Dáil Éireann Debate, Thursday - 8 September 2022
99. Deputy Éamon Ó Cuív asked the Minister for the Environment, Climate and Communications the emergency plans that he has in place to ensure a continuation of gas and oil supplies to Ireland this winter; if he will be proposing emergency legislation to ensure same; and if he will make a statement on the matter. [43480/22]
Amharc ar fhreagra101. Deputy Éamon Ó Cuív asked the Minister for the Environment, Climate and Communications the emergency actions that he intends taking to ensure the continuation of gas, oil and electricity supplies this coming winter at an affordable price; if he will be proposing emergency legislation to ensure same; and if he will make a statement on the matter. [43482/22]
Amharc ar fhreagraI propose to take Questions Nos. 99 and 101 together.
The National Energy Security Framework (NESF), which was approved by Government and published in April 2022, sets out Ireland’s response to our energy security needs in the context of the invasion of Ukraine and our specific national circumstances.
The short to medium term oil supply outlook has stabilised, with petroleum product availability having improved recently and there has been a slow softening of international oil prices. NORA (National Oil Reserves Agency) currently holds approximately 85 days of oil stocks, the overwhelming majority of which is in the form of physical product, with approximately 85% stored on the island of Ireland. NORA is ready to place this stock onto the market to meet shortfalls, if required. My Department is examining whether any legislation is required to further strengthen our response to emergency situations for oil.
Gas supplies from Russia to Europe have been severely reduced over the last year and continue to be a cause for concern for Europe’s energy security. This has resulted in natural gas prices that are approximately ten times the levels seen just two years ago.The continued supply of natural gas to Ireland has not to date, been reduced or interrupted as a result of the war in Ukraine. The UK, from where 75% of gas comes, is at a strategic advantage compared to other European countries with a diverse source of gas supplies.
Separate to the war in Ukraine, there are challenges to the security of electricity supplies in Ireland. Concerns over such risks had arisen largely due to the non-delivery of previously contracted capacity, increasing electricity demand and the increasing unreliability of some existing plants. The Commission for Regulation of Utilities is managing a programme of work to address this challenge, with the support of Eirgrid and my Department.
Government are acutely aware of the impact that rising energy prices are having on households and businesses across Ireland. The Government has already implemented a €2 billion package of policies and measures to support energy customers. These supports included an Electricity Costs credit which was applied to over 2.1 million domestic electricity accounts, a reduction in VAT on electricity and gas bills from 13.5% to 9% and increases to the Fuel Allowance. However, the Government recognises that more needs to be done as prices continue to increase and additional measures to support households are being examined in the context of the forthcoming Budget.
