Dáil debates

Thursday, 6 February 2014

Topical Issue Debate

Renewable Energy Exports

4:45 pm

Photo of Jack WallJack Wall (Kildare South, Labour)
Link to this: Individually | In context | Oireachtas source

I thank the Ceann Comhairle and the Minister for taking this Topical Issue. I ask the Minister to report to the House on the progress made on an inter-governmental agreement that will be necessary to allow for the development of trade in green energy with Great Britain and-or the European mainland. Such an agreement must be put in place to ensure that this project can proceed.

Given media reports and various comments made in the House of Commons, it seems that there are widely differing views on the issue of energy generation in the United Kingdom including support for fracking, nuclear energy as well as possible agreements with other EU countries, such as France. In that context, how realistic is it to believe that we will reach an agreement with the United Kingdom on this matter? Are negotiations still progressing and if so, at what pace? Are there deadlines to be met in this regard and if so, what are they? Are the negotiations dependent on what is happening here? There are meetings taking place all over the country regarding both EirGrid and the development of wind farms. People are calling for a review of the planning guidelines, variations to county development plans and so forth. They are asking when planning applications will be submitted.

Other than the normal planning procedures, as outlined by the Minister of State at the Department of the Environment, Community and Local Government, will public consultations take place regarding new wind farms? Will they be subject to environmental impact assessments? Can the Minister confirm that such developments will be in full compliance with the Aarhus Convention? Plans are afoot to develop ten wind farms here, 20 there, another five down the road and communities are absolutely terrified of what is going on. I ask the Minister to confirm that wind farm projects which will develop energy for export will be confined to State-owned lands, either those belonging to Coillte or Bord na Móna. If we could have that assurance, it would alleviate some of the concerns of so many local communities. Bord na Móna announced its proposals recently and referred to having a partner to develop those proposals. Immediately, concerns were raised regarding who the potential partners might be and how they might be selected. If agencies such as Coillte and Bord na Móna are involved in such projects, will cost-benefit analyses and environmental impact assessments be carried out?

Are there any EU directives governing such projects? Is there any EU funding available to advance them and if so, is it the Department of Communications, Energy and Natural Resources which would apply for such funding? Would such funding be dependent on adhering to planning regulations determined by the EU or would An Bord Pleanála be the relevant authority in that regard?

Media reports about companies interested in developing such projects have referred to the cabling being placed underground. Is this the case? Would such cabling be provided by the suppliers, that is, the wind farms, direct to the United Kingdom or would substations such as Dunnestown in Kilcullen be used? What part does the EirGrid Grid 25 project have to play in all of this? We are continuously being told that it has no part to play but reports consistently state that EirGrid was established because of these wind farm proposals. What is the truth in this case? I hope the Minister will report to the House on the role of EirGrid in this regard. I also ask him to update us on the review body to be chaired by Ms Justice Catherine McGuinness. Will the Minister also explain the difference between the wind farm export project and interconnectivity? Does interconnectivity only refer to connection to mainland Europe and if so, are there any proposals in this regard?

The Minister is aware of the concerns raised by many Deputies and the many groups he has met right across the country. A total of 35,000 submissions were made to EirGrid and as many again will be made if submissions are sought on wind farms. The concerns being raised relate to the protection of communities, the environment, family homes and local industry. There is a huge problem in my area and the bloodstock industry is tormented and annoyed by the proposals. Its representatives came to the House last week to meet with my colleague, Deputy Stagg, and we have been to many meetings in the constituency. The points I raise have been made at the countless meetings that take place. I urge the Minister to respond to the questions asked and to shed some light on the issues raised.

4:55 pm

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
Link to this: Individually | In context | Oireachtas source

I apologise for being late into the House.

I am grateful to Deputy Wall for giving me the opportunity to comment in the House on the possibility of a wind export project between this country and Britain. Because of the controversy surrounding the necessary build-out of the grid to meet our own domestic energy goals, the entirely separate wind export project is frequently misrepresented. The wind export project has also become confused, as Deputy Wall has said, with interconnectivity and with the inevitable thrust of EU policy towards greater integration of the energy market. The days of the island energy market are over, and interconnectivity works both ways. Interconnectivity has happened, is happening and will happen whether the contemplated export project gets off the ground or not. The need to have a modern transmission system that is fit for purpose will not go away if the wind project does not get off the ground.

With regard to export markets, the House will know that in January 2013 the UK Secretary of State for Energy and Climate Change, Ed Davey, and I signed a memorandum of understanding on energy co-operation. This entails a consideration of how Irish renewable energy resources, onshore and offshore, might be developed to the mutual benefit of Ireland and the UK, and a decision as to whether it is beneficial for both countries to enter into an intergovernmental agreement, IGA, on renewable energy trading.

The work programme on an IGA, which is under way since last year, includes economic analysis, policy and regulatory questions and grid issues. A wide ranging and thorough cost-benefit analysis is nearing completion. As I have said many times, for Ireland to enter into any intergovernmental agreement there would have to be clear, realisable and significant benefits accruing to the country. Any potential rewards would have to outweigh all potential risks. The foreseen benefits would need to include investment, jobs and growth. Local authorities would have to benefit from rates inflows. Local communities would have to benefit from appropriate community gain proposals. Ireland Inc. would have to benefit from appropriate returns to the Exchequer and infrastructure to underpin economic and social development. Subject to the ongoing cost-benefit analysis and agreement regarding the potential benefits to Ireland, the ambition is to settle on an intergovernmental agreement in 2014. A tentative deadline was in mind which was this spring. Put simply, as Ed Davey said at the signing of the MOU, if the numbers stack up, we can do a deal. If not, there will not be an intergovernmental agreement.

Any new wind farms, whether for the domestic or export market, will be subject to the planning Acts, including the requirements for public consultation, irrespective of the source of funding for their construction. Currently, the Department of the Environment, Community and Local Government - in conjunction with my Department and other stakeholders - is consulting on a targeted review of its wind energy development guidelines in relation to noise, proximity and shadow flicker.

Separately, I am putting in place a clear national planning policy context for renewable energy export which will guide An Bord Pleanála when considering proposals of a significant scale for wind energy export. The renewable energy export policy and development framework will be developed over the next 12 to 15 months and will provide the opportunity to integrate relevant EU directive requirements, trans-boundary dimensions and stakeholder participation within the context of a national framework. The stage 1 public consultation concluded in November 2013. That was the first of three consultations that will be held at key points in the development of the framework, all offering interested parties opportunities to present their views on how we should develop national policy to realise the potential benefits of the export of renewable energy.

My job is to endeavour to open up a new traded sector with Britain and, in the process, to facilitate job creation and wealth generation for Ireland. It is not my job to favour one developer or another, but I agree with Deputy Wall that it is difficult to envisage the maturing of such a project without the utilisation of State lands. That would also have the merit of minimising intrusion on local communities.

I do not know how appropriate it is, a Cheann Comhairle, for me to comment on the very robust debate that is under way in the United Kingdom or its recent decisions concerning fracking, except to say that, like Deputy Wall, I am aware that it is indeed a very robust debate.

Photo of Jack WallJack Wall (Kildare South, Labour)
Link to this: Individually | In context | Oireachtas source

The proposed agreement is premature if the Minister is to put in place a national planning policy for renewable energy export. Surely we must do what we want. We all wish to see jobs created in the midlands, where there has been a deficit of employment over a long period. We want jobs and we must use every possible avenue in that regard. The Minister accepted that we do not have a clear national planning policy. In that case, how can we offer to trade energy with the UK? It seems that the UK is now divided. I accept that the Minister does not wish to comment on the situation, but in order to go forward we must see a clear indication that there will be an agreement. Otherwise it is a waste of energy. Should we not consider the alternative in terms of what we can do to connect to the grids of mainland Europe, where more agreement could be sought? Every community in my constituency has expressed concern. On one side I have EirGrid and on the other side I have wind farms. There are those of us in the middle, thankfully, who still talk about football. There is huge concern and we must allay people’s fears. We cannot continue to torment communities for another year if we are not in a position to continue with energy trading with the UK. From what the Minister said, it appears that the agreement is premature. Given the position of the United Kingdom, we should review whether we should sign up to such an agreement.

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
Link to this: Individually | In context | Oireachtas source

I hope I can clarify the position. I do not agree that it would be premature if an agreement is concluded. Its purpose is to facilitate the initiation of a traded sector in green energy. Causing it to happen is a different matter. The law would then exist to permit it happening if X and Y fell into place. I agree with Deputy Wall that it would be premature to conclude an agreement before the national policy planning framework is in place. I have made it plain during Question Time in this House that if any developer is contemplating putting in a planning application before the national policy planning framework is in place, it will not be dealt with. Deputy Wall can be reassured on that point - the national policy planning framework will be in place before any planning application is entertained from any developer, public or private. The Deputy referred to Bord na Móna’s recent announcement about the creation of a digital hub. For a number of years now Bord na Móna has been considering what it will do with a couple of hundred thousand acres of cutaway bog. It has been considering how to develop a new mission for the company. It could be a central player, but the same rules would apply to it and it would have to go through the national policy planning framework as well.