Written answers

Wednesday, 6 March 2013

Department of Agriculture, Food and the Marine

Alternative Farm Enterprises

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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To ask the Minister for Agriculture, Food and the Marine the amount of public funds approved by his Department under the various schemes to grant aid the cultivation of energy crops including miscanthus; if his attention has been drawn to the fact that many of the beneficiaries of these funds now find that because of the failure to adjust the REFIT that there is no return for this investment; if he will conduct an immediate review of this area of expenditure in his Department with a view to securing the viability of this initiative; and if he will make a statement on the matter. [11937/13]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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The Bioenergy Scheme was introduced as an Exchequer funded pilot scheme in 2007 to support the establishment of the energy crops miscanthus and willow. The pilot scheme ran until 2009 and was replaced from 2010 with a 50% EU co-funded Scheme which was subsequently increased to an 85% EU co-funding rate from 1 January 2012. Up to the end of 2012 some 3,250 hectares of energy crops have been established under the Bioenergy Scheme. A breakdown of the amounts paid in grant-aid to successful applicants under the Bioenergy Scheme from 2007 to 2012 is as follows:

Grant-Aid issued (€)
2007
654,182.90
2008
1,076,960.51
2009
1,084,545.67
2010
592,414.52
2011
357,989.94
2012
258,998.17

I am aware from representations made to my Department recently that some farmers have been advised of difficulties being experienced by the company with whom they have an end-use contract for their harvested miscanthus crop. The Deputy will be aware that issues regarding the operation of REFIT are a matter in the first instance for my colleague, the Minister for Communications, Energy and Natural Resources, Pat Rabbitte T.D.

The Deputy may also be aware that the Minister for Communications, Energy and Natural Resources has announced his intention to publish a National Bioenergy Strategy in the near future. This strategy will examine all aspects of the bioenergy sector so as to inform the actions required to maximise its contribution to achieving the 2020 targets under the Renewable Energy Directive. My Department is working closely with Minister Rabbitte’s Department in assessing the potential of bioenergy from the agriculture and forestry sectors to contribute to the 2020 targets. Any decisions in relation to future developments in the bioenergy sector will be taken in the context of this exercise.

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