Michael Moynihan (Cork North West, Fianna Fail)
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24. To ask the Minister for Communications, Energy and Natural Resources if he will provide an update on the Grid25 proposals; his views that Grid25 is still necessary; his further views on the stability of the grid in view of the current percentage of wind energy on the grid; and if he will make a statement on the matter. [47259/14]

Joe McHugh (Donegal North East, Fine Gael)
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EirGrid’s Grid25 strategy is a major initiative that proposed significant new build of transmission capacity and the upgrading of around 2,000km of existing lines. It comprises over 100 projects ranging from large projects such as the North-South transmission line, to smaller projects involving upgrades.

Grid25 will facilitate regional economic development, together with job creation and growth. It will allow for long term growth in the demand for electricity and ensure the efficient operation of the All Island Single Electricity Market. It will reduce our dependency on imported fossil fuels by putting the infrastructure in place to enable us use our own natural resources, and to reach our 2020 renewable energy target.

Grid25 was initially forecasted to cost up to €4 billion when first proposed in 2007. EirGrid reviews all projects and strategies at regular intervals to take into account relevant developments including economic conditions and electricity demand forecasts. In 2010, a review of Grid25 resulted in EirGrid reducing the estimated cost of the programme to €3.2 billion. EirGrid is currently undertaking a further review, with the outcome expected in the first quarter of 2015.

Wind generation continues to be the strongest driver of growth in renewable electricity, with over 16% of our electricity demand being met by this indigenous resource in 2013, and it w ill continue to play a critical role in meeting our commitment to achieve our overall EU obligation of 16% of energy from renewable sources in 2020.

Electricity demand must be met by generating the exact amount of electricity required at any point in time. EirGrid maintains this balance between demand and supply by managing grid stability in real-time. System frequency is an indicator of success in managing the supply/demand balance. On numerous occasions in recent years, the amount of variable wind power on the system has been over 50%, and system frequency has been successfully and safely managed.