Dáil Éireann Debate, Wednesday - 12 May 2004
100 Ms B. Moynihan-Cronin asked the Minister for Communications, Marine and Natural Resources the position with regard to establishing an ESB national grid as an entirely separate entity; the reason for the failure to make progress on this issue to date; and if he will make a statement on the matter. [13709/04]
View answerAs the Deputy will be aware, the European Communities (Internal Market in Electricity) Regulations 2000, SI 445/2000, provided for the separation of the operation of the transmission system from the rest of ESB into a newly formed independent State-owned company, Eirgrid. However, in order for Eirgrid to be able to operate the transmission system, the legislation provided that an agreement was to be made between Eirgrid and ESB which would set out the respective roles and responsibilities of Eirgrid in its capacity as transmission system operator, TSO, and ESB in its capacity as owner of the wires. The establishing regulations also provided that the practical arrangements regarding the transfer of staff, rights, liabilities and contracts from ESB to Eirgrid be put in place in the form of a transfer scheme.
The delay in getting Eirgrid operationally established is frustrating and regrettable and is a result of numerous problems and disputes which have arisen in the course of the complex negotiations which have ensued since the making of the regulations. I am disappointed that three years after its formal incorporation as a company, Eirgrid is still not up and running as the TSO and as a shareholder, I wish to see a speedy resolution of the outstanding issues. However, despite the delay, the Eirgrid model, once in place, will be effective and beneficial to all players in the market. I announced my intention on 10 March 2004 to retain Eirgrid as the independent TSO. The next steps in the process involve the appointment of the CEO of the company, followed by the making of the necessary agreement and transfer scheme between ESB and Eirgrid. These steps are progressing and I expect all parties to the negotiations to use their best endeavours to bring this process to a speedy conclusion and to expedite the operational establishment of the company.
