5 Enabling Locally Traded Sectors to Thrive

Locally traded enterprises are vital to the economic and social fabric of towns and villages across Ireland and underpin regional development and employment. In 2023, Enterprise Ireland launched schemes to support firms to build their online retail capability and invest in carbon reduction and energy efficiency measures. These initiatives are to be followed by a wider report for addressing the challenges posed by the twin transitions to locally traded sectors, and the forthcoming launch of a funding scheme for the digitalisation of locally traded sectors in conjunction with the Digital Portal for enterprise, both of which are now expected to commence in 2024. In H2 2023, the OECD published its review of Social Enterprise in Ireland, which was used to inform a public consultation on the new National Social Enterprise Policy, open from December 2024 to January 2024. Following review of the consultation, publication of this policy is expected in early 2024. 5.1 Facilitate our Locally Trading Sectors to Navigate the Twin Transition

Timeline				Q4 2023: Publication of Report to provide a clear evidence base for
				addressing the priority productivity challenges of the locally traded
				sector, particularly around climate action and digitalisation
				Q1 2024: Launch Implementation Plan to address the priority
				productivity challenges of the locally traded sector, particularly
				around climate action and digitalisation
	Responsibility			Department of Enterprise, Trade and Employment
Update	Update		The Department of Enterprise, Trade and Employment intended to commission a research study during 2023 to establish the extent to which locally trading enterprise are engaging with digitalisation and decarbonisation. Engagement with the CSO to source data on the locally traded sector continued in H2 2023 in this regard. Additional data was received in Q1 2024 and is now undergoing analysis, where progress to initiate the delayed research study is expected to commence in Q2 2024. The potential publication of the resulting report is now anticipated for Q3 2024.
			The Implementation Plan will be formalised in Q4 2024, upon completion of the external research study.

5.2 Support Small Firms in Energy Cost Reduction and Decarbonisation Investments

Timeline		Q2 2023: Launch the pilot of the Small Firms Investment in Energy
		Efficiency Scheme (SFIEES) to help small firms to reduce carbon
		emissions
		Q4 2023: Evaluate the pilot of SFIEES with a view to mainstreaming
		in 2024
Responsibility		Enterprise Ireland - Centre of excellence; Local Enterprise Offices;
		Department of Enterprise, Trade and Employment; Údarás na
		Gaeltachta
Update	The Energy Efficiency Grant was launched in May 2023 by the Minister for Enterprise, Trade and Employment Simon Coveney, T.D. The Energy Efficiency Grant supports businesses to reduce their carbon emissions and overall energy costs by accelerating the adoption of low carbon technologies or processes. Small firms can receive a grant of 50% towards eligible expenditure of energy efficiency projects up to a maximum of €5,000. In 2023, the Local Enterprise Offices received 57 applications of which 35 of these have been approved, to a value of €137,423. There were 554 Green for Business and 2 Green Start approvals in 2023, which provides a strong pipeline of potential clients for this scheme in the future.
	A review of the Energy Efficiency Grant was undertaken during 2023, which will inform considerations on the appropriate administration of the Grant during 2024.

5.3 Assist Locally Traded Sectors in Increasing Digital Intensity

Timeline				Q4 2023: Launch of new scheme and funding to support locally
				traded sectors, in conjunction with the development of the Digital
				Portal
	Responsibility			Department of Enterprise, Trade and Employment
Update	Update		The Department of Enterprise, Trade and Employment and Enterprise Ireland are working to develop changes to the Trading Online Voucher and the Digital for Business schemes and ensure that there is coherence in the digital supports available to businesses. These reforms are being developed alongside the Digital Portal, which is expected to be delivered in H1 2024. Further details on the Portal can be found under Section 2.3,

5.4 Enable Locally Traded Sectors to Capture e-Commerce opportunities through Digitalisation

Timeline				Q2 2023: Launch Online Retail Scheme call for 2023 to enhance
				retailers’ online capability and presence so as they can best exploit
				new opportunities and attract new customers
				Q4 2024: Completion of a full programme review of the Online Retail
				Scheme. The review will establish the Scheme impact over all calls
				with a view to potentially mainstreaming the Scheme as an ongoing
				Enterprise Ireland support
	Responsibility			Enterprise Ireland
Update	Update		The objective of Online Retail Scheme (ORS) 2023 was to enhance online capability/ skills and attract new customers for Retail businesses. The scheme was launched in April 2023 with a €3.4 million budget allocation and closed for applications in May 2023. 151 applications were received, where a total of €2.28 million of grant funding was offered to the 98 successful applicants by Q3 2023. The percentage of successful applicant companies based outside of Dublin was 79%, with almost half of total successful applicants being first time recipients of the ORS funding. The claim process commenced in Q4, where a total of €1.8 million has been disbursed to 85 companies by end of 2023.
			A tender framework for the provision of supports and services in relation to the evaluation of financial products managed and administered by Enterprise Ireland was established in 2023. The invitation to tender for the Online Retail Scheme (ORS) review was published in Q4 2023. A full review of the ORS will be completed by Q4 2024. The review will establish the Scheme impact over all calls in order to inform the long-term future of the scheme

5.5 Boost Social Enterprise Contributions to the Irish Economy and Society

Timeline				Q2 2023- Publication of OECD review of Social Enterprise in Ireland
				Q2/3 2023 - Public consultation on the new National Social
				Enterprise Policy
				Q4 2023 - Publication of the new Social Enterprise Policy
	Responsibility			Department of Rural and Community Development
Update	Update		The review of social enterprise in Ireland was published by the OECD in November 2023 and can be accessed on the OECD library webpage.4 The review will help inform policy makers on a range of topics pertinent to the social enterprise sector in Ireland and has already supported the Department of Rural and Community Development’s work on a new National Social Enterprise Policy.
			A public consultation on the new National Social Enterprise Policy was launched by the Minister of Rural and Community Development in December 2023. The submissions received will assist in informing the new National Social Enterprise Policy to be published in 2024.
			The New Social Enterprise Policy is at an advanced stage of drafting by the Department of Rural and Community Development and is currently planned for publication in H1 2024. Prior to its publication, it will be finalised taking account of the OECD review, a baseline data report, submissions received during the public consultation process, and bilateral meetings with stakeholders and other Government Departments.

4https://www.oecd-ilibrary.org/industry-and-services/boosting-social-entrepreneurship-and-socialenterprise-development-in-ireland_3115bcb6-en