Eirgrid warns of increased risk of power cuts

Eirgrid, the operator of the national electricity grid, has warned that frequent breakdowns at three ESB power stations will increase the risk of power cuts during periods of peak demand this winter.

The company says in a new report that uncertainty over the plants' operations threatens to cut the margin between electricity demand and supply, contributing to an increased risk of power cuts.

The power stations in question are at Poolbeg, Dublin, Great Island, Co Wexford and Tarbert, Co Kerry. Eirgrid also notes that a fourth power production unit - one of five at the Aghada complex in Cork Harbour - has been out of action since February and will not resume production until early next year.

Eirgrid says "there is increased uncertainty around the availability of some of the older units at Great Island, Poolbeg and Tarbert". Its report - the first of regular monthly updates on power plant availability - says the problem is "evidenced by extended outages and high forced outage rates. This could lead to reduced capacity margins during the winter peak period".

A "forced outage" is a breakdown or some other problem that causes a power station to shut down unexpectedly. On December 19th last year, demand for power in the Republic hit a record 5,035 megawatts (MW). At the time, there were another 300MW in reserve. Eirgrid believes that the 300MW margin could be eroded should demand hit similar levels this winter.

Eirgrid's finding concur with a recent Economic and Social Research Institute report, which warned that the margin between electricity demand and supply is already tight in the Republic.

An ESB spokesman said that the three plants are amongst the oldest operated by the State company and are nearing the end of their useful lives. He added that the ESB has to keep them going until 2010, when they are due to close under a deal with the Commission for Energy Regulation (CER), the industry regulator.

The ESB will be allowed under this deal to build a new 400MW plant in Cork.

The Government has banned the company from investing in other new plant in order to facilitate the entry of new competitors into the market. The regulator hopes that new investors will be tempted to develop new power plants in Poolbeg, Great Island and Tarbert.

Eirgrid states that the Republic's generators are not as available to produce electricity as often as they should be.