Mattie McGrath (Tipperary, Independent) | Oireachtas source

We are truly in an energy crisis. Families face paying €400 more for their electricity and heat this winter, according to analysis carried out by Charlie Weston of the Irish Independent. It is quite obvious, and Deputy Kelly raised it earlier. The crisis deepened last week when Energia announced a third rise for 200,000 residential customers. The crisis must be addressed in the forthcoming budget, not only for households but for everybody who travels to work or school or for business and industry.

I am mainly concerned today about the cost of living for people trying to heat and light their homes. The budget must take cognisance of this. Last year's budget included a carbon increase for the next nine years, until 2030, that we cannot even discuss, debate or vote on here. Something has to happen to help these hard-pressed people. It is crucial to introduce measures that will ease the burden on families because of rising energy costs. Across Europe, governments are implementing energy tax cuts and subsidies to support their citizens. Thus far in Ireland, however, the Government has buried its head in the sand. Globally, gas prices are rising to record levels due to higher demand caused by the economic recovery and the Covid epidemic. Some 60% of the energy used in this country still comes from fossil fuels. Thus far this year, there have been 25 different electricity price hikes across a number of companies. Different electricity and gas prices increases have been announced by 14 different providers yet there has been absolutely no response. Where is the energy regulator and where are the Government and the Minister with responsibility for energy?

The impact will only become truly apparent with the cold weather, the long evenings and the lack of sunshine. We are lucky at the moment with the pleasant weather. Last week, Energia announced that electricity prices are to go up by almost 16% next month, with a rise of 18.5% in gas prices. The company's three electricity price increases this year will add an extra €450 to a household's costs. Energia has blamed surging costs in global energy markets. A number of energy providers in this market have announced four price increases this year, with larger providers expected to raise prices again. This means some families will face up to €500 extra just for energy alone, to keep the lights on and keep warm. Daragh Cassidy of price comparison website Bonkers.ie said that various price announcements would mean an average increase of €400 in energy bills this winter.

It is truly shocking. The Tánaiste acknowledged this and said some time ago that the Government knew inflation was coming, but how is it going to deal with it? Efforts must be made in the budget for people on social welfare, old-age pensioners, carers and all households that are suffering from fuel poverty, which they will be as they are pushed into this. The Government must take swift action. Price increases of this magnitude and frequency are totally unsustainable. It is creeping up. We can see it when we pass by the pumps and we see the price of energy. Something has to happen. The regulator must be asked or someone should prod him to wake up. This cannot be allowed.

See this speech in context