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Dáil Éireann debate -
Tuesday, 18 Apr 1989

Vol. 388 No. 8

Written Answers. - Gas Sales.

16.

asked the Minister for Energy the level of gas sales at premium prices, that is, those obtained by replacing gas oil, which his Department generally requires per kilometre of gas pipeline to justify the investment.

Evaluation of construction projects to be undertaken by BGE, is based on economic criteria, rather than kilometre of pipeline built. BGE is a commercial State-sponsored body and as such must make commercial decisions with regard to all development projects. Standard business investment analysis techniques are used based, among other things, on potential incremental net revenue. This latter element varies depending on a number of factors, including the size of the load, the fuel or fuels being displaced and the conditions of supply.

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