Christmas message from the Chief Executive

"Dear Colleagues, On this, ESB's 80th Christmas, let me wish you and your families a happy and peaceful time. I am very proud to have the opportunity to join with you in celebrating ESB's eight decades of successful and dedicated service to the Irish people and to our economy.

ESB's fine record in discharging its obligation to customers is based on the continuous contribution made by staff over the years.

Your sense of purpose and that of past colleagues is not confined to Ireland - but has extended across the globe to more than 100 countries - and we look forward with enthusiasm to the many challenges that face us as a dynamic energy company in a rapidlychanging environment at home and abroad.

We are emerging from a year that saw significant developments in the electricity market. The launch of the Single Electricity Market in November marks 2007 as a unique year in the history of electricity in Ireland. The SEM brings together two separate markets on the island and paves the way for the evolution of a far larger Ireland-UK market in which ESB intends to play a very significant role.

Among other important events during the year was the sod-turning for the new Combined Cycle Gas Turbine plant at Aghada, Co Cork. The state-of-the-art station is a key element in the success of ESB Power Generation – efficient, environmentally-friendly and operating to best practice.

In 2007 we also passed the halfway mark in our €6 billion spend on the Transmission and Distribution Networks. Facilitating Christmas message from the Chief Executive security of supply for an everexpanding economy is a critical aspect of the functions of the modern ESB.

ESB International continued to prosper. Construction commenced on the 820 MW Combined Cycle Gas Turbine at Marchwood near Southampton, a project that will form a key element of our growing external portfolio.

As you are all aware, ESB's roots are deeply embedded in renewables. In 1929, the great Ardnacrusha Hydro Scheme first lit up the young Irish State. In 2007, we celebrated 50 years of the Lee Hydro project. And now, in the midst of the debate on climate change and the need for sustainability, ESB will be at the forefront of renewable technology.

I am particularly proud and personally delighted at the warm cross-company support that you have shown for the plans – now well advanced – to rehabilitate a school in Accra, the capital of Ghana. As you know, Minister for Energy, Eamon Ryan launched the initiative in ESB Headquarters in September and your response has been overwhelming.

Work began on the school in the suburb of Teshie earlier this month and we intend that it should be completed in early summer 2008. It is with great gratitude that your many contributions to ElectricAid and offers to volunteer to work on the project have been received.

Your enormous generosity towards ElectricAid goes on and reflects all that is best about ESB's ingrained ethos of social responsibility.

Once again, let me express my deep appreciation and gratitude to all for your dedication and commitment to ESB and our customers during the year. Our primary responsibility remains to the public and you continue to show the kind of spirit and enthusiasm that first formed the basis of this great company 80 years ago.

I want to pay a very special tribute to Tadhg O'Donoghue who announced his intention in November to retire as ESB Chairman on January 22nd next, after seven years in the position. Tadhg has provided invaluable support and counsel to me and the management team. We will miss his contribution and unstinting commitment to ESB. He gave generously of his time and energy and, with his guidance, the company prospered in a rapidly changing energy market. I wish Tadhg and Eilis every happiness in the future.

To all our colleagues who retired in 2007, I also send my thanks and season's greetings.

This is a time that we can spend with family and friends in the peace of Christmas. But it is not so for everyone. For the bereaved, it is a particularly difficult period and we recall those colleagues, current and retired, who died during the past year. To their families we extend our ongoing sympathy.

Again, Happy Christmas. May you enjoy good health, contentment and safety in the coming year.

Nollag Shona daoibh go leir."

Padraig McManus