AQW 23058/17-22

Mr John Blair
Alliance Party
South Antrim

Tabled Date: 23/09/2021
Answered On Date: 06/10/2021
Priority Written: No

Question:
To ask the Minister of Agriculture, Environment and Rural Affairs to detail the funding bids his Department has made in preparation for the introduction of climate change legislation.

Answer:

If and when my Executive Bill receives Royal Assent there will be costs incurred to publish and print the Bill and its associated documents, these costs will be dependent on the number and size of the documents, however they will be fairly minimal (an approximate estimate of £1k) which will be funded by my Department.

The actual cost of introducing policies to meet the provisions set out in legislation is hard to predict as there are currently two Bills with very different targets. My Department has prepared a draft Regulatory Impact Assessment (RIA) for the Climate Change (No. 2) Bill. In summary the indicative net cost between the years 2022-2050 (including the at least net 82% emissions reduction 2050 target) is estimated to be over £4 billion; or in yearly terms- an approximate £140 million cost per year. The Private Members Bill does not currently have a RIA that would provide an assessment of the associated costs to meet net zero by 2045. However a net zero by 2050 target, a whole 5 years later than Private Members Bill target, is predicted to cost a staggering indicative £30 billion plus between 2022-2050. That is an approximate annual cost of over 1 billion pounds per year.

In February 2020, the Northern Ireland Assembly declared a climate emergency. This decade, the 2020s, must be a decade of urgent action. That is why my officials are preparing the draft Green Growth Strategy for consultation by November.

Implementing Green Growth it will require us to be bold, to be brave, and to be honest and united in our actions. Realising the vision will come at significant cost for both government and citizens, but it is one we must prioritise. Failing to do so would be irresponsible and the consequences unthinkable.

I understand that in order for us to meet these challenging targets we need to begin shaping the investments necessary to progress Green Growth. Therefore I have requested that my officials develop a programme of Green Growth measures which will secure carbon emission reductions and help Northern Ireland meet it net zero obligations covering the sectors within my department’s area of responsibility.

My officials have produced a profile of Indicative Capital Investment of approximately £600 million over 5 years which covers sectors including, agri-food, forestry and nature, blue carbon, circular economy and waste, public sector decarbonisation and rural decarbonisation. The proposals are a significant increase from my Department’s Capital budget for Green Growth in 2021/22 of £20 million. It is important to note that the Investment Profile was prepared prior to development of the Executive’s Green Growth Strategy and Climate Action Plan and prior to receipt of specific sectoral advice from the CCC. The Profile has also been prepared in advance of other key linked strategies including Environment, Biodiversity, Clean Air and Ammonia; and policies such as Future Agriculture Policy and Food Policy. As such, the measures and the associated costs contained in the Profile will likely be subject to change. However the profile demonstrates the scale of investment that will be necessary as we move forward with the Green Growth agenda.