Niall Collins (Limerick County, Fianna Fail)
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273. To ask the Minister for Finance if he will address a matter in relation to the temporary business energy support scheme and the application to the charity sector (details supplied); and if he will make a statement on the matter. [49918/22]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 254 and 273 together.

I indicated in my Budget speech that I would be introducing a Temporary Business Energy Support scheme (TBESS) to assist businesses with their energy costs over the winter months.

The scheme is being designed to be compliant with the EU state aid temporary crisis framework and will need to be approved by the EU Commission in advance of making payments.

The TBESS will be open to businesses that carry on a Case I trade, are tax compliant and have experienced a significant increase in their natural gas and electricity costs. I understand that the centre to which Deputy McDonald refers is a registered charity. It is my intention that charities and sporting bodies registered for tax in respect of trading income will be included in the scope of the scheme. The scheme will be administered by the Revenue Commissioners and will operate on a self-assessment basis. Businesses will be required to register for the scheme and to make claims within the required time limits.

It is proposed that the scheme will operate by comparing the average unit price for the relevant bill period in 2022 with the average unit price in the corresponding reference period in 2021. If the increase in average unit price is more than 50% then the threshold has passed and the business is eligible for support under the scheme.A business who has not seen an increase of 50% over the period will not be eligible for the scheme.

Once eligibility criteria are met, the support for businesses will be calculated on the basis of 40% of the amount of the increase in the bill amount. A monthly cap of €10,000 per trade will apply and an overall cap will apply on the total amount a business can claim in accordance with the State Aid Temporary Crisis Framework.

Where a business meets all of the criteria for the scheme, they may apply for support under the scheme subject to the applicable caps.

The operational details of the scheme are being worked through by officials and will be available soon.

The Deputies will also note that in this Budget 2023 speech, the Minister for Public Expenditure and Reform acknowledged that not-for-profit and voluntary organisations in the Arts, Sports, Gaeltacht and the Community and Voluntary sector, are woven into the fabric of community life across Ireland, but they are very vulnerable to the severe impact of increased energy bills. As such, he is making €60 million available in 2022 to ease the pressures in these sectors. The framework for this assistance will be put in place in the next few weeks to ensure that they benefit this year.