A scheme to make homes more energy efficient has the potential to create up to 5,000 jobs next year alone, Minister for Finance Brian Lenihan said.
In today's Budget he announced a number of schemes to promote agriculture, to create sustainable energy and to make homes and businesses more energy efficient.
Mr Lenihan said agriculture is an important component of the economy and the Government had "not hesitated to offer this crucial sector support where it was most needed".
The Government remained committed to supporting an environmentally sustainable agriculture sector and was in discussions with the European Commission with a view to introducing a new five year agri-environmental scheme. He will provide €50 million to support this scheme.
The Minister also announced he will provide more than €121 million for forestry and bio-energy. This includes a capital provision of €116 million to plant a further 7,000 hectares of trees next year.
He also allocated about €130 million for measures which will include a scheme to retro-fit homes to make them more energy efficient.
He said boosting energy efficiency was good for the environment and for the economy. “It is a growing area of innovation with huge commercial and employment potential.”
Mr Lenihan said this would build on the success of existing schemes delivered through Sustainable Energy Ireland and had the potential to create up to 5,000 jobs next year alone.
Some €50 million of the carbon tax yield will be used to fund measures such as help for households at risk of fuel poverty to make their homes warmer. Local authorities will receive additional funding to retro-fit the social housing stock.
A scheme of capital allowances for energy efficient equipment will be enhanced to include refrigeration and cooling systems, electro-mechanical systems and catering and hospitality equipment.