BORD GÁIS Éireann has acquired a 20 per cent stake in the Irish-Swedish wave farm development business Tonn Energy.

The investment, which has been welcomed by Tonn Energy as a “key turning point for Irish wave energy development”, was confirmed to The Irish Times last night by Bord Gáis.

It will be drawn from the gas company’s alternative energy research fund, which was established to support the development of emerging sustainable energy sources. The fund has already made two ocean energy investments this year – in Irish technology company Wavebob, which is part of Tonn Energy, and Merc3, the new research facility in Ringaskiddy, Cork.

Tonn Energy was established in 2008 as a joint venture development between Swedish power utility Vattenfall and Wavebob.

Bord Gáis chief executive John Mullins noted that “the potential of the Irish wave energy resource is enormous and Irish utilities are determined to capitalise on that”.

Tonn Energy project director Harvey Appelbe told The Irish Timesthat the Government and industry must "now start working together to build wave farm projects, before Ireland loses the opportunity to other countries".

Mr Appelbe warned that there must be a greater government commitment to the sector’s development if Ireland was not to lose out to Scotland and other European competitors.

“Ireland and Scotland are racing for the same prize worth 70,000 jobs, €12 billion by 2030 and €120 billion by 2050,” Mr Appelbe added. “Both governments have been working on their plans. Scotland has had its plan for some time and is in the lead.”