Written answers

Tuesday, 10 November 2015

Department of Communications, Energy and Natural Resources

Energy Schemes

Photo of Patrick O'DonovanPatrick O'Donovan (Limerick, Fine Gael)
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565. To ask the Minister for Communications, Energy and Natural Resources the supports available to the hotel and hospitality sector for reducing energy costs; his plans to provide additional supports to the sector in relation to energy costs and energy efficiencies; and if he will make a statement on the matter. [39210/15]

Photo of Alex WhiteAlex White (Dublin South, Labour)
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A wide range of policy initiatives to promote an awareness of energy use and energy efficiency in the commercial sector, including the hotel and hospitality sector, have been implemented in recent years. These measures are focused on addressing the barriers identified to undertaking energy efficiency activity in the commercial sector rather than providing direct grant assistance to business.

The Government has committed €35 million to an Energy Efficiency Fund (EEF), which makes commercial financing available to businesses who want to boost their energy efficiency. In addition, a dedicated support programme for small to medium energy users has also been operated by the Sustainable Energy Authority of Ireland (SEAI) since 2008. The programme offers free energy management advice, mentoring, training and other support services to any business willing to show a commitment to becoming more energy-efficient. This service delivery includes the provision of an initial energy audit and offers a structured approach to energy management, in a form that can be adapted and tailored to the level of energy costs in the company.

The Accelerated Capital Allowances (ACA) scheme is a tax incentive whereby businesses can write off the full cost of investment in energy efficient equipment in the year of purchase. This assists in cash flow and in the financing of energy efficiency projects. There are now 52 technologies covered in 10 product categories (which includes a catering and hospitality equipment category), comprising over 10,000 products registered.

SEAI promotes the provision of high quality energy efficiency audits for businesses through supports for industry and SMEs including assistance with implementation of certified Energy Management Systems and the provision of energy audits to business through the Advice and Mentoring Scheme. Over 2,000 businesses, representing an annual energy expenditure of over €400 million, have already availed of this programme, with 10% energy savings routinely found in the first year and energy cost savings of up to 30% achieved in many cases.

An energy efficiency obligation scheme commenced in 2014. Under the scheme, energy suppliers are required to deliver mandatory energy savings. The obligation scheme encourages energy suppliers to work collaboratively with customers to identify potential savings and to share the benefits that these savings could deliver.

In 2012, the Government introduced a support scheme to incentivise the use of Combined Heat and Power (CHP) generation in the commercial and industrial sector. This support for CHP is in the form of feed-in tariffs for electricity produced from biomass CHP plants. A further support scheme that covers renewable heat is expected to be introduced in 2016.

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