Oireachtas Joint and Select Committees

Tuesday, 30 August 2022

Joint Oireachtas Committee on Climate Action

Energy Supply and Security: Discussion

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party) | Oireachtas source

As I have said, the focus here has been on supply issues and the very real issues in respect of generation capacity, our auction system and so on. However, we could not meet here today without recognising that the challenge facing our people, a challenge which is absolutely beyond compare, is the high price of energy. That is separate and unrelated. It is related to the war in Ukraine. That is the source and cause of the problem. That is why gas market prices are now at 14 times their historical average. We could not sit here discussing issues of energy security and energy policy without recognising that.

The solutions to this will not be easy. As we have said over the last year, we will not be able to cushion every blow. However, there will be social welfare measures and other budgetary measures. The "Reduce Your Use" campaign is another measure. It is important that we give our people help, including direct help with insulation, solar panels and a variety of other measures. It is also important to help them reduce their use and it is important that those 900,000 homes with smart meters, a figure that will reach 1 million by the end of the year, are clever in tapping into cheaper tariffs. That is one of the real advantages. Time-of-use tariffs are a practical way to solve problems with bills because the problem of bills, which is beyond compare, is the biggest problem facing not just this Government, but every government in Europe. We have to focus on that and to be honest about it. We have to articulate it and understand what is happening. Included in that will be going to the European Council next week but to be upfront and honest about it, I do not expect a miracle cure to come out of that meeting because the gas price is where it is. I make no apology for broadening this out to look at that issue if I can.

With regard to data centres, in fairness, from my recollection of the last two years since coming into government, EirGrid came to me early on, in the summer of 2020, and said there was a real problem. If I recall correctly, we pretty much stopped committing to any new connections in September 2020. However, as a State, if we had made a decision prior to that and offered a connection, we did not revoke that offer. In general and where we can, as a State, we do not go back on our word.

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