The definition of "disabled" in the Disability Bill should be broadened, Mr Dan Neville (FG, Limerick West) said.
He said "disability" was defined to cover people for whom a substantial restriction was, or was likely to be, permanent.
"People may suffer from ongoing depression throughout their lives, but one could not say that they suffer from permanent depression which would be an unthinkable and unbearable experience," he added. "We must, therefore, have serious concerns about the definition of disability in the Bill."
He said there was a range of disablement regarding mental illness, from very mild to extremely severe requiring constant institutional care.
"The same variation of degrees also arises with physical disability. Illness can range from being very mild with little effect, to being very severe requiring institutional care," he added.
"For example, depression may lead to enduring physical, sensory, mental or intellectual impairments. Depression can be extremely debilitating and is often not recognised as such.
"Depressive illness is disabling. To have one's thoughts and perception of what is happening disabled is surely serious, yet that is not included in the Bill's definition of disability."
Mr Neville said that for years people with disabilities had been calling for rights-based disability legislation, but the Government had given them a resource-based Disability Bill.
"One of the only rights in the Bill is the right to know what one already knows," he added. "It brings disabled people no closer to the services they require."
Mr Caoimhghín Ó Caoláin (SF, Cavan-Monaghan) said the Bill was an insult. "For equal rights to be so heavily circumscribed by the dictates of a Minister for Finance in this country, which is sometimes described as the fourth wealthiest state in the world, is beyond my comprehension," he added.
The Bill, he said, was "one of the most cynical pieces of legislation" he had the misfortune on which to lay eyes.
"It is a damning indictment of all those who have been a party to its presentation," Mr Ó Caoláin added.
The Green Party leader, Mr Trevor Sargent, accused the Government of not being fond of rights-based legislation.
"The disability legislation consultation group made clear recommendations that assessment of the needs of people with disabilities must include accommodation," he added.
"This Bill, however, does not include that need. For instance, it requires assessment of a person's health and education needs but not housing."
Mr Paudge Connolly (Independent, Cavan-Monaghan) said disabled people needed accommodation and services that would allow them to reach their fullest possible potential.
"They do not need sympathy of the misguided kind offered by a lady who, on meeting a wheelchair bound man operating his chair with his little finger, said how awful she felt on his account, how difficult life must be for him, how sad was his condition and that she would rather be dead than be like that," he added.