Eamon Ryan (Dublin Bay South, Green Party) | Oireachtas source

The unprecedented increase and volatility in international wholesale gas market prices has continued as a result of the Russian invasion of Ukraine. This, in turn, has led to increases in energy bills, given the link between the wholesale price of gas and electricity prices. The Government has already put a €24 billion package of measures in place and further measures are being considered for budget 2023. Under the electricity costs emergency benefit scheme, we made a payment of €176.22 to almost 2.2 million domestic electricity accounts. The scheme was part of a package of measures which included further increases in the fuel allowance, seeing it increase from €735 in 2020 to €1,139, and a reduction in VAT on electricity bills from 13.5% to 9%. Under responses 6 and 7 of the national energy security framework, the Commission for Regulation of Utilities, CRU, announced enhanced consumer protection measures to be implemented by electricity and gas providers ahead of the coming winter.

Earlier this year, the Government increased the grant rates significantly to make it easier and more affordable for homeowners to undertake home energy upgrades. In particular, the Sustainable Energy Authority of Ireland, SEAI, is being supported to focus on free energy upgrades for those at greatest risk of energy poverty. As we debated earlier, these schemes are seeing significant demand increases. Business supports are also available to support businesses to improve energy efficiency.

Responsibility for the regulation of the retail electricity and gas markets is statutorily a matter for CRU. It ceased price setting for electricity and gas in 2011 and 2014, respectively. The setting of prices is a commercial, competitive matter for individual supply companies.

Any major interference or change in the market must be carefully considered and that is what is being done now by the EU. We are very supportive of that and we are working with the EU on it. We are also very supportive of the emergency measures considered at the European Energy Council on 9 September, including a change in the market in order that we get a return from the inframarginal pricing and a solidarity levy from fossil fuel producers. Those measures are the most important and immediate ways in which we can protect the Irish people.

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