Micheál Martin (Cork South-Central, Fianna Fail)

It is quite interesting that a representative of a far-left party like Deputy Murphy is an advocate for universal credits, which benefit the wealthiest in society as well as everybody else. That is quite an extraordinary contradiction of the viewpoints he often articulates. The Minister has established a national energy affordability task force because there is an issue with energy affordability. That is acknowledged.

The Deputy has made the point that he would get rid of the regulatory framework and renationalise our energy system. There is no guarantee that such a renationalisation would deliver cheaper prices. We should not pretend that it would because we have to invest an enormous amount into expanding our grid and making sure it is fit for purpose for a growing economy and a growing population. The population is growing exponentially. We have had extraordinary economic growth over a long period of time. Contrary to most established economic norms, we have managed to maintain or marginally reduce levels of income inequality in this country thanks to our progressive taxation system. Having said that, this has had impacts on other areas. The Minister has met with the companies. We have focused our work on trying to protect those most affected by energy price increases. Addressing energy affordability is key for us.

The Deputy said there was nothing in the budget. Historically, a VAT rate of 13.5% has been applied to gas and electricity. Since 2022, we have reduced that to 9%. Budget 2026 extended this reduction to the end of 2030. If we had not done that, it would have meant significant increases in the price of electricity and gas. The fuel allowance has gone up to €38 per week, an increase of more than 15%. This will provide an additional €140 to more than 460,000 recipients during the annual fuel allowance season. That payment has been extended and expanded to include those in receipt of the working family payment. Targeting our resources at those most in need makes sense. In addition, our retrofitting programme has been quite impactful, reducing many households' energy bills. More than €500 million has been allocated for residential and community energy schemes. Some €280 million has been allocated to the warmer homes scheme in particular. This provides free retrofits to households in energy poverty. In 2024, this facilitated nearly 8,000 energy upgrades in low-income households.

During the height of the energy crisis, we did, as the Deputy mentioned, provide energy credits but, to maintain sustainable public finances, it makes sense to target resources at those who would be most impacted through retrofitting and warmer homes programmes. The Minister is working with the companies to make sure that no one is cut off and that hardship funds are in place to help people who could get into difficulty as a result of increased energy prices.

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