Oireachtas Joint and Select Committees

Tuesday, 2 October 2012

Joint Oireachtas Committee on Agriculture, Food and the Marine

Foresty Industry: Discussion with Coillte

3:25 pm

Photo of Tom BarryTom Barry (Cork East, Fine Gael) | Oireachtas source

However, the net effect was that it was extremely difficult to run an electricity cable up to the man's house. This was only a small job. What will be the implications in the context of broadband development if the lands we are discussing are sold? I am opposed to the standing agreement because it is too costly. However, our guests can educate me on the matter later. If a new entity comes into play, what will this do in respect of the amount consumers will be obliged to pay for broadband, etc., in the future? There is no doubt that consumers will pick up the tab.

I am aware that Coillte receives grants for first-time planting. I presume, however, that it does not receive such grants for replanting. A figure of €35 million was mentioned. How much of this took the form of grants?

Our guests referred to their re-financing debt. Coillte is responsible for 7% of the country's landmass, namely, 5,641 ha or approximately 14,000 acres. If one assumes a cost of €1,000 per acre for planting, paying €55,000 per kilometre for the 375 km to which reference was made seems high for a large-scale company. Coillte could probably plant forestry for less than €1,000 an acre.

Has Coillte's poor financial return to the Government in recent years led to the troika and, possibly, the Government stating forestry has not yielded massive amounts to the State? This is particularly relevant given the fact that the company is responsible for 7% of the country's landmass. I am not sure how many acres this represents, but perhaps our guests could enlighten me.

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