I propose to take Questions Nos. 233 and 234 together.
In respect of oil and gas exploration activities in the Irish offshore, in advance of the 2015 Atlantic Margin licencing round, the Irish Offshore Strategic Environmental Assessment (IOSEA) 5 Environmental Report was undertaken and included consideration of potential greenhouse gas emissions projected to arise specifically as a result of exploration activities. Separately, any individual exploration activity proposed to be carried out under a petroleum authorisation (e.g. seismic survey or drilling) is subject to assessment of compliance with the Environmental Impact Assessment (EIA) Directive, the Habitats Directive and the Birds Directive.
In respect of oil and gas production, activities arising from a commercial find are subject to assessment of compliance with the Environmental Impact Assessment (EIA) Directive, the Habitats Directive and the Birds Directive.
The use of oil and gas products and their carbon emissions have been analysed and considered in the wider context of the Energy White Paper, which sets out a vision for transforming Ireland’s fossil fuel-based energy sector into a clean, low carbon system by 2050. The White Paper states:
“Reducing GHG emissions from the energy system by 80-95% by 2050 will require the share of fossil fuels to be of the order of 19-30% of final energy demand. This means that non-renewable energy sources will make a significant – though progressively smaller – contribution to our energy mix over the course of the energy transition. In the short to medium-term, driven by carbon pricing, the mix of non-renewables will shift away from more carbon-intensive fuels, like peat and coal, to lower-carbon fuels like natural gas. By 2050, fossil fuels will be largely replaced by renewable energy sources.”
The White Paper also notes that "Oil and gas will contribute to security of supply through the period of transition, on a declining basis over time. This curtailment (and, in the longer term, elimination) of oil and gas in our energy mix will be accomplished gradually in the coming decades through a range of reduction and substitution measures using more sustainable alternatives.". It also recognises that "the development of Ireland’s indigenous oil and gas resources has the potential to deliver significant and sustained benefits, particularly in terms of enhanced security of supply, import substitution, fiscal return, national and local economic development and technology learning".
Companies with licences for oil and gas exploration must bear the risk of developing any commercial finds in the context of a clear path set out by the Government for the decarbonisation of its energy mix.
