Dáil Éireann Debate, Thursday - 2 May 2024
136. Deputy Rose Conway-Walsh asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the role, if any, he will have in relation to the ICN Fund, making particular reference to the report requirements on designated environmental projects and proposed payments from the fund; and if he will make a statement on the matter. [20040/24]
Amharc ar fhreagraThe Future Ireland Fund and Infrastructure, Climate and Nature Fund Bill 2024 proposes to establish the Infrastructure, Climate and Nature Fund.
It is intended that the Infrastructure, Climate and Nature Fund will support the economy in times of exceptional need and will be available to support Ireland’s transition to a low carbon economy. The Fund will support expenditure by the State:
• in any year from 2026, where there has been, or is likely to be in the subsequent year, a significant deterioration in the economic or fiscal position of the State; and
• in the years 2026 to 2030, on designated environmental projects.
A total of €2bn will be invested in the Fund each year from 2024 to 2030 building up to an overall fund of €14bn. Of this amount €3.15bn will be allocated to designated environmental projects to address climate change issues and nature and water quality degradation.
This legislation is the responsibility of my colleague, the Minister for Finance. I understand that the Bill was considered at Committee stage by the Select Committee on Finance, Public Expenditure and Reform, and Taoiseach on Wednesday 1st May. The Minister for Public Expenditure, NDP Delivery and Reform’s role is set out in the Bill.
In relation to the Infrastructure, Climate and Nature Fund, the Minister for Public Expenditure, NDP Delivery and Reform must be consulted on:
• the NTMA investment strategy for the Fund; and
• no payment or a reduced payment being made into the Fund in the event of a deterioration or likely deterioration in the fiscal and economic position of the State.
Furthermore, the Minister for Public Expenditure, NDP Delivery and Reform will be required to provide a report to Government by 31 July each year from 2026 to 2030 specifying the total State expenditure on designated environment projects that is estimated to be incurred in that year and the amount the Minister proposes to be paid from the Fund to the Exchequer up to 22.5% of the net asset value of the Fund in the previous year up to a maximum of €3.15bn.
The intention is that allocations from the Fund will be carried out in line with the standard Estimates process.
