Ervia CEO, Mike Quinn

1. Using the gas network to
decarbonise Ireland’s economy –
A strategic opportunity
Mike Quinn, CEO

2. Ervia is a business of size and scale
1,700
employees
We operate gas and
water infrastructure
and services 24/7,
365 days a year
1.7m
customers

3. Our Purpose
To enhance the health and
quality of life of the people
of Ireland, protect our
environment and enable
economic development

4. What we do

5. Project Ireland 2040

6. Imagine if…
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• Ireland could remove over 17.5 MT of CO2 from its
emissions by 2050
• At lowest cost to consumers and exchequer
• While enhancing Ireland’s security of supply
• With existing state owned assets?

7. Ireland has already invested in this
national asset
€147m
capital expenditure
14,172km
of gas pipeline could wrap around
Ireland’s coastline 4 times
52%
of Ireland’s electricity needs
powered by natural gas
688,000
connections
1 in 50
Flexibility to meet the harshest weather
events as seen in 2010 and more
recently in 2018
Biomethane
Will be injected into the gas grid from
2018
20% by 2030
50+% by 2050
2nd
most profitable
semi-state energy
company
Over 2 times
the energy transported by the gas
network in Ireland when compared with
the electricity network
100%
Reliability of our gas transmission
network, including interconnectors to
the UK.

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A Strategic Opportunity
- decarbonised gas network by 2050
2020 2030 2040 2050
Gas to renewable gas Industry CSS
(300,000 tonnes)
Biomethane used in existing gas
boilers in houses 300k homes switch from oil to gas
1m homes using biomethane
for heat
Power Generation
Industry/ Commercial
Agriculture
Transport
Residential
Ireland’s emissions could
be reduced by 17.5 MT in
2050 by further utilising
the existing pipe network
2,000 CNG Heavy Goods
Vehicles / Buses
25,000 bio CNG Heavy Duty
Vehicles / Buses
70 refuelling stations
by 2027
Coal to gas by 2026 2 Gas CSS plants open
by 2032 first in 2028
2 additional Gas
CSS plants
Potential for negative
emmissions
Fossil Fuel generation met by
existing CCGTs by 2022
PotentialCO2reductionMT
Biomethane production
helps reduce Agri
Emissions
Increased manure
storage & production via
wastes

9. The gas network is crucial for Ireland to meet climate targets
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-
10
20
30
40
50
60
70
2016 2050 target [80%] 2050 target [95%]
Ireland has committed to reducing CO2 emissions
MT CO2 Agri Energy
By further
utilising the
current pipe
network –
Ireland could
remove over
17.5 MT of CO2
from its
emissions by
2050
At lowest cost to consumers &
exchequer
With the least disruption to the
end-users, while utilising
existing assets
While enhancing Ireland’s
security of supply
While providing significant jobs
to rural Ireland
All this can be achieved using the
pipe network:

10. Biomethane: Ireland has a significant opportunity
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• Highest resource
potential in the European
Union
• Offers opportunity for
farmers to diversify
• Enhances Ireland’s
Security of Supply
• Needs to be supported

11. CNG: Reducing CO2 emissions in transport
• Well proven technology, over 25m vehicles
worldwide
• Minimum network of 70 CNG stations across
Ireland
 14 stations by 2020
• Phased transition from natural gas to
renewable gas
• Initial CO2 reduction of up to 22% when
compared with diesel vehicles
• 35% for fuel saving
• 99% less Particulate Matter (a major
contributor to air quality and respiratory
illness)
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12. CCS: Assessing the potential to reduce emissions in
electricity, industry and heating
Gas-fired CCGT
power plant
Existing or new
power plant
CO2 Compression
and Conditioning
The captured CO2
is compressed
and dried
CO2
Transportation
CO2 is transported
through both
onshore and
offshore gas
pipelines to a
depleted gas field
CO2 underground
storage
The CO2 is
injected into the
depleted gas field
for permanent
storage
Carbon Capture
Unit
90% of CO2
separated from
exhaust gas from
the power plant
Exhaust
gas

13. Gas networks offer significant cost savings for
decarbonising domestic heating - UK
“Our analysis shows that removing gas from the energy mix and
replacing it with electrical energy, while feasible, is higher cost and
potentially more disruptive to customers.”
KPMG 2050 Energy Scenarios

14. Decarbonising Domestic Heating in Ireland
KPMG was commissioned to develop and evaluate a number of scenarios for the
decarbonisation of the one million Irish residential homes currently connected, or within close
proximity, to the existing gas network.
Biomethane
from AD
Biomethane (90%)
& Hydrogen (10%)
Electrification
€6,450
€6,750
€17,125
93%
93%
99%
€ per household1
CO2 Reduction2 Key Conclusions
 Proven technology with lowest
cost option
 Requires extensive AD roll-out
 Requires carbon capture
technology to be deployed
 Requires new appliances for
hydrogen fuel
 Requires deep and expensive
retrofit of homes
 Requires decarbonised electricity
and storage for peak heat
demand
1 Discounted costs in 2016 prices 2 Versus current emissions as per EU values

15. The gas network presents a strategic opportunity to
decarbonise Ireland’s economy
To enhance the health and
qual Our citizens expect energy professionals in
Ireland to provide value for money on their total
energy costs.
To achieve the lowest cost decarbonisation of
Ireland’s economy, existing gas infrastructure
must be fully utilised.