Energy Sector Decarbonisation: A Just Transition

Transcription

1 Energy Sector Decarbonisation: A Just Transition November 6 th

2 Volume (Mt) Bord na Móna s Carbon Footprint 7 BnM Milled Peat 6 5 BnM Sod Turf Private Sod Turf Solid Fuel Use Transport & Logistics CO- FIRING Processing 1 Direct & Indirect Emissions -50% Edenderry 0 Harvesting & Land Use West Offaly Lough Ree Year

3 Our Response to the Decarbonisation Challenge The Scale of the Challenge Requires a Fundamental Transformation in What We Do 3 Transition Away from Our Core Peat Related Activities

4 The Impact of this Decision on Bord na Móna Irish Times 25/10/18 Daily Star 25/10/18 Irish Independent 25/10/18 4 Decarbonisation Policies will Lead to Significant Job Losses

5 Why Do We Need to Do This? 5 Footer title goes here Climate Change

6 Society Needs and Wants. Our Very Way of Existence Has to Change 6

7 However Society is Struggling to make this happen 7 Footer title goes here

8 Policy Drivers RESS Awaiting State Aid Approval Citizens Assembly on Climate Change Reaction to 2018 budget National Mitigation Plan & National Development Plan Integrated National Climate & Energy Plan 8 Footer title goes here

9 Can We Get the Necessary Buy In? Rationale Clear Accepted Planned Change Requisite Enablers Coordinated joined-up approach Provided? 9 Will Society Accept the Need for Change

10 Example: Ireland s traditional energy peat industry 10 Footer title goes here

11 Employment: 2,000+ Since the early 2000 s Diversification & Transformation are central to Strategy 11 Footer title goes here

12 Midlands: Socio-economic challenges and Opportunities 12 Our Heartland in terms of peat production

13 Bord na Mona Wind Assets (2024): 600 MW Core Element of Diversification Strategy Derrinlough Wind Farm 13 Footer title goes here Development Pipeline: > 1 GW

14 Electricity Generated by Fuel Type BNM 2015 By 2015 less than 50% of turnover & operating profit was generated from peat based activities led by the PowerGen business Solar, 0% Gas/Oil, 0.4% Wind, 30.9% Peat, 51.3% Biogass, 3.3% Biomass, 14.1% In period from 2008 to 2015 we have seen a gradual reduction in fossil fuelled generation as overall output increased. Peat Biomass Biogass Wind Solar Gas/Oil Total: 1.19 TWhr; RES-E: 0.57 TWhr; RES-E: 48.3%

15 Electricity Generated by Fuel Type BNM Solar, 0% Gas/Oil, 0.2% By 2017 RES is now the dominant generation source and is forecast to grow strongly in the period to Wind, 32.1% Peat, 37.4% Biogass, 2.9% Biomass, 27.3% Mixed Portfolio of Generating Assets: ~500 MW Peat Biomass Biogass Wind Solar Gas/Oil Total: 1.25 TWhr; RES-E: 0.77 TWhr; RES-E: 62%

16 Electricity Generated by Fuel Type BNM 2024 Solar, 2% Gas/Oil, 0.1% Peat, 15.1% Wind, 62.0% Biomass, 19.3% Biogass, 1.3% Peat Biomass Biogass Wind Solar Gas/Oil Total: 2.32 TWhr; RES-E: 1.97 TWhr; RES-E: 84.7%

17 Bord na Móna Peat for energy will be gone well before 2030

18 The jobs, the jobs..where are the jobs! Peat (MWhr) Biomass (MWhr) Emissions (tco2/mwhr) , , , , , , , , , , , ,000 By 2025 direction emissions 80% from The Transition KPI s show real progress Footer title goes here

19 Energy Sector Decarbonisation By 2025 direction emissions 80% from 2010 Since :Power Sector Emissions Intensity 50%

20 OUR CONUNDRUM BUT.Bord na Móna s Socioeconomic Remit? 20 Footer title goes here

21 Gross Value Added (GVA) Per Person Source: CSO, County Incomes & Regional GDP, March 22 nd Footer title goes here

22 Disposable Income per Person Source: CSO, County Incomes & Regional GDP, March 22 nd As we close our peat operations the midlands will fall 22 further behind economically

23 Replacement Options: Tourism? Source: Failte Ireland, Tourism Facts 2016, August Footer title goes here

24 Can a National Biomass Industry Replace the Jobs? 24 Nothing Will Replace the Scale of Job Losses Anticipated

25 SO A JUST TRANSITION Example: Coal Plant closure Victoria, Australia 25 Footer title goes here

26 Coal Plant Closure Challenge 1,000 direct job losses Estimated 1,000+ indirect jobs losses Opportunity State Government provided a fund of AUS $266 million Retraining to work in renewable energy industry 26 Footer title goes here

27 Example: Germany s Commission on growth, structural change & employment (WSB): Appointed by the Federal Government to find solutions on how to phase out coal-fired power to enable the country to meet its climate targets, while safeguarding jobs and economic growth in lignite mining regions 27 Footer title goes here

28 Ireland: Green Party Preliminary submission of a Just Transition (Worker & Community Environmental Rights) Bill to the Oireachtás Among other things seeks to ensure the closure of the peat stations doesn t result in mass job losses 28 Footer title goes here

29 29 Just Transition for Ireland s energy peat industry requires..