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Social Welfare Benefits.

Dáil Éireann Debate, Tuesday - 14 November 2006

Tuesday, 14 November 2006

Questions (341, 342)

Bernard J. Durkan

Question:

412 Mr. Durkan asked the Minister for Social and Family Affairs if he will provide for substantially enhanced free electricity allowance and free fuel schemes with particular reference to increased energy costs; and if he will make a statement on the matter. [37966/06]

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Written answers

Approximately, 340,000 pensioner and other households qualify for the electricity or gas allowances through the household benefits package. In recognition of the recent increases in the price of natural gas and electricity I have recently announced significant increases to the gas and electricity allowances. In order to cover the 33.8% increase in the cost of natural gas, from October 1st, I increased the value of the natural gas allowance to cover increased standing charges and the associated VAT as well as additional kilowatt hours usage. This means that the value of the natural gas allowance to a household has increased from €313.17 to €516 per year. At present, the electricity allowance covers normal standing charges and up to 1,800 units of electricity. The allowance also covers the VAT applicable to these charges. In light of the recent increase in electricity charges the allowance will be increased to cover increased standing charges and the units will also increase from 1,800 to 2,400 with effect from January 2007. I am confident that these increases will be of major benefit to these recipients. In addition to the electricity and gas allowance my Department also pays a fuel allowance for 29 weeks from end-September to mid-April to assist householders on long-term social welfare or Health Service Executive payments with meeting the cost of their additional heating needs during the winter season. In Budget 2006, I provided for an increase in the rate of fuel allowance of €5, from €9 per week to €14 per week and to €17.90 in designated smokeless areas. This matter is being kept under review.

Questions Nos. 413 and 414 answered with Question No. 90.
Question No. 415 answered with QuestionNo. 399.

Caoimhghín Ó Caoláin

Question:

416 Caoimhghín Ó Caoláin asked the Minister for Social and Family Affairs the cost of introducing a cost of disability payment of €40 per week with disabilities regardless of whether a person is in work or not. [38007/06]

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A National Disability Survey, a follow-up to the latest Population Census is currently being conducted by the Central Statistics Office, the results of which will be available next year. This is the first national survey in Ireland specifically designed to capture the prevalence of different types of disability and the extent to which those affected participate in various activities.

The three most recent sources of data on the demographics and economic status of people with disabilities are the Census 2002, the Quarterly National Household Survey (QHNS) special modules on disability undertaken in 2002 and 2004, and the Living in Ireland Survey, which was conducted on a uniform basis each year from 1995 to 2001. A recent report by the National Disability Authority on a Comprehensive Employment Strategy for People with Disabilities, drawing on the data sources for 2004, estimates that of a population of 298,300, 110,800 people with disabilities were in employment 9,200 were unemployed and 178,300 were not economically active. Using this data, the estimated cost of the introduction of a universal payment of €40 per week for people with disabilities, regardless of labour force status is €620m per annum. If this payment was directed only towards those who are unemployed or not economically active, the estimated cost is €390m per annum.

A working group established under the Programme for Prosperity and Fairness (PPF), with cross-departmental membership which includes my Department and chaired by the Department of Health and Children, has examined the feasibility of the introduction of a cost of disability payment. The National Disability Authority, on behalf of the working group and in line with its own remit, commissioned research into the feasibility of the introduction of such a payment. The purpose of this research was to advise regarding the additional costs incurred by people with disabilities, owing specifically to the direct or indirect costs of disability and the appropriate mechanisms or instruments by which to address identified additional costs. The resultant report, Disability and the Cost of Living, was subsequently published by the National Disability Authority.

The group considers it vital that comprehensive data is available on which to base consideration of the introduction of a cost of disability payment, in addition to a structured process of the assessment of need. The working group recommended that steps be taken to improve the quality of data relating to disability in Ireland, for example, adjustment of existing data gathering exercises undertaken by the Central Statistics Office. This will be addressed in the aforementioned disability survey currently being undertaken by the CSO.

The group has also examined the scope for addressing barriers that exist for people with disabilities who wish to undertake or increase their employment and thus move to a position of greater economic independence. In this regard, as part of the Social Welfare Budget package 2006, I introduced a change to the withdrawal rate of Disability Allowance and Blind Pension for income in excess of the current earnings disregard level which means that a single person can earn up to a maximum of €390 per week from rehabilitative employment before their Disability Allowance or Blind Pension is fully withdrawn. The outcome of this change will be monitored to assess its effect on increased employment participation and to identify any further policy changes required.

In terms of ensuring adequate levels of income for people with disabilities, the current ten-year Social Partnership Agreement, Towards 2016, includes the commitment to work for the continued enhancement and integration of supports in line with overall social welfare targets. These will include a rationalisation of existing allowances for people with disabilities in the context of the Government's policy of mainstreaming and the proposed transfer of functions from the Health Services Executive to my Department which includes a number of disability-related schemes, including the Domiciliary Care Allowance, Mobility Allowance and Blind Welfare Allowance. An inter-departmental working group has now been established to progress the implementation of this transfer. Other issues around the cost of disability will be considered following the development of a needs assessment system provided for under Part 2 of the Disability Act, 2005.

My Department's Disability Sectoral Plan similarly contains actions in relation to the rationalisation of existing allowances for people with disabilities. The Plan also includes agreed protocols with the Department of Health and Children and the Department of Enterprise, Trade and Employment on actions required to ensure that income supports and associated benefits do not create financial barriers to people with disabilities participating in the labour force or availing of training, educational or other developmental opportunities. I look forward to the implementation of the sectoral plan over the next three years and to continuing the commitment to expand and deliver services that best support, recognise and encourage people with disabilities as well as those who provide a caring role.

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