Olivia Mitchell (Dublin South, Fine Gael)
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Question 123: To ask the Minister for Communications, Marine and Natural Resources his proposals to encourage the production of energy from biomass; and if he will make a statement on the matter. [2022/06]

Bernard Durkan (Kildare North, Fine Gael)
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Question 608: To ask the Minister for Communications, Marine and Natural Resources his proposals to encourage the production of energy form bio-mass; and if he will make a statement on the matter. [1960/06]

Noel Dempsey (Meath, Fianna Fail)
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I propose to take Questions Nos. 123 and 608 together.

Biomass energy offers undoubted potential in the context of strategies to develop indigenous energy supplies from renewable resources, thereby contributing to security of supply, lower emissions and alternative sources of income for the agriculture, forestry and waste management sectors. It also has the potential to provide a source of low-cost energy across all sectors of the economy.

A number of initiatives are under way to integrate biomass into heating and electricity infrastructures. In 2005 Sustainable Energy Ireland launched a pilot Bioheat programme which provides grant aid towards the cost of wood chip and pellet boilers in the commercial, services and industrial sectors.

As announced in the recent budget, I am putting in place a €65 million multi-annual package to support renewable energy initiatives. These innovative measures include funding support for biomass commercial heaters following on the success of the 2005 bioheat programme, as well as a new programme to grant aid domestic renewable technologies, including biomass. My Department and Sustainable Energy Ireland are finalising a suite of measures with a view to launching these programmes as soon as possible.

The biomass sector has attracted the largest level of support under Sustainable Energy Ireland's renewable energy research, development and demonstration programme. A number of headline projects have been supported under the measure, which are stimulating interest in solar and wood heating systems around the country.

To date we have achieved just over 20MW of installed generating capacity from renewable biomass technologies operational on the electricity network. This is a good start but we need to steadily increase the contribution from renewable energy sources, including biomass, to total electricity production. I have announced a new support programme that will move from competitive tendering under the alternative energy requirement, AER, programme to a fixed price based system to be known as the renewable energy feed in tariff, REFIT.

The REFIT programme has been the subject of public consultation and the views received have usefully informed the final shape of the programme. I intend to launch the REFIT programme at the earliest possible date.

The initiatives taken to date reflect some of the key recommendations of the bioenergy strategy group that was established in late 2003 to develop strategies to stimulate increased use of biomass for energy conversion. Membership of the group comprised representatives of key Departments as well as State agencies in the agriculture and energy sectors and industry representatives. The report of the bioenergy strategy group will be published shortly.

Following a public consultation process on the future development of renewable energy, the renewable energy development group, REDG, was established in May 2004 in order to oversee strategies for the future development of our renewable resources, including biomass resources. The group is chaired by my Department and brings together key players including the Commission for Energy Regulation, CER, Sustainable Energy Ireland, SEI, ESB national grid and the Economic and Social Research Institute, ESRI.