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Dáil Éireann debate -
Thursday, 29 Jan 2015

Vol. 865 No. 3

Priority Questions

Wind Energy Generation

Michael Moynihan

Question:

1. Deputy Michael Moynihan asked the Minister for Communications, Energy and Natural Resources his views on the recent mechanical failure of certain wind turbines here; the reason these failed; if he has requested a report on these incidents; and if he will make a statement on the matter. [3773/15]

Is the Minister concerned about the recent mechanical failure of certain wind turbines in Ireland? What information does he have on these failures? Has he requested a report on the incidents and, if so, will he make a statement on the matter?

I am advised that there was an incident at Tursillagh wind farm in County Kerry in which a blade became detached from a turbine. My Department has contacted the wind farm operator who has advised that the incident is being investigated. The operator has sought a report from the turbine manufacturer and has agreed to keep my officials informed of developments.

My Department has also been in contact with the Health and Safety Authority, HSA, the agency with responsibility for workplace safety under the Safety, Health and Welfare at Work Act 2005. It should be noted, however, that a place of work as described in that Act would only cover wind turbines during their construction or during any maintenance that might need to be undertaken thereafter. Nevertheless, the Department of Jobs, Enterprise and Innovation, under whose aegis the HSA operates, has advised that the authority is aware of the incident and is also making inquiries with the operator of the wind farm to establish the facts and consider any appropriate action.

I have asked my officials to monitor this matter closely and to consider what action, if any, may be appropriate after the report of the manufacturer is made available.

There was also an incident in County Tyrone. Has the Minister sought any information from his counterparts in the North of Ireland on the issue? It is causing widespread concern. There is much concern over wind farms and their development and this is another issue about which communities may have concerns. I acknowledge what the Minister said about the incident in Tralee and I ask him to keep us updated on any issues in that regard. Does the Minister have any information on the incident in County Tyrone in early January? Has he sought information from his counterparts on that incident which is a very serious issue based on the initial reports I have seen on it?

I was asked about a particular incident in the jurisdiction and I have addressed that. If there is any basis on which my Department or I needed to intervene or take an interest in the incident outside the jurisdiction as mentioned by the Deputy, that could certainly be considered. However, the matter I was asked to address was the one in County Kerry.

I am aware of a small number - less than a handful - of reported incidents relating to wind farms. While all reported incidents in this jurisdiction should be assessed or investigated to identify the cause and any mitigating actions, given the number of incidents relative to the size of the deployed fleet of wind turbines across the country, it would be reasonable to assert, without displaying any complacency, that the technology is safe.

Wind turbines come within the scope of the machinery directive, one of the new approach directives transposed into Irish law through the European Communities (Machinery) Regulations 2008.

The overall objective of the EU machinery directive is the harmonisation of the essential health and safety requirements across all countries and jurisdictions within the European Union. The aim is to promote the free movement of machinery across the Single Market, while guaranteeing a high level of health and safety protection to workers and citizens.

The question I tabled was on wind turbines in Ireland and I thought County Tyrone was in Ireland. However, I will make sure I will put down the Republic of Ireland in any future questions. I was looking for information on Tyrone and I would ask the Minister to get as much information on the record on this. There are concerns in communities throughout the country. I have sought information on this. Wind farms are contributing greatly to the renewable targets and so forth, but I think it is vitally important that we have every bit of information possible on it. I think the Minister has answered the question. However, I would appreciate if he would get as much information as possible at a higher level from his counterparts.

I am always happy to assist the Deputy. One reads newspaper reports and we have contacts with our colleagues in Northern Ireland through the North-South Ministerial Council, but if there is a specific incident in which the Deputy wishes me to take close interest, I will do that if he contacts me after this session.

Renewable Energy Generation

Michael Colreavy

Question:

2. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the way the falling price of oil will affect renewable energy development. [3934/15]

How will the falling price of oil affect renewable energy development, not just in Ireland but throughout Europe, and what impact might this have on our strategy for renewable energy?

The overarching objective of the Government's energy policy is to ensure secure and sustainable supplies of competitively priced energy to all consumers. Security of energy supply is crucial to every society and economy. A well-balanced fuel mix that provides reliable energy, minimises costs and protects against supply disruptions and price volatility is essential to Irish consumers and businesses. The Sustainable Energy Authority of Ireland, SEAI, publication, Energy in Ireland 1990-2013, noted that oil and gas are a critical component of our energy mix, providing 76% of primary energy requirement in 2013. While Ireland has made considerable progress with regard to the use of renewable energy, it is the case that fossil fuels will continue to provide the largest share of the energy mix well into the future.

The 2009 EU renewable energy directive set Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. To meet this target, Ireland is committed to meeting 40% of electricity demand, 12% of its heat and 10% of its transport from renewable sources. Figures for 2013 show that 20.9% of electricity demand was met from renewables. Oil price fluctuations will not impact on our 2020 renewable electricity commitment.

Ireland is regarded as a stable and favourable investment environment for renewable energy production supported by a variety of policy initiatives, including the renewable energy feed-in-tariff, REFIT, scheme, the employment investment incentive scheme and an accelerated capital allowance scheme. It is the case that the development of renewable energy in Ireland is lowering our exposure to the volatile fossil fuel imports market in the long run. The existing feed-in tariff reflected in the public service obligation, PSO, levy is a very cost-effective tool to support this development, as outlined in a report published by the Council of European Energy Regulators this month.

I am continuing to develop policy and options aimed at increasing our security of supply, addressing our dependence on imported fossil fuels and achieving a more secure energy mix, while capitalising on indigenous renewable and conventional energy sources. My Department continues to refine various policy options for my consideration and I intend to publish, as the Deputy knows, a definitive energy policy in September.

I am heartened to hear that it will not have an impact. The public has an expectation that energy prices are going to reduce. As the Minister knows, some companies have announced a reduction in prices and there probably will be and should be further reductions. However, it should not impact on our strategy for renewable energy. Oil prices will fluctuate. I am heartened to hear that this has been taken into account by the Government.

The Minister mentioned the public service obligation levy. In energy bills, VAT is applied to the public service obligation levy. I do not know if this is within the remit of the Minister or that of the Revenue Commissioners. However, it is the equivalent of having VAT on VAT. It is wholly wrong and should be changed. Will the Minister raise this issue with the Revenue Commissioners?

The Deputy said he is heartened by my response and I am heartened by his support for the general direction of policy in respect of the mix of our energy sources which we need to have in this country. The fall in the price of oil on the international markets has been significant, but we know that when we plan our energy policy, we need to take a medium to long-term perspective. We all know that the price of oil on the international markets has varied not just over the months and years but over the decades. It is a dynamic factor. We need to stick to the course we have adopted in terms of ensuring that we have energy security, meet our targets and have a sustainable energy policy. We should not be thrown off that course. The Deputy is right on this.

On the application of VAT, this is not a matter for me. It is a policy matter on the application of taxes such as VAT. I take and understand the Deputy's point, but it is not something over which I, as Minister, have any control.

Will the Minister raise this issue with the Revenue Commissioners, because it is patently wrong? It is the equivalent of VAT on VAT.

I am willing to get for the Deputy the rationale for the application of VAT. I will not stray into other people's areas of responsibility but I am not sure that I completely agree with him that it is tantamount to VAT on VAT. However, I understand the point the Deputy is making. I will arrange for him a briefing note on it.

Renewable Energy Projects

Richard Boyd Barrett

Question:

3. Deputy Richard Boyd Barrett asked the Minister for Communications, Energy and Natural Resources his views that we must significantly expand the number of district energy schemes and co-operatives generating renewable energy as a means to developing sustainable energy and creating employment; and if he will make a statement on the matter. [3959/15]

Following on from some of the Minister's earlier comments and the discussions we had during our previous session in this House, and given the concern about the focus on big industrial wind turbine projects, the Minister stated that we needed to explore alternatives and that the Government was keen to do this. What sort of focus is the Government intending to put on smaller-scale district energy projects and co-operatives in terms of trying to develop our renewable energy mix in a more sustainable way and in a way which is more acceptable to the public and to local communities?

This is an interesting issue which the Deputy has raised before and I thank him for raising the matter and his interest in it. One of the central themes in the Green Paper on energy policy is citizen empowerment. In 2014, my Department began a public consultation process which included a series of stakeholder seminars on the various priority areas in the Green Paper, covering a number of topics, including empowering energy citizens and putting the energy system on a sustainable pathway. A recurring message coming from both the submissions received and from the feedback from the seminars was the role that community energy could play in our future energy systems. The views submitted will be taken into account in the formation by me of the new energy policy framework.

It is important to note the various community level initiatives currently supported by the Government, including the development of community energy through the better energy areas and communities programme which is administered on my behalf by the Sustainable Energy Authority of Ireland. The programme allows community and locally based organisations to apply for funding on a competitive basis to support sustainable energy upgrades to existing buildings and facilities. It also promotes the creation and development of locally based entities that can engage and mobilise community resources to lower energy bills and boost local employment. A number of district energy schemes and community co-operative projects have been supported, including district heating schemes in Tralee and Longford as well as the Aran Islands energy co-operative, where the retrofit of homes and buildings on the islands has been funded with the ambition of installing community wind turbines.

Additionally, the European Union (Energy Efficiency) Regulations 2014 set out a range of requirements for the promotion of energy efficiency, including a requirement for the SEAI to undertake an assessment of the potential for the application of cost-effective district heating and combined heat and power, CHP, in Ireland. The development of biomass-fuelled CHP and district heating, as well as improving energy efficiency, has the potential to contribute to our renewable energy targets. The comprehensive assessment is expected to be completed during 2015.

Can the Minister be more specific about when be believes this will happen? I was looking over the programme for Government, which was written in 2011. It states: "We will double funding for home energy efficiency and renewable energy programmes..." I have tabled a question on the rolling out of the pay-as-you-save retrofitting scheme. Again, the programme states: "We will work to promote a greater appreciation of the co-operative model as a distinct form of organisation...including in areas such as...energy retrofitting, environmental protection..." and so on.

The Minister mentioned two or three examples, but that does not seem like a great delivery on those commitments. On the other hand, as we have discussed at length in the House, we have had big industrial wind turbine projects that have faced substantial opposition, some of which are floundering now. There was a commitment in the programme for Government to put a focus on the smaller local renewable energy projects based on co-operatives and so on, but, save for the two or three examples the Minister has cited, there does not seem to be much delivery. It seems to me that we need to move faster and far more extensively on the matter.

The Deputy has fairly raised the issue of resources and the extent to which we can find and devote more resources to these projects. It is a fair point. Resources have been scarce all around Government for reasons that are well known in the House. Anyway, I believe matters have improved. We have a budget for the support programmes that I referred to in my reply. I am keen to see us having more resources in due course to devote to these kinds of project and I have taken a generous view when meeting representatives of communities who want to bring forward projects of this nature. In the course of the next period I believe more resources will be available, just as there will be more resources available across Government, to do the things we want to do.

The question of where these community projects fit into the broader policy mix is relevant. That is a job for the definitive energy policy statement that I intend to publish in September. We are in a process at the moment in that regard. Many of these issues and ideas were signalled in the Green Paper and we are bringing them forward. I have met many individuals and groups to discuss these matters. I welcome the Deputy's input, but in terms of the overall policy sweep, it is a matter for the White Paper, which I will publish in September.

A total of €335 million per year comes from the public service obligation levy, which is supposed to be focused on developing renewable energy. It would be interesting to see a breakdown and to discover exactly where it is going and the extent to which it is going to local projects or smaller-scale community-based projects, co-operatives and so on.

I welcome the fact that the Minister has referred to September. At least we have a date. Regardless, I believe the roll-out of these projects is rather slow. Money is available through the strategic investment fund amounting to billions of euro. Sources of funding are available. Many schemes could be self-funding if we put in some of the money up front. They would actually pay for themselves in the medium to long term. Anyway, I do not believe the roll-out, investment or focus on these things has been extensive enough.

As part of the energy review I hope the Minister will discuss an option that I have suggested to him, which was suggested to me, in turn, by the Woodland League. This is the issue of 500,000 acres of Coillte lands that are not being used by Coillte but that could be used by local communities and co-operatives to develop these kinds of project.

I take on board all of those ideas. I assure the Deputy that the more resources I can get for this, the better. I will seek to obtain as much support as possible in respect of these initiatives and I believe the Government has been supportive.

The Sustainable Energy Authority of Ireland is the body that leads and directs in this area. I encourage Deputy Boyd Barrett to engage with the authority, perhaps through me. The authority is keen to ensure that there are community supports. Many have been put in place, but we can increase the total. This can be done from a substantive point of view in terms of what the local projects can achieve for their localities.

The broader point that the Deputy makes is fair, and others have made it in this House as well. The development of energy and community buy-in is something all the citizens of the country have a stake in. "Buy-in" is the phrase that is often used. The idea is that we work together as a community to work out what our energy needs are for the future and what the various mix of energy sources should be.

I do not disagree with the Deputy, save to say that it is not true to suggest that there have been no developments. There have been a number of developments and I am keen to see more, just as he is.

National Postcode System

Michael Moynihan

Question:

4. Deputy Michael Moynihan asked the Minister for Communications, Energy and Natural Resources to set out how privacy concerns surrounding Eircode will be addressed by his Department; and if he will make a statement on the matter. [3958/15]

There is much concern about privacy and data protection with regard to Eircode. The issues have been articulated by many groups. Has the Minister considered this in detail? Will he address it and make a statement on the matter?

I thank the Deputy for raising this issue. Privacy and data protection issues have been part of the debate on the postcode system, now branded as Eircode, since the establishment of a national postcodes board in 2005 to examine the introduction of postcodes in Ireland. There has been engagement by my Department with the Office of the Attorney General and the Office of the Data Protection Commissioner on Eircode generally at various points since then. This has been under discussion for ten years, since 2005.

The main challenge in designing Eircode was to find a design that addressed the fact that 35% of addresses in Ireland were non-unique. An area-based code would not have addressed this problem and would have resulted in a sub-optimal solution.

The Office of the Data Protection Commissioner has expressed concerns in the past about data protection aspects of the design of Eircode. The design of the code and the concerns that have been expressed have been accorded high priority in the project implementation in order that any privacy issues are comprehensively managed. Holders of personal data are bound by data protection legislation on how they store and use this data, and the introduction of Eircode will not alter this obligation. In addition, the contract with Capita, the Eircode management licence holder, contains a range of safeguards on data protection. Furthermore, commercial organisations selling products based on Eircode will also be subject to stringent data protection requirements.

To ensure that the public can have absolute confidence in the project, I plan to bring proposals for legislation to Cabinet shortly on data protection in respect of the Eircode project. The proposed legislation will provide clarity on the use of Eircodes and Eircode databases to ensure that data protection issues affecting the project and the general public are fully addressed.

Therein lies the issue: should the legislation the Minister is proposing not have come before Eircode is rolled out? When will that legislation be debated in the Houses of the Oireachtas? When will it be published? Will it be enacted in statute? Will it be the law of the land before Eircode is rolled out?

I hope to bring the draft legislation to Government shortly, within a period of weeks. The Deputy asked whether it is intended to have the legislation enacted before the roll-out of Eircode. It absolutely is.

The line used in recent months was that there was no issue in respect of data protection, that all the consultation had taken place in respect of data protection and that the Department and the Government were satisfied with the data protection regulations, in spite of the fact that a raft of people had been raising concerns. However, there must have been a serious issue if the Government has now embarked on the road of putting legislation before the House. Obviously, there must be a major issue in this regard. The advice given to those of us in the Joint Committee on Transport and Communications and in replies to parliamentary questions must have been incorrect. That is what I have been led to believe from this morning's answer.

I gave the same answer any time I was asked. There has been ongoing contact with the Data Protection Commissioner. It is no secret that the Data Protection Commissioner raised certain concerns.

The Department undertook a privacy impact assessment at the request of the Office of the Data Protection Commissioner. The purpose of that privacy impact assessment was to ensure that any potential privacy impact on individuals as a result of the introduction of Eircode would be recognised and addressed. The assessment has concluded that the introduction of Eircode is unlikely to have any significant adverse effect on the right to privacy.

In addition to the licensing conditions with Capita, some strengthening of the data protection safeguards associated with the postcode operation is recommended. It will be a short Bill. One could describe it as a belt and braces approach. There is no suggestion that the project would not be covered by the Data Protection Acts. Where the storage and use of information collected is covered by the Data Protection Act, it will continue to be the case. However, there is no harm in ensuring, by way of a short Bill, which will be brought before the House once the Government has agreed it, that there will be no concerns whatsoever. There is nothing new in that.

When was the privacy report commissioned? When was that initiated by the Department? How far back into this process? We have had this process before the committee for a good few discussions and all the concerns of Members and the public were dismissed out of hand.

Off the top of my head, I cannot tell the Deputy when it was commissioned, but I can tell him that it was brought to me and I saw it, to the best of my recollection, some time in the autumn. I am guessing - I would have to get the Deputy the exact dates and I have no difficulty in doing that - I had that report presented to me about three or four months ago.

Three or four months ago?

Yes, something of that order.

Climate Change Policy

Richard Boyd Barrett

Question:

5. Deputy Richard Boyd Barrett asked the Minister for Communications, Energy and Natural Resources the input he had into the climate action and low carbon energy Bill; if he or his Department will be represented on the expert advisory council; and if he will make a statement on the matter. [3960/15]

There was quite an extensive debate about the climate action and low carbon energy Bill in the House this week. The response to that Bill from environmental organisations has been very critical, for two primary reasons. One is that it fails to bring in binding targets and the other relates to concerns about the independence of the advisory council that would advise the Government on developing plans in the area of mitigation, CO2 reductions, adaptation and so on. I just want the Minister's response to this. I believe the Labour Party was pushing for the independence of the advisory committee, but there is great concern that the structure of that committee will not be independent in the way that it should be and that, taken with the lack of binding targets-----

The question was to ask me my input to this Bill. It is under the remit of the Minister for the Environment, Community and Local Government and not mine, but my Department participates fully in the whole of Government approach to addressing the challenges of climate change and the transition to a low carbon energy system and, in this regard, had an input to the climate action and low carbon energy Bill.

The Bill is to provide for the approval of plans by the Government in relation to climate change for the purpose of pursuing the transition to a low carbon, climate resilient and environmentally sustainable economy by the year 2050. The Bill represents a commitment to existing or future obligations of the State under the law of the European Union and any relevant international agreement. It provides for the making, by the Minister for the Environment, Community and Local Government, and submission to the Government for approval, of a national low carbon transition and mitigation plan, and a national climate change adaptation framework. My Department is fully engaged with the Department of the Environment, Community and Local Government, and all other relevant Departments and agencies, in progressing this work.

As the Deputy points out, the Bill also provides for the establishment of a national expert advisory council on climate change, which will consist of a chairperson and between eight and ten ordinary members, four of whom shall be ex officio members comprising the heads of the Environmental Protection Agency, the Sustainable Energy Authority of Ireland, Teagasc, and the Economic and Social Research Institute. The Sustainable Energy Authority of Ireland, as the Deputy is aware, is an agency under the remit of my Department. The members of the council will be appointed by the Government, on the nomination of the Minister for the Environment, Community and Local Government. In nominating and appointing the chairperson and ordinary members, other than the ex officio members, regard will be had to the range of qualifications, expertise and experience necessary for the proper and effective performance of the functions of the expert advisory council. The functions of the council will be to advise and make recommendations to the Minister for the Environment, Community and Local Government in relation to the national mitigation plan, the national adaptation framework and sectoral adaptation plans.

The fact that it is under one Department is almost by the by. In this area, more than most, we need joined-up thinking between a number of Departments. Underlying some of the concerns about the failure of the Bill to establish binding targets and concerns about the lack of independence of the advisory body is a belief that there may be a tension between certain interests, possibly within agriculture or industry, and others, who see a significant urgency in meeting CO2 targets and coming up with strategies that can help achieve that. That is what was lacking. The worry is that the lack of independence of this body and the lack of targets indicate a lack of seriousness about meeting these targets, or a lack of detailed sectoral plans, projects, focus and investment in reducing CO2 emissions in a serious way.

As the Deputy is aware, we have binding 2020 targets, which require us to act. My Department is critically involved with those targets. I have given information to the House before - in fact, earlier in my contribution this morning - on this. They are very exacting targets and they require an enormous amount of work. That work is continuing. It is not a question of there not being targets. There are targets.

The Deputy must appreciate that I do not have seisin of this particular piece of legislation; my colleague, the Minister for the Environment, Community and Local Government, Deputy Alan Kelly, does. I would not assume, as the Deputy appears to, that the national expert advisory council would lack independence. I have given an indication of the intended make-up of the body. I do not see any basis for the Deputy to assume in advance that there would be any difficulty with that council, but in the course of the debate on the legislation, the Deputy will be able to bring forward any concerns he has about that council, because I agree that it should be a fully effective body, which should assist the Minister and the Oireachtas in this critically important area.

There is concern that the permanent members of this advisory body are all from State agencies - there are no permanent positions for particular environmental interests - but, to cut a long story short, and it has been a theme in many of the questions I have put to the Minister recently, there is also concern that there has been a sort of single focus in terms of producing renewable energy. The focus has been on big, industrialised wind projects. There is another big interest - an important one, do not get me wrong - in the area of agriculture, dairy farming and so on. There is concern that these things dominate the perspective when it comes to dealing with issues, rather than exploring other possibilities, hearing other voices and having other projects and more diversity in developing renewable energy resources and meet CO2 reduction targets. The fear is that the Bill reflects that and that there must be a much greater diversification and focus on alternative energy resources and methods of reducing CO2 emissions.

Work can be done on the advisory council in the course of the passage of this legislation. I do not think the Deputy intended to do so, but I would not dismiss representatives of State agencies, for example, the Environmental Protection Agency, the Sustainable Energy Authority of Ireland, Teagasc and the ESRI. These bodies are all involved in energy policy. They have really excellent people who are doing huge work for the State in terms of bringing forward the kind of policies, the Deputy may be surprised to hear, that he is talking about himself. They are very strong agencies and should be on that advisory council. There will be room for other voices, as there should be. I urge the Deputy to ensure, in the course of the passage of the legislation, that he raises the kind of issues that he has raised here, and that he continues to raise them in the context of the broader energy policy area, as I have invited him again in respect of the White Paper.

We want to have all the inputs. That is why I have not been prepared to exclude anything from our debate on energy policy. That issue comes up again later on in relation to some of the energy sources.

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