Harney marks her leadership

Nothing enlivens a party conference like an election victory

Nothing enlivens a party conference like an election victory. And so the Progressive Democrats basked in the success of having doubled the number of their Dáil seats, from four to eight, in the general election of last year.

Not only was the party back in government on the strength of its performance, but it had secured control of the prestigious Department of Justice, Equality and Law Reform for its president, Mr Michael McDowell. As Fianna Fáil backbenchers complained about the Progressive Democrats' undue influence within the Coalition Government, ministers and delegates took considerable satisfaction in the slogan of their annual conference - "Driving Change".

Having opened the conference by calling for an end to all IRA activity, the Tánaiste and party leader, Ms Harney, concentrated on economic issues in her presidential address and left the Taoiseach, Mr Ahern, and the British Prime Minister, Mr Tony Blair, to publish details of their "shared understanding" of what will be required to implement the Belfast Agreement.

Defending the provision of landing facilities at Shannon during the Iraq war, she argued that a hostile response to the US and Britain would not have been in the best interests of the State or of the Irish people - and she received warm applause.

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Given the general unpopularity of the war, the Tánaiste's approach was something of a risk. But it paid off. And it drew attention to her willingness to take tough and unpopular decisions when felt to be necessary. Other difficult decisions were promised in ending the rip-off culture that was squeezing Irish consumers, particularly where the insurance industry was concerned. As Minister for Enterprise, Trade and Employment, Ms Harney demanded greater competition within the economy. Vested interests had to be challenged and the process of deregulation pushed forward.

Inflation had to be brought down, she said, and competitiveness enhanced. It was vintage Progressive Democrats rhetoric and delegates - many in business - loved it.

One of the Tánaiste's first tasks was to assure concerned delegates that she would remain as party leader. It was an unusual intervention in that Ms Harney was responding to rumours of retirement her own comments had helped to generate. Plans for a special autumn conference of the party to decide on voting rights for the leadership had given weight to the idea. Before the conference ended - and in spite of Ms Harney's assurances - Ms Liz O'Donnell appeared to have joined Mr McDowell and Mr Tom Parlon on the list of potential candidates.

Themes of the highly-successful conference touched on devolution, regional development and deregulation, along with the abolition of health boards and the reform of their services. Under-age drinking would be tackled in legislation that would address alcohol-induced crime.

The gathering was convivial and social, but it was also a cold-eyed political process in which the Progressive Democrats geared up for next year's European and local elections. Having expanded its membership by about 40 per cent in the past year, the party is not short of confidence.