Leo Varadkar (Dublin West, Fine Gael)
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Question 152: To ask the Minister for Communications, Energy and Natural Resources the expected revenue for the Exchequer from the carbon windfall tax introduced by the Electricity Regulation (Amendment) (Carbon Revenue Levy) Act 2010 for each year until carbon auctioning is introduced; and if he will make a statement on the matter. [43454/10]

Eamon Ryan (Dublin South, Green Party)
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The Electricity Regulation (Amendment)(Carbon Revenue Levy) Act 2010 which came into effect on 1st July 2010 provides for the recovery of carbon windfall gains from electricity generators until the end of 2012.

The Act provides for the establishment of a fund administered by the Commission for Energy Regulation (CER), to whom the levy is paid by the generators. It also provides that this fund is to be used for the benefit of the Exchequer as directed by the Minister for Finance and myself. The Government has decided that the proceeds of the levy are to be used for the continuation of rebates to Large Energy Users (LEU) until 2012.

The first levy period covering 1st July to 30th September 2010 and CER has advised my Department that revenues in the region of €20 million in respect of this period have been received.

In terms of anticipated revenue from the levy for 2011 and 2012, the levy receipts will vary in each levy period depending on the amount of electricity actually generated in that period, the carbon intensity of the generation in that period, the average cost of the carbon credits and the percentage at which the levy is calculated. The percentage, which currently stands at 65%, may be varied at a later stage as provided for in the Act.