Brendan Smith (Cavan-Monaghan, Fianna Fail)
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98. To ask the Minister for Public Expenditure and Reform the expected timeline for the roll-out of the PEACEPLUS programme; and if he will make a statement on the matter. [10464/23]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
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105. To ask the Minister for Public Expenditure and Reform the proposed level of funding for the PEACEPLUS programme; the breakdown in funding to be provided by the Government, the European Union and the British Government; and if he will make a statement on the matter. [10465/23]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 98 and 105 together.

I thank the Deputy for his questions and for his ongoing interest in the PEACEPLUS programme.

I am very pleased that this new cross-border EU programme is now on the cusp of opening. PEACEPLUS will succeed the outgoing INTERREG VA and PEACE IV EU programmes, supporting shared peace and prosperity across the programme area of Northern Ireland and the Border counties of Ireland.

The PEACEPLUS programme was developed by the Special EU Programmes Body (SEUPB), working closely with my Department and with the Department of Finance in Northern Ireland. The development of the programme included an extensive public consultation process across the programme area. The draft programme was approved by Government, by the Northern Ireland Executive and by the North South Ministerial Council in October 2021. It was formally approved and adopted by the European Commission in July 2022.

The PEACEPLUS programme will be underpinned by a Financing Agreement between the EU, the UK and Ireland. A final text of this document is being prepared and Government approval for its signature will be sought very shortly.  It is expected that the Financing Agreement will enter into force in time to allow for the first funding Calls for Application to issue under PEACEPLUS during Q2 2023.  Further Calls for Applications will be rolled out over 2023 and 2024, and the SEUPB expect to make the first funding award in late 2023 or early 2024.

In terms of funding, PEACEPLUS will have a total budget of €1.145 billion. This is an unprecedented funding allocation – more than twice the combined value of the most recent INTERREG and PEACE programmes. The breakdown of this funding reflects the commitment in the EU-UK Withdrawal Agreement that the EU and the UK would fund PEACEPLUS at the same proportions as the INTERREG and PEACE programmes. €916 million, or 80%, of the programme funding is ERDF, of which the European Union is providing over €234million and the UK Government over €681 million.  The other 20% of the programme, €229 million, is known as match funding, and is comprised of €59 million from Irish Government Departments and €170m from the Northern Ireland Executive.

Verona Murphy (Wexford, Independent)
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102. To ask the Minister for Public Expenditure and Reform if he has drawn down Ireland's full entitlement under the EU Recovery and Resilience Fund; and if he will make a statement on the matter. [10518/23]

Verona Murphy (Wexford, Independent)
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109. To ask the Minister for Public Expenditure and Reform if he will outline the green transition provisions within the National Recovery and Resilience Plan; and if he will make a statement on the matter. [10519/23]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 102 and 109 together.

The National Recovery and Resilience Plan is funded under the EU’s Recovery and Resilience Facility (RRF) with Ireland in line to receive €915 million in grants over the lifetime of the Facility.  The RRF is a performance-based instrument with payment contingent on the achievement of milestones and targets.

Ireland’s Plan sets out the sixteen investment projects and nine reform measures (and their associated 109 milestones and targets) to be supported covering the following priority areas:

- Advancing the Green Transition;

- Accelerating and Expanding Digital Reforms and Transformation; and

- Social and Economic Recovery and Job Creation.

The overall objective of the plan is to contribute to a sustainable, equitable, green and digital recovery effort, complementing and supporting the Government’s broader recovery effort.

Implementation of the overall plan is well underway. As part of regulatory requirements, Ireland has reported to the EU Commission on biannual progress in October 2021, April 2022 and October 2022.

The RRF grant will be paid to Ireland in five instalments.  The first payment request (FPR) process began in December with annual payment claims to follow until 2026.

The first step is an informal cooperation process between the Commission and Ireland. Upon completion of this informal process, Ireland will present a formal payment request to the Commission. The Commission will then carry out their formal assessment, which consists of a thorough check of the satisfactory fulfilment of Ireland’s milestones and targets.  Following this, the FPR is considered by Council after which the Commission processes the payment. 

The NRRP has a strong focus on the green transition with energy and climate related measures. Those measures include increasing carbon tax and reforming climate governance, promoting investments in energy efficiency, decarbonising the enterprise sector, promoting sustainable railway transport, rehabilitating peatlands, improving water treatment, and promoting green research and development. The measures supporting green objectives account for 42% of the plan’s total allocation. 

REPowerEU is the EU’s response to the global energy market disruption caused by Russia's war on Ukraine and provides for further funding via the Recovery and Resilience Facility. This will require inclusion of a new chapter within the NRRP which will be subject to negotiation,  assessment and agreement by the Commission.My Department, in consultation with other Departments is considering potential proposals for funding under this mechanism.