Seanad debates

Wednesday, 14 September 2022

2:30 pm

Photo of Seán KyneSeán Kyne (Fine Gael) | Oireachtas source

The Minister of State is welcome to the Chamber. I commend my Fianna Fáil colleagues on tabling this Private Members' motion. It is timely in advance of the budget. There is no doubt the cost-of-living inflation is to fore of everybody's mind as we approach budget day. There is possibly a long winter ahead. The cost of energy and fuel is of particular concern. We all hope we have a mild winter. It would be excellent if that were to happen. We hope to avoid a winter similar to that of 2009 and 2010. I remember a morning in that period when my car registered a temperature of -17°C. If we were to have similar conditions this winter and the wind did not blow, it would be serious. That would be serious at any time but would be particularly so when supply and demand in our energy system are so finely balanced. That is a concern and a worry. The Minister of State cannot prevent it if the weather turns in that fashion. It is a matter of concern to me and to households throughout the country.

The budget has been brought forward because of the cost of living and inflationary pressures. I hope and expect the Government to sign off on a package of supports in respect of energy costs for households throughout the country. It is vital those people who are facing higher energy bills will have support to make it bearable and realistic for them to afford the bills that will fall due. The money that has been spent heretofore to support people in respect of the cost of living has been welcome. It is worth pointing out that those supports are possible because the economy is in good order as a result of how it has been managed over a long number of years. We have a surplus we can reinvest in supporting people who are under financial pressures at the moment.

I will move to consider the balance of supply and demand. There are some medium- to long-term plans, including the France-Ireland interconnector, which will be important for the provision of energy security. The interconnector will provide linkage to another EU member state. We have linkage to the UK, which is important, but it is no longer a part of the EU. It is important we have the solidarity with the EU that the Celtic interconnector will provide between Ireland and France when it is up and running.

In respect of fuel costs, gas will be the main concern, especially on the east coast. There are many parts of Ireland that do not have a reliance on gas and, therefore, will be particularly dependent on home heating oil. The issue of turf has been discussed. If ever there was a year when it was important for people to have turf and for us to get a positive solution in respect of the regulations for smoky coal and turf cutting, this is the year. Home heating oil remains important as a heat source for many rural dwellers. It is important that assistance is provided for those who will have to pay high costs for home heating oil this year.

We also know the electricity credit was well received. I hope a similar targeted measure will again be considered. I cannot pre-empt the budget but that is an important consideration.

In respect of the longer term, the Bill to create the Maritime Area Regulatory Authority, MARA, has been passed and the office needs to be established. That process is going through the various stages that are necessary. There is, however, still some concern about the delivery of offshore infrastructure and the speed with which that can realistically be achieved.We have seen commentary in the UK going back to the era of Prime Minister Tony Blair in which he spoke of "rustling up" a nuclear power station. An offshore wind farm cannot be rustled up in the space of a week, month or year. We need to be acutely attuned to the issues here and the fine balance between supply and demand. We have these natural resources but there will be a period of time or gap in which supply will still be constrained. However, we can plan to ensure we maximise the great resource that offshore wind presents to us.

The Derrybrien wind farm has been mentioned previously by other speakers in these Houses. There are legal issues involved in the ins and outs of this. It is hard to explain to anybody in the midst of a crisis why we would dismantle a wind farm. Again, while it is a legal matter, it does not make sense and it is hard to explain to people why it might happen.

Regarding energy prices, many of the current problems we have relate to the cost of gas. We know the reason for that is the illegal actions being taken by Putin and Russia. We have to mitigate those as we cannot prevent or change them. We are a buyer on those terms, as are countries across Europe. While we do not get Russian gas directly, obviously there is an impact on the cost of sources in Scotland, Norway and elsewhere. I commend the motion and I fully support it.

Comments

No comments

Log in or join to post a public comment.