- New price will allow connection of over 200 MegaWatts of renewable electricity to the national grid

- Businesses can produce their own electricity and sell surplus to the grid

- Price will be a boost to the rural economy

Energy Minister Eamon Ryan today announced the Government’s new support price structure for bio-energy i.e. use of natural materials for the production of electricity.

The guaranteed support price (REFIT) will range from 15 cent per kilowatt hour to 8.5 cent an hour depending on the technology deployed (see Note for Editors).

The technologies supported include Anaerobic Digestion Combined Heat and Power, Biomass Combined Heat and Power and Biomass Combustion, including provision for 30% co-firing of biomass in the three peat powered stations.

Taken together, these new Government tariffs will foster the development of a robust and sustainable biomass supply sector in Ireland. They will drive demand for biomass and support the measures already in place such as the REHEAT programme (Renewable Heat Deployment) and the Energy Crop grant schemes run by the Department of Agriculture, Fisheries and Food.

 “I have always maintained that Irish farmers could be at the forefront of the green economy and the fight against climate change.  This new Government support price has the potential to contribute to economic recovery in rural Ireland as well as reducing our overall national dependence on imported fossil fuels.  Business will also benefit from the ability to produce their own electricity on-site and sell the surplus to the national grid.

This is a further measure to promote the de-carbonisation of our electricity generation in Ireland. I look forward to working with farmers and the industry to help our rural economy develop.”

ENDS

The Tariffs are as follows:

AD CHP ≤500 kW 15c/kWh

AD CHP >500 kW 13c/kWh

AD (non CHP) ≤500kW 11c/kWh

AD (non CHP) >500kW 10c/kWh

Biomass CHP ≤1500kW 14c/kWh

Biomass CHP >1500kW 12c/kWh

Biomass Combustion (including existing plant):

For using energy crops 9.5c/kWh

For all other biomass 8.5c/kWh

(limited to 30% of the maximum rated capacity co-firing in any plant until 2017, 40% between 2017 and 2019, and 50% thereafter)

These tariffs to be indexed and offered on a 15 year basis.