WORKERS AT the ESB are threatening industrial action over renewed efforts to break up the State-owned energy company.

The Government is considering transferring ownership of the national grid – the network used to distribute electricity – from the ESB to another State agency, Eirgrid, which currently manages it. It originally made the proposal in 2007, but shelved it last year in the face of workers’ opposition.

It recently appointed former Irish National Petroleum Corporation (INPC) chief executive, Fergus Cahill, to chair talks on the proposal, and invited all parties involved to take part.

Mr Cahill held his first meetings in Dublin yesterday, but the ESB group of unions, which represent staff in the ESB and Eirgrid, walked out on the process and warned they would take any action necessary to prevent the break up.

Head of the group Davy Naughton pointed out that under an agreement between the ESB, Government and unions, dating back to 2000, the company is supposed to keep ownership of the national grid.

The unions argue that the break- up of the ESB is effectively a done deal and the process chaired by Mr Cahill is simply designed to establish how the transfer of the grid is to be managed and is geared at undermining the deal done in 2000.

“In such circumstances, we will take whatever action we deem appropriate to protect and uphold these agreements,” the group told yesterday’s meeting. “The unions will not be participating any further in what we consider a disreputable and flawed process.”

Their statement also pointed out that workers agreed to co- operate with management in the sale of some power plants and the closure of others in good faith and on the basis that any analysis of the proposal to split the company would be independent.

A spokeswoman for the Minister for Communications, Marine and Natural Resources said that all other involved parties were taking part in the talks chaired by Mr Cahill. “The fact that the ESB group of unions could not see their way to participating in the process today is regrettable,” she said.

She added that the door remained open to the unions, who would be welcomed back should they decide to return.

It is understood they will get copies of all documents circulated to the other parties involved.

The talks involve the ESB, Eirgrid, independent power companies such as Airtricity and Energia, the worker’s employee share option trust, the department and other interested parties.

ESB management has said that it is willing to implement Government policy, but expressed concerns about the impact of such a split on the State company last year.