Energy Bill 'priority' for Enterprise Minister

Sir Reg Empey the Minister for Enterprise, Trade and Investment, has taken the process of introducing new legislation governing the electricity and gas industries in Northern Ireland closer by launching a draft Energy Bill for public consultation.

The bill which seeks to establish a new Regulatory Authority for electricity and gas comes in the wake of calls made by Ofreg to NIE to cut electricity costs.

Speaking today Sir Reg said he hoped the consultation document would lead to the debate on energy issues stepping up again.

“My immediate priority is to ensure that Northern Ireland is well placed to rise to the challenges of a changing energy environment and is ready to grasp opportunities to improve the diversity of energy supply while also making every effort to minimise the cost of energy to consumers,” he said.

The bill proposes to give the Authority enhanced powers, in particular enabling it to impose fines on electricity and gas licence holders for breach of licence conditions or standards of performance.

It will also call for grater transparency in the various business activities of energy companies.

The consultation paper circulated today follows on from the Department’s earlier consultation “Towards a New Energy Market Strategy for Northern Ireland”, and includes priority energy issues, which require legislation.

Sir Reg said: “There is tremendous interest in energy matters and there were very comprehensive responses to the initial consultation. The recommendations in the Enterprise, Trade and Investment Committee’s Energy Inquiry Report have also been a vital indicator for identifying the priorities now contained in the draft Energy Bill. Work on the energy market strategy also continues and a draft of this will be published later in the year. I have appointed a Steering Group of energy experts to advise the Department on both the legislation and the developing strategy.”

The Steering Group includes the current electricity regulator, Douglas McIldoon, and other representatives with expertise of electricity, gas and renewables issues, in addition to expert with all-island, EU and consumer perspectives.

The Bill also provides for the introduction in Northern Ireland of a Renewables Obligation. This will place an obligation on electricity suppliers to purchase a proportion of their electricity from renewable generators. The Bill seeks to construct an ‘Obligation’ which would enable the trading of Renewable Obligation Certificates on a UK-wide basis. This will require amendment of the Great Britain legislation and the Orders made under it.

The Minister also emphasised that this Energy Bill is part of ongoing legislation and consultation taking place in relation to energy.

He said: “This draft Energy Bill contains key energy issues, some of which are also urgent. It is important that these are progressed as quickly as possible.”

(AMcE)