Richard Bruton (Dublin North Central, Fine Gael)
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Question 639: To ask the Minister for Communications, Energy and Natural Resources the reason the ESB employee share option programme has not progressed to a point where shares would be tradeable; and if he will make a statement on the matter. [17584/08]

Eamon Ryan (Dublin South, Green Party)
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Responsibility for the management and operation of the ESB Employee Share Option Programme (ESOP) rests with the ESB ESOP Trustees (ESOT) and I have no role or function in the matter. My consent and that of the Minister for Finance, as Shareholders in ESB, however, is required for any amendments that might be proposed to be made to the ESOP Trust Deed by the Trustees. A number of such amendments were put forward by the Trustees last year to take account of the imminent arrival onto the ESOP internal market of a significant amount of stock from a large number of former employees of the company. This is as a result of the requirement on all former employees to sell their stock allocations within a specified number of years after leaving the company. It has been accepted by all parties involved that the large number of such 'forced' sellers has potential implications for the liquidity and the effective functioning of the ESOP market. We are working together to address those issues.

The proposed amendments have necessitated in-depth consideration by the two Departments and the ESOT of a range of legal and market-related issues. Work has progressed significantly in co-operation with the ESOT and I would expect to see the process reach an equitable and satisfactory conclusion in the very near future.