Alex White (Dublin South, Labour) | Oireachtas source

The overarching objective of the Government's energy policy is to ensure secure and sustainable supplies of competitively priced energy to all consumers. Security of energy supply is crucial to every society and economy. A well-balanced fuel mix that provides reliable energy, minimises costs and protects against supply disruptions and price volatility is essential to Irish consumers and businesses. The Sustainable Energy Authority of Ireland, SEAI, publication, Energy in Ireland 1990-2013, noted that oil and gas are a critical component of our energy mix, providing 76% of primary energy requirement in 2013. While Ireland has made considerable progress with regard to the use of renewable energy, it is the case that fossil fuels will continue to provide the largest share of the energy mix well into the future.

The 2009 EU renewable energy directive set Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. To meet this target, Ireland is committed to meeting 40% of electricity demand, 12% of its heat and 10% of its transport from renewable sources. Figures for 2013 show that 20.9% of electricity demand was met from renewables. Oil price fluctuations will not impact on our 2020 renewable electricity commitment.

Ireland is regarded as a stable and favourable investment environment for renewable energy production supported by a variety of policy initiatives, including the renewable energy feed-in-tariff, REFIT, scheme, the employment investment incentive scheme and an accelerated capital allowance scheme. It is the case that the development of renewable energy in Ireland is lowering our exposure to the volatile fossil fuel imports market in the long run. The existing feed-in tariff reflected in the public service obligation, PSO, levy is a very cost-effective tool to support this development, as outlined in a report published by the Council of European Energy Regulators this month.

I am continuing to develop policy and options aimed at increasing our security of supply, addressing our dependence on imported fossil fuels and achieving a more secure energy mix, while capitalising on indigenous renewable and conventional energy sources. My Department continues to refine various policy options for my consideration and I intend to publish, as the Deputy knows, a definitive energy policy in September.

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