The power market should reflect that renewable energy is cheaper

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John-Fitzgerald News

Renewable-Energy

Ireland desperately needs to build out its grid to accommodate more use of wind energy

gas supplies were cut off following the invasion of Ukraine, European gas prices rose sharply, with a knock-on effect on the cost of electricity. With a fifth of Europe’s electricity generation dependent on gas, alternative sources of supply had to be found from other continents.

However, European electricity consumers benefit from a more reliable electricity system than in the US. While households whose power was knocked out during Storm Darragh may find it difficult to credit, on average US consumers suffer four times as many hours of lost supply as Irish ones. And although we are more exposed to high Atlantic winds than France or Germany, power interruptions here are on a par with these EU partners.

As renewables take a larger share of overall generation the problem of their intermittent nature becomes more important. There are many days when either wind or solar produce very little. In extreme winter weather conditions their down time could last up to three weeks. This poses a major challenge for the electricity system. At the moment the gap is filled by using expensive gas when the wind does not blow.

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