Energy and Renewables
There are several potential implications for the energy sector arising as a result of the UK’s departure, particularly in light of the potential for future regulatory divergence in a no deal scenario. Whilst domestic subsidies are unlikely to be impacted, most of the recent focus has been on the potential implications for the Single Electricity Market in Ireland, and the future operation of cross-border capacity markets and DS3 system services markets. Considerations have also arisen around the potential for tariffs on cross-border energy supply. Gas networks and supply are considered less likely to be impacted.
We have been assisting clients in preparing for Brexit by helping them to consider their organisation’s specific energy requirements and assessing any Brexit related risks or opportunities arising in respect of energy supply. This includes contingency plans and legal advice to one of Northern Ireland’s largest electricity users (who also operate their own renewable energy facility).
Andrew Kirke, a Director in the Contracts and Energy team at Tughans, specialises in energy law, and has recently completed a secondment as in-house counsel at SONI Ltd (the electricity transmission system operator for Northern Ireland). He also serves as a member of Mutual Energy and as secretary for the Northern Ireland branch of the Energy Institute, and recently spoke at a SONI and Chamber of Commerce energy forum event on the potential implications of a no-deal Brexit on the energy sector in Ireland.
If you or your business have any questions on the potential implications of Brexit in relation to energy and renewables, please feel free to get in touch.