ESB infrastructure in Mayo not fit for purpose claims councillor

The ESB has to be taken back into full state ownership according to a Mayo councillor who claimed that deregulation has resulted in a lack of investment in infrastructure in rural areas.

With the aftermath of Storm Éowyn placing a spotlight on the ESB who have struggled to restore power to thousands of customers in Mayo, local councillor Gerry Murray said it was time to take it fully into public ownership.

The Charlestown-based Sinn Féin councillor praised the work of the ESB crews who are trying to restore power but claimed the deregulation has resulted in the neglect of the infrastructure.

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“The infrastructure is not fit for purpose and there has been no real investment in it since deregulation,” he said.

“My understanding is that the revenue for ESB Networks doesn't come from the revenue generated from electricity. It comes from the energy regulator who determines how much money they will get and basically there is no real money for the upgrade of the infrastructure. The deficit is in the billions and not the millions and unless it is taken into state ownership we will see more of the same,” he claimed.

Speaking at the February meeting of the Claremorris/Swinford Municipal District, Cllr Murray said that since the energy market was deregulated in the early 2000s, rural areas have missed out on investment of the infrastructure and electricity prices have become some of the most expensive in Europe.

“I spoke to a retired senior executive in ESB who I know for a good number of years. He was a senior executive when the market was deregulated and the advice from the ESB to the government was that this model wouldn't work because of the low economy of scale in the country and the rural areas would miss out in terms of investment.

“At the moment the energy regulator dictates the price. We now have the dearest electricity in Europe but before deregulation we had the cheapest electricity in Europe. His view is that the government should go back to the old model where it was a state owned company where the entire revenue stream is coming into a state owned company and the entire infrastructure is upgraded as it is needed.

“You have to have direct democratic control and ownership of major utilities. We have seen what has happened with Eir which is a pure disaster and as far as I am concerned talking to people on the ground they want direct democratic control,” he concluded.