Offshore wind firms want new State regulations

ENERGY COMPANIES want the Government to change the way the industry is regulated in the Republic to allow more offshore wind-…

ENERGY COMPANIES want the Government to change the way the industry is regulated in the Republic to allow more offshore wind-generated electricity on the State's power grid.

The Commission for Energy Regulation (Cer) recently revealed that it intended to licence less than half the renewable energy projects that are currently seeking permits to generate electricity in the Republic. The commission's plans have the implication that a large number of proposed projects could lose out, and a high proportion of those left behind are offshore wind developments.

The National Offshore Wind Association (Now) wants the Government to change the regulator's remit to allow the agency to open up the system to projects that its members are backing.

The licensing round, known as Gate Three, will give the go-ahead to projects with the capacity to generate 3,000 megawatts of electricity, enough energy to serve about three million homes. However, it has applications for 7,200 megawatts.

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The commission believes that 3,000 megawatts will be enough to ensure that the Republic meets renewable energy targets agreed with the EU and under international treaties.

The agency has to balance demands from renewable operators with the need to ensure that the Republic also boosts the number of conventional power plants that it has on its system.

The offshore wind association believes that electricity generated offshore can be exported if it is not needed in the Republic.

Airtricity executive and association member Arno Verbeeck told The Irish Timesthat Cer's remit was limited to Ireland so it could not take the export potential of any projects into account.

"We believe that the Government should change the regulator's remit so it can look at the export potential," he said.

A large number of Airtricity projects, including the Arklow Bank offshore wind farm, are not on the list of developments that the regulator intends licensing.

The offshore wind association will produce figures at its annual conference today showing every 1,000 megawatts of offshore wind-generated electricity is worth €1.7 billion to the Irish economy over 15 years.

Barry O'Halloran

Barry O'Halloran

Barry O’Halloran covers energy, construction, insolvency, and gaming and betting, among other areas