Emer Higgins (Dublin Mid West, Fine Gael) | Oireachtas source

As we are all aware, from the young family just starting out, to the pensioner who has given so much to this country, the escalating cost of living and surging energy prices are being felt right across the board. With back-to-school costs and winter approaching, many feel like there is no end to the financial strain. The hard-working people in my communities, especially in areas like Lucan, Clondalkin, Palmerstown, Saggart, Rathcoole, Newcastle and Citywest are caught in an endless, relentless squeeze. Their earnings are falling behind an-ever rising tide of expenses. I know this because people in my community are struggling with everyday expenses and with maintaining their home and their family. That is why I wholeheartedly endorse this Bill, to keep the pressure on the energy companies and ensure that their excessive profiteering does not go unchecked, and that the interests of ordinary Irish people are safeguarded.

As we discuss this Bill we must not lose sight of the windfall gains that have been accrued by energy companies, and the compelling need to reinvest these resources back into our local communities. Under Fine Gael and this Government's leadership, we have made remarkable progress in lightening the burden for households. In recent weeks we have witnessed some price reductions by energy companies: Electric Ireland by 10%, Bord Gáis by 15%, Energia by 15% and Flogas by 30%. I thank An Taoiseach, Deputy Varadkar, for working with the energy companies to achieve this and to keep the pressure on them when it is needed to make sure that we are reducing household bills for people.

I am proud to be part of a government that provided €600 worth of credits for energy that have helped so many families this year. Between the reduction in VAT on electricity and gas and these energy credits, we are reaffirming our commitment to support Irish households through this cost-of-living crisis. I remember the positive response from many constituents when this measure was announced last year and I commend the Government on making it happen, and on doing so swiftly.

An Taoiseach and the Government are working to put money directly back into the pockets of people in communities across Ireland. They are doing that through initiatives like the energy credit. While these steps have provided vital assistance to many, they alone do not address the underlying issue. Energy companies are still exploiting the war in Ukraine to bolster their profits. It is deeply troubling to think that these companies are continuing to profit at the expense of people in our communities. The recent decrease in electricity prices is a welcome step in the right direction, but more can and should be done. We must therefore focus on long-term solutions to make electricity more affordable for everyone. The disheartening reality is that despite Electric Ireland being a semi-State company, it is providing a lower decrease of 10% compared to Energia's decrease to customers of 15%. This raises the crucial example of the Government setting the right example. An elderly constituent, an 82-year old woman in my area, faced a bill from Electric Ireland of almost €1,000. Stories like that resonate with countless others in my area and across the nation. People say they feel abandoned on the issue. I commend the Minister, Deputy Eamon Ryan, on requesting the report published today by the Commission for Regulation of Utilities on how energy prices are set and on how energy companies protect vulnerable customers. That is really important. I appreciate the report's findings, which confirmed that no indication of market failure within the retail sector or among vulnerable customer has taken place. That underscores the effectiveness of Government pressure and its ability to influence energy companies in a positive direction. However, that same report does show a 53% increase in the number of customers registered as vulnerable for electricity, which shows how the cost of living continues to deeply impact families right across the country. It reinforces the reality that the days of 2020 and 2021, when energy prices were at their lowest, are not likely to return for a long time. While there has been a 40% reduction in wholesale electricity prices from last year's really high levels, the Central Bank's warning that energy prices are out of line with the rest of Europe resonates with everybody. We are all wondering why. Following the decline in wholesale electricity rates, energy companies must now pass along savings to their customers.

If we were to channel a significant proportion of these windfall gains directly into the heart of communities it would begin to make a really significant change to people's lives. I firmly believe that these funds should be earmarked to alleviate the cost of living and to bolster organisations that provide a safety net for our households. I refer to organisations like food banks in areas like north Clondalkin, branches of the Society of St. Vincent de Paul right across the country, schools and community centres and the invaluable resource of family resource centres. Strides have been made, but it is imperative that the core essence of this Bill, which is to provide financial support to households and businesses affected by energy prices, becomes a reality. The impact of our energy sector on the daily lives of the people I represent in Lucan, Clondalkin, Palmerstown, Newcastle, Saggart, Rathcoole and Citywest cannot be overstated. The windfall gains must be ring-fenced to directly alleviate the cost of living for these families and to support invaluable community organisations, especially if the proposed proceeds from the cap on market revenues range from €80 million to €150 million. The true test of this Bill lies in whether it genuinely eases the pressure on people.

I commend the recent cuts in energy costs by energy companies. I welcome the aim of this Bill to give families support; families who are struggling to pay their electricity bills. I welcome in particular all the long-term actions that we as a Government have brought in to alleviate the cost of living for struggling families. I am sure we will all agree that it is essential that we channel these windfall gains from the energy sector into our local communities and into our household budgets in order that families can see the impact.

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