Dáil debates

Thursday, 13 February 2014

ESB (Electronic Communications Networks) Bill 2013: Report Stage

 

11:10 am

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour) | Oireachtas source

I understand where Deputy Colreavy is coming from and I agree with much of what he has said but I honestly think there is a misunderstanding between us on this one. If we consider what is in the Bill in terms of what the board may do as a result of this legislation, it states it shall develop "electronic communications networks and electronic communication services... [or it enables that, and the] leasing, licensing, selling and otherwise providing, making use of and engaging in any service in connection with the electronic communications networks and electronic communications services infrastructure". I understand the word in that context to relate to the selling of services, not as a permissive insertion to allow the selling of the company. I believe there is a genuine misunderstanding between the Deputy and myself on this. I will put my note on this on the record. I do not want to teach my granny how to suck eggs but if we were to address the issue that is of concern to the Deputy it might be better to do so in the form of an amendment that seeks to enshrine in primary legislation that this company may not be sold off or something like that. I can say that now that I hope to get out the door here soon and will not have to deal with the consequences of my advice to the Deputy. The word "selling" in this section has a different meaning and it is not to facilitate the privatisation of the company.

The purpose of the Bill is to provide an explicit legal basis, as the Deputy has said, to enable the ESB to engage now or in the future in the installation and operation of electronic communications networks and services, either alone or by agreement with one or more other companies, and to provide for consequential matters. I should clarify at the outset and in response to a concern expressed by Deputy Colreavy on Committee Stage that the Bill is enabling only. It does not exempt the ESB from any current legislative requirements or regulatory rules. The ESB is required by the Electricity Supply (Amendment) Act 1988 to secure the consent of my Department and the Department of Public Expenditure and Reform to form any company. The same legislative provision also requires the ESB to secure similar consents to dispose of shares or other interests in any such company. Nothing in this Bill will absolve the ESB from these obligations and I can therefore reassure the Deputy that this Bill does not provide a legal basis for the ESB to dispose of critical infrastructure.

The purpose of section 2 is to provide an explicit legal basis to allow the ESB to engage in electronic communications networks and electronic communications services which include leasing, licensing and selling of such services. If the ESB enters this market in the future it must do so on a commercial basis. It is essential therefore that it has the vires to sell services. The vires would be put in doubt if the reference to "selling" was deleted. For this reason, I cannot support the amendment proposed by the Deputy. However, I hope that my reassurance on the limited nature of the statutory authority arising reassures the Deputy on the wider issue and additional requirements regarding any subsequent disposal of its interests in this or any other venture.

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