Dáil debates

Thursday, 9 March 2023

Ceisteanna Eile - Other Questions

Coillte Teoranta

10:20 am

Photo of Pippa HackettPippa Hackett (Green Party) | Oireachtas source

I thank Deputy Browne for the question. Historically, afforestation premia were provided for under European Council regulation 2080/92 and were available to both farmers and non-farmers. Lower maximum rates applied in the case of non-farmers. Within this regulation, non-farmers were defined as any other private, natural or legal person. I draw the Deputy's attention to the landmark 2003 ECJ judgment for case No. 339-00 where it was held that, "such an entity, [Coillte Teoranta] as a public undertaking is not eligible to receive aid to compensate for a loss of income arising from afforestation".

Ireland’s current afforestation premia are offered under the guidelines for state aid in the agricultural and forestry sectors and in rural areas. These guidelines were revised last year and the updated guidelines have now come into effect from the 1 January 2023. Those revised guidelines, under section 2.1.1 - aid for afforestation and creation of woodland - and section 2.3 - aid for forest-environment and climate services and forest conservation - now include the possibility of public landowners to avail as beneficiaries without restrictions. My Department is currently seeking legal advice on this matter and due consideration will then be given to its application under the forestry programme.

The code of practice for the governance of State bodies requires that Government Departments should ensure they have written oversight agreements with State bodies under their aegis that clearly define the terms of the State body’s relationship with the relevant Minister and parent Department. For commercial State bodies the oversight agreement between the relevant Minister and parent Department and the State body is the shareholder expectation letter. A shareholder letter of expectation issued to Coillte on 2 June 2022. It is published on my Department's website and available at gov.ie. Any decision as to the timing and the content of the next shareholder letter of expectation needs to be discussed and agreed with the Minister for Public Expenditure, National Development Plan Delivery and Reform as co-shareholder in Coillte.

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