John Curran (Dublin Mid West, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

1794. To ask the Minister for Communications, Energy and Natural Resources when his Department will complete development of a new renewable electricity support scheme (details supplied); and if he will make a statement on the matter. [28728/17]

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

The 2009 EU Renewable Energy Directive sets Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. Ireland is committed to achieving this target through meeting 40% of electricity demand, 12% of heat and 10% of transport from renewable sources of energy, with the latter target also being legally binding. The Programme for Government contains a commitment to facilitate the development of solar energy projects in Ireland. This builds on the commitment in this area in the 2015 Energy White Paper.

With respect to renewable electricity, my Department is currently developing a new Renewable Electricity Support Scheme (RESS) which will be designed to assist Ireland in meeting its renewable energy contributions out to 2030. Analysis is on-going against a range of commercial renewable technologies at various scales and includes an assessment of the cost of supporting Solar Photovoltaics (PV) - both rooftop and ground-mounted. The assessment also includes analysis of the optimum financial support mechanisms for renewable technologies, in line with the 2014 EU State Aid Guidelines.

My Department will shortly publish a public consultation on the design of the new support scheme. Following the outcome of this public consultation, and before any new scheme is introduced, it will need to secure Government approval and state aid clearance from the European Commission. Subject to this, it is expected that the new scheme will become operational in 2018.

I am fully aware of the level of interest in the solar PV sector in Ireland, by both state-owned and private-sector companies. I am advised that there have been over 550 applications, amounting to about 3,900 Megawatts of solar capacity, seeking a connection to the electricity grid in the last 18 months.

Notwithstanding the level of solar applicants seeking connection to the grid, my stated position is that while solar has a role to play in Ireland’s energy future, we cannot have a situation where a new support scheme leads to a disproportionate increase in people’s electricity bills through the Public Service Obligation levy. In designing the new RESS, the cost implications for people and businesses will, therefore be a high priority and I will ensure that the new scheme is designed in a cost efficient manner and will take advantage of falling renewable costs.

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.