Colm Burke (Cork North Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

147. To ask the Minister for Finance if consideration will be given to increasing the rebate available under the temporary business energy support scheme up to €10,000 per month or 80% of the eligible cost; and if he will make a statement on the matter. [2764/23]

Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

Details of the Temporary Business Energy Support Scheme (TBESS) are set out in Finance Act 2022. The scheme provides support to qualifying businesses in respect of energy costs relating to the period from 1 September 2022 to 28 February 2023.

The TBESS is available to tax compliant businesses carrying on a trade or profession, the profits of which, are chargeable to tax under Case I or Case II of Schedule D where they meet the eligibility criteria. The scheme operates on a self-assessment basis.

Once eligibility criteria are met, the support for businesses will be calculated on the basis of 40 percent of the increase in the bill amount. A monthly cap of €10,000 per trade or profession applies. However, where the trade or profession of a qualifying business operates across more than one location the business will be eligible for an increased cap of €10,000 per MPRN, which is available as regards both electricity and natural gas costs, up to a maximum amount of €30,000 per claim period.

The Government and I recognise that we cannot fully mitigate the increase in energy prices incurred by businesses and the percentage payment and monthly cap reflect this. The cap has been put in place in order to target the support at SMEs which are the backbone of the Irish economy.

In recognition of the fluctuating nature of the energy price market, the legislation does contain a provision allowing me, following consultation with the Minister for Enterprise Trade and Employment, the Minister for the Environment, Climate and Communications, and the Minister for Public Expenditure and Reform, to increase or decrease the €10,000 and €30,000 monthly caps by Ministerial Order, where it is considered necessary to ensure that the scheme is meeting its objectives.

The TBESS is currently due to expire at the end of February and, in that context, in the coming weeks I will examine the operation of the scheme, including the monthly caps.