strategy statement03 - 05

In addition, a study of the insurance sector is being undertaken with the Competition Authority, in furtherance of the commitment in the Agreed Programme for Government to remove unwarranted constraints on competition in all sectors of the economy. The study will include the EU dimension.

Figure from page 31

The coming strategy period is likely to be one of the most significant in the history of the EU, given the radical nature of the developments which are planned.

2004 will be a year of particular significance for Ireland as it involves our presidency of the Council. This is likely to be our most challenging presidency to date. It will also be the year of the biggest and most far-reaching enlargement since the process of European integration began. The Convention on the Future of Europe and the consequent Inter-Governmental Conference will also be significant. The latter has the potential to considerably alter the structures, institutional arrangements and operation of the EU. These issues are adverted to in the Agreed Programme for Government, including the commitment to run a proactive and efficient Presidency in 2004.

Ireland is in a transitional phase in its relationships with the EU, reflecting our very significantly changed economic and social position. The developments arising from both enlargement and the work of the Convention are likely to propel us into a new set of relationships with the institutions and the other Member States. In short, both the geography and geometry of the political and economic landscape will be significantly altered. Ireland’s ability to embrace these new developments and build new relationships and alliances will have a major effect on our future.

The debate at national level on the Nice Treaty has raised EU issues in the public consciousness. As a consequence there will be greater monitoring of our EU activities in the future than has been the case up to now. The new Oireachtas Scrutiny arrangements (now on a statutory footing) are likely to contribute significantly to the debate on, and analysis of, EU issues.

The final period of the Strategy Statement will also mark the half way point set by the Lisbon European Council in 2000 for the achievement of the goals set out in the Lisbon Agenda i.e. “to become the most competitive and dynamic knowledge-based economy in the world capable of sustainable economic growth with more and better jobs and greater social cohesion” by 2010. The Department is a key player in many of the main policy issues under this heading. The immediate challenge is to help devise ways for the new Competitiveness Council5to make a real and focused contribution to the achievement of the Lisbon Goal, particularly on issues affecting the competitiveness of enterprise.

The 2003 Mid-Term Review of the Social Policy Agenda will evaluate progress in developing social dialogue, modernising contractual relationships, adapting work organisation and developing an appropriate balance between flexibility and security.

As outlined in the previous Strategy Statement, Ireland’s membership of the European Union has a pervasive influence on Irish policy making. The Union’s role in economic and employment policies in particular imply an inextricable link between the European Union and the ability of this Department to deliver on its business goals. Over the period of the next Strategy Statement the Department will be centrally involved in inputting to Ireland’s stance on most of the developments outlined above and will have a key role to play in relation to many of the policy issues concerned. New and revised strategies will be required to deal with the new EU environment that will evolve during the period.

There is a significant EU dimension to the Knowledge Economy, in particular as provided for in the eEurope Action Plan 2005, which took effect on 1 January 2003, and which is designed to encourage Member States to take measures in certain areas such as eBusiness, network security, etc., and on which they are required to report regularly at EU level.

The coming strategy period will also be significant from a labour market perspective in terms of the finalisation of negotiations on

5 The concept of an overarching Competitiveness Council was promoted and strongly supported by the Department. This new Council formation was set up following decisions taken at the Seville European Council in June 2002.