Ladies and Gentlemen: Our climate change commitments and the insecurity of future and current fossil fuel supplies require us to make a quantum change in our energy policy. The two key responses from this Government will be to develop our indigenous renewable energy resources and to promote greater efficiency in our use of all energy supplies.
Over the last year we have made some progress in the policy supports for new renewable energy resources. We have moved to the second stage in our Ocean energy development strategy by resourcing new wave basin testing devices in the Maritime Campus in Cork Harbour, a new off-shore grid connection site in Belmullet County Mayo, a new grant scheme for prototype wave power devices and a new support price scheme to insure we have one of the best investment as well as natural environments for such technologies. The new Ocean Energy Unit within SEI will co-ordinate further developments in this area.
Incorporating the analysis originally undertaken in our national bio-energy strategy we have also doubled the support price mechanism for critical bio-energy power productions systems which can bring about efficiencies both through the use of waste products in anaerobic digestion, and also through the combination of both heat and power production in the one operation.
We have also introduced a new support price for off-shore wind power in recognition of the higher costs that exist in building facilities in the marine environment and the long term potential for us to develop power from such a resource.
Over the coming months I intend that my department and SEI will to introduce further measures which will promote the development of new microgeneration systems which will complement the development that the energy regulator and our network companies are doing in the development of a smarter new grid system.
I am also aware that the increasing costs of wind turbines on the international markets and the delays and complications that can occur in the development of grid connections to wind farms have caused difficulties for onshore wind operators. As announced last autumn I will be re-establish the Renewables Energy Development Group to provide a forum where such issues can be raised and dealt with. I intend that the first meeting of the group should now go ahead on the 2nd of April with a specific initial focus on overcoming the issues related to the development of onshore wind power.
The development of such new renewable industries involves complex policy analysis and consistent political support. I am confident we have the resources and the commitment to allow Ireland meet and exceed the renewable targets we have set for ourselves.
To meet our overall targets for climate change and energy security, energy efficiency is the real key. It will require a renewed focus, sophisticated policy tools and unparalleled commitment to change across all sectors of the economy and each of us. It has been clearly demonstrated that efficiency measures are the least expensive and most intelligent means of making substantial cuts in our fuel bills and greenhouse gas emissions. It will take imagination and political commitment to untap that potential. This is my number one energy policy priority over the next year.
The energy White Paper commits to a 20% energy efficiency gain in the private sector by 2020 and a 33% improvement in the public sector over the same time. We have a number of representatives from state agencies, Government departments and local authorities here today and I hope that they will leave here today as the key drivers of change. I hope they are empowered and committed to ensure that their own organisations become drivers of energy efficiency in their own building, their own programmes and their own investment decisions. Public sector focus and leadership in energy efficiency has the potential to unleash savings and wider economic efficiencies for the taxpayer. It can also create the economies of scale which creates the market and supply chain for new energy technologies and processes.
We are already making changes in Government to help this process. The new building regulations are a key measure to implement efficiency at least cost from design stage. The Capital Tax allowances set out in this year’s Finance Bill provide an innovative new incentive for businesses to invest in energy efficient technologies. My Department and will also shortly introduce details of our support scheme for the retrofitting of energy efficiency measures to existing housing.