Joe O'Reilly (Fine Gael)

Cuirim fáilte roimh an Aire. Glactar leis go bhfuil fadhb againn le athrú aeráide domhanda ag an bomaite seo. Tá seo le tabhairt faoi deara sa tír. Ba chóir dúinn níos mó béime a chur ar fhuinneamh glas inathnuaite. I join the Minister on his remarks to the all-party committee and his endorsement of its findings and support for EU and national targets. I am proud that one of the most senior and respected parliamentarians in the Oireachtas, a member of my party, Deputy Seán Barrett, chairs that committee. His approach and the insights he brings to discussion are a source of pride to the Fine Gael Party. I appreciate that Minister has acknowledged his contribution.

We no longer need to remind people that global warming is real or there is a problem because it is now accepted fact. There has been a gradual disappearance of Arctic Sea ice, we have heat waves and the risk of more and flooding and hurricanes, etc. The monsoon-type rains we have had and the change in our climate also suggest global warming. It is reasonable to begin the debate by accepting global warming as fact.

The EU target is a 20% reduction of carbon emissions by the year 2010. We must acknowledge the importance of that target and the greater emphasis on the use of renewable energy sources. Ireland currently achieves 3.1% use of renewables, but hopes to have a minimum 16% use of renewables by 2020. Our target for the use of bio-fuels is 10%, although there are issues with regard to the production of these fuels and food supply. Renewable energy sources must be given priority in the attempt to achieve our targets.

The Environmental Protection Agency has responsibility for developing annual network emission projections and assesses what we need to do to reach the Kyoto and European Commission targets. The EPA report released on 8 October 2008 is quite damning of our under-achievement to date. It predicts we will be 6.5 million tonnes over target by 2012, which will result in hundreds of millions of euro worth of taxpayers' money being used to purchase credits to fulfil our Kyoto obligations.

Fine Gael has argued we need to do more to deal with the problem of our carbon emissions. The criticism I would make of the Minister's speech is that it is high on aspiration but low on achievement. To date, Ireland has under-achieved in this area. I realise the Minister acknowledges this but it is an indictment of Government and its efforts that we have not done better on our targets. I will put forward practical suggestions in that regard later.

We had a 1% reduction in carbon emissions last year, a painfully slow rate of progress. The net reduction was 700,000 tonnes. This brought us from 69.6 million tonnes of carbon emissions to 68.9 million tonnes. This was aided by afforestation and by fewer carbon emissions from the agricultural sector. Obviously the slowdown in the economy is also assisting in this regard. It is one of the beneficial by-products of the reduction in economic activity.

There should be more radical efforts to deal with the question of carbon emissions. For example, throughout the country there could be feeder buses to central bus routes. Around my own nearest national road, the N3, feeder buses could bring people to the main route to connect with the main bus to Dublin, thereby reducing the number of cars on the road. There is a need for a new emphasis on rail freight and better use of the railway system, but there was no indication in the budget that this was being considered. In fact, the contrary is the case. This is of great concern.

I appeal to the Minister to address with urgency another major concern, which is the fact that it is not easy enough for producers of wind energy or other forms of renewable energy to gain access to the grid. The ESB seems to have a monopoly and to be blocking the entry of renewable energy. A great alternative enterprise would be for a group of farmers to come together and set up a local co-operative wind farm, but if they were to do so, they could not readily gain access to the grid. That is a critical omission in the current policy. I sincerely appeal to the Minister to consider this much more radically and to take a hands-on view. If a small industry sets up a micro-generator — for example, a wind turbine or water energy installation — to supply its own electricity at local level, it should be able to sell its excess electricity to the grid. These are the radical, practical steps that are needed immediately.

There is a commitment in the programme for Government to reduce carbon emissions by 3% per annum and to reach a target of producing 40% of our energy from renewables by 2020. It is clear that so far, if one were to adopt a school report approach to the Government's progress, one would have to say "Failed — but could do better". It is in the hope the Government can do better that we exhort it to deal with the issues as I suggest.

It is not clear what the impact of yesterday's carbon budget will be in terms of insulation of homes. I ask the Minister in his reply to be specific about this. For many months I have requested on the Order of Business that the Government consider the introduction of a comprehensive insulation programme, and have received a positive response from Senator Cassidy, who liaises with the Minister in Cabinet. On the premise that cavity wall insulation in a standard house should cost roughly €2,200, a grant of €1,000 per house would be realistic. I would like to hear the Minister spell out the provisions in the carbon budget in this regard. I understand the amount provided is in the region of €5 million. With 2 million homes in the country, the degree to which this is possible is questionable. Is it too much of a marginal effect? Can the Minister explain to us what he is proposing in terms of insulation projects and alternative energy?

The Fianna Fáil partners in Government have succeeded in sending the issue of carbon tax back to the Commission on Taxation, which is obviously an effort to get it outside the timeframe for the local elections. The Minister should not have acquiesced to this. Senator Glynn is looking across sceptically but he knows well it is the case. The objective is to make sure the commission will report around the time of the local elections and that the carbon tax will be introduced after that.