Charlie McConalogue (Donegal, Fianna Fail) | Oireachtas source

We were able to carry over approximately €40 million of capital expenditure from last year to this. In most recent years, we have taken a capital carryover for forestry from one year to the following year. The figures last year were not what we wanted them to be and that was affected by the fact that a new programme kicked in at the end of the year and the lag as we ended the previous programme for which the rates were significantly lower than the new ones. I hope we will see significant progress this year. The rates in place for the new forestry programme are very attractive. They are up to 60% higher on an annual basis. We have also increased the number of years over which a premium is paid from 15 years to 20 years. The situation has never been so attractive but forestry is competing in a situation where there are evermore competing demands and uses for land. Different benefits, outputs and uses are available to farmers depending on how they use their land. There are more options than ever in that regard and forestry must compete in that area. Our objective for this year is to build up confidence around the sector and ensure that people are aware of those premiums.

We have taken forward €40 million from last year to support the capital budget this year.