Arthur Morgan (Louth, Sinn Fein)
Link to this: Individually | In context

Question 161: To ask the Minister for Social and Family Affairs his views on the need for an increase in the fuel allowance in view of the increases in electricity and gas prices. [31812/06]

Séamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

The schemes administered by my Department which assist pensioners and others with energy costs include the national fuel scheme and the electricity/gas allowance.

The aim of the national fuel scheme is to assist householders on long-term social welfare or Health Service Executive payments with meeting the cost of their additional heating needs during the winter season. The fuel allowance is paid for 29 weeks from end-September to mid-April. Budget 2006 provided for an increase of €5 per week in the rate of fuel allowance, from €9.00 to €14.00 per week and to €17.90 per week in designated smokeless areas.

In order to qualify for the national fuel scheme, a person must be in receipt of a qualifying payment, satisfy a means test and be living alone or only with certain excepted people.

The household benefits package, which comprises the electricity/gas allowance, telephone allowance and television licence schemes, is generally available to people living permanently in the State, aged 66 years or over, who are in receipt of a social welfare type payment or who satisfy a means test. The package is also available to carers and people with disabilities under the age of 66 who are in receipt of certain welfare type payments. Widows and widowers aged from 60 to 65 whose late spouses had been in receipt of the household benefits package retain that entitlement to ensure that households do not suffer a loss of entitlements following the death of a spouse. People aged over 70 years of age can qualify for the household benefits package regardless of their income or household composition.

Last month, I announced improvements in the household benefits package to protect recipients from the increased costs of gas and electricity. As a result of these improvements, the present entitlement of 1,800 free units of electricity per annum will be increased to 2,400 free units per annum from 1 January 2007. There have also been pro rata increases for customers who avail of the gas allowance which came into effect on 1 October. The allowances will continue to include payment of the standing charges.

At present, there are approximately 315,000 people in receipt of the electricity allowance and approximately 26,000 people in receipt of the gas allowance. I am confident that these increases will be of major benefit to these recipients.

Proposals to increase the value of the electricity and gas allowances or to increase further the fuel allowance are kept under review for consideration in a budgetary context.