Margaret Conlon (Cavan-Monaghan, Fianna Fail)

I welcome the opportunity to contribute to this very important debate, one which has a huge effect on the people I represent. This Bill is the first step in expanding the functions of EirGrid, in line with the Government's energy policy framework. EirGrid's current statutory functions as transmission system operator include the operation, planning and development of the Irish electricity transmission system; the independent operation of the single electricity market in co-operation with EirGrid's Northern Ireland equivalent, NIE, and the critical task of monitoring and reporting on security of electricity supply and generation adequacy.

This Bill expands the statutory functions of EirGrid in relation to interconnection. It provides that EirGrid may construct, own and operate an interconnector subject to the grant of the appropriate licence and authorisation by the regulator. The issues of climate change and energy security are huge issues for all of us going forward. The Bill provides generally for future interconnection. Greater interconnection between member states is a key priority for the European Union to ensure the effective operation of the internal energy market. The importance of the east-west interconnector project has been formally recognised at European level and it has been designated a "project of European interest", which is the category of projects with the highest priority at EU level.

We in Ireland, as an island nation on the very west of Europe, must support the progressive development of European regional electricity markets underpinned by greater interconnection. This work is a natural progression from the development, in co-operation with the Northern Ireland authorities, of the all-island energy market.

The Department of Communications, Energy and Natural Resources, along with its UK and French counterparts, is working towards the development of a regional electricity market as part of the EU Commission's plan to develop regional energy markets. This will be underpinned by greater interconnection. As the Minister, Deputy Ryan, said, the current focus is on the delivery of the second North-South electricity interconnector and the new east-west electricity interconnector no later than 2012. This Bill is a vital measure in the delivery of the Government's energy policy. I look forward to hearing what other Members have to say about this whole area and what solutions they believe offer the best way forward.

Eirgrid is planning two major projects to facilitate cross-Border sharing of electricity — the Cavan-Tyrone 400 kV power line, the new North-South interconnector, and the Meath-Cavan 400 kV power line. While this Bill is not specifically for these two projects, it cannot be debated without analysing them as they are all part of the wider debate.

I welcome Minister's commissioning of the independent feasibility study. I had spoken to the Minister on numerous occasions about having an independent feasibility study carried out. I recognised the real need for this and considered it important that all stakeholders made submissions so that a full examination of all sides of the debate are taken into consideration. I look forward to its publication and it would be unwise and unhelpful at this stage to pre-empt its findings. Having said that, we must take into consideration the real concerns of people living in the areas which will be affected by the interconnector. The concerns of those who are worried about their future or the health of their children are genuine.

As my constituency colleague, Deputy Rory O'Hanlon, noted, fear of a health risk causes problems. If people lie awake at night worrying about what might happen, it will have an adverse effect on their mental and physical well-being. No one should experience the stress of lying in bed at night thinking about cancers or illnesses being visited upon one's children. Parents have a duty of care to their children and would not deliberately put their children at risk. Their fears must be meaningfully allayed. As Deputy Johnny Brady stated and my constituency colleague, Deputy Caoimhghín Ó Caoláin, reiterated, peace of mind is vital — there is nothing more valuable to a person.

As a Deputy from a rural, agricultural constituency, I am aware that farmers are deeply concerned about the possibility that their property will be devalued. They are also worried they will be unable to provide sites for members of their family for residential or commercial purposes. It is my understanding that planning permission will not be granted within 200 m of an overhead 400 kV line, thereby eliminating the roadside frontage suitable for planning applications. Despite this restriction, EirGrid proposes to place lines 50 m from existing dwellings while its northern counterpart proposes a distance of 60 m. If this is an all-island plan, why are conditions different, North and South? Should we not sing from the same hymn sheet?

The devaluation studies carried out in the United Kingdom in 2007 indicated that the value of detached properties less than 100 m from overhead lines was 38% lower than comparable properties. In addition, members of the farming community will face unwelcome intrusions on to their land. The nature of the drumlin landscape makes it troublesome to work the land, not to speak of constructing power lines on it. People are genuinely considering selling their property and relocating, thereby ending farming and agricultural activity. Surely we must do all in our power to encourage farmers, rather than placing impediments in their way.

People are reasonable and recognise that an interconnector is needed as part of the all-island grid required for future economic development. They want competition and cheaper electricity prices. Businesses and potential new businesses have genuine concerns about spiralling energy costs. If we are to be competitive and continue to attract industry, we need to ensure our energy costs are as competitive as those of other countries. We cannot afford to have companies relocate because we have priced ourselves out of the market causing business to lose interest in Ireland as a location for economic development. It is imperative we get this project right in order that it can set a precedent and act as a blueprint for other projects coming down the line.

On tourism, the area I represent is scenic and has a natural beauty. While we cannot boast of fine weather, we have a clean, green, unspoilt image. Our main tourist visitors are fishermen and people with a genuine interest in visiting natural, scenic landscapes. Construction of high voltage lines would negatively affect our area's tourism. Our heritage is linked to our tourism potential and is a priceless non-renewable asset which plays a vital role in ensuring we all enjoy a high quality of life. It is our duty, as caretakers of this asset, to protect it for the generations to come. We will not be thanked if we destroy the special character and nature of a unique landscape in the name of progress.

The meetings I attended in my constituency were the largest gatherings of people I have witnessed in public forums. Those attending were genuinely worried about their communities. They were not professional protestors or rent-a-crowds but people forced into action by a real threat who conducted their business in a professional and business-like manner. They are committed people who have spent endless hours in a voluntary capacity researching this issue and examining solutions, for which I commend them. I regret that EirGrid did not consult them in a meaningful manner. This aspect of the process must be rectified with immediate effect.

In all urban areas where space is at a premium and land is very expensive all cables are placed underground. While the cost of this project in the initial stages may be high, legal challenges and a lack of co-operation could add to the cost and delay the project for years. In the long run, undergrounding these cables will generate cost savings, for example, by reducing our carbon footprint by 3% in accordance with the Kyoto Protocol. This step would assist our efforts to reduce our carbon footprint and enable us to be viewed as a world leader in this area.

I look forward to the publication of the study. We can have economic progress but it must not be at any cost. We need to consider the value we place on our children, land, heritage and environment. I hope we can progress in a spirit of co-operation and with meaningful dialogue. I also hope the fears and concerns of the communities in question are treated with the seriousness they deserve. We need to be a competitive and attractive location for industry to further enhance and develop the economy. The Bill will facilitate further economic progress and I am pleased to support it.

Deputy John Cregan: I welcome this important legislation and compliment EirGrid on its work since its establishment as a State body. As Chairman of the Committee on Communications, Energy and Natural Resources, I recently took the opportunity to visit the company's premises with committee members. I acknowledge the hospitality and welcome we received from EirGrid. The valuable briefing we received will stand members of the committee in good stead in the future.

I commend the Minister on the work he is doing and thank him for his excellent co-operation with the joint committee, which he frequently consults and informs. It is important that the Minister and his office have a good working relationship with committee members. While I did not come to the House to throw buíochas at the Minister, it is important to recognise this excellent relationship when I have an opportunity to speak in the House on legislation, which comes within his remit and that of the Committee on Communications, Energy and Natural Resources.

Thanks to sound Government policies in recent years, the economy is booming. We must be in a position to guarantee electricity supply to industry and domestic users throughout the country.

I will discuss briefly the main provisions. The Bill will expand the functions of EirGrid, the licensed electricity transmission systems operator, to include the construction, ownership and operation of an interconnector, subject to the granting of relevant licences and authorisations by the Commission for Energy Regulation, the energy regulator for gas and electricity. It will provide in primary legislation, for subsidiaries of EirGrid, for an increase in the amount of money EirGrid may borrow and for its total capital expenditure. Consequently, it will also amend the Electricity Regulation Act 1999 in respect of interconnectors.

I will refer briefly to the most important sections of the Bill. Section 2 sets out the functions of EirGrid in relation to the interconnector and provides that the company may construct an interconnector subject to the authorisation of the Commission for Energy Regulation. It may also transport electricity across and maintain an interconnector, subject to licence. The section also provides that EirGrid may own an interconnector and may not lease, sell or dispose of the interconnector without the consent of the Minister for Communications, Energy and Natural Resources, with the approval of the Minister for Finance. The company, in performing its duties under the legislation, may also carry out additional activities.

There are many other important sections to which I will not refer. I compliment all involved on the progress to date with the provision of this east-west interconnector. Much reference has been made during this debate to the North-South interconnector with which I am familiar because we have had much deliberation in the committee on that issue. I listened to the concerns of the lobby groups which united in that part of the country to request that this be done underground rather than overhead. I again welcome, as other speakers have, the fact that the Minister in his wisdom has agreed to appoint international consultants to examine doing so. I understand that the Governments of Norway and Sweden have recently taken decisions and signed an agreement whereby all future power lines will be put underground and not overhead. I came across that recently and it provides food for thought.

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