Unions to discuss new power station

UNIONS at the Electricity Supply Board were today due to meet management to discuss their fears over a planned new power station at Aghada, Co Cork.

Energy Minister Noel Dempsey wants the new €300m power station to be run by the ESB but to sell electricity to rival suppliers.

Mr Dempsey is concerned over a lack of competition in the electricity market. Consumer champions believe lack of competition in the Irish market fuels high prices as the ESB has no incentive to cut costs or offer customers the best deal.

Householders can only get power from the ESB, while industry has a choice of suppliers yet competition watchdogs say ESB uses its muscle to set prices to business as well.

But unions are unhappy over the conditions attached to the new ESB plant, saying they breach collective agreements with workers.

Brendan Ogle of the ATGWU union was quoted yesterday as saying the result of the conditions would be cheaper power for industry but not for householders.

Householders would not benefit from Mr Dempsey’s plan as the ESB’s rivals supplied power to industry and not to homes, he was quoted as saying. “The proposal is to build a new plant with public money and to sell it to the private sector.

“We’re calling it a public subsidy to the private sector. It will drive down prices if you’re a business but not for Joe and Mary Bloggs,” he said.

The Commission for Energy Regulation has ordered the ESB to sell off a number of power stations to rivals to increase competition in the market and reduce costs.

But the Government’s Competition Authority said the proposals did not go far enough and instead said the ESB ought to be broken up into a number of competing firms instead.