Dáil Éireann Debate, Tuesday - 1 March 2005
205 Mr. Kenny asked the Minister for Communications, Marine and Natural Resources the status of the feasibility study being examined by Government with a view to providing natural gas from the Corrib field to Sligo; the stage of this evaluation; and if he will make a statement on the matter. [6615/05]
View answerAny intending supplier of gas to Sligo is free to apply to the Commission for Energy Regulation, CER, for the necessary consent. A preliminary evaluation in 2001 by Bord Gáis Éireann, BGE, having examined all possible routes for this project, found that none was commercially viable and even the least expensive option would cost more than might be recovered over the lifetime of the pipeline. The CER must be satisfied that a proposal to extend the natural gas network is an economic proposition as otherwise uneconomic projects will increase costs for all gas consumers. BGE is also required by the 1976 Gas Act to demonstrate that any pipeline investment by it will be an economic business operation.
That said, there is a long-standing Government commitment to examine the feasibility of bringing natural gas from Corrib to Sligo. The decision to grant planning permission for the Corrib onshore gas refinery and pipeline is the subject of two proceedings before the High Court and a decision will be made in April whether or not to grant leave for judicial review.
Work on preparing the specification for a feasibility study and cost-benefit analysis of possible routes to Sligo is under way. However, considering the costly nature of this study, it will not be proceeded with until there is a measure of certainty on the Corrib appeals process. Taking this into account, it is hoped that the study will proceed later this year.
