Written answers

Wednesday, 28 September 2005

Department of Communications, Energy and Natural Resources

Offshore Exploration

9:00 pm

Photo of Tom HayesTom Hayes (Tipperary South, Fine Gael)
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Question 543: To ask the Minister for Communications, Marine and Natural Resources if he will provide the terms and details of the deal between the Government and Shell. [24339/05]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
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There was no deal done between the Government and Shell in relation to the development of the Corrib gas field. Approvals and consents were given in accordance with the various legislative provisions governing petroleum development both onshore and offshore Ireland. The details of the approvals and consents issued are available on my Department's website, www.dcmnr.ie.

All statutory approvals required from the Minister for Communications, Marine and Natural Resources for offshore, onshore and foreshore developments have been granted. Three outstanding phases remain of the seven phase pipeline installation and commissioning conditions. These are phase 3, onshore pipeline, phase 5, offshore umbilical, and phase 7, hook-up, testing and commissioning. An Bord Pleanála granted planning permission in October 2004 for the terminal and what remains outstanding is an integrated pollution control licence from the Environment Protection Agency.

Separate consents were required in respect of six separate elements of the overall project as follows. Under the Continental Shelf Act 1968 for construction of the offshore installation within the continental shelf designated areas, consent was given on 15 April 2002 by the then Minister for Marine and Natural Resources. Under the Petroleum and Other Minerals Development Act 1960, the plan of development approval, subject to a number of conditions, was given on 15 April 2002 by the then Minister for Marine and Natural Resources. Under the Gas Act 1976, as amended, consent was given on 15 April 2002 by the then Minister for Marine and Natural Resources for the construction of a gas pipeline from the gas field through the offshore up to the terminal building — this is an integral part of the plan of development approval of 15 April 2005. Under the Foreshore Act 1933, as amended, a foreshore licence was granted by the then Minister for Marine and Natural Resources on 17 May 2002 in respect of the routing of the pipelines through the foreshore connecting the gas field to the land-based installation. Under the Planning Acts, in respect of the land-based installation (terminal) — this was a condition of the plan of development approval and under the Environmental Protection Agency Act 1992, an IPC licence is required for the operation of the terminal — this is a condition of the plan of development approval and is under negotiation with the EPA at present. In addition, the then Minister for Marine and Natural Resources made 35 compulsory acquisition of rights orders over land and one compulsory purchase of land order to allow EEI to use certain privately owned lands for the installation of a pipeline from the gas field up to the proposed terminal building at Bellanaboy bridge. These were only made when the developer failed to obtain the voluntary agreement of landowners permitting the onshore pipeline to cross their lands.

In accordance with the EU directive on environmental impact assessment, an environmental impact statement was submitted with each application for statutory approval, consent and licences and examined in the Department. Before any consents issued Shell's applications went through detailed scrutiny by officials of my Department as well as technical experts in the Department and by outside consultants, who examined the technical aspects of the applications. In addition, a specialised group, the Marine Licensing Vetting Committee, which has expertise in many environmental aspects of the applications, and outside environmental experts examined the environmental aspects of the development.

While the safety aspects of the case have already been examined and found to be in order, in the interest of allaying fears expressed among some members of the public about the safety of the pipeline, I have commissioned a comprehensive health and safety review of the proposed onshore pipeline. This study is in addition to the comprehensive assessment undertaken both within the Department and by an independent pipeline consultant of the original proposals that were submitted to my predecessor in connection with the application for consent to construct a pipeline. All documentation received from the developer, including the quantified risk assessment and the independent assessors' opinions on this, will be assessed in that context. It is intended that the new review will address issues around the risks of disruption of the pipeline due to third party interference and otherwise. I have also asked the company to examine engineering adaptations to the pipeline installations at the landfall with a view to isolating the onshore section of the pipeline from ever experiencing reservoir pressures. I await the company's responses in that regard.

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