Pat Rabbitte (Dublin South West, Labour) | Oireachtas source

There has been significant development in the wind energy sector in Ireland in recent years. Since 2003, approximately 1,250 turbines in 150 wind farms across 22 counties have been commissioned, with a total capacity of 1,738 MW. Wind energy has been the largest driver of growth in renewable electricity, contributing most towards the achievement of the target for 2020 to deliver 40% of electricity demand from renewable sources. Estimates for 2012 indicate the current level is approaching 20%.

The 2020 target will not be achieved without an increase in wind energy development from an historical average of 180 MW per annum to at least 250 MW per annum. The timely development of a healthy pipeline of potential wind projects is essential if Ireland's 2020 renewable electricity targets are to be achieved. Non-achievement will result in compliance costs and the purchase of emissions permits. The Sustainable Energy Authority of Ireland has estimated that compliance costs could amount to between €100 million and €150 million per annum for each percentage point shortfall in renewable energy, with a further €250 million in emissions permit purchases. This could also undermine Ireland's opportunity to potentially export renewable energy to the United Kingdom to assist in meeting its 2020 renewable electricity targets.

Development in the wind energy sector is underpinned by a clear policy framework. The national renewable energy action plan sets out the Government's approach and concrete measures to deliver on Ireland's overall 16% renewables target under Directive 2009/28/EC, to which the 40% renewable electricity target makes an important contribution. My Department's Strategy for Renewable Energy 2012-2020 has the strategic goal of having progressively more renewable electricity from onshore and offshore wind power for domestic and export markets.

With regard to export markets, the Deputy will be aware that in January of this year the United Kingdom Secretary of State for Energy and Climate Change, Mr. Edward Davey, and I signed a memorandum of understanding on energy co-operation. This will result in completion of consideration of how Irish renewable energy resources, onshore and offshore, could be developed to the mutual benefit of Ireland and the United Kingdom, and will determine whether it is beneficial for both countries to enter into an intergovernmental agreement under the renewable energy directive to provide for renewable energy trading. An agreed programme of work is already under way to prepare for the intergovernmental agreement. This work programme includes economic analysis, addressing policy and regulatory questions and dealing with grid issues. While highly complex engineering and market issues need to be teased out, the ambition is to settle on an intergovernmental agreement in early 2014. If such an agreement is entered into, the potential employment opportunities will be significant.

New wind farms, whether for the domestic or export market, will be subject to the Planning and Development Acts, including the requirements for public consultation, irrespective of the source of funding for their construction. Best practice wind energy guidelines were published in 2006. Currently, the Department of the Environment, Community and Local Government, in conjunction with my Department and other stakeholders, is undertaking a targeted review of certain aspects of the 2006 guidelines. This review will examine the manner in which the guidelines address key issues of community concern such as noise, separation distance and shadow flicker, to ensure Ireland continues to meet its renewable energy targets and exploits potential export opportunities while ensuring wind energy does not have a negative impact on local communities. In addition, the 2012 Government policy statement on the strategic importance of transmission and other energy infrastructure emphasises the importance of public and local community acceptance; adherence to national and international standards in designing and constructing energy networks and infrastructure; early consultation and engagement with local communities; and building community gain considerations into energy infrastructure planning and budgeting.

I intend to establish an overarching strategic policy framework, with a spatial dimension, for wind development in Ireland. This will be underpinned by a strategic environmental assessment. Work on this framework will begin in the near future with a view to completion in 2014. There is a clear framework for the development of wind energy, which is to be supplemented in the coming year. This will assist in realising the various goals I have outlined.