Written answers

Tuesday, 27 September 2016

Department of Communications, Energy and Natural Resources

Renewable Energy Feed in Tariff Scheme

Photo of Clare DalyClare Daly (Dublin Fingal, Independent)
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855. To ask the Minister for Communications, Energy and Natural Resources the situation with regard to feed in tariffs for renewable sources of energy; if his attention has been drawn to the fact that the small-scale solar and wind industry here has ground to a halt due to the lack of a feed in tariff for domestic scale investments; if he will direct the Commission for Energy Regulation to provide for small-scale producers a clear system whereby they will know that they are going to get a return for their investment; if he will ensure that his Department delivers on providing a REFIT rate for the solar energy industry within the next few months; and if he will make a statement on the matter. [26886/16]

Photo of Denis NaughtenDenis Naughten (Roscommon-Galway, Independent)
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The Energy White Paper and the Programme for Government contain commitments to facilitate the development of solar energy projects, recognising that solar photo voltaic (PV) also has the potential to provide a community dividend, thereby enhancing citizen participation in Ireland's energy future.My Department is working on the development of a new renewable electricity support scheme (RESS) and while no decision has been taken on the precise renewable technologies to be supported, the cost and technical viability of solar photovoltaic (PV) - both roof-top and utility-scale - is being examined as part of the assessment process. Micro-generation technologies including small-scale wind is also being examined as part of the development process. The work on micro-generation will be informed by an analysis which has been completed by the Sustainable Energy Authority of Ireland (SEAI) of the potential of technologies in the field of small-scale wind, solar, micro-CHP and small-scale hydro.

It is important that any new scheme strikes the right balance between the interest of the Irish consumer and would-be investor. While the introduction of any new scheme - including the overall costs and technologies to be supported – will ultimately be subject to Government approval and State aid clearance from the European Commission, it is expected that a new support scheme will become available in 2017. There will however be an additional public consultation phase on the design of the new scheme, the details of which will be advertised on the Department’s website www.dccae.gov.ie.

The existing Renewable Energy Feed-in Tariff (REFIT) schemes are now closed to new applications.  These schemes have proved successful at incentivising the development of the renewable electricity generation capacity necessary to meet our 40% renewable electricity target, and figures calculated by the SEAI show that in 2015 some 25.3% of electricity demand was met by renewable sources. Although the existing REFIT schemes are closed for new applications, there are still renewable projects under construction that are expected to materialise in the coming years, and which will contribute to the 2020 target.

While I have no statutory function in the matter, I am aware that from February 2009 Electric Ireland offered a feed-in tariff on a commercial basis to domestic micro-generators but which was subsequently closed to new entrants from the end of 2014. More recently, Electric Ireland extended the tariff to their existing customers from the end of 2015 until the end of 2016.  To date, no other electricity supplier has chosen to provide such a tariff, to either domestic or commercial customers, although they have been invited to do so by the Commission for Energy Regulation (CER).

Finally, the Sustainable Energy Authority of Ireland currently provides supports for the use of solar thermal heating technology to both large industry and SMEs. Households can also avail of grant support for investment in renewable energy installations, including solar thermal, under the Better Energy Homes Scheme.

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