Dáil Éireann Debate, Wednesday - 19 April 2023
8. Deputy John Paul Phelan asked the Minister for the Environment, Climate and Communications if he will outline his views on the EU Electricity Market Reform; and if he will make a statement on the matter. [18413/23]
View answerIn January the European Commission launched a public consultation on the reform of the European Union's electricity market design to better protect consumers from excessive price volatility, support their access to secure energy from clean sources, and make the market more resilient. It will involve making amendments to a number of current EU legislation Regulations and Directives.
The consultation closed in mid-February and the Commission published a suite of legislative proposals on 14th March. 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/). Ireland is currently engaging closely in European dialogue in relation to the proposals.
While Ireland is 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. Ireland will engage closely in this process working with European colleagues 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.
