Michael Moynihan (Cork North West, Fianna Fail)
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4. To ask the Minister for Communications, Energy and Natural Resources if he has any concerns over the wide variation in the amount of energy generated from wind power on the national grid from week to week; the plans he has to integrate the Irish electricity grid into the European grid; and if he will make a statement on the matter. [4480/14]

Michael Moynihan (Cork North West, Fianna Fail)
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I wish to ask the Minister about his concerns over the wide variation in the amount of wind energy generated on the national grid from week to week. In September, for instance, only 43 MW of energy was generated. In December, 1,769 MW was generated. What is the Minister's view on this variation and what are his plans to address this issue?

Pat Rabbitte (Dublin South West, Labour)
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EirGrid is the transmission system operator, TSO, for the electricity transmission system in Ireland. The functions of the TSO are set out in SI 445 of 2000 and include the operation of a safe, secure, reliable, economical and efficient electricity transmission system with a view to ensuring that all reasonable demands for electricity are met, having due regard for the environment.

The conventional generation required to support variable renewable energy such as wind energy is covered in All-Island Generation Capacity Statement 2013-2022, published by EirGrid and the Northern Ireland transmission system operator, SONI, in 2013. The capacity statement examines the expected electricity demand and level of generation capacity forecast to be available over a ten-year period. This analysis and forecasting allow EirGrid and SONI to establish the outlook for generation adequacy in Ireland and Northern Ireland over the timeframe. Based on analysis of factors such as increasing levels of renewables and changes in the conventional generation portfolio, the statement forecasts that Ireland’s generation adequacy outlook is positive for each of the next ten years.

It is important to note that the cost of subsidising renewable generation varies throughout the European Union. The additional costs of renewable generation in Ireland are marginal. The European Commission estimated only last week that renewable energy added less than 1% to retail energy prices in Ireland. This compares very favourably with figures for other member states as well as the average increase of 6% in retail energy prices across Europe. I remind the Deputy in the context of recent discussion on the urgency of the construction of the Meath–Tyrone transmission line that such costs, along with costs called constraint costs, will be further reduced when that link with Northern Ireland becomes operational.

Additional information not given on the floor of the House

EU policy is to encourage greater integration and interconnectivity between member states. EirGrid has the statutory responsibility to explore and develop opportunities for interconnection of the Irish transmission system with other systems. Enhanced security of supply, increased competitiveness, and the ability to integrate greater quantities of variable renewable generation resources are some of the potential benefits of further interconnection between the transmission grids of Ireland, Great Britain and mainland Europe. I understand from EirGrid that a number of studies are exploring different aspects of the feasibility of additional interconnection and these will feed into any decisions on future interconnection investment.

Michael Moynihan (Cork North West, Fianna Fail)
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Given the considerable emphasis on wind energy and the talk about expanding wind energy capacity, is EirGrid or the Government concerned that we could become over-reliant on wind energy such that there would not be enough electricity in the system during crucial periods of high demand if there were insufficient wind at the time?

On the subject of the proposed wind energy farms in the midlands that are to export electricity to the United Kingdom, will all the energy be taken underground to the point where it is to go under the sea?

Pat Rabbitte (Dublin South West, Labour)
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The Deputy raised a very complex, technical question that I have struggled with for quite some time in an effort to understand the matter. It essentially concerns the capacity of the system to accommodate renewables generally, and wind energy in particular. The transmission system operator, EirGrid, is very highly regarded not only in Ireland, but also internationally in terms of its technical competence in dealing with this issue. The Deputy is correct that when the wind does not blow or blow adequately, backup is needed. This is when additional costs are incurred.

Only last week, the paper produced by the European Union estimated that the marginal cost in Ireland is 1%, as I stated in my formal reply. In some other countries, it is as high as 13.5%. If my memory serves me correctly – one should not hold me to this without checking – there was a day last year on which 50% of our domestic need was met by wind energy. This is very high by comparison with the figures for any other European country. A process called the DS3 process is in train to examine future capacity in this area.

If the wind export project to Britain gets under way, the cable from the midlands to the point where it goes under the sea will be underground because the technology will be distinct, separate and different.

Michael Moynihan (Cork North West, Fianna Fail)
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That basic point is fundamental to the issue of EirGrid. If we are capable of running an underground cable from the midlands to the point at which it goes under the sea for export, why can we not run cables underground for the internal supply? I refer to the North-South and east-west interconnectors, which are part of the Grid25 programme. If cables can be run underground for the purpose of exportation, it should be done internally also.

Pat Rabbitte (Dublin South West, Labour)
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It is not a question of technical capacity only. Undergrounding is possible but it is much more expensive. Deputy Colreavy's party leader said yesterday that the norm internationally is to put cables underground. The international norm is that 1.5% of transmission cables are underground, including in economies that are far wealthier than ours.

While the issue is cost, there also can be technical questions. In the case mentioned by the Deputy of the North-South interconnector, technical questions exist that have always concerned EirGrid and engineers because unlike southern Munster, the North-South project entails meshing two different systems and even if there never was an issue with money, the engineers have technical concerns as to what technology should be used. However, on Deputy Moynihan's main point as to whether it is possible nowadays to run a DC cable, the answer is "Yes" but there are related questions and a huge difference in cost.