Michael McCarthy (Labour)

We are living in uncertain economic times in which people, particularly those on middle and low incomes, have seen their take-home pay reduced. We are about to face the harshest budget ever to be delivered in the history of State. We are aware of what brought us to the brink of economic collapse but people are still struggling. The banks have received much support from the Government but have not returned it to people and small businesses. An increase in electricity prices will put pressure on households, particularly those with young families, and struggling businesses. I have spoken in the House on several occasions on measures to promote the rural economy which are revenue neutral. We must do more to help the rural economy. It is all very well to tell people to switch supplier but there are many who will have to bear the brunt of the increase in ESB prices.

The ESB's latest annual report informs us its chief executive officer has an annual salary of €458,000 per annum. When a bonus, pension contribution and other benefits are added to this, his total package comes to €654,000 per annum. That is insane. No one is worth that kind of money. If action is not taken on salaries like this in semi-State companies, what message will be sent to the thousands who have already lost their jobs or face losing them in the near future, to those households which have seen their incomes reduced and to those on social welfare rates, the lowest possible earners in the State, who are on very tight and strict budgets? In the current environment it is immoral and situations like that should be examined.

In recent weeks, I had occasion to deal with a couple, both of whom were pensioners. The man died and I attempted to transfer, in a case which is still ongoing, the household benefits package, the recipient of which is now deceased, to his next of kin. In so doing the ESB wanted the surviving partner to switch to direct debit. The person concerned does not want to use direct debit and is not into that kind of detail. Direct debit is something the individual has never done, yet the ESB wants the person concerned to switch to direct debit because it would collect the bill every month or two months from the survivor. I rang the ESB and explained the situation. The only alternative the person concerned can have because the person does not have a bank account is to pay a €300 fee which is repayable after 14 months.

With all due respect, for people who are pushing 80 years of age that kind of scenario is not good enough. For the individual to have to pay €300 just because he or she will not use the direct debit, even though the case involves the transfer of an existing scheme for which the Department of Social Protection has responsibility, is difficult. The household benefits package is a very good scheme, in particular for those who are dependent on welfare to eke out an existence in the current economic turmoil. It is not good enough that a company like the ESB, which has already entered into this agreement with the Department of Social Protection, should impose such charges. Since the scheme was opted into the direct debit system is obviously the sole way of collecting the money, but a €300 charge to a pensioner, who is now grieving the loss of a partner, so as to avoid direct debit is not good enough.

I will be making my views known to the Minister of State because I do not believe anybody would stand over this. I accept that the ESB does its business in a particular way and that we all use Internet banking and direct debits, but there are still sections of society that do not use and will not use such services. To expect anyone to pay the kind of money to which I referred, which is repayable after 14 months, needs to be examined. I will communicate my views to the Minister of State in order that such an anomaly can be addressed. It is bad enough that someone would bury someone close to him or her, but to then have financial hardship inflicted on him or her in order to continue a service which has already been provided is not acceptable.

I urge the Minister of State to take my points on board in regard to the salary of the CEO of the ESB. It is immoral and insane. During the Celtic tiger era there was a lot of mist surrounding these issues but now that the mist has cleared there is a real forensic examination of the manner in which CEOs of semi-State companies are being paid. If somebody on €30,000 has his or her salary reduced to €28,000, why should someone then be paid a package worth €650,000? It is absolutely criminal and I urge the Minister of State to take my points on board.