Written answers
Tuesday, 25 April 2023
Department of Transport, Tourism and Sport
Ports Policy
Darren O'Rourke (Meath East, Sinn Fein)
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170. To ask the Minister for Transport, Tourism and Sport the progress to date with the construction of offshore renewable energy, ORE, port facilities; and if he will make a statement on the matter. [19008/23]
Darren O'Rourke (Meath East, Sinn Fein)
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171. To ask the Minister for Transport, Tourism and Sport the progress to date with the construction of ORE port facilities; if he still agrees with the Government's assessment in October that Ireland will need to develop four to five ORE port facilities, with a capacity to build 500 MW of ORE, and a "number of smaller ports for ORE Operation and Maintenance activities"; and if he will make a statement on the matter. [19009/23]
Darren O'Rourke (Meath East, Sinn Fein)
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172. To ask the Minister for Transport, Tourism and Sport the progress to date with the construction of ORE port facilities; if the number of smaller ports for ORE operation and maintenance activities has been identified; and if he will make a statement on the matter. [19010/23]
Jack Chambers (Dublin West, Fianna Fail)
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I propose to take Questions Nos. 170 to 172, inclusive, together.
The Government is committed to ensuring that our national commercial Irish ports are positive contributors to the ORE industry and that Ireland meets the ambitious targets of 7GW of offshore wind (2GW of which is specifically dedicated to green hydrogen) by 2030.
To achieve these ambitions a National Offshore Wind Delivery Taskforce was established in 2022 by the Department of Environment, Climate & Communication (DECC) to focus efforts across the system on the delivery of offshore wind energy, it brings together senior representatives from key departments and agencies. Supporting the development of port infrastructure is a core objective and the Department of Transport (DoT) is working very closely within this Task Force in this regard.
In December 2021, the DoT published a policy statement on the facilitation of ORE by Commercial Ports, the rationale for which was to bring clarity in policy terms and encourage all ports to actively engage with potential development opportunities and consider the potential being offered. In addition to the state commercial ports under the remit of the DoT, it is noted that there are also private commercial ports, as well as fishery harbours and local authority port which fall under the remit of the Department of Agriculture, Food and the Marine (DAFM) and Department of Housing, Local Government and Heritage (DHLGH) respectively.
This statement also noted that to meet Ireland’s deployment activity of 5GW a minimum of 2 ports will be required with a multiple of smaller ports requirement for O&M. As you are aware, Ireland has increased its ambitions to 7GW of offshore wind by 2030 and as a result, Ireland will potentially need up to 4 or 5 ports depending on the degree to which the respective ports plans match the nature and location of the requirements for marshalling and assembly.
In the development of port infrastructure, ports must progress their plans through a number of phases, this includes consenting and planning both which must be progressed in advance of the construction phase.
MARA is to be established in Q3 2023 and will begin processing applications for Maritime Area Consent (MAC). The first MACs are expected to then be awarded to ORE ports by end of 2023, after which the ports can begin pre-engagement consultation with An Bord Pleanála (ABP) with a view to obtain planning permission for construction of ORE infrastructure.
The Foreshore and MARA Planning Units in DHLGH continue to engage with ports in relation to plans, timelines, requirements, and the consenting phase as appropriate. This engagement will continue with a view to optimally supporting port readiness for MAC applications and ensure that ports can proceed through the consenting phases as efficiently as possible.
In addition, the DoT recognises that a number of smaller ports/harbours will be required for ORE operations and maintenance activities. While I am aware there are plans for developments taking place in smaller ports in relation to O&M, specific questions relation to their activities should be forwarded to the relevant authority in the DAFM or DHLGH, depending on whose remit they fall under.
Darren O'Rourke (Meath East, Sinn Fein)
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173. To ask the Minister for Transport, Tourism and Sport if his attention has been drawn to a report (details supplied) regarding State support for port infrastructure; if he has considered the report; and if he will make a statement on the matter. [19011/23]
Darren O'Rourke (Meath East, Sinn Fein)
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174. To ask the Minister for Transport, Tourism and Sport what funding structures have been considered for the development of ORE port facilities; and if Connecting Europe Facility funding can still be considered the main mechanism for funding port infrastructure supporting ORE. [19012/23]
Darren O'Rourke (Meath East, Sinn Fein)
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175. To ask the Minister for Transport, Tourism and Sport if a strategic investment model for the construction of ORE ports has been considered; and if he will make a statement on the matter. [19013/23]
Jack Chambers (Dublin West, Fianna Fail)
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propose to take Questions Nos. 173 to 175, inclusive, together.
Offshore Renewable Energy (ORE) is integral to achieving Ireland’s Climate Change ambitions with a target of achieving 7GW of offshore energy by 2030 of which 2GW will be dedicated solely to producing green hydrogen. Irish ports will play a critical part in achieving this ambition.
The Department of Transport acknowledges the report sent by Wind Energy Ireland in relation to port funding and the consideration given to various funding mechanisms within that report. Under National Ports Policy our state commercial ports operate as independent commercial bodies and does not provide for direct exchequer funding. This policy has proven very effective in developing a highly competitive and responsive ports sector, where ports have continually proven to be agile in responding to market needs and opportunities. This policy extends to any strategic investment model for the construction of port infrastructure where direct exchequer funding is proposed.
The Irish ports involved in advancing ORE infrastructural projects are at various stages of development. A number of ports are already working with their financial advisors to construct the detailed businesses cases that will determine their investment requirements and how best these requirements can be met. It is only when their respective business cases are completed that a determination of the commercial viability of these projects can be made and any potential financing requirements identified.
EU funding of port infrastructure for ORE is and remains available for ports, or terminals within ports, on the Trans European Network for Transport (TEN-T). Ports on the TEN-T network are eligible to apply for Connecting Europe Facility (CEF) funding towards their infrastructure developments, with the potential for up to 50% of eligible costs for studies and up to 30% of infrastructure works costs. This remains one potential source of funding, among many. The latest CEF call for funding closed on 18 January 2023 with the results expected in June 2023.
The need to maximise financing opportunities for ports is recognised. To that end, the Department of Transport continues to engage with all industry stakeholders. This includes potential financing partners such as the EU (via Connecting Europe Facility), Ireland Strategic Investment Fund (ISIF) and the European Investment Bank (EIB) – looking at viable projects, capable of generating a commercial return.
The Department of Transport has also engaged the services of NewERA to progress an analysis on the ‘Facilitation of Offshore Renewable Energy (ORE) by Commercial Ports’ and to explore the availability of financing mechanisms to support the delivery of port projects. As part of this analysis, NewERA will be assessing Irish ports’ ORE development plans and capacity to fund these plans.
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