Gino Kenny (Dublin Mid West, People Before Profit Alliance)
Link to this: Individually | In context | Oireachtas source

38. To ask the Minister for Communications, Climate Action and Environment if his attention has been drawn to the concerns of energy users who will have submitted gas and electricity meter readings for August and September 2022 and who are concerned that they will be subjected to the 30% plus price increase rates for the remainder of the month and if he will make a statement on the matter. [46694/22]

Eamon Ryan (Dublin Bay South, Green Party)
Link to this: Individually | In context | Oireachtas source

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.

Government has already put a €2.4 billion package of policies and measures in place to support people and continues to monitor this unprecedented and evolving situation closely to inform ongoing consideration of further action, particularly in the context of the imminent Budget 2023.

As Minister, I meet with a range of stakeholders across the energy sector, where affordability of electricity and gas is a priority issue.

Responsibility for the regulation of the retail electricity and gas markets was assigned to the Commission for the Regulation of Utilities under the 1999 Electricity Regulation Act and subsequent legislation.

As part of its statutory role, the CRU also has responsibility for consumer protection functions with regard to electricity and gas and as part of its statutory role, the CRU also has consumer protection functions and regularly updates the Electricity and Gas Suppliers' Handbook which sets out obligations on electricity and gas suppliers. The matter outlined by the Deputy is detailed in Section 4 Code of Practice on Billing CRU21111a-Electricity-and-Gas-Suppliers-Handbook-2021.pdf

As part of its consumer protection functions, the CRU has detailed interaction with energy providers on an ongoing basis. On foot of this and Response 6 of the National Energy Security Framework, on 25 August the CRU announced enhanced consumer protection measures to be implemented by electricity and gas providers ahead of the coming winter.

The CRU is accountable directly to the Oireachtas and has a dedicated email address for Oireachtas members: oireachtas@cru.ie.

Violet-Anne Wynne (Clare, Sinn Fein)
Link to this: Individually | In context | Oireachtas source

39. To ask the Minister for Communications, Climate Action and Environment if he will consider a price cap to be implemented whereby Government agrees to subsidise energy costs above a certain cap limit in order to give some stability and certainty to businesses and consumers; and if he will make a statement on the matter. [46723/22]

Eamon Ryan (Dublin Bay South, Green Party)
Link to this: Individually | In context | Oireachtas source

The electricity and gas retail markets in Ireland operate within a European Union regulatory regime wherein electricity and gas markets are commercial, liberalised, and competitive.Operating within this overall EU framework, responsibility for the regulation of the electricity and gas markets, including the matters raised by the Deputy, is solely a matter for the Commission for Regulation of Utilities (CRU), which was assigned responsibility for the regulation of the Irish electricity and gas markets following the enactment of the Electricity Regulation Act (ERA), 1999.

The CRU is an independent statutory regulator and is accountable for the performance of its functions to the Oireachtas, and not to me as Minister.In line with long standing policy on deregulating price setting, CRU ended its regulation of retail prices in the electricity market in 2011, and in the gas market in 2014.

Given that prices are no longer regulated, they are set by all suppliers as entirely commercial and operational matters by them.

Each such company has its own different approach to pricing decisions over time, in accordance with factors such as their overall company strategic direction and developments in their cost base.

Any major interference in the energy market would need to be carefully considered to avoid potentially further disrupting a market that is already facing significant challenges and exposing the Exchequer, and ultimately the taxpayer, to potentially unquantifiable costs. Any action would also have to be considered in the context of the EU as a whole. Following an Emergency Energy Council Meeting on the 9th of September the EU Commission has proposed potential additional measures which include capping the revenues of inframarginal electricity producers. These are very important developments, and I will be working very closely with my EU counterparts over the coming weeks on these proposals.

The Government is acutely aware of the impacts of rising energy costs on consumers and further detailed measures are being prepared in the context of Budget 2023. I am also working with colleagues across Government to understand the impact of energy prices on business and to support Government in developing the necessary responses.