Dáil debates

Thursday, 26 June 2008

Research Funding

Environmental Policy.

5:00 pm

Photo of Joanna TuffyJoanna Tuffy (Dublin Mid West, Labour)
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When I tabled the issue, it included the words "and the need to ensure the protection of Irish jobs", which is my purpose in raising it. I tabled this on behalf of Solas, an Irish-owned company that manufactures light bulbs. The company contacted me and numerous other Members, including the Minister for the Environment, Heritage and Local Government and the Taoiseach, because it has been excluded from the latest discussions on the future of the lighting industry. Representatives of the company wrote to the Minister in this regard. I tabled this matter last week but it was not selected for discussion, following which the Minister and Department had a change of heart and officials met Solas representatives earlier this week.

However, the Minister's approach to the phasing out of light bulbs is still a significant problem. He made this announcement last year. Solas is the only Irish company manufacturing light bulbs. It is 70 years old and it employs people in Clondalkin and Belfast. A total of 10% of its output comprises CFL bulbs. The company caters for approximately 50% of the domestic lighting market. Management and staff have serious concerns about how the proposal to phase out energy inefficient lighting is approached. They have raised concerns with the Minister, immediately writing to him when he made his announcement last December. Having written to him repeatedly over many months, he met them, but they had a difficult time securing a meeting with him. However, he has been unable to tell them the energy standards that will be imposed in January 2009. Having met him again earlier this week, they are still not sure. A ban on all bulbs of 60 watts and greater, which comprise 60% of the current market, is a possibility.

Solas and other lighting companies say it will not be possible to achieve this by January 2009. If the Minister presses ahead with this, shelves could be empty because there will not be enough light bulbs. People who have dimmer switches will be unable to use them because CFL bulbs are not adaptable to such switches and other light fittings may not be adaptable. The market could face significant difficulty and demand may be met by cheap imports, some of which will be of poor quality and could result in electrocution. Hardship will be cause to those who cannot afford to replace their light fittings or the new CFL bulbs because they are much more expensive.

All the lighting industry wants is the Minister to introduce this measure in a fair way by ensuring proper consultation in order that it can plan ahead. Companies have not been informed what are the standards. Figures are thrown out regularly but the Minister is trying to save face and do as much as possible by January 2009. He does not care about Irish jobs, the impact on pensioners or people who have to replace light fittings because they will be unable to purchase the light bulbs they need.

In addition, his proposal is illegal. Under EU law, he is not entitled to do what he says he is entitled to do. I have received correspondence from the European Commission, which states he cannot implement the ban as he proposes. As a solicitor, I know he cannot do it. However, the Minister is only interested in the public relations element of the proposal and the fact that he can say he was the first to ban traditional light bulb. He does not care about the impact of the ban. He refers to consultation but he is not consulting properly. Only when this matter was tabled on the Adjournment last week and this week did the Minister re-engage with the only Irish company manufacturing light bulbs.

I have no problem with phasing out energy inefficient light bulbs and the general consensus is that it is a worthy proposal, as long as it is implemented fairly. The EU announced such a proposal long before the Minister and it should be implemented as fairly as the EU provided for. The Union is consulting the industry and the public. It proposes phasing out light bulbs over a number of years to allow companies to adapt. A product cannot be unilaterally banned without allowing companies to adapt and purchase the machinery needed to manufacture the new product. The Minister must stop being unreasonable about this matter. He should consult properly and take people's concerns into account and do this in a way that is not illegal, according to European Commission law.

Photo of John MoloneyJohn Moloney (Laois-Offaly, Fianna Fail)
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I thank the Deputy for raising the matter. The programme for Government commits to phasing out the use of incandescent light bulbs in favour of more energy efficient alternatives. While the national climate change strategy proposed a levy on low efficiency bulbs, a more direct approach is necessary. In his carbon budget statement of 6 December 2007, the Minister for the Environment, Heritage and Local Government announced that a minimum energy efficiency standard for lighting will be introduced from 2009 and advised that this measure will deliver emissions savings of up to 700,000 tonnes per year from residential lighting alone when incandescent bulbs are fully replaced in all domestic light fittings.

As modern energy efficient lights typically use only 20% as much energy as their incandescent alternatives and last up to 15 times longer, significant savings for consumers are possible. According to the ESB, one compact fluorescent lamp could save up to €170 over the lifetime of the bulb. It has been estimated consumers could save €185 million in electricity costs per annum. From both an emissions and a cost perspective, the energy efficiency standard being developed represents a significant positive initiative for consumers and the environment.

Work on developing the proposed standard is ongoing and the Minister will announce details as soon as they are finalised. The standard will create certainty for manufacturers and suppliers about the lamps that can be supplied, and stimulate the development of alternative lighting technologies in Ireland. It will also provide the greatest assurance as to effectiveness of the desired environmental outcome, both in terms of reduced greenhouse gas emissions and in reduced energy consumption. The Minister is engaged in discussions with the lighting industry on the format and scope of the proposed standard and he will consider all the issues raised, including any impact on jobs.

Climate change presents us with an enormous challenge and the Minister is asking the lighting sector to be ambitious in moving away from old, inefficient technologies. Exciting new technologies are emerging, particularly low energy halogen and LED lamps, and their introduction to the Irish market should be expedited. The constructive engagement of the sector on the proposed standard, and the involvement of IBEC in facilitating the ongoing discussions, is very much to be welcomed.

It is the Minister's intention that the proposed standard, once finalised, will be subject to public consultation and, as part of this process, he proposes to invite submissions from relevant stakeholders. A fundamental objective of this consultation, in addition to the ongoing discussions between officials of his Department and the lighting sector in Ireland, is to ensure all the impacts of the proposed standard are identified and considered. The proposed standard should be seen as a positive step for consumers in terms of the cost of domestic lighting and increased awareness of energy use on the environment. It is also a very welcome development in national energy and climate change policy.

The Dáil adjourned at 5.20 p.m. until 2.30 p.m. on Tuesday, 1 July 2008.