Éamon Ó Cuív (Galway West, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

852. To ask the Minister for Communications, Energy and Natural Resources the annual capital cost over a five-year period of extending natural gas supply to all towns nationally with a population of over 5,000 persons; and if he will make a statement on the matter. [26762/16]

Denis Naughten (Roscommon-Galway, Independent)
Link to this: Individually | In context | Oireachtas source

The information requested by the Deputy is not available to my Department.  The development and expansion of the natural gas network is in the first instance a commercial and operational matter for Gas Networks Ireland (GNI), which is mandated under Section 8 of the Gas Act 1976, as amended, to develop and maintain a national system for the supply of natural gas that is both economical and efficient. 

GNI's published "Connections Policy", which was most recently revised in 2015 and approved by the Commission for Energy Regulation (CER), sets out its policy for new connections to the transmission and distribution gas networks. Under this policy, GNI conducts studies to assess towns for connections to the gas network. In order for any town to be so connected certain economic criteria need to be satisfied, not solely population numbers.  These criteria provide that the construction and operating costs of connecting a town, or group of towns, to the network must be recovered through the consumption of gas and the associated network charges. Uneconomic gas pipeline projects would unfairly increase energy costs for all gas consumers. In this regard, the 2015 Energy White Paper underlined that new infrastructure proposals will continue to be assessed through robust analysis.

The Commission for Energy Regulation (CER) is statutorily responsible for assessing and approving the GNI Connections Policy, and it concluded its last such approval process in October 2015 following the usual public consultation.

I have no role in relation to gas connections policy.

I would also point out that any proposals for extensions of energy infrastructure must have regard to Ireland's policy for transition to a low-carbon economy by 2050, as stated in the Energy White Paper, 2015.