During a Seanad debate on job creation, I said: In 1932, when the unemployment rate in the US stood at 25%, Franklin D. Roosevelt argued for bold, persistent experimentation and stated:

"It is common sense to take one method and try it. If it fails, admit failure frankly and try another. But above all, try something"...

The Government must be encouraged to experiment and try new things. Some years ago, Denis Desmond approached the Government of the day with a proposal relating to establishing the Irish Financial Services Centre, IFSC, and was informed that it would not work. He approached C. J. Haughey, who was not in power at the time, with his proposal and the latter stated he would run with it. One of the messages we must get across to the Minister for Finance and others is that it is sometimes possible to make far more money on foot of a lower tax rate. In other words, by reducing the percentage one can take in more money. Those of us who are in business are aware of that. However, there appears to be an assumption, particularly among accountants and others, that the way to bring in more money is by increasing the tax rate. Past experience has shown that lower tax rates often lead to greater amounts of money being accrued. That is why we succeeded so well in the late 1980s and early 1990s.

I wish to make a number of points and I hope I will have time to refer to them all. The first relates to the degree to which we concentrate on farming. There is good reason for this because farming has become a much more profitable occupation in which to be involved than was the case for some time. I would like schools to highlight to students the benefits of farming as a career. It was not possible to do this in previous years because farming was not paying for itself. However, the position has changed. It is even more important that there be support, encouragement and enthusiasm in respect of food. In the long term, food production will be even more important than farming in the context of job creation. Senator White referred to the success we have already enjoyed in this sector.

There is a need to reduce red tape. I recently spoke to an individual who opened a petrol station and who was obliged to obtain ten licences in order to run it. How can people succeed in business in such circumstances? Is it not possible to apply regulations in respect of individuals who employ four people which are different to those which obtain with regard to companies that employ 1,000? The UK’s Secretary of State for Business, Innovation and Skills, Vince Cable, MP, has given a commitment to consider the position of those individuals and companies which employ fewer than ten people because he accepts that one size does not fit all.

Senator Noone referred to the Taoiseach’s statement about wanting to make Ireland the best small country in which to do business. A number of years ago I visited Panama. The authorities were also keen to make it the best small country in which to do business. To that end, they discovered that one of the disincentives which existed in their country was the length of time it took to establish a new business. They decided that Panama should be the best — it was competing with Singapore and Hong Kong in this regard — and they managed to reduce the period in which it takes to complete the necessary paperwork, etc., to establish a business there to seven hours. That is the type of approach we need to consider and it should certainly be possible to reduce the amount of time it takes to set up a small business.

Previously, I had no knowledge of the process of fracking. What would be the outcome if we were to allow the use of fracking in Ireland in order to create both jobs and the potential for billions of euro to be made? Fracking is a method of extracting natural gas by means of so-called hydraulic fracturing of shale deposits. IndigoPool, a subsidiary company of oilfield services provider Schlumberger, estimates that there are 9.4 trillion cu. ft. of gas in two of the three reservoirs in the Lough Allen basin. This equates to approximately 1.5 billion barrels of oil. The value of the gas, at current oil prices, could exceed €120 billion. In light of the predicament in which we find ourselves, I urge people to exercise common sense, pragmatism and patriotism when examining this issue. America has huge shale deposits and the gas from these now comprises 25% of its overall gas supplies. In 2001, the figure in this regard was 1%.

The major difficulty with fracking relates to its effect on the environment, particularly in the context of the possible contamination of water supplies. In that context, I propose that all hydraulic fracturing should be declared legal in this country but with the caveat that drilling companies should put up a bond that would be equal in value to the potential clean-up costs relating to environmental damage. This would force large players to be much more careful regarding the extraction techniques they employ, particularly in view of the fact that large mistakes would give rise to huge financial losses. Fracking is very controversial. However, it could be used to create thousands of jobs and pay off our debts. In such circumstances, there is a need for a debate in respect of it. I am afraid that people will reject fracking even before they examine the issues involved. The Earth has survived for billions of years. Industry only came into existence just over 200 years ago. We often pay too much attention to doomsday prophets. The Earth provides us with all of our resources and we should recognise that fact.

Let us give start-up businesses the opportunity to try new things. It might be worth copying what has been done in Britain in this regard.

One of the sectors in respect of which quick action can be taken is tourism. I am a great believer in food tourism. Fáilte Ireland has indicated that people on holidays spend up to five hours eating, whether it is breakfast, dinner or tea. Food influences people to a very large extent. Another aspect of tourism in respect of which action could be taken is that which relates to cycling and walking. I recently read an article regarding the establishment of a walking tour of Hadrian’s Wall in Britain approximately ten or 15 years ago. This project cost £3 million to put in place but it gave rise to an income of £30 million.

Another issue in respect of which we might take action is encouraging people to buy local. In this regard, I do not mean just to buy Irish but rather to buy local. There is something magical when it comes to buying local, particularly in the context of food. A recent experience in Drogheda made me aware of the amount of extra business that can be generated by encouraging local restaurants to obtain their food from local producers.

My final point is that the future is bright. Ireland is the only country in Europe with a rapidly increasing population. During the next 20 years our population will increase at a much faster rate than that of any other country in Europe. This represents an opportunity. Let us cut out the pessimism and recognise the opportunities that exist. I have lived through and been in business during four recessions. I am of the view that we should stop thinking in terms of recession and focus instead on the opportunities that lie around the corner.

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