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Released November 19, 2019 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Two of the last three peat-fired power stations in Ireland will be shut down next year after plans to convert one of them to burn biomass were rejected during the summer.
West Offaly Power at Shannonbridge in County Offaly and Lough Ree Power at Lanesboro, County Longford, will stop generating electricity from December 2020 with the loss of 80 jobs. West Offaly Power produces 150 megawatts (MW) while Lough Ree Power generates around 100 MW--together capable of powering around 245,000 homes. Owner and operator ESB had proposed plans to convert West Offaly Power in the midlands of Ireland to a 150-MW biomass-fired power plant, but this was rejected by state authorities in the summer. For additional information, see August 12, 2019, article - Irish Peat-to-Biomass Power Plant Conversion Blocked.
"The current planning permissions for West Offaly Power and Lough Ree Power will expire at the end of 2020," ESB stated. "ESB submitted an application to An Bord Pleanála in 2018 seeking planning permission to transition West Offaly Power from peat to biomass over a number of years starting in 2020. This planning application was rejected by An Bord Pleanála in July 2019. Since then, ESB has undertaken a review of the options for both West Offaly Power and Lough Ree Power stations post 2020 in the context of the requirements of the single electricity market (SEM). Having considered the key planning, environmental and commercial issues associated with peat and biomass, regrettably there is no viable business model beyond 2020. Therefore, both stations will cease generation of electricity at the end of December 2020."
It added: "ESB will now begin the process of engaging with our staff and stakeholders to prepare for an orderly closure of the stations. The Government has recently announced the creation of a 6 million-euro ($6.6 million) Just Transition Fund for the midlands. In light of the closure of Lough Ree Power and West Offaly Power, ESB will make an additional contribution of 5 million euro ($5.5 million) to this fund."
The remaining plant, Edenderry, is owned by state-owned peat supplier Bord na Móna, and has planning permission until 2023 to co-fire peat with biomass.
In a statement, the Irish government stated that the accelerated exit from peat will mean that at least 1.25 million tonnes of carbon will be saved each year and emissions will reduce by up to 9 million tonnes up to 2027. Ireland is under pressure to reduce its emissions. The country exceeded its annual greenhouse gas emissions allocation by more than 5 million tonnes in 2018 and, from next year, will face fines from the European Union (EU) amounting to hundreds of millions of euro for failing to reach emissions targets. In 2017, coal and peat accounted for 49% of carbon emissions from electricity generation, despite only accounting for 19% of electricity generated, according to data from the Sustainable Energy Authority of Ireland. The result of this is that the carbon intensity of the Irish electricity was the fourth-highest in the EU in 2016, despite the rapid growth of renewables in the mix.
Minister for Communications, Climate Action and Environment Richard Bruton said: "I am acutely aware of the impact that an accelerated exit out of peat will have on workers and the Midlands region more broadly. Getting out of peat early will have a significant impact on our emissions. We must manage this is in a way that ensures the Midlands is supported through the transition."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
West Offaly Power at Shannonbridge in County Offaly and Lough Ree Power at Lanesboro, County Longford, will stop generating electricity from December 2020 with the loss of 80 jobs. West Offaly Power produces 150 megawatts (MW) while Lough Ree Power generates around 100 MW--together capable of powering around 245,000 homes. Owner and operator ESB had proposed plans to convert West Offaly Power in the midlands of Ireland to a 150-MW biomass-fired power plant, but this was rejected by state authorities in the summer. For additional information, see August 12, 2019, article - Irish Peat-to-Biomass Power Plant Conversion Blocked.
"The current planning permissions for West Offaly Power and Lough Ree Power will expire at the end of 2020," ESB stated. "ESB submitted an application to An Bord Pleanála in 2018 seeking planning permission to transition West Offaly Power from peat to biomass over a number of years starting in 2020. This planning application was rejected by An Bord Pleanála in July 2019. Since then, ESB has undertaken a review of the options for both West Offaly Power and Lough Ree Power stations post 2020 in the context of the requirements of the single electricity market (SEM). Having considered the key planning, environmental and commercial issues associated with peat and biomass, regrettably there is no viable business model beyond 2020. Therefore, both stations will cease generation of electricity at the end of December 2020."
It added: "ESB will now begin the process of engaging with our staff and stakeholders to prepare for an orderly closure of the stations. The Government has recently announced the creation of a 6 million-euro ($6.6 million) Just Transition Fund for the midlands. In light of the closure of Lough Ree Power and West Offaly Power, ESB will make an additional contribution of 5 million euro ($5.5 million) to this fund."
The remaining plant, Edenderry, is owned by state-owned peat supplier Bord na Móna, and has planning permission until 2023 to co-fire peat with biomass.
In a statement, the Irish government stated that the accelerated exit from peat will mean that at least 1.25 million tonnes of carbon will be saved each year and emissions will reduce by up to 9 million tonnes up to 2027. Ireland is under pressure to reduce its emissions. The country exceeded its annual greenhouse gas emissions allocation by more than 5 million tonnes in 2018 and, from next year, will face fines from the European Union (EU) amounting to hundreds of millions of euro for failing to reach emissions targets. In 2017, coal and peat accounted for 49% of carbon emissions from electricity generation, despite only accounting for 19% of electricity generated, according to data from the Sustainable Energy Authority of Ireland. The result of this is that the carbon intensity of the Irish electricity was the fourth-highest in the EU in 2016, despite the rapid growth of renewables in the mix.
Minister for Communications, Climate Action and Environment Richard Bruton said: "I am acutely aware of the impact that an accelerated exit out of peat will have on workers and the Midlands region more broadly. Getting out of peat early will have a significant impact on our emissions. We must manage this is in a way that ensures the Midlands is supported through the transition."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
