Noel Dempsey (Meath, Fianna Fail)

I am reluctant to give a figure for the ultimate cost of the interconnector before the groundwork has been done on specific routes and so on. I have heard a ballpark figure of €500 million on a number of occasions but I would not go to the wall on that. The cost could be higher or considerably lower than that when the necessary works at each end are taken into account. Until I have more detail on the specifics of the route, seabed surveys and so on, it is pure guess work.

The fact that it will be a hybrid scheme will not have affect the State, as it leaves the question of financing open. One of the reasons for the interconnector is to enhance security of supply. It will provide 500 MW, which will be available "at the flick of a switch". It will increase the opportunity for other operators to buy electricity from companies other than those in the small pool in Ireland and sell it on in the domestic market. That should help competition and consumers regarding price.

With regard to renewables, the interconnector will assist our efforts to reach targets. The major problem with wind energy is intermittency, and electricity supply is, therefore, only available 30% of the time. The fact we have effective back-up that can almost be turned on at a switch will greatly help the position with regard to the extra renewables in the system.

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