In its submission to the public consultation on the proposed Renewable Heat Incentive (RHI) scheme which closed last Friday, the IFA repeatedly called for the scheme to target small installations in farming communities.

“It is essential that the scheme is accessible to small-scale projects,” the IFA submission reads, adding: “IFA recommend that a percentage of the RHI budget be ring-fenced for agricultural and rural community based projects. The scheme should provide an opportunity for rural areas to produce their own heat, so they can generate reliable and cheap energy, which has been shown to trigger further economic development.”

In an interview with the Irish Farmers Journal this week, however, Minister for Communications, Climate Action and Environment Denis Naughten ruled small, on-farm projects out of the upcoming scheme. “This is for large-scale users of heat,” he said, arguing that industrial players were better placed to generate the large demand needed to kick-start the Irish biomass industry. He added that farmers would benefit from this new outlet for energy crops.

Listen to an interview with IFA renewables team chair James Murphy in our podcast below:

Listen to "Where to for farmers on renewables?" on Spreaker.

The IFA and the minister agreed on other aspects of the proposed scheme, including the imposition of strict sustainability and quality criteria favouring Irish-grown energy crops for the generation of subsidised renewable heat.

The scheme’s resources will not be known until Budget 2018, but it has the potential of avoiding Ireland hundreds of millions of euros in fines for missing its EU renewable energy targets in 2020 and is therefore expected to be appropriately financed.

Read the full interview with Minister Naugthen this Thursday in the Irish Farmers Journal and at www.farmersjournal.ie

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