Catherine Murphy (Kildare North, Independent)
Link to this: Individually | In context

Question 83: To ask the Minister for Enterprise, Trade and Employment the research his Department is undertaking or intends to undertake into the effects rising energy prices will have on job securities; the dialogue he has or intends to have with industry on the matter; the point at which intervention to protect jobs would be needed; and if he will make a statement on the matter. [18388/06]

Fergus O'Dowd (Louth, Fine Gael)
Link to this: Individually | In context

Question 102: To ask the Minister for Enterprise, Trade and Employment his assessment of increased energy costs on small and medium enterprises; and if he will make a statement on the matter. [17872/06]

Micheál Martin (Cork South Central, Fianna Fail)
Link to this: Individually | In context

I propose to take Questions Nos. 82 and 102 together.

Escalating energy costs are affecting the cost structure of all sectors of the economy, including households. Global energy markets have seen sustained increases in price levels for the past two years. No consumer, whether industrial, commercial or personal is immune from the impact of higher oil, gas and electricity prices as a result of price changes on international markets. We are all price takers in this regard. However, the Irish economy has proved resilient with growth of 4.7% in GDP in 2005 with continued expansion of many sectors including those that are energy intensive (e.g. Pharmaceuticals, food and drink, construction etc). Despite elevated energy prices over the past couple of years there is no indication that high prices are having a marked impact on economic growth or employment.

Energy costs are predominantly a global issue, as they are driven by oil prices. The development agencies under my Department are monitoring the issue of energy costs and the impact of such costs on the overall competitiveness of companies. I meet and consult with business and industry as part of my job. This takes place both formally and informally. In addition, industry representatives input to current preparations for the next National Development Plan and to the Social Partnership process.

My colleague the Minister for Communications, Marine and Natural Resources who has primary responsibility in this area is preparing a national energy policy paper that will address key policy options for energy management. This will help address energy cost developments faced by enterprise and set out policy on a range of issues affecting energy and oil dependency.

As part of Government policy to improve the energy market the Government in co-operation with the Northern Ireland authorities, is working on changes to both legislation and the regulatory process that will bring about an all island energy market. This will have a positive influence on energy costs to users. In addition, Sustainable Energy Ireland has been vigorously promoting and advising on energy efficiency through a range of programmes over the last number of years and is eager to provide its energy conservation and efficiency services to the SME sector.