Written answers

Thursday, 10 April 2025

Department of Communications, Climate Action and Environment

Energy Policy

Photo of Joe NevilleJoe Neville (Kildare North, Fine Gael)
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69. To ask the Minister for Communications, Climate Action and Environment to outline, given the increasing competing energy needs of both residents and large industries operating in north Kildare and other regions, the medium and long-term strategies that are being put in place to ensure a steady energy supply at sustainable price levels to meet those demands. [18003/25]

Photo of Darragh O'BrienDarragh O'Brien (Dublin Fingal East, Fianna Fail)
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The All-Island Resource Adequacy Assessment (AIRAA) is an electricity system security study that assesses the balance between electricity generation capacity and electricity demand over the next ten years. The recently published AIRAA 2025-34 shows an improved picture for Ireland's generation adequacy on last year’s study. This improvement is due to new generation capacity additions, an improved accounting of existing generation (including from renewables) and interconnection capacities. It is also due to risk mitigations, delivered by Government and State agencies, such as the delivery of Temporary Emergency Generation (TEG).

In their publication, EirGrid's median demand scenario forecasts demand to grow by 45% over the next 10 years, primarily driven by Data Centres and New Technology Loads in the short term with electrification of heat and transport becoming a more significant factor towards the end of the decade. This demand will be met by delivering more capacity to generate electricity, both renewable and conventional, and by managing demand to better match times of surplus – what’s called ‘flexible demand’. Delivery of key infrastructure, including grid reinforcements and interconnection, will also be important in securing the electricity system.

The Government has made a number of important commitments in respect of addressing the continued high cost of energy. The Programme for Government acknowledges the increased energy cost pressures on households and businesses and commits to bringing forward measures to help contain energy costs. The Government recently approved an extension of the 9% VAT rate currently applied to gas and electricity by a further six months to October 2025 at an estimated cost of €85 million. A Cross Government Energy Affordability Taskforce is currently being established to identify, assess and implement measures that will enhance energy affordability for households and businesses while delivering key renewable commitments and protecting security of supply and economic stability.

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