Dáil debates

Tuesday, 13 February 2007

 

Biofuels (Blended Motor Fuels) Bill 2007: Second Stage

7:00 am

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)

The Minister, Deputy Coughlan, confirmed that farmers participating in REPS can obtain the energy crop premium and the establishment grants for areas planted with either willow or miscanthus. The remainder of the land continues to be eligible for REPS payment. The Minister is reviewing the overall position in the context of preparations for the introduction of REPS 4. The new REP scheme is part of the rural development programme 2007-13 which is currently with the European Commission for approval.

The development of Ireland's bio-fuels sector is part of a comprehensive strategy to increase deployment of renewable energy across the three energy sectors — transport, heat and electricity. In the last two years alone, I have announced a range of support programmes for these sectors. The greener homes domestic renewable heat grants programme provides grants for householders for the purpose of installing renewable heating, including wood biomass boilers and stoves, solar panels and heat pumps. The overall funding available for this scheme over the five-year period to 2010 is now €47 million, which includes the additional €20 million I secured in budget 2007. Grants of up to €6,500 are available to members of the public under this programme.

The scheme has been hugely successful, with almost 13,000 applications received since it was launched last March. Irish people have strongly embraced the renewable energy imperative and are keen to play their part in creating a cleaner environment. The Government is supporting this public enthusiasm through a targeted grants package that allows householders access to cheaper and cleaner energy.

The bioheat grants programme provides grants for commercial scale wood biomass boilers aimed at the business and services sectors. Almost 100 applications have already been received for grant aid under this scheme. A sum of €22 million was originally made available for this scheme to 2010. In budget 2007, a further €4 million was added to the programme. In response to early feedback from the public, we are now expanding this programme to allow community and voluntary groups, schools and other public entities to avail of the grants and to include solar and other renewable technologies.

The €11 million combined heat and power, CHP, grants programme provides funding for the commercial sector to switch to more efficient electricity and heat generation. Eighteen applications for funding have been received since this programme was launched in July, and a call for proposals for biomass CHP will take place in coming months. In June 2006, I launched the Renewable Energy Feed in Tariff, REFIT, which provides a fixed feed-in-tariff for renewable electricity over a 15-year period. This programme will see Ireland achieve a target of 15% of electricity consumed from renewable sources by 2010.

The two excise relief programmes for bio-fuels, which I outlined earlier, are costing in the region of €220 million in excise foregone——

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