The European Commission has today (Thursday, August 24) approved, under EU state aid rules, a €45 million Irish scheme to promote sustainable forest management.
The scheme, which will run until December 31, 2027, is the latest part of Ireland’s new National Forestry Programme to receive the green light from the commission.
It aims to support landowners to implement economically, ecologically and socially sustainable forest management and use techniques.
It is hoped that the measure will promote the growth of forests; protect biodiversity, soil and water quality; help forests to adapt to climate change; and increase the ability of forests to store carbon.
The commission said that aid provided through the scheme, open to companies of all sizes in the forestry sector, will take the form of direct grants, covering up to 100% of the eligible costs.
Scheme
The EU Commission found that the new scheme is “necessary and appropriate to support and strengthen environmental protection, including biodiversity and climate action, and to contribute to achieving the environmental and climate-related objectives of the EU”.
The commission said that the measure would also have a limited impact on competition and trade between EU member states.
On this basis, the commission approved the Irish scheme under EU state aid rules.
Today’s decision follows the EU Commission’s approval of an Irish scheme to support investments in afforestation on August 2.
Both schemes are part of the Ireland’s new €1.3 billion Forestry Programme 2023-2027.
The afforestation scheme is due to open for new applications in the coming weeks.
The new programme provides for increased premiums for planting trees of up to €1,142/ha depending on the forest type, as well as extending the premium period from 15 to 20 years for farmers.
Non-farmers will receive premiums for 15 years. The programme also offers a broad range of planting options and the rates are 46-66% higher than previously.