Price structure for bio-energy incentives ‘to boost sector’
The guaranteed support price (ReFIT) will range from 15 cent per kilowatt hour to 8.5 cent an hour depending on the technology deployed.
Technologies supported include anaerobic digestion for combined heat and power, biomass combined heat and power and biomass combustion.
Mr Ryan said these new tariffs taken together 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, he 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,” the minister said.
Irish Farmers Association’s alternative land use chairman JJ Kavanagh said Mr Ryan’s announcement was a welcome and much-needed first step towards building Ireland’s bioenergy economy.
“The energy crop ReFIT tariff will provide a market for miscanthus [grass] and enable farmers to compete in the market place. However, the rate will not be enough to stimulate real growth in the market and attract farmers into bioenergy production at the scale required,” he said.
IFA renewable energy and climate change chairman Jer Bergin said the anaerobic digestion ReFIT prices announced are inadequate for farm-scale bioenergy enterprises and represent a missed opportunity to assist Ireland meet its climate change reduction targets.
The Irish Bioenergy Association (IrBEA), which broadly welcomed the announcement, said it was heartened to see improved support for the industry.
The association said building a bioenergy industry in Ireland will provide real and long-term economic growth. Not only will it provide employment, but it will reduce the country’s €6.5 billion cost of importing fossil energy, it said.