The European Commission announced that it has given the green light to a €308m Irish scheme to provide direct grants to support investments in forestry.

The grant scheme for new forestry will run until the end of 2027 and will be open for “companies of all sizes in the forestry sector” to apply.

Ireland proposed its €1.3bn forestry programme for 2023 to 2027 earlier this year.

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The Irish Farmers Journal is awaiting clarification from the Department of Agriculture on why the scheme approved is only covered to the tune of €308m.

Target

A target is set within the scheme to grow forest cover to 18% of the country’s land area by planting 8,000ha of new forestry in each year of the programme.

Aid will take the form of direct grants and cover up to 100% of the eligible costs.

In its assessment, the Commission found that the scheme is “necessary and appropriate” to support afforestation and stated that it will add to biodiversity, climate action and the rural economy.

It said the scheme will have an “incentive effect” of allowing those grant-aided through the scheme to make investments that would not have been made without public support.

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Ambitious €1.3bn forestry programme launched