Deirdre Clune (Cork South Central, Fine Gael)
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Question 577: To ask the Minister for Social and Family Affairs if he will extend the period in which he pays the fuel allowance; and if he will make a statement on the matter. [12055/08]

Martin Cullen (Waterford, Fianna Fail)
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The national fuel allowance scheme assists householders on long-term social welfare or health service executive (HSE) payments with meeting the cost of their heating needs during the winter season. The allowance represents a contribution towards a person's normal heating expenses. It is not intended to meet those costs in full.

Improvements to the fuel allowance in recent years include an easing of the means test, extending the duration of the fuel season and an increase in the rates of payment. Budget 2006 provided for an increase in the rate of fuel allowance of €5.00 from €9.00 to €14.00 (€17.90 in designated smokeless areas) and Budget 2007 increased the rate of fuel allowance by €4 from €14 to €18 (€21.90 in designated smokeless areas). The cumulative effect of these two Budgets has seen a doubling of the fuel allowance in this period. The income threshold for eligibility to fuel allowance was also increased by €49 from €51 to €100 above the state pension (contributory) rate.

In Budget 2008 I have extended the duration of the payment by 1 week to 30 weeks in total. This extra week will be added on at the end of the fuel season in April. This increase in the duration of the fuel season will cost an extra €5.6m per annum bringing the estimated expenditure this year to €167.1m for some 286,200 households that will benefit under the scheme.

Any other changes in relation to fuel allowances would have significant cost implications and would have to be considered in a budgetary context and in the light of the resources available for improvements in social welfare generally.