Fergus O'Dowd (Louth, Fine Gael) | Oireachtas source

I wish to respond on behalf of the Minister, Deputy Rabbitte, who cannot attend. The overarching objective of our energy policy is to ensure secure, sustainable supplies of competitively priced energy. As a State, we have ambitious targets for 16% of our energy from renewable sources by 2020 through meeting 40% of electricity demand from renewable sources, with 10% for transport and 12% for heat.

Underpinning the energy and economic policy objectives are five strategic goals, the first of which is progressively more renewable electricity from onshore and offshore wind power for the domestic and export markets. In 2012, a total of 7.1% of Ireland's overall energy requirement was met by renewable energy, equating to 19.6% of electricity demand. To date, wind energy has been the largest driver of growth in renewable electricity. In 2012, a total of 15.3% of electricity demand was met by wind generation. At the end of 2013, the total amount of wind generation connected to the grid was approximately 2,000 MW. It is estimated that a total of between 3,500 MW and 4,000 MW of onshore renewable generation capacity will be required to allow Ireland to meet its 40% renewable electricity target.

Currently, more than 3,000 MW of renewable generation has taken up connection offers. Therefore, private developers will be seeking planning consent for projects of varying scales to construct generation projects to meet our domestic needs. The progression of each individual project is, in the first instance, a matter between the project developer and the relevant planning authority. Given that the Department of Communications, Energy and Natural Resources has no planning function in this matter, the Minister, Deputy Rabbitte, has not received any report or communication concerning the planning specifics. Consideration of the project is a matter for the planning system and, in particular, An Bord Pleanála.

In any event, my Department is advised that the anticipated project referenced by the Senator is destined for supplying renewable energy to the domestic grid. I accept that is what Senator Byrne said. With regard to exporting renewable electricity generally, Ireland's renewable energy resources can deliver significantly greater volumes of energy than our domestic economy can absorb, presenting the opportunity to become a renewable energy exporter in the future.

On a number of occasions, the Minister, Deputy Rabbitte, has stated with regret that it has not been possible at this time to conclude an agreement for renewable energy trading as envisaged under the memorandum of understanding he signed with the UK in January 2013. Economic analysis conducted on the Irish side clearly indicates that under agreed policy and regulatory conditions, renewable energy trading can deliver significant economic benefits to Ireland and the UK, as well as being attractive to developers. However, that will not happen automatically. Renewable energy trading must be designed to work. However, I believe that in the context of the European Internal Market and greater integration, greater trade in energy between Britain and Ireland is inevitable in the post-2020 scenario. Any project seeking to export renewable energy would require the signing of an intergovernmental agreement.