Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 107: To ask the Minister for Communications, Marine and Natural Resources the role he intends for the ESB in the future; and if he will make a statement on the matter. [38751/06]

Noel Dempsey (Meath, Fianna Fail)
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The Government is firmly of the view that there is strategic value in maintaining a strong, commercially viable ESB into the future. Retaining the natural monopoly networks in State ownership is also stated Government policy.

Structural reform is nonetheless essential and urgent in the interests of the development of a competitive market in electricity, providing consumer choice and driving efficiencies within the ESB itself. The creation of the Single Electricity Market in 2007 is a critical context.

The Energy Green Paper outlines the lines of action that the Government is considering as a means of achieving the necessary structural reform, including consideration of establishing a State-owned land-bank of potential generation sites and addressing ESB's dominance in the area of price-setting plant. Discussions and consultations are underway, in the context of developing the White Paper, to crystallise and agree the actions to be taken to deliver on the two policy imperatives of competition and security of supply.