Martin Ferris (Kerry North-West Limerick, Sinn Fein)
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Question 72: To ask the Minister for Public Expenditure and Reform his rationale for selling off a stake in the ESB to private interests, a self-financing critical component of the State's strategic infrastructure that has paid €4.5 billion over the past ten years to the State in taxes and dividends, for a fraction of the latter figure. [28643/11]

Brendan Howlin (Wexford, Labour)
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As the Deputy is aware, the State is currently dependent on financial assistance provided under an EU/IMF funding programme for its continued day-to-day operations. In this context, and given the current state of the public finances, it would be negligent not to examine all reasonable ways in the public interest to reduce expenditure and raise revenue, including through the sale of certain non-strategic State assets.

As part of the EU/IMF Programme, the Government is committed to considering options for an ambitious programme of asset disposals, based on the Programme for Government and the report of the Review Group on State Assets and Liabilities, and to preparing a draft programme of asset disposals in this context to be discussed with the Troika in advance of taking final decisions on the programme to be pursued. The Government has decided that it is prepared to dispose of a minority stake in ESB. The Government believes that by releasing value from this State asset, while still retaining ownership and control of the asset, it can free up resources that can be put to productive use in the economy and help reduce debt levels.

The Government intends to combine proceeds from State asset sales with existing NPRF resources, subject to the agreement of the external partners, to fund the NewERA programme. NewERA will work with line departments and the private sector to develop and implement proposals for commercial investment in line with Programme for Government commitments in energy, water and broadband. It will also examine other commercial investments and build upon existing work of the NPRF by developing a Strategic Investment Fund, to develop over time into a Strategic Investment Bank.