Written answers

Tuesday, 3 May 2011

Department of Communications, Energy and Natural Resources

Energy Resources

9:00 pm

Photo of Michael McCarthyMichael McCarthy (Cork South West, Labour)
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Question 363: To ask the Minister for Communications, Energy and Natural Resources his commitment to the renewable energy feed-in tariff, REFIT, programme; and if he will make a statement on the matter. [9473/11]

Photo of Martin FerrisMartin Ferris (Kerry North-West Limerick, Sinn Fein)
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Question 369: To ask the Minister for Communications, Energy and Natural Resources if he intends to make any changes to the REFIT scheme to address concerns regarding the sale of surplus energy overseas. [9709/11]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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Question 370: To ask the Minister for Communications, Energy and Natural Resources when REFIT II will be rolled out; and if he will make a statement on the matter. [9726/11]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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I propose to take Questions Nos. 363, 369 and 370 together.

The Renewable Energy Feed in Tariff programme (REFIT) was introduced in 2006. It is a support scheme for certain categories of new renewable generation, which ensures a minimum price is paid to producers over a period of 15 years. All EU Member States have support schemes for renewable generation. Feed-in-tariff schemes, such as the one in Ireland, are by far the most commonly used support mechanism. Over a 10 year period prior to the introduction of REFIT, renewable generation was supported through the Alternative Energy Requirement (AER) which was a tender based support scheme. Since 2006, REFIT has underpinned a significant additional amount of renewable generation underlining the critical importance of the continuation of a renewable energy feed in tariff system.

The REFIT scheme had State Aid approval from the European Commission to accept applications until end 2009. In 2010, my Department applied to the European Commission for renewal of the state aid approval to continue to offer REFIT until 2015. My Officials are finalising negotiations with the European Commission on the parameters of the second REFIT Scheme and a decision by the Commission is awaited. REFIT II will be implemented as soon as state aid approval has been obtained.

The renewable value of energy can only be legally traded in the context of the Co-operation Mechanisms set out in the EU Renewable Energy Directive 2009/28/EC (Articles 6-12). Any decisions to trade renewable energy will be done in that context which includes joint projects with other countries. Where Ireland engages in joint projects in future whereby the renewable value of energy is exported to another country, then it will be the latter's support scheme which will apply.

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