Eamon Ryan (Dublin South, Green Party)

The Minister of State may talk about further expected reductions and net present value gains in the future but a mechanism that causes a 3% price rise in 2008, on top of a rise of over 20% in each of the last two years, will not be flavour of the month with IBEC or any organisation interested in economic policy development in the country. These rises reflect the extent to which our prices are above the European average. Will the Minister of State clarify the reason for the price rise? I presume it is related to the fact that electricity generators will be required to cover the significant costs of installing machinery and computer and other trading equipment to bid and settle arrangements on the single electricity market. I am not calling for the provision of grant aid or direct financial support but for an examination of what can be done to avert a short-term price increase. Are options available in the market mechanism to ease the cost benefit analysis? A 3% increase in price could undermine public support for such a move, which is, nevertheless, a step in the right direction that may force other welcome changes in our electricity and energy policies. As I stated, we could learn from our Northern brethren in that case. I look forward to such a development.

See this speech in context