Willie Penrose (Longford-Westmeath, Labour)
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Question 134: To ask the Minister for Communications, Energy and Natural Resources his views on the findings from the Sustainable Energy Ireland 2008 report Understanding Electricity and Gas Prices in Ireland that found that gas and electricity prices were higher here than the EU average; and if he will make a statement on the matter. [43654/08]

Eamon Ryan (Dublin South, Green Party)
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Encouraging a competitive, least-cost energy supply is a key policy objective for the Government. Rising energy costs are a major concern for all sectors of the economy and for consumers. It is a major concern for the European Union and globally.

In this context, I welcome Sustainable Energy Ireland's report on Understanding Electricity and Gas Prices in Ireland, which provides a valuable insight into the drivers of higher energy costs in our market. In particular, the report underlines the imperative to reduce Ireland's dependence on imported fossil fuels and our exposure to volatile international market prices for these commodities.

I note yesterday's announcement by the Commission for Energy Regulation of its Phase 2 decision on ESB and Bord Gáis Éireann tariffs, which is reflective of recent easing in international prices, particularly for gas and coal. I also note the substantial rebate being provided by ESB to all electricity customers, which helped mitigate the need for a tariff increase.

In the medium to long term, the Government's Energy Policy Framework and the Programme for Government set out the actions being taken to deliver security, sustainability and competitiveness of energy supply. We must use energy far more efficiently, deliver on our ambitious renewable targets and progress vital strategic energy infrastructure such as the East West Electricity Interconnector. Initiatives in all these areas are being progressed.

While investment in energy infrastructure is also identified as a cost factor in Irish energy prices, the delivery to schedule and at least cost of vital projects will ultimately deliver secure, sustainable, competitive and cost efficient electricity and gas supplies for the benefit of Irish consumers.