Eirgrid boss expects electricity price dip
Mr Byrne said that while his business does not set the going rate of electricity, it had a key role in ensuring the effectiveness of the transmission system.
Making the case for lower prices down the line, he said wholesale prices have fallen dramatically. Falling demand is resulting in lower gas and coal prices, key drivers of the cost of electricity.
Since last September, the cost of wholesale electricity has fallen by as much as 50%. Further easing is on the cards, Mr Byrne said.
Three years ago, Eirgrid was installed as the country’s independent transmission system operator and market operator. Eirgrid is owned by the State and was established to assist the liberalisation of the electricity industry and the development of a competitive market.
Eirgrid’s annual report for the nine months to September 30, 2008, show that it had revenues of €282.7 million and posted an operating profit of €8.6m.
The group’s planned €4 billion investment in transmission would be delivered over the next 20 years while the installation of a €600m interconnector with Britain was also being developed on time, Mr Byrne said.
The group, which employs 250 people, also aims to ensure that by 2020, 40% of the country’s electricity needs will be delivered by renewable sources.
Eirgrid also recently completed its acquisition of SONI, the Northern Ireland transmission operator.
