Combining ownership of electricity transmission assets with their operation will benefit customers, a spokesman for EirGrid said yesterday. The State-owned company operates the high-voltage grid.
The Government's recent White Paper on Energy proposes to keep the grid in State ownership but transfer the ownership to EirGrid.
The ESB, as well as being the dominant generator and supplier of electricity to homes and business, owns the transmission lines which EirGrid operates.
EirGrid spokesman Michael Kelly said that unifying the ownership and operation of electricity transmission would lead to more efficiency.
"The decision in the Government White Paper to transfer the assets is far simpler than the present system. It means that the ownership and operation of the high-voltage grid will be in the same organisation. The move reduces duplication and overheads and is in line with practice in most European countries," he said yesterday.
Separating transmission activity from supply would enhance competition, he said.
"New entrants will be more confident of coming into market because the grid infrastructure they will use will be independent."
The transmission system is the infrastructure to which the ESB's competitors for electricity generation connect.
"Most observers - the OECD, the Competition Authority and the Commission for Energy Regulation - believe that the transmission grid assets should be totally independent from the ESB," Mr Kelly added.
Unions within the ESB are strongly opposed to the move.
ATGWU regional organiser Brendan Ogle has warned that unions would take "whatever action is necessary" to prevent the proposal being implemented.