Mr. Dermot Nolan:

I would not want to speculate about what policy decision the Minister might or might not give. Certainly, the power exists, although that is all I can say. Deputy Luke 'Ming' Flanagan asked about a variety of issues. On the 3:1 ratio estimate relating to costs, we have not made a decision about undergrounding or overgrounding. EirGrid has a view that an overground solution was the most cost-efficient for at least the North-South interconnector, although the decision has not been made for the other two. The Department also commissioned a report. The Deputy is questioning the 3:1 ratio, indicating that an underground solution might take a very different route attracting a lower cost. I do not know if I can comment on that specifically but the independent report examined scenarios and came out with a particular view. I do not know if that satisfies the Deputy's point but it is essentially the process that has happened.

I mentioned a caveat about the other two issues earlier, and there was less surety about potential increased operating costs. That is something we will continue to follow. In terms of quality, I indicated earlier there may be fewer faults, although they may be slightly more difficult to fix. I am not making definitive claims on that and we can pursue the matter further if the Deputy so wishes.

With regard to renewables, Gate 4 and general issues, the CER is currently planning to do something about - for want of a better word - what we call Gate 4. We will consider if targets have been met and what scope there is for further connection from renewables to the grid. However, that will be guided to some extent by Government policy and it will depend partially on whether the 40% targets are being met. We will take some policy guidance on that. There is a process in place to consult early in the new year about connections along the lines of Gate 4.

On the midlands issue, I do not wish to be evasive, although the Deputy may think I am. It is a policy matter. Some of our staff are engaged in working groups on the issue but it is really a matter for the Government to decide whether this should go forward. If it is going forward, it is unclear as to whether the process will be regulated. If it is set up in a way that is connected to the main grid, it is likely there would be a regulatory role for the CER. Currently, some of the proposals are that it will be an entirely separate entity from the electricity grid, with wind turbines directly connected to the UK. If that is the case, it is unlikely we would have any regulatory role unless the Oireachtas chooses to give us one.