The allocation for renewable heat has reduced from last year, according to budget details presented by Minister for Communications, Climate Action and the Environment Denis Naughten .

The previous budget set aside €7m for the Support Scheme for Renewable Heat (SSRH) this year, on the understanding that the scheme would open too late in the year to attract significant spending. But this has now fallen to just €6m for next year, when the SSRH is expected to open to commercial users of biomass boilers and start generating significant demand for farmers' energy crops.

The reduced allocation indicates that the scheme will not achieve this in the coming year.

Research

Another €10m is allocated to applied research to diversify away from fossil fuels to green energy.

Projects will begin to receive funding from the 10-year, €500m Climate Fund next year, but there are no indications as yet regarding the amount to be spent next year or if any will support farm-based renewables.

Asked about the level of commitment to climate action in Budget 2019 in the Dáil this Wednesday after the carbon tax on fossil fuels remained unchanged, Naugten said that the price of oil had risen from $50/barrel last year to $84 currently and was projected to hit $100 later this year.

"Now is not the time to be hiking up these taxes. What we need to do is to make sure that these types of level and that trajectory is maintained into the future," he added.

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Budget 2019: everything farmers need to know