Dáil Éireann Debate, Wednesday - 8 March 2023
61. Deputy John Paul Phelan asked the Minister for the Environment, Climate and Communications his views on the upcoming European Union reform of the electricity market; and if he will make a statement on the matter. [11899/23]
View answerThe European Commission launched a public consultation into electricity market reform on 23rd January. Ireland submitted a position paper on the 13th February which can be accessed at gov.ie
( www.gov.ie/en/publication/9d196-european-commission-public-consultation-on-reform-of-electricity-market-to-support-a-clean-and-affordable-energy-transition/ )
While we are supportive of reform, we should not depart from the competitive principles of our market design, which would undermine the cost-effective decarbonisation of our energy system, jeopardize affordability and risk security of supply. Nevertheless, it is appropriate to look at the market design with a view to improving it particularly in context of increased renewables. We need to strike the right balance in relation to investment opportunities to accommodate increasing renewable penetration, as well as flexibility signals for storage, demand side response and back up generation technologies.
It is critical that market design and energy market contracts operate so that consumers receive the full direct benefit of low-cost renewable energy sources such as solar and wind.
The Commission has indicated that it will publish a proposal around 16th March, which we welcome.
