BORD GÁIS chief executive John Mullins has decided to step down from the role at end of this year, when his five-year contract is completed.

Speculation had been growing that Mr Mullins would remain at the State-owned group’s helm to oversee the sale of its energy business and the first steps in the creation of the Republic’s new water utility, which the Government recently asked Bord Gáis to establish.

However, Mr Mullins has told the board that he intends to step down to pursue other opportunities.

The group’s board has begun seeking a replacement and it is understood the post will be advertised shortly.

Bord Gáis chairwoman Rose Hynes said while the board was disappointed at his decision, it fully understood that he wished to pursue other opportunities. She said Mr Mullins had transformed the State company since his appointment in December 2007.

“Bord Gáis is now a fully functioning energy company, providing both gas and electricity services to 850,000 customers throughout the country, with a substantially increased asset base in power generation and wind power capacity,” she said.

The State plans to sell the group’s energy business, which supplies natural gas and electricity to its customers, as well as owning and operating gas-fired and wind-power electricity generating plants.

Its natural gas network business will remain in State hands as the Government regards this as strategically important.

The Government recently charged the group with establishing the new State-owned water utility, Irish Water.

Mr Mullins, who is from Cork, began his career with the ESB. He later moved to Britain where he worked with PricewaterhouseCoopers.