The Sinn Féin chief negotiator, Mr Martin McGuinness, has said if the DUP's Devolution Now document is a negotiating rather than a "bottom line" position, then it is possible that devolution can be restored.
Mr McGuinness, however, said last night that he suspected the DUP's proposals contained a concealed mechanism to restore majority unionist rule, and that he did not accept that the party had signed up to proper power-sharing with nationalists and republicans.
He focused on one of the DUP's three models for devolution - the mandatory coalition model - which would come into effect if the IRA decommissioned and ended activity.
This would allow for a full working Northern executive where a DUP first minister and a Sinn Féin deputy first minister led a cabinet of six unionist ministers - four DUP and two Ulster Unionist - and four nationalist ministers - two Sinn Féin and two SDLP.
If the IRA did not go out of business, and the SDLP would not join a voluntary coalition, the other DUP option is to create a local government-type, assembly-focused form of devolution where all parties, including Sinn Féin, would have some power.
Mr McGuinness told The Irish Times last night he saw a potential booby-trap in mandatory coalition as the Devolution Now paper states that this cabinet model ensures that "ultimate power would rest with the executive as opposed to the individual departments".
Previously, individual ministers in the last executive had a form of autonomy that allowed them make unilateral decisions free of normal collective cabinet control. Mr McGuinness feared this was a ruse whereby unionist ministers, by having a majority of six against four in the cabinet, effectively could exercise unionist control.
He said Sinn Féin also opposed the DUP proposal where, failing a majority of nationalist and unionist politicians adopting particular key motions, 70 per cent of the assembly could pass such motions. This effectively could exclude Sinn Féin.
Both these proposals were unacceptable to Sinn Féin. "But if these are negotiating rather than bottom-line positions, then perhaps business can be done," said Mr McGuinness.
"These are matters that have to be explored in the review," he said, insisting that the essence of the Belfast Agreement must not be undermined.
Mr McGuinness said it was also a key issue for Sinn Féin that the DUP should deal with Sinn Féin in face-to-face talks, rather than through the British and Irish governments.
"Unionism cannot be allowed to paralyse the peace process and the implementation of the Good Friday agreement. If the DUP are serious about reaching accommodation with nationalists, they must recognise that this can only be done by speaking to Sinn Féin, who represent the majority of nationalists."
DUP sources have stated that irrespective of Sinn Féin suspicions they realise that they will not be able to carry any proposals that cannot command the support of nationalists and unionists. They have also said their paper is a negotiating document.
Meanwhile, the Minister for Foreign Affairs, Mr Cowen, and Northern Secretary Mr Paul Murphy met the parties at Stormont yesterday under the review of the agreement to discuss North-South and British-Irish issues.
The review, which met for only the third time yesterday, is now taking a two-week break.
