Written answers

Tuesday, 21 March 2023

Department of Communications, Climate Action and Environment

Energy Prices

Photo of Holly CairnsHolly Cairns (Cork South West, Social Democrats)
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175. To ask the Minister for Communications, Climate Action and Environment if he will provide his response to a recommendation in a report (details supplied) concerning energy poverty calling for 'A Community Energy Advice service would provide a local, tailored service to support people to access the financial advice they need, to install 'quick win' measures, and to apply for appropriate retrofitting grants'. [12781/23]

Photo of Holly CairnsHolly Cairns (Cork South West, Social Democrats)
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177. To ask the Minister for Communications, Climate Action and Environment if he will provide his response to a recommendation in a report (details supplied) concerning energy poverty. [12784/23]

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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I propose to take Questions Nos. 175 and 177 together.

Government is acutely aware of the impact higher energy prices has been having on households, in particular those in or at risk of energy poverty. This is why a total of €1.57 billion has been spent on providing support totalling €800 (inc. VAT) to over 2.1 million domestic electricity accounts over the last year.

People experiencing difficulties with meeting electricity and gas bills should contact their supplier in the first instance. Under the industry led Energy Engage Code a customer will not be disconnected as long as they continue to engage with their supplier. Suppliers offer a range of supports to customers, including hardship funds or emergency credit for pay as you go accounts. Suppliers also work with the Money Advice & Budgeting Service (MABS), Alone and SVP in relation to accessing these funds on an individual’s behalf.

Any customer that is in need of additional support may apply for an Additional Needs Payment provided by the Department of Social Protection, including customers on a Pay As You Go meter who have a need for financial assistance to facilitate their continued energy supply. Every effort is being made to ensure that these vulnerable individuals in financial distress, and who qualify, receive an Additional Needs Payment on the same day or as soon as possible where it relates to electricity and heating expenses.

The Energy Poverty Action Plan (www.gov.ie/en/publication/159cb-energy-poverty-action-plan/) sets out the range of measures that have been implemented across Government this winter, as well as longer-term measures, to ensure that those least able to afford increased energy costs are supported and protected to adequately heat and power their homes.

As part of the implementation of the Plan, my Department is currently establishing a €10 million Energy Costs Support Fund. The Fund will provide a further, targeted, safeguard to people struggling to meet their energy costs that is additional to supplier hardship funds and the Additional Needs Payment.

Communication on how to manage energy and access the supports available is indeed crucial for how we support people at risk of energy poverty in the long term. Research commissioned by my Department is showing very high levels of awareness and support for the the Reduce Your Use/Stay Warm & Well campaign which provides information on energy saving measures and where to go for help with meeting the cost of energy. It is also finding that there is a strong desire among people facing financial challenges to be proactive on saving energy. The Steering Group for the Action Plan will be engaging with key stakeholders as part of its work and I fully expect that ways to further develop the provision of energy advice to communities and people at risk of energy poverty to better enable them to access supports will be central to those discussions.

Photo of Holly CairnsHolly Cairns (Cork South West, Social Democrats)
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176. To ask the Minister for Communications, Climate Action and Environment if he will provide his response to a recommendation in a report (details supplied) concerning energy poverty which highlights 'the remaining gaps in retrofitting support, this includes the ongoing lack of strategic action to address poor energy efficiency in the private rented sector: we welcome announcements of future regulation, but a clear pathway is needed to ensure tenants see the benefits of improvements in housing quality'. [12782/23]

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party)
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I recognise that rental properties can present a specific challenge for energy efficiency improvements. This is an issue found in most countries where the incentives to invest in energy upgrades can be misaligned between landlords and tenants.

The Government’s Housing for All Plan commits to the introduction of a minimum BER for private rental properties, where feasible, from 2025, and to develop a roadmap to implement these standards. Additionally, as part of Ireland’s residential retrofit programme, the Government has approved a new package of supports targeting homes that were built and occupied pre-2011. These supports have been made available to non-corporate landlords and Approved Housing Bodies (AHBs) to undertake home energy upgrades, with lower energy bills and to improve the efficiency of their rental properties including:

- The National Home Energy Upgrade Scheme (One Stop Shop Service) provides grant support of approximately 50% of the typical cost for private landlords with higher supports available for AHBs.

- The Better Energy Homes Scheme provides support to landlords for step-by-step retrofits.

- 80% grants are available to landlords for attic and cavity wall insulation, which are low-cost measures that can be installed quickly and cost effectively.

In addition to these supports, a new tax incentive to encourage small-scale landlords to undertake retrofitting works while the tenant remains in situ was announced last year. This measure provides for a tax deduction of up to €10,000 per property, against Case V rental income, for certain retrofitting expenses incurred by the landlord on rented residential properties, for a maximum of two rental properties. Full details are set out in Section 32 of the Finance Act 2022.

It should also be noted that the Housing for All plan commits to the retrofitting of 36,500 local authority homes by 2030 as part of the achievement of the Climate Action Plan retrofit targets.

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