Bank of Ireland Emphasises Support for Irish Agriculture as it Launches Two White Papers on Key Sectoral Developments

Bank of Ireland today emphasised its support for the Irish agriculture industry at the launch of two white papers on the development of the biomethane sector, and supporting the sustainable transition of the agrifood sector.

The important role biomethane plays in decarbonising the agriculture sector was explored in more detail, with expert speakers delving into the operating model including the feedstock supply chain and discussing how Ireland can meet both domestic and EU targets. A scaled up biomethane sector is crucial to achieving the emissions reduction target for agriculture by 2030, with coordinated climate, energy and bioeconomy policies required to reach this goal.

As the leading lender to Irish agriculture, with over 82,000 farm customers on its books, Bank of Ireland continues to support farmers and farming communities as the wider sector continues its transition to employing more sustainable practices. Providing targeted financial supports like Enviroflex loans, which reward farmers improving the environmental footprint of their farms, ensures they can implement enhanced sustainability practises as well as boosting overall farm profitability.

Both white papers emphasise that a collaborative approach, along with a supportive financial system, is vital in ensuring that the current progress is maintained in embedding on-farm sustainability measures. Further investment and research in this area is required, with increased sustainability performance being incentivised and clarity provided at a policy level – so that impactful solutions can be designed and investment directed to speed up implementation.

Minister for Agriculture, Food and the Marine, Charlie McConalogue T.D. said: “Just three weeks ago, I launched Irelands national biomethane strategy, which my department co-developed with Minister Ryans Department of Environment, Climate and Communications. This strategy is Irelands first major policy statement on biomethane and is an important milestone in the development of an indigenous sector. It is important that farmers are central to the development of the industry and the aim is that it is agri-led and farmer-centric. The publication illustrates this governments support and commitment to developing what is yet a nascent sector. Finance of course will be a critical element of developing the sector and I welcome the engagement of Bank of Ireland and the publication of these papers today.”

Speaking at the Davy event, Eoin Lowry, Bank of Ireland’s Head of Agri Sector said: “There is no doubting the scale of the transition required, but Bank of Ireland recognises the key role that agriculture plays in powering this change and will continue to support farmers on this journey. Bank of Ireland is providing farmers with the targeted financial supports they require like our Enviroflex loans and is proud to be leading the way in this regard. Enhanced sustainable farming practises and the increased development of the biomethane sector are vital parts of the overall solutions required, and we will continue to work with a variety of stakeholders to ensure a low emissions future is achieved.”

Dr Fergal McNamara, Davy Corporate Finance, added: “The development of an indigenous biomethane sector in Ireland will contribute to the decarbonisation of the agriculture and the natural gas sectors which in turn can assist decarbonising other hard-to-abate sectors. This is in keeping with EU policy set out in ‘REPower EU’ where a target of 8x growth across the continent has been set for 2030, requiring a €37 billion investment. Ireland is well recognised for its potential in this sector, and we estimate the investment required to meet the Irish Government’s target of 5.7 TWh by 2030 to be of the order of €1.5 billion. The sector is the subject of national policy with the recently published National Biomethane Strategy.”