Ossian Smyth (Dún Laoghaire, Green Party) | Oireachtas source

The cap on market revenues will operate from 1 December 2022 until 30 June 2023. That is set out in the EU regulation, which states that a set of measures will be "urgent, temporary and exceptional". The regulation does not provide for the cap to extend to periods after this period. The Department received legal advice with regard to applying the cap beyond December 2022. This advised that where the State departs from the regulation, those aspects will be more vulnerable to legal challenge on the grounds of retrospectivity and interference with constitutional rights, such as property rights. The European Commission decided not to extend the cap on market revenues, citing concerns for regulatory uncertainty, concerns about incentives for new investment, concerns about high administration costs and reduced production by generators, and potential interference with electricity market design. In the context of the amendment, Ireland will not be extending the cap on market revenues as a national measure.