Seanad debates

Thursday, 28 January 2016

Energy Bill 2016: Second Stage

 

10:30 am

Photo of Caít KeaneCaít Keane (Fine Gael) | Oireachtas source

There are other places included as well. The provision is now gone and it was never used. Regardless of how thirsty people are on the bog, they will not be able to drink now in any event.

Section 4 deals with the amendment to the Electricity Regulation Act 1999 and renaming of the Commission for Energy Regulation to the commission for the regulation of utilities, CRU. That is in light of the fact that the commission is now responsible for the economic regulation of water services, as per the Water Services Act 2013. Water services may have been outside the scope of this regulation in the absence of the establishment ofl Irish Water. It is necessary for there to be proper implementation and economic oversight powers for the water sector as well. It is very welcome that the regulatory authority will oversee the provisions of the Water Services Act as well.

Sections 7 and 8 deal with the miscellaneous amendments to the single electricity market, as the Minister announced. This relates to definitions of the wholesale electricity arrangements in the Single Market in the EU relating to consumers of electricity and gas. It will enable cross-EU border harmonisation of markets and rules for the benefits of the consumers, which is important. We are all about protecting the consumer. In creating a single all-Ireland market with the UK Government, it will be by the end of 2017 a seamless part of the EU and comply with the EU third energy package legislation.

I welcome section 11, which amends sections of the Electricity Regulation Act 1999 relating to fines, bringing in references to "class A". The fines will go from €15,000 to €50,000, which is a major increase. It has to be done as it will hurt pockets. In the energy sector in particular, if fines are too low, there might be a temptation to do wrong. The class A fines are outlined in the Fines Act 2010 and can be applied in the case of dangerous work by installers, including gas and electrical installers. Such dangerous work may cost lives, so I congratulate the Minister for bringing forward this provision. It will bring a major benefit to the consumer and I urge every consumer, when he or she is employing somebody to do this type of work, to carry out the proper registration checks so that installers comply with the regulations laid down. It is important as we all know that gas and electricity are some of the most dangerous components in a house.

Section 15 increases penalty provisions to up to €250,000 for individuals and up to 10% of turnover for a corporate body. That is also welcome and will bring Ireland in line with the rest of the EU. Sections 16 to 18, inclusive, relate to changing the terms of office of members of boards. If somebody is performing badly we want to be able to get rid of that person but if somebody is well we want to be able to retain him or her rather than have a revolving door, with every new person having to learn on the job. This provision will help in that respect. I welcome that the annual report of the Sustainable Energy Authority of Ireland, SEAI, will have to be produced within six months of the end of its financial year. I congratulate the SEAI on its work. We have all taken advantage of its good website, as well as everything else. It is great for the ordinary householder to be able to check in and see what the authority is doing. It is a very valuable website and authority.

Section 5 deals with new powers for the regulator and the enhancing of investigative powers. The Minister mentioned regulatory sanctions. I welcome that the regulatory sanctions are incorporated into the Bill in section 56, imposing administrative sanctions for licensees who breach statutory regulations. Section 58 allows for the inspectorate to enter and search a premises and vehicles. It is a very serious and necessary power, although it cannot just go in willy-nilly. It may apply to the District Court to search private premises if the investigator believes evidence may have been moved off site. It is important to state that this must be done correctly, with the use of warrants from the District Court. Under section 59, the investigator must produce a report, with a draft report to be sent to the body that is being investigated. I welcome that provision because there is no point in an investigated body being told about it at the end of the day. It will have the opportunity to see the draft report and make a submission on it. It is only fair, as very often there are two sides to every story. It is a good provision.

Section 60 deals with the actions by the regulator and how to deal with the investigator's report. If it is found, on reasonable ground, that there has been a breach in the regulation, the regulator may impose a minor or major sanction. It may also hold an oral hearing, where what may not be written on paper can come out. Sections 19 to 24, inclusive, deal with amendments to the National Oil Reserves Agency Act 2007. The Minister referred to it as "NORA" and it is nice to see a woman's name on an organisation at last. This will enable the sharing of information between the Revenue Commissioners and the Minister for Communications, Energy and Natural Resources. I welcome that as the Revenue Commissioners should have shared information with every body or agency so it can have an all-encompassing picture of everything that happens with all companies. This will ensure that oil importing companies will pay the correct NORA levy.

I wanted to finish with the biofuel obligation but as the Minister mentioned it, I will not go into it. I support the legislation and I hope it will receive support throughout the House.

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