Simon Coveney (Cork South Central, Fine Gael)

I agree with the building of an east-west interconnector and one of the scale proposed is necessary. My only question relates to whether we are paying too much for it. I met representatives of the CER and put that question to them. I also requested that they forward to me details relating to the other companies which submitted tenders in respect of this matter. However, I have not yet received such information.

I have been contacted by a number of independent people who are not linked with companies such as Imera and others and who put very convincing arguments to me to the effect that we are paying approximately one third or one quarter above what we should be paying for this item of infrastructure. I welcome the fact the European Commission will probably provide €100 million of the €600 million required for the project. However, that does not excuse the fact that we may be paying too much. We should not be obliged to pay €600 million for a project which should only cost €400 million or €500 million.

The Minister correctly stated that every project is different. However, if one compares this project to others of similar scale and size, one will not find another project that is more expensive. One can list four or five projects that were 25% less expensive than that relating to the east-west interconnector. The Minister has a responsibility in this regard because consumers and businesses, not EirGrid, will be obliged to pay for this project. EirGrid will merely manage the project and facilitate the transfer of money from those who use the interconnector and benefit from it to those who build it.

Has the Minister considered the tendering project? Did he examine the other tenders that were received? What were the prices relating to these tenders and which companies submitted them? Apart from simply taking the word of those who represent the CER and EirGrid, is he satisfied that we are not being overcharged in respect of this project?

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