Written answers

Tuesday, 4 December 2012

Department of Communications, Energy and Natural Resources

Renewable Energy

Photo of Patrick NultyPatrick Nulty (Dublin West, Labour)
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To ask the Minister for Communications, Energy and Natural Resources his views on delays in building out grid to facilitate the construction of wind farms; his views on whether it is necessary to extend the deadline for the REFIT 2 support scheme beyond 2015; and what will happen to wind farms that do not get grid access early enough to allow them to build within the period of REFIT 2 eligibility. [54074/12]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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Ireland has a challenging 2020 renewable energy target to meet and the bulk of the target is expected to be met in the electricity sector, given the challenges in transport and heating. Gate 3 and the implementation of Grid 25 (including the North South Interconnector, Grid West and Grid Link) are essential elements in ensuring that we can deliver on our target. Any delays in building out grid reinforcements are therefore very concerning and my Department liaise on an ongoing basis with EirGrid and ESB Networks in this regard.

REFIT 2 opened earlier this year and is for projects connected by end 2015. The Department had initially approached the European Commission with a request to keep the scheme open until 2020, however the Commission considered this to be too long from a state aid perspective. This obviously poses challenges as many of the projects required to meet our 2020 target will not be built by end 2015. A new scheme will be required for the post 2015 period.

With the move to develop a target European electricity market as part of the EU third package, the SEM Committee have a consultation open on how the electricity market on this island will become compliant with the target model. Following this decision being made, consideration will begin in 2013 as to what format a post 2015 renewable support mechanism will take. The European Commission is also due to publish voluntary guidelines on design of renewable energy support schemes in 2013, which the new scheme will take account of. In line with evolving thinking, the new scheme is likely to involve greater market exposure for renewable developers. We would intend to have the new scheme in place by 2014, well before the REFIT 2 scheme ends.

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