Niall Collins (Limerick, Fianna Fail)
Link to this: Individually | In context

Question 4: To ask the Minister for Communications; Energy and Natural Resources if he has discussed with the Department of Public Expenditure and Reform whether the part-privatisation of Bord Gáis will be affected by the decision to establish Irish Water within its auspices; and if he will make a statement on the matter. [22131/12]

Pat Rabbitte (Dublin South West, Labour)
Link to this: Individually | In context

As part of the State assets disposal programme, the Government has decided with the troika on the sale of Bord Gáis Éireann's energy business. Bord Gáis Energy is a dynamic and successful part of the Bord Gáis Éireann's business which has delivered real benefits for consumers as it has invested and grown in power generation and energy supply. The sale of Bord Gáis Éireann's energy business will support the company and its employees to continue to grow, while enhancing competition in the energy market for the benefit of the economy and consumers.

The Government has reiterated its commitment to retaining the gas networks and interconnectors in State ownership as strategic infrastructure which is fundamental to Ireland's security of energy supply and the economy. Following the Government's decision on State asset disposals, a group comprising my Department, the Department of Public Expenditure and Reform and NewERA has been tasked with progressing all policy, regulatory, legislative and financial issues to be addressed prior to the disposal of Bord Gáis Energy. This work which is ongoing is taking full cognisance of the recent Government decision to establish Irish Water within the BGE group. The decision reflects the Government's confidence that BGE's strong experience and capacities can be quickly deployed in the successful establishment and operation of Irish Water.

My Department, NewERA and the Department of Public Expenditure and Reform, in co-operation with the Department of the Environment, Community and Local Government and BGE, will ensure the work of preparing Bord Gáis Energy for sale and establishing the water utility in State ownership within the BGE group are advanced in a fully complementary way and to schedule. My Government colleagues and I are confident that BGE has the capacity to sustain its ongoing oversight and management of the gas networks, as well as working with the Government on the sale of Bord Gáis Energy at the same time.

It is the Government's intention, agreed by the troika, that the asset disposal programme will be implemented in an orderly process over time in a way which will allow all policy regulatory and financial issues to be addressed in advance and ensures full value for the State. In that context, it is the Government's collective plan to ensure the smooth implementation of the decisions to sell Bord Gáis Energy and establish Irish Water as part of the BGE group.

Niall Collins (Limerick, Fianna Fail)
Link to this: Individually | In context

The Minister has stated the Government has its asset disposal policy, of which we are aware. Will he give an undertaking that Irish Water, when established, will not form part of the Government's asset disposal programme any time in the future? What other organisations or entities were considered in tandem with Bord Gáis for the roll-out of the water supply and water metering programme? We do not have insider information on why Bord Gáis was selected by the Government. How many other similar organisations were considered by it for the roll-out of the programme? Can the Minister shed light on the process undertaken? We know that there was no formal tendering process, but we are operating in a vacuum in respect of the decision made.

Pat Rabbitte (Dublin South West, Labour)
Link to this: Individually | In context

There is no question of Irish Water being privatised. The decision brought to the Cabinet by the Minister for the Environment, Community and Local Government required the Government to make a choice between Bord na Móna and Bord Gáis. At that stage of the process the Minister had narrowed it down to these two bodies. The only decision the Government took was to select Bord Gáis and decide that there would be no privatisation of water services. Contrary to what is stated in a great deal of material I have been reading, that is the only decision the Government made.