Caít Keane (Fine Gael)

I welcome the Minister to the House. This is an important subject. It is World Energy Day. There is a display in Leinster House on what the Oireachtas has done for the heating system and the renewable energy used in the Houses. I commend all involved in that regard.

Awareness about renewable energy has grown significantly in recent years and it is now universally recognised as being paramount to future environmental conservation, economic growth and job creation. The three fundamental pillars that our energy policy rests upon are competitiveness, security of supply and environmental sustainability. Renewable energy is fundamental to our energy policy as it plays a key role in shaping this country's future and is critical to delivering the policy goals of clean, secure and affordable energy supplies.

This country has more than three times its total energy requirements available from readily accessible renewable energy sources on its own doorstep which would enable us to move away from an over-reliance on imported fossil fuels. Yet despite access to such vast and plentiful clean energy resources, this country is still heavily dependent on volatile foreign fossil fuel, importing almost 86% of its energy needs. As Senator Mulcahy indicated, this country has the best wind resource, as it is the first landmass for several thousand miles to intercept the prevailing westerly winds. Apart from a small area in the south of France, only Ireland, Denmark and a small part of Scotland have substantial areas of land where wind speeds at 50 m above ground level on open plains meet the 7.5 metres per second requirement. In the whole of Europe we are the ones with that advantage.

As conventional energy resources run out, Ireland has an extraordinary opportunity to use its natural resources in a cost competitive way to achieve energy independence and become a world leader in the use of clean energy. This key message was delivered recently at NovaUCD by Mr. John Travers, author and CEO of Alternative Energy Resources, AER, at the launch of his new book, Green & Gold - Ireland a Clean Energy World Leader? It is claimed in the conclusions that 20% of total Irish energy needs can be met from renewable energy sources within the next ten years and 80% by 2050, while 20% of Irish GDP can be derived from clean energy exports.

I will skip the figures for wind energy production, as Senator Mulcahy has already supplied them. The wind energy resource in Ireland is four times that of the European average and we must exploit it. The Minister is doing so and I commend his Department for the recent publication of the first progress report on the national renewable energy action plan, submitted under Article 22 of the EU directive.

We must also look to our European counterparts, in particular, Denmark and Sweden, both of which are planning to meet 35% of their energy needs through wind energy productin by 2020, which is higher than the European target of 20%. Given our capability, we should strive to do likewise and also aim for a figure of 35%.

Biomass is another source within the renewables spectrum where there is good potential for growth in an Irish context. The supply of energy crops such as pulpwood and wood industry residues is set to increase by more than 30% in the period to 2016 and the demand for these products could feasibly increase by more than 70% in the same period. Wood fuel can gradually displace oil. As such, policy measures to encourage the use of biomass energy sources are necessary.

I have followed with interest the development of tidal energy projects, particularly on the west coast where I am from originally and Wavebob was developed. That work has received some help, but the industry remains three years away from being commercial. There is a lead-in time for putting in place the infrastructure needed for wave farms. This involves the permit and planning processes, environmental impact assessments and regulatory issues, all of which are major considerations for many companies. The Minister should keep this in mind.

Wave-generated electricity projects offer consistency in power generation not found with wind-powered devices. The combination of sustainability and consistency makes the generation of electricity by means of wave power such a vital cog in the wheel of renewable energy projects.

Senator Mulcahy referred to the issue of planning, but I will remind the Minister about a related matter. We do not get much sun, but solar panels that do not require light from the sun are being developed. In the United Kingdom planning permission for the installation of solar panels is only required in the case of listed buildings. Will the Minister consider adopting this approach?

Perhaps the Minister might review the fuel subsidy systems? In Pittsburgh in 2009 the G20 leaders committed to phasing out in the medium term inefficient fossil fuel subsidies that encouraged wasteful consumption. Eradicating fossil fuel subsidies would boost the global economy, the environment and energy security. This is according to the International Energy Agency which was referring to the pledge made by G20 countries.

To ensure security of supply, different methodologies of fuel supply are vital. We must ensure the new interconnector does not disadvantage the funding of alternative sources of supply and that there is a competitive balance in the Irish gas and electricity markets.

Only 18% of Iran's oil supplies go to the European Union. Its principal customers are China and Russia which oppose sanctions. How influential will the sanctions be? Would the use of the diplomatic route instead of sanctions have been better? EU decisions are not always right.

The Minister must be commended for announcing the renewable energy feed in tariff, REFIT 3, scheme in November which will pave the way for the connection of an additional amount of renewable energy, a matter Senator Mulcahy dealt with in detail.

I welcome the planned publication of the Government's new energy policy framework this year and hope it will be ambitious enough to meet and exceed Ireland's needs in terms of job creation and energy supply. The Government has committed to meeting 16% of our energy needs from renewable energy sources. Are each sector's targets up to speed or is any sector falling behind?

With the production of wind energy, ensuring storage capacity is a necessity. Senator Mulcahy mentioned a few storage methods. Without storage capacity we will not have a convenient and steady supply of energy. As such, a storage system needs to be invented to ensure a steady energy supply. In the case of renewables, sometimes there is too much energy for the grid to handle. Wind energy projects especially present a problem in this regard, in that it is usually windier at night. Is research being conducted on various renewable energy storage methods? An innovative way of storing renewable energy resources is being tested in the United Kingdom by a cryogenic company, Highview Power Storage. It uses the excess capacity at times of low demand to power refrigeration units to cool air to approximately -190° Celsius, to turn it into liquid nitrogen for cryogenic energy storage purposes. We should consider using a similar system. Last Sunday the Minister announced the provision of €1 million for UCD or every university. Will any of this money be used to conduct research on storage methods? It is a significant element.

The potential for job creation has been mentioned. Mr. Travers has stated there is a potential to create almost 100,000 jobs in harnessing energy from renewables and engaging in energy efficiency activities. He has also stated clean energy projects could help to rescue Ireland from its current economic and energy challenges. In achieving energy independence Ireland could become an outstanding world leader and a global beacon for the use of clean energy. The Minister's stewardship will help this to come about.