Dáil Éireann Debate, Tuesday - 26 July 2022
148. Deputy Richard Boyd Barrett asked the Minister for the Environment, Climate and Communications the estimated full-year cost of increasing investment in public renewable energy production by 50%, 100% and 150%; and if he will make a statement on the matter. [41452/22]
View answerThe electricity and gas retail markets in Ireland operate within a European Union regulatory regime wherein such markets are commercial, liberalised, and competitive. State owned enterprises and private sector companies operate within this competitive framework to deliver the overall lowest cost to consumers over the lifetime of the investment. This includes competitions for support for investment in the generation of renewable energy such as the Renewable Electricity Support Scheme (RESS).
The RESS is one of the major Government policies to help deliver on the ambition in the Climate Action Plan 2021 of up to 80% renewable electricity by 2030. The first projects from RESS 1 started commercial operation by the end of 2021. I recently announced the provisional results of the second RESS auction (RESS 2) which is expected to deliver an increase of nearly 20% in Ireland’s renewable energy generation.
Design of the RESS 3 onshore auction is also currently under development to further contribute to the up to 80% target and my Department is also finalising the terms and conditions on the first of three planned auctions this decade for the offshore Renewable Electricity Support Scheme (ORESS). A roadmap of future auctions which sets out the indicative timelines and volumes for onshore and offshore auctions over the coming decade was published in December 2021.
Supports under the RESS are paid from the PSO and the two-way floating feed in premium arrangement means that when market prices are above the bid price, the generator pays any additional revenue above their bid price back into the PSO Levy. The latest CRU Proposed Decision on the PSO Levy for the period October 2022 to September 2023 period is available at: www.cru.ie/wp-content/uploads/2022/06/Proposed-PSO-22-23-Decision-Paper.pdf
