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Energy Prices

Dáil Éireann Debate, Thursday - 12 June 2014

Thursday, 12 June 2014

Questions (19)

Michael Colreavy

Question:

19. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources his Department's role in tackling fuel poverty; and if he will make a statement on the matter. [24785/14]

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Written answers

Government policy on energy affordability is founded on the fundamental principle that everyone should be able to afford to adequately light and heat their home. The Government’s affordable energy strategy “Warmer Homes” identified three key interlinking factors which determine whether a person falls into energy poverty namely energy costs, incomes and thermal efficiency. Our dependence upon imported fossil fuels limits our ability to control energy costs except through the promotion and development of real and active competition in the energy market. Customers now have a choice of energy supplier and can shop around to seek a deal that best suits their needs and circumstances. The Government will continue to ensure that those on low incomes are supported and treated with dignity through the household benefits package and specifically through the fuel allowance.

The most meaningful measure that can be taken is to continue to improve the thermal efficiency of people’s homes and thus insulate them from the effects of rising energy costs. The Better Energy Warmer Homes Scheme delivers a range of energy efficiency measures to low income households who meet defined eligibility criteria and who are vulnerable to energy poverty. The scheme is managed by the SEAI and delivered through a range of Community Based Organisations, augmented by a panel of private contractors in order to ensure national coverage. Recipients of the scheme do not receive grants but have measures installed free of charge. Since the commencement of the scheme in 2000, over 105,000 homes around the country have received energy efficiency measures under the Warmer Homes scheme, with a total spend of over €116 million. The Warmer Homes scheme is expected to upgrade another 12,000 households in energy poverty in 2014.

In addition, late last year I established a taskforce to examine the specific issue of consumer disconnections in the electricity and gas market. I am happy to say that this taskforce has developed a number of new measures that will have a significant impact in this area. The CER has published a consultation paper on debt management and has provided guidance that allows suppliers to make more Pay As You Go Meters available to customers. The Network companies are running a number of pilot programmes which should ensure more customers get the opportunity to avoid a disconnection and energy suppliers for their part, have launched a new code of practice, "The Energy Engage Code", which guarantees that no customer engaging with them will be cut off. The CER will be monitoring and reporting on disconnection statistics on a monthly basis.

On the launch of the Energy Green Paper I stated that I would hold a number of workshops on the paper. One of these workshops will be on empowering energy citizens and energy affordability will be an integral part of this workshop.

Finally, the Government intends to review the affordable energy strategy and I anticipate releasing a consultation paper this autumn to commence the process.

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