Jackie Cahill (Tipperary, Fianna Fail) | Oireachtas source

I congratulate the Minister on the success of the renewable energy support scheme, RESS 1. Having spoken to people involved in the production of community-based renewable energy, I have learned that the reviews of the process were positive. This should be acknowledged. However, I am asking today for certain changes to be made to how RESS 2 should operate to ensure we are supporting 100% community-based renewable energy projects as best we can. Such projects assist in the production of renewable energy in Ireland that is sold and used in Ireland, with the profits of sales returning to communities in Ireland. The scheme is a win-win for our economy and climate.

The RESS is an auction-based scheme that invites renewable energy projects to compete for a guaranteed price for the electricity they generate. The first of these auctions took place on 21 July last. A series of such auctions will take place until 2030 with the aim of delivering on Ireland’s renewable energy targets. RESS 1 was open to renewable-generated projects that were in receipt of a grid connection offer or were eligible to receive one under the enduring connection policy process. Other eligibility criteria involved planning permission and landowner agreements.

Under RESS 1, only 1% of the pot was reserved for community-based renewable energy providers. The other 99% was open to renewable energy produced by developers. The benefits of renewable energy produced by developers are, for the most part, exported and profits arising from its sale do not stay in Ireland. On top of this, using renewable energy in Ireland that is not produced here does not help us to meet our carbon reduction targets. Only renewable energy produced in Ireland can do this. Under RESS 1, the 1% of the pot put aside purely for community providers was further divided so half of the allocation could be applied for by community projects half-owned by developers. This was a further dilution of the very small allocation for community-based electricity producers.

I call on the Minister to increase substantially the proportion of the pot currently reserved for community providers in respect of RESS 2 auctions. I also call for the allocation to be reserved purely for community projects that are 100% owned by the community. Projects with developers involved should be restricted to the large allocation that is already available to that side of the industry. In tandem, grid capacity should be ring-fenced exclusively for community providers.

When power stations are upgraded, it will be vital that a certain proportion of the newly created capacity in the grid be reserved exclusively for community groups. Otherwise, we will have community groups producing sustainable renewable electricity supplies with little or no access to the grid. This has to change. Policies must support groups such as the ones in question. I call for these changes to be made in advance of the RESS 2 auctions. Community-based renewable energy producers need to be supported in this. They must be given a chance to compete in an auction for a greater percentage reserved exclusively for community groups that are genuinely 100% owned by the community. It is only right that policy should support the production of renewable energy produced and sold in Ireland, with profits remaining in Ireland. This is good for our environment and economy.

As a country, we are 85% dependent on fossil fuels. We have a small window of opportunity to reverse this trend and secure a better, healthier and more resilient future for the country. This means changing the ways in which we heat our homes, travel and power our country. A just transition can be aided by lending support to and promoting community projects because they produce renewable energy locally, protect our environment and provide our rural communities with a sustainable and efficient green income. Only by bringing rural Ireland along on our just transition can we truly hope to meet our carbon-reduction targets. Supporting projects such as those in question is not only the right thing to do for our shared environment but it also provides a just transition for communities in rural areas. Climate action must involve an economic opportunity for rural areas.

I ask the Minister to reconsider the increase to the public service obligation, PSO, levy. Considering the Covid environment and the extreme economic pressure on companies this year, I ask that the increase be postponed until after the pandemic. The cost base of companies has greatly increased. While I accept the mechanics behind the PSO levy and the reason for it, the increase should be re-examined and postponed considering the economic climate.

We were talking earlier today about forestry, the need for legislation to clear the logjam in forestry and the perennial objectors in the sector, who are few in number. The position is the same for wind farms. People who live a long distance from wind farms in rural areas are objecting to them. We need to examine this. Genuine objectors who live locally obviously have, and should have, the right to object but the legislation needs to be strengthened so only genuine objectors can object to wind farms. Again, they are the way of the future and we need more such projects in rural Ireland.

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