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Forestry Sector

Dáil Éireann Debate, Thursday - 21 October 2021

Thursday, 21 October 2021

Ceisteanna (56)

Cathal Crowe

Ceist:

56. Deputy Cathal Crowe asked the Minister for Agriculture, Food and the Marine if farmers with existing tree plantations on their land-holdings will be allowed to count these in terms of carbon credits. [51252/21]

Amharc ar fhreagra

Freagraí scríofa

Ireland is obliged to report and account for all greenhouse gases in Ireland under our international obligations and this includes sequestration and emissions from forestry.

This does not imply ownership but simply reflects the requirement for those reductions and emissions to be included in the State’s climate inventory. There is no such similar mandatory accounting framework for farmers or other private individuals. Forestry is not part of the EU Emissions Trading Scheme.

However, there is potential for some trading of forestry-generated carbon on voluntary markets which does take place in other countries mainly for corporate social responsibility by businesses rather than for mandatory compliance. 

Generally voluntary carbon markets are setup to incentivise activities that are in addition  to what currently takes place and don’t generally provide funding for existing forests that are already sequestering carbon. However this is for the market to decide.

Forest owners can directly benefit from voluntary carbon markets depending on particular circumstances. For example this can be where a landowner partners with a private company who wish to be associated with the environmental benefits of the farmer’s forestry and will pay the farmer for this right.

My Department is at the early stages of exploring opportunities for the development of such a voluntary carbon market in Ireland.

This would look at encouraging reductions in emissions and at the same time develop a potential alternative source of income for landowners and foresters.

This could  be similar to our existing Woodland Environment Fund which includes a mix of private finance and state funding to pay farmers to establish native woodlands and this model has worked well or could be other voluntary models with similar outcomes.

Such carbon farming is highlighted as an option in the EU Green Deal and the European Commission is examining ways of encouraging activities that remove carbon across sectors, including involvement by the voluntary carbon trading sector. 

We will work with stakeholders and will explore options for the development of such tools which encourage the removal of carbon in line with these developments.

At the moment we directly fund afforestation by providing a range of grants, premiums and tax incentives on the sale of timber but there may be opportunities for adjusting this model in future through complementary voluntary carbon markets for example.

I am committed to putting farmers and forest owners at the very centre of this space.

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