Written answers

Wednesday, 12 October 2022

Department of Communications, Climate Action and Environment

Departmental Data

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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12. To ask the Minister for Communications, Climate Action and Environment the number of prepaid gas meters for domestic household customers in the State; the number with each company. [50501/22]

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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13. To ask the Minister for Communications, Climate Action and Environment the number of prepaid electricity meters for domestic household customers in the State; the breakdown of the number with each company. [50502/22]

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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15. To ask the Minister for Communications, Climate Action and Environment if he raised the issue of extending the moratorium on disconnections to prepaid customers in his meetings with gas and electricity utility companies; and if he will make a statement on the matter. [50504/22]

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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16. To ask the Minister for Communications, Climate Action and Environment if his Department has explored ways to extend the disconnection moratorium to prepaid customers; the options explored; and if he will make a statement on the matter. [50505/22]

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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17. To ask the Minister for Communications, Climate Action and Environment if he has explored the various barriers that exist for consumers to switch from prepay to credit meters; his views on a ban on exit fees or other financial penalties for persons wishing to switch from prepaid meters to credit meters; and if he will make a statement on the matter. [50506/22]

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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18. To ask the Minister for Communications, Climate Action and Environment if those who have agreed to take a prepaid meter as part of a process to pay down arrears on their electricity or gas accounts will be allowed to switch back to a credit meter; and if he will make a statement on the matter. [50507/22]

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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19. To ask the Minister for Communications, Climate Action and Environment if he will support the waiving of the fee to change a gas meter from prepaid to credit; and if he will make a statement on the matter. [50508/22]

Photo of Paul MurphyPaul Murphy (Dublin South West, RISE)
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25. To ask the Minister for Communications, Climate Action and Environment the measures that he has put in place to stop companies from cutting off pay-as-you-go customers; and if he will make a statement on the matter. [50565/22]

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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I propose to take Questions Nos. 12, 13, 15, 16, 17, 18, 19 and 25 together.There are circa 340,000 pay-as-you-go (pre-pay) meters out of a total of 2.2 million electricity meters. An estimated 250,000 of these are where households requested this for various reasons (i.e. rental accommodation; holiday homes; or where a customer prefers to pay in advance for more certainty). There are about 90,000 so called ‘hardship’ pay-as-you-go electricity meters, who have been switched to these to assist customers with managing their energy costs. There are estimated to be 117,000 pay-as-you-go gas meters, out of a total of nearly 690,000 residential gas meters (bill-pay and pay-as-you-go meters).

I understand there is no charge for moving from a hardship prepayment meter to bill-pay, whether it is electricity or gas.  

Government is acutely aware of the impact that the recent increases in global energy prices are having on households. This is why the Government introduced a €2.4 billion package of supports 2022 and a package of one-off measures worth €2.5 billion in the Budget 2023 cost of living package.

The Electricity Costs Emergency Benefit Payment credited €176.22 (excluding VAT) to domestic electricity accounts, including pay as you go accounts, through April, May and June this year. Upon the scheme’s conclusion on 30 June over 2.1 million domestic electricity accounts had received the payment with the value of these payments totalling almost €377 million. This means that 99.36% of eligible domestic electricity accounts had the credit applied.

Included in the Budget 2023 package is a new Electricity Cost Emergency Benefit Scheme through which €550.47 (exclusive of VAT) will be credited to each domestic electricity account, including Pay as You Go accounts, in three payments of €183.49 through the November/December 2022, January/February 2023 and March/April 2023 billing cycles.

This is in addition to an extension of the 9% VAT rate on electricity and gas until February 2023 and lump sum payments to social welfare recipients of schemes such as the Fuel Allowance, the Living Alone Allowance, and the Working Family payment.The Commission for Regulation of Utilities (CRU), was assigned responsibility for the regulation of the Irish electricity and gas markets following the enactment of the Electricity Regulation Act (ERA), 1999. As part of its statutory role, the CRU also has consumer protection functions and sets out the obligations on suppliers in the Electricity and Gas Suppliers Handbooks. Further detail is available at www.cru.ie/wp-content/uploads/2021/09/CRU21111a-Electricity-and-Gas-Suppliers-Handbook-2021.pdf.

Furthermore, as part of Responses 6 and 7 under the National Energy Security Framework, CRU have announced enhanced consumer protection measures for implementation this winter. For pay as you go customers, these strengthened protections include:

- increased emergency credit of no less than €20;

- an obligation on suppliers to advise their prepayment customers in debt, of other payment options available to them, including bill pay;

- debt repayment levels will reduce from 10% from a previous 25% on pay-as-you-go customers top-up payments, whereby, on a €20 top-up only €2 will go towards debt repayment (if it exists), rather than €5 previously; and,

- an obligation on suppliers to place their customers who are on financial hardship meters on the most economic tariff for them.

The obligations set out in the Supplier Handbooks include special provisions for vulnerable customers on billing and disconnection. A vulnerable customer is defined as a household customer who is critically dependent on electrically powered equipment, which includes, but is not limited to, life protecting devices, assistive technologies to support independent living and medical equipment. This category of vulnerable customers cannot be disconnected for non-payment at any time.

Vulnerable customers are also defined as those who are particularly vulnerable to disconnection during the winter months for reasons of advanced age or physical, sensory, intellectual or mental health. The moratorium on disconnections for this group has been extended to 6 months (1 October to 31 March). The moratorium applies to bill pay customers. It is important that people who are in such a situation contact their energy supplier to register with them as a vulnerable customer. Their electricity supplier will then notify ESB Networks. ESBN maintains a Vulnerable Customer Register based on the information provided to them by suppliers.

Given, the challenges that all households will face this winter I met with the CRU and suppliers to discuss the situation on the ground and the practical supports, such as hardship funds, for pay-as-you-go customers. As with all customers it is important that if someone finds it is difficult to maintain their credit that they contact their supplier as soon as possible. Energy suppliers also work with NGOs such as MABS and St. Vincent de Paul. Further meetings are scheduled.

The Deputy may wish to note that CRU provides a dedicated email address for Oireachtas members, which enables them raise questions on energy regulatory matters, to CRU at oireachtas@cru.ie for timely direct reply.

Photo of Mick BarryMick Barry (Cork North Central, Solidarity)
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14. To ask the Minister for Communications, Climate Action and Environment the amounts provided in hardship funds for each of the gas and electricity utility companies. [50503/22]

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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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 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) in 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 or Government.

As part of its statutory role, the CRU also has consumer protection functions and sets out the obligations on suppliers in the Electricity and Gas Suppliers Handbooks. Further detail is available at www.cru.ie/wp-content/uploads/2021/09/CRU21111a-Electricity-and-Gas-Suppliers-Handbook-2021.pdf.

I am aware that electricity and gas suppliers have set up hardship funds which provide exceptional financial support to those in need. I also understand that suppliers are partnering with NGO's in the operation of these arrangements. Therefore, it is very important that consumers who are finding it difficult to meet  their electricity and gas bills contact their supplier as soon as possible and continue to engage with them.

The Deputy may wish to note that CRU provides a dedicated email address for Oireachtas members, which enables them raise questions on energy regulatory matters to CRU at oireachtas@cru.ie for timely direct reply.

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