I am advised by Revenue that an annual allowance (known as a wear and tear allowance) is available for capital expenditure incurred on the provision of machinery or plant for business purposes. The allowances are granted at a rate of 12.5% per annum over 8 year. The item of plant or machinery must be in use at the end of the period for which the allowance is being claimed.
An acceleration of this allowance is available to businesses for capital expenditure incurred on certain energy efficient equipment (EEE). An accelerated capital allowance (ACA) of 100% of the capital expenditure incurred on such equipment can be claimed for the year in which the equipment is first provided and used for business purposes. The qualifying equipment, which must be new, must be included in the Triple-E register, a register containing the product list for eligible energy-efficient equipment, maintained and published by the Sustainable Energy Authority of Ireland (SEAI).
The SEAI administers the ACA EEE scheme on behalf of the Department of Communications, Climate Action and Environment. Its operation includes an online system which facilitates submissions of products by providers. Submissions are reviewed by a panel of technical experts (appointed by SEAI) who review the documentation supplied to ensure product performance meets published criteria. The expert panel engage directly with providers to resolve data or technical issues which may arise.
The register is available on the SEAI’s website (https://www.seai.ie/business-and-public-sector/business-grants-and-supports/accelerated-capital-allowance/). There are currently 10 broader product categories within the scheme which provides the framework for the register, as set out in Schedule 4A of the Taxes Consolidation Act 1997. Electric mini diggers are not specifically listed, and more information would be required to ascertain whether their technological components are eligible for the accelerated allowance under the scheme.
I would also note that the ACA EEE scheme is due to be reviewed under my Department's tax expenditure guidelines in 2020, and this process will commence early next year.