Simon Coveney (Cork South Central, Fine Gael)
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Question 680: To ask the Minister for Communications, Energy and Natural Resources if the full opening of the residential gas market happened on time in July 2007; the percentage of the residential gas market controlled by Bord Gáis Éireann; if independent gas suppliers can access the BGÉ supply and transmission network; and if not, if there are plans to facilitate them doing so. [30575/07]

Eamon Ryan (Dublin South, Green Party)
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Ireland's natural gas market became fully liberalised on 1 July 2007 in line with EU legislative requirements on gas market opening. From that date the benefits of liberalisation, which were previously for industrial and commercial consumers, were extended to residential natural gas customers, allowing them to shop around for their supplier and to obtain the best value for money. Most recent data indicate that Bord Gáis Energy Supply still supplies approximately 98 per cent of the residential gas market. However, the opening of the market will see progressive change.

The potential of the Irish gas market is very small by international standards. It is also a feature of gas market openings that there is a time lag between the opening of the market and the active participation of new market entrants. In general, new entrants in energy supply markets tend to initially target the large volume customers in the industrial and commercial sectors and then move towards the smaller volume commercial customers and domestic customers if the economics are favourable.

Since 1 July last, two licences have been issued by the Commission for Energy Regulation (CER) enabling two new suppliers to enter and compete in the deregulated gas market. One of these suppliers, SSE (Ireland) Ltd, has publicly announced its intention to supply the residential market. In addition, the CER has advised that it is also considering an expression of interest in the residential market sector by another potential entrant to the Irish natural gas market.

CER has recently revised Bord Gáis Éireann's Non Daily Metered (NDM) revenue regulation and has restructured the NDM tariffs. These changes, together with the arrival of full market opening, are expected to encourage new entrants and deliver additional competition into the market.

Overseen by the CER, the gas distribution and transmission systems of Bord Gáis Networks (BGN) are available to all Irish licensed shippers and suppliers of natural gas on a non discriminatory basis.