I urged the Government to manage the situation properly and called for a comprehensive and proactive approach to energy transition, rather than a drawn-out, fragmented approach.
Our industry is incredibly resilient. Despite facing extra miles, increased drivers’ hours, more complex logistics and significant investments made by the industry, we found a way through the challenges.
However, waking up to the news on Monday 30th June, about the situation at Prax felt, frankly, like a hammer blow too far.
First and foremost, my thoughts are with the dedicated teams at the refinery and associated terminals who now face immense uncertainty. As I write this, the industry is once again patching together short-term solutions, and I sincerely hope a viable path forward can be secured for some of Prax’s operations.
The typical government response of launching investigations is not enough. What we urgently require – before winter – is a coordinated plan to ensure sufficient product availability for our end users, and sufficient supplies on our island to handle weather-related and unplanned operational disruptions. Additionally, the Government must consider the triple impact of the closure of a number of facilities within a very short timeframe.
Irish eyes are smiling
Across the Irish Sea, a more encouraging development emerged with the announcement of draft Heads of Terms for legislation to introduce a Renewable Heat Obligation (RHO).
This follows extensive engagement by the Alliance for Zero Carbon Heating (TAZCH), which worked closely with senior politicians, including Minister for Climate, Energy and Environment, Darragh O’Brien TD, members of the Oireachtas Climate Committee from all parties, as well as senior civil servants directly involved in drafting the RHO.
As part of the process, the Alliance published a major policy document on RHO in late June, which received extensive media attention. While there is a clear emphasis on stimulating domestic biomethane production, the initial obligation rates of 1.5% and 3% are significantly lower than the 20% target we have long championed.
There is, however, a genuine pathway to scaling up this ambition through ongoing dialogue with the Government.
I commend the work of the Alliance, Fuels for Ireland and OFTEC. It’s especially encouraging that the Irish Government has identified no major concerns around feedstock availability.
This is a compelling example of what can be achieved when government and industry work together towards common goals. The progress in Ireland evokes a bittersweet feeling, given the challenges we face in the UK.
Image credit: iStock
