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Dáil
‹ Ceisteanna—Questions. Oral Answers. - Natural Gas Supplies.

Natural gas supply to Clonmel

Summary

The Minister said Government approval had been granted in 1984, but changed financing proposals from Clonmel Corporation had stalled agreement with Bord Gáis. Reynolds disputed this account and said the costs demanded by Bord Gáis were excessive; the Minister denied causing the delay and expected a resolution soon.

asked the Minister for Energy the reason he is refusing to sanction a supply of natural gas to Clonmel, County Tipperary.

Comment on this

I have not refused to sanction a supply of gas for Clonmel — quite the contrary. In August 1984, I secured Government approval for a supply of natural gas to Clonmel. This was based on proposals submitted by Clonmel Corporation.

In subsequent discussions with Bord Gáis Éireann, the corporation made substantial alterations in their proposals for financing the project. Further negotiations between the parties have not so far resolved one important aspect of the financing proposals. I have asked BGE to pursue the matter with the corporation. I am confident that agreement can be reached quickly and that gas can be brought to Clonmel without further delay.

Comment on this

Is the Minister aware of the widespread disappointment in Clonmel because they have been waiting so long for a supply of natural gas? Perhaps the Minister would confirm that the demand by Bord Gáis on Clonmel Corporation has been excessive — a huge amount of money. Perhaps the Minister has the figures available. That is the reason the project is not going forward. This situation has existed for quite some time. If it is not resolved, is the Minister prepared to allow private enterprise to come in and take an interest with Clonmel Corporation to resolve the financial problems which apparently Bord Gáis are not prepared to resolve?

Comment on this

I am confident that the matter will be resolved without further delay and that it will not be necessary to look for any other partners in the Clonmel Gas Company. I reject any implication that I caused the delay since the original agreement was sanctioned by me and approved by the Government in August 1984. Subsequently Clonmel Corporation came back to the Government with figures different from those contained in the original agreement. That is what has caused the delay, but I am confident that we can reach agreement within a matter of days or weeks.

Comment on this

Is the Minister aware that a representative from Clonmel Gas attended a recent meeting of the Joint Committee on Commercial State-Sponsored Bodies and gave a totally different story from the one the Minister is telling the House today? The problem is the huge amount of money being demanded by Bord Gáis, not that there was a change of plan. The Minister makes a big point of stating that the Government decision was made in August 1984. I would remind him that the Government decided in October 1982 to give Limerick, Clonmel and Waterford a gas supply. That was two and a half years ago but it has not happened yet.

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

That is a statement and if we do not make further progress some Deputies will feel they have a grievance.

Comment on this

Can we have a straight answer from the Minister regarding an extraordinary amount of money being demanded by An Bord Gáis from Clonmel?

Comment on this

I do not agree with that.

Comment on this

Give us the figure.

Comment on this

Stick around.

Comment on this

We will let Clonmel Corporation take it up with the Minister again.

Comment on this

There are two sides to every story.

12.

Comment on this