Dáil Éireann Debate, Thursday - 21 October 2004
96 Mr. Gilmore asked the Minister for Communications, Marine and Natural Resources the factors whereby the Government approved the installation of technology to reduce emissions at Moneypoint; his view of his responsibility for Ireland’s position with regard to Kyoto emission targets; and if he will make a statement on the matter. [25671/04]
Amharc ar fhreagraThe national climate change strategy envisaged that Government policy would be supportive of the closure of the Moneypoint plant, replacing it with new gas-fired capacity. However, consideration of the matter at Government concluded that, primarily for fuel diversity reasons, the station should remain open as a coal-burning plant. The Moneypoint plant produces approximately 24% of total system demand and has been the most competitive plant on the system since commissioning due to its low fuel cost. Closure and a switch to gas would put Ireland at 80% dependency on gas with all the consequent economic risks around price shocks and physical supply disruption.
The EU's large combustion-plant directive imposes limits on the emissions of sulphur dioxide, SO2, nitrogen oxides, NOx, and dust. The decision to invest now in the Moneypoint facility was based on the necessity to upgrade the station with appropriate plant and equipment to reduce the relevant emissions to a level, which would allow its continued operation. The proposal to make the investment was based on a robust business case from ESB.
The issue of Kyoto emissions targets is primarily a matter for my colleague the Minister for the Environment, Heritage and Local Government. I recognise, however, that the energy sector, among others, must play an appropriate role in meeting Ireland's obligations under the Kyoto Protocol in a lowest-cost manner. From an energy point of view, generators producing electricity from fossil fuels will operate under the EU emissions trading scheme. This scheme is administered by the Environmental Protection Agency and requires participants to purchase allowances for emissions over and above the amount allocated to them under the scheme.
