Peter Kelly (Longford-Westmeath, Fianna Fail)

New energy ratings for buildings have been introduced. We have provided unprecedented funding for energy efficiency programmes such as the home energy saving scheme and the warmer homes scheme. I must compliment Longford Warmer Homes Limited on the outstanding job it is doing. I am sure Deputy Bannon is well aware of it. In December's budget, we extended the national insulation programme to include a €50 million national retrofit programme. This should enable 50-60,000 houses to update their insulation systems.

There are also a number of schemes aimed at encouraging energy efficiency in businesses. In December's budget, the existing tax incentive scheme for businesses purchasing energy efficient equipment was extended into three new categories. This will lower energy costs for industry, give them a cash flow boost and help them to make the right purchasing decisions in the coming year. In developing our renewable energy sources, we are positioning Ireland as a future exporter of energy.

To achieve this we have committed to an accelerated development and deployment of renewable energy technologies including offshore and onshore wind, bioenergy and ocean. In order to have an efficient and effective energy sector here, we must ensure that we have the proper infrastructure to go with it. There has been substantial investment in infrastructure by the State's energy companies. EirGrid is investing €4 billion in Grid 25 by 2025 in developing Ireland's high voltage transmission grid. The ESB is investing €22 billion to decarbonise the national energy system. Bord Gais Éireann is also substantially investing in gas networks and energy supply. To get the best results from our energy sector, we must first understand what we are dealing with. In line with this, the Government is investing €12.9 million is energy research in 2010.

To help guide our actions we have set a number of ambitious but achievable targets. Ireland has committed to sourcing 40% of its electricity needs from renewable sources by 2020. We have also set a challenging target of delivering 20% of energy efficiency savings by 2020. A higher target of 33% of has been set for the public sector. We have decided that 10% of our car fleet should be electric by 2020.

While I welcome the opportunity created by Fine Gael to discuss these important issues, there are flaws in its "New Era" strategy. Chief among these is its proposal to sell off ESB and Bord Gáis. Ireland's electricity and gas infrastructure. These are of strategic national importance and should not be privatised.

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