Dáil Éireann Debate, Thursday - 9 July 2026
231. Deputy Peadar Tóibín asked the Minister for Climate, Energy and the Environment to provide an update on the progress of the Tonn Nua offshore wind project off the coast of Waterford; whether any delays to the project have been identified to date; whether the project is currently expected to exceed its projected budget; and, if so, the estimated extent of any cost increases. [52551/26]
Amharc ar fhreagra232. Deputy Peadar Tóibín asked the Minister for Climate, Energy and the Environment to outline the tender and assessment process through which the Tonn Nua offshore wind project was awarded to the ESB-Ørsted joint venture, including the evaluation criteria applied, the number of bidders involved and the basis upon which the successful bid was selected. [52552/26]
Amharc ar fhreagra233. Deputy Peadar Tóibín asked the Minister for Climate, Energy and the Environment to outline the basis on which the Tonn Nua offshore wind project secured a 20-year Contract for Difference at a strike price of €98.72 per megawatt hour; and to provide details of the assessment carried out to determine value for money for the State and consumers. [52553/26]
Amharc ar fhreagraI propose to take Questions Nos. 231, 232 and 233 together.
In December 2025, I announced that Helvick Head Offshore Wind DAC, a consortium of ESB and Ørsted, had won my Department’s second offshore wind auction, ORESS Tonn Nua, and would be developing the 900-megawatt Tonn Nua site off the coast of Waterford.
The Offshore Renewable Electricity Support Scheme (ORESS) was developed as a competitive auction-based process, through which support for offshore renewable energy generation is allocated. The ORESS Tonn Nua auction process opened in September 2025, with the pre-qualification stage. Bidders had to satisfy a number of requirements in order to qualify for the bidding stage. These requirements included providing a declaration of the applicant’s project experience and a declaration of financeability and were set out in the ORESS Tonn Nua Terms and Conditions. Publication of the ORESS Tonn Nua Terms and Conditions followed a year long process of engagement with stakeholders involving two consultations and several technical workshops.
Four parties bid into the auction with Helvick Head Offshore Wind DAC selected as the winner, having submitted the lowest offer price.
As a two-way contract for difference, the Tonn Nua strike price of €98.72 per megawatt hour serves to determine whether transfer payments are made by reference to wholesale electricity market prices. On days when wholesale prices are higher than the strike price, the supplier makes a transfer payment to the PSO, and vice versa when wholesale prices are lower than the strike price.
The Tonn Nua project is progressing well since completion of the auction. The project was awarded a Maritime Area Consent by MARA in March 2026. It is anticipated that the project will receive a planning determination in 2029 and energisation in 2033. No delays to the projects have been identified to date. The project budget is a matter for the project developers and is not determined or controlled by my Department.
