Written answers

Tuesday, 1 June 2010

Department of Communications, Energy and Natural Resources

Alternative Energy Projects

10:00 am

Photo of Dan NevilleDan Neville (Limerick West, Fine Gael)
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Question 30: To ask the Minister for Communications, Energy and Natural Resources the volumes of miscanthus and or willow he expects to see blended with peat in peat power stations before the end of 2010. [23111/10]

Photo of James ReillyJames Reilly (Dublin North, Fine Gael)
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Question 32: To ask the Minister for Communications, Energy and Natural Resources when the new REFIT prices announced on 24 May 2010 will take effect for electricity generated from bio-mass and bio-fuel. [23123/10]

Photo of Mary UptonMary Upton (Dublin South Central, Labour)
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Question 75: To ask the Minister for Communications, Energy and Natural Resources when the renewable energy feed in tariff price recently announced for miscanthus will be implemented; if the 9.5 cent price is the full tariff that will be paid to suppliers and farmers or if it includes the capital costs of the power stations; and if he will make a statement on the matter. [23019/10]

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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I propose to take Question Nos. 30, 32 and 75 together.

The Government has set the renewable electricity target at 40% by 2020. The 40% electricity target is consistent with the EU target addressed to Ireland under the Renewable Energy Directive, which requires Ireland to meet the target of 16% renewable energy in all energy consumed (encompassing electricity, transport and heating) by 2020.

As part of the ongoing work to further support the development of biomass, I have recently announced new Renewable Energy Feed In Tariffs (REFIT) for biomass technologies. The supports will range from 8.5 cent per kilowatt hour to 15 cent per kilowatt hour depending on the technology deployed. Co-firing with miscanthus or willow will qualify for the rate of 9.5c per kilowatt hour which is fully payable to the generator.

The technologies supported include Anaerobic Digestion Combined Heat and Power, Biomass Combined Heat and Power and Biomass Combustion, including provision for up to 30% co-firing of biomass in the three peat powered stations.

These new support tariffs will assist the development of a sustainable biomass supply sector in Ireland. They will ensure that there is a ready demand for biomass and will build on the measures already in place including the REHEAT programme and the Energy Crop grant schemes run by the Department of Agriculture, Fisheries and Food. The support tariffs will require State Aid clearance from the European Commission before they can be implemented. Their announcement sends a clear signal to the market at this point and my Department will progress the State Aid clearance over the coming months.

Both ESB and Bord na Móna have been conducting research and development and co-firing trials at the peat stations utilising a variety of biomass including miscanthus and willow. The trials have also involved laboratory tests on the chemical and physical properties of various materials. Decisions by ESB and Bord na Móna on optimum co-firing material and related timeframes will be taken in light of the ongoing trials.

Both state companies are in ongoing discussions with market players in relation to sourcing supplies for co-firing. The companies themselves will be responsible for making the commercial decisions to award contracts. The objective is to utilise domestically produced biomass as much as possible. My Department is working with the Department of Agriculture, Fisheries and Food to ensure that the support schemes for energy crops and forestry are in alignment with the scale of demand by the power generation and heat sector. I understand there is a substantial amount of miscanthus available for co-firing at present which should be fully consumed during the year.

The new Miscanthus Pilot Demonstration Programme provides support for the deployment of renewable heating systems fuelled by miscanthus in the commercial, industrial, services and public sectors. The programme, which was launched on 30th April 2010, is administered by SEAI.

The use of miscanthus as a fuel has been low in Ireland, due not least to limited experience with its use as a boiler fuel. The Miscanthus Pilot Demonstration Programme is intended to support the establishment of a number of exemplar boiler sites. These exemplar sites will serve to provide critical information on the supply chain logistics and the technical suitability of miscanthus as a boiler fuel in an Irish context.

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