Dáil debates

Wednesday, 4 February 2009

Energy Prices: Motion (Resumed)

 

7:00 pm

Photo of Mary WhiteMary White (Carlow-Kilkenny, Green Party)

The issues of economic competitiveness, which is raised day in and day out, and the reform of the energy market are at the heart of this Government's vision for economic revival and renewed competitiveness. I support my colleague, the Minister for Communications, Energy and Natural Resources, Deputy Eamon Ryan's proposed amendment and would like to address the issues concerning the debate about the energy sector and its implications for price.

It is vital this country has a medium and long term approach to the energy sector. The Minister's work in several areas demonstrates that we have a stable and focused approach towards changing the sector to make it cleaner, greener and more competitive and secure.

History tells us of the previous massive under-investment in energy infrastructure, which I believe in part explains Ireland's above average energy prices. I understand they are approximately 8% higher than other countries. It is encouraging that significant investment by semi-State companies in their futures is now forthcoming.

We also see a commitment to enhanced competition in the Irish energy market. The Minister's examples of new providers on the market are worth mentioning and include Endesa, Virian, Eirtricity and Mainstream Renewable Power. They are all hugely positive examples of competitors who are willing to invest in Ireland and show confidence in the regulatory framework.

The recognition of the need to interconnect with other energy markets is vital. The arrival in 2007 of the all-Ireland market, the expectation of a North-South interconnector by 2011, an east-west interconnector by 2012 and a future regional electricity market encompassing these islands and the north west of Europe are important developments in strengthening our security of supply and competitiveness among suppliers.

The Government's commitment to combating fuel poverty and energy efficiency are important in reducing the demand for energy in our country. The warmer homes schemes and home energy savings schemes are vital for electricity customers. The Taoiseach's announcement last night of an increase in funding in 2009 for energy efficient schemes is a testament to the Government's commitment.

I am sorry Deputy Tuffy has left because I understand the summer works scheme is back. The €426 million being spent by the Department of Social and Family Affairs on combatting fuel poverty and increased provision in last year's budget are vital components in Ireland's drive to reduce energy consumption.

Perhaps the most important aspect of the medium and long-term energy policy of the Minister is to move to renewable energy. Make no mistake, the move to a green economy is happening. I was at a wind and solar voltaic site in Collon, near County Louth a few weeks ago which powered massive mobile voltaic interconnectors to create a surplus energy generator, replacing a 25,000 a year diesel generator.

The move is happening and the supports and grants the Minister is providing to the industry must be consolidated. I urge him to create micro-generation as quickly as possible for the market for all energy generators and to bring the original pioneers of the green economy, in particular the onshore wind providers, and grower of the last decade, with him as the move to renewables goes into overdrive. We have seen great targets for offshore wind suppliers but we now need to bring the price up to encourage onshore wind development.

The issue of price is the subject of tonight's debate. The move by the regulator to extract a rebate of €300 million from the ESB was vital and welcome. I urge the regulator to be equally dynamic in his current review of options——

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