Deirdre Clune (Cork South Central, Fine Gael)
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Question 60: To ask the Minister for Communications, Energy and Natural Resources the reason only €960,000 was spent on the energy RTDI programme in 2007; the procedures that will be in place to report on the outcomes of projects funded out of the increased funding announced for this area in 2008; if he will provide a detailed breakdown of the allocation to ocean energy, including the amounts of funding to be allocated to wave energy and tidal energy; and if he will make a statement on the matter. [35425/07]

Eamon Ryan (Dublin South, Green Party)
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The main focus of expenditure to date in the energy RTDI programme has been the Charles Parsons awards. At the end of 2006, €7.9 million was paid out under the awards to the recipient projects for 2007, 2008 and 2009. The next tranche of funds under the Charles Parsons awards falls due in 2010. Payment will be dependent on the fulfilment of all conditions in the respective contracts with the third level institutions concerned. These include satisfactory progress reports each year on outputs and outcomes. I expect the Energy Research Council to submit the energy research strategy to me in early 2008, which will advise on priority research areas up to 2013.

The decision was taken in the autumn to redeploy 2007 energy RTDI funding to meet exponential demand under Sustainable Energy Ireland's programmes this year. This reflected in particular the success of SEI grant-aided schemes for renewable energy in homes and represented optimal use of the funds available under the research subhead. In the event, expenditure under the energy RTDI subhead is estimated at €515,000 to year end.

As announced on budget day, just over €13 million has been provided for energy RTDI in 2008, which includes significant new funding of €5.3 million for ocean energy research. The Government is committed to a significant investment programme to make Ireland a world leader in ocean energy. From 2008, targeted funding for research and development in ocean energy will help us to reach our ambitious target of 75 megawatts by 2012 and at least 500 megawatts by 2020. A fully integrated approach to ocean energy development will be underpinned by the establishment of the national ocean energy unit next year.

Simon Coveney (Cork South Central, Fine Gael)
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My understanding from the last time we discussed the RTDI programme was that it was being wound down. When €6.2 million was reallocated from the energy RTDI programme to the greener homes scheme, with which I did not have a major problem due to the explanation given at the time, I understood this was because most of the research funding in the energy area was to come through Science Foundation Ireland in the future. Less than €1 million was spent last year on the energy RTDI programme, which is why I am surprised to see an allocation this year of €13.2 million.

The Minister was very critical when in Opposition of the Government spending significant amounts of money on research and development without having the necessary structures in place to measure the performance and results of that research. Given that he is clearly planning to channel new funds through the RTDI programme, what structure has he put in place to measure progress and results in terms of research? We all accept research and development is necessary, particularly in the energy area, so we can try to bring ocean energy, whether wave or tidal, to a commercial stage as soon as possible. What measurement criteria are in place to ensure taxpayers' money is being efficiently and well spent?

Eamon Ryan (Dublin South, Green Party)
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The Deputy is correct in that there was a significant change in the programme for Government so that Science Foundation Ireland is due to take a much larger role and to build capability in the basic energy research area. There are additional new areas where I want to see research, perhaps not at a commercial level, as that would be more a matter for Enterprise Ireland, but at a level above basic level research. A key area in this regard is that of ocean energy research.

This is a multi-annual programme and therefore it is not necessarily for investment in 2008 or with a view to achieving immediate results. It is part of a four-phase programme which began in 2005 and will deal with the development of ocean energy from 2008 to 2010. This is moving to pre-commercial grid connectivity, which is where our spending will be concentrated with a view to moving ever closer to commercial application. The return we will see on this may not be delivered in terms of actual electricity produced until 2012 or later.

We are overseeing a multi-annual programme whereby we must invest now for the future. There are a number of additional programmes which I am looking to support and launch in the new year, many of which will come under the auspices of SEI and which may involve research in the construction or electricity networking and metering areas. These do not necessarily have immediate commercial application but involve research which seeks to push out new technologies in innovative ways. It is this range of different programmes that I want to help introduce with this budget.

Ocean energy is an area where we must further scale up from the level of investment we are considering here. This is just a first stage and it will take time to get the contracts and materials in place to spend some of the money available here. It will be a multi-annual programme which will require greater resources in following years as the level of investments that will be made will be very significant.