Noel Dempsey (Meath, Fianna Fail)

I thank contributors to the debate, the general tone of which I found to be constructive and positive. I thank Members for their welcome of the Bill's provisions and I welcome the opportunity to reply to those various observations. I was not available for the early part of the Second Stage discussion on 6 April and I formally thank my colleague, the Minister of State, Deputy Browne, for taking the debate. It has been a frank and open discussion and I look forward to a continued positive response during subsequent Stages of the Bill.

As Deputies indicated in their contributions, a number of the concepts in the Bill are of a technical nature. I hope the accompanying detailed explanatory memorandum was of assistance to Deputies in their consideration of the Bill and it will be helpful on Committee Stage. I welcome the overwhelming support of Deputies for sections 4 and 11 relating to safety issues and the regulation of electrical contractors and gas installers. I appreciate comments relating to the important work carried out by industry bodies such as RECI in providing for the self-regulation of electrical contractors. The Bill will considerably strengthen this area and will provide a firm and transparent legal foundation for such regulation, which all sides will welcome.

It was not long after I became the Minister for Communications, Marine and Natural Resources that I was lobbied by individuals involved in RECI and individual contractors who were concerned that regulations and objective standards on safety should be put in place. In the absence of regulation or a legal framework, it was difficult to tackle the issue of a small number of "cowboys" operating in this sector. They gave registered, good quality contractors a bad name and caused difficulties in the industry. The Bill's legal foundation for the sector's regulation will be welcomed by everyone.

I also appreciate the welcome extended by Deputies to section 6 relating to a proposed new ministerial power to issue policy directions to the CER. This is based on similar provisions in the Communications Regulation Act 2002. While it is intended to use this power sparingly, it remains a necessity. Such a measure will provide a mechanism for the political leadership mentioned by Deputy Eamon Ryan while also respecting the independent role of the regulator as mentioned by Deputy James Breen.

Crucially, the safeguard in and benefit of having this type of policy direction is the public consultation process associated with the development of such future policy directions. I also thank Deputy O'Flynn for raising this issue. It is important to have that discussion and make a decision in an open and transparent fashion.

Comments and criticisms have been aired in recent days, and over the last 12 to 18 months, when various applications were made for increases in electricity and gas charges and the Commission on Energy Regulation granted large increases to the companies concerned. Some of that criticism was based on the belief the commission was only looking at one aspect of the issue, that is, providing an economic return for the companies and trying to attract other competitors into the market. While I am not saying I agree with that criticism, it was expressed widely. People raised concerns about consumer protection, which is also a role for the regulator and one it has tried to balance with the competition elements of its remit. It is foreseeable that in future, depending on the operation of political leadership, a Government or this House might be unanimous in the view that the balance between the weighting the CER gives to issues like competitiveness as opposed to that given to consumer protection is wrong. The power provided for in section 6 of the Bill will allow the House and the Government to have a say on such matters, in an open and transparent fashion.

I wish to refer to concerns raised by various Deputies during the course of this debate, particularly those expressed by Deputies Eamon Ryan, Boyle, Durkan, O'Flynn and Coveney, many of which will be addressed by the forthcoming green paper on energy policy, which I intend to publish by the middle of this year. The general thrust of the statements made by Deputies on all sides was that there is a need to set out medium and long-term perspectives and directions for national energy policy and I strongly agree with that. It was for that reason that I set out on the route of drafting and putting in place an energy policy paper, shortly after I became Minister in the Department of Communications, Marine and Natural Resources, approximately two and a half years ago. There was not much discussion about energy policy on either side of the House at that time but energy is a critical issue and is inextricably linked to our economy and competitiveness.

I recently read a document on energy policy which was published in 1978 by a former member of this House, Mr. Desmond O' Malley. I will deal with nuclear energy later, but I noted there was also a debate about nuclear energy at that time. One of the fascinating elements of the document is how it dealt with the nuclear issue. I was surprised to note that the price tag in 1978 for a nuclear power station was £350 million, indicating that it was a very expensive way to generate power even then.

The green paper will set the debate in the context of the considerable and complex future challenges for Irish energy policy. It will take into account developments at EU level, including the recent publication of the European Commission's green paper on energy. It will also take into account the global trends. The paper will be open to people to comment upon and the whole policy development process will be finalised by the end of the year. There has been a considerable degree of discussion on various aspects of energy policy, particularly in the last 12 months and in that context, there is no need for a very long, drawn out consultation process.

With regard to renewable energy, we have spoken to various expert groups and a number of reports that have been, or are about to be, published will also inform the policy document. Deputies in the House, through the work they have done in the committees that shadow the Department, have made constructive contributions to the debate on the issue and their document will be a useful part of our deliberations.

Deputies Durkan and Broughan raised the question of the publication of the Deloitte and Touche consultancy report on the electricity sector. I intend to publish that report around the time of the release of the green paper. It is important that we have the wider energy policy document in the public domain before the specifics of the electricity document are——

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