Delivering a cleaner energy future
Regulating for energy transformation energy report
aggregators, in competitive DS3 procurement processes, being part of the solution and gaining value from it.” Another area MacEvilly outlines where the CRU has a crucial role in the decade ahead is that of underpinning key network infrastructure. “We know that we are going to have to deliver more network infrastructure if we want to get to our 70 per cent target by 2030,” she says. “We’re designing regulatory frameworks, including our evolving connections policy and we’re working on new regulatory frameworks for two key interconnector projects, namely the Greenlink and Celtic projects.
Chair of the Commission for Regulation of Utilities (CRU), Aoife MacEvilly, discusses the regulator’s role in the energy transformation, putting the consumer at the centre. Reflecting on the successes of the last decade, namely Ireland’s proximity to its 40 per cent electricity from renewable sources target, MacEvilly says that the strong collaboration across the private and public sectors, which has enabled this success, must be built upon with continued learning. MacEvilly outlines that CRU is committed to making a positive difference to the transformation of the energy sector, with the consumer at the heart of that programme, through the implementation of their 2019-2021 Strategic Plan and the deployment of the tools of economic regulation.
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interconnectors will continue, even if not as optimally as when the UK was part of the EU internal energy market. “We will continue to evolve the SEM post-Brexit. There is strong commitment on both sides of the border to the implementation of the Clean Energy Package, which supports our decarbonisation goals. We know that there is quite a lot of work to do but the challenges around system services and the evolution of our DS3 programme to deliver up to 95 per cent SNSP are ones that I think are really exciting,” she adds.
Highlighting the regulators strong belief in the power of markets and marketbased approaches to deliver positive outcomes for consumers, MacEvilly states that CRU will continue “on our journey of market design as a way to implement change”.
A further element is the collaboration on the Renewable Electricity Support Scheme (RESS) and its alignment with SEM. The auction-based approach to deliver renewables is “another good example of delivering policy goals at the lowest cost and delivering real value for customers”, explains the Chair.
A key element to this, she says, is the all-island electricity market. Outlining the desire to see a positive outcome from the future trading relationship between the UK and the EU, MacEvilly highlights that ongoing trade across
“As we develop energy markets, we have to change our thinking on the role of customers, no longer as passive consumers but active participants. Our vision would be that domestic customers could participate, through
“We’re also working through, with policymakers, a vision for offshore wind, recognising how vital this is to delivering on our 2030 targets. Like all of our regulatory frameworks, we will be looking to develop an approach that balances the cost and the risk for consumers. This is a key element of the work that lies ahead of us.”
Public acceptance MacEvilly highlights an awareness that regulatory frameworks to finance and deliver infrastructure are only part of the challenge, pointing to the need to gain public acceptance for delivery across the island. “Part of that is about telling the national story of energy infrastructure’s role in supporting decarbonisation and security of supply in the context of increasing electricity demand but there are also local discussions to be had. I think we have to be much more open to listening at a local level. We also need to demonstrate to local communities that we’re open to delivering the infrastructure that they want.” Pointing to greater connection options for community generation or individual microgeneration as examples, the Chair adds: “We also need to highlight that we are open to non-wire solutions, particularly at the distribution level, where potentially purchasing local services, battery services for example,
