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16/08/2023

Gas Demand Drops By 20%

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Gas demand in decreased by 20% compared to July last year, according to Gas Networks Ireland.

Year-on-year, gas demand fell in the construction (-46%), office1 (-32%) and education (-31%) sectors.

Gas generated 48% of Ireland's electricity in July – a decline of 17% compared to June, when gas generated 58% of Ireland's electricity, and a 23% decrease on its 62% contribution in July 2022.

Wind energy had one of its strongest Julys on record – generating 35% of all electricity in the State. Wind peaked at 78%, but given the variable nature of weather dependent renewable energy sources, there were also times during the month when the wind supply dropped almost completely and contributed less than 1% of electricity generation. Coal contributed 3% to Ireland’s electricity generation in July, peaking at 13%.

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Demand for Compressed Natural Gas (CNG) increased by 26% month-on-month and by 7% year-on-year. Made by compressing natural gas down to less than 1% of its volume, CNG is a more environmentally friendly fuel than petrol or diesel and provides the Irish haulage industry with a cleaner alternative fuel option.

Gas Networks Ireland's Acting Director of Strategy and Regulation Brian Mullins, said: "Ireland's energy systems harnessed an impressive level of wind energy when it was available in July, and backed it up with gas, when wind was not available. Gas’s contribution to electricity generation peaked at 86% and never fell below 12% at any point in July. Another reminder of the flexibility and reliability of gas and the gas network which continues to provide a secure and complete energy system for the people of Ireland.

"It's great to see the continued increase in demand for CNG. Ireland’s commercial transport fleet makes up just 3% of vehicles on the road, yet is responsible for approximately a fifth of transport’s carbon emissions. It’s also one of the most difficult sectors to decarbonise.

"While electricity is a proven alternate fuel for cars, electric solutions are not a viable option for use in heavy goods commercial vehicles. However, CNG is; and can reduce a HGV’s emissions by up to 22%.

"Gas and the gas network is the backbone of Ireland’s energy mix – particularly given the intermittent nature of wind – but increasingly we believe that will include more renewable energy like biomethane today, and hydrogen in the future."

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