Natural gas pipeline costs and timelines
O'Malley sought estimated spurline and conversion costs for four towns, then asked when the pipelines might be built. Spring said estimates exist but would not disclose them for commercial reasons; definitive projects and timelines have not been finalised, though proposals and discussions are underway.
asked the Minister for Energy if he will give an estimate of the cost in each case of a spur pipeline for natural gas to Limerick, Waterford, Clonmel and Kilkenny; and an estimate of the cost of conversion in each centre.
Comment on this
As definite projects have not yet been finalised in respect of these four centres, I think it would not be helpful at this stage to disclose figures for estimated spurline and conversion costs. It must be remembered that apart from spurline and conversion costs, other development expenditures will have to be taken into account by the various interests working on these proposals. There is also the point that tenders for these projects may be invited in due course and any disclosures of the kind requested in the question would place BGE and other entities at a commercial disadvantage.
Comment on this
Am I to take it that the Department do not have any estimates of what these costs are likely to be?
Comment on this
This has been normal practice. Would the Minister not agree to give these estimates particularly as in some cases the figures are quite small?
Comment on this
I agree the figures vary depending on the towns in question. As I said in my reply, it would not be to the commercial advantage of BGE — and that is what we have to consider at all times — to disclose the figures at this stage.
Comment on this
Could the Minister give an estimate if not of the cost at least of the date on which these pipelines will be built?
Comment on this
No, it is not possible at the moment to put a definite time scale on it until there are definitive projects before my Department.
Comment on this
As I said in my reply, definitive projects have not yet been finalised in respect of the four centres. Until we have these for consideration, it would be too soon to put a date on the timeframe for a working schedule for these pipelines.
Comment on this
Would the Minister agree that some time ago each centre submitted full detailed proposals for conversion to natural gas?
Comment on this
An amount of detail has been forwarded to my Department but, as the Deputy is aware, the Department do not necessarily have to be satisfied with the detail in the original proposals. Discussions have to take place, and discussions are taking place. As I said, I do not think disclosure at this stage would be helpful. Obviously at a much later stage it may be possible to make the disclosure the Deputy is seeking.