Mr. Mark Griffin:

First, I do not accept the figure of €600 million which I know came from the report of the Committee on Budgetary Oversight prior to the Estimates. We had a target to achieve a reduction of 20% in emissions by 2020. That was one of the highest targets in the European Union when it was established in 2009. The simple fact is that we had a decade of lost investment. We wanted to do certain things, whether it be renewable energy or energy efficiency projects, that we simply were not able to do because the money was not available. That is the context in which we have to discuss the issue. Based on the most recent estimates which the CPA will update in April 2018, we will hit a figure between 4% and 6% of the 20% target. That leaves quite a distance to reach the target. There are mechanisms in the European Union which allow us to buy carbon credits at a price. However, we do not know the price or the quantum of credits we will need to buy.

There is an acknowledgement by the European Commission of the "lack of realism" - I cannot come up with a better way to describe it at this stage - in the target set for Ireland in 2009. It was reflected in the approach the Commission had decided to take in setting the starting point for member states in progressing towards the 2030 target, average emissions between 2016 and 2018. In the Department we are working to assess the various scenarios in terms of the potential cost to the Exchequer, if we must pay. I would not use the term "fines" because that would require the Commission to issue infringement proceedings against a member state. There are statistical transfer mechanisms in place which will allow us buy allowances. We have acquired allowances in the past few years that will be offset any cost that will arise.

I covered the level of ambition in the Department. I only focused on the Department, but one would also need to look at the Departments of Transport, Tourism and Sport and Housing, Planning and Local Government in terms of the work being done on the built environment and the housing stock. There is a high level of ambition, determination and political commitment across the system of government to do more in this area.