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ARTICLE · 21 APRIL 2025

Electricity Update: Capacity Market Ruling

Arthur Cox
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Two electricity producers successfully challenged decisions to exclude them from the Capacity Market auction scheduled in November 2024, in the cases of Kilshane Energy Ltd and Coolpowra BESS Ltd (the "applicants") v EirGrid plc and Commission for Regulation of Utilities ("CRU") (the "respondents") [2025] IEHC 174.

IrelandEnergy and Natural Resources
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Niamh McGovern
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James Downey
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Keith Smith
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Aaron Boyle
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Katrina Donnelly
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Alma Kelly
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Two electricity producers successfully challenged decisions to exclude them from the Capacity Market auction scheduled in November 2024, in the cases of Kilshane Energy Ltd and Coolpowra BESS Ltd (the "applicants") v EirGrid plc and Commission for Regulation of Utilities ("CRU") (the "respondents") [2025] IEHC 174.

Similar challenges were successful in Northern Ireland judicial review applications taken by EP Kilroot and Prime Power Generation in [2024] NIKB 102 (PDF, 535 KB).

A capacity mechanism is a measure to ensure the necessary level of electricity resource adequacy by paying electricity resources for their availability. In the Single Electricity Market ("SEM") in Ireland, such resources can bid into Capacity Market auctions and, if they are successful, are entitled to capacity payments.

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This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.

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