Call for fossil fuels tax to save energy

Turning off lights, insulating homes effectively, burning less coal and peat were all easy ways of saving money and power, senior researcher James FitzGerald said.

The ESRI have recommended that the Government impose a charge of €20 per tonne of carbon produced, the same rate which industry must pay, as a deterrent to wasting energy.

“You probably would not want to introduce it today with the high oil prices, but it is something that should be factored in over the next three years,” he said.

“The areas it would effect would be home heating fuels, oil and gas, and similar fuels. Otherwise people don’t know, they leave lights on, you have got to tell people that this is better for the environment.”

The ESRI said there could be more support for a carbon tax than expected. Researchers pointed to a survey on bin charges from last year which showed 78% of people would rather pay for waste by the amount produced than through a rise in income tax.

They forecast a 1% increase in price of fuels from carbon tax could help achieve a 1.2% fall in consumption.

The ESRI report, Aspects of Irish Energy Policy, noted around 220,000 households suffered from fuel poverty with people unable to afford the cost of home heating.

But researchers warned this should not be used as an excuse not to bring in the tax as the money generated could be put into heating subsidies for the old or unemployed.

“It could compensate the low 40% of households on low incomes groups three times over. It’s not really a good excuse, it is a reason for tackling fuel poverty,” Mr FitzGerald insisted.

The ESRI recommended that the Government turn its focus to renewable energy and wind power.

With low labour costs and a free, seemingly unending supply, wind energy is seen as the perfect replacement for expensive polluting fuels.

But Mr FitzGerald warned that building turbines right across the country would not meet our energy demands. Wind power only generates power 35% of the time and may only supply up to 10% of the demand.

The ESRI also warned over the heavy reliance on gas for our electricity needs but Mr FitzGerald noted the opening of the Corrib Gas Field would go some way to ease pressures.

“It would make it increasingly unlikely that there would be any interruption in gas supply if we had a second line coming in from a different area,” he said.

Researchers at the ESRI ruled out the possibility of nuclear power becoming part of Ireland’s energy market.

Mr FitzGerald said regardless of the environmental implications, the cost of setting up and running nuclear plants would not be viable.

“It does not look likely that in the current environment that nuclear power would be efficient,” he said.

Mr FitzGerald said while it was likely nuclear power would be more common across Europe, Ireland simply did not have enough homes to supply to make it economically viable.