Darragh O'Brien (Dublin Fingal East, Fianna Fail)

I propose to take Questions Nos. 109 and 138 together.

Ireland's energy policy is focused on achieving a sustainable, secure and competitive energy system with key elements centred around reducing greenhouse gas emissions, increasing renewable energy generation - 40% of our energy was generated through renewables last year - as well as improving energy efficiency and ensuring energy security. Members will see from previous questions how difficult this can be in certain areas with the politicising of projects that will hinder our delivery of much-needed grid infrastructure.

The new programme for Government outlines the Government's position regarding energy, housing, FDI policy and many other goals and reflects the balance between the various needs, opportunities and challenges facing the country. It also states our ambition to achieve energy independence by harnessing our untapped renewable energy resources and recognises that increased and unprecedented investment and delivery in our grid and expanding our energy generation capacity are priorities. Three main priorities in the NDP review are energy, housing and water. Price review 6 later this year will see a multiple of price review 5 and the investment in our grid because we need to expand our grid capacity for generation and distribution to meet the needs we have.

Transitioning to a renewables-led system remains a key priority to ensure Ireland’s energy security and economic competitiveness. Energy security underpins the delivery of essential infrastructure, including new housing developments and digital services. Digital services are critically important for the future economic development of this country. It is not a question of one or the other.

The CRU will bring forward the large energy users document that went out to public consultation, particularly with regard to PR6. When it does, we will see a plan-led approach not only to grid development, but also to energy delivery for all of our business sectors, the digital sector and housing. It will take into account the need for 50,000 homes per year over the period of PR6 as well as the additional energy required to meet the targets of nearly 1 million EV charging points.

The system operators, EirGrid and ESB Networks, assess the expected future demand on the system, for example, economic and population growth, housing, EVs and heat pumps, as part of the network development plans. These plans form a vital part in the system operator's submission to the next price review. This sets out the level of investment required for the next five years, which will probably be in the region of €13.4 billion to €15 billion. If we compare that to previous investment of approximately €5 billion, it is unprecedented but it is needed.

The CRU is currently reviewing the proposals from ESB Networks and EirGrid for the requirements for investment. Submissions made to the CRU propose a significant uplift in the investment, which will come to pass, in distribution and transmission to support the requirements of a growing population and economy. The exact level will form part of the CRU's final determination. The programme for Government seeks to address the challenges between balancing energy needs by committing to scale up investment in critical infrastructure and our electricity grid. It will be advantageous for customers and enhance the data centre and digital economy footprint to support continued FDI investment.

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