No doubt urman has Simon Coveney’s WhatsApp number
It could be well argued that the refinery is the most critical piece of energy infrastructure in the country and one which has a chequered trading history (some years profitable, others severe loss making…literally eye watering numbers) due to the volatility of the global refining market. Quite fascinating site and trading history for a certain type of geek.
Private now but was state owned for a brief time in the ’80’s but sold as too volatile for a for-profit semi-state. Losses impacted on state budgets.
I had to do some risk analysis for Ireland Inc when covid kicked off so ended up reading about it.
Personally I think we got lucky the Canadian Irving guys bought it as it meant Ireland has been purchasing their own oil from Canada and not Russia or elsewhere. Reduced our dependency on political crisis elsewhere.
Its the only way Ireland can have any energy independence for refined oil products. From memory at least 40% of all our national petrol, diesel and refined oil derivatives (and bottled gas) come from it in normal times and Calor gas takes its gas from it at an adjacent site.
Getting oil is easy, refineries take years to build so lose it and we are 100% dependent on the limited European capacity in the UK or elsewhere. Without it, In a major global energy crisis, we’d be screwed.
Incidentally read recently that both gas power plants close by have conversation kits for their turbines for oil ‘wastes’ to ensure the lights stay on here if we couldn’t get gas due to cut off or explosion of Norway/UK pipes ( c.900mw of electricity) and a global emergency sees us in the mire.
Ironically that capacity remains as the plant is so old but various owners kept investing so really wide capabilities despite limited demand.
If I’m reading this correctly it’s suggesting that relief from the windfall tax would be available for offsetting capital investment?
If so then I’ve no particular problem with that measure; the whole point of the windfall tax is that it was meant to be about solidarity with tax payers and ensuring that outsize profits weren’t taken by energy companies.
Investing in capital projects and spending to improve equipment and services is in principle a good thing and it’s not wealthy fat cat shareholders taking the cream whilst the exchequer bleeds.
This is of course likely to lead to potentially greater profits in years to come as the infrastructure built now provides for more capacity or efficiency but those are probably “fairly earned” rather than being the unfair, outsize profits that we all got worked up about.
3 comments
No doubt urman has Simon Coveney’s WhatsApp number
It could be well argued that the refinery is the most critical piece of energy infrastructure in the country and one which has a chequered trading history (some years profitable, others severe loss making…literally eye watering numbers) due to the volatility of the global refining market. Quite fascinating site and trading history for a certain type of geek.
Private now but was state owned for a brief time in the ’80’s but sold as too volatile for a for-profit semi-state. Losses impacted on state budgets.
I had to do some risk analysis for Ireland Inc when covid kicked off so ended up reading about it.
Personally I think we got lucky the Canadian Irving guys bought it as it meant Ireland has been purchasing their own oil from Canada and not Russia or elsewhere. Reduced our dependency on political crisis elsewhere.
Its the only way Ireland can have any energy independence for refined oil products. From memory at least 40% of all our national petrol, diesel and refined oil derivatives (and bottled gas) come from it in normal times and Calor gas takes its gas from it at an adjacent site.
Getting oil is easy, refineries take years to build so lose it and we are 100% dependent on the limited European capacity in the UK or elsewhere. Without it, In a major global energy crisis, we’d be screwed.
Incidentally read recently that both gas power plants close by have conversation kits for their turbines for oil ‘wastes’ to ensure the lights stay on here if we couldn’t get gas due to cut off or explosion of Norway/UK pipes ( c.900mw of electricity) and a global emergency sees us in the mire.
Ironically that capacity remains as the plant is so old but various owners kept investing so really wide capabilities despite limited demand.
If I’m reading this correctly it’s suggesting that relief from the windfall tax would be available for offsetting capital investment?
If so then I’ve no particular problem with that measure; the whole point of the windfall tax is that it was meant to be about solidarity with tax payers and ensuring that outsize profits weren’t taken by energy companies.
Investing in capital projects and spending to improve equipment and services is in principle a good thing and it’s not wealthy fat cat shareholders taking the cream whilst the exchequer bleeds.
This is of course likely to lead to potentially greater profits in years to come as the infrastructure built now provides for more capacity or efficiency but those are probably “fairly earned” rather than being the unfair, outsize profits that we all got worked up about.