Jan O'Sullivan (Limerick East, Labour)
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Question 144: To ask the Minister for Communications, Energy and Natural Resources his policy on the future of the ESB in regard to privatisation; his policy to transfer assets from the ESB to EirGrid; the findings of the independent analysis carried out on this issue; when he will publish findings from that independent analysis; and if he will make a statement on the matter. [37129/08]

Eamon Ryan (Dublin South, Green Party)
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There is no proposal to privatise ESB or EirGrid. It is stated Government policy that strategic electricity and gas assets should be retained in State ownership in perpetuity. The decision to transfer the transmission assets to EirGrid, as the State-owned independent system operator, is fully in line with that position. Implementation of the transmission assets decision will be progressed in a way that ensures the strategic future of both EirGrid and ESB as strong viable Semi State entities, as well as reflecting the position of the State and the ESOT as shareholders.

In relation to the proposed independent analysis to be undertaken on the transmission issue, I refer the Deputy to my statement of 13th March on the future of Ireland's electricity sector. In that statement I affirmed the Government's decision in the Energy Policy White Paper and the Programme for Government, to transfer the ownership of the electricity transmission assets from ESB to EirGrid. The unbundling of the transmission assets involves the resolution of complex technical, financial and operational issues as well as the introduction of legislation. The commissioning of independent analysis will inform that process. The independent analysis which will underpin the process of engagement with stakeholders on the transfer issues will examine the costs, benefits and a regulatory impact assessment and will be set in the context of wide-ranging challenging priorities for ESB and EirGrid and in the context also of EU developments and the all island single electricity market.

I have consistently underlined the need for transparent and inclusive engagement with all relevant stakeholders in the process of implementing Government policy in relation to the electricity transmission assets. Input to the process of independent analysis will accordingly be invited from the direct key stakeholders. These are the management and unions of ESB and EirGrid, the ESB Employee Share Ownership Trust, as well as the Commission for Energy Regulation and the Department of Finance. All the direct stakeholders have key roles to play in the process of engagement and analysis and in achieving outcomes that are good for EirGrid and ESB, which are satisfactory for all parties concerned, and which are in the best interests of the economy and consumers.

I look forward to getting this collective process of engagement and analysis under way following my appointment of the senior independent chair, which I intend to finalise shortly. The process will take us beyond the original target date of the end of 2008. I would intend to publish the findings from the independent analysis in due course.