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Dáil Éireann debate -
Thursday, 27 May 1982

Vol. 335 No. 2

Ceisteanna—Questions. Oral Answers. - Metered Oil Heating.

6.

asked the Minister for Industry and Energy if he will have discussions with the major Irish oil companies about their withdrawal from the metered system of oil fired central heating.

Four oil companies in this country operate metered systems of oil fired central heating and my Department have been in contact over recent months with the companies concerned. One of these companies advised my Department in November 1981 that for economic and commercial reasons they intended to cease supplying heating oil via metered systems in 1982. The company was asked, and agreed, to take such reasonable steps as were necessary to assist customers during the change. The company has recently notified all customers concerned and has offered advice to customers who may wish to make alternative supply arrangements. In some cases supply contracts will be honoured beyond 1982 up to date of expiry.

I am not aware that any of the other three companies propose to discontinue their supplies through metered systems. Only a very small proportion of central heating oil users continue to get their supplies via metered systems.

Is the Minister aware——

Sorry, Deputy, I was calling Deputy Dukes. We will come to you later.

Can the Minister tell us what are the reasonable steps the companies have agreed to take? Could he also give an opinion as to whether a refusal by a company to leave the central oil tank in situ could be regarded as a reasonable response to the problem?

The company have arranged for authorised distributors to advise customers on both the technical and cost aspects of acquisition of individual tanks. The Department have had various discussions with the one company concerned, not four, to ensure that the least possible inconvenience is caused to customers as a result of their withdrawal. Of course, it is always possible that a new, small distributor could come in and pick up that situation but the number of people who have metered systems is increasing at a fairly extensive rate.

Is the Minister aware that this oil company and indeed others held themselves up as providing this facility of a metered system for oil? Is he aware that if they withdraw from the system it will cost houseowners considerable amounts of money to replace the system? Will the Minister take up with the relevant oil companies the need for them to subsidise these houseowners now in order to provide an alternative system?

I am aware of the costs involved and we have impressed on this oil company that it was necessary for them to give the maximum notice to people so that they could make alternative arrangements. The Deputy knows full well that what he is suggesting is totally unrealistic——

I do not indeed.

——and the Department are satisfied that the company are doing their best in the Irish situation as it arises.

I do not agree with the Minister.

Is the Minister aware that many householders who have been availing of the service provided by this company now find themselves faced with a huge expenditure if they need a continuance of oil heating? These people entered into an agreement and is there no way in which the Minister can endeavour to enforce that agreement between this very large company and these unfortunate householders now caught in the middle?

The Deputy can be assured that every possible pressure that can be exerted on this company in the interests of consumers is being exerted but we cannot go as far as some Deputies might suggest.

Would the Minister not agree that it is unreasonable for a company in this position to give whatever notice they do to the householders concerned and inform them that not only will the service be discontinued but that the central tank and distribution equipment will be removed, thus making it utterly impossible for the Minister's solution to be applied, which is to get another distributor to supply oil? Would the Minister not agree also that it would be entirely appropriate for his Department to put some pressure on the company concerned to leave the installations there so that the possibility of their usage would be left to the relevant householders?

The situation about leaving the installations there has been raised with the company. I do not accept what the Deputy says, that it would be impossible for a new distributor to continue just because an oil tank was taken away, because the people who are——

Where is a distributor to put the oil otherwise?

The position I want to make clear is that the alternative suggested by the Deputy is being impressed on the company by my Department.

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