Mary White (Carlow-Kilkenny, Green Party)

I welcome that Fine Gael has tabled a motion highlighting issues of security of energy supply and I thank all the contributors. I commend the Government amendment, which I believe sets out the significant achievements already made in the area, and the Government's ambition to remove Ireland's dependence on fossil fuels.

Government energy policy provides a comprehensive and integrated approach to security of energy supply. It is inextricably linked to each of the three pillars underpinning policy in this area - sustainability, competitiveness and of course security. With this in mind, I would like to touch on the various energy policy strands, contributing to a better security of supply highlighted in the Government's amendment. As the Minister, Deputy Ryan, stated in the House last night, the first emphasis must be on radically improving the efficiency with which we use energy. The Government is providing financial support of almost €100 million to a range of energy efficiency initiatives from which householders and businesses are now seeing real results.

The critical goal for Ireland in improving energy security is to diversify the sources of our supply. This can be done in a number of ways, and I will come to the actions the Government is taking in this regard to conventional energy sources. However, to be truly sustainable and independent, we must maintain the momentum in renewable energy roll-out. While, as the Minister, Deputy Ryan, acknowledged, there is complexity involved, there is also consensus that it is the way forward.

We must work together to ensure the delivery of local solutions to achieve the grid development so vital to realising the potential of renewable energy, and to delivering economic growth and secure jobs. The Government is also to be commended on the scale and ambition of the investment strategies brought forward by State energy companies such as EirGrid, ESB and Bord Gáis. Despite the economic downturn, we cannot lose ground now and risk potential supply shortfalls and price surges when growth returns.

We all acknowledge there is no room for complacency given our almost total reliance on imported gas. However, our interconnection is with a mature, stable and liquid UK gas market, and we must therefore ensure that our action in this area is proportionate. We must also ensure that action is in line with EU policy on both gas security and the Internal Market. That is why the Government welcomes market interest in a number of commercial gas storage projects on the island and intends bringing forward legislation to provide the necessary regulatory regime for gas storage. That is also why the Government will be supporting forthcoming EU legislation on gas security, which will see a significant stride forward in measures to enhance the energy security of the EU. What is good for EU energy security is good for Ireland.

To highlight again the importance of diversity in our energy supply sources, the Government is to be commended on the progress being made on the east-west interconnector with Great Britain. This vital project has received €110 million in EU funding and is on target to be completed in 2012. The increase in resources available to the National Oil Reserves Agency to increase the oil reserves held on this island is very welcome. Within three years we will have increased the levels of stock held here by 25%.

It is a fundamental responsibility of the Government to ensure that the relevant bodies fulfil their responsibilities in the area of emergency planning and response. As well as the robust plans in place in the gas, electricity and oil sectors, we will also be looking at the potential of strategic oil stocks to provide additional secondary fuelling capacity for gas-fired generation.

It is of course a primary responsibility of Government to ensure that the appropriate legislative framework is in place for all the relevant policy areas. To that end, as already signalled in this debate, we will be working over the coming months to develop legislation for gas storage.

Tomorrow, we will debate the Second Stage of the Energy (Biofuel Obligation and Miscellaneous Provisions) Bill 2010. The Minister hopes to introduce an amendment on Committee Stage of that Bill that will place a levy upon electricity generators. This will recover a substantial proportion of the gain made by them arising from the Single Electricity Market rule, which requires electricity generators to pass on the full opportunity cost of carbon into the wholesale cost of electricity.

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