Referendum dilemma: Protocol solution

THE LISBON Treaty, and a protocol attached to it, may provide a way of strengthening the enforcement of European Union budget…

THE LISBON Treaty, and a protocol attached to it, may provide a way of strengthening the enforcement of European Union budget rules without a referendum having to be held in the Republic.

The treaty article in question and the protocol, which aim to impose fiscal prudence on member states, could enable the sort of changes likely to be tabled when EU leaders meet in Brussels tomorrow night and again on Friday.

The operation of the Excessive Deficit Procedure is set out in article 126 of the Treaty of the Functioning of the EU, which gives effect to the measures set out in the Lisbon Treaty. The article runs to 14 paragraphs but some of the most crucial provisions governing the procedure are contained in a protocol annexed to the treaty.

The relevant texts of paragraph 14 of article 126 and protocol 12, article 3, would appear to offer a possible route to treaty change without a referendum.

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Paragraph 14 of 126 states: “Further provisions relating to the implementation of the procedure described in this Article are set out in the Protocol on the excessive deficit procedure annexed to the Treaties.

“The [European] Council [of member state heads of government] shall, acting unanimously in accordance with a special legislative procedure and after consulting the European Parliament and the European Central Bank, adopt the appropriate provisions which shall then replace the said Protocol.

“Subject to the other provisions of this paragraph, the Council shall, on a proposal from the Commission and after consulting the European Parliament, lay down detailed rules and definitions for the application of the provisions of the said Protocol.” [emphasis added]

Protocol 12, article 3, states, inter alia:

“In order to ensure the effectiveness of the excessive deficit procedure, the governments of the Member States shall be responsible under this procedure for the deficits of general government as defined in the first indent of Article 2. The Member States shall ensure that national procedures in the budgetary area enable them to meet their obligations in this area deriving from these Treaties. The Member States shall report their planned and actual deficits and the levels of their debt promptly and regularly to the Commission.” [emphasis added]