Seán Connick (Wexford, Fianna Fail)

The renewed programme for Government contains a number of commitments with regard to forestry, one of which is to increase the annual level of forestry planting to 10,000 ha. per annum.

To make progress towards that objective, provision of €116.5 million was made in 2010 to facilitate an increase in planting from 6,648 ha. in 2009 to 7,000 ha. this year. Current indications are that this increased planting target is on course to be met and may be even slightly exceeded. Planting levels in recent years had declined significantly each year from a peak of 23,710 ha. in 1995 to a low of 6,249 ha. in 2008. This decline can be attributed to a number of factors, including the reluctance of farmers to plant good, agriculturally productive land with trees, alternative land use options with generous grants and premiums, and the cessation of new planting by the State forestry company, Coillte Teoranta. Modest increases have been experienced in 2009 and 2010, reflecting an increased interest in forestry among farmers.

Following a successful spring planting season, I recently announced approval for another 1,500 ha. of forestry planting for the autumn planting programme. There was a very strong response from applicants, demonstrating the high level of interest among farmers and their appreciation of the many benefits associated with forestry. In recent years my Department has undertaken significant promotional activities to encourage increased farmer participation in forestry, highlighting the economic, social and environmental benefits of forestry. Together with Teagasc, we have assisted in the formation of 16 forest owner-producer groups to encourage farm forest owners to co-operate on various aspects of forest management. These promotional activities, together with the opportunities presented by the current high timber prices and the developing wood energy sector, have all contributed to an increased interest in planting new forests, and this will help us to achieve significant annual forestry planting.

All aspects of public expenditure are being examined at present, and forestry is no different in this regard. I am very much aware of the concern expressed by farming and industry sources about the adequacy of the capital allocation of €89 million for the forestry programme in the capital review, Infrastructure Investment Priorities 2010-2016, which was published during the summer. While this amount is only indicative, it will nevertheless inform the Estimates process. As part of the Estimates process, the Department is reviewing its available capital resources, which are capped at €350 million, to ensure that priority needs and commitments are met.

As the Deputy will be aware, there are also ongoing discussions at both Departmental and Cabinet level on the formulation of the budget for 2011. I can assure the Deputy that the Government remains committed to ensuring the continuation of the afforestation programme at a rate and in a format that maximises the use of scarce financial resources.

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