Terence Flanagan (Dublin North East, Fine Gael)

I thank my colleagues, Deputies Simon Coveney and Olwyn Enright, for bringing forward this motion. The Fine Gael motion reflects a true and accurate picture of Irish people having to live with fuel poverty and what the Government can do to improve things for them. The definition of fuel poverty, according to the Institute of Public Health in Ireland, is households that spend more than 10% of their income on fuel to heat their homes. Fuel poverty occurs when people live in damp, cold and badly insulated houses. People in vulnerable groups such as the elderly, the disabled, the unemployed and those on low incomes suffer the most from this problem.

The extent of fuel poverty in Ireland is extremely worrying. It is reported that 17% of Irish families are suffering from fuel poverty, or 227,000 households, according to Sustainable Energy Ireland. This is a real issue that needs to be tackled by the Government. A total of 2,800 people died from fuel poverty last year, which is an absolute disgrace. This figure is only going to increase as we face more harsh winters. The Government needs to put its money where its mouth is and insulate people's homes. In 2006 alone, the Society of St. Vincent de Paul spent approximately €3 million assisting householders in Ireland suffering from fuel poverty. There has been a huge increase in callers to the society in wake of the recent fuel price increases, and this trend will continue unless the Government introduces measures to tackle the problem.

Our country has one of the highest energy prices in the EU. This small, open economy is becoming very uncompetitive and we are losing small businesses. Our potential to attract more business will diminish if we do not tackle the issue. The price of fuel is ridiculous, as we all know from visiting the petrol pumps or from obtaining home heating oil. The recent 17% and 20% increases in electricity and gas have been ridiculously high. They are completely out of line with inflation. There may be more bad news for householders if prices are due to increase in January 2009. The Minister needs to say "No" to that increase and only allow increases that people can afford to pay.

People depending on social welfare payments are struggling to cope with their fuel costs. Their fuel allowance is a miserable €18 a week, which is a joke and a disgrace. The Government needs to take this issue seriously in the budget on 14 October and increase this fuel allowance in line with the price of gas and electricity.

The Minister needs to set aside money to ensure that energy-efficiency improvements are made to all old homes and social housing homes and that more money is set aside for the greener homes and the warmer homes schemes.

The national strategy on fuel poverty needs to be put in place. If the Government is serious in this regard it needs to deal with the Commission for Energy Regulation and have Oireachtas committee hearings where both sides could discuss the increases. The Government should recoup the full unearned windfall profits of €1.6 billion from energy generators and not simply accept the €300 million being offered by the ESB. This money needs to be ring-fenced to help improve people's homes. We want to see actions taken in the budget.

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