Barry Heneghan (Dublin Bay North, Independent)
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235. To ask the Minister for Communications, Climate Action and Environment if he will detail the actions being taken to enable profitable exports of surplus renewable electricity from Ireland, including reforms to electricity market structures and agreements with neighbouring countries; and if he will make a statement on the matter. [23163/25]

Darragh O'Brien (Dublin Fingal East, Fianna Fail)
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Modelling conducted in 2023-24 during preparation of the Future Framework for Offshore Renewable Energy (ORE) Policy Statement has estimated that a minimum of 16GW of ORE will be needed by 2050 to achieve a net zero economy.

An additional 21GW would be associated with energy export generation. Ensuring the economic viability of an energy system with this scale of offshore renewable capacity will require significant increases in electricity interconnection, a renewable hydrogen economy, and new industrial demand.

ORE projects beyond domestic net zero requirements will only be deployed following environmental, social and economic appraisal, including an evaluation of likely demand offtake.

Electricity Market Design is an EU competency and governed primarily by the Directive on common rules for the internal market for electricity (EU/2019/944) and the Regulation on the internal market for electricity (EU/2019/943).

To boost renewables, better protect consumers and enhance industrial competitiveness, the European Commission proposed a reform of the existing electricity market rules in March 2023 as part of the Green Deal Industrial Plan. The new electricity market design rules were adopted on 21 May 2024 and entered into force on 16 July 2024.

The electricity trading relationship with the Great Britain market is governed by the Trade and Cooperation Agreement between the EU and the UK.

Ireland has, and will continue to, engage with our EU partners, the Commission and the UK in the evolution of European and regional electricity arrangements.

In September 2023, Ireland signed two new Memorandums of Understanding (MoUs) on energy cooperation with the UK. The MoUs intend to increase renewable energy development and electricity interconnection between the island of Ireland and Great Britain.

In November 2023, Ireland and France signed a joint declaration of intent on energy transition cooperation relating to a range of areas of collaboration. Building on the successes of the Celtic Interconnector, EirGrid and the French Transmission System Operator, RTE, are exploring the feasibility of a second electricity connection between Ireland and France.

In May 2024, Belgium, Ireland and the UK signed a Joint Statement on Electricity Interconnection which comprised two commitments: to collectively explore the ideal operational and policy environment to facilitate the development of renewable electricity infrastructure in the North Seas; and to produce a report on the shared challenges, opportunities and solutions to developing offshore renewable infrastructure.

Ireland also collaborates regionally with our energy partners through the North Seas Energy Cooperation and the Offshore TSO Collaboration.

The benefits accruing from additional interconnection, including its export potential, will very much depend on the evolution of the energy systems in both Ireland and neighbouring jurisdictions.