Written answers

Tuesday, 27 March 2007

Department of Communications, Energy and Natural Resources

Fuel Poverty

11:00 am

Photo of Róisín ShortallRóisín Shortall (Dublin North West, Labour)
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Question 170: To ask the Minister for Communications, Marine and Natural Resources if he will bring forward measures to address the skyrocketing levels of fuel and energy poverty in society here; when he will publish the 2006 Fuel Poverty Action Research Project; his views on a formal mechanism to review utility prices on an ongoing basis in the context of fluctuating prices on global oil and gas markets and the impact of utility prices on low income families and senior citizens; and if he will make a statement on the matter. [11336/07]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
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As reflected in the White Paper on Energy Policy, the National Action Plan for Social Inclusion 2007-2016 sets the overall policy framework for tackling poverty and social inclusion up to 2016 and includes measures targeted at fuel poverty.

The White Paper sets out a range of actions under the National Action Plan for Social Inclusion to systematically tackle fuel poverty through existing Schemes and new measures as required. An Inter Departmental/Inter Agency Group will be established this year to oversee and drive coordinated delivery of all fuel poverty initiatives and programmes under the office of Social Inclusion.

The 2006 Fuel Poverty Action Research Project will be completed by the end of this year. This Project aims to improve energy efficiency in 300 houses in Cork and Donegal and will monitor and report on outcomes in terms of improved cost efficiency, household comfort and health levels. It is intended to extend the initiative to other areas in light of the results of the pilot project.

The Statutory responsibility for the regulation of electricity and gas tariffs lies with the Commission for Energy Regulation (CER), which is an independent body. As Minister, I have no function in setting, regulating or reviewing these tariffs.

However, I am of the view that the best way to reduce energy prices in the medium term is to introduce more competition in the market. The Government is pursuing this objective with the creation of the Single All-Island Electricity Market and the development of further interconnection with Northern Ireland and Great Britain. In addition, the White Paper commits to the creation of a landbank of power generation sites, the transfer of the electricity transmission assets to EirGrid and the operation of the distribution network business under a risk related rate of return. These actions will address the structure of the market and ensure that the benefits of competition result in lower prices for the consumer.

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