Dáil debates

Thursday, 6 April 2006

Energy (Miscellaneous Provisions) Bill 2006: Second Stage.

 

11:00 am

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)

I welcome a number of the key provisions of the Energy (Miscellaneous Provisions) Bill. The amendments to the 1999 Act in Part 2 extending the functions of CER to the all-island market are important, if belated. Sections 4, 10, 11 and 12 relating to electrical safety and the regulation of electrical contractors serve functions relating to natural gas safety, the regulation of gas installers and the introduction of gas emergency officers and gas safety officers and are useful and important legislative provisions. Likewise, sections 6 and 8, dealing with ministerial directions to CER and Government emergency powers relating to energy, are also timely in the context of the dramatic and rising importance of public energy policy in every state. Section 5, which implements Directive 2004/8/EC on combined heat and power, is another useful step to improve energy efficiency in this country.

However, there has been a long wait for this legislation and, for that reason, the extremely modest nature of the Bill is surprising. In fact, there is a strong suspicion that this legislation has been precipitated by recent threats from the European Commission regarding the failures of national governments, including Ireland's, in their energy markets. Ireland is one of the 17 countries now being processed for legal action in this regard due to the failure of the Minister, Deputy Noel Dempsey.

It is clear from the indictment by the European Commission on Tuesday that the Minister, Deputy Noel Dempsey, and his predecessors have failed to facilitate competitive markets for Irish consumers and householders. Irish energy prices remain among the highest in the EU and, despite repeated Government spin, no real options have been provided for householders in either electricity or gas.

The EU Commission believes that the three principal elements of modern market regulation and initiatives to guarantee competition are not being developed in this country. These are the extent of market opening, a real possibility of changing supplier and the emergence of new market entrants, with non-discriminatory access guaranteed by strong independent regulators. The Commission has also called for stronger consumer protection and the universal right to receive electricity. Given Ireland's poor performance so far in sustainable energy, it is no wonder the EU Commission is always extremely critical about our performance on biofuels and the use of renewable energy sources.

The response from the Government to the changing and increasingly difficult energy situation has been seriously inadequate and lacks focus. Energy legislation has been brought through the House in a haphazard and ad hoc manner. Not only did we have to wait an unacceptably long time for this updated legislation but it is also striking how we lack a coherent, overarching energy vision. Necessary energy legislation is being brought forward in a piecemeal and disjointed manner. In fact, the status of a further two Bills, the electricity Bill and the single energy market Bill, is still unclear, as is the timeframe for their return to the legislative programme. Should not one or both of these Bills also be before the House today so we can examine this important issue in a more consistent and coherent way?

Yesterday, I asked the Taoiseach on the Order of Business about the protracted and paltry Government approach to the new energy and climate era. I asked him whether the Minister, Deputy Noel Dempsey, should have introduced a comprehensive new energy Bill, incorporating the limited Bill before us, the equally long promised single electricity market Bill and the electricity Bill which was on the Order Paper last year but now appears to have disappeared.

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