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Tuesday, 9 Jun 2015

Written Answers Nos. 1131-1153

Wind Energy Generation

Ceisteanna (1131)

Peadar Tóibín

Ceist:

1131. Deputy Peadar Tóibín asked the Minister for Communications, Energy and Natural Resources the number of wind turbines currently in the State; the current number applied for; the additional number needed to reach the Government's 40% generation from wind target; and if he will provide these figures both in turbine numbers, capacity output and real-time output predictions. [22218/15]

Amharc ar fhreagra

Freagraí scríofa

The overarching objective of the Government's energy policy is to ensure secure and sustainable supplies of competitively priced energy to all consumers. A well balanced fuel mix that provides reliable energy, minimises costs and protects against supply disruptions and price volatility, is essential to Irish consumers.

The 2009 EU Renewable Energy Directive set Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. In order to meet this target, Ireland is committed to meeting 40% of electricity demand from renewable sources. Good progress is being made towards increasing the share of renewable energy in our generation portfolio.

The total amount of renewable generation connected to the grid at the beginning of March 2015 (latest data) was just under 2,600 MW of which 2,200 MW is wind. A further 3,700 MW of renewable generation is contracted for connection to the grid, of which almost 3,600 MW is wind generation. Detailed information in relation to the amount of renewable electricity generation capacity connected to the electricity grid, including capacity that is contracted for connection, is available on EirGrid’s and ESB Networks’ websites at www.eirgrid.com and www.esb.ie respectively.

Provisional figures provided by the Sustainable Energy Authority of Ireland (SEAI) indicate that the total contribution from renewable generation to gross electricity consumption in 2014 was 22.6%. It is estimated that a total of between 3,500 and 4,000 MW of onshore renewable generation capacity will be required to allow Ireland to achieve 40% renewable electricity.

Information in regard to actual and forecast wind generation is available at http://smartgriddashboard.eirgrid.com/#all/wind.

Looking to the European Union's emerging climate and energy targets for 2030, it is likely that all member states will be required to expand their renewable electricity generation portfolios beyond their 2020 capacities.

Wind Energy Generation

Ceisteanna (1132)

Peadar Tóibín

Ceist:

1132. Deputy Peadar Tóibín asked the Minister for Communications, Energy and Natural Resources if he will provide details of the land mass required to host the number of turbines it would take to meet the Government's target of 40% electricity generation from wind. [22219/15]

Amharc ar fhreagra

Freagraí scríofa

The 2009 EU Renewable Energy Directive set Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. To meet this target, Ireland is committed to meeting 40% of electricity demand from renewable sources. Ireland currently has approximately 2,600MW of renewable electricity generation of which 2,200MW is wind generation. It is estimated that between 3,500MW and 4,000MW of renewable electricity generation will be required to achieve the target of 40% renewable electricity by 2020. Given that we already have 2,600MW in place, we will need between approximately 900MW and 1,400MW additional generation to meet our 2020 target. The design of a wind farm, and hence the land mass it occupies, is a matter for the wind farm developer and must be carried out in accordance with the relevant planning legislation and guidance.

In this regard, work is being advanced by the Department of the Environment, Community and Local Government, in conjunction with my Department and the Sustainable Energy Authority of Ireland, on the review of the 2006 Wind Energy Guidelines. It is proposed to update certain sections of the existing guidelines. Draft guidelines were published in December 2013 for public consultation. Submissions were received from around 7,500 organisations and members of the public during the public consultation period. Following consideration of the submissions, the revisions to the guidelines will be finalised and issued to planning authorities under Section 28 of the Planning and Development Act 2000, as amended.

Separately, my Department is preparing a Renewable Electricity Policy and Development Framework, which is to be underpinned by a Strategic Environmental Assessment and an Appropriate Assessment. The proposed Framework will be completed in 2015, and will be a high level strategic policy, which is intended for the guidance of persons seeking development consent primarily in relation to large scale renewable electricity projects, as well as for the guidance of planning authorities, statutory authorities and the public. The next stage of public consultation will commence in the coming weeks with the publication of the Draft Strategic Environmental Assessment Scoping Report.

Wind Energy Generation

Ceisteanna (1133)

Peadar Tóibín

Ceist:

1133. Deputy Peadar Tóibín asked the Minister for Communications, Energy and Natural Resources if his Department has completed a hydro-geological study on the cumulative impact of the Government's proposal to produce 40% of our electricity from wind in view of the amount of concrete needed for each turbine base, hard stand areas and associated road infrastructure required by turbines. [22220/15]

Amharc ar fhreagra

Freagraí scríofa

The 2009 EU Renewable Energy Directive set Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. To meet this target, Ireland is committed to meeting 40% of electricity demand from renewable sources. Ireland currently has approximately 2,600MW of renewable electricity generation of which 2,200MW is wind generation. It is estimated that between 3,500MW and 4,000MW of renewable electricity generation will be required to achieve the target of 40% renewable electricity by 2020. Given that we already have 2,600MW in place, we will need between approximately 900MW and 1,400MW additional generation to meet our 2020 target.

Typically, an individual wind farm project is subject to an Environmental Impact Assessment (EIA) where the wind farm has greater than five turbines or a generating capacity greater than 5MW. This means, as part of the planning process, the project proposer must prepare an Environmental Impact Statement (EIS) examining the impact the particular development, such as a wind farm, will have on the receiving and surrounding environment. The EIA is then carried out by the appropriate competent planning authority on a project specific basis.

Separately, my Department is preparing a Renewable Electricity Policy and Development Framework, which is to be underpinned by a Strategic Environmental Assessment and an Appropriate Assessment and focusing on requirements out to 2030. The Environmental Report developed to inform the Strategic Environmental Assessment will include areas designated pursuant to the Birds Directive and the Habitats Directive, and will also assess any effects on the environment including on issues such as biodiversity, population, human health, fauna, flora, soil, water, climatic factors, material assets and cultural heritage and the interrelationship between the above factors.

The proposed Framework will be completed in early 2016, and will be a high level strategic policy, which is intended for the guidance of persons seeking development consent primarily in relation to large scale renewable electricity projects, as well as for the guidance of planning authorities, statutory authorities and the public. The next stage of public consultation will commence in the coming weeks with the publication of the Draft Strategic Environmental Assessment Scoping Report.

Exploration Licences

Ceisteanna (1134, 1135, 1136, 1137)

Thomas Pringle

Ceist:

1134. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources regarding onshore licensing options granted to a number of companies in 2011, the reason the 31 March 2015 acreage report does not contain details of the licensing options granted to a gas company (details supplied); if he will confirm the status of those options and if those options were relinquished; if so, on what basis; if not, if the company has applied for another authorisation; if so, the nature and duration; and if he will make a statement on the matter. [22263/15]

Amharc ar fhreagra

Thomas Pringle

Ceist:

1135. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources regarding the 31 March 2015 acreage report which states follow-on applications have been submitted for the onshore licensing option 11/1 granted to a company (details supplied), if he will outline the type of follow-on application that is under consideration; if additional authorisations have been granted; if so, if he will specify the type and duration of the authorisation; and if he will make a statement on the matter. [22264/15]

Amharc ar fhreagra

Thomas Pringle

Ceist:

1136. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources regarding the 31 March 2015 acreage report which states follow-on applications have been submitted for the onshore licensing option 11/3 granted to a company (details supplied), if he will indicate the type of follow-on application that is under consideration; if additional authorisations have been granted; if so, if he will specify the type and duration of authorisation; and if he will make a statement on the matter. [22265/15]

Amharc ar fhreagra

Thomas Pringle

Ceist:

1137. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources in the event of companies which discover commercially viable quantities of gas onshore applying for a petroleum lease, if the companies will be subject to existing licensing arrangements for offshore exploration and production; if so, if these authorisations will be subject to the 2007 licensing terms; and if he will make a statement on the matter. [22266/15]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 1134 to 1137, inclusive, together.

A licensing option confers upon the option holder the first right exercisable at any time during the period of the option to an exploration licence, or licences, over all, or part, of the area covered by the option.

The latest and previous acreage reports published by my Department indicate that in respect of onshore licensing options LO 11/1 and LO 11/3, the two companies exercised the right conferred upon them by the options and submitted applications for follow-on exploration licences. As a follow on application was not received in respect of LO 11/2 that authorisation is deemed to have expired.

In relation to the applications for follow-on exploration licences, I have made clear repeatedly that no decision will be made on these applications until there has been time for all interested parties to consider the outcome of the Environmental Protection Agency’s Research Programme into the use of hydraulic fracturing. This research is ongoing and is expected to conclude in 2016. In the circumstances, while it would be very premature to speculate about potential commercial discoveries in Ireland’s onshore area, I can confirm that the oil and gas fiscal terms provided for through the Finance Acts apply to both offshore and onshore areas.

Exploration Licences

Ceisteanna (1138)

Thomas Pringle

Ceist:

1138. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources in view of the expiration of licensing option 11/3, San Leon Energy, in October 2013 and that the most recent acreage report states a follow-on application is under consideration, if he will explain what type of authorisation has been sought; the status of the application; and if he will make a statement on the matter. [22267/15]

Amharc ar fhreagra

Freagraí scríofa

An application for a follow on Frontier Exploration Licence from Licensing Option 11/3 is at an advanced stage of consideration by my Department. A Frontier Exploration Licence permits the exclusive right by the licensee to search for petroleum in the area to which the licence applies. If a Frontier Exploration Licence is granted in this instance, it would be for a period of fifteen years divided in four phases, with a work programme to be agreed in advance for each phase.

Exploration Licences

Ceisteanna (1139, 1140, 1141, 1142)

Thomas Pringle

Ceist:

1139. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources if lease undertakings have been granted for petroleum exploration licences 4/05 and 5/05 in view of these licences ending in October 2011; if the companies found reserves of gas, oil, or both; what quantity of potential reserves they have indicated; if these companies will be granted a lease undertaking/petroleum lease; if so, what licensing terms will be applied; and if he will make a statement on the matter. [22268/15]

Amharc ar fhreagra

Thomas Pringle

Ceist:

1140. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources regarding a company (details supplied|) announcing in March 2012 a commercially viable oil discovery in the Barryroe field (48/24-10z), if he will indicate whether the company has applied for a lease undertaking/petroleum lease; if so, the anticipated date for the commencement of production and the licensing terms that are applicable to this authorisation; and if he will make a statement on the matter. [22269/15]

Amharc ar fhreagra

Thomas Pringle

Ceist:

1141. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources the number of applications for lease undertakings his Department is currently considering; and if he will make a statement on the matter. [22270/15]

Amharc ar fhreagra

Thomas Pringle

Ceist:

1142. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources the number of applications for petroleum leases his Department is currently reviewing; and if he will make a statement on the matter. [22271/15]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 1139 to 1142, inclusive, together.

Under the Licensing Terms for Offshore Oil and Gas Exploration and Development the Minister may enter into an undertaking with the holder of an exploration licence, or licensing option, to grant a petroleum lease in relation to a part of an authorisation where the licensee makes a discovery and is of the opinion, but cannot confirm at that time, that the discovery is commercial. Where the Minister concurs with this assessment, the Minister may award a lease undertaking, which will be subject to an agreed work programme that is aimed at establishing whether or not the discovery is in fact commercial. My Department is currently considering five applications for lease undertakings. The operator of standard exploration licence 1/11, which contains the Barryroe Field, has not applied for a lease undertaking.

Other than in a case where a declaration of commerciality has been made by the authorisation holder and accepted by me as Minister, it would not be appropriate for me to make specific comment on the petroleum potential of any area that is the subject of an exploration/appraisal authorisation, or an application for such an authorisation.

Where a commercial discovery has been established the authorisation holder is required to apply for a petroleum lease. Where such application is received, the Minister, if of the opinion that it is in the public interest, may demise such petroleum under specified acreage for such terms, conditions and covenants as considered appropriate. The Minister for Finance is a party to a petroleum lease. Any application for a petroleum lease must include the outline development, financial and marketing plans and outline environmental impact for the exploitation of the discovery based on the applicant's considered likely production profile. There are no such applications on hand in my Department as no oil or gas discovery has been established as being commercial in recent years.

The fiscal terms that apply to production from a petroleum lease are determined by the date of the award of the initial petroleum exploration authorisation, i.e. a licensing option, or exploration licence. Accordingly, production from a petroleum lease arising from an exploration authorisation granted in 2005 would be subject to the 1992 Fiscal Terms, while the 2007 terms would apply in the case of an exploration authorisation granted in 2011.

Corrib Gas Field

Ceisteanna (1143)

Thomas Pringle

Ceist:

1143. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources the projected start date for gas production from the Corrib field; and if he will make a statement on the matter. [22272/15]

Amharc ar fhreagra

Freagraí scríofa

Completion of the Corrib gas field development works by the developer, together with obtaining all of the necessary consents, are the principal factors that will determine the date for first gas. Construction and testing of the infrastructure is ongoing, with first gas anticipated later this year.

Exploration Licences

Ceisteanna (1144)

Thomas Pringle

Ceist:

1144. Deputy Thomas Pringle asked the Minister for Communications, Energy and Natural Resources his plans to publish new licensing terms derived from the Wood Mackenzie review; if so, when these terms will be made public; and if he will make a statement on the matter. [22273/15]

Amharc ar fhreagra

Freagraí scríofa

During the course of the Dáil Éireann debate on 9 July 2013 on the May 2012 Report of the Joint Oireachtas Committee on Communications, Natural Resources and Agriculture on Offshore Oil and Gas Exploration, my predecessor indicated his intention to seek independent expert advice on the “fitness-for-purpose” of Ireland’s oil and gas fiscal terms. Following a public procurement process, Wood Mackenzie, a UK-based international advisory services company specialising in the energy, metals and mining sectors, was engaged to advise on the appropriateness of Ireland's oil and gas fiscal terms.

In undertaking its review Wood Mackenzie sought to take account of the need to strike the necessary balance between attracting the high-risk exploration investment needed to prove the potential of the Irish Offshore and maximising the return to the State from Ireland’s natural resources. Wood Mackenzie furnished its Final Report to my predecessor at end May 2014.

In June 2014 Government approval was received to revise Ireland’s oil and gas fiscal terms along the lines recommended by Wood Mackenzie.

A key recommendation of Wood Mackenzie was that the fiscal terms applying in respect of new petroleum authorisations should be revised to ensure a higher share for the State from the most profitable fields should commercial discoveries of oil or gas be made at some point in the future.

To achieve this higher share Wood Mackenzie recommended an increase in the marginal tax take from 40% to 55% (comprising corporation tax and a proposed petroleum production tax).

In addition Wood Mackenzie recommended that the revised fiscal terms should include a minimum payment (petroleum production tax) at a rate of 5% which would function like a royalty and would result in the State receiving a share of revenue in every year that a field is in production.

It is intended to give operational effect to this approach in the Finance Bill 2015 with the revised fiscal terms applying to petroleum authorisations issued after June 2014.

Question No. 1145 answered with Question No. 1121.

Broadband Service Provision

Ceisteanna (1146)

Seán Kyne

Ceist:

1146. Deputy Seán Kyne asked the Minister for Communications, Energy and Natural Resources his plans to alter the national broadband map to take account of the announcement by Eircom to extend fibre broadband into more rural areas of counties, particularly in the West; and if his Department is in communication with Eircom in order that areas nearby but not included in that company's plans are not omitted from the national broadband plan. [22364/15]

Amharc ar fhreagra

Freagraí scríofa

The National Broadband Plan aims to ensure that every citizen and business, regardless of location, has access to a high quality, high speed broadband service. This will be achieved through a combination of commercial investments and a State led intervention in areas where commercial services will not be provided.

Last November I published a national high speed coverage map for 2016. This map is available at www.broadband.gov.ie. The areas marked BLUE represent those areas that will have access to commercial high speed broadband services by end 2016. The AMBER area shows the target areas for the State intervention; all premises within the AMBER areas will be included in the State's intervention. Last week eircom announced an investment that may address a further 300,000 premises with fibre-to-the-premises technology. My Department will be rigorously examining the assurances from eircom in relation to these new plans, which is a requirement for all operators, and will review how this impacts the proposed intervention area.

North-South Interconnector

Ceisteanna (1147, 1148)

Brendan Smith

Ceist:

1147. Deputy Brendan Smith asked the Minister for Communications, Energy and Natural Resources if he will instruct EirGrid to cease all works on the North-South interconnector project and to underground the project, as requested in a motion passed by Monaghan County Council at a recent meeting; his plans to give the views of the members of Monaghan County Council urgent consideration; and if he will make a statement on the matter. [22498/15]

Amharc ar fhreagra

Brendan Smith

Ceist:

1148. Deputy Brendan Smith asked the Minister for Communications, Energy and Natural Resources his views on the recent decision by EirGrid to submit a planning application for the North-South interconnector without consideration being given to the options of undergrounding this project; and if he will make a statement on the matter. [22499/15]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 1147 and 1148 together.

I have taken note of the Motion referred to by the Deputy in his Question.

In January 2014, an Independent Expert Panel (IEP) was established to oversee the integrity of the process being undertaken by EirGrid to report on comprehensive, route-specific studies of overhead and underground options for both the Grid Link (GL) and Grid West (GW) projects. While the North South Transmission Line project (N/S) is outside the IEP's Terms of Reference, the IEP did agree, on foot of a request by my predecessor, to provide an opinion on the compatibility of the methodologies, to be employed on the GL and GW projects with what had already been done on the N/S project up to and including 2 May 2014, being the date that the IEP decided to examine the N/S project.

Having considered and discussed all of the material, the Panel issued a statement on 1 July 2014, indicating its unanimous opinion that, in all material respects, what had already been done on the N/S project is compatible with the methodologies being employed on the GW and GL projects.

On 27 March 2015 EirGrid published a new independently peer reviewed draft Strategy which allows for the achievement of an optimal balance between the competing demands of publicly consulting on necessary network development, choosing the best emerging technology options for that development, and minimising new build. The draft strategy found that there remains a clear need for the North South transmission line, and that the existing proposal for a 400kV overhead line remains the most appropriate solution for the project. I understand that EirGrid intends to lodge the planning application with An Bord Pleanála today (9 June).

Following submission of any final application to An Bord Pleanála in respect of each of the two projects, a further consultative process will be open to interested parties. Section 182A of the Planning and Development Act, 2000 (as amended) provides for the making of submissions in relation to an application for consent with respect to a development comprising electricity transmission infrastructure. A timeframe of not less than six week of public consultation is provided for under the section.

Semi-State Bodies

Ceisteanna (1149, 1150)

Michael Moynihan

Ceist:

1149. Deputy Michael Moynihan asked the Minister for Communications, Energy and Natural Resources the Department responsible for the financial oversight and corporate governance of Bord na Móna; the proposed changes that will be introduced to deal with a deficit in Bord na Móna’s general employees' superannuation scheme; and if he will make a statement on the matter. [22506/15]

Amharc ar fhreagra

Michael Moynihan

Ceist:

1150. Deputy Michael Moynihan asked the Minister for Communications, Energy and Natural Resources the Department responsible for the financial oversight and corporate governance of Bord na Móna; the proposed changes in Bord na Móna’s general employees' superannuation scheme that will see a pension levy being imposed on former employees in receipt of their pension between the years 2011 to 2015, while a levy will remain in place on pension entitlements for the lifetime of the pensioner; and if he will make a statement on the matter. [22507/15]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 1149 and 1150 together.

The General Employees' Superannuation Scheme is a defined benefit scheme for clerical and management staff of Bord na Mona. It has been in deficit for a number of years and has failed to meet the Minimum Funding Standard laid down under the Pensions Act. Without an amendment to the Scheme, this deficit is expected to rise to an estimated €75.1 million by 2023.

In order to address the issue, an amendment was agreed between Bord na Móna and the Scheme Trustees after consultation with the Scheme Members and was approved by the Pensions Authority on 22 April, 2015. Under this amendment 67% of the deficit is addressed by increased company contributions, 26% from member contributions and 7% from delayed investment de-risking. This breakdown of contributions is approximate and subject to changes in investment market conditions during the course of the funding proposal's review, on which the Scheme Actuary's assumptions are based. Member contributions are made via benefit reductions on a progressive scale where pensions up to €12,000 per annum are not reduced, pensions of €12,000 - €60,000 incur a 3.6% cut while pensions above €60,000 incur a 7.2% cut, subject to not being reduced below €57,840.

The approved changes to the Scheme do not include a pension levy. The levy the Deputy refers to is the general pension levy introduced by the Minister of Finance in 2011 on all funded pension schemes and personal pension plans established in the State. Bord na Móna is no different in this regard. I, with the concurrence of the Minister for Public Expenditure and Reform, approved the Scheme changes on 20 May. These will take effect this month.

Commissions of Investigation

Ceisteanna (1151, 1152, 1153)

Niall Collins

Ceist:

1151. Deputy Niall Collins asked the Minister for Communications, Energy and Natural Resources the number of commissions of investigation established under the aegis of his Department since the Commissions of Investigation Act 2004 came into effect; and if he will make a statement on the matter. [22750/15]

Amharc ar fhreagra

Niall Collins

Ceist:

1152. Deputy Niall Collins asked the Minister for Communications, Energy and Natural Resources the number of commissions of investigation under the aegis of his Department which have yet to complete and publish their reports; if he will provide a timeframe for same; and if he will make a statement on the matter. [22761/15]

Amharc ar fhreagra

Niall Collins

Ceist:

1153. Deputy Niall Collins asked the Minister for Communications, Energy and Natural Resources the number of commissions of investigation established under the aegis of his Department during the term of the current Dáil; and if he will make a statement on the matter. [22772/15]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 1151 to 1153, inclusive, together.

There have been no Commissions of Investigation established by my Department during the periods in question.

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