Power station deal lets German giant RWE enter Irish electricity market

GERMAN energy giant RWE yesterday took its first step into the Irish electricity market when it signed contracts for gas supply and plant operation at the proposed independent power station at Tynagh, Co Galway.

The company is behind the Npower brand that operates plants in Britain generating over 8,000 megawatts, double the size of Ireland’s entire demand for power. The firm will supply gas to the Tynagh plant, which is due to begin operations in 2006.

The plant is being built on the site of the old Tynagh mine by Tynagh Energy Limited (TEL), a consortium 80%-owned by Turkish construction company Gama, with the balance held by meat processing businessman Martin Blake. TEL was awarded a contract by the energy regulator last year to build a 400-megawatt plant that will be one of the biggest in the country when complete.