Minister Ryan announces new Government support price for bio-energy
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.
- 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
The guaranteed support price (REFIT) will range from 15 cent per kilowatt hour to 8.5 cent an hour depending on the technology deployed.
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.
Announcing the measure, Minister Ryan said, “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.”
The introduction of these tariffs will cement existing jobs in place across a range of industries in Ireland. For businesses with a substantial heat load, biomass CHP offers them the opportunity to produce their own electricity and sell the surplus to the national grid. For businesses faced with costly organic waste management bills, Anaerobic Digestion will allow them to treat their own waste on site with heat that can be used in process as well as being a valuable fertiliser. Businesses can also use Anaerobic Digestion to sell surplus power to the national grid.
“In many ways this is only the start of our work to progress bio-energy in Ireland”, the Minister continued. “The Bio-energy Working Group report is currently being worked on in the Department of Energy and is currently consulting with a range of other Government Departments. This report, which will be published shortly, will make a number of further recommendations on the development of bio-energy. I look forward to the completion of this important report”.
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.
CHP utilising biomethane, displaced from the source of biomethane, will qualify for REFIT on that portion of the fuel mix deriving from bioenergy.
Limits per technology:
Anaerobic Digestion 50MW
Biomass CHP 100MW
Biomass Combustion (including co-firing):
Until 31st December 2015 160MW
From 1st January 2016 Unlimited
