Dáil debates

Thursday, 17 September 2020

6:10 pm

Photo of Michael CollinsMichael Collins (Cork South West, Independent) | Oireachtas source

I am delighted to see the Minister back in the Chamber and I wish him and his family the best.

Climate change is a key topic and I am keen to ensure our actions in the Dáil will continue the safeguarding of our livelihoods and our way of life in our Ireland. I congratulate the Minister on the recent passing of the National Oil Reserves Agency (Amendment) and Provision of Central Treasury Services Act 2020 which will establish the Climate Action Fund. I sincerely hope it will be developed properly and efficiently by the Department. I also sincerely hope the Government will not raise the tax on diesel in next month's budget. At the moment crude oil is cheap and this has helped those with trucks and working vehicles simply to survive at this time. I see an opportunity to create new industries around energy in Ireland. I will be keen to discuss with the Government how we can create quality jobs and industries in my constituency and throughout Ireland.

I wish to raise some key points about action on climate change which I have previously raised. I welcome our transition to cleaner energy sources but we must transition in a practical, sustainable and just way. Our economy and living standards must be prioritised. We have all witnessed the severe disruption Covid-19 has brought upon us. The failure of the Government to invest in our health system and our hospitals has created a security of supply issue for our healthcare. We are still trying to flatten curves due to underinvestment and bad planning in our health sector. We must ensure that vital sectors such as energy, agriculture, fisheries, health and construction are not falling into the same trap of bad planning and that the Government does not run off like headless chickens in one direction just because the optics look good in the short term.

Offshore wind may be an opportunity for constituencies like mine, Cork South-West, to create jobs and it may suit the Government to site these wind turbines in areas like the south west. However, the Government must help Irish-owned companies to get off the ground in this sector so we can build and promote Irish expertise and ownership in this area. This will eventually allow us to export expertise globally. For example, west Cork and Cork Harbour could be great locations for the assembly of offshore wind turbines. There is also a big opportunity for us to develop rural areas in this sector if it is managed correctly.

We must play the long game when it comes to our energy transition. We need to consider all of the good options for our energy supply, especially given the crisis we are in. Renewables will not solve our energy supply issues overnight. It will take many years of good planning from Government Departments to solve them. Having access to competitive energy will be a key issue for Ireland as we come out of this crisis and head into the future. As we move towards cleaner energy, the most likely, realistic solution will be a combination of renewables and natural gas. We must ensure we have access to competitive energy in the meantime as well.

A case in point is that the Brexit readiness plan put forward by the Government is a shambles when it comes to energy. It states that it is expected that the current rules for trading gas between the UK and Ireland will be the same but that the UK will no longer be bound by EU law obligations. Expectations are not exactly something we can depend on, especially with the EU-UK negotiations. There is also no mention of what might happen if the UK puts tariffs on energy exports. This could hugely affect energy pricing in Ireland and hit us and our constituents directly in the pocket. Gas is responsible for more than 50% of our energy production. As the Minister knows, the Kinsale gas field recently finished production and we now import two thirds of our gas needs from the UK. This amount is increasing as the Corrib field is in decline. In the event of a gas supply emergency in the UK, how could we ensure we had gas flowing into Ireland given the UK is under no obligation to supply? Therefore, we have a huge security of supply issue staring us in the face. Even if there is a deal on Brexit after January, we must comply with our EU obligations on energy. I want us to look for the best sources of energy for Ireland, deal or no deal. The situation is amazing because we have had a long time to prepare and we are now sitting fully exposed as far as our energy supply is concerned. What is the Government doing to mitigate these risks? I ask that the Minister improve our security of supply situation for natural gas. The Minister should consider, at the very minimum, a floating liquefied natural gas, LNG, import terminal which can guarantee our security of supply while offshore wind and renewables are developed.

As I have mentioned before, I have companies coming to me that are ready to provide solutions to our energy issues and wish to move under existing policies. What are the Minister and the Government doing to ensure the security of supply of our energy and to support my constituents in the creation of local jobs around offshore wind and LNG projects?

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