Ciarán Lynch (Cork South Central, Labour)
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Question 163: To ask the Minister for Communications, Energy and Natural Resources the steps he is taking to combat the growing numbers of people in fuel poverty; and if he will make a statement on the matter. [37135/08]

Eamon Ryan (Dublin South, Green Party)
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The Government is committed to protecting vulnerable consumers from the impact of rising energy costs through a combination of institutional supports and investment in improving the energy efficiency of the housing stock. I am working with the Minister for Social and Family Affairs to deliver a fully cohesive strategic approach across Government and Agencies. We have established an Inter Departmental/Agency Group led by our two Departments, which include the Departments of Finance, Taoiseach, Environment, Heritage and Local Government and Health and Children, the Commission for Energy Regulation, Sustainable Energy Ireland (SEI), ESB and BGÉ. The Group is exchanging information on the various actions to address the energy efficiency and affordability challenges for vulnerable consumers.

One of the root causes of fuel poverty is the legacy of older housing with poor energy efficiency standards. I have increased the allocation for 2008 to the Low Income Housing Programme administered by SEI to €5 million. The Programme's primary focus is the Warmer Homes Scheme, which provides energy efficiency equipment including insulation and energy efficiency advice at little or no cost to eligible households. The increased allocation will enable SEI to fund insulation upgrades for an additional 2,000 vulnerable homes in 2008 bringing the total to 5,000 homes this year. Budget 2009 provides for a further €5 million for the Warmer Homes Scheme, which will be complemented by additional funds from ESB and BGÉ. This will substantially increase the number of homes that will receive energy efficient measures in 2009.

The Minister for Social and Family Affairs provides a range of supplements and allowances, including the Electricity/Gas Allowance and the National Fuel Allowance, to assist those most in need with their heating costs. The Department of Social and Family Affairs estimates that expenditure on these packages will be in the region of €340 million this year. The Commission for Energy Regulation (CER) also has a role in protecting vulnerable customers in the energy markets. Under the European Communities (Internal Market in Electricity) Regulations 2005 the CER is tasked with ensuring that there are adequate safeguards to protect vulnerable customers, including measures to help customers avoid disconnection. The CER has set out guidelines for the protection of household electricity and natural gas customers, particularly the elderly, customers relying on life support equipment and those with disabilities.

The Housing Aid for Older People Scheme was introduced last November by my colleague the Minister for the Environment, Heritage and Local Government. The Scheme provides targeted support of up to 100% of cost to improve conditions in the houses of older people. The Scheme provides grants for a wide range of structural repair and improvements including rewiring, water, sanitary services, heating, windows, as well as central heating and insulation. The Central Heating Scheme has been allocated some €26 million in 2008 by the Minister for the Environment, Heritage and Local Government. The Scheme provides funding to housing authorities to upgrade their rented homes including attic insulation to Building Regulations standards and draught proofing to windows and doors. It is estimated that an additional 5,000 Local Authority households will benefit from improved conditions and lower energy bills this year as a result of this year's investment.