Emergency bailout filled hole in Offaly council's budget

OFFALY County Council would not have been able to bring in a balanced budget for next year without last weekend's confirmation of a €3.3m Government bailout.

The council was facing a massive shortfall because of a nosedive in 2021 rates income due to the closure of the electricity generating station, West Offaly Power, in Shannonbridge at the end of this year.

After intense lobbying from the local authority and Oireachtas politicians, the Department of Local Government confirmed the grant on Friday.

The closure of Shannonbridge power station by the ESB will result in a 20% decline in Offaly County Council's commercial rates income.

“Needless to say it's been exercising the minds of the executive here in recent times,” council Cathaoirleach Cllr John Carroll said at a special meeting of the local authority on Monday afternoon.

He said he appreciated the efforts of all those who had pushed for the funding to be made available in the context of the “critical budgetary situation” facing the county.

Cllr Carroll said the closure of Shannonbridge was a “direct result” of the Government's decarbonisation policy.

He said the vice chair, Cllr Eamon Dooley, and himself, had met junior Agriculture Minister Pippa Hackett and Dail TD's Barry Cowen and Cathal Berry “to ensure no stone was left unturned” to convince Local Government Minister Darragh O'Brien and Public Expenditure Minister Michael McGrath of the crucial need for support.

“If there is to be a fair and just transition to green energy decisions like this will have to be made to ensure that no community is discriminated against in pursuit of what is a common goal for us all, a greener way of life.”

Cllr Carroll said without the funding it would have been impossible to bring in a balanced budget for next year which could have been accepted by the councillors.

Anna Marie Delaney, council chief executive, acknowledged the support of Cllr Carroll, all the councillors and Oireachtas members.

Ms Delaney said while it was a “good outcome” for 2021, a full package would have to be put in place for the next number of years.

Two Independent councillors, Cllr John Leahy and Cllr Sean O'Brien also welcomed the funding.

Cllr Leahy said the political intervention was very important and while he acknowledged the efforts of Minister Hackett, he said Deputy Cowen had played a “huge part” in securing the funding.

Cllr O'Brien said it was a job very well done because a huge hole would have been left in the council's finances and it was good to see national government had stood up and responded to the appeals from Offaly.