I move: "That the Bill be now read a Second Time." I am very pleased to bring this Bill before the House today. The purpose of the Bill is to give full effect in Ireland to EU Regulation 2024/1689 of the European Parliament and Council, and of the EU's Artificial Intelligence Act, which I will refer to throughout as the AI Act. The Al Act is designed to provide a high level of protection to people's health, safety and fundamental rights and to promote the adoption of human-centric, trustworthy Al. As with all EU regulations, the Al Act has direct legal effect across all member states. It aims to harmonise rules for Al systems across the EU, creating a single market and ensuring a consistent approach to risk, safety and fundamental rights. With those aims in mind, this Bill is a technical implementing measure. It neither adds to nor alters the obligations placed on regulated entities by the Al Act. The Bill establishes essential domestic regulatory architecture for the supervision and enforcement of the Al Act in the State. A central feature of the Bill is the establishment of oifig intleacht shaorga na hÉireann, the Al office of Ireland, as an independent statutory body. Our new Al office will be designated as the single point of contact for our citizens at home, the European Commission and other member states. In this role it will support consistent enforcement of the Act and facilitate co-operation between competent authorities and fundamental rights bodies. The office will promote Al innovation and literacy and oversee the Al regulatory sandbox, which will foster innovation and support startups and SMEs in compliance with the Al Act. The Bill also empowers our competent authorities and it creates a robust administrative sanctions framework. The Bill establishes a regulatory foundation on which to build trust in society for an evolution of Al that serves as a tool for people, with the ultimate aim of increasing human well-being. Artificial intelligence is one of the defining technologies of our era. Its applications now reach into virtually every corner of the economy and society, from healthcare and financial services to the delivery of public services and much more. Al has brought remarkable benefits. It is accelerating scientific discovery, improving outcomes in medicine, expanding access to services and generating significant economic opportunity. Our national digital and Al strategy, Digital Ireland: Connecting our People, Securing our Future, sets out Ireland's ambition to be a global hub for applied Al innovation. Al also carries real risk, however. Without appropriate oversight, it can embed and amplify discrimination, manipulate behaviour or exploit the vulnerabilities of people, posing threats to the health, safety and fundamental rights of our citizens. The Al Act, which entered into force in August 2024, is the first ever legal framework designed to address these concerns while simultaneously fostering innovation of responsible and ethical Al. The Al Act is a risk-based, horizontal regulation. It applies across all sectors of the economy, both private and public, with targeted exemptions for national defence, national security and purely personal use. Crucially, its measures are proportionate: most Al systems will give rise only to minimal risk and can be marketed and used subject to existing legislation, without additional obligations under the Al Act. This ensures that the EU and Ireland remain competitive for Al investment and innovation. The Al Act also takes into account the specific interests and needs of SMEs in terms of simplified obligations and tailored supports. There are five main pillars to the Al Act, which set out obligations across a number of categories and uses of Al systems and models. Under prohibited practices, eight Al practices are prohibited due to the unacceptable risk they pose to European values and fundamental rights, including practices such as harmful manipulation, social scoring and real-time remote biometric identification. Given the rapid development of technology, the Al Act also provides for the list of prohibited practices to be kept under regular review. Stringent requirements apply to high-risk Al systems used in eight areas set out in the Al Act, such as biometrics and critical infrastructure. Under transparency obligations, specific requirements apply to Al systems that interact with users, generate synthetic content with risks of impersonation or enable deepfakes. Under the general purpose Al pillar, providers of general-purpose Al models face obligations to mitigate systemic risks. Enforcement will be led by the European Commission with member state co-operation. Under the enforcement pillar, member states are required to designate competent authorities to supervise and enforce the regulation of Al and to provide for significant penalties, with fines of up to €35 million or 7% of global annual turnover for the most serious infringements. I will now speak to the importance and urgency of the legislation. Ireland has a key position in the European regulatory landscape. Eight of the leading providers of foundational Al models are established here. These are the companies at the frontier of Al development and deployment globally. Maintaining the competitiveness and viability of Ireland's digital economy is an overarching national imperative, as outlined in Programme for Government: Securing Ireland's Future, and is the driver behind a number of key commitments in the Government's recently updated national Al and digital strategy. As Ireland assumes the Presidency of the Council of the EU, meeting our obligations under the Al Act will further strengthen our position as an EU centre of excellence and digital regulatory hub. It will also demonstrate our commitment to fostering responsible, human-centric Al innovation, both domestically and across Europe. There is also a firm legal deadline. Enforcement of prohibited Al practices posing unacceptable risks, as set out in Article 5 of the Al Act, takes effect as of 2 August 2026. Ireland must have the necessary national supervisory and enforcement infrastructure in place by that date. I acknowledge the considerable complexity and pace of work required to reach that point. The EU allowed a comparatively short window between the Al Act entering into force and its application. The complexity of the Bill, combined with the parallel development of the EU's digital omnibus proposal, has required extraordinary efforts from my officials, the Office of the Parliamentary Counsel and the Office of the Attorney General. To them I am most grateful. As I have noted, and as Deputies will no doubt be aware, the EU's digital omnibus on Al, a set of targeted amendments to the Al Act, was provisionally agreed in May 2026 and approved by the European Parliament in June. Ireland supports the agreed omnibus, which helps increase legal certainty and reduce administrative burden. Importantly, the omnibus extends certain implementation timelines, including for transparency obligations and high-risk Al system requirements. However, the omnibus does not extend the timeline for enforcement of prohibited Al practices under Article 5. The 2 August 2026 deadline remains firm, and this Bill addresses it directly. Any amendments to domestic legislation that may be required following formal adoption of the digital omnibus on Al will be addressed as part of phase 2 of this work in the autumn. The second phase will also provide an opportunity to further enhance Al regulation in accordance with the Al Act if required. Having set out the context and the urgency of the Bill, I will now outline its provisions. The Bill is structured in ten Parts, with 139 sections and 4 Schedules. Its overarching policy objective is to ensure that the Al Act can be comprehensively and effectively implemented here in Ireland. Part 1 of the Bill, comprising sections 1 to 5, inclusive, provides for the Title and commencement, key definitions, regulation-making powers, service of documents, and expenses, to provide that the costs of administering the Act are funded with the appropriate ministerial approval. Part 2 is set out over sections 6 to 40, inclusive, and provides for the establishment of oifig IS na hÉireann and its governance structure, including appointment of its board, CEO and staff and its accountability, funding and functions. Sections 12 to 23, inclusive, are concerned specifically with matters relating to board governance, with provisions on board establishment and membership, appointment process, terms of appointment, membership of either House of the Oireachtas, remuneration, conflict of interest and others. Sections 24 to 33, inclusive, relate to the chief executive officer role and provide for the matters relating to the CEO's appointment, resignation, accountability and functions. Sections 34 to 36, inclusive, relate to the staff of oifig IS na hÉireann and confidentiality. The appointment of staff is subject to the Public Services Management (Recruitment and Appointments) Act 2004 and the Civil Service Regulation Acts 1956 to 2005. Sections 37 to 40, inclusive, provide for funding and accountability, including the strategy statement, accounts and annual report. Part 3, comprising sections 41 to 52, inclusive, provides for the practical operational infrastructure underpinning enforcement of the Al Act in Ireland. Section 42 designates the Al office as the national single point of contact in relation to the public and other counterparts at member state and Union levels, and to help increase organisational efficiency as required by the Al Act. Section 43 provides that the Al office will establish and maintain a national Al register, recording all instances of prohibited Al practices, serious incidents involving high-risk Al systems, and other required notifications. Transparency and public accountability are embedded from the outset. Section 46 provides for the establishment of Al regulatory sandboxes under the supervision of the Al office. SMEs and start-ups are to receive priority access. Sections 48 to 50, inclusive, make provision for real-world testing of high-risk Al systems in controlled conditions, subject to appropriate safeguards, oversight, and rights of review. Market surveillance authorities are a key cohort of the national competent authorities required for the implementation of the Al Act and Part 4 sets out, at sections 54 to 62, inclusive, the general obligations and powers of market surveillance authorities, including the power to receive complaints from the public. Section 59 enables fundamental rights bodies to request the testing of high-risk Al systems where infringements of fundamental rights are suspected. Sections 63 and 64 are concerned with co-operation agreements of relevant market surveillance authorities. Sections 65 and 66 set out data protection matters for relevant competent authorities. Part 5 provides market surveillance authorities with a comprehensive, structured, and proportionate enforcement toolkit, progressing from co-operative compliance measures through to coercive intervention. Authorised officers, appointed by each market surveillance authority under sections 68 to 70, inclusive, will have powers to enter premises, inspect relevant Al products and records, require the production of information, and take samples. Section 71 provides that contravention notices may be issued requiring an operator to remedy a breach. Section 72 provides that prohibition notices may be issued to stop an Al system from being placed on the market or put into service where it poses a risk or breaches the Al Act. Sections 73 and 74 provide powers for seizure, disposal, and forfeiture of unsafe Al products and, under section 75, in the most serious cases, for the removal of online content to eliminate serious risk. Section 77 provides rights of appeal to the District Court throughout. Part 6 establishes, at sections 78 to 120, inclusive, the independent adjudication system for the imposition of administrative fines for breaches of the Al Act. Sections 79 to 86, inclusive, provide that where a market surveillance authority believes an infringement has occurred and an authorised officer has conducted an investigation, the matter may, with the authority's consent, be referred to an independent adjudicator. The administrative fines, set out in section 105, are substantial and fully aligned with fines set out under the Al Act. For public bodies, fines are capped at €1 million, in line with the data protection legislation. Section 114 provides that no administrative fine takes effect without confirmation by the High Court, which is a key procedural safeguard. Sections 107 to 109, inclusive, provide for the rights of appeal. Sections 116 to 117 provide for the nomination of adjudicators by the Al office and appointment by the Minister for Enterprise, Tourism and Employment. Section 118 expressly provides for the adjudicators’ independence in the performance of their functions. Part 7 of the Bill concerns penalties and miscellaneous provisions and, at sections 121 to 127, inclusive, sets out criminal penalties for obstruction of authorised officers, failure to comply with enforcement notices, and unauthorised disclosure of confidential information. Part 8, at sections 128 to 133, inclusive, amends the Central Bank Act 1942 to equip the Central Bank with the investigatory and sanctioning tools necessary for its role as a market surveillance authority under the Al Act. Part 9, at sections 134 to 137, inclusive, amends the Competition and Consumer Protection Act 2014 to equip the Competition and Consumer Protection Commission with the investigatory and sanctioning tools necessary for its role as a market surveillance authority under the Al Act. Part 10, at sections 138 and 139, contains miscellaneous amendments, including consequential amendments to the Communications Regulation Act 2002, and the Freedom of Information Act 2014. Additionally, there are four Schedules governing oral hearing procedures, the assignment of adjudicators and the register of adjudicators. In conclusion, establishing a credible and coherent Al enforcement regime in Ireland underscores our commitment to responsible Al development and is a core component of our international competitiveness offering. In this respect, the Regulation of Artificial Intelligence Bill 2026 matters to how Al will impact our society, our economy, our international standing and, of course, our future. It puts in place the enforcement structures that will protect people in Ireland from Al systems that pose unacceptable risks to their health, safety, and their fundamental rights. It provides the regulatory clarity and helps build the public trust that businesses, both indigenous and multinational, need to invest, operate, and grow with confidence. As we assume the Presidency of the Council of EU, meeting our obligations under the Al Act demonstrates our commitment to responsible digital governance and to being a trusted partner in the EU. The implementing measures enabled by this legislation, including the establishment of the new Al office of Ireland, will provide an enduring foundation, strengthening our position as an EU centre of excellence and digital regulatory hub, and demonstrate our commitment to fostering and promoting responsible Al innovation and adoption both in Ireland and in Europe. It is imperative that the State has a comprehensive and robust legal basis for the full and effective implementation of the Al Act. I am confident this Bill achieves that objective in a balanced, proportionate and technically sound manner. I thank colleagues for their attention and commend the Bill to the House.

Sentiment score: 0.19

I thank everybody for their contributions, their helpfulness and their thoughtfulness in their statements, comments and observations. It has been a very wide and varied discussion. AI inevitably touches almost every aspect of society, from innovation and economic growth to public services and jobs. While these are important and wide-ranging issues, today we are here to introduce this legislation, which is focused on implementing the EU AI Act in Ireland and establishing the framework necessary for its effective supervision and enforcement. I have no doubt this House will continue to discuss and to debate the broader implications of AI in the months and years ahead. That is both necessary and welcome. There were some comments that this is very rushed. Since I have come into the Department 16 months ago, these very smart and bright people to my right, the officials in my Department, have been working night and day on this legislation. They could in no way be accused of having rushed this without real and proper consideration and thought. While I do appreciate we are bringing it through the Houses quite quickly, I am certainly open to working with the Opposition on any aspect of this in the weeks ahead. On the protection of fundamental rights, which came up quite a bit across the House, and the enforcement regime in the Bill, I point to the fact again that the EU AI Act has direct effect in Irish law and it sets out very clear obligations on providers of AI systems, deployers, importers, etc., that the Bill must be read alongside the EU AI Act. You cannot read or consider one without the other. Safety, ethics and fundamental rights are the key focus of the AI Act. The enforcement regime in the Bill is robust and builds on the strong market surveillance frameworks already in place. It enables the ramping up of enforcement, from contravention notices to encouragement of compliance to the larger fines. That is incredibly important to say about safety, ethics and fundamental rights. There was some discussion about the labour market. I would be the first, and I think I always have been since I have come into this Chamber to discuss artificial intelligence, to put my hand up and say there will be labour disruption and displacement. There is certainly no putting our heads in the sand over that matter. The establishment of the AI office seeks to address that. The Government is committed to preparing Ireland for the inevitable transition that is happening within the workplace. Ireland has had its third highest level of STEM graduates. One of the biggest demands of qualified students coming here to Ireland is for AI-related jobs, even though I acknowledge there have been job lay-offs in certain companies. However, it is important to note that there is still huge and driving demand for those skilled in AI. The leading providers have established in this country, along with our strong education system, and we continue to attract that talent and investment. It was noted that we have some of the biggest AI companies here in Ireland. That is because we create the environment for that. We are in no way attempting to compromise that or compromise any of the jobs that are directly affected by that. The national AI and digital strategy provides establishment of OBAIR to monitor and provide insight into the evolving impact of AI on skills and the labour force. That is all done under the Department of Further and Higher Education, Research, Innovation and Science. Within our own Department, we are also setting about to establish an observatory that looks at exactly that - the implication for jobs - and trying to mitigate that as much as possible. The national AI digital strategy has been refreshed on a number of occasions to try to really be that agile blueprint that we can refer to and work with all the time. It is certainly not going to be stiff or stale, or sitting on a shelf. Again the officials are to be applauded for the incredible work on that. Deputy Lawlor went into great detail on constitutional matters. I know he may not have been here for my introduction to this but all the provisions of the Bill have been drafted with the Office of the Parliamentary Counsel, with constant engagement and consultation with the Office of the Attorney General on the legal and constitutional matters. However, I have taken copious notes, and I am sure my officials have too, on the matters he raised tonight. We will certainly do our best to bring peace of mind to that. Another matter that was raised on a number of occasions was AI literacy. The role of the AI office is not just oversight of the regulatory market surveillance and regulatory bodies that already exist. As the general scheme recognises, effective AI regulation depends not only on enforcement but also on the appropriate level of AI literacy of those who develop, deploy, use or are impacted by AI systems. To support the development of AI literacy, the AI office has been given a very specific role around AI literacy, supporting awareness of AI-related risks and obligations; providing guidance and information to organisations and to public bodies; facilitating informed engagement with AI technologies and contributing to public trust in terms of the AI systems. It is not going to be a one-trick pony. It is a very broad, all-encompassing, across-the-board piece of legislation, which has been described to me as horizontal, that the AI office will bring to the fore. I thank Deputy Conway-Walsh for being here until the conclusion of the Bill. She raised certain things and I assure her they are being addressed. I can provide her with further reassurance and notes. She raised independence and resourcing. I am certainly going to address that. I think I have addressed displacement already in my closing comments. On regional developments, the Deputy is absolutely right that there is huge potential. She and I both come from very rural parts of this island, and I think that is one of the absolute benefits to AI deployment. Simplification has come up quite a lot, with negativity about having another regulatory body. The Department and officials have been so cognisant of not bringing in more red tape or burying business and SMEs in more bureaucracy, to actually make things simple and not add another layer of time-consuming cost burden to business. I want to acknowledge that and state it on the record. Deputy Conway-Walsh also raised transparency and the creative industries. As somebody who has come from the creative industries, I am very mindful around copyright and artists' work being mimicked or copied without their approval, their say or any remuneration. All of that is being taken into consideration and I can supply the Deputy with further information on all the matters she raised here tonight. I hope I have addressed Deputy Keogh's piece on AI literacy in some way tonight, too. I thank all the Deputies for their contributions to the debate and look forward to their support in this Bill and its further consideration on Committee Stage. I re-emphasise that the purpose of the Regulation of Artificial Intelligence Bill 2026 is to provide for the implementation in Ireland of the AI Act and EU regulation. This Bill is a landmark for Ireland's digital regulatory framework. AI is a transformative technology which offers extraordinary potential for our economy and our citizens, but realising that potential requires appropriate oversight and accountability. This Bill delivers exactly that. It fulfils Ireland's EU obligations, giving effect to Ireland's pioneering AI Act in domestic law by ensuring we have the national infrastructure in place to supervise and enforce it effectively. The Bill establishes Oifig IS na hÉireann, the new AI office in Ireland, as an independent institution at the centre of our AI regulatory system, and empowers our competent authorities with the investigative and enforcement tools they need and, most importantly, the skill base that everybody has referred to, the skills that are needed in terms of scrutinising AI that will be available to the competent authorities. Ireland has adopted a distributive model for the regulation of AI, levering the expertise and capability of the State's existing regulators and providing that expertise to them. This is speaking to the fact that we do not want to bring any extra regulatory burden. We must remember that regulation is the gold stamp of approval. The businesses I have talked to want that approval. They want to know what the safeguards and rules of engagement are around AI. That is going to bring confidence to this country, particularly to those in business and enterprise. It is not mitigation or putting a huge emphasis on enterprise and forgetting about the human centrepiece, which is being really considered throughout this work. I would particularly like to thank the many Government Departments and their authorities, agencies and offices that have been involved in consultation on this Bill. My Department remains actively engaged with the competent authorities and their line Departments as preparations for implementation of the AI Act and enactment of the Bill continue. Again I note that the Bill is a technical instrument that will ensure that the rights and protections provided by the EU's AI Act will be rigorously asserted in Ireland for the benefit and protection of Irish citizens. It does not add to or alter the obligations on businesses under the AI Act. It is mandatory under the AI Act for EU member states to give effect to these national provisions by 2 August 2026. I thank all the colleagues around the House and most particularly the officials in the Department, who have worked might and main to bring this to fruition.

Sentiment score: 0.28