Jack Wall (Kildare South, Labour)
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Question 150: To ask the Minister for Social Protection his views regarding a submission on winter fuel allowance; the actions he will take to address the issue; and if she will make a statement on the matter. [25421/11]

Joan Burton (Dublin West, Labour)
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The national fuel allowance scheme assists householders on long-term social welfare 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. Fuel allowance is payable for 32 weeks and is currently benefitting over 380,000 people at an estimated annual cost of over €230 million. The payment rate is now €20 per week for all recipients.Help is also available for people with special or additional heating needs through the Heating Supplement and Exceptional Needs Payment Scheme under the Supplementary Welfare Allowance Scheme. In addition, electricity and gas allowances under the household benefits package, are payable throughout the year to over 390,000 pensioners, people with disabilities, and carer households towards their heating, light and cooking costs at an estimated overall scheme cost of €382 m in 2011.

There would be a number of difficulties in paying the fuel allowance as a lump sum for some recipients while others receive it as part of their weekly payment. If the payment were given in advance as a lump sum, there could be significant over-payments if a recipient's circumstances were to change during the payment season and they were to lose the entitlement. The lump sum payment might not be used for the purpose of fuel purchase leading to hardship at a later stage and recourse having to be made to supplementary welfare allowance payments. If it were paid in arrears, it obviously would create further budgeting difficulties.

Many oil companies provide facilities for making payment by monthly instalment over a period of time which allows people to plan and budget for fuel expenses. I am satisfied that this arrangement is sufficient to meet the needs of our customers.

Along with other Departments and agencies, my Department has been working with the Department of Communications, Energy and Natural Resources on an Affordable Energy Strategy which will be published shortly. The most cost-effective means of protecting households from energy poverty in the long term is to reduce their consumption of energy through improving the thermal efficiency of the home. The Sustainable Energy Authority of Ireland (SEAI) has administered an energy efficiency programme for privately owned low income households (Warmer Homes) since 2001. Over 65,000 such households have benefited to date, with a further 15,000 expected to receive energy efficiency upgrades this year. A similar upgrade programme is also in place for local authority houses.