Private Members Motion on national renewable energy, Dáil Éireann

Ceann Comhairle. I am glad to have an opportunity to speak on this important strategically vital issue. As Minister Dempsey has pointed out, this motion has given the Government a valuable opportunity to set out comprehensively the range of initiatives taken by this Government to drive forward the renewable energy agenda.

As we celebrate Europe Day, it is timely that we position the national renewable energy agenda within the EU context. I endorse President Barroso's statement that growth and jobs are the central priorities for the Commission. And I welcome the Commission's emphasis on setting a positive agenda for Europe, which provides real added value for citizens. Growth and jobs need secure, sustainable and competitive energy. European energy policy, as the Commission acknowledges, is critically important for Ireland. Unlike the Opposition, who seem to be blithely unaware that there have been major developments in EU energy policy, the Government has made it clear that Ireland has much to gain from the development of a European energy policy. A key dimension of Ireland's input into the Commission's Green Paper and in discussions at the Spring Council is the importance of renewable energy. The Government is working positively and productively in Europe to address the collective energy challenges of security of supply, competitiveness and sustainability. We are pleased that the EU's ambitious new energy work programme is very much in line with the Government's approach. We welcome the strategic focus on renewable energy, energy efficiency and research and innovation, which will underpin the development and commercialisation of renewable technologies. We look forward to working with our European colleagues to delivering on the energy agenda.

This Government clearly recognises the increasingly important role of renewable and sustainable energy across all sectors of the economy and working together, Ministerial colleagues have developed a series of integrated and innovate programmes that are addressing energy production, supply and demand across the entire economy, from the farmer in the field, to the electricity supplier, to the business community and the private individual, all of whom have an interest in the strategic development of this resource.

Let me re-iterate our key priorities and achievements:

We have doubled our renewable electricity capacity in the past two years and are on track to meet our 2010 targets, if not exceed them;
We are developing renewable and sustainable energy policies on an all-island basis that will ensure the best outcomes;
We are working in Europe to deliver solutions and opportunities for Ireland in key energy policy priorities;
We have rolled out an innovative pilot biofuels excise relief programme which has resulted in eight biofuels projects coming on stream;
We have put in place a five year excise relief package of €205m which will see Ireland exceed 2% market penetration of biofuels by 2008 and will result in 163m litres of biofuels being placed on the Irish market by 2008;
We are introducing grant aid to underpin the excise relief programme and support indigenous production of biofuels;
We are delivering an Ocean Energy strategy which will put Ireland at the forefront of ocean energy development and position us to capitalise on this resource;
We are supporting important EU initiatives in the areas of energy efficiency, energy research, biomass and biofuels;
We are establishing an Irish Energy Research Council to advise on energy research priorities;
We are providing funding for Energy RTDI; (Research Technology Development Innovation)
We have launched a €27m domestic renewable heat grants programme, which has been greeted with enthusiasm by the public - 1,100 grants have already been approved in just over a month since the programme was launched. The programme will see at least 10,000 homes installing renewable energy systems - a real boost for individual householders who face rising fuel bills and are anxious to play their part in developing a sustainable energy economy;
We are launching a major grant aid package for commercial scale biomass boilers which will allow businesses to avail of lower cost heating, and will facilitate the development of a biomass sector in Ireland, thus also providing new opportunities for farmers and foresters;
We will also be launching a Combined Heat and Power programme, which will assist the commercial sector in switching to more efficient electricity and heat generation, including electricity generated from biomass.
We have introduced forestry grants to promote alternative use of timber
We will be introducing a scheme of supports for the purchase of specialist wood biomass harvesting equipment;
We have provided grant assistance in the agricultural sector for research projects relating to biofuels and energy crop uses and provided supports and studies to support biofuels deployment and policy development;
We are supporting the deployment of renewable and sustainable energy through a range of innovative programmes delivered by SEI (Sustainable Energy Ireland), which are aimed at the industrial, commercial, public and domestic sector and are have achieved significant results;
We will shortly be launching a major national energy efficiency campaign targeting individual consumers as well as specific economic sectors, through industry, SME's schools, and the public sector.
We will shortly publish an Energy Policy Green Paper which will set out the framework for national energy policy for the medium to long term.

Our record to date simply cannot be matched by the simplistic and ill-informed rhetoric contained in Fine Gael's so-called "National Plan for Alternative Energy". Fine Gael's plan is worryingly devoid of any strategic thinking and is clearly not as ambitious or all-embracing as the policy currently being rolled out by Government. It certainly does not stand up to scrutiny, For example:

Fine Gael suggests that all fuels should be required to contain 5% and 2% of bioethanol and biodiesel per litre of petrol and diesel respectively. This is clearly not permissible under EU legislation and the Commission has cautioned that it could not be done on a unilateral basis by Member States, even if the legislation were to change. The Government, by comparison to Fine Gael, is working with the Commission to explore whether this option, or a biofuels obligation or other support systems are the optimum approach to securing greater market penetration of biofuels;
Fine Gael proposes grants of €500 to €3,500 for householders wishing to covert their home heating to renewable energy. The Government's Greener Homes scheme, offers grants of up to €6,500 and includes new homeowners - not just those wishing to convert existing systems; Ironically, Fine Gael, in its policy document, seems to be more familiar with the UK grants scheme, than they are with the Scheme introduced by its own Government!!
Fine Gael says it will "consider" a complete separation of the ESB from the National Grid (Eirgrid). The Government not just considering this - the process is underway with a view to total separation by 1st July this year!
Fine Gael wishes to provide a "community dividend" to act as compensation for those living close to important infrastructure projects. Fine Gael is clearly unaware that an initiative of this nature is already being incorporated into the Strategic Infrastructure Bill.
Fine Gael states that it will prioritise the creation of a network of turbines to harness the potential of wind energy. Such a network is already developing through the AER programme and the more recent REFIT programme.
Fine Gael is single-handedly going to reform the existing energy crops scheme, notwithstanding the fact that this is an EU scheme and that any reforms can only be carried out at EU level. The Government by comparison, is actively engaging with the Commission on this issue. Likewise, Fine Gael says that it will consider whether sugar beet should be included under the scheme. I hate to disappoint Fine Gael, but the Commission has already decided that sugar beet will be eligible for aid under the scheme and may be grown as an energy crop on set aside land to activate payments under the Single Farm Payment Scheme.

I believe that we can do more to exploit the potential of energy crops based on existing land use patterns.

Oilseed rape can be used to produce pure plant oil for use in modified diesel engines and biodiesel for use in diesel engines without modification.

Traditionally the crop was grown here as a break crop to prevent disease caused by continuous wheat and to improve yields in the following years cereal crops. Production of oilseed rape is relatively small. In 2005 an area of 3,800 hectares was sown with oilseed rape.

Irish farmers can achieve satisfactory yields of oilseed rape and many cereal growers could produce it with their existing complement of farm machinery. The total amount of oilseed rape that can be grown is limited by the need to keep successive crops at least four years apart in a cereal rotation and to keep a two-year interval with beet. This and other factors would reduce the potential area for oilseed rape to around 30,000 hectares- this does not take account of the 30,000 hectares previously sown to sugar beet some of which could be used for oilseeds.

Quite clearly, Fine Gael is out of touch, not only with the public it seeks to serve, but also with what is actually happening in terms of policy development. Little wonder it did not wish to participate in an all-party consensus on this issue. As far as I’m concerned they should reconsider their position and work with other parties in shaping future policy. That been said, this Government will continue to forge ahead with its innovative and ambitious policies to develop Ireland's renewable energy sector.

Ends.