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Renewable Energy Generation

Dáil Éireann Debate, Tuesday - 10 November 2015

Tuesday, 10 November 2015

Ceisteanna (75)

Tom Fleming

Ceist:

75. Deputy Tom Fleming asked the Minister for Communications, Energy and Natural Resources the progress his Department has made in the development of solar energy; the projected target for solar energy as a percentage of our energy needs by 2020; and if he will make a statement on the matter. [39028/15]

Amharc ar fhreagra

Freagraí ó Béal (11 píosaí cainte)

The overarching objective of the Government's energy policy is to ensure secure and sustainable supplies of competitively priced energy to all 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 do that, Ireland is committed to meeting 40% of electricity demand from renewables, 12% renewables in the heating sector and 10% in transport. While we have made good progress with regard to renewable energy deployment, significant challenges remain, particularly in the heat and transport sectors. Provisional figures provided by the Sustainable Energy Authority of Ireland, SEAI, for 2014 show that 8.6% of Ireland's overall energy requirement was met by renewable energy. In addition, the SEAI has calculated that, in 2014, some 22.7% of electricity, 6.6% of heat and 5.2% of transport were met from renewable sources. Less than 0.1% of electricity is generated from solar photovoltaic, PV, installations.

In setting an overall target for electricity from renewable sources, the Government has not set specific targets for given renewable technologies. To date, wind energy, as the most cost-effective technology available to Ireland, has been the largest driver of growth in renewable electricity generation. The Government recognises, however, that wind must be complemented by other policies to meet our renewable energy ambitions. In addition to our onshore wind resource, bioenergy, solar and other technologies may play a critical role in diversifying our renewable generation portfolio over the period to 2030.

To support the use of renewable electricity and heat further, my Department launched two consultations on 31 July on proposed support schemes, one for renewable electricity and one for a renewable heat incentive. While the initial phase of both consultations closed on 18 September, there will be two further opportunities to contribute at key stages in the design of any new scheme. Subject to Government approval and state aid clearance from the European Commission, the new schemes will be available in 2016.

In the context of the forthcoming energy White Paper, my Department is considering the optimal fuel mix, including the role of renewable energy, for Ireland.

We are falling far behind, given what is happening in the development of solar energy globally. In the US, for instance, the cost of providing solar energy has reduced by more than 60% since 2011.

The technology has improved enormously and manufacturing costs have tumbled in the meantime. In Texas, the price of electricity has reduced dramatically since the rolling out of solar energy technology across the United States. There is a lesson to be learned here because of our high dependency on the importation of expensive oil, for instance. Electricity and gas suppliers in this country have been ripping off customers, as the Minister is well aware. I acknowledge he intervened earlier this year. In a little over three years, electricity prices have increased by 22% and standard gas prices have increased by 36%. The result of this is an increase of up to €500 in the yearly running costs of a domestic dwelling.

Undoubtedly, there is potential in solar technology. On a number of occasions, I discussed these issues with energy Ministers in Europe. In more than one country in Europe, a regime of subsidies was put in place for solar energy that is now regretted. It is not that the regimes are regretted because of the authorities not believing solar technology is good but because it now turns out it was not necessary to subsidise it at the level at which it was subsidised. I have praised previous Governments for recognising the importance and cost-effectiveness of onshore wind energy. It is a question of not getting in too early and not waiting too long. Our success in regard to onshore wind energy is clear. We just have to be careful. Solar energy is certainly becoming much cheaper. The Deputy is absolutely correct that prices are tumbling all over the world, with China leading the fray in regard to the manufacturing of solar technology. The questions to be asked are whether we should intervene with a subsidy and how best we can protect the consumer. Obviously, we do not want to hold back too long because the technology can get ahead of us. However, we also do not want to be getting in too early, as other countries did by putting in place subsidy regimes that were not necessary because investors would have invested in any case.

Germany is one of the largest solar energy producers in the world. Our climatic conditions are very similar to those in Germany. The same goes for Britain, for instance. It produces approximately 5,000 MW of solar energy. Our potential solar yields are not different from those in our neighbouring country. Unfortunately, solar energy is one of the lesser used renewables. This is to be regretted. It is very unfortunate that we have not grasped it yet and taken off in this regard. I raised this with the Minister at a meeting of the energy committee and he was very positive about solar energy. Really, we are sitting on this and lagging far behind.

There is an opportunity in rural areas for farmers to invest in solar energy to supplement what are, in many cases, very low farm incomes. We should take cognisance of this. We should redouble our efforts and give all those interested in promoting solar energy in this country all the backup possible.

We all agree that there is a need for renewable energy. However, we must question the cost to rural Ireland. For a number of years, there has been an ongoing threat of industrial wind turbines being erected throughout rural areas. Will the Minister not agree that there should be a moratorium to ensure no industrial wind farms can be given planning permission until he and his colleague, the Minister for the Environment, Community and Local Government, bring forward robust legislation to deal with the erection of wind turbines?

That is a slightly different question.

It is absolutely unbelievable and despicable that, over 12 months since thousands of people made submissions as part of the information process concerning new wind energy guidelines, we have yet to see where the Government stands on this issue. What consultation has the Minister had with his counterpart, the Minister for the Environment, Community and Local Government, on the new wind energy guidelines? When can we expect to see them published? Does the Minister agree there should be moratorium in place until such time as the wind energy guidelines are published and put on a statutory basis?

Does the Minister not believe we have some form of flawed policy when we have turbines that generate electricity on only three out of every ten days? On solar energy, does the Minister not believe the tariffs we have in place discourage people from getting involved in the solar energy sector? There are no planning guidelines at all for solar panels around the country. Does the Minister believe we should have such guidelines?

I have no responsibility in determining where any particular structures are located. I, and ultimately the Government, have responsibility for the energy policy of the country. It is my job to ensure we press on to achieve our renewable energy targets and climate change targets generally by 2020 in so far as they affect energy.

With regard to solar power, I have already made the point that I envisage a role for it. Since Deputy Tom Fleming and I last spoke about this, we have moved on it. There is a consultation process ongoing in respect of the kinds of refits or subsidies that would be appropriate for solar. I made the point to the Deputy that other countries regret becoming involved too early with subsidies that were too extensive. We could have and expand solar energy generation without necessarily affecting the individual consumer and customer of the electricity suppliers. We must have a balanced approach to this.

With regard to the wind energy guidelines, I said earlier when asked that the issue was put to my colleague, the Minister for the Environment, Community and Local Government, Deputy Alan Kelly, last week during Question Time. He dealt with it then and it is a matter for him but I have had contact with him and my Department has had contact with his Department. We have had good discussions on this.

When will the guidelines be published?

I have raised the issue as to whether there would be a risk of an adverse effect on the renewable energy policy of the country if there were to be a significant change to the setback distances. I make no bones about having done that and about having said to this House that I have done so. We are having good discussions and I hope for a result in early course.

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