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The President of the European Commission, José Manuel Barroso, has told the National Forum On Europe that nothing can be agreed on taxation issues without Ireland’s consent and that nothing can be imposed on Ireland. “The unanimity rule for taxation stays in the Lisbon Treaty”, he said. He also said that Ireland’s policy on military neutrality would be fully protected under the Treaty.
Both those assertions were challenged by Forum Members from Sinn Féin, the Socialist Party, the People’s Movement, and the Peace And Neutrality Alliance.
A significant section of the debate was devoted to the current controversy over the World Trade Organisation talks. While unrelated to the Treaty, concerns about the direction being taken by Trade Commissioner Peter Mandelson in the WTO had led to farmers demonstrating on the streets of Dublin to coincide with the Commission President’s visit.
On taxation, Mr Barroso confirmed that the Common Consolidated Corporate Tax Base (the CCCTB) was an issue of interest to several Member States and was being studied by the Commission. However, he said that no decision would be made on whether or not to present a proposal until all the implications were known. “But one thing is already crystal clear – no Member State, either under the current rules or under the Lisbon Treaty, can be obliged to accept a tax proposal to which it objects.”
Addressing concerns from some Forum Members that the Treaty could affect Ireland’s neutrality, the Commission President stressed that the Ireland’s ‘distinctive’ national position was fully protected under the Treaty. “The Lisbon Treaty will make some changes in the way the EU deals with defence and security issues”, he said. “But I can categorically state that there is nothing in the new Treaty that will affect Ireland's tradition of military neutrality. Here too unanimity will continue to be the rule and each Member State retains a veto over proposals or crisis management missions. In fact, the Treaty explicitly says that the policy of the Union on these matters "shall not prejudice the specific character of the security and defence policy of certain Member States", so Ireland's distinctive national position is fully protected.”
In an impassioned response to points made by Forum Members, Mr Barroso said that as someone who grew up under dictatorship in Portugal, he “more than ever” viewed the EU as a force for peace and good in the world.
When Forum Chairman Maurice Hayes opened the debate to the Forum, the Minister for Foreign Affairs, Dermot Ahern TD, who led the Fianna Fáil delegation, said that Ireland has nothing to fear and everything to gain by supporting the Treaty. “It secures neutrality and tax sovereignty. It empowers Ireland to deal with the significant global challenges ahead. It’s in our national interest – that’s the bottom line.”
Echoing that endorsement, Fine Gael leader Enda Kenny TD said that Irish electors had the “honour and privilege” of deciding on a Treaty that would affect 500 million people. “This Treaty is about our children, our future and our continent.” While conceding that the current concern over the WTO talks was a separate issue, Mr Kenny pointed to fears that the European Commission was going beyond its mandate in the WTO talks. He called on Mr Barroso to ensure that Commissioner Mandelson would not go “beyond his brief”, as he put it.
The Irish Farmers’ Association representative, Seumas O’Brien reiterated farmers’ real fears that Commissioner Mandelson’s proposals for “very serious reductions in tariffs” would “wipe out the European beef industry”.
Mr O’Brien accepted that the WTO negotiations do not affect the Lisbon Treaty but contended that the two issues were becoming linked in the minds of farmers. “You can’t tell the average farmer and the average agricultural industrialist out there that it doesn’t as it’s perceived that what is happening at World Trade level is destruction.” Referring to the date for the conclusion of WTO negotiations, Mr O’Brien warned: “I fear that the 20th of May will be our referendum on the Lisbon Treaty, not the 12th of June.”
Mr Barroso agreed that this issue “was very important to Ireland and the European Union, but not related to the Treaty. We are very much attentive to the concerns of the farmers of Ireland and we are negotiating to meet their real concerns. We will not accept opening the floodgates to beef imports.”
There were contributions, too, fromMinister for European Affairs Dick Roche TD, Green Party Senator Deirdre de Burca and Mae Sexton of the Progressive Democrats who are supporting ratification of the Treaty as well as from former Minister for Education Cllr Niamh Breathnach of the Labour Party which is also calling for a Yes vote. The employers’ organisation, IBEC, also urged that the Treaty be ratified in the forthcoming referendum.
However, Sinn Féin MEP Mary Lou McDonald said that the Lisbon Treaty was a “disappointment and a failure in terms of democratic reform”. She believed that the Commission would bring forward its proposals for a Common Consolidated Tax base this September.
“I notice that your assurances on taxation here today are a lot less fulsome than those you gave in the Irish press,” she said. Ms McDonald believed that the Commission was being far from “straight” with the Irish public. “If the plan is for the Commission to leave people in ignorance of the Treaty, if the plan is that the Irish people will act simply as a rubberstamp for this Treaty, well then I think you will find that the response will be, to coin a phrase, ‘No way José’”.
Naoise Nunn of Libertas, an organisation campaigning against the Treaty, referred to a statement on the Commission’s website which recorded how efficiently the European Institutions continue to function in the wake of recent EU enlargement. He asked why, in this context, a Treaty for greater efficiency of the European Union was needed.
Former MEP Patricia McKenna of the People’s Movement claimed that there was a conspiracy between the Commission President and the Taoiseach, Mr Ahern, to try to ‘hoodwink’ the Irish people on the issue of taxation.
“I think it’s pretty inappropriate for the Commission to come here as you’ve done today and interfere with the internal decision of the Irish people. Our rights were provided to us through our constitution and it is only the people who can actually make that decision if they want to hand over those rights and I think the commission is bound by the existing Treaties. Lobbying to change those to your benefit I think raises questions”
However, Mr Barroso replied that he had come to the Forum because he had been invited. He also said that the Commission was obliged, under its mandate, to explain its position on such issues.
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