Stock image
The High Court has begun hearing a challenge by three power companies to a decision by Eirgid and the energy regulator excluding them from an “electricity auction” because of the disputed feasibility of finishing projects within Eirgird’s timeframe.
Kilshane Energy Ltd, who planned to build two power plants in north Dublin, opened its case yesterday saying it should have been allowed to sell electricity to the national grid and that it had supplied “detailed” requested timeframes and work plans for completion of works.
Kilshane is challenging Eirgrid’s decision and the energy regulator, the Commission for Regulation of Utilities (CRU), which backed the Eirgrid decision on the two facilities earmarked for Huntstown in Dublin.
Eirgrid and the CRU are contesting the case.
Two related energy firms, Coolpowra Flex Gen Ltd and Coolpowra Bess Ltd, are also bringing similar proceedings relating to projects in east Galway.
The auction was the “only game in town” and from Kilshane’s point of view the refusal to allow it to participate would have “cascade effects” on projects that cost tens and hundreds of millions of euro, counsel for Kilshane has told the High Court.
The court heard that the imminent closing of the auction, the process of selling energy to the national grid, had been deferred from this Thursday until Thursday, December 12. Mr Justice Micheál O’Higgins told the fast-tracked hearing that he was conscious of the time involved.
Tony McBride SC, for Kilshane, told Mr Justice Micheál O’Higgins that his client had planned to build two 299MW “candidate unit” power plants at Huntstown but was refused access to the auction after Eirgid rejected the proposal on the grounds that the 200KV substation nominated by Kilshane would not be big enough and that a different substation of 400KV would be required.
“Essentially, you need a bigger plug,” Mr McBride told Mr Justice O’Higgins.
Counsel said Kilshane was told by Eirgrid that a connection from the power plants to a 400KV substation would mean the construction of a 23-kilometre cable operation to Woodland in Co Meath.
Mr McBride said that a sister company of Kilshane was previously allowed to bid on the auction on the back of a “near identical” project at Huntstown, but ultimately the company’s bids at auction were too high.
Counsel said the case was a “simple one” of the principle of fairness in seeking to have the rejection quashed.
The case continues.