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Fuel Allowance Payments

Dáil Éireann Debate, Thursday - 17 October 2013

Thursday, 17 October 2013

Questions (16, 27, 40, 132)

Seán Fleming

Question:

16. Deputy Sean Fleming asked the Minister for Social Protection if she is concerned by recent reports from the St. Vincent de Paul charity that it is paying more than €10 million a year to gas and electricity companies to help families pay their energy bills; the plans her Department has to combat fuel poverty in the future; and if she will make a statement on the matter. [43320/13]

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Mary Lou McDonald

Question:

27. Deputy Mary Lou McDonald asked the Minister for Social Protection the impact of budget 2014 on fuel poverty. [43365/13]

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Richard Boyd Barrett

Question:

40. Deputy Richard Boyd Barrett asked the Minister for Social Protection if she will consider raising the winter fuel allowance in view of the fact that it is failing to cover rising energy prices, leaving many homes struggling to pay bills; and if she will make a statement on the matter. [43411/13]

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Brendan Smith

Question:

132. Deputy Brendan Smith asked the Minister for Social Protection the number of weeks per year the fuel allowance is paid; the amount paid; those who qualify for this allowance; if an extension of this scheme by one week for recipients in 2012-13 will be included in the 2013-14 scheme; if she proposes any other changes to the scheme; and if she will make a statement on the matter. [44037/13]

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Written answers

I propose to take Questions Nos. 16, 27, 40 and 132 together.

I am very aware of the issues raised by the Society of St. Vincent de Paul. Energy poverty is a factor of income, energy prices and the thermal efficiency of the home. The most cost-effective means of protecting households from energy poverty is to improve the thermal efficiency of the home. The Better Energy Warmer Homes scheme (BEWH), administered by the Sustainable Energy Authority of Ireland (SEAI), funds energy efficiency improvements in the homes of the elderly and vulnerable, making the homes more comfortable, healthier and more cost effective to run. The Department is working with the Department of Communications, Energy and Natural Resources and other Departments and agencies on the implementation of the Energy Affordability Strategy.

We had many difficult choices to make in the recent Budget. I considered the fuel allowance and the electricity and gas allowances as part of the household benefits package to be vital supports to be protected. These allowances are paid as a contribution to the energy costs of the household. They are not intended to meet these costs in full.

This year we will spend over €182 million on the free electricity/gas allowance for over 410,000 customers. In addition, some 410,000 customers will also receive the fuel allowance of €20 per week for the winter months (26 weeks) from October to April, at a cost of €223 million. Over 200,000 customers receive both the electricity/gas allowance and the fuel allowance from the Department, contributing €940 per household towards their energy costs.

The fuel allowance is paid to long-term jobseekers and one-parent family payment recipients as well as people in receipt of disability allowance, invalidity pension and some people in receipt of the State pension. The allowance is subject to a means test and is paid only to those who live alone or with certain exempted people. Full details on the criteria for the scheme are available on the Department’s website www.welfare.ie.

In April 2013, the Department paid an additional week of fuel allowance. This arrangement was specific to the 2012/2013 fuel season due to the unusually cold weather being experienced at the time.

Under the supplementary welfare allowance scheme, exceptional needs payments may be made to help meet an essential, once-off cost which customers are unable to meet out of their own resources; this may include exceptional heating costs. More than 3,000 customers are currently in receipt of a special heating supplement, paid to assist people with special heating needs because of ill health or infirmity.

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