2.— (1) The Minister shall, with the consent of the Minister for Finance, establish a fund to be known as and in this Act referred to as the Carbon Fund for the purpose, subject to subsection (8) , of acquiring on behalf of the State, including on foot of existing or future agreements to which the State is or becomes bound, Kyoto Units and any other such instruments or assets in accordance with the provisions of the Convention and the Kyoto Protocol, and for any purpose associated with or incidental to the fulfilment of that function.

(2) The Minister for Finance shall, when he or she considers it appropriate, establish a bank account at the F1[Central Bank of Ireland] to be known as the Carbon Fund Euro Bank Account, and, subject to subsection (6) , all moneys received for credit of and disbursed from the Carbon Fund shall respectively be paid into and out of that account.

(3) The Minister shall manage and control the Carbon Fund in accordance with this Act and has all powers necessary for or incidental to the performance by him or her of such functions.

(4) Subject to sections 8 and 9 , the management of the Carbon Fund is delegated to the Agency. The Agency has all the powers that are necessary for or incidental to the performance of its function in managing the Carbon Fund.

(5) Notwithstanding subsection (4) , the Minister may give directions to the Agency in relation to acquisition of Kyoto Units or any other instruments or assets acquired under subsection (1) , or any matter associated with or incidental to such acquisition.

(6) The Agency, in connection with the performance of the functions delegated to it under subsection (4) , may—

(a) engage in transactions of a normal banking nature in respect of the management of the Carbon Fund and may, for such purposes, issue such funds from the Carbon Fund as are necessary,

(b) pay into any foreign currency clearing account created by the Minister for Finance under section 139 of the Finance Act 1993 the proceeds of any transaction denominated in a currency other than the currency of the State, and

(c) apply any amounts standing to the credit of any foreign currency clearing account towards the discharging of payment obligations arising under any transaction referred to in paragraph (a) .

(7) The expenses and other costs incurred by the Agency in connection with or arising out of any transactions engaged in by the Agency under subsection (6) (a) shall be charged on the Carbon Fund.

(8) The Agency may, with the consent of the Minister and the Minister for Finance and on such terms as they may specify, dispose of Kyoto Units or any other instruments or assets acquired under subsection (1) , and, subject to subsection (6) , any proceeds of any such disposal shall be paid into the Carbon Fund.

(9) Any surplus arising in the Carbon Fund shall be paid into the Central Fund from time to time as the Agency considers appropriate.