Public Service Obligation

The Public Service Obligation (PSO) Levy is an addition charge relating to the costs to ESB of purchasing peat generated electricity and the output of renewable, sustainable or alternative forms of energy purchased under various Government schemes. ESB is obliged by government to make these purchases in the interests of security of supply and environmental protection.

The costs recovered through the Levy equate to the additional costs of these purchases over and above the cost of electricity purchased at a market price.

The Levy is applied in accordance with a PSO order made by the Minister for Communications, Marine and Natural Resources and the level of cost applied each year is approved in advance by the Commission for Energy Regulation.

To see the legislation setting out the Public Service Obligation see the legislaton section of our website.

The CER is responsible for calculating the PSO levy in accordance with the legislation, verifying that the costs are accurate, and ensuring that the mechanism whereby the levy is applied to every customer’s bill is accurate.

Click here to see the CER’s latest decision document on the PSO which sets the amount of the levy for 2007.