Alan Dillon (Mayo, Fine Gael) | Oireachtas source

Like many on both sides of the House, I have stated that the energy crisis and fuel costs in general comprise one of the biggest challenges facing citizens in this country, and will remain so for the foreseeable future. Many households and businesses throughout the country are worried heading into the winter months. The cost of energy and that of doing business are also rising, food and shopping bills are increasing and interest rates are going up. The scale of the energy crisis has without doubt shifted the Government's approach and attitude to responding to this type of emergency by delivering a huge budget package of once-off measures. This second €1.2 billion electricity credit will support over 2.2 million electricity account holders, which is a hugely significant step, with the scheme for three €200 payment to become operational by 1 November. September's cost-of-living budget was about putting more money back into people's pockets and reducing the burden of rising bills that individuals and businesses have to pay. As we saw during the pandemic, this Government backs businesses, backs jobs and supports its citizens to ensure we have the strong economy required to improve the quality of life of our citizens.

During the debate tonight, a few Opposition speakers were scaremongering by stating that these measures do not go far enough and are not sufficiently targeted. They failed to acknowledge that for financially vulnerable households at risk of energy poverty, the €600 electricity payment scheme is complemented by targeted measures in the budget, such as the fuel allowance, which includes an additional lump sum payment of €400 and expanded eligibility to up to 80,000 householders over 70 through an increased means threshold. This will comprise €500 per week for single persons and €1,000 per week for couples. We simply do not know how bad this European energy crisis could get this winter. Sinn Féin's price cap would certainly have unintended or unforeseen consequences. The cost of the price cap, a measure that does not dampen down demand, would be open-ended and would be economic suicide. In Britain, the Institute for Fiscal Studies has estimated that the annual cost of the UK Government's price cap is more than £100 billion. Countries that have implemented price caps, like France and Denmark, have seen little change in demand. The electricity costs emergency measure and the measures within the recent budget strike the right balance between helping people in the short term and planning for the uncertain times ahead.

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