Ossian Smyth (Dún Laoghaire, Green Party) | Oireachtas source

I thank Senator Boylan. I will take amendments Nos. 6 and 11 together. Amendment No. 6 relates to section 5 of the Bill and the functions of electricity suppliers in relation to the scheme. Amendment No. 11 relates to the Title of the Bill. These amendments seek to insert text or remove arrears limits on prepaid meters. As with the previous electricity credit schemes, prepayment customers will have the payments credited to their account and suppliers will engage with customers regarding arrangements for this. Suppliers will notify customers of how to avail of the credit and when the payment is credited via a text on the vendor receipt. All of the prepaid customers will receive their credit on 1 December. Unlike billing customers who have different billing anniversary dates, all prepaid customers will see a credit on their on their account from 1 December, which will be the first credit.

In August of this year the Commission for Regulation of Utilities, CRU, announced the introduction of specific customer protection measures for the coming winter. This is to strengthen the existing protections currently in place and strengthen consumer protection obligations on suppliers mandated by the CRU, firstly to extend debt repayment periods of 24 months minimum and to reduce debt burden on pay-as-you-go top ups. This means that a maximum of 10% of a single customer vend can be put against a debt. Only 10% of the money that is added to a prepaid meter can be used to pay off debt and the other 90% goes to credit. A third protection measure is an increase of pay-as-you-go emergency credit from €10 to €20. A fourth measure is the better value for customers on financial hardship meters because customers on financial hardship meters will be automatically placed on the most economic tariff. A fifth measure is the promotion of a vulnerable customer register. This has seen an increase in registrations of 30%. The eligibility criteria for being on the vulnerable customer register are really quite broad - if any Members are working with any of their constituents on this.

The CRU has also suspended the €200 gas meter exchange site-works charge. This charge was associated with a customer who wanted to move from a pay-as-you-go meter onto a bill-pay meter and this will ensure that customers do not face a penalty for moving from pay-as-you-go to bill pay.

The Government has stressed on many occasions that nobody should go cold or without necessary electricity and power this winter. The "reduce your use" campaign was started in spring 2022 in response to rising energy prices and the need to reduce energy use in response to the Russian invasion of Ukraine, and to provide a clear whole-of-government message on how reducing energy use can save money and contribute to a national effort. It was also recognised that there are many people for whom reducing energy use is simply not possible and is not advisable. Therefore, the "stay warm and well this winter" message was developed as part of the wider campaign in order to provide energy advice and information on where to go and who to contact for help. As part of the multimedia campaign an information leaflet that details how to access Government supports and advice on how to be more conscious about energy usage was delivered to every home in the country. The nationwide campaign ran right across the fuel season through to March of 2023. Any customer in need of additional support may apply for an additional needs payment provided by the Department of Social Protection, including customers on a pay-as-you-go meter who have a need for financial assistance to facilitate their continued energy supply. Every effort will be made to ensure that these vulnerable individuals in financial distress and who qualify receive an additional needs payment on the same day or as soon as possible where it relates to electricity and heating expenses.

Electricity suppliers also have supports available. Their hardship funds can be accessed by pay-as-you-go customers in the same way as bill-pay customers. Electricity suppliers are working with MABS and with the St. Vincent de Paul on this.

Finally, I must stress that it is not possible to remove arrears limits from accounts completely. The electricity and gas retail markets in Ireland operate within a European Union regulatory regime whereby electricity and gas are commercial and liberalised. The regulation of retail prices ended in the electricity market in 2011 and in the gas market in 2014. Price setting by electricity suppliers, including standing charges, is a commercial and operational matter for the companies concerned. Each such company has its own different approach to pricing decisions over time.

Under its legal mandate the CRU as independent regulator is responsible for implementing energy-specific customer protection measures including in relation to the matter raised by the Senators. For those reasons I cannot accept these amendments.