Dáil Éireann Debate, Wednesday - 30 September 2026
135. Deputy Michael Fitzmaurice asked the Minister for Agriculture, Food and the Marine the charge rate for office admin and technical support cost per day used in calculating the afforestation grant rate for the forestry programme 2023 to 2027. [68981/26]
View answer136. Deputy Michael Fitzmaurice asked the Minister for Agriculture, Food and the Marine the total overhead or management costs used in calculating the afforestation grant rate for the forestry programme 2023 to 2027. [68980/26]
View answerI propose to take Questions Nos. 135 and 136 together.
The Forestry Programme 2023–2027 was designed to incentivise landowners to engage in tree planting, with grant rates reflecting the direct costs of establishing different forest types.
In calculating grant rates, the Department had regard to the COFORD report, “Economic Activity and Employment Levels in the Irish Forest Sector” (2022), direct operational costs and overheads averaging over 40%. The costs are indicative and can vary according to the operation, site, location, economies of scale and contractor or forester rates.
The grant rates were considered within the parameters and framework of the public expenditure code and were subject to financial approval from DPER. It is important to note that the Irish Forestry Programmes also require State Aid approval from the European Commission to implement. A key principle of State Aid approval is that this aid must be proportionate to remain compatible with the EU internal market.
The purpose of State Aid is to facilitate changes in the behaviour of an undertaking, such as additional activity contributing to the development of the sector, where it would not have taken place without such aid or where in its absence the activity would have transpired in a restricted or different manner.
My Department, as the granting Authority in this instance, must ensure that any State Aid provided is therefore proportionate and does not subsidise the costs of an activity or undertaking that would have incurred in any instance and must not compensate for the normal business risk of an economic activity.
Work on the Forestry Programme post-2027 is underway and my Department is committed to reviewing opportunities to help support this important sector and to encourage the expansion of forestry as part of a diverse farm or landholding enterprise.
