Taoiseach Bertie Ahern told the Dáil that his proposed honours scheme would not involve the conferring of titles.
There would be public awards or citations, he said. "That can be done within the Constitution." Mr Ahern revealed that he had written to Opposition party leaders to inquire if they were prepared to discuss a system for formally recognising conspicuous service to Ireland and the Irish people or signal achievements in various fields of endeavour.
Fine Gael leader Enda Kenny had responded favourably on behalf of his party, while Labour leader Eamon Gilmore had indicated that he intended to bring the proposal before his party's parliamentary party.
He was awaiting a response from Sinn Féin's Caoimhghín Ó Caoláin.
Other deputies, such as the Independent Finian McGrath had raised the issue, he added.
Mr Gilmore asked the Taoiseach if an honours system was a good idea in principle, given that the implication that the status of those who received honours would somehow be greater than that of other citizens.
The thinking of the founders of the State was that honours and elevated status for some citizens was not a republican ideal, he added.
Mr Ahern said that the system should be capable of applying to citizens, the diaspora and others who had made a significant contribution at international level or in Ireland.
" It should operate, and be seen to operate, transparently and independently. If we ever go ahead with this scheme, it should be open and not discriminate against anybody from any walk of life or class, creed or location. It should be an honour capable of being achieved by any citizen so that there is no elitism, as in some countries, attached to it."
The idea was certainly not new in political terms, he said. It was first taken up in 1930 by Ernest Bligh and subsequently raised by Eamon de Valera, John A Costello and Seán Lemass.
Mr Kenny said he was quite happy to participate in the project provided it was absolutely above board.
"We do not want a situation where we have Sir Bertie Ahern in a few years time."
Mr Ahern replied: "The deputy will never hear me being referred to as Sir."
Mr Ó Caoláin said as an Irish republican, he believed a system could be devised which was fully compatible with republicanism.