Dáil debates
Wednesday, 27 September 2006
National Oil Reserves Agency Bill 2006: Second Stage (Resumed)
6:00 pm
Seán Haughey (Dublin North Central, Fianna Fail)
The central concern of this Bill is to ensure the future security of Ireland's oil supply. Contained in it are actions and precautions that are necessary to take at this time due to Ireland's over-reliance on imported fossil fuels. I hope such precautions will be negated in the future by the maturing of our current energy policies.
Ireland now consumes at least 50% more oil per capita than the EU average, which is simply not sustainable. This Government is working very hard to address this over-reliance and Departments are working closely together in developing a cohesive and joined-up strategy to take a new direction involving the full exploitation of our natural resources. Not only is this necessary, given that oil is a finite resource to which we have no direct access, but the benefits of a lasting and workable renewable energy policy are extensive, economically and environmentally.
Geographically, Ireland holds a unique position in Europe. It means that we are blessed with one of the largest wind resources in Europe and one of the highest wave energy levels in the world. Our coastline has the potential to provide approximately twice as much electricity as we currently use. Despite this impressive potential, approximately 95% of the energy consumed by this country is fossil-fuel based and we are debating legislation concerning the security of supply of this fuel, which is costly in terms of our pockets and the environment.
Current global circumstances have once again highlighted worldwide energy consumption and the precariousness of the oil market. Our neighbours in Britain have been considering their future energy supply and during the summer their Government revealed that this would include the construction of further nuclear stations. Around the same time, in July, I secured legislative assurance, in the form of an amendment to the Planning and Development (Strategic Infrastructure) Bill, that power from nuclear sources can never be considered as an option in Ireland. This amendment ensured a nuclear-free Ireland and our colleagues in the North support this aim.
Sadly, however, Ireland's proximity to Britain and the British Government's stated preference for nuclear energy mean we are not free of the nuclear threat. The implications for Ireland of a UK nuclear programme could be pretty horrific. It has been estimated that should an accident occur at the Wylfa nuclear power plant on Anglesey, more than 2 million Irish people could face compulsory resettlement. This is an unimaginable scenario, but its possibility must be recognised and faced. Radiation does not respect international borders. We need to maintain our pressure on the relevant bodies and continue to pursue every avenue open to us to ensure our safety against overseas nuclear threats.
In the meantime, we can continue our progress towards renewable energy sources and set an example. We have obligations under the Kyoto Protocol and this is relevant to today's proceedings, as previous speakers have outlined.
The transport sector is the largest consumer of energy in the country. In addition, it is growing at the fastest rate. We absolutely must halt and reverse this trend if we are to have any success under the Kyoto Protocol.
There is a solution in biofuels, which have neither the economic nor environmental drawbacks of oil, and I am pleased to be able to say action is well under way in terms of their adoption. In budget 2006, the Minister for Finance made €200 million available for the development of the biofuel market. This was an extremely productive contribution to what we are trying to achieve in this respect. A market needs to be nurtured to encourage the use of biofuels and this is a healthy start. I look forward to further measures being incorporated in the forthcoming budget.
In May 2006, Dublin Bus became the first public transport company to incorporate the use of biofuels into its operations. That came about in the wake of a review by Dublin Bus of the viability of their use in view of rising fuel costs. Last year, fuel cost 40% more than in 2004. Trying to absorb such rises when a suitable cheaper alternative is available is bad business. A pilot scheme is ongoing involving the use of biofuels for a fleet of tour buses. Those run on such fuel proudly carry a badge to confirm it. I look forward to the report on the pilot scheme being published and very much hope it results in extension of the use of biofuels to the full Dublin Bus fleet. A successful pilot scheme and subsequent extension of the project by a high profile company such as Dublin Bus would boost the credibility of biofuels as a workable and reliable resource.
That is just one initiative being undertaken regarding use of renewable energy resources. The Government has sponsored plenty more, including the greener homes scheme, which is worth €27 million in grants to individual householders who install renewable technologies, including wood-pellet stoves and boilers, solar panels and geothermal heat pumps. This week, the Minister for Communications, Marine and Natural Resources, Deputy Noel Dempsey, who is present, will unveil the Power of One campaign, highlighting what individuals across the country can do to reduce wasteful energy consumption. People are becoming ever more aware of the effects of a change in their own energy habits, and collectively their efforts will make a difference.
Those are the challenges that face us regarding energy consumption, but it is clear to everyone that the solutions are readily available to us, and I am confident the Government is developing and pursuing the best possible policies for the country. I am happy to support the Bill in view of the current situation, but I firmly believe the renewable energy crusade must be sustained and effectively implemented to ensure this Bill is a short-term contingency.
I am conscious that Deputy Fiona O'Malley will speak after me in this debate, and I congratulate the committee on which she sits on the Oireachtas energy report published earlier this year. It provoked a very useful debate. The Deputy has different views on nuclear power from me, and that was a topic of discussion at the press launch and in subsequent media debate. However, debate is what we need. Action must be taken, and I am confident the Government is pursuing appropriate policies. I wish it well in its endeavours.
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