John Browne (Wexford, Fianna Fail)

Promotion and development of renewable energy in Ireland are matters in the first instance for the Minister for Communications, Marine and Natural Resources. In so far as renewable energy crops are concerned, Council Regulation (EC) No. 1782/2003 establishing the single payment scheme introduced an aid of €45 per hectare per year for areas sown with energy crops. The aid is granted in respect of areas where production is covered by a contract between the farmer and a processor, except in the case of processing undertaken by the farmer on his holding. Agricultural raw materials, with the exception of sugar beet, may be grown under the energy crops scheme provided the crops are intended primarily for use in the production of products considered to be biofuels and for electric and thermal energy produced from biomass.

A maximum guaranteed area of 1,500,000 hectares for which aid for energy crops can be granted has been established in the European Union. According to figures provided by the EU Commission, in excess of 303,000 hectares was sown with energy crops in 2004, of which 439 hectares were Irish. From 1 January 2005, farmers may claim the energy crop payment in addition to their entitlement under the single farm payment. In addition to this scheme, set-aside land can be used for a variety of non-food uses, including growing of crops for energy purposes, and will therefore qualify to activate set-aside entitlements under the single payment scheme.

Biomass production from early forest thinnings and short-rotation forestry crops offer considerable scope for use in renewable heat and electrical energy production. In this regard, my Department, through the offices of the National Council for Forest Research and Development, is closely involved with the work of the bioenergy strategy group. The objective of this group is to examine the potential supply and use of wood biomass in meeting Ireland's renewable energy targets.

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