Liz McManus (Wicklow, Labour)
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Question 174: To ask the Minister for Finance if he plans to exempt gas fired combined heat and power from carbon tax in the next budget; and if he will make a statement on the matter. [23029/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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CHP is an energy efficient process that I have supported through the introduction of generous tax reliefs such as capital allowances and consequently I do not think it appropriate to put in place a further tax subsidy. We need to ensure the carbon tax has a broad base and I don't want to undermine that principle. I would also like to point out that a long-term impact of the carbon tax will be to incentivise energy efficient processes such as CHP.

Liz McManus (Wicklow, Labour)
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Question 175: To ask the Minister for Finance if he will comment on claims that just €130 million from the €250 million revenue gained from the carbon levy has been going to earmarked schemes; if he will outline the energy efficiency measures to benefit from the carbon tax; the percentage of revenue gained from the carbon tax that will be spent on energy efficiency measures in 2010; and if he will make a statement on the matter. [23020/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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It is estimated that the carbon tax, inclusive of VAT, will yield approximately €250 million in 2010. The revenue will, amongst other things, be used to boost energy efficiency, to support rural transport and to alleviate fuel poverty. It is the general practice not to ring-fence revenues for specific purposes but rather take an overall view on priorities in the context of Expenditure decisions which, of course, are dependent on Exchequer revenues. In this regard revenues from the carbon tax will facilitate investment in the aforementioned areas.