Mr. Ciarán Ó hÓbáin:

I refer to the two themes which are common to many of the questions. Questions were asked as to the next step in the application process and the associated timeline. Questions were asked about a number of studies that have been completed or are ongoing and how they relate to the process. I will start with those two themes and I will answer the questions as best I can.

I refer to the application process. The companies have a licensing option which gives them a first right over others to apply for an exploration licence. If they wish to exercise that right, they must do so before the end of next February. In reply to Deputy O'Mahony, three companies in different parts of the country have those licensing options. They will make their decisions independently before the end of February as to whether they wish to apply for a licence. If they wish to stay involved in the process and they wish to exercise that right, they would need to apply. The key point is that any such application and process must be supported by an environmental impact statement. The Minister has said that this process and the evaluation of that application will be underpinned by a full environmental impact assessment. The Minister has also said that the assessment cannot conclude until the findings of the further EPA research are considered. That is the first stage on the timeline, for the information of the committee.

To be clear, there is nothing in the statutory process that indicates the timeline by which that environmental impact assessment must be concluded. This is important from the perspective that no company has a right to make an application and demand a response. The application process will take the length of time it takes and a key element in that process and in the evaluation will be the findings of the further EPA research. The committee may have to wait for the next presentation to understand the timeline element. I will not pre-empt the EPA findings because in the first instance it will be scientific research and it will make conclusions. If those conclusions leave it open to a project advancing to an exploration stage, then the full evaluation of the application and the environmental impact statement and assessment process will begin. One can anticipate that the process, if it runs well and if there were no need for additional information, would last for eight or nine months but it could be more than one year. Time would need to be allowed at the conclusion of the EPA research for the company and the regulatory bodies to consider that research and then a nine to 12-month period would need to be allowed for an assessment of an application. That is the timeline involved. As for the range of studies that have been completed and those which are ongoing, they will feed into the EPA project. The aim is to conclude with a scientific-based understanding of the potential impacts of hydraulic fracturing in Ireland and for that to inform future decision making.

I will deal with some of the other questions from members. The potential environmental and social impact will be addressed through those consent processes. Deputy Colreavy referred to the exploration stage in this regard. There will be an environmental impact assessment of any application for an exploration licence and that environmental impact assessment has to take account of community issues and the environmental and social impacts. A number of consent bodies determine whether the exploration phase can go ahead. The exploration licence is a matter for the Minister, but as outlined in the presentation, a planning consent is required and also a safety permit from the Commission for Energy Regulation. As regards the role of the Oireachtas, the members will understand that role as well as anyone. In my view, the manner in which such applications must be considered is set down in the legislation by the Legislature. A point that is raised at times with regard to the discussion about unconventional gas is relevant to a point raised by Deputy Colreavy about the trade-off between the use of gas versus the use of renewable energy. It would relate to unconventional gas if unconventional gas was an acceptable way to proceed and it is also relevant to conventional offshore gas. The key point for Ireland is that there will be a continued high dependence on gas in our energy mix. There is a benefit for Ireland if that gas is indigenous gas and we can gain a financial return from it.

On the question about company figures, the Department does not comment on projections made by exploration companies involved at the early stages or in the exploration stage. The only time the company figures matter is at the point when it is making the case that it has a commercial discovery. There are often news reports, in advance of exploration drilling, of predictions by the company which are based on what might be the potential of an area. Exploration drilling is required for any confirmation and a significant level of appraisal drilling will be required before there can be a determination of the reserves with anything close to great certainty. As to the enforcement of commitments, the Department has a strong control in that any change in ownership of the authorisation-holder at an exploration phase or in a later development production phase requires the consent of the Minister. The obligations entered into by the initial party must be transferred in that process. On the question about the knowledge gap, the core aim of the EPA research is to identify the extent of that gap and to address it. I will leave that matter to be dealt with in the next presentation.