Written Answers Nos. 149-163
149. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications if he will report on the stakeholder engagement with the commercial built environment's working group; how often they have met and met with stakeholders; and if he will make a statement on the matter. [34935/23]
View answerThe Commercial Built Environment Working Group has met three times so far, since it was established in the first quarter of 2023 as part of the work of the Heat and Built Environment Taskforce. It is co-chaired by my Department and the Department of the Enterprise, Trade and Employment. The Heat and Built Environment Taskforce was created to accelerate and drive delivery in relation to retrofitting, renewable heat, district heat, decarbonisation and the overall building stock energy use needs.
The Commercial Built Environment Roadmap Working Group held three separate stakeholder engagement events in July this year with Tourism and Hospitality Representative Organisations, Retail Representative Organisations and Office Users Representative Organisations and Commercial Landlords. These are sectors identified as having a high carbon abatement potential.
At each engagement officials and representatives discussed the measures contained in the Climate Action Plan, as well as EU legislative Proposals, and cross cutting policies, that will impact on the sustainability of our commercial buildings now and in the future. The stakeholders discussed decarbonising the buildings they use, the pathways and barriers and the supports available to accelerate the decarbonisation of the commercial building stock.
The Working Group is scheduled to complete a roadmap for the commercial sector this year.
150. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications what measures he is taking to reduce energy demand, in particular the demand coming from large energy users; and if he will make a statement on the matter. [34950/23]
View answerThere are a range of measures and policies being pursued in order to encourage reductions in energy demand across all sectors of society.
Under the Climate Action Plan 2023 (CAP23), the Government has committed to a new Demand Side Strategy for Electricity and Gas being put in place. The CRU has commenced work in this area by publishing a call for evidence and consultation paper in June 2023. The Demand Side Strategy will be delivered by the end of 2023, with the aim of 20 to 30% of electricity demand to be flexible by 2030, with 15-20% flexibility by 2025. Large Energy Users (LEUs) will be expected to make up a higher proportional contribution to the target, as they are making up a high proportion of the increase in electricity demand. The strategy will be focused on three areas, Smart Services, Demand Flexibility and Response, and New Demand Connections.
The CRU have also published a call for evidence for input into a 'Review of Large Energy Users Connection policy', which will gather the views of all stakeholders for development of the new policy. This will ensure that any new connections are not causing energy security challenges and are in line with our sectoral emission ceilings.
In July of 2022, Government published a new Statement on the role of Data Centres to ensure alignment with Ireland's renewable energy targets, security of supply, sectoral emissions and climate priorities.
The CRU also published a Direction in November 2021 setting out an assessment criteria for System Operators when assessing applications for grid connections from data centres.
EirGrid currently operates a Demand Side Unit (DSU) initiative for medium to large electricity users as part of their Demand Side Management Programme. This initiative utilises large energy users ability to reduce demand during periods of system constraint thereby helping to relieve pressure on the grid and is complemented by the Mandatory Demand Curtailment Process run by EirGrid and ESB-Networks for times of system emergency.
Additionally, there is growing evidence that the public are changing their own energy demand behaviours. The Government's 'Reduce Your Use' campaign has been very successful in promoting and encouraging energy efficiency and highlighting the range of supports that are available to households and businesses. Separately, ESB-Networks 'Beat the Peak' campaign has highlighted how demand flexibility can be delivered by both households and businesses for energy security, decarbonisation, and affordability goals.
In addition, the new (Recast) Energy Efficiency Directive (EED) increases energy saving requirements on all Member States. For the saving target for Ireland to be met Ireland will need to reduce national final energy consumption (from all sources combined) by approximately 20% compared to Ireland’s energy use in 2019. This is likely to require additional energy saving policies and measures applicable to all sectors to be identified and developed.
151. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications how the CRU will be resourced to carry out its new functions with respect to the cap on market revenues; if new staff will be recruited; when he expects this to be completed; and if he will make a statement on the matter. [34971/23]
View answerThe Commission for Regulation of Utilities (CRU) is an independent regulator, accountable to a committee of the Oireachtas and not the Minister. The CRU was assigned responsibility for the regulation of the Irish electricity sector, following enactment if the Electricity Regulation Act 1999 and subsequent legislation.
While CRU is financed by means of a levy on regulated entities, it must receive approval from the Minister of Environment, Climate & Communication and the Minister of Public Expenditure, NDP Delivery & Reform; in consultation with the Department of Housing Local Government & Heritage, for staffing levels.
The latest such approval has been given, in full, for the CRU three-year workforce plan, which includes 74 new whole time equivalent positions to meet its objectives under the Strategic Plan 2022-2024.
153. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications if the draft Bill for the cap on market revenues contains specific provisions around hedging in the energy market; and if he will make a statement on the matter. [34973/23]
View answerIn accordance with Article 2.5 of the relevant EU Council Regulation 2022/1854 on a cap on market revenue in the energy sector, the cap must take account of power purchase agreements and other hedging operations in the wholesale electricity market.
Therefore, the Bill will contain specific provisions on hedging in the wholesale electricity market.
155. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications to report on the evidence base for Government policy that seeks to address Ireland's high energy prices. [34984/23]
View answer184. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications further to Parliamentary Question No. 700 of 23 May 2023, to report on the monitoring his Department carries out on the effect of existing supports to address the high cost of energy; and if he will make a statement on the matter. [35145/23]
View answerI propose to take Questions Nos. 155 and 184 together.
I propose to take PQs and together.
A cross-departmental and inter-agency steering group meet periodically to review progress towards the objectives outlined in the Energy Poverty Action Plan, including short and long-term actions to support people to meet the cost of energy. Officials from my Department meet regularly with stakeholders, including energy suppliers and representative organisations, to review the effect of existing supports and consider future policy directions. A stakeholder forum was held on 7th July in Dublin to facilitate greater stakeholder engagement in this area.
Regulation of retail energy markets is solely a matter for the Commission for Regulation of Utilities (CRU) since the enactment of the Electricity Regulation Act 1999 and subsequent legislation. However, officials from my Department correspond with CRU on an ongoing basis to track developments in retail and wholesale energy markets, including the effect of government supports on arrears levels, among other indicators.
In addition, my Department commissioned a nationally representative research tracker to monitor public sentiment and knowledge in relation to energy issues. The results of this tracker indicates there has been some reduction in the difficulty of meeting energy costs, and that Irish families are making consistent efforts to reduce their energy use. The Government is working towards completing the implementation of the Energy Poverty Action Plan, monitoring the efficacy of existing supports, and exploring further measures to support consumers in the context of Budget 2024.
My Department is also conducting a spending review of household energy budget supports during Winter 2022/23 with the Irish Government Economic and Evaluation Service and the Department of Public Expenditure and Reform in order to provide an evidence base for policy making ahead of Budget 24.
157. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications the progress to date on the work to match Building Energy Rating (BER) data with the Survey on Income and Living Conditions (SILC); if this data will be released; if a report will be published; when this can be expected; and if he will make a statement on the matter. [34989/23]
View answerThe Government’s Energy Poverty Action Plan acknowledges that improving our measurements and data collection will assist in identifying the severity of energy poverty being experienced by households and therefore, where additional supports could be further targeted.
As set out in the Action Plan, a research network on energy poverty chaired by the ESRI has been established. The Group consists of representatives from DECC, DSP, SEAI and the Central Statistics Office (CSO). The main goal is to provide insights that enhance policy design to protect vulnerable households. A research agenda has been developed through coordinated effort of these different institutions.
As part of the planned programme of work the ESRI, in conjunction with the CSO, are working on matching Building Energy Rating (BER) data with the Survey on Income and Living Conditions (SILC). This will provide a breakdown of the relative contribution of income, and energy efficiency of the dwelling (measured with the BER) toward energy poverty, to be developed. The CSO has completed the matching process and the ESRI is currently analysing this data.
158. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications when the consultation on private wires/direct line renewables will be released; his plans for the consultation; and if he will make a statement on the matter. [34990/23]
View answerClimate Action Plan 23 includes a commitment to carry out a public consultation on Private Wires and a deadline for publication of Q4 2023 has been set. Private wires are an issue that is of interest and importance to many stakeholders. The policy area of Private Wires is broad in nature and as such detailed consideration must go into formulating the consultation in order to ensure that all aspects of the policy area are considered.
Publishing a consultation and, ultimately, providing a clear policy position on the issue of Private Wires is a priority for my Department. Work on this policy area is ongoing within my Department with my officials engaging directly in recent months with interested stakeholders as part of the consultation formulation process. The consultation will be published imminently however at this point I am not able to provide a publication date.
My officials look forward to their continued engagement with interested stakeholders as they continue to develop this important policy area.
159. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications the date on which the green hydrogen strategy will be published; if he will provide an update on its development; and if he will make a statement on the matter. [34994/23]
View answerThe National Hydrogen Strategy was published on Wednesday 12th July and is available on gov.ie - Minister Ryan welcomes publication of the National Hydrogen Strategy (www.gov.ie).
160. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications when the public consultation document on the design of ORESS auctions in phase two will be published; and if he will make a statement on the matter. [34995/23]
View answerIreland’s first offshore wind auction (ORESS 1) procured more than 3,000 MW of secure, affordable and renewable electricity capacity, enough to provide over a quarter of our projected 2030 electricity demand, while shielding Irish consumers from energy price spikes for up to 20 years. The successful auction marks a breakthrough moment not just for offshore wind, but for Ireland as a whole.
Phase Two will build on this success. The Phase Two Policy Statement, published in March, established the Government policy for accelerating offshore wind deployment via a plan-led system. Consistent with the Policy Statement, ORESS 2 auctions will exclusively procure offshore wind capacity from development areas within Designated Maritime Area Plans (DMAPs), which are provided for in the Maritime Area Planning Act 2021 (the MAP Act).
To inform the design of ORESS 2 auctions, my department will later today publish a consultation document seeking stakeholder views on the terms and conditions to apply for ORESS 2 auctions. The consultation document and further details of the consultation process will be available on Gov.ie later today.
161. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications further to Parliamentary Question No. 72 of 15 June 2023, regarding his request to the CRU to investigate pricing strategies, taking account of the hedging strategies of electricity market participants and any possible market failures, if he will provide an update and report on this request and the outcome of the investigation; and if he will make a statement on the matter. [35008/23]
View answerI have recently written to the regulator, requesting that they investigate the pricing strategies in place, taking account of the hedging strategies of the electricity market participants. As part of this investigation, I have asked CRU to ascertain if there have been any market failures, particularly where vulnerable customers are concerned.
Responsibility for the regulation of the retail gas and electricity markets was assigned to the Commission for the Regulation of Utilities (CRU) under the 1999 Electricity Regulation Act and subsequent legislation. CRU is accountable to the Oireachtas and not to me as Minister. CRU has a dedicated email address for Oireachtas members to contact them at: oireachtas@cru.ie.
162. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications if he will provide an update on the Government’s energy security review and the review by a person (details supplied), respectively; when he expects both to be published; and if he will make a statement on the matter. [35009/23]
View answer173. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications to report on the progress of the energy security review (details supplied); when he expects both to be published; if they will be published this quarter; and if he will make a statement on the matter. [35123/23]
View answerI propose to take Questions Nos. 162 and 173 together.
My Department is currently finalising its review of security of energy supply of Ireland’s electricity and natural gas systems. The Review is focused on the period to 2030, but in the context of ensuring a sustainable transition up to 2050.
The Government’s policy objectives are to ensure energy is affordable, sustainable and secure, as well as in line with Ireland’s climate targets and statutory carbon budgets. Underpinned by these objectives, the review is considering the risks to both natural gas and electricity supplies, and a range of mitigation measures, including the need for additional capacity of indigenous renewable energy but also energy imports, energy storage, fuel diversification, demand side response and renewable gases (such as hydrogen).
To support its development, a detailed technical analysis has been published and an extensive consultation process carried out, providing important insights from over 450 individuals and organisations on the range of options that could be implemented to support Ireland’s security of supply framework.
The McCarthy Review into Security of Supply of the Electricity System (the McCarthy Report) has been a further key input informing the analysis and will be published alongside the completion of the review.
The completion of the review is a key priority. Once completed, I will bring my energy security recommendations to Government for consideration.
163. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications if he will provide an update on the Governments electricity storage policy framework; and if he will make a statement on the matter. [35010/23]
View answerUnder the Climate Action Plan 2023, my Department has committed to developing an Electricity Storage Policy Framework by Q3 2023. To help inform the development of the final framework, my Department held a public consultation which closed on the 27th January. As part of the consultation process, my Department also ran an industry stakeholder event to further discuss the key issues/questions raised within the consultation.
The responses to the public consultation have now been analysed and a Summary Report was published in May. My Department is now in the process of preparing the final Framework and is engaging closely with key stakeholders including Government Departments, State agencies and industry experts to that end.
