Oireachtas Joint and Select Committees

Tuesday, 31 January 2023

Joint Oireachtas Committee on Climate Action

Engagement with the Commission for Regulation of Utilities

Mr. John Melvin:

Plants currently on the system are expected to exit over the period of winter 2023-24 and that will have to be adjusted for or made up. I will not give an expectation of who might win because the people building it have to decide they will be here on time and will come in, and it is their choice as to whether to bid. More than 150 MW of plant is in construction and the indications we have been given are that it will be in on time. We are engaging with the electricity TSO and the gas TSO to ensure what needs to be in place for next winter will be in place.

As for the temporary emergency generation EirGrid is procuring, it has advised it is confident that the 250 MW in Dublin will be in on time for next winter and also that the 450 MW will come in during the forthcoming winter. Perhaps between 150 MW and 180 MW is scheduled to leave, so we have to add that to our expectations or requirements. Moreover, there may be some demand growth over this year. We hope to influence that demand growth through some of the work Mr. Gannon mentioned, such as by engaging with, in particular, large energy users. Some of the tariff changes we made this year can be seen to have had some impact on the peaks in various sectors, and we will continue to engage with that. We have made a decision to facilitate the demand-side industry to better participate. The SEM committee made that decision late in 2022 and EirGrid will implement that decision. The expectation is that that will result in greater participation by demand side. A number of factors are at play.