Farmers want more biofuel support

Irish farm organisations are increasing their pressure on the Government to support them in growing biofuels to provide alternative…

Irish farm organisations are increasing their pressure on the Government to support them in growing biofuels to provide alternative energy as oil prices continue to climb.

The IFA's national industrial committee chairman, Tom Dunne, warned that continuing surges in agri-diesel prices are damaging farming and will have a major negative impact on farm incomes, both directly and indirectly.

Tommy Cooke, chairman of ICMSA's rural development committee, said given the massive increases in oil prices in recent times - a trend that is likely to accelerate in the years ahead - it is imperative Ireland becomes more self-sufficient in our consumption of energy.

"Along with the obvious need for Ireland to meet the requirements of the EU biofuels directive, the benefits that would flow from the expansion of renewable energy in Ireland speak for themselves. As a country, however, we appear to be afraid to grasp the opportunities that are staring us in the face," he said.

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Mr Dunne said radical measures were now needed to mitigate the negative impact on farming.

"Alternative fuel sources, including biofuels, should be encouraged and brought commercially online immediately. Government must also urgently review and reduce both excise duties and VAT on fuels to limit the damaging effects to the economy," said the IFA man.

Last week the Government granted excise relief for two years to eight biofuels projects.