Gas demand recedes due to mild weather

Figures from Gas Networks Ireland show natural gas remains the primary source electricity generation in Ireland

Milder-than-expected weather saw Ireland’s gas demand fall by 8 per cent in January compared to December, according to figures from Gas Networks Ireland. Demand was also 7 per cent lower than in January 2022, which was considerably colder.

In its latest bulletin, the network operator noted that gas remained the primary source of electricity generation in the first month of 2023, as it was for nine months of 2022. At its peak, gas powered up to 80 per cent of electricity generation.

Wind energy also set a new record, it noted, providing 40 per cent of electricity generation in January, an increase of 21 per cent both year-on-year and month-on-month. At its peak, wind generated up to 76 per cent of Ireland’s electricity during January.

“However, as is the nature of intermittent renewable energy sources, there were also times in the month when the wind supply fell away and provided as little as 1 per cent of the country’s electricity requirements,” the utility said.

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Coal generated 8 per cent of January’s electricity, falling significantly on December’s contribution (-33 per cent) and dropping by 43 per cent compared to January last year.

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Gas demand fell in the manufacturing sector was down 14 per cent month-on-month in January, while the mild weather also contributed to a decrease in gas demand from the offices (-16 per cent) and residential (-11 per cent) sectors year-on-year.

Demand from the construction sector increased month-on-month by 26 per cent.

Weather-dependent renewables

“During January, there were days when there was little or no wind, which meant that weather dependant renewable energy was not available to generate electricity and meet the country’s energy demand,” Gas Networks Ireland’s acting director of strategy and regulation Brian Mullins said.

“This is why gas continues to be the ideal partner for weather-dependent renewables. Being able to harness wind energy when it is available and back it up with the flexibility and reliability of gas when it’s not, provides a secure and complete energy system for the people of Ireland,” he said.

“Our vision is to continue being at the heart of Ireland’s energy future and we are working to repurpose Ireland’s world-class network of gas pipelines to transport renewable gases, such as biomethane and green hydrogen, for Ireland’s low carbon future. There are plans to repurpose over 60 per cent of the EU’s existing gas network to transport hydrogen, and we are very well positioned in Ireland to do this,” Mr Mullins said.

Eoin Burke-Kennedy

Eoin Burke-Kennedy

Eoin Burke-Kennedy is Economics Correspondent of The Irish Times