Green IFSC cluster on the cards

4 Jan 2011

The eagerly awaited initiation of the ‘Green IFSC’ could happen this March, according to a report in the Irish Independent yesterday.

The Green IFSC strategy, which has the aim of making the IFSC a green hub for green businesses to set up shop in Ireland, could be signed off before any new administration comes into power, says The Irish Independent. It said this green evolution could happen despite concerns from some IFSC figures that the initiative could be scrapped should a Fine Gael/Labour coalition come into power following the elections.

The paper says the proposal is currently with the Department of the Taoiseach and is awaiting final sign off, with an announcement set for early March. This forecast comes following a review of the minutes of the meetings of the Clearing House Group, which is comprised of IFSC interest groups.

The minutes reveal that the project has been getting significant attention from senior civil servants over recent months.

The green move is on

However, with its low corporation tax rate, Ireland better move fast if it wants to become a hub for green businesses, as other countries are swiftly getting on the green bandwagon in anticipation of the jobs and tax contribution creation on the horizon.

According to the minutes of the Clearing House Group: “The goal is to become a leading player in the global carbon market and identify Ireland as a centre of excellence in the management of carbon.”

A carbon reduction leader

Speaking in January 2010, a spokesperson for IFSC Banking and Treasury Group said the most ambitious view of the project would be to replicate the IFSC in a five-year time scale. This would signal the creation of about 25,000 new jobs, with companies operating in the green hub making tax contributions of circa €11bn annually.

The Green IFSC initiative aims to attract green businesses to Ireland, as well as companies that finance them and those involved in the carbon reduction area.

Carmel Doyle was a long-time reporter with Silicon Republic