Written answers

Tuesday, 20 February 2007

Department of Communications, Energy and Natural Resources

Energy Resources

10:00 am

Paudge Connolly (Cavan-Monaghan, Independent)
Link to this: Individually | In context

Question 388: To ask the Minister for Communications, Marine and Natural Resources his proposals to expand the national energy research capacity, in view of the Government's science, technology and innovation strategy; and if he will make a statement on the matter. [6128/07]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
Link to this: Individually | In context

Developing the national energy research capacity has been a key priority of Government. There was a critical shortage of appropriately skilled people to meet our energy research needs.

The approach taken was to design and implement a scheme of funding awards for energy research projects and researchers to address this gap. Accordingly the Charles Parsons awards were developed specifically to accelerate the build up of research capacity, in line with the key importance with which Government views the energy area. This initiative is also closely aligned with the Government plan to double the output of PhDs by 2013, which is a key objective of the Strategy for Science, Technology and Innovation.

Following the call for applications for funding last October 22 applications were received from 11 organisations located both North and South. The applications were evaluated using a panel of International Experts located outside of Ireland. The funding awards were announced in December. Funding has been provided for a total of 208 researchers and students over the period of the Awards, which have a total value of €208 million.

This expansion of Irish energy research capacity will provide vital knowledge and skilled individuals that are so important to the development of Irish energy-related industry. The Awards will significantly increase Irish energy research capacity by providing funding to the third level institutions. This helps them to build sustainable research teams comprising senior researchers, PhD studentships and undergraduate summer placements. International mobile researchers should be attracted to Ireland as a result. The scheme will also raise the awareness of Ireland as a good location to carry out research, an important step in the attraction of energy related investments.

The Awards have been made to: National University of Ireland Galway, Microbial Bioenergy Group; Queen's University Belfast, Electrical Power and Energy System Research Cluster; University College Cork, Hydraulics and Maritime Research Centre; University College Dublin, Bioresources Research Centre; University College Dublin, Electricity Research Centre; University of Limerick, Charles Parson Research Institute & Graduate School; and University of Ulster, Centre for Sustainable Technologies.

Paudge Connolly (Cavan-Monaghan, Independent)
Link to this: Individually | In context

Question 389: To ask the Minister for Communications, Marine and Natural Resources his proposals for a fully cohesive National Bio-Energy Strategy; the key supply and demand questions required to underpin this strategy; and if he will make a statement on the matter. [6129/07]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
Link to this: Individually | In context

The National Bio-Energy Action Plan, overseen by the Ministerial Bio Energy Task Force, is being finalised and will be published shortly. The Plan will set out a cohesive strategy for the development and deployment of indigenous bioenergy resources, in the electricity, heating and transport sectors. I have already introduced a number of measures to stimulate demand for bio-energy in Ireland, including the €26m bioheat programme, the €47m Greener Homes programme, the €11m Combined Heat and Power (CHP) programme (which will include biomass CHP), the Renewable Electricity Feed in Tariff programme which focuses particularly on biomass, the two biofuels excise relief programmes valued at almost €220m, and a biofuels obligation which will be introduced in 2009. The National Bio-energy Action Plan will address land and waste resources issues and the development of demand-side measures together with the establishment of targets for individual sectors.

Paudge Connolly (Cavan-Monaghan, Independent)
Link to this: Individually | In context

Question 390: To ask the Minister for Communications, Marine and Natural Resources the requirements to enhance contingency measures in view of Ireland's existing level of dependence on imported fossil fuels; and if he will make a statement on the matter. [6130/07]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
Link to this: Individually | In context

As a member of the International Energy Agency Ireland is required to maintain emergency oil stocks equivalent to at least 90 days of net imports of crude oil equivalent in the previous year. The EU imposes a similar requirement based on consumption. The National Oil Reserves Agency (NORA) is responsible for holding Ireland's strategic oil reserves at a level determined — at least once a year — by the Minister.

Ireland meets its oil stockholding obligations through a combination of: oil stocks wholly owned by NORA; stocks 'ticketed' by NORA under commercial contracts with an option to purchase in the event of an oil emergency arising during the period of the contract; and operational stocks held in Ireland by the oil industry and large consumer companies. This method of compliance is fully in line with accepted international practice.

At 1 December 2006 Ireland's oil stock reserves were estimated at 129 days net imports of which NORA stocks accounted for 81 days — 38 days stored in Ireland and 43 days stored abroad in a number of other EU Member States under Bilateral Oil Stockholding Agreements. The Government considers that the volumes of NORA-owned strategic stocks should be maximised having regard to storage availability and value for money and its indicating steps to achieve this.

My Department has contingency arrangements in place to deal with major oil supply disruptions. In the event of a significant global oil supply crisis, Ireland's oil reserves would be released over an extended period to supplement commercial supplies which would continue to be available, albeit at a reduced level, in the normal course. In this context reserves provide cover for periods far in excess of their expression in terms of number of days.

I should add that there would be no question of Ireland or any other IEA or EU Member State attempting to deal on its own with an international oil crisis. If such a crisis were to occur, the response, including the release of emergency stocks and the identification of alternative sources of supply, would take place primarily within the framework of the formal emergency regime developed and maintained by the IEA. Under the regime, Member States would be entitled to a share of available IEA oil stocks in the event of a reduction of at least 7% in normal global supply levels. There are also provisions for a coordinated international response to an emerging crisis, without the oil-sharing component, in advance of the 7% trigger.

I am satisfied that Ireland's emergency oil stock levels are sufficient to ensure that we would be in a position to participate effectively in any internationally coordinated response in the event of an international oil supply disruption, or manage any short-term disruption specifically impacting on the Irish market.

As regards natural gas supplies, some 87% of which is imported, currently Ireland has a well-developed framework to ensure adequacy and security of supply. This has been underpinned in recent years by substantial investment in the transmission network and BGE planned investment programme in the gas network of over €1.7 billion which will enhance security of supply. Recent expansion in gas interconnection between Europe and the UK as well as LNG facilities in the UK and Europe will also deliver tangible benefits in terms of regional market development and supply security.

The Irish gas transmission system is designed to cope with a 1-in-50 peak day, or the coldest day likely to occur once in 50 years. A Unified Code of Operations introduced by the Commission for Energy Regulation (CER) sets out standards for the protection of non-daily metered customers (including households) in the event of disruption of supply or extreme climatic conditions. This is a robust standard which takes account of the scarcity of indigenous resources.

In addition, the CER has issued a licence to Marathon Oil Limited to operate a storage facility at the depleting gas fields off the Kinsale Head in Co. Cork. This facility, with a storage capacity of 7bcf, is currently in operation. The CER has the statutory function of licensing natural gas storage facilities. In carrying out its functions, the CER must have regard to the need to ensure that there is sufficient capacity in the natural gas system to enable reasonable expectations of demand to be met, and to secure the continuity, security and quality of supplies of natural gas.

One of the strategic objectives of the All-island energy development framework for natural gas is a common approach on natural gas storage and LNG. An All-island study will shortly be commissioned by my Department and the Northern Ireland Department of Enterprise Trade and Industry to assess the medium to long-term position with regard to security of natural gas supply and consider the scope for a common approach on storage and LNG. It will also have regard to industry views, any existing capacities as well as to planned or proposed developments for storage on the island. In the case of coal there are abundant coal reserves in the world which are projected to last for at least 200 years and there is unlikely to be a shortage of this fuel. The ESB maintains levels of coal reserves to ensure security of supply for coal generating plant in the event of a temporary disruption to supplies.

Comments

No comments

Log in or join to post a public comment.