Vol. 560 No. 1
136 Ms Burton asked the Minister for Communications, Marine and Natural Resources if his attention has been drawn to the warning from EirGrid of electricity shortages by 2005, unless new power stations are built; the plans there are for the provision of additional power stations; and if he will make a statement on the matter. [1830/03]
I have been advised by the Commission for Electricity Regulation, CER, of the need for additional electricity generating capacity to come on stream by 2005. This information is based on the most recent forecast statement, entitled Generation Adequacy Report 2003-2009, which was published by ESB National Grid last November in accordance with section 38 of the Electricity Regulation Act 1999. The forecast statement has identified that it would be prudent, based on a median demand-low plant availability scenario, to obtain at least 300mw of centrally dispatched, large-scale plant by 2005 in order to maintain supply-demand balance.
Under section 9 of the Electricity Regulation Act 1999, the CER, in carrying out its duties, is required to have regard to the need, inter alia, to secure that all reasonable demands for electricity by final customers are satisfied, in addition to promoting the continuity, security and quality of supplies of electricity. Given that at present there is no firm commitment from prospective participants to construct the amount of capacity required, the CER, in exercise of its responsibilities, published on its website in October 2002 a consultation process, Investment in new Electricity Generation Capacity. On foot of that process, the CER announced on 20 December 2002 that, following extensive consultation and having examined a number of options, it was of the view that the most appropriate approach to securing additional capacity is to award a contract to one or more successful bidders, through a competitive process for the purchase of 300mw – 400mw of electricity. The CER is also of the view that ESB, operating as the Public Electricity Supplier, PES, is best placed in the market to offer such a contract. The CER is currently developing the framework for the competitive process and for awarding the final contract with ESB PES. Further details will be published by the CER in the near future.
