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Thursday, 8 May 2014

Written Answers Nos. 131-140

Broadband Service Provision

Questions (131, 136, 137)

Brendan Smith

Question:

131. Deputy Brendan Smith asked the Minister for Communications, Energy and Natural Resources if his attention has been drawn to the widespread concerns of local residents and business operators in an area (details supplied) in County Monaghan regarding the inadequate level of broadband connectivity; his proposals to upgrade this service; and if he will make a statement on the matter. [20727/14]

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Brendan Griffin

Question:

136. Deputy Brendan Griffin asked the Minister for Communications, Energy and Natural Resources the timeframe for each of the 59 locations in County Kerry referred to in the recent announcement on broadband; if he will provide details of the plans for each area; and if he will make a statement on the matter. [20777/14]

View answer

Brendan Griffin

Question:

137. Deputy Brendan Griffin asked the Minister for Communications, Energy and Natural Resources his plans for locations in County Kerry that are not already scheduled for fibre upgrade and were not referred to in the recent announcement on broadband (details supplied); the plans for each area; and if he will make a statement on the matter. [20778/14]

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Written answers

I propose to take Questions Nos. 131, 136 and 137 together.

The Government’s National Broadband Plan, which I published in August 2012, aims to radically change the broadband landscape in Ireland by ensuring that high speed broadband is available to all citizens and businesses. This will be achieved by providing:

- a policy and regulatory framework that assists in accelerating and incentivising commercial investment; and

- a State-led intervention for areas where it is not commercial for the market to invest.

Since the publication of the Plan, investments by the commercial sector are underway and in some instances have been accelerated in both fixed line and wireless high speed broadband services. Commercial operators combined have either invested, or committed to invest, over €2 billion in their Irish networks, delivering high speed broadband to homes and businesses. For example:

- Eircom is rolling out a €400m investment in a Next Generation Access Fibre Network that offers speeds of up to 100Mbps. Service is already available to over 800,000 addresses, with planned coverage to reach 1.4m addresses by 2016;

- UPC has invested over €500m in upgrading its cable network. Over 700,000 homes can already access minimum broadband speeds of 120Mbps and up to 200Mbps. Businesses can access speeds of 500Mbps;

- ESB is engaged in a new project allowing a fibre network to be rolled-out on its existing electricity infrastructure. It is understood that discussions between ESB and Vodafone to form a new Joint Venture Company are at an advanced stage. The company has initial plans to construct a fibre network directly to 450,000 premises outside of Dublin and it is expected that details will be announced over the coming weeks;

- Mobile operators have launched 4G high speed mobile broadband services following ComReg’s multiband spectrum auction. There has also been continued investment by all operators in enhancing and broadening 3G services and network improvements;

- Fixed wireless operators are continuing to invest in high speed point-to-point wireless broadband; and

- The broadcaster Sky has entered the broadband market, increasing choice for consumers.

Of the estimated 2.3m premises in Ireland, approximately 1.4m are expected to be served by these commercial next generation broadband services over the coming years.

This accelerated roll out of high speed services by the commercial sector means that the addressable area required by the State intervention has been reduced by 30% since the National Broadband Plan was launched. While the commercial developments are welcome the acceleration of investment is largely contained to cities and towns. The speeds that are available in these areas are demonstrably better than those that are available in more rural areas. On 25 April, I signalled the Government's commitment to a major telecommunications network build-out to rural Ireland, with fibre as the foundation of its investment under the National Broadband Plan. This commitment is a clear expression of Government’s determination to address the connectivity challenge in rural Ireland in a meaningful and sustainable way.

Central to the strategy will be a fibre build-out to locations in every county in the State identified as having no existing or planned enabling fibre network. It is intended that the fibre will be delivered directly to access points for homes and businesses, where service providers can utilise the fibre to provide high speed services to end users. The fibre build-out will also ensure that fibre is deployed to strategic locations on each route such as schools, business hubs and health facilities. The fibre build out will be part of an end-to-end strategy that will address all parts of Ireland that cannot access commercial high speed broadband services.

I have published a county-by-county list of towns and villages which have already been identified for a fibre build-out. This is an indicative list and is subject to the completion of the comprehensive mapping process currently underway. Further locations may be identified as this process continues. Similarly, it may be determined that some locations on the list will be addressed by the commercial sector and will therefore not require State intervention. Currently I envisage that a total of 36 areas in County Monaghan, including the area of Lisnalong, will be included in the proposed fibre build-out as well as the 59 locations listed for County Kerry. The list is available on my Departments website www.dcenr.gov.ie.

In tandem with the fibre build-out, the Strategy will include measures to respond to aggregated community demand for services, and the provision of access services in the most remote areas where fibre rollout may be insufficient to stimulate commercial investment or may be cost-prohibitive. Intensive design work is ongoing in the Department with a view to publishing an end-to-end implementation strategy later this year, together with the outcome of the mapping exercise which will identify the areas that require intervention. A full public consultation will take place once the strategy is published and EU State Aids clearance will be required for the intervention strategy once finalised. It is expected that the detailed procurement process will take place in 2015 with a view to commencing construction of the fibre network and provision of services in the areas that require intervention as quickly as possible.

I fully share the concerns of local representatives about the quality of broadband in rural areas. I intend to ensure that rural Ireland enjoys similar opportunities to urban areas by ensuring an end-to end market intervention with fibre as a core component. In committing to a fibre build-out at the heart of this strategy, the Government is acknowledging that broadband is the key infrastructure of the 21st century.

Salmon Hardship Scheme

Questions (132)

Clare Daly

Question:

132. Deputy Clare Daly asked the Minister for Communications, Energy and Natural Resources if he will provide a breakdown of the moneys paid out from the salmon hardship scheme; to whom it was paid; and the purposes for which the monitoring was undertaken to ensure that the money was spent on what it was provided for. [20738/14]

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Written answers

The Salmon Hardship Scheme was introduced following a Government decision to cease the commercial salmon mixed stock fishery in the sea for conservation reasons. Under this scheme, €25m was targeted at commercial salmon fishermen who were active in the fishery at the time and funding was provided to fishermen for them to leave the fishery and diversify into new activity. It closed for applications on 31st December 2007 and was wound up in 2008 and I understand that all funds were expended.

A detailed record of individual payments is not held in the records of my Department as the scheme was administered by an Bord Iascaigh Mhara (BIM), an agency under the aegis of the Department of Agriculture, Food and the Marine. I have directed your enquiry to BIM asking them to respond directly to you. I understand that payments to individuals were based on verifiable track record and recorded catches in the five years prior to its introduction. I am advised that the average payment under the scheme was almost €23,000 and the highest payment was over €195,000.

Energy Schemes Data

Questions (133)

Michael Moynihan

Question:

133. Deputy Michael Moynihan asked the Minister for Communications, Energy and Natural Resources if he will provide in tabular form the number of persons who received grants under the Sustainable Energy Authority of Ireland schemes in each year from 2009 to 2013; the total value of grants provided in each year; and if he will make a statement on the matter. [20745/14]

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Written answers

The Sustainable Energy Authority of Ireland (SEAI) administers the Better Energy Programme, which includes the following strands: Better Energy Homes scheme, the Better Energy Warmer Homes scheme, the Better Energy Warmer Homes Area-based programme, which has been merged with the Better Energy Communities programme this year. Better Energy Homes provides a financial incentive to private homeowners who wish to improve the energy performance of their homes. The Better Energy Warmer Homes (Warmer Homes) scheme delivers a range of energy efficiency measures to low-income private households who are vulnerable to energy poverty. The Better Energy Areas scheme complements the Warmer Homes scheme in delivering energy upgrades to low-income homeowners experiencing extreme energy poverty in all housing sectors including Local Authority houses, Housing Associations and private homes. The Better Energy Communities programme supports sustainable energy upgrades to existing buildings, services, facilities and processes in the community sector. The following table details the number of households/projects which received grants under the Better Energy programme from 2009 to 2013.

Number of Homes / Projects

2009

2010

2011

2012

2013

Scheme

Total

BE Homes

18,203

45,946

49,229

26,423

13,710

153,511

BE Warmer Homes

16,240

24,291

20,388

12,175

9,803

82,897

BE Communities (projects)

n/a

n/a

n/a

18

47

65

BE Communities - Area Based (projects)

n/a

n/a

n/a

27

37

64

The following table details the total value of grants paid from 2009 to 2013 under the Better Energy programme.

Grant Spend (Millions)

2009

2010

2011

2012

2013

Scheme

Total

BE Homes

€16.3

€45.2

€57.6

€28.9

€13.2

€161.2

BE Warmer Homes

€12.0

€30.0

€21.4

€20.5

€17.5

€101.4

BE Communities

n/a

n/a

n/a

€1.8

€7.8

€9.6

BE Communities - Area Based

n/a

n/a

n/a

€4.1

€6.9

€11.0

Energy Resources

Questions (134)

Michael Moynihan

Question:

134. Deputy Michael Moynihan asked the Minister for Communications, Energy and Natural Resources if he concerned for the future of the Whitegate oil refinery; if the Government has considered purchasing the refinery; if this refinery is still utilised by the National Oil Reserves Agency; and if he will make a statement on the matter. [20746/14]

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Written answers

State owned Irish National Petroleum Corporation (INPC) sold the Whitegate refinery and Whiddy Island oil storage facilities to a private firm called Tosco Corporation in 2001. A key element in the transaction was Tosco Corporation’s undertaking to operate the two facilities (the Whitegate refinery and Bantry (Whiddy Island) storage terminal) for at least 15 years (until mid-2016) on a commercial basis. This condition also applies to any subsequent purchasers of the assets during the period. The ownership of the facilities has changed a number of times since 2001 without impacting operations.

Phillips 66, the current owners of the refinery, confirmed in mid-2013 that they had commenced a process to market their Irish business with the process expected to last for several months, during which time the company would operate on a business as usual basis. The company has recently confirmed that they are no longer marketing the Whitegate refinery but are continuing to market the Whiddy Island oil storage facilities. This entirely commercial transaction is underway and neither I nor officials at my Department are involved in it. Phillips 66 have further indicated that they are continuing to run the refinery on a business as usual basis and are proceeding with a planned maintenance regime at the Whitegate refinery in 2014.

In terms of the Whitegate refinery itself, the National Oil Reserves Agency (NORA) has a contract with the refinery that in the event of an oil supply disruption situation and when requested by NORA, they will provide NORA with a proportion (currently representing less than 10%) of Ireland’s strategic oil reserves in the form of refined product over a set period. In July 2013, I published a study commissioned by my Department on the strategic case for oil refining requirements on the island of Ireland. The study found that the existing oil import facilities on the island of Ireland taken as a whole offer a robust infrastructure that could provide comfortable alternatives in the event of a serious disruption at any of the six principal oil ports. They could supply the total oil demand, regardless of any future decisions on the operation of Whitegate as either a refinery or terminal. The development of the Irish motorway network has been significant in improving oil security of supply in recent years, facilitating the transport of oil from key ports throughout the island of Ireland. Work with counterparts in Northern Ireland is ongoing with a view to enhancing contingency planning on the island.

I outlined last July that the Government’s primary conclusion on the strategic case for oil refining is that the presence of an operational refinery on the island of Ireland provides flexibility, enhancing the options available to the State in the event of an oil supply disruption, by providing an alternative source of product thus mitigating a complete reliance on product imports. Despite energy efficiency advances and an increase in the penetration of renewable energy, Ireland is expected to remain dependent on oil into the medium term, particularly for transport. As such, the continued operation of the Whitegate refinery on a commercial basis is highly desirable from an oil and energy security of supply perspective. The study concludes and the Government also acknowledges and recognises that an operating refinery also adds value to the Irish economy and provides significant employment.

I further outlined that in light of our primary conclusion, the Government had agreed that my Department should liaise with the Irish oil industry and appropriate public bodies to determine available policy options that might facilitate the commercial future of refining in Ireland. The consideration of available policy options to support the commercial future of refining in Ireland is ongoing. Given that the state sold the refinery to private owners in 2001 and in the context of the state assets divestment programme which is underway, the Government has not considered purchasing the refinery. The Government’s approach should be considered in light of wider international concerns about the European refining sector.

EU Member States have recently seen several refinery closures or conversion to terminals and the International Energy Agency has generally expressed concerns about the reduction in European refinery capacity and the consequent potential security of supply implications in the longer term. The challenges facing the refining sector in Europe have been acknowledged by the European Commission which is currently in the process of carrying out an EU Fitness Check on the refining sector. So-called “Fitness checks" are comprehensive policy evaluations assessing whether the regulatory framework for a policy sector is fit for purpose. Their aim is to identify excessive regulatory burdens, overlaps, gaps, inconsistencies and/or obsolete measures which may have appeared over time, and to help to identify the cumulative impact of legislation. Their findings will serve as a basis for drawing policy conclusions on the future of the relevant regulatory framework. Officials from my Department have been participating in related EU refining roundtables and forums.

Energy Regulation

Questions (135)

Michael Moynihan

Question:

135. Deputy Michael Moynihan asked the Minister for Communications, Energy and Natural Resources his views on the growth of the prepaid energy market; the number of persons now utilising prepaid energy packages; his views on whether there are any issues arising with regard to consumer protection in this market; his views on whether the Commission for Energy Regulation has the necessary resources and legislative authority to properly regulate this market and protect consumers; and if he will make a statement on the matter. [20747/14]

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Written answers

Responsibility for the regulation of the retail electricity market is a matter for the Commission for Energy Regulation (CER), which is an independent statutory body. The overall aim of the CER’s economic role is to protect the interests of energy customers, maintain security of supply, and to promote competition in the generation and supply of electricity and supply of natural gas. The CER has an important related function in customer protection by resolving complaints that customers have with energy companies.

The CER was initially established as the Commission for Electricity Regulation under the Electricity Regulation Act, 1999 and the functions and duties of the CER have been altered and expanded significantly by legislation transposing EU directives into Irish law and the introduction of new primary legislation. SI 463/2011 gives further legal effect to consumer protection provisions of Directive 2009/72/EC concerning common rules for the internal market in electricity and Directive 2009/73/EC concerning common rules for the internal market in natural gas, by strengthening the powers of the Commission for Energy Regulation in regard to consumer protection and imposing specific obligations on electricity and gas distribution system operators and suppliers.

The CER has set out guidelines for the protection of electricity and natural gas customers which require all suppliers to put in place codes of practice and customer charters guaranteeing a minimum level of service to all customers, including prepayment customers. Suppliers use the guidelines to develop their own documents which they must publish and publicise to their customers. All suppliers must meet the CER’s guidelines for the protection of all customers. Under the powers provided for in SI 463/2011, the CER offers a dispute resolution service for customers with an unresolved dispute with an energy undertaking. Customers may avail of this service where a supplier has not met the service levels set out in their customer charter and codes of practice. The CER has the power to investigate customers’ complaints and issue determinations for their resolution.

I am satisfied that the CER has the necessary resources and legislative authority to regulate this market properly and protect consumers and my Department is in frequent contact with the CER to monitor developments. I am aware of the potential difficulties for many customers and am anxious to ensure that all energy customers receive the utmost professional customer care from energy suppliers and have appropriate recourse to consumer protections, enforced by the CER.

Questions Nos. 136 and 137 answered with Question No. 131.

Fishing Vessel Licences

Questions (138, 139)

Brendan Griffin

Question:

138. Deputy Brendan Griffin asked the Minister for Communications, Energy and Natural Resources the reason a person (details supplied) in County Kerry did not secure a draft salmon net licence; if the application will be reconsidered; and if he will make a statement on the matter. [20788/14]

View answer

Brendan Griffin

Question:

139. Deputy Brendan Griffin asked the Minister for Communications, Energy and Natural Resources if he will provide the names of the persons who qualified for salmon draft net licences in an area (details supplied) in County Kerry; the criteria used in the assessment of the applicants; and if he will make a statement on the matter. [20794/14]

View answer

Written answers

I propose to take Questions Nos. 138 and 139 together.

The annual allocation of public licences for commercial draft nets is governed by the provisions of the relevant Control of Fishing for Salmon Order, in this case Statutory Instrument (S.I.) No.132 of 2014. The administration of licence allocation is managed by Inland Fisheries Ireland (IFI) in accordance with the criteria set out in the S.I. I am advised by IFI that there are a total of 14 public licences available in the Kerry District for the 2014 Season. The 20 applications received by IFI were categorised and ranked following the methodology and criteria prescribed in the Control of Fishing for Salmon Order.

I understand that the 14 available licences were awarded to the highest ranked applicants in accordance with the established procedures and criteria. The application from the person referred to by the Deputy was not ranked sufficiently under the criteria to enable a licence to issue to him on this occasion. I have arranged for a copy S.I. No.132 of 2014, which sets out the award criteria, to be forwarded to the Deputy. I would be happy to arrange a briefing with IFI for the Deputy on the licence award procedures and process. I understand that the personal details of applicants may be subject to Data Protection legislation and it would not appear appropriate for me to provide that information.

Biofuel Obligation Scheme Implementation

Questions (140)

Brendan Griffin

Question:

140. Deputy Brendan Griffin asked the Minister for Communications, Energy and Natural Resources if all biofuels are legally permitted to be used in agricultural and domestic vehicles here; and if he will make a statement on the matter. [20801/14]

View answer

Written answers

The Biofuel Obligation Scheme, which was introduced in July 2010, places an obligation on all road transport fuel suppliers to include a certain proportion of biofuel in their overall fuel mix. In order for biofuel to be eligible for inclusion in the scheme it must meet certain sustainability criteria as set out in the 2009 Renewable Energy Directive. That is, biofuels must not be made from feedstocks sourced from certain categories of land, and must achieve certain greenhouse gas emissions reductions. Although the Biofuel Obligation Scheme does not apply to the disposal of fuels used for off-road vehicles, such as those used in the agriculture sector, there is no prohibition on the use of biofuels in such vehicles. Where biofuel is used in off-road vehicles it is categorised as gas oil and must comply with the regulations on fuel standards as set out in Statutory Instrument 155 of 2011 which were introduced by the Minister for the Environment, Community and Local Government to transpose the Fuel Quality Directive.

The Regulations also permit the sale of petrol with up to 10% bioethanol and diesel with up to 7% biodiesel and require that fuel suppliers must provide information on biofuel content to reduce the risk of fuelling vehicles with incompatible fuel. Further information on the Directive and Regulations can be found at: www.environ.ie/en/Environment/Atmosphere/AirQuality/FuelStandards.

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