Violet-Anne Wynne (Clare, Independent)
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148. To ask the Minister for Communications, Climate Action and Environment if he is aware that Ireland has the fifth highest gas prices in the EU and the second highest electricity prices in the EU; his views on whether this is acceptable; and if he will make a statement on the matter. [45290/24]

Eamon Ryan (Dublin Bay South, Green Party)
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A recent Eurostat report on electricity prices for household consumers shows Ireland has the second highest household electricity prices in the EU after Germany. There are a number of historic reasons for this. We have a very dispersed population and a low level of interconnection with European markets. However, when adjusted for purchasing power parity, a more accurate reflection of costs as experienced by consumers across Europe, Ireland is far closer to the European average. In this accounting, Ireland has lower prices than several other member states including Czechia, Germany, Poland, Italy, Cyprus, Lithuania, Portugal and Belgium. In the same way, Irish household gas prices are lower than the European average.

Government is committed to assisting households with their electricity bills this winter and has introduced the Electricity Credit Emergency Benefit Scheme IV to this effect. This scheme will distribute €250 across two payments to each domestic electricity customer in Ireland. The impact of this payment will see Irish electricity prices drop effectively from 33c per kWh to 27c kWh. This pushes Ireland close to the EU average of 24c per kWh, and drops us below the EU average when adjusting for purchasing power parity.

In addition, Ireland has extended its reduced VAT rate for energy as part of Budget 25. This is traditionally 13.5% but has been 9% since 2022 in response to the energy price crisis. The average European energy taxation rate is significantly higher with the majority of member states taxing energy at 15-20%

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 your question, 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 held responsible by a Joint Committee of the Oireachtas and not the Minister. CRU has a dedicated email address for Oireachtas members to contact them directly at: oireachtas@cru.ie.