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The QUINN-group has been left staggered by the latest in the ongoing saga between the Group and NIE. As far back as 1986 the QUINN-group paid for the first 33kV connection from Enniskillen to Derrylin and the first cement plant.

The group have multiple divisions in the Derrylin and Ballyconnell area employing over 1,300 much needed jobs. However whilst the group has grown, and the area as a result having prospered in terms of employment and the upgrading of electricity connection for all commercial and domestic users locally, very little by the way of industrial standard utility infrastructure has been done. Faced with worsening failures and outages for its businesses Quinn undertook the huge investment of £9.7million to upgrade the line it initially created understanding that costs would be recoverable under the proposed new Single Electricity Market (SEM) structure.

However, a late change was made to the Post -SEM charging agreements in December 2007 creating a legal technicality, which allowed the Northern Ireland Authority for Utility Regulation (NIAUR) to reject the QUINN-group’s application for rebate, despite the majority of the work being complete and paid for by QUINN-group. As a result of this the QUINN-group have made fresh individual applications for rebate issued to NIE on behalf of QUINN-glass and QUINN-cement as separate connection sites which should eliminate the technical grounds for refusal.

Ironically on July 28 2009, whilst still awaiting a response to the fresh applications, a landslide on the site of the new acute hospital caused damage to the underground culvert and cables and resulted in a loss of power to all Quinn Group business in Derrylin. Although the blackout lasted just under an hour the temporary remedial measures taken by NIE meant that a reduced level of electricity was being fed to the region. This impacted on numerous divisions of the group namely Glass, Cement, Rooftiles, Quinn-lite, both quarries and office, washer and block plants, head office, tarmac, Prestressed plant and the wind farms. Even with the temporary work around the supply level will continue to be limited until at least the end of this month. The financial impact will run into millions, with for example in the Glass Plant, moulds and equipment being damaged and a loss of temperature in the furnace still having an impact.

If this was not damaging enough the Group received a response from NIE on 31st July rejecting it’s fresh application.

In response to the situation Sean Quinn, Chairman & Managing Director for the QUINN-group, has said:

This appears to me to be a case of blatant discrimination on two counts; firstly the last minute change in rules excluding us from obtaining our £9.7m rebate. As I understand it we are the only company in Ireland affected by the change in rules. Secondly we believe we are the only customer not to have it’s supply fully restored following the recent landslide and have been informed not to expect a return to full supply until the end of August.

I am calling on the government to investigate how these decisions were arrived at, to ensure it is not related to our development of a new Power Station in Co. Louth which will bring us into direct competition with both NIE and ESB.

Reference :
Irish News : QUINN-group loses millions due to weeks of power cuts