Written answers

Tuesday, 12 July 2022

Department of Communications, Climate Action and Environment

Energy Prices

Photo of Darren O'RourkeDarren O'Rourke (Meath East, Sinn Fein)
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243. To ask the Minister for Communications, Climate Action and Environment if he will provide funding to local authorities to allow them to distribute the €200 electricity credit directly to members of the Travelling community who were excluded from this payment due to them paying their electricity bills directly to their local authority, or in cases in which they share a common electricity meter in a halting site and did not therefore received the €200 credit; and if he will make a statement on the matter. [37755/22]

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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The Electricity Costs (Domestic Electricity Accounts) Emergency Measures Act 2022 established a scheme for the making in 2022, of a once-off Electricity Costs Emergency Benefit Payment to each domestic electricity account, having regard to the exceptional rise in energy prices.

The credit of €176.22 (excluding VAT) has been applied to all domestic electricity accounts through April, May and June, and includes prepay meters. The scheme is operated by the Distribution System Operator (ESB Networks) and electricity suppliers with oversight by the Commission for Regulation of Utilities.

This is an exceptional measure which uses the single eligibility criterion of an electricity meter point registration number (MPRN), to ensure payments to each domestic electricity account as early as possible this year, without any additional means testing. The payment has been applied to domestic electricity accounts i.e. those which are subject to distribution use of system charges at the rate for urban domestic customers (DG1) or the rate for rural domestic customers (DG2), as set out in section 1 of the Act.

This Scheme is in addition to the Government’s long-standing measures to address energy poverty and the protection of vulnerable customers, and is in addition to the measures introduced in the Budget, subsequently and most recently in the National Energy Security Framework. I continue to monitor this unprecedented and evolving situation closely to inform ongoing consideration of further action.

Photo of Colm BurkeColm Burke (Cork North Central, Fine Gael)
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244. To ask the Minister for Communications, Climate Action and Environment if additional support will be provided to people to support them with the cost of rising electricity and gas, particularly those on social protection payments and pensioners; and if he will make a statement on the matter. [37805/22]

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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Government is acutely aware of the impact of high electricity and gas prices, and has introduced a range of measures to mitigate their impact. The most immediate factor affecting electricity prices in Ireland and Europe is high international gas prices where we are a price taker. Gas prices are now unprecedentedly high, which feeds directly through to retail electricity prices as the wholesale price of electricity correlates strongly with the price of gas.

Such measures include the Electricity Costs Emergency Benefit Payment which credited domestic electricity accounts with €176.22 (excl. VAT), in addition to the range of measures introduced on 10 February to address increasing costs of living, including the lump sum payment for people on the Fuel Allowance of €125, which was paid to recipients in March. This fuel allowance year recipients received a total of €1,139, compared to €735 in 2020/21.

This year 58% (€203 million) of the total Government retrofit budget of €352 million will be spent on dedicated energy poverty retrofit supports and Local Authority retrofits. The wider package of energy efficiency supports, available from SEAI, make it easier and more affordable for homeowners to undertake home energy upgrades. These include changes to the Warmer Homes scheme which sees a significant increase in the number of free energy upgrades for those most as risk of energy poverty - from 177 upgrades per month last year to 400 per month.

On 13 April, in the context of the Russian invasion of Ukraine, the Government published the National Energy Security Framework, which details of consumer supports and protections that are already in place and that are being enhanced including:

- an additional €100 Fuel Allowance payment,

- a new targeted €20 million scheme for the installation of Photo Voltaic (PV) panels for households that have a high reliance on electricity for medical reasons

- a reduction in VAT from 13.5% to 9% on gas and electricity bills from the start of May until the end of October.

In addition, under Response 6 of the Framework the Commission for Regulation of Utilities (CRU) will implement a package of measures to enhance protections for financially vulnerable customers and customers in debt by quarter 3 - ahead of the next heating season.

Furthermore, on June 14th Government announced a package of measures to secure electricity and an indicative annual saving of €75 on household bills through a further reduction in the PSO levy.

Government continues to monitor this unprecedented and evolving situation closely to inform ongoing consideration of further action.

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