Oireachtas Joint and Select Committees
Tuesday, 9 July 2019
Joint Oireachtas Committee on Communications, Climate Action and Environment
ESB Networks: Commission for Regulation of Utilities
Dr. Paul McGowan:
Typically, because price controls happen every five years, we do not retain full-time expertise, particularly in these areas. What we typically do is take in expertise for a period. I refer to those with specific expertise right across the capital programme we envisage ESB would have. These experts examine the various aspects of ESB's capital programme for us, be it the construction of wires, the operation of substations, or meeting various safety obligations. They, along with our internal staff, led by people such as Mr. O'Rourke, carry out the overall analysis and determine whether the sums being sought by the network company are sufficient to carry out its statutory functions or whether they need to be adjusted. It would not be unusual for us to do some form of adjustment. For example, a network utility might say it needs money for X but might not provide us with the evidence we would say is necessary to support it. In any event, we may challenge it to deliver what it wants to deliver more cheaply.