Eamon Ryan (Dublin South, Green Party)
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The development and expansion of the natural gas network is in the first instance a commercial matter for Gaslink, the independent subsidiary of Bord Gáis Éireann, which is statutorily obliged under Section 8 of the Gas Act 1976, as amended, to develop and maintain a system for the supply of natural gas that is both economical and efficient.

The Commission for Energy Regulation (CER), is statutorily responsible for all aspects of the assessment and licensing of prospective operators who wish to develop and/or operate a gas distribution system in Ireland. I have no direct statutory function in relation to the connection of towns to the gas network.

The CER, in 2006, approved a new network connections policy, which created the opportunity to reassess the feasibility of connecting certain towns to the gas network. In order for any town to be connected to the gas network, certain economic criteria need to be satisfied as a prerequisite. This is to ensure that, over a certain period, the costs of connecting the town to the network are recouped through the actual consumption of gas and the associated tariffs. The policy allows for the appraisal of a town either on its own or as part of a regional group of towns.

Earlier this year Phase 3 of a comprehensive assessment of new towns not already connected to the national gas network was completed by BGE Networks on behalf of Gaslink. The assessment, which included Cootehill, analysed 39 towns in terms of each town's estimated demand for gas, forecasted population growth, anticipated rise in industrial/commercial activities and the required infrastructure to meet the demand. This was approved for publication by the CER following detailed economic analysis based on the criteria outlined in the CER's Connection Policy. The assessment concluded that the cost of bringing gas to Cootehill was uneconomic.

Gaslink continues to review towns which did not qualify for connection under the Study on an ongoing basis. The key factor which would qualify a town or group of towns in any future review would be a significant increase in demand for natural gas, probably resulting from the development of a new large scale industrial facility. I am advised that the company in question has initiated discussions with Gaslink with a view to obtaining a direct gas connection to their facilities.