asked the Minister for Industry, Commerce and Energy the Government's policy for the future expansion and development of Irish Steel Holdings Limited.

42.

asked the Minister for Industry Commerce and Energy if he will make a statement on the expansion plans of Irish Steel Holdings Limited, and the adverse attitude of the Commission of the European Communities, in the light of the disclosure by official sources in Brussels on 26 January 1978, that new orders for steel in December 1977 had shown some increase in comparison with previous months.

With the permission of the Cheann Comhairle, I propose to take Questions Nos. 41 and 42 together.

Details of the re-equipment and development plan of Irish Steel Holdings Ltd., which had been approved by the Government in February 1977, were notified by the company to the European Commission in May, 1977 as required by Article 54 of the treaty establishing the European Coal and Steel Community. An opinion of the Commission in the matter was conveyed to the company by letter dated 23 December 1977. This opinion, which is regarded as a conditional and open-ended one, invited a response from the company. Arising from it discussions are proceeding between the company and the Commission and any indications of improving market prospects will, of course, be a factor in the outcome. Pending the completion of these discussions, it would not be appropriate for me to make a statement on the matter.

Will it be official Government policy and not EEC policy which will be implemented in respect of this relatively old and worth-while public company?

Obviously, yes.

Will the Government be dictated to by the EEC?

We have commitments to the EEC but it will be a Government decision finally.