Dáil debates

Thursday, 24 October 2013

Topical Issue Debate

Semi-State Bodies Issues

3:40 pm

Photo of Barry CowenBarry Cowen (Laois-Offaly, Fianna Fail) | Oireachtas source

Fianna Fáil has serious concerns about the proposed sale of two ESB plants in Lough Ree and west Offaly. I, Deputy Corcoran Kennedy and others in the region received an e-mail yesterday from the ESB asking that we meet with their representatives. The e-mail stated that we were to be briefed on an imminent announcement affecting our constituency. I was intrigued and expected that this would be a positive development; however, this was not the case. I was informed that as part of the Government's directive to State and semi-State bodies, the ESB was not only selling international assets in Spain and the United Kingdom, but was also proposing to sell ESB power plants in west Offaly and Lough Ree, namely, Shannonbridge in Offaly and Lanesboro in Longford. My initial reaction was one of shock because this House has never acquiesced to demands to debate the McCarthy report and its contents or recommendations. It was only by asking questions of the Government that the House received assurances on what was off the table or out of the portfolio of assets to be sold.

My immediate concern was obviously Bord na Móna, the ESB and Coillte. My county of Offaly, my constituency and the midlands region are synonymous with power generation and energy production. The sector has been challenged over the years as peat stocks were depleted and new forms of energy and tapering of fossils continued at pace. However, such change, diversification and commercial realities were met head on by the workforce, management, the then Government and political representatives of all hues. Such innovation, initiative and leadership under Fianna Fáil led to the creation of Lough Ree Power, West Offaly Power and Edenderry Power, each with the support of Bord na Móna contracts and a PSO in conjunction with EU guidelines and directives, ensuring the future of power generation in the midlands for at least 25 years from inception. That inception, in the case of Lanesboro and Shannonbridge, began in 2005 and 2006, respectively. That 25 year guarantee began in 2005 and 2006. It is now 2013, just seven and eight years later.

The Minister for Expenditure and Public Reform, Deputy Howlin, told the Dáil in May 2013 that "with regard to the ESB, there will be no sale of any power generating capacity in the Republic of Ireland, or the island of Ireland''. That commitment does not fall into the category of "Isn't that what you do in elections? or commitments made on the back of lorries in Roscommon, or outside this House to people aged over 70. That commitment was given here, and I would have thought there would have been more respect for the House. I can understand the disrespect for commitments made on lorries in Roscommon and outside the gates of Leinster House.

Be that as it may, and despite the fact that the credibility of the Minister and his Government is left severely dented by this, I now wish to ask the Minister some severe and honest questions. Can he assure the workers in respect of their contracts of employment? What happens now to their ESB pensions? If the ownership of these power plants is to be transferred, how can their pensions be transferred? Will they be defined benefit pensions or defined contribution pensions? Please let our community know what the future of the most important industry in our area will be. What will be done to ensure that employment in our area is maintained? What will be done to secure the future of energy production in Offaly and beyond? Has the Government considered a scenario where Bord na Móna would take over these plants? Would that not be a shot in the arm that the company needs? Would that not add to the sort of diversification in the energy sector that is necessary, which the Minister mentioned today when he opened a wind farm in Laois? It will allow for a competitive market which will give the consumer cheaper access to electricity. That is the commitment our region requires. That is the commitment that will allow Bord na Móna develop further and allow our region continue to be the leader in power generation in this country.

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