Séamus Kirk (Louth, Fianna Fail)
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Question 334: To ask the Minister for Communications, Energy and Natural Resources if he will outline the gas charges in the context of comparable unit costs in comparison to other EU member states; and if he will make a statement on the matter. [14002/12]

Pat Rabbitte (Dublin South West, Labour)
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I have no statutory function in the setting of gas prices, whether in the regulated or non-regulated market. Responsibility for the regulation of the gas market is a matter for the Commission for Energy Regulation (CER) which is an independent statutory body.

Ireland's gas market, both wholesale and retail, is characterised by increasing competition, regulated by the CER. Since 1 October last, the residential gas consumer segment is the only segment of the market where prices are regulated. Prices in the unregulated parts of the gas market are wholly commercial, are set by the suppliers and are variable in accordance with supplier offerings.

Every six months EUROSTAT publishes data on gas prices across the European Union. The prices presented include all charges payable, namely network charges, plus energy consumed, minus any rebates or premiums, plus charges such as meter charges and standing charges. These prices represent weighted average prices, using the market share of the gas suppliers surveyed as weighting factors. Therefore, while Eurostat prices do not represent prices charged by any individual supplier they do provide a benchmark to enable gas price comparisons to be made across the EU. EUROSTAT data is analysed by the Sustainable Energy Authority of Ireland (SEAI). The latest analysis of EUROSTAT data published by SEAI - Electricity & Gas Prices in Ireland (1st Semester 2011) - shows that for 77% of business consumers Irish gas prices for the first half of 2011 are competitive by reference to the EU average. Prices for most Irish business consumers during the first half of 2011 ranged from 4% to 15% below the EU average. For the overwhelming majority of Irish residential consumers prices during the same period were 10% below the EU average.

The tables beneath provide a summary of the SEAI analysis of Irish gas prices for both business and residential consumers relative to the EU average during the first half of 2011.

Business (VAT excluded)

Residential Gas (all taxes included)

The SEAI report may be downloaded from the SEAI website at www.seai.ie.

Competition puts downward pressure on prices noting that global fossil fuel prices are a key determinant of Ireland's gas costs. While Ireland is a price taker for imported fossil fuels, Government will continue to focus on any additional actions to mitigate costs where possible for business and domestic consumers. This is essential for competitiveness, employment and for economic recovery. I am committed to working with enterprise and with the energy sector to ensure that the costs of energy for business are as competitive as possible in terms of these measures which are at our disposal.