Energy use comprises electricity, heating and transport. In 2011, 6.5% of all energy we consumed in the State was from renewable sources. The development of renewable energy in Ireland is being pursued in line with our obligations under the Renewable Energy Directive, to have 16% of all energy consumed in the State to be from renewable sources by 2020. This is a legally binding obligation introduced by the EU to ensure that our climate and energy goals of reducing CO2 emissions and increasing security of energy supply can be achieved by 2020. In the event that Member States fall short of their national renewable targets, the Directive provides that they will be obliged to purchase renewable energy credits from other Member States that have exceeded their targets, at a price that is not yet known.
In the electricity sector, 17.6% of electricity consumed was from renewables in 2011, in the transport sector 3.6% of energy consumed was biofuels and in the heating sector 5% of energy consumed was from renewable sources (mainly biomass and shallow geothermal). The total of the renewable energy consumed in 2011 across the three sectors amounted to 6.5% of all energy. Our intention, in order to meet our 2020 binding targets is to increase renewable energy consumption in those sectors to 40% in the electricity sector, 10% in the transport sector and 12% in the heating sector, which together will mean our 16% overall target can be reached.
In the electricity sector, which makes the greatest contribution to our renewable energy consumption, Ireland has approximately 1900MW of renewable generation connected to the electricity grid. This consists of existing large hydro plants such as Ardnacrusha, as well as wind and biomass sourced generation. Six tender competitions were run from the mid 1990s to the mid 2000s through a scheme known as AER (Alternative Energy Requirement) to incentivise renewable generation across different technologies. This guaranteed the winning tenders 10 or 15 years of support at the winning price. Under the AER schemes, 532MW of renewable generation was built out.
In 2006 a new scheme known as REFIT was introduced. REFIT operates by guaranteeing a minimum floor price for renewable energy generation over a 15 year period. The original REFIT scheme was to cater for 1450MW of wind sourced generation, small hydro, landfill gas and biomass generated electricity. Two new REFIT schemes were introduced in 2012 – one to encourage biomass sourced generation including anaerobic digestion and combined heat and power and one to encourage wind sourced generation, small hydro and landfill gas. The REFIT and AER schemes are funded through the PSO levy that is funded by all electricity consumers.
The above is the basis for our renewable energy development to date. Separate to the above, there has been a certain level of public funding allocated to the wave and tidal energy sector in recent years. Ocean Energy was recently identified as a priority area in the research prioritisation exercise undertaken by the Department of Jobs, Enterprise and Innovation, given its potential for the development of a future industrial sector here. The development of ocean energy has been pursued in line with the 2006 Ocean Energy Strategy published by my Department.
This wave and tidal sector is still at the research and development phase and is not yet commercially viable. The Hydraulics and Maritime Research Centre (HMRC) in Cork has a wave test tank where early stage devices can be tested and has developed a systematic protocol for the scaling up and testing of wave technology. Certain third level institutions are engaged in ocean energy research across the Irish university system.
SEAI’s ocean energy development unit has been engaged in a series of tasks to encourage the ocean energy sector, including through the administration of a prototype development fund of grants whereby up to 50% co-funding for scale testing and other research in the ocean area has been provided to industry. ESB has been involved in the Westwave project, which has had as a goal to install and operate wave energy converters capable of generating 5MW of clean electricity by 2015. SEAI together with the Marine Institute has been involved in the development of a wave test site in Galway Bay, where quarter scale prototypes can be tested and the Marine Institute, together with IBM has been involved in the SmartBay project, creating ICT links with the development of ocean energy.
The public funding for ocean energy to date has been focussed on research, development and demonstration as technologies in this area are not commercially viable. The public funding in this area is in anticipation of potential for a future ocean energy industrial sector and the maximisation of benefits to the Irish State and citizens in that regard in the event that the sector becomes commercially viable.
