Ossian Smyth (Dún Laoghaire, Green Party) | Oireachtas source

I move: "That the Bill be now read a Second Time."

I thank the Leas-Cheann Comhairle and Deputies for the opportunity to present this Bill. Having regard to the unprecedented pressures on the energy sector, I am pleased to have the opportunity to commend the Development (Emergency Electricity Generation) Bill 2022 to the House. I shall open the debate today by setting the context for the action to be taken on foot of this Bill, which will provide for emergency measures for temporary electricity generation development to ameliorate problems in this area and to protect the security of electricity supply in this State in light of the exceptional circumstances that have arisen in the market in that regard and because of the situation in Ukraine. Although many Members will be familiar with these issues, it is important to take this opportunity to set out the complex situation we find ourselves in with regard to security of electricity supply and the wider pressures on the energy sector. I will also describe the sections of the Bill in detail, set out the background to its main provisions, and explain why those provisions are needed. My overarching message today is that, while the provisions of the Bill are part of a broader programme of actions, it is critical this legislation is passed in as short a time as possible to provide for a critical step in the process of providing for temporary electricity generation.

I, therefore, seek Members' support to achieve that. I will first discuss the generation capacity shortfall that exists, which the provisions in this Bill seek to alleviate by providing for the disapplication of existing approval processes and a new alternative application, assessment and ministerial approval process for temporary emergency generation projects that will deliver up to 450 MW for winter 2023-24. Second, I will reaffirm the urgency of this Bill in order to enable the delivery of emergency capacity to maintain a secure electricity supply for customers. Finally, I will outline the Bill itself.

On the factors affecting security of electricity supply, Deputies will appreciate that we in Ireland face additional pressures due to our geographical location, low levels of interconnection with other countries, our fossil fuel dependency and the smaller scale of the Irish market compared to many other European countries. However, the most immediate factor affecting security of electricity supply in Ireland over the coming years is the potential generation capacity shortfall that was identified in EirGrid's all-island generation capacity statement, GCS, published in September 2021. This potential capacity shortfall arises in periods of peak demand coinciding with low renewable and interconnector availability, and it arises largely due to non-delivery of previously contracted capacity, increasing electricity demand and the increasing unreliability of existing plants. This is a critical point. The State needs to react to an unprecedented situation it has been presented with and which has been unfolding over the course of the past year. This is an electricity emergency and emergency powers have already been used to address it.

The Commission for Regulation of Utilities, CRU, has statutory responsibility to monitor and take measures necessary to ensure the security of electricity supply. It is assisted in this role by EirGrid, Ireland's electricity transmission system operator, TSO. On 7 June 2022, the CRU directed EirGrid to procure, using the most expeditious means available, approximately 450 MW of additional generation capacity from winter 2023-24 to winter 2025-26 to ensure a secure electricity supply. This temporary generation capacity will be in place until more enduring capacity can be delivered through regular market auctions. This procurement process was provided for in other extraordinary legislation passed through these Houses in the summer, in the form of the EirGrid, Electricity and Turf (Amendment) Act 2022. EirGrid commenced the procurement process on foot of this legislation passing. Until such time as the proposed equipment manufacturer and the selected sites were known, it was not possible to know what time was available to secure the relevant consents in line with existing legislation. Now, as a result of the requirement for early site preparation works and the long lead-in time for the commissioning of the equipment, it is apparent that extraordinary emergency measures are required to ensure works can commence to provide for emergency generation by winter 2023-24.

The legislation before the House today will ensure the next tranche of two emergency generation projects, which will provide 450 MW of additional generation capacity, can be delivered by winter 2023-24. It is the next step in the process. Delivering the proposed legislation will ensure preparatory site works can commence as soon as possible, followed by development works over the course of 2023. While this legislation facilitates security of supply through the provision of temporary generation, which ensures there is sufficient reserve capacity on the system to enable security of supply in the peak periods when there is low wind and low interconnection available, it is important to note that this will not impede any of our plans for renewables, interconnection, batteries, demand-side response or energy efficiency. This emergency generation does not replace our long-term ambitions for renewable energy, which will continue at pace. In order to ensure the security of our electricity supply over the coming years, it is vital that this legislation be passed as expeditiously as possible. This will ensure the next tranche of two emergency generation projects can be brought forward within a timeframe that would enable preparatory site works to commence as soon as possible, followed by substantive development works over the course of 2023, allowing generation to commence in winter 2023-24.

This capacity will remain available until the necessary replacement capacity has been secured. I note that the procurement process is inexorably linked to the provisions of the EirGrid, Electricity and Turf (Amendment) Act 2022, which indicates that these projects must cease operation in 2027, with an option of a further year if required but only if such a resolution is passed by both Houses. The temporary generation will be used only when needed and will be used as a backup in addition to existing generation capacity in the electricity market.

As a result of the extremely tight timelines for delivery, pursuing the standard route through the planning system will not meet the timeframe required for these projects to be completed by winter 2023-24. Furthermore, even complying with the existing emergency provisions in the Planning Acts would not permit site works to commence in the time needed. This legislation is therefore required urgently in order to ensure an application can be made, most likely by EirGrid, for the designated developments. This will likely be in November to allow for a decision to be made in December, in order that site clearance works can commence as soon as may be possible. This is an ambitious timeline but we need to do everything in our power to facilitate the development of this emergency generation. The State will not be the barrier to progress here. We are using extraordinary measures in an unprecedented situation.

I will devote my remaining remarks to the Bill's subject matter. This Bill seeks to disapply the Planning and Development Act 2000. It clearly states that the designated development, that being the provision of up to 450 MW of emergency generation, is considered to be an exceptional case for the purposes of exempting it from the provisions of the environmental impact assessment, EIA, directive. It also provides for a new alternative application, assessment and ministerial approval process for the temporary emergency generation projects to deliver power by 2023-24. I would like to clarify that by passing this legislation, the Oireachtas is not approving any development. Rather, it is providing for a predetermination that an exceptional case exists for the purposes of Article 2(4) of the EIA directive and providing for streamlined and accelerated consenting procedures.

Many of the provisions set out in this legislation are already on the Statute Book. For example, a Minister of the Government may disapply the provisions of the Planning and Development Act by order in accordance with section 181(2)(a) of same. I have done so myself for another emergency generation project at North Wall. The Planning and Development Act also provides that an application can be made to An Bord Pleanála to exempt a development from the requirements of the EIA directive, as set out in section 181(2I) of the Act. These procedures are in and of themselves not streamlined enough for the extraordinary situation that we find ourselves in and alternative processes must be provided for. All potential existing options under conventional and emergency planning processes have been considered. They have been ruled out on the basis that none could enable delivery of the emergency capacity within the timeframe needed. This Bill is therefore required urgently in order to ensure that an application can be made and site clearance works commenced as soon as possible. We need to progress this project quickly and we need to do it now.

Finally, I will provide a section-by-section summary of the Bill. There are 12 sections in the Bill. Section 1 is a standard provision, which provides for definitions. Deputies will note the reference to An Bord Pleanála. I am providing for an independent assessment of the proposals. Section 2 provides that a specific electricity generation project of up to 450 MW of temporary emergency generation and ancillary works, intended to be located on two separate sites at Shannonbridge and Tarbert generation stations, is a designated development for the purposes of the Bill and is required for the purpose of ensuring security of electricity supply. This section also sets out that the designated development may take place on a phased basis and is not likely to have significant transboundary effects. Section 3 provides for the disapplication of the Planning and Development Act 2000. Section 4 provides that EirGrid or any other person may apply to the Minister for the Environment, Climate and Communications for approval to carry out a designated development.

Section 5 sets out that the designated development shall be exempt from the provisions of the EIA directive on the basis that the designated development is an exceptional case allowable under the directive and that the application of the directive would adversely affect the purposes of the designated development. It also provides that the Minister shall arrange for an alternative assessment to be carried out and that this assessment is carried out by An Bord Pleanála. I note that this goes further than the requirements of the directive in that it mandates that an alternative form of assessment be carried out. It also sets out that this assessment of the designated development carried out by An Bord Pleanála is co-ordinated with any appropriate assessment pursuant to the requirements of the habitats directive. Section 6 provides that an assessment of the designated development shall be carried by An Bord Pleanála for the purposes of the habitats directive in accordance with the relevant regulations, subject to modifications that the Minister may prescribe. Public consultation is mandatory where an appropriate assessment is required. It is my intention to make the information in respect of any such assessment available to the public for inspection and views.

Section 7 provides that, having considered an application and associated assessments, including any mitigation measures, the Minister may approve, approve in part, or refuse to approve the designated development. It also provides for instances where a derogation is granted for the purposes of-----

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