ESB Electric Ireland seals €22m deal to service Eircom’s energy needs

THE ESB has won a €22 million contract to service Eircom’s strategic energy requirements over the next two years.

Announcing the deal, yesterday, ESB Electric Ireland — as the semi-state energy utility is now called — said that the deal is “a highly flexible, innovative contract”, which will help drive cost-savings and energy efficiency for Eircom.

“Volatility in wholesale energy markets, such has been the case in recent times, can make it difficult for large energy users to accurately forecast their long term needs and costs. We have structured this new contract in a way which brings the client ‘inside’ our energy trading centre and enables them to leverage the expertise and experience we have in managing the gas, carbon and foreign exchange inputs that determine their final energy costs,” explained Derek Russell, industrial/commercial business manager with ESB Electric Ireland.

The ESB will supply electricity to 81 major telephone exchanges and installations and Eircom’s new headquarters near Heuston Station, and support the company with long range energy procurement. Over the next 24 months, the energy provider will be seeking opportunities to help Eircom further exploit energy cost-saving and efficiency initiatives through the installation of Energy tracked, ESB Electric Ireland’s energy and environmental management system.

Eircom’s director of group procurement and supply chain management, Paul Quinn said: “It gives us the flexibility to secure cost savings in what continues to be a highly volatile market. Energy is a significant cost to us in providing services to our customers. Our focus is to procure energy in a way that delivers savings and as much certainty as possible.”