THE RELIANCE of part of the Irish power sector on the locally sourced fuel of peat is to continue into the next two decades, after a state aid scheme allowing the Irish government to fund its use was agreed by the European Commission.

It has accepted that Dublin will be able to pay an average of Euro 30 million a year from 2001 to 2019 to the country's publicly-owned Electricity Supply Board in compensation for being legally obliged to use a quantity of electricity generated from peat.

Even though the six existing peat plants are ...

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