Press Releases
Electricity Regualtor's decision will lead to higher prices - O'Malley
Progressive Democrats press release
November 30, 2006
Electricity Regulator's decision will lead to higher prices - O'Malley
Dun Laoghaire TD Fiona O'Malley says the Electricity Regulator's decision to authorise the ESB to build a new generating plant in Aghada, County Cork will inevitably mean the consumer pays more.
Speaking in the Dail on the introduction of the Single Electricity Market Bill, Deputy O'Malley said:
"This country needs a good mix of electricity-generating plant, to keep the lights on and to contain costs. Eirgrid, the systems operator, has been calling for flexible plant (large open cycle gas turbine generators) to respond to the increasing levels of wind penetration on the grid.
"But the Commissioner for Energy Regulation (CER) has ignored this request and given the green light to Aghada, which is a 'combined cycle base load' plant. Given that base load is a plant type which sets prices - and is the one type of generating plant we have an abundance of - the effect of this decision is, in the short term, to hand the ESB more control over price setting. This is irresponsible.
"Today for the first time ever, generation from wind went above 600 megawatts. What this level of wind penetration needs is flexible plant which can respond quickly.
"The last thing our system needs is more 'base load' plant, such as the one that has been authorised by the Regulator today. It is irresponsible of the regulator to ignore Eirgrid's request. It makes me question the extent of corporate expertise in the area of systems planning and operation that is available within the CER.
"Unless the ESB is instructed to sell 'intermediate load' plant such as 'Poolbeg One' the influence and dominance issue will continue and the consumer will lose out."
For further information please contact Deputy O'Malley on 086-6086888.