Written answers

Tuesday, 6 May 2014

Department of Communications, Energy and Natural Resources

Energy Resources

Photo of Seán KyneSeán Kyne (Galway West, Fine Gael)
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131. To ask the Minister for Communications, Energy and Natural Resources if interdepartmental consultations and collaboration has taken place between his Department and the Department of Jobs, Enterprise and Innovation in encouraging and incentivising small to medium sized businesses to adopt renewable energy sources, including micro-generation options; and if he will make a statement on the matter. [19957/14]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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Realising the abundant potential of our renewable energy resources provides an important, and sustainable, economic opportunity for Ireland, both in terms of developing a secure, indigenous energy resource, and creating jobs in the green economy. There is ongoing consultation between my Department and the Department of Jobs, Enterprise & Innovation to ensure policy coordination across the closely related areas of renewable energy and energy efficiency, through mechanisms such as the Action Plan for Jobs and on policy regarding the "Green Economy" and its potential for investment and job creation.

On a day to day basis the Sustainable Energy Authority of Ireland (SEAI) provides a range of business supports to both large industry and SMEs, covering energy management, training and advice. Companies wishing to develop renewable energy projects, and improve their energy efficiency, can avail of grant support for investment in renewable energy installations as a component of coordinated energy efficiency programes under the Better Energy Communities schemes. The SEAI Renewable Energy Information Office also provides support and information to companies regarding the adoption of renewable energy technologies.

In addition to the work of the SEAI, there are a number of other supports available to SMEs in the renewable and sustainable energy area. Small scale renewable generation is eligible to apply for support under the Renewable Energy Feed In Tariff schemes, known as REFIT.

Tax relief is available on capital investment in microgeneration assets under Section 486B of the Tax Consolidation Act (1997) (as amended) and under the Employment and Investment Incentive Scheme. An Accelerated Capital Allowance scheme also allows companies to offset the cost of investment in qualifying renewable energy generation technologies against their tax liabilities in Year 1 rather than over a more prolonged period of years, thus aiding cash flow.

Analysis of the potential of microgeneration technologies such as small scale wind, solar and hydro, has been carried out for my Department by the SEAI. The findings of this work are informing consideration of whether it would be cost effective to provide a market support specifically for microgeneration in the context of achieving our EU 2020 target of 16% of our total energy demand coming from renewable sources by 2020.

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