Mr. Paddy Phelan:

Senator Boylan spoke about the cost of renewables. In my role with the Irish Energy Storage Association in the south-eastern three counties I have worked with a number of the RESS 1 community projects. While we should not reduce the standard required, the cost of navigating through the enduring grid connection process and the costs that are lumped up on projects to achieve grid connection are very high. Although this just reflects a moment of time, I recently got back some costings in respect of one of those RESS 1 community projects. The cost was inflated by over 168% on the majority or average of those connection costs.

We find ourselves with the war in Ukraine and at the back end of the Covid pandemic. There are significant immediate challenges which will sustain for four or five years while it is anticipated that those RESS 1 projects will be built out and may also have an impact on the RESS 2 auctions coming in May. High connection costs and the cost of financing are resulting in higher auction costs. We should not undervalue the very valuable tool within the RESS system of the €2 per megawatt benefit fund that is provided. That is a really important tool in integrating renewables into onshore and offshore-----