Dáil debates

Wednesday, 23 June 2021

Saincheisteanna Tráthúla - Topical Issue Debate

Just Transition Fund

9:42 am

Photo of Joe FlahertyJoe Flaherty (Longford-Westmeath, Fianna Fail) | Oireachtas source

The Minister will be very aware the midlands region is set to shoulder the bulk of responsibility as we aim to reach zero carbon emissions by 2030. We have seen the closure of Bord na Móna and ESB operations and we were sold the specifications of an €11 million just transition programme as the catalyst for revitalising the region. Unfortunately, people in the region are currently disillusioned and worried the just transition process is simply coming apart at the seams.

Almost a year on, just €116,000 in funding has been paid out to community groups and business ventures. One example would be the Lough Ree Access For All project, which seeks to employ and train former Bord na Móna workers and involve them in an exciting new project that will provide access to the River Shannon and Lough Ree for the disability community. The group was awarded €472,000 under strand two of the just transition programme, but drawing down this funding has proved challenging in the extreme. This and many other entities approved for funding are also facing the potential of a 30% increase in construction costs following on from their applications. There is a real risk that up to 30 of the original job creation projects deemed eligible for just transition funding at the end of last year are now unlikely to go ahead because they simply cannot meet the matching funding demands of 50%, they cannot satisfy EU state aid rules in some areas or they will struggle to finance escalating construction costs.

We have not yet seen a single job created as a direct result of the just transition programme. With momentum now gathering behind the climate action Bill, there is a real fear our region is set to carry the greatest burden, pay the greatest price and suffer most in this process. The expected support package is unfolding at a snail's pace and there are genuine fears and concerns locally as to whether the funding will ever flow while escalating construction costs are punching holes in the €11 million fund.

There is frustration too that the midlands regional transitional theme lacks any real clout. That is something we need to examine as a matter of urgency. At this stage it should be reasonable to expect we would be seeing the genesis of new job creation opportunities for the region but this simply is not the case. There is a growing fear and concern the ESB, in particular, has been let off the hook at this stage. I would ask the Department, Bord na Móna and the ESB to assess the just transition programme in tandem with the midlands regional theme as a matter of urgency. We urgently need to streamline the drawdown process for approved groups while the ESB must return to the table with additional funding to revise this flagging programme.

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