Oireachtas Joint and Select Committees

Wednesday, 20 November 2019

Joint Oireachtas Committee on Climate Action

Supporting a Just Transition: Discussion (Resumed)

Photo of Barry CowenBarry Cowen (Offaly, Fianna Fail) | Oireachtas source

I thank the unions for their presentation. I welcome, in particular, the commentary regarding the consultation that they would expect to ensure that a just transition is more meaningful than it has been to date, the need for the role of the just transition commissioner to be broadened or for another process to be put in place to allow all parties to contribute to the just transition. I have specific questions relating to the comments of Government since the announcement last week regarding the ESB closures. The Government announced 400 retrofitting jobs being available to the workforce of Bord na Móna. Can the witnesses confirm that the latter is not the case, that Bord na Móna has no remit in respect of retrofitting of houses, that it is a job for those who will tender for that work and that the company has no role in tendering for such jobs?

In regard to the repurposing of the PSO towards the rehabilitation of bogs within Bord na Móna, is that a fact or is it merely an aspiration? Again, commitments have been made by Government that jobs will be retained because of that repurposing and the funds attaching thereto. Are the witnesses aware of this being a fact? Is there consultation under way with the Commission regarding repurposing of the PSO beyond its final payment in regard to fuelling peat next year?

In regard to the permission that Bord na Móna had regarding its association with the power plants, will that cease next year? There is an obligation under that permission for Bord na Móna to reinstate or rehabilitate the bogs, such that it would have made provision within its accounts for doing so. This provision is in the region of €20 million. Do the witnesses have any knowledge of this? Can they confirm if it is the case?

In the context of the transition programme and the funding that has been allocated, I was privy to the negotiations which recommended that allocation by the Government in the budget, which was carried by the Dáil and welcomed by Fianna Fáil at that time. The recommendation was that €30 million, or two thirds, of the €80 million annual revenue from carbon tax be set aside for the transition fund for the forum, the retrofitting programme and some other initiatives around that. That was made when it was expected that there would be a transition over the eight or nine years up to 2027.

That is not now the case. It means Offaly County Council will be down up to €40 million in rates revenue from the ESB and Bord na Móna. The allocation of €6 million is a very small pot when compared to that eventuality. What are the witnesses' thoughts on that? The ESB has made an allocation but it pales into insignificance compared to the loss of revenue for the local authority. Do the witnesses believe it is at all suitable and do they believe that much larger funds must be made available?

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