The two units aim to provide flexible backup for Ireland’s growing renewables sector. Credit: SSE.

SSE Thermal, a subsidiary of British energy company SSE, has been provisionally awarded 10-year contracts for two new proposed power stations in Ireland.

The company secured the contracts in the T-4 capacity auction.

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The power stations, which will run on sustainable biofuel, are to be located at Tarbert in County Kerry and Platin in County Louth.

Both will use hydrotreated vegetable oil (HVO), which is produced by processing waste oils to create a fossil-free alternative to diesel in line with EU sustainability standards.

Construction of the two low-carbon units aims to offer flexible backup to Ireland’s expanding renewables industry. SSE Thermal plans to close the existing Tarbert power station in 2023.

Development of the two power units is subject to planning consent and final investment decisions, due to be confirmed during April 2023. Once finalised, both are expected to come online in September 2026.

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Through this latest T-4 auction, the system operators have provisionally awarded a total of 7.2GW of capacity contracts to electricity generators, as well as to demand side response units, interconnectors and to storage.

SSE Thermal managing director Catherine Raw said: “Our proposed low-carbon power stations at Tarbert and Platin can play a crucial role in Ireland’s net zero transition, and these provisional contracts reflect their potential.

“Beyond helping to address security of supply concerns through the use of sustainable biofuels, sites like Tarbert and Platin could later become lighthouses for the integration of the existing energy system with a new hydrogen economy, capitalising upon Ireland’s enviable wind resource.

“We are also pleased to secure provisional contracts for our existing units at Great Island, Rhode and Tawnaghmore which continue to make a valuable contribution to the electricity system in Ireland.”