asked the Minister for Energy the proposals, if any, the Government has for an extension of the natural gas pipeline north of Dublin; if EC funding has been sought for this project; if EC funding has been agreed; and if he will make a statement on the matter.
Ceisteann—Questions. Oral Answers. - Natural Gas Pipeline Extension.
13.
The EC Commission has sanctioned £12 million from the Regional Fund for the extension of the natural gas grid northwards from Dublin to Dundalk. This project will commence immediately. It is also planned to lay spur lines to population centres and to the horticultural industry in North County Dublin.
I will make a copy of my press statement of 6 January 1988 in relation to the project available to the Deputy if he requires.
I am glad to hear that the EC have come across but I understand that the pipeline could cost up to £30 million. Because of the enormous financial difficulties we are experiencing at present could the Minister say where the £18 million would have come from?
This is a viable proposition which is being supported by the board of BGE and they will be funding it.
Can I ask the Minister if in view of the close proximity of the town of Ardee to the pipeline and in view of the enormous unemployment situation there if he would give some consideration to extending a spur line to that town in order to attract a suitable industry to the area.
That sounds like a very good idea which I will bring to the attention of Bord Gáis Éireann immediately.
Can the Minister give us some information in relation to the expected consumption of gas by virtue of the continuation of the spur lines through an area of County Dublin with which he is familiar. Can he give us an idea of the expected uptake or offtake of gas by virtue of the spur lines and also can he inform the House whether any discussions are taking place. He did say earlier that discussions are taking place in relation to possibly selling gas to the United Kingdom. In the course of those discussions would there be a possibility of reopening the discussions in relation to selling to Belfast or to Northern Ireland?
The Deputy will be aware from his own experience in the Department of Energy of the complications in the cross-Border markets. Because of British Government decisions the market in the North is quite small, they have run down their gas industry to practically nothing. In relation to possible sales in the Dublin Airport, Swords area there would be about 11 million therms, Drogheda would have about 14 million, Dundalk about 4 million and Dunleer about 500,000. Those are roughly the figures.
Can I ask the Minister to elaborate further on that. To what extent will those projected volumes be replacement of heavy fuel oil and to what extent will they be replacement of premium fuel diesel oil?
I have not got the breakdown available before me but I will get it and send it to the Deputy. The main attraction from the point of view of the pipeline is that its direction is from Finglas to Ballough in North County Dublin and then past Drogheda. It brings it close to the horticulture industry which fits in with the Government's policy of horticultural development as was evidenced by the establishment of An Bord Glas. We are attempting to do everything we can to encourage greater support for our horticultural industry. They have for many years been faced with unfair competition from the Dutch who had natural gas available to them. It is Government thinking that the availability of natural gas will make our horticultural industry far more viable and far more able to compete.