Written answers

Thursday, 5 December 2013

Department of Communications, Energy and Natural Resources

Bord Gáis Privatisation

Photo of Terence FlanaganTerence Flanagan (Dublin North East, Independent)
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144. To ask the Minister for Communications, Energy and Natural Resources the position regarding the sale of Bord Gáis; the number of bids received; and if he will make a statement on the matter. [52363/13]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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In May of this year, a process was initiated to sell the Bord Gáis Energy business. This process was led by Bord Gáís Éireann and overseen by a Government Steering Group which included officials from my Department, the Departments of Public Expenditure and Reform and Finance and the NewERA unit of the NTMA.I am advised that the process was conducted in a professional, open and transparent manner and attracted significant interest from a broad range of potential international acquirers, reflecting the positive international sentiment towards Ireland. However, based on clear advice, I have determined that the three bids received were not a fair reflection of the strength and potential of the Bord Gáis Energy business. On November 27 last, I announced that I had confirmed to Bord Gáis Éireann that none of the final bids received for the Bord Gáis Energy business were of an acceptable value. The Minister for Public Expenditure and Reform and I have been clear from the outset of this process that Bord Gáis Energy would only be sold if a sale price was achieved which fully recognises the inherent value of the business. This decision underlines our commitment to proceed with asset disposals only when we are satisfied with the outcome.

My Department, along with NewERA, will now work with Bord Gáis Éireann to ensure continued investment in and development of the Bord Gáis Energy business.

On Wednesday last, the Oireachtas passed the final stage of the Gas Regulation Bill, which underpins the restructuring of Bord Gáis Éireann and the sale of the energy business. The Government will keep all options open as regards the future of Bord Gáis Energy, which is a growing and successful business.

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