Wind energy saved Ireland 1.2 billion in 2024, but grid limitations hinder its full potential

Wind energy played a key role in reducing electricity costs in Ireland and Northern Ireland throughout 2024. Baringa Partners' "Cutting Carbon, Cutting Bills" report, commissioned by Wind Energy Ireland, found that wind power avoided the need to purchase 2.5 billion cubic metres of fossil gas, resulting in 1.2 billion euros in wholesale electricity market savings.

According to the study, 34% of Ireland and Northern Ireland"s electricity was generated by wind, reducing dependency on imported fossil fuels. Dr Mark Turner, Partner at Baringa Partners, highlighted: "The impact of wind energy on cost reduction is clear.

It not only lowers electricity bills but also strengthens the country"s energy security."

Noel Cunniffe, CEO of Wind Energy Ireland, emphasised the importance of these findings: "Once again, this report highlights the critical role Irish wind farms are playing in driving down Irish energy costs, cutting our carbon emissions, and reducing our reliance on imported fossil fuels.

The study found that wind energy played a crucial role in reducing costs and emissions in 2024.

A total of 5 million tonnes of CO emissions were avoided, which is equivalent to removing 1.8 million cars from Irish roads.

The savings in gas costs reached 748 million euros in Ireland and 157 million in Northern Ireland, contributing significantly to the reduction of reliance on imported fossil fuels.

Additionally, the displacement of carbon credits accounted for 268 million euros in Ireland and 56 million in Northern Ireland, reinforcing the economic benefits of wind generation.

March recorded the highest wind generation, leading to total savings of 120 million euros.

However, the most significant monthly savings occurred in December, amounting to 170 million euros, driven by rising gas prices.

Despite these achievements, Noel Cunniffe warned that the savings could have been even greater.

He explained that while Ireland reached a record level of wind energy generation capacity, surpassing 5,000 MW of installed onshore wind, it was also the worst year in terms of lost wind power due to limitations in electricity grid capacity.

Despite the growth in installed capacity, the Baringa report highlights that Ireland"s grid constraints prevented the country from fully capitalising on its wind energy potential.

Each time a wind turbine is shut down due to a lack of grid capacity, costs rise and carbon savings are lost.

"Every time a wind turbine is shut down because the grid can"t take the electricity, it means higher bills and more carbon emissions, explained Cunniffe. "This report further highlights the urgent need to reinforce our grid infrastructure, so that we can get more wind energy on the grid and allow consumers to fully benefit from Ireland"s renewable transition.

During Storm 0owyn, the vulnerability of the electricity grid became evident. Cunniffe commented: "The resilience of our electricity grid is key to meeting growing demand while ensuring a secure and sustainable energy future.

We welcome the recent announcement by Minister Darragh O"Brien TD of new plans from the Government to strengthen our electricity grid to protect families and businesses vulnerable to these kinds of weather events.

The impact of Storm 0owyn in January 2024 exposed the weaknesses in the electricity network, leaving thousands of homes without power for weeks. Cunniffe stressed the urgent need for action: "The immediate focus of State agencies has rightly been on restoring power to all homes and businesses.

But the focus must move soon to building a more resilient electricity network to protect us from even fiercer storms in the future.

Reinforcing the grid would not only improve stability against extreme weather events but also enable full integration of wind energy, further reducing fossil fuel dependency and energy costs.

"Strengthening our grid infrastructure is a vital investment in our future, concluded Cunniffe. "It will help to further protect our electricity supply and we look forward to working with the Government to support this work and deliver on our clean energy future.

Wind energy capacity in Ireland varies significantly by county, reflecting both geographical potential and renewable infrastructure investment. Kerry leads the country with 746 MW of installed capacity, generating 1,664 GWhrepresenting 12.67% of Ireland"s total wind energy share.

It is followed by Cork, with 705 MW and 1,421 GWh (11.97%), and Tipperary, with 422 MW and 890 GWh (7.16%).

Other Counties with significant wind generation include:

• Donegal: 455 MW installed, 711 GWh generated (7.72%).
• Galway: 326 MW installed, 833 GWh generated (5.53%).
• Mayo: 358 MW installed, 829 GWh generated (6.09%).
• Clare: 246 MW installed, 590 GWh generated (4.20%).

In contrast, some counties have installed capacity but generate no energy, such as Dublin (1.3 MW), Carlow (9 MW), Louth (7.6 MW), and Meath (9 MW), while others, including Kildare, Longford, and Westmeath, have no wind infrastructure at all.

This disparity highlights the urgent need to enhance grid transmission and storage infrastructure, ensuring that all generated energy can be efficiently integrated into the national grid. Noel Cunniffe, CEO of Wind Energy Ireland, stressed: "Every time a wind turbine is shut down because the grid can"t take the electricity, it means higher bills and more carbon emissions. Strengthening infrastructure would allow for greater renewable energy penetration, maximising economic and environmental benefits for consumers.