Dáil Éireann Debate, Tuesday - 5 April 2022
179. Deputy Rose Conway-Walsh asked the Minister for the Environment, Climate and Communications the role gas plays in setting the wholesale electricity price of other forms of generated electricity, particularly renewable energy. [18154/22]
Amharc ar fhreagraThe Single Electricity Market (SEM) is the wholesale electricity market for the island of Ireland. The SEM is regulated by the SEM Committee and administration of the SEM is managed by the Single Electricity Market Operator. The SEM Committee comprises the two energy regulators, the Commission for Regulation of Utilities (CRU) and Northern Ireland’s Utility Regulator and an independent member.
In the SEM, all electricity generators, including gas and renewables, are obliged to sell their output into the “pool”. The wholesale price is based on the last bid by a generator that is accepted by the Market operator to meet the demand for electricity at that time. The market operator accepts all the available renewable power and any other power source that has priority and then accepts the lowest bid followed by the next lowest and so on until the demand is matched by supply. The last bid required to meet demand sets the wholesale price for electricity.
The regulation of the electricity market is carried out by the CRU, which is an independent regulator. I have no statutory function in the matter of the regulation of electricity prices. The Electricity Regulation Act provides that the CRU shall account for the performance of its functions to a Joint Committee of the Oireachtas.
