Dáil debates

Thursday, 27 June 2024

Ceisteanna ar Sonraíodh Uain Dóibh - Priority Questions

Energy Infrastructure

10:50 am

Photo of Darren O'RourkeDarren O'Rourke (Meath East, Sinn Fein)
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66. To ask the Minister for Communications, Climate Action and Environment to provide an update on community-led projects that were successful in SRESS 1 and SRESS 2; the number of these projects that remain in the process; if he is aware of concerns that considerable barriers remain for community groups in the recently launched phase 2 of the SRESS; and if he will make a statement on the matter. [27732/24]

Photo of Darren O'RourkeDarren O'Rourke (Meath East, Sinn Fein)
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While there is some confusion on the terminology here, the Minister will understand the question. I am asking the Minister to provide an update on the community-led projects that were successful in auction 1 and auction 2; the number of these projects that remain in the process; if he is aware of concerns that considerable barriers remain for community groups in the recently launched phase 2; and if he will make a statement on the matter. I know there is a new SRESS process as well.

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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A thriving community renewable energy sector is a key pillar of the Government's climate action and renewable energy strategy. The first two RESS auctions provided pathways and supports for communities to participate in renewable energy projects. Seven community projects were successful in the RESS 1 auction, of which three are now energised. These community projects have been enabled by the RESS scheme and have now entered into private arrangements for selling their renewable energy. Ten community projects were successful in the RESS 2 auction, of which eight signed implementation agreements to deliver under the RESS 2 terms and conditions.

While the RESS enabled these community projects, there is evidence of significant challenges community projects face with the auction-based nature of RESS, along with other barriers to project delivery. To alleviate these issues, I announced last month a set of tariffs for the new small-scale renewable electricity support scheme, SRESS, and have provided for support for future community projects to now be through the non-competitive SRESS process. Community projects that are 100% community-owned will be permitted to apply to SRESS, including projects that were in previous RESS auctions and that have not energised. SRESS terms and conditions are currently being developed by my officials. The scheme will open for applications this year.

In addition, a suite of measures is being developed to overcome other barriers to renewable energy projects, including new and innovative approaches to grid connections being considered by the CRU and ESB Networks.

11:00 am

Photo of Darren O'RourkeDarren O'Rourke (Meath East, Sinn Fein)
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How many megawatts of community-owned renewable energy are currently energised and how many more megawatts will be needed in order meet the 2030 target? It seems clear that there is development in this space from a policy perspective, moving from the RESS and recognising some of the barriers. It remains to be seen whether the new SRESS process will address that. From a community perspective, when we look at the number of sustainable energy communities we have, it is clear that in most other European countries, the focus of sustainable energy communities is not on fabric-first retrofits; it is on generating renewable energy. It seems we are out of line with our European counterparts in that regard and that there are significant potential opportunities available.

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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It should always be efficiency first. That is the first fuel, first saving, first and most important priority. I agree with the Deputy's basic point. We have not delivered at the scale and speed that I would like in the context of community-owned generation of renewable power. One of the advantages of renewable power is that it should allow for a more distributed, broadly owned energy sector. I do not have the exact figures for the projects that have been energised but I will get them and share them with the Deputy. I am sure that we share the common target of 500 MW of community-owned renewable power by the end of the decade.

I had a very good meeting with a variety of community-energy operators to try to get to the bottom of why we have had such difficulty. There are a number of reasons. One of the main ones is regarding the grid and the ability for community projects to sometimes get the financing and to get the grid connections funded and supported. This has been a particular difficulty. I believe the new SRESS scheme will be successful. There has been a great deal of very positive reaction to it. The scheme really does prioritise and benefit, to the best of our ability, community ownership. Grid access is the key. This summer, the CRU and the ESB will, I hope, be introducing new mechanisms by which we can prioritise community projects and make sure they get access to grid connections. Along with the SRESS, this should unlock the ability of community groups to scale up generation and efficiency.

Photo of Darren O'RourkeDarren O'Rourke (Meath East, Sinn Fein)
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I encourage the Minister to look at some innovative models across Europe that have sought to take a different approach to the delivery of the same outcome. The outcome should be the literal ownership and a sense of ownership of the energy transition in order to allow people to share in the opportunity and the benefits offered by the transition to renewable energy. There are so many positives associated with that, not least that it empowers communities. For example, Ripple Energy in Britain takes ownership of a percentage of renewable energy projects, gives local communities the first opportunity to invest and then puts it out to a wider audience. It is a tried-and-tested model. Similarly, in Denmark there are higher commitments in terms of community ownership. It is up at 20% through the Danish renewable energy legislation. Legislative, regulatory and practical measures are needed. I know that public and private developers are open to this. We need to look at innovative mechanisms. I encourage the Minister to look at Ripple Energy as a mechanism to let people play their part. We met with representatives from that company recently.

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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I agree with the Deputy. I will look at the model. I am very open to looking at different models. We should continue to evolve this because there is real benefit in terms of wider community ownership and engagement. The International Energy Agency, IEA, country review, which was noted by the Government this week, recognised that there are a many community benefits and gain from our existing offshore and onshore schemes. It is not as if we do not have community gain. There is a revolution taking place at the household level. We are seeing 100 houses per day being fitted with solar panels. This has taken off unbelievably successfully in the last year. That is a wider distributed ownership. I agree with the Deputy, let us see how the SRESS and the new grid arrangements we are going to try to promote work. However, I do not think we should be restricted. One example presented at the European Energy Council recently was Ecopower, a Belgian company. The really attractive thing about this company is that it acts as a supply company as well as a generator. It is also involved in efficiency. This integrated approach of energy supplies, generation and innovation is a good model. There are good models on the continent and in the UK and we should continue to look at them as we expand community energy ownership.