Does the Treaty Amendment on the European Stability Mechanism Require a Referendum in Ireland?
8 Pages Posted: 4 Oct 2011
Date Written: July 4, 2011
The Treaty of Lisbon entered into force on 1 December 2009. Less than two years later, however, the process of amending the constitutive treaties of the European Union as they have stood since then is already well under way. At its meeting on 24-25 March 2011, the European Council unanimously adopted a decision under Article 48(6) of the Treaty on European Union amending Article 136 of the Treaty on the Functioning of the European Union. The decision – which enters into force only when approved by the member states in accordance with their respective constitutional requirements – provides that the following paragraph shall be added to Article 136 of the Treaty on the Functioning of the European Union.
The Member States whose currency is the euro may establish a stability mechanism to be activated if indispensable to safeguard the stability of the euro area as a whole. The granting of any required financial assistance under the mechanism will be made subject to strict conditionality."
This article examines this amendment and the question of whether its adoption requires a referendum in Ireland.
Keywords: European Stability Mechanism, ESM, Eurozone Crisis, EMU, Stability Fund, Bailout, Bailout Fund, Permanent Bailout Fund, EU Law, European Union
JEL Classification: A20, F00, F36, H00, H77, K00, K33
Suggested Citation: Suggested Citation