The European Commission has granted state aid approval for Ireland's afforestation scheme, which will run until December 2027.

The approval covers 12 afforestation schemes, including mixed high forests, native woodlands, agroforestry and continuous cover forestry, with grant aid up to €6,744/ha and annual tax-free premiums up to €1,142/ha over 20 years for farmers and 15 years for non-farmers.

Both Ministers Charlie McConalogue and Pippa Hackett welcomed the Commission's announcement of "a €308m Irish scheme to support investments in afforestation".

The afforestation scheme is a key component of Ireland's Forestry Programme (2023-2027) which amounts to a €1.3bn investment by the Government over the next five years.

"The Commission’s approval of our afforestation programme is a hugely significant milestone in our longer-term vision out to 2050 to increase our forest cover as a critical part of the State’s climate action plan," said Minster Hackett.

"It is the best-funded, most environmentally friendly programme in the history of the State," she added.

"The schemes have been designed so that planting trees can deliver for farm incomes, for climate, for biodiversity, for water quality, for recreation, for rural economies and for the production of high-quality timber for use in our homes and other buildings of the future.”

Reserved judgement

The announcement of the new programme has been welcomed by forestry companies and foresters, but they have reserved judgement until they see the conditions attached to the new programme.

"It's important to analyse the detail of the various schemes, which may have changed from the original programme submitted to Brussels last year," said Pat O'Sullivan of the Society of Irish Foresters.

"However, society members broadly welcome the announcement and we will actively promote it."

Support measures

Disappointment was expressed by a number of forestry companies and organisations that the forestry support measures, such as forest roading and biodiversity, were not announced.

"The Irish Timber Growers Association (ITGA) welcomes the announcement, but the focus on forest establishment needs to be matched by an emphasis on the active management of existing woodlands, including funding supports for biodiversity and ecosystem services," said Donal Whelan, ITGA.

"In order to now achieve a viable forestry programme, the Department must reduce the administration required to facilitate normal forest management activities, such as securing felling licences for standard thinning and related operations," he added.

"The key to reactivating the programme is to set in place realistic timelines in achieving afforestation and other licences," said chair of the Social Economic Environmental Forestry Association of Ireland (SEEFA) Teige Ryan.

“Farmers, in particular, will not opt for forestry as a viable land use if they have to wait for over a year to receive licences. Approvals should be issued within four months of applications," he said.

While the new programme provides funding for Coillte and other public bodies, "farmers are absolutely central to the success of our overall forestry strategy", maintained Minister McConalogue.

"Our new programme is designed to attract and reward farmers ahead of any other landowners," he claimed. "This Government’s policy is to provide farmers with the biggest opportunity to benefit from the forestry payments this programme can deliver."

He acknowledged "that confidence in the sector has been damaged", but said the new programme "will see farmers get 20-year premiums at an annual rate up to 66% higher than previous programmes, which will reinvigorate the sector and support our climate action targets".