Paul McAuliffe (Dublin North West, Fianna Fail)
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There is no doubt the better energy warmer homes scheme is an important support for many eligible homeowners. It is one of the key tools that will help to reduce the use of carbon in our economy and help us reach our climate action goals. Since 2000, more than 143,000 homes have availed of the scheme and, in some ways, it has been a victim of its own success. When it was first promoted over a decade ago, many people who were eligible availed of the scheme but benefited from very basic upgrades, such as attic insulation. A decade later and with improved technology, these homeowners, many of whom are over 70 and on fuel allowance, wish to avail of other interventions, such as wraparound external insulation. The bad news is that they are being rejected by the Sustainable Energy Authority of Ireland, SEAI, as they are deemed to have previously availed of the scheme, even though those availing of the scheme for the first time this year will receive a far greater intervention.

I am aware of the changes that were made to the scheme last month as part of the Government's wider announcement in this area and I received a parliamentary question reply from the Department confirming that a second application may be possible. It stated very clearly that applications may be accepted from qualifying homeowners who were previously in receipt of support under the scheme but who could still benefit from deeper upgrade measures. This means homeowners will not be precluded from applying for the second time for qualifying works not previously carried out on their properties. It seems clear but when the SEAI is contacted and these people apply again, they are in fact precluded and their application is rejected. Have the recent changes been embedded yet with the SEAI? Is every person who applies for the scheme for a second time able to avail of the scheme and what are the qualifying criteria? Equally, there have been calls for the application process to be brought online to make it speedier.

As the Minister of State knows, in order to qualify for the better energy warmer homes scheme, there are very strict criteria linked to certain social welfare payments. I think we can both agree there is a serious risk of fuel poverty for people who are availing of this scheme and for those who are on the other side of an arbitrary threshold. Along with the increasing demand for better interventions, there are also more than 7,000 homes waiting for works under this scheme. Will the Minister of State outline how the Government hopes to break down the backlog that has grown during the pandemic and how he and the Minister, Deputy Harris, are addressing the skills shortage in this area? There has been a steady decline in the number of homes being completed through this scheme in Dublin in the past five years, from 1,598 in 2017 to just 693 last year. Are there plans to increase numbers in what is a very beneficial scheme that has generated much demand?

James Browne (Wexford, Fianna Fail)
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I thank Deputy McAuliffe for raising this important issue and I know he has raised it on a number of occasions. I am grateful for the opportunity to give an update on Government action on the better energy warmer homes scheme.

The programme for Government and the climate action plan set ambitious targets to retrofit 500,000 homes to a building energy rating, BER, of B2 and to install 400,000 heat pumps in existing buildings by the end of this decade. These targets represent a very significant increase in both the volume and depth of retrofit activity in Ireland. The recently published national retrofit plan sets out how we will achieve these targets and identifies an unprecedented €8 billion to support homeowners to retrofit their homes to 2030. It includes a range of measures aimed at supporting those least able to afford to retrofit. Recently, the Minister, Deputy Eamon Ryan, also announced further improvements to the supports available to homeowners to retrofit their homes, in line with the commitments in the national retrofit plan.

The better energy warmer homes scheme delivers free energy upgrades to eligible homeowners in low income households who are vulnerable to energy poverty. It is administered by the Sustainable Energy Authority of Ireland. Since the start of the scheme in 2000, more than 143,000 free upgrades have been supported by the scheme. In 2021, the average cost of the energy efficiency measures provided per household was €17,100. A budget allocation of €109 million has been provided for the scheme this year. This will support an increase in the number of free home upgrades from an average of 177 per month in 2021 to 400 per month this year, helping to reduce waiting times.

The Department of the Environment, Climate and Communications committed to reviewing qualifying criteria for the scheme, including the rule only allowing one visit to homeowners. I am delighted to tell the Deputy that several revisions to the scheme were made recently to better target those in need. For the first time, applications will be accepted from qualifying homeowners who previously received supports under the scheme but who could still benefit from even deeper measures. This means that applicants will now be able to have a second visit under the scheme. The scheme will target the worst performing properties by prioritising homes that were built and occupied before 1993 and have a pre-works BER of E, F or G. Existing applications will not be affected by this change.

The scheme eligibility criteria will also be extended to include those in receipt of the disability allowance for more than six months who have a child under seven years. The scheme is now open to applicants in receipt of the following welfare payments: fuel allowance; jobseeker’s allowance for over six months and having a child under seven; working family payment; one-parent family payment; domiciliary care allowance; carer's allowance where someone lives with the person they are caring for; and disability allowance for over six months and having a child under seven. The eligibility criteria are kept under ongoing review with the Department of Social Protection to ensure they are consistent with and complementary to the other income support schemes offered by that Department.

There are currently just over 7,000 homes awaiting works on the better energy, warmer homes scheme work programme. This includes homes that are awaiting the initial survey of their home; have completed an initial home survey and are awaiting allocation to a contractor; have been allocated to a contractor for works; or are currently undergoing works.

Activity under this scheme, and the associated expenditure, were significantly impacted in both 2020 and 2021 by the Covid pandemic, when construction activity was paused for approximately 12 months. However, activity did ramp up again towards the end of last year and there is confidence around the capacity to deliver 400 homes per month under this scheme this year. Works under the scheme have now recommenced in line with activity in the residential construction sector. SEAI data indicate that for homes completed to date in 2021 , the average time from application to completion was approximately 26 months, taking into account the increase in waiting times due to the impact of Covid. The Department is happy to confirm that the SEAI is now expecting that the current backlog can be cleared within the next 18 months.

A research network on fuel poverty chaired by the Economic and Social Research Institute has been established to examine the data and metrics needed to improve existing measures around fuel poverty in Ireland. The details I have outlined demonstrate the Government's significant commitments to supporting those at risk of energy poverty.

Paul McAuliffe (Dublin North West, Fianna Fail)
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I particularly welcome the Minister of State's confirmation regarding the particular criteria I outlined, when he stated:

For the first time, applications will be accepted from qualifying homeowners who previously received supports under the scheme but who could still benefit from even deeper measures. This means that applicants will now be able to have a second visit under the scheme.

It has now been confirmed in response to a parliamentary question and the Minister of State has come before the House and confirmed it. I ask that we make sure the SEAI is also aware of this change and that this is being communicated to those people who apply.

The scheme is very widely supported and it is hugely beneficial to people on very low incomes. I particularly welcome the extension to those on disability allowance for more than six months because that brings in a further catchment for what is a very important scheme. In many cases, these may be homeowners who purchased their homes from local authorities but who still may be on very limited income. I welcome the two clarifications and ask the Minister of State to go further and ensure that the Minister, Deputy Ryan, has communicated this change effectively to the SEAI and that it is reporting that back to those people who make applications.

On waiting times, a commitment that we would clear the backlog in the next 18 months is welcome. I would like it to go further, as I am sure would the Minister of State. Have we taken fully into account the increased role for the sector under this scheme as well as other measures? The comments by the Minister for Further and Higher Education, Research, Innovation and Science earlier about further education are something we should be taking into account. If there is an option for someone to take up an apprenticeship and specialise in insulation, I would tell the mothers and fathers of Ireland there is plenty of work in the area. I welcome the equality being given to further education and apprenticeships in the CAO scheme.

James Browne (Wexford, Fianna Fail)
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I again thank the Deputy for raising this very important matter. I have listened with real interest to his points.

Until 2018 the scheme predominantly focused on delivering shallow measures such as attic or cavity wall insulation. In many cases where the walls were not cavity walls, only the attic was insulated. With the expansion of the scheme in 2018, internal and external wall insulation was introduced, which meant that solid wall properties could now receive insulation under the scheme. With the scheme expansion, many homeowners who only received attic insulation previously but who, under current scheme rules, qualify for wall insulation began contesting the one home, one visit rule. The Department of the Environment, Climate and Communications committed to reviewing the qualifying criteria for the scheme and the Government recently announced several revisions to that scheme. In this regard, applications may be accepted from qualifying homeowners who previously received supports under the scheme and who could still benefit from deeper upgrade measures. This means homeowners will not be precluded from applying a second time for qualifying works not previously carried out on their properties.

Changes to the eligibility criteria for the scheme to better target those in need have now been made. These include accepting applications from homeowners who have received works under the scheme but who could still benefit from the deeper measures now available, the extension of the eligibility criteria for the scheme to encompass people in receipt of the disability allowance for more than six months and who have a child under seven years, and a scheme targeted at the worst performing properties by prioritising those homes that were built and occupied before January 1993 and have a pre-works BER of E, F or G on the waiting list. Existing applications irrespective of BER will not be effected.

Funding for the SEAI's free energy property retrofit schemes has increased dramatically in recent years, from €15 million in 2015 to a budget 2022 allocation of €118 million. It shows the Government's commitment to that issue. Under the better energy warmer homes scheme, the SEAI will provide 4,800 home energy upgrades to households this year.