Dáil Éireann Debate, Tuesday - 3 November 2020
271. Deputy Darren O'Rourke asked the Minister for Environment, Climate and Communications the number of times he has used his power under section 10A of the Electricity Regulation Act 1999; the area of policy direction that was given to the Commission each time; and if he will make a statement on the matter. [33413/20]
Amharc ar fhreagraI have not used my powers under Section 10A of the Electricity Regulation Act, 1999, as amended.
The Commission for Regulation of Utilities (CRU) has responsibility for the regulation of electricity and gas markets. It is an independent statutory body, solely accountable to a committee of the Oireachtas.
The electricity and gas retail markets in Ireland operate within a European Union regulatory regime wherein they are commercial, liberalised, and competitive.
Section 10A of the Act, sets out the prescriptive procedure under which the Minister may give “general policy directions”. The process of Ministerial direction involves providing drafts of the direction to CRU, the Joint Oireachtas Committee and the Single Electricity Market (SEM) Committee, inviting them to provide views. The proposed Direction must include the reasons for the proposal.
A policy direction cannot be given where the SEM Committee has informed the Minister that it would materially affect, or would be likely to materially affect, the Single Electricity Market.
The Act precludes a policy direction in respect of a person who has applied for, or holds a licence, authorisation or consent, or a person to whom a licence, authorisation or consent may be granted by the Commission, or the performance of the functions of the Commission in relation to individual energy undertakings or persons.
The European regulatory regime further circumscribes the power to issue a policy direction to CRU. EU Member States must guarantee the independence of their energy regulators, which are expressly forbidden from taking direct instructions from a government, or any public body. The regime also restricts policy directions in the form of general policy guidelines in certain areas that are prescribed regulatory duties and powers in the EU Third Energy Package.
