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FINAL CONSENT HAS been given today to allow the for the operation of the Corrib gas pipeline off the coast of Mayo.
The Minister for Communications, Energy and Natural Resources, Alex White, today gave permission for the pipeline to operate between the gas subsea facilities and the terminal at Bellanaboy, Co Mayo.
The minister gave the consent subject to the fulfilling of 20 conditions relating to environmental management, operation, control and monitoring.
It is expected that the first gas could be brought onshore as early as tomorrow.
Minister White issued a statement today, saying that the the Corrib Gas Field will meet around 42% of the gas demand of the entire island of Ireland, and that it will add to GDP by substituting for imported gas.
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Currently 90% of the gas for Ireland is imported from the UK.
The Minister said:
“The recent government White Paper on Energy, which I published on 16 December, has set out a trajectory to a low carbon economy by 2050.”
“However, this transition will take time, and fossil fuels will remain part of our energy mix for some years to come, as we first eliminate the most polluting fossil fuels such as coal.”
In this context, the development of indigenous gas resources will deliver significant and sustained benefits, particularly in terms of enhanced security of supply, import substitution, national and local economic development, and fiscal return.
Controversy
The Corrib gas line has been the subject of much controversy in recent years, with many locals in Co Mayo, as well as protest groups from all over Ireland, having longstanding issues and concerns with the effect the pipeline could have on the local environment.
The issue has divided the local community in Mayo and has been the focus of many protests over the past number of years.
FILE PHOTO: A day of action from a protest group against the gas field in Mayo (2011) Mark Stedman / RollingNews.ie
Mark Stedman / RollingNews.ie / RollingNews.ie
A spokesperson for Shell said today that following the go-ahead from the minister they would begin their final preparations for the introduction of gas from the offshore field.
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Should have been operational many years ago but was delayed with huge cost overruns to the tune of €2.4 billion thanks to crusties on social welfare protesting. Hopefully international companies aren’t fearful about investing in similar projects on this island in future.
Andrew you are talking absolute nonsense. There are no figures to back this claim up because it’s not true. The community in the area is not split either – 90% of the locals were behind this project. The vocal minority, together with a heap of blow-in crusties, held this up for years and cost the Irish taxpayer millions in unnecessary overtime payments to gardai. The employment generated over the last decade in one of Ireland’s most economically neglected areas has been a lifeline that kept the local community afloat during the recession.
Fukashima-Nuclear? Is one disaster not enough? It seems not so. Chernobyl and now fukashima. Read the facts about nuclear energy before you make a ridiculous statement this. Yes it maybe be clean but at what cost? The Pacific ocean has only dead fish in it
Unless you’re a shareholder in shell, statoil or vermilion (or indeed a Norwegian citizen) you should not be cheering this outcome. I suppose you can add complicit, corrupt government stools to this to. Every cent it took to build this is tax deductible. Every bribe paid to local idiots is tax deductible. All grants to clubs and societies locally and nationally are tax deductible. Which means the people paid to build this and make it operational. No tax will be paid and people will pay full market price to get gas that should belong to Irish people were it not given away for free. What’s to cheer? Nothing other than victory for a foreign multi national corporation against a local community in Ireland. Red thumb if you so wish – makes it easier to count the idiots on here.
you want the state to fund this and then provide free gas for all ??? Not even the middle east do this with Oil. The state dont have the resources,technology etc to build a giant refinery and all the add ons like this. Plus now, we will finally be protected from currency and supply changes for gas.
Capital development costs can be written off against tax on profit which is levied at 25%. The State will lose €600 million in tax revenues from the €2.4 billion cost overrun.
A victory by a multinational against a local community is nonsense rhetoric. The local community has benefited hugely with massive employment created during the construction phase, huge investment in infrastructure and now 200 permanent jobs for the lifetime of the terminal.
The father of Willie Corduff, one of the chief protesters against this pipeline, opposed electricity being brought to the area in the 1950′s. I suppose the introduction of electricity to the area was a dark day for the local community also?
You think tax deductions for capital expenditure means the Irish taxpayer payed for it? You need to read back up on Junior Cert accounting if that’s you’re understanding
Well Sean you get what you vote for! You might be able to choose some one different but at the end of the day the majority will keep the the status quo!
A gas line pipe that transfers raw gas where the pressure cannot be controlled from off shore to an onshore facilitiy first of its kind in the world, the term used is “Experimental” i feel for all the residents i know i would be praying that things don’t go wrong.
High pressure gas pipes are not experimental. Ireland needs baseload energy to balance useless wind power. Gas generation is better than burning turf or importing gas or electricty from the uk. If you dont like gas, then we should be lobbying for nuclear
@Buster
Will the Irish economy be big enough for a decent size nuclear plant? And that is before you deal with the NIMBYs.
I think we will have massive interconnectors exporting green energy and importing nuclear when necessary.
It’s a bit like the abortion debate, we will be able to get up on our environmental high horse and say we have no nuclear but be completely dependent on it.
The irish govt took a huge leap of faith in 1926, to provide cheap, green, electricity to the population. We had balls then. Sadly, PJ, i think you will be correct. Exported surplus intermittent wind power is very often dumped out at a loss, becase when the wind blows here, it is blowing in the uk too
It is called geoengineering, I have attended many lectures around the world on the subject held by leading scientist’s, I also have discussed this “Experimental” pipeline with engineer’s qualified to give me their expert views of this controversial project. Your statement also makes no sense Darren, thanks for your time.
The real controversy here is that we’ve sold ourselves out so cheap for such a valuable resource. Sure, the local economy in Enda’s constituency will benefit but in the long run we’ll see little or nothing of the enormous revenue this project will generate; that’s reserved for Shell and it’s shareholders!
It would have been better to have negotiated a joint semi state involvement along with Shell instead of selling our natural resources to the highest bidder.
Well yes PJ we do as a matter of fact. A much better than record of managing our national resources than selling them off to the ‘quick buck’ merchants, I’d think?
Unfortunately Alex won’t be cutting any ribbons as he can’t find the terminal. In common with many other infrastructure sites it unbelievably does have an Eircode. Then again Eircode is for billing householders… nothing else.
The big winners in this story were the cops who raked in millions in overtime and the security thugs from east Europe ditto. And Ray Burke and others In Fianna Fáil who gave the stuff to the Dutch for bales of loot
With the low price of oil combined with the high cost associated with working in the Atlantic and increased tax on the finds, the chances of substantial exploration off Ireland in the next 10 years must be pretty near zero
Fingers crossed that the next project does not get delayed by 10 years due to protesters etc. Then maybe investors will be more likely to explore more. Then maybe after that the tax rules can be more favourable to the state…
The main protesters were locals who had legitimate concerns.I recommend watching a documentary called “The Pipe” which examined some of the issues and shows what was going on in Rossport at the time. It was the most heavily policed town in Ireland for awhile!
The same film maker is making a second documentary called “Atlantic” which should be very interesting also.
Shell divided and conquered the locals at an early stage while the government provided them with private Garda security. They actually used the same tactics they used in Nigeria. But as a Dutch project manager who worked out there told me personally, they couldn’t get away as cheaply in Nigeria.
90%, no actually 95% of the protestors were Eco warriors from outside the area. They also were involved in the making of The Pipe, which was an extremely biased documentary. You make it sound like it was an impartial piece of work. The proof of the pudding came in the 2007 election, when the independent TD jerry cowley ran for reelection on an anti gas platform. Michael ring of FG was the area’s local representative, and effectively represented the pro gas side, alongside dara calleary of FF. Cowley lost his seat by a wide margin, and in Rossport, the epicentre of the perceived local opposition, Ring alone outpolled him almost 4:1. That said it all about how strong local opposition really was.
Is it the case that the gas is just sold to us at market rates, what benefit is it to us? That’s like the Saudis giving all the oil away, the Saudis raised the price of patrol today to I think 16 cent a litre for themselves.
Martin G. Your reference to the project being in Enda Kenny’s constituency means exactly what. Like Mr. Kenny prayed to some God who mysteriously placed Corrib in his constituency? Come on. Now as for who gains and who looses. Yes the government could drive high taxes to multinationals who pull Irelands natural resources from the sea or ground. But if done, these multinationals would not invest their shareholder dollars. Economics 101 in university.
Buster what you are failing to see is its another asset belonging to the people sold for nothing I suppose buster your type would love to sell our water as well.ff fg Labour would sell their mothers for a few cents shame we dont have a government for the people only money grabbing parasites
Oil and gas exploration and extraction is high risk and expensive. Would the shell to sea nimbies be happy if it was a state agency bringing the gas onshore?
This announcement is not something to celebrate as it just soldifies the shameful giveaway of our natural resources by successive governments.
A report in 2006 for the Department of Energy and Natural Resources said there was oil and gas at current day values worth about €540bn off the west coast — but with companies able to write off 100% of costs against tax backdated up to 25 years, and a tax of just 25% on net profits, very little would go to the State.
“There is something very wrong with the way we have valued our resources over the decades — perhaps it’s a cultural thing. When we joined the EU we ended up with less than 18% of the fish caught in Irish waters. People value property but when it comes to the offshore, it is not valued, and yet nine-tenths of the Irish territory is under the sea.”
Justin Keating in 1975 brought in a Norwegian-style policy but it was dismantled by Ray Burke and Bertie Ahern to such an extent that a US government report found that Ireland had the second lowest tax take from their hydrocarbons of 142 countries studied. https://youtu.be/v0ij_l5szHY
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