997 Act set out the relevant legislative provisions relating to the directors of credit unions. The process for the nomination of candidates to the board of directors is a matter for the nomination committee of the credit union.
The nomination committee of a credit union is responsible for identifying candidates for election to the board of directors and ensuring such candidates are fit and proper.
Once nominated, members of the credit union vote to elect one or more of the nominated candidates to fill vacancies on the board of directors at an annual general meeting or special general meeting of the credit union at which an election is held for members of the board of directors.
Role of Nomination committee
Section 56B of the 1997 Act sets out detailed provisions relating to the nomination committee of credit unions.
Section 56B(4) sets out the responsibilities of the nomination committee, which include:
identifying candidates to be nominated for appointment to the board of directors;
accepting nominations of candidates proposed to be appointed to the board of directors; and
proposing candidates, for election by a general meeting, to be members of the board of directors.
Only candidates nominated for appointment as a member of the board of directors through the nomination committee may be put forward or seek election to the board of directors at a general meeting of the credit union at which an election is held, in line with Section 56B(5) of the 1997 Act.
Decisions taken by the nomination committee
Where a member wishes to make a complaint related to their credit union, including regarding a decision taken by the nomination committee, this may be raised directly with the credit union concerned in accordance with the credit union’s complaints process.
133. Deputy Mairéad Farrell asked the Minister for Finance his views on reforms which would exempt green capital expenditure in order to address the climate emergency given the review by the European Commission of the fiscal rules are set to reopen. [31885/21]
Amharc ar fhreagraAs the Deputy is aware, the fiscal rules have been an integral part of the European economic governance framework for a number of decades, dating back to the adoption of the Stability and Growth Pact (SGP) in 1997. This framework has evolved significantly over the past two decades, particularly following the economic and fiscal crisis, which saw the rules strengthened through the adoption of the so-called Six- and Two-pack legislative packages.
Early last year, the Commission opened a formal review of the Six- and Two-pack, including the launch of a public consultation on the operation of the fiscal rules. Discussions around this review were paused because of the Covid-19 pandemic, with the public consultation suspended. I welcome the recent confirmation by the European Commission that they intend to relaunch the public debate on the fiscal framework when the post-pandemic recovery takes hold.
I am firmly of the view that investment in the productive capacity of our economy is key to our future prospects. In particular, robust public capital investment will be needed to achieve our ambitions in the context of the green and digital transitions. Formally, the EU fiscal rules do not place any limits on public investment, as additional expenditure is always possible provided it is financed by revenue-raising measures or matched by offsetting reductions in current expenditure. However, we must recognise that, prior to the pandemic, there was already evidence of an investment gap across Europe. The role of the EU fiscal rules in creating or tackling this investment gap is a complex question but one which I believe we must consider at both a national and European level, particularly in the context of the EU’s long-term strategy to move to an economy with net-zero greenhouse gas emissions by 2050.
My officials and I will actively engage in these discussions. However, it must be recognised that there are difficult trade-offs involved. This means that finding agreement will be challenging.
