Christopher O'Sullivan (Cork South-West, Fianna Fail) | Oireachtas source

I thank Senator Byrne. I welcome the fact she has raised this issue because she is quite right to point out it has raised its head throughout the country. People are in homes that are probably not suitable for heat pumps as they have to be at a certain building energy rating, BER, for the heat pump to work and many older homes just do not have this option. I appreciate the point. I do not think we will reverse it completely, as Senator Byrne has asked for, but there are technologies that we could look at exploring, such as hydrotreated vegetable oil, HVO, which requires a simple adaptation of existing boilers. I will give Senator Byrne an update to explain exactly where we stand and why this change has come about.

The Department provides funding to local authorities under the suite of housing adaptation grants for older people and disabled people to assist people in private houses to make their accommodation more suitable for their needs. The suite of grants, which includes the housing adaptation grant for disabled people, the mobility aids grant and the housing aid for older people grant, is funded by the Department with a contribution from the local authority. The housing need for older people grant scheme provides grants of up to €10,700, depending on household income, to assist older people living in poor housing conditions to have essential necessary repairs or improvements carried out.

A European Union regulation of 2024, signed by the Minister for the Environment, Climate Action and Communications in December 2024, transposes into Irish law Article 17(15) of the recast EU directive on the energy performance of buildings. The regulations provide that from 1 January 2025, public bodies shall not provide any financial incentive for the installation of stand-alone boilers powered by fossil fuels other than those already approved under the EU funds. As a result of the recast directive and the transposition regulations, no financial incentive can be provided for the installation of stand-alone boilers powered by fossil fuels. Therefore, under the housing aid for older people grant scheme, grants can no longer be provided for the installation of new stand-alone boilers powered by fossil fuels. Any application for grant funding in respect of the purchase of a new fossil fuel boiler received and approved by a local authority prior to 1 January 2025 can still be paid to the applicant after January 2025.

Importantly, the grant scheme continues to be available for a broad range of measures, including costs relating to the repair of an existing fossil fuel boiler or the purchase and installation of a second-hand fossil fuel boiler by a qualified contractor. Grants under the scheme may also continue to be paid in respect of the repair or replacement of all other parts of a central heating system, such as new radiators, oil tanks or pipework, regardless of connection to an existing fossil fuel boiler.

Grants continue to be paid out in respect of non-fossil fuel heating, such as electric or biomass heating solutions - for example, wall-mounted electric heaters and wood pellet stoves - where these are deemed to be a suitable option in line with the applicant's circumstances.

The detailed administration of the schemes is the responsibility of the local authorities. Therefore, the qualifying works are a matter for consideration and decision on a case-by-case basis by the local authority within the scope of the grant scheme. Grant funding for insulation works and associated heating systems appropriate to the schemes are available from the Sustainable Energy Authority of Ireland.

That outlines the transposition of the legislation and where we stand at the moment. Obviously, there is that option for second-hand boilers as well, which may show the real flexibility, but I will take the points about hydrotreated vegetable oil, HVO, back to the Minister as well as to the Minister of State, Deputy Cummins.