Mick Wallace (Wexford, Independent)
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39. To ask the Minister for Communications, Climate Action and Environment if he has read the research carried out by an organisation (details supplied) calling for an incentive scheme for solar photovoltaic (PV) electricity; if his Department will include solar PV in any new renewable electricity support scheme to replace the existing REFIT scheme; and if he will make a statement on the matter. [41704/17]

Denis Naughten (Roscommon-Galway, Independent)
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I am aware of the research referred to in the Question and my officials will review it the context of all submissions made through the Renewable Electricity Support Scheme (RESS) public consultation process. The new RESS is being designed to assist Ireland in meeting its renewable energy contribution to EU-wide targets out to 2030. The design of the new scheme has included an extensive independent economic appraisal. This appraisal compared the cost of supporting Solar PV (both rooftop and ground mounted) and a range of other commercial renewable technologies, at various scales including micro-generation, to ensure that the new scheme delivers value for money for energy users whilst also delivering on the energy pillars of sustainability and security of supply. The assessment also included analysis of the optimum financial support mechanisms for renewable technologies, in line with the 2014 EU State Aid Guidelines.

By way of a comparison, at the end of 2016, in Ireland 27.2% of electricity demand was met by renewable sources, which is very close to the EU average and represents one of the highest asynchronous renewable electricity penetration levels in Europe or the rest of the world. Other EU member states renewable electricity figures for end 2015 can be found in the following table:

Micro generation, including the use of solar PV panels on domestic rooftops, was also appraised as part of the RESS economic assessment. The analysis identified a number of challenges that may need to be addressed before the introduction of a tariff for exported electricity from solar PV rooftop installations. These include, among others, a reform of electricity network charges, an assessment of the distributional impact of such a policy decision on the PSO (cost burden sharing between those who can afford to participate and those that can not), and development of a fair tariff for exported electricity taking the benefits of self-consumption into account.

This approach is in line with experience from other EU member states and other countries around the world for example, from America and from Australia and Germany, each of whom have attempted to introduce supports for micro generation and whose failure to address these issues from the outset has led to regressive distributional impacts on the poorer in society.

I am committed to finding an appropriate mechanism for supporting micro generation, but it must be achieved in a fair and balanced manner, as I believe that micro-generation will have an important role in Ireland’s transition to a carbon free economy, in assisting Ireland meet its renewable electricity targets, and increasing social acceptance of and promoting renewable energy projects.

I have asked the Sustainable Energy Authority of Ireland to facilitate a workshop on micro generation which will take place on the 17th of this month. Over 100 focused stakeholders have been invited including the main trade organisations, public representatives, financial exerts, community groups, grid and energy sectors, NGOs and certain external organisations such as the FAI. 38 have already committed to attend and participate with the end goal being the development of a policy position on how to best support micro generation in Ireland.

Finally, a public consultation on the design principles of the proposed new RESS was launched on 4 September and submissions are invited from the public. All submissions will be considered and following on from this a design proposal will be brought to Government for approval. Full details of the consultation are available on my Department’s website at: