IBEC in call for open energy market

THE Irish Business Employers' Confederation has called for the changeover to a competitive energy market in Europe to be speeded…

THE Irish Business Employers' Confederation has called for the changeover to a competitive energy market in Europe to be speeded up.

Ms Rosemary Steen, assistant director for trade and industry at IBEC, was speaking on the eve of today's extraordinary meeting of the EU Energy Council in Luxembourg, which is expected to agree the level of competition to be introduced by the January 1999 deadline.

A group of senior ESB trade unionists has travelled to Luxembourg to lobby for a more gradual introduction of competition.

They are understood to be concerned about the impact competition on a large scale could have for the ESB and have predicted it could lead to much higher prices for domestic and small commercial users.

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However, Ms Steen said. "The best way to serve the interests of Irish business customers is to make sure that EU energy markets encourage long term participation of efficient and competitive energy producers and suppliers".

It is expected the council will set a limit for immediate competition at around the 22 per cent level, rather than the 15 per cent being sought by Ireland.

Such a level would mean that the ESB's largest 250 customers could opt for alternative supplies.

"Following six years of protracted debate, it is critical that the issue is finally resolved at the extraordinary Energy Council," Ms Steen said.

The issues should be resolved "as quickly as possible to ensure full and fair competition in the Irish electricity market".