The latest report from Gas Networks Ireland for July reveals that overall gas demand rose by nearly six percent compared to June and increased by three percent year-on-year from July 2023.

Gas was the largest contributor to electricity generation, accounting for 45 percent of the total in July. This is an increase from 42 percent in June but a slight decrease from 46 percent in July of the previous year.

Wind energy generated 22 percent of Ireland's electricity in July, down four percentage points from 26 percent in June and 11 percentage points from 33 percent in July of the previous year.

Commenting on the report, Gas Networks Ireland’s Director of Strategy and Regulation, Edwina Nyhan said: "A cool and relatively dry month1, July saw a notable increase in gas demand, as wind energy’s contribution to the grid tapered off heading into the height of Summer. At times during the month, gas powered up to 64 per cent of the country’s electricity, and never dropped below 16 per cent2.

"Wind energy's contribution, meanwhile, peaked at 72 per cent, but given the variable nature of weather dependent renewable energy sources, there were times in the month when supply dropped completely and contributed less than 1% of electricity generation2. While gas supply will remain consistent as a backup, we anticipate that wind’s contributions to the grid will pick back up as we head into the autumn and winter months."

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In particular, July saw a notable increase in demand for gas in transport with demand for clean burning Bio-CNG, up 20 per cent month-on-month and 65 per cent year-on-year. Demand for gas was also driven by the manufacturing3 (+73 per cent month-on-month, +33 per cent year-on-year), education4 (+58 per cent year-on-year), office5 (+34 per cent year-on-year) and air travel6 (+25% year on year) sectors.

Ms. Nyhan said: "We are particularly proud to see such significant progress made in the greater uptake of BioCNG, a clean fuel and diesel alternative for freight and commercial vehicles. These numbers are a testament to the central role gas will play in Ireland’s continued journey towards net zero."

To address the increasing demand for cleaner gas, Gas Networks Ireland has recently issued a Prior Information Notice (PIN) on the e-tenders system for the potential acquisition of up to 250 gigawatts of biomethane.

The publication of the PIN will enable Gas Networks Ireland to gauge the level of interest in supplying biomethane. The government's strategy aims to replace 10 percent of the Republic’s natural gas with biomethane, produced from farming and food waste. Following this initial market assessment, Gas Networks Ireland may proceed to a full procurement process to acquire biomethane. This shift will help reduce Ireland's overall energy emissions, aligning with the Government's National Biomethane Strategy and Climate Action Plan targets.

Ms Nyhan said: "Gas Networks Ireland is currently working with stakeholders to significantly grow the biomethane sector in Ireland. We recently signed a contract that will see biomethane from Bia Energy’s new €60 million anaerobic digestion (AD) plant in Huntstown injected directly into the gas network, and it is also contracting with other biomethane producers. The recent publication of our PIN notice, is also an important step in this overall process, and we would encourage relevant stakeholders to respond to it as appropriate."