Noel Dempsey (Meath, Fianna Fail)

It will, generally, yes. Obviously it will set the context but it is extremely important that the wider energy policy is put in place and the framework is outlined. Within that framework, one important element is the electricity sector and the structures needed to meet the energy needs of the country into the future.

One of the important functions of the Energy (Miscellaneous Provisions) Bill is contained in section 3, which most Deputies have welcomed, and relates to the development of an all-island energy market. The single electricity market is scheduled to go live by 1 July 2007. That is obviously a critical milestone and intensive preparation has been under way for some time now, both North and South. I thank everybody involved in that work in both Departments, the regulators and others. It is extremely important, technical work and it is vital that we get it absolutely right.

In light of comments made by Deputies Broughan, Connolly and Kelly, I advise the House that work on the single electricity market is now well advanced, on a joint basis with our Northern colleagues. The successful delivery of the single electricity market by July 2007 presents an enormously challenging timeframe for all concerned and I wish again to acknowledge the work of the all-island energy market joint steering group, its official title, which consists of senior officials in the Departments and the two regulators, who are driving it forward. I am sure everybody in the House will commend them for the work they have done to date and will agree that such a co-operative effort is a good model for North-South co-operation. I firmly intend, notwithstanding any legal difficulties, to have the final text of that Bill published before the summer recess.

In response to comments made by Deputy Eamon Ryan and Deputy Coveney on section 7 of the Bill, I emphasise that security of energy supply remains the key imperative for Ireland and the European Union. The relatively small size of the Irish electricity market underlines the need for greater interconnection as a means of enhancing security of supply. It also underlines the importance of promoting competition and integrating the Irish electricity market into regional and wider European markets.

In that context, it is very important we refer to the prospects of the east-west electricity interconnector, as a number of Deputies did, delivery of which remains a key priority for the Government. The date consistently mentioned is 2011, which remains a key date for us. I will shortly bring proposals to Government on progressing that strategically vital infrastructure. There is now a willingness and interest in delivering it quickly for a host of reasons. Security of supply is important, and if we are to develop our renewables significantly, especially intermittent renewables such as wind energy, it is vital that we have an interconnector to assist in that.

A number of Deputies, namely, Deputies Broughan, Eamon Ryan, Catherine Murphy, Coveney, Cassidy, Neville and Fiona O'Malley, raised Ireland's potential for the exploitation of wind energy. I agree with the Deputies, particularly Deputy Coveney who remarked that to meet our collective ambitions for enhanced use of wind resources, the necessary infrastructure must be in situ. We mentioned the interconnector, which is part of that. Work to ensure the infrastructure is in situ is already under way.

I refer Deputies to the recent statement by the national grid which clearly indicated that we have doubled our renewable generating capacity over the past two years with 846 MW of capacity now fully connected to our electricity system. That is a significant increase over the past 12 months. We have more than 50 individual wind farms with 574 MW of wind capacity connected to the grid and a further 630 MW is fully consented with signed connection agreements. With all of that, we are well on our way to achieving our 2010 renewable electricity targets.

In the recent past I heard a Deputy, who is not present in the House, stating that is not ambitious enough and we should aim higher, and I agree. However, 12 months ago the same Deputy told us that we would not achieve the target. Now that he knows we will achieve and probably exceed the target, he immediately states we are not ambitious enough.

The ability to reach those short-term targets is welcome. However, I do not intend to limit our ambition to this and an additional 1,300 MW of wind projects was released into the connection process in recent weeks. That clearly underpins our commitment to developing this area as quickly as possible. People seem to think we could have an entire electricity sector based on wind power.

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