Dáil debates

Tuesday, 11 October 2022

Electricity Costs (Domestic Electricity Accounts) Emergency Measures and Miscellaneous Provisions Bill 2022: Second Stage

 

6:05 pm

Photo of Holly CairnsHolly Cairns (Cork South West, Social Democrats) | Oireachtas source

I am being contacted by people who are at their wits' end. Rising energy prices are terrifying, especially for those experiencing poverty or on fixed incomes. One constituent on a prepaid system told of having literally seen her money run out and of having to choose between keeping the lights on or going into arrears. This has massive implications for individuals and families. Not only does it erode their quality of life but it has real and lasting health implications. It will worsen existing conditions and the sheer mental strain also has a profound impact.

We are facing into a winter where one of the most common causes of people going to a doctor or an accident and emergency department is the individual inability to pay energy and heating bills. This legislation cannot come quick enough. While of course I welcome any action the Government is taking, this legislation has major flaws. These measures should be targeted to those who need them the most, those who are most at risk. It is unconscionable that Deputies, Ministers, senior civil servants, CEOs and banking executives are all getting the same payments as pensioners, carers and people on disability allowance, not to mention, as my colleagues have referenced, that somebody with a holiday home gets double what somebody on the disability allowance will get.

The Government is intentionally misspending money. Transferring vast amounts of public funds to wealthy individuals at the cost of older people scared to turn on their heating is truly disgusting. That this measure is coming for Green Party Minister makes it even worse. Any system that treats millionaires the same as people living below the poverty line is unjust. The Social Democrats are calling for a cash transfer to individuals that reflects their income levels in order that those who are at risk of poverty will be most protected. Deputy Whitmore has consistently articulated this position but unfortunately the Government will not listen.

A fundamental principle for us is that we must ensure any financial supports or measures are targeted towards those who needed them most, which is something we have repeated frequently. This is much-needed emergency measure albeit deeply flawed, but what is the Government doing to address the underlying issues in the medium and long term? We need a robust energy system that takes advantage of renewable resources for the benefit of everyone. If previous Governments had moved away from fossil fuels, families would be somewhat insulated from some of the worst effects of this energy crisis. Today households across the country are witnessing the results of failure to invest in climate action. Unfortunately, the lack of ambition in the budget means that many families simply will not be able to afford solar panels, which continues to lock them into using fossil fuels. The Government is simultaneously failing to meet their current and future needs and even worse, is keeping those households vulnerable or in poverty.

The Social Democrats proposed an ambitious roll-out of solar panels to ensure that 100,000 low-income homes received panels free of charge. These are homes in energy poverty which need Government support to make the climate changes we require of them. We focus on solar because it is quick, practical and cheaper to do. Most importantly it could reduce the annual energy costs for those in energy poverty by 40% in the first year. Our proposals involve the State bulk-buying panels at greatly reduced prices with teams of trained installers fitting out entire estates at one time. This is the most efficient, effective and lean way to deliver.

Although this Bill concerns payments to domestic users, I cannot fail to mention the drastic needs of our SME sector. I was contacted during the week by the manager of the Celtic Ross Hotel, Rosscarbery, whose energy bill in August 2021 was €8,833 plus VAT. The bill for the same month this year is €24,669. That is terrifying for small businesses. He and others have pointed out that the temporary business energy-support scheme will not apply to July and August. Local employers need to be prioritised and supported. Again, there is inequity in this scheme as larger more secure players, such as data centres, will benefit while many family-run shops, cafés, restaurants and takeaways are near closing.

In both domestic and commercial sectors, the Government needs to radically change its priorities. Those most at risk need to be supported most.

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