Oireachtas Joint and Select Committees

Tuesday, 29 March 2022

Joint Oireachtas Committee on Climate Action

Energy Challenges: Discussion

Photo of Lynn BoylanLynn Boylan (Sinn Fein)
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I thank the witnesses. Most of my questions are for the CRU. The first concerns EU non-compliance. The only reference on the CRU website to Brexit is that trade will be unaffected and gas will continue to flow. Has the EU made contact with the CRU regarding non-compliance on energy security?

On the response the CRU sent to the committee on the Energy Charter Treaty, section 9 of the Electricity Regulation Act states the CRU should advise the Minister of the impact of electricity generation on international agreements. However, the response to the committee stated it was the Minister's responsibility and the CRU would continue to engage in dialogue. Has the CRU advised the Minister on the energy charter treaty or has the Minister sought that advice?

My next question concerns the costs of renewable energy in Ireland, which we know are the highest in the EU. What measures has the CRU taken to reduce the cost of developing renewable energy in Ireland over the past five years? I understand approximately 31.8% of a bill is network charges. We know grid connection charges are a complete outlier when compared with those across the EU. What is the CRU doing to address those costs?

EirGrid representatives came before the committee last week. They seemed to think the auction would bring down the price, which is hard to understand given the cost of steel is going up and is just one element that will affect costs or what will be factored into those auctions. Commercial rates have risen by 200% to 300% for wind farms compared with fossil fuel farms. It is hard to see how auctions will reduce costs. What is the CRU doing to bring down the costs of renewable energy, which will impact on what households pay for electricity?