Written Answers. - Energy Taxation.

Cecilia Keaveney

Question:

56 Cecilia Keaveney asked the Minister for Finance the tax incentives, if any, which could be offered to investors in renewable energy; and if he will make a statement on the matter. [3897/97]

Capital allowances at normal rates are available for allowable capital expenditure in renewable energy projects. The investment may also qualify for BES reliefs. As I mentioned in my Budget Statement, the group dealing with environmental tax issues is continuing in being and is considering tax incentives as well as tax rates. European Union Commission proposals in relation to energy taxation are also awaited and these may impact on renewable energy.