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05/07/2024

Govt Approves Measures To Accelerate Renewable Electricity

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Minister for Environment, Climate, and Communications has secured government approval for two memos aimed at accelerating the delivery and maximising Ireland's benefits from renewable energy potential.

The two memos set out future plans for the development of electricity storage, which will allow excess renewable energy to be stored and used when needed and Private Wires, which will allow community energy groups, private individuals or other energy users to run their own electricity cables in order to transfer electricity.

Both developments are the other side of the coin from the large-scale development of renewables. These two developments are essential building blocks of a new renewable energy system, which by its nature is variable and accessible to all, from individual householders to community energy projects to large energy users.

The Electricity Storage Policy Framework for Ireland, a first of its kind policy, outlines the importance of electricity storage systems in enabling Ireland to store surplus renewable energy for future grid use instead of relying on fossil fuels. This stored energy can be deployed during peak demand or when wind and solar capacity is low, such as during winter's low-pressure periods. Currently, Ireland has approximately 800 MW of storage capacity, and the framework advises immediate procurement of additional storage facilities.

The addition of these electricity storage systems will not only increase the amounts of greener renewable electricity onto the grid, which will ultimately provide cheaper, green electricity to the consumer, it will ensure that Ireland’s grid can exploit the opportunities provided by the fast pace of our renewable generation programme and facilitating the growth of Irelands industrial sectors.

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Research from the Economic and Social Research Institute (ESRI) indicates that early implementation of onshore renewable electricity generation in this decade could reduce wholesale electricity prices by as much as 10%, resulting in decreased bills for households and businesses.

The second memo is the Private Wires Guiding Principles for Policy Formulation. On a basic level, Private Wires refers to private individuals or undertakings running their own electricity cables in order to transfer electricity. Private Wires in most instances will involve crossing land and/or property that the cable owner or operator does not own, whether this is privately or publicly owned land. Currently, the transfer of electricity from external generation to demand site (houses, factories, and so on) only takes place on the State-owned national electricity grid.

Private Wires empower individuals and organisations to directly connect with renewable energy sources, giving control to end users. For instance, community energy groups can distribute energy directly to consumers in need, while larger users, such as pharmaceutical companies, can source their energy directly from nearby solar farms, even if these are not situated on their own premises

The vast majority of Ireland's energy needs will continue to be supplied through the national grid. Private wires will work in complement with national policies and the ongoing development of the grid, the CRU (Commission for Regulation of Utilities) or the grid systems operators.

The public consultation invited feedback on various opportunities, including both onshore and offshore aspects. These include green hydrogen production, connecting local generation with nearby demand, linking generation with distant demand and exploring potential uses like private networks resembling small-scale electricity grids.

The Minister for the Environment, Climate and Communications, Eamon Ryan, said: "These two policies are the essential other side of the coin to our renewable electricity ambitions. They are building blocks in our interconnected energy and technological transition to a better way of powering the country.

"It is clear from both the engagement on the Electricity Storage Policy and the large number of responses to the Private Wires consultation that they are areas that are of interest to many. They offer the potential to deploy more renewables within the energy system and to assist with our decarbonisation goals.

"Getting more renewables onto the system is key if we are to meet our climate goals. Delivering an electricity storage policy framework and a Private Wires framework is essential to unlock private sector resources to build new electricity infrastructure."

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