Sale of State Assets

Dáil Éireann Debate, Tuesday - 4 December 2012

Tuesday, 4 December 2012

Questions (482)

Luke 'Ming' Flanagan

Question:

482. Deputy Luke 'Ming' Flanagan asked the Minister for Agriculture, Food and the Marine if a clause can be built into any sale of Coillte forests to guarantee the current supply of round logs to the sawmilling industry here; if a similar clause is being put in place to protect and guarantee the supply of timber to the Coillte board plants at Waterford and Clonmel; if he will instruct NewERA to establish a guarantee within any sale documents drafted by NewERA or Coillte to protect and guarantee the present supply of round logs to the Irish sawmilling industry, as has been done recently in New South Wales on foot of the mistakes made in New Zealand, or if this guarantee is not to be included; the plans in place to replace the loss of the 12,000 jobs currently employed in the timber industry should the supply of round logs to the sawmilling sector here not be protected; and if he will make a statement on the matter. [54414/12]

Written answers

Minister for Agriculture, Food and the Marine

Further to the Government decision that a concession for the harvesting rights to Coillte’s forests be considered for sale, Coillte Board and management have been actively engaged in recent months with NewERA, the Department of Public Expenditure and Reform and my Department to examine the financial and other implications of developing the potential of Coillte’s forest assets.

The process is at an advanced stage and, aside from the valuation of the forestry assets, a number of issues have been identified in relation to the possible harvesting rights concession. These include, inter alia, the possible impact to the timber industry, environmental and social impacts and consequential implications for the company and levels of employments. These issues, and the measures, if necessary, to address them, require detailed consideration. Case studies of the sale of State owned forestry in other countries, including New Zealand, has formed part of the analysis to date.