Written answers

Thursday, 17 October 2013

Department of Communications, Energy and Natural Resources

Renewable Energy Feed in Tariff Scheme Expenditure

Photo of Dara CallearyDara Calleary (Mayo, Fianna Fail)
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148. To ask the Minister for Communications, Energy and Natural Resources if he will provide a breakdown for the years 2010-11, 2011-12, 2012-13, 2013-14 on the expenditure under the refit programme which was used to subsidise wind turbine energy projects; if he will provide a county breakdown of the allocations; the number of projects in each county; together with details of the way the funding is allocated to each project (%); and if he will make a statement on the matter. [44046/13]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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The primary support mechanisms for renewable energy, including wind farms, are the Alternative Energy Requirement (AER) schemes and the Renewable Energy Feed-In-Tariff (REFIT) schemes. These schemes were introduced to incentivise the development of the renewable electricity generation capacity necessary to allow Ireland to meet its target of 40% of electricity demand from renewable generation by 2020. This target must be achieved in order for Ireland to meet its binding obligation of 16% of total energy demand to be from renewable sources by 2020.

The estimates for how much subsidy is funded by way of the Public Service Obligation (PSO) levy each year since 2010-11 are published in the annual PSO decision by the Commission for Energy Regulation (CER). While the bulk of subsidies for renewable electricity generation paid under REFIT schemes have been for wind, the CER has initiated a project to generate a report on the annual and cumulative costs to date in relation to REFIT schemes for each technology supported. The following table presents the costs for REFIT since 2010-11:

YearREFIT
€m
2013/1451.1 (projected)
2012/1347.5
2011/1235.8
2010/1129.7

While a county by county breakdown of allocations under REFIT is not available, the following table sets out the number of REFIT wind energy projects by county:

CountyNo. of projects
Cavan4
Clare3
Cork21
Donegal26
Dublin1
Galway3
Kerry27
Kildare0
Kilkenny5
Laois1
Leitrim5
Limerick13
Louth1
Mayo9
Meath1
Monaghan1
Offaly3
Roscommon4
Sligo3
Tipperary22
Waterford4
Westmeath1
Wexford12
Wicklow2

REFIT schemes are designed to provide renewable electricity generators with the certainty required to finance their projects. Based around Power Purchase Agreements between generators and electricity suppliers, REFIT schemes guarantee a minimum floor price for each unit of electricity exported to the grid over a defined period. Costs associated with the REFIT schemes are payable from the PSO fund, which is raised by a levy on all electricity consumers. Allocations from the PSO fund are made by the CER on the basis of a minimum price per kilowatt hour for the amount of electricity exported to the grid by each REFIT project for the duration of a scheme.

Comments

Brendan Farrell
Posted on 24 Oct 2013 7:31 am (Report this comment)

To the Ministers office,

I am very keen to know the Ministers plans for the promotion of AD in the Republic Ireland for generation of renewable energy. From what is apparently true, Northern Ireland has granted planning permission for the construction of 30 AD facitilies out of 100 application to date as this is part of the initative/strategy to improve sustainability of energy from renewable sources while reducing their CO2 emissions. It seems the republic is lagging far behind with I believe to be less than 5 planning applications granted for construction of AD facilities. The Republic seems to be investing all PSO levies acquired money into wind energy and we all know that is not a reliable source.

My question is firstly: Why is there a PSO levy increase on the cards if we are generating electricity from renewable sources, should we not be stagnent or begin to see reductions?

Secondly why are we not doing more to encourage the construction of AD facilities in the republic when there is an EU directive for us to reduce biodegradable landfill municipal waste to 400,000 tonnes per annum by 2016.

An AD facilities requires approximately 20,000 tonnes of organic waste per annum to produce 1MW of electricity. Surely if our existing levels are at 600,000 tonnes there is scope to construct a further 10-15 just to cover our municipal waste. Then if you factor in the addition of animal slurries, maze, silage and energy crops there is scope for many more. AD is a proven technology that can be sustained with I believe the potential to provide approximately 12% of our energy needs per annum. Coupled with the increasing population and the planned 50% increase of dairy farming by 2020 we will be producing more methane gases, more slury and more animal wastes as a result. Does the government have a plan in place to counteract this.?

My figures may not be accurate so if the Minister could comment to put me straight it will be much appreciated

Regards
Brendan

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