Varadkar: Likelihood of blackouts low 'but cannot be ruled out'

EirGrid has warned the electricity system will face a shortfall of supply over demand for the next decade

Eirgrid has described the situation as 'stark' and cannot guarantee there will not be blackouts.

Tánaiste Leo Varadkar has said nobody can rule out blackouts this winter, but the likelihood is “very low”, despite fresh warnings from Ireland’s grid operator.

In its annual Generation Capacity Statement published on Thursday, EirGrid has said the electricity system will face a shortfall of supply over demand for the next decade.

The situation is described as “stark” and “serious” and chief executive Mark Foley said it will be a “tight” winter ahead and he cannot guarantee that there will not be blackouts.

However, Mr Foley said it would take "an extraordinary confluence of events for the lights to go out".

Reacting to the report, Mr Varadkar said: “We are concerned. I do think the risk of blackouts affecting homes and small businesses and farms is very low.

“Nobody wants to rule it out, but I think the possibility of it and likelihood of it is very low and I do want to give people that assurance.”

The Fine Gael leader said there has been a big increase in demand for electricity in the past couple of years and generators “didn’t deliver”, so investment is needed in areas such as renewables over the next couple of years.

Mr Varadkar also said he does not know how first-time buyers, or a particular group, could be exempt from the controversial concrete levy.

He said “we need to be honest with people” and once an agreement is made to pay for impacted homes and apartments that society needs to be prepared to cover the cost, adding “there is nothing for free".

The Tánaiste said the “fairest way” to create revenue to pay for homes affected by mica and pyrite is to put a levy on the construction industry.

He said: “We’ve committed to spend a lot of money over the next decade repairing homes in Donegal and Mayo. I think we’re going to have to make a similar commitment in relation to defective apartment blocks in our cities, that’s a financial commitment of several billion euro, even spread over a number of years.

“The devil is in the details but we’ll have that worked out in the finance bill over the next couple of weeks and it won’t come into effect until at least April, so there is time to get it right.”