ESB grid unit wants to leave HQ

ESB National Grid, which operates the electricity transmission system, wants to move out of ESB head office to signal its independence from the group.

The relationship between ESB and ESB National Grid has become controversial. Critics say the latter was supposed to become a separate entity known as EirGrid three years ago.

Despite this, the company still operates out of ESB head office. But a letter seen by The Irish Times shows ESB National Grid recently tried to distance itself from ESB. Recently, the managing director of ESB National Grid, Mr Kieran O'Brien, told ESB he believed it might be an idea for his business unit to move to alternative premises, away from ESB head office in Fitzwilliam Street.

But he said that ESB itself would have to lead the negotiations for the move to happen.

Mr O'Brien said that research had been done on the local property market in Dublin and two properties had been sourced and a move would attract the support of staff. He said staff had been consulted on the choice of properties.

In the letter to ESB chief executive Mr Pádraig McManus, Mr O'Brien asked whether ESB had any interest in moving the matter forward.

To date, little progress has been made on the issue. Sources in the ESB said it was difficult to move the whole ESB National Grid operation because it remained a business unit owned by ESB and Eirgrid was not yet a separate company.

But there are plans for a small number of ESB National Grid staff to move to a leased office where they can carry out project work.

Last week the chairman of the ESB, Mr Tadgh O'Donoghue, said he was very unhappy with the relationship between ESB and ESB National Grid and he questioned whether the grid company was accountable to anyone. But letters seen by The Irish Times show the ESB Group appoints two board members to a "transmission system operator committee" and the managing director of ESB National Grid reports to this committee.