Louise O'Reilly (Dublin Fingal, Sinn Fein)
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129. To ask the Minister for Enterprise, Trade and Employment the total moneys issued under the temporary business energy support scheme; what has become of the underspend from this scheme; and if all moneys allocated for business under the scheme will be used to support business or if that money has gone back to the Exchequer. [45597/23]

Neale Richmond (Dublin Rathdown, Fine Gael)
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As you are aware, the Temporary Business Energy Support Scheme (TBESS) was a government grant designed to help businesses with increasing energy costs. The Scheme was designed by the Department of Finance and was administered by the Revenue Commissioners. However, funding for the Scheme was allocated to the Vote of my Department.

As of 5th October (the latest stats available from the Revenue Commissioners), 31,309 businesses had registered for the scheme, with a total of €136.43 million paid out.

The Business Users Support Scheme for Kerosene was launched on the 6th September and will remain open for applications until the 31st October. The scheme provides a once off grant to reimburse businesses that use kerosene for heating purposes for half of the increased costs that they experienced during the period from 1st March to 31st December 2022, when prices increased significantly. The cost of the scheme will be dependent on the level of demand from businesses. Funding for the scheme is being provided from unspent TBESS funds.

Also on 4th July 2023, Government approved amendments to the existing Non-Domestic Microgeneration Scheme, operated by the Sustainable Energy Authority of Ireland (SEAI), to extend supports to a wider range of businesses and non-domestic applicants. The Government decision amended the Scheme on a pilot basis up until the end of 2023. Government further agreed that the pilot amendments to the Scheme be funded by way of a transfer of c. €15m of Temporary Business Energy Support Scheme monies from the DETE Vote in 2023 to the DECC Vote. The new range of installation sizes will cover a significant variety of businesses, from small local shops up to large manufacturing facilities. It will also be available for public buildings, sports clubs and community organisations.

In accordance with Public Financial Procedures all public monies unspent are returned to the exchequer at the end of the year. It is not possible to say at this time how much money will be unspent and returned to the exchequer at the end of this year.

It is also worth noting that, the Government, announced in last week’s budget the Increased Cost of Business Scheme (ICOB) which will benefit up to 130,000 Small and Medium sized enterprise in 2024.

The aim of the Scheme is to provide financial support to those firms which have been most impacted by additional business costs, by providing a tiered grant equivalent to up to half business rates for this year. €250 million is being allocated to businesses under this Scheme.

Louise O'Reilly (Dublin Fingal, Sinn Fein)
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130. To ask the Minister for Enterprise, Trade and Employment the composite details of the €250 million increased cost of the business scheme; how will it be allocated; who will benefit; the specific criteria of the scheme; and if he does not have these details, when businesses can expect to be provided with them. [45598/23]

Simon Coveney (Cork South Central, Fine Gael)
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I propose to take Questions Nos. 130 and 140 together.

The Increased Cost of Business Grant (ICOB) was announced as part of Budget 2024 and will be targeted at Small and Medium sized businesses which operate from a rateable premises. Funding of €250 million will be provided to meet the cost of the grant which will be paid out to businesses through local authorities in the first quarter of next year. It is intended to be paid at a rate of up to half the enterprise’s commercial rates bill, subject to a prescribed limit. The ICOB grant is aimed at providing support to firms but is not intended to directly compensate for all increases in wages, or other costs, for every business.

It is important that I clarify that the scheme is a once-off grant provision and is not specifically an energy support scheme nor is it intended to specifically offset any other costs of doing business. Neither does it constitute a form of commercial rates waiver such as those available from 2020 to 2022. Rate-payers remain liable for their commercial rates in 2023 but those meeting the eligibility criteria will receive an ICOB grant in early-2024. It is also not intended to benefit multinational or larger firms.

The technical details underpinning the scheme and the mechanism for delivering the payment are currently being developed. My Department will work together with the Department of Housing, Local Government and heritage as well as the Local Authorities to finalise the details of the grant in the coming weeks.