Written answers

Thursday, 17 July 2014

Department of Communications, Energy and Natural Resources

Energy Prices

Photo of Tommy BroughanTommy Broughan (Dublin North East, Independent)
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21. To ask the Minister for Communications, Energy and Natural Resources the measures being taken by his Department to tackle the problem of fuel poverty. [31512/14]

Photo of Alex WhiteAlex White (Dublin South, Labour)
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The Government's policy on energy affordability is founded on the fundamental principle that everyone should be able to afford to light and heat their home. The Government’s affordable energy strategy “Warmer Homes” identified three key interlinking factors which determine whether a person falls into energy poverty, namely energy costs, incomes and thermal efficiency.

Our high dependence upon imported fossil fuels limits our ability to control energy costs. However, we can promote and facilitate competition in the energy market through appropriate regulation and consumer awareness. Energy customers can choose between multiple energy suppliers and can shop around to seek a deal that best suits their needs and circumstances.

The Government will continue to ensure that those on low incomes are supported and treated with dignity through the household benefits package and specifically through the fuel allowance.

The the most meaningful measure that can be taken is to continue to improve the thermal efficiency of people’s homes and protect them from the effects of rising energy costs. The Better Energy Warmer Homes Scheme delivers a range of energy efficiency measures to low income households that meet defined eligibility criteria and are vulnerable to energy poverty. The scheme is managed by the SEAI (Sustainable Energy Authority of Ireland) and delivered through a range of Community Based Organisations, augmented by a panel of private contractors in order to ensure national coverage. Recipients of the scheme do not receive grants but have energy efficiency measures installed free of charge. Since the commencement of the scheme in 2000, over 105,000 homes around the country have received energy efficiency measures under the Warmer Homes scheme, with a total spend of over €116 million. The Warmer Homes scheme is expected to upgrade another 12,000 households in energy poverty this year.

In addition, late last year a taskforce was established to examine the specific issue of consumer disconnections in the electricity and gas market. The taskforce has developed a number of new measures that will have a significant impact in this area. The CER (Commission for Energy Regulation) has published a consultation paper on debt management and has provided guidance that allows suppliers to make more Pay-As-You-Go meters available to customers. The network companies (ESB Networks and Bord Gais Networks) are running a number of pilot programmes which should ensure more customers get the opportunity to avoid a disconnection and energy suppliers for their part, have launched a new code of practice, "The Energy Engage Code", which guarantees that no customer engaging with them will be cut off. The CER will be monitoring and reporting on disconnection statistics on a monthly basis.

On the launch of the Energy Green Paper in May, the holding of a number of workshops on the paper was signalled. One of these workshops will be on empowering energy citizens, with energy affordability an integral part of this workshop.

Finally, the Government intends to review the affordable energy strategy and I anticipate releasing a consultation paper this autumn to commence the process.

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