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Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: I thank the committee for also facilitating the taking of the Supplementary Estimate at short notice.

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: I thank the committee for facilitating this meeting and giving me the opportunity to present details of the Supplementary Estimate. The purpose of this meeting is to seek the approval of the select committee to reallocate €30 million in savings from subhead D3, which relates to the national broadband plan, to subhead B13, which relates to emergency generation capacity. On 7 June...

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: The Deputy made a variety of points. We have been upfront and honest. National Broadband Ireland attended the committee last week to share what is actually happening. These figures are not coming as a surprise. We have been clear about the fact that, due to Covid-related complications and other challenges with the national broadband plan, the changed target should not be a surprise. The...

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: We have a derogation from the European Council, subject to us continuing to do what we committed to in legislation, increasing and reallocating the carbon tax the way we have. It is a broader point.

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: For absolute clarity, to meet our target of 80% renewable energy, we will need about 2 GW of additional gas-fired energy generation, with a mixture of combined-cycle and open-cycle turbines, or an open-cycle aeroderivative plant in this case. That is part of the plan and we will need it. It will use less gas because it is only there for back-up, but we need it. We will not know the exact...

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: What was considered was whether we had unspent allocation that we could reallocate. The choice was whether we should take money from other budgets. It is far better to take it from unallocated funds, in this instance, the national broadband plan. Next week we will discuss the reallocation elsewhere. It was money which was going to be unspent. Far better to take it from there than from-----

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: It is ring-fenced. Going into the budget allocation this October, I know for certain that we will have an increase in the budget available for retrofitting, coming from the revenues from carbon tax. The Department of Finance, very unusually and exceptionally - I cannot think of another example - has been willing to agree and hypothecate. I do not need to negotiate that. That is done. It...

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: The alternative would involve the funding being returned to the Exchequer and not spent. It is better to make sure we have back-up generation so we have the power we need to-----

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: You can do a certain carryover but, in this instance, we need this generation. I would much prefer if the original auctions had delivered what was committed to. The Dáil voted 115 votes to eight in support of that strategy. I think it is the right strategy.

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: I do not agree. The Deputy is hypothesising. That is not affecting the ring-fencing in the slightest. There is an underspend, be it in the national broadband plan, on the energy credit or in some retrofitting schemes. That is not undoing the ring-fencing at all. Had that been fully spent, we would not be taking it from that area.

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: You could. There is some potential for carryover. That would probably take----

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: It is an abstract argument in terms of how to define when something stops or starts being ring-fenced. One thing I know is that, come the budget process, we will get an increase in funding in the retrofitting area for the next nine years.

Select Committee on Transport, Tourism and Sport: Estimates for Public Services 2022
Vote 29 - Environment, Climate and Communications (Supplementary)
(6 Jul 2022)

Eamon Ryan: My understanding of the Deputy's party's position is that it is in favour of carbon tax. Is that correct?

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