Micheál Martin (Cork South-Central, Fianna Fail)

Ní aontaím leis an méid atá ráite leis an Teachta maidir leis an méid atá á dhéanamh ag an Rialtas ó thaobh an bhrú atá ar chosmhuintir na tíre maidir leis an ardú sa chostas maireachtála. Admhaím go bhfuil ardú ann, go háirithe i gcúrsaí bia agus cúrsaí fuinnimh. Tá cinneadh déanta ag an Rialtas cóir agus tacaíocht a thabhairt do dhaoine ar ioncam íseal agus atá ag brath ar leasa shóisialaigh.

The Government is very conscious of the enormous pressure on people on the ground in respect of the cost-of-living increases that have occurred over the last number of years, particularly the elevated food and energy prices relative to previous times. That is why in the budget we moved to take a number of key decisions to reduce pressure on a number of families, particularly low-income families and those who depend on social protection, and families more generally. The Deputy knows that historically the VAT rate was at 13.5% for gas and electricity. In the budget, we reduced it to 9% and we have made that applicable up to 2030. It will stay at 9% for the next five years. That comes with considerable cost, but we have to do it; otherwise, prices would be up even higher. We have increased the fuel allowance to €38 a week. That is a 15% increase. That will give an additional €140 to over 460,000 recipients. We have expanded that payment to include those in receipt of the working family payment. We have not stood back. We have been very conscious in our budgetary measures to try to protect those most in need from the effects of energy price increases, which we acknowledge and which are difficult in themselves.

We also have a very significant retrofitting budget, which does help those who benefit from that in terms of their household energy bill. About €558 million has been allocated this year for residential and community energy schemes, particularly the warmer homes scheme at about €280 million. Significant sums and resources have been allocated to get household energy costs down. About 8,000 energy upgrades in low-income households happened as a result of the warmer homes scheme. In previous years, yes, we did universal energy credits. We have been criticised for the high level of public expenditure. Sinn Féin wants to go another €4 billion or €5 billion, which would add 2% to inflation and increase the cost of living for people. We are about the eighth highest in terms of electricity prices across the EU 27, adjusted for purchasing power parity. The Minister has met with the companies. Anyone in arrears will be helped. People in arrears will be helped and assisted, outside of those on higher income thresholds. We have a regulator in this country, the CRU.

It published a report in 2023. It is very conscious of the hedging policy. The CRU, not me, argues that when prices went up, the hedging impacted beneficially but it is slow coming back down. Companies should reduce the prices and should reflect much more quickly the wholesale price reductions. The Minister will continue to engage with those companies. What has to happen overall is that the system has to change. He has set up a group to change the regulatory framework. We also have to do it with the European Union because gas has been the price-setter. The fundamental issue is the overall regulatory framework across Europe that governs the price of energy.

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