Mr. Noel Regan:

I will start on the overall allocation. Of the revenues from both the current ETS and the buildings and transport, the proposal is that 25% the new buildings and transport goes to the social fund outlined by Mr. Maughan. It is proposed to reduce the remaining 75% in three areas. The first is to the innovation fund, a cross-EU fund to which large industry, such as cement and steel, can apply to try to reduce their emissions. It is open to all member states. That gets subtracted first. The second is a modernisation fund, which is only available to member states whose GDP is 65% lower than the EU average and especially to support countries with a large coal power generation sector in which significant transformation has to take place. The third subtraction is EU own resources for the funding of the EU institutions, for which a proposal is expected in the coming months. What is left is allocated among member states and that cuts to Deputy's question. That is based on the emissions from the member states. It is carved out on where the emissions occurred. It is a complex methodology but, in principle, that is how it follows. It follows the same principle as the current system. That picks up Senator Boylan's point, in that of the money left to the member state, the current rule is that 50% must be submitted to climate-related projects. The new proposal is 100% must be submitted in a proposed strengthening of the EU legislation.