Dáil Éireann Debate, Tuesday - 3 November 2015
159. Deputy Michael Healy-Rae asked the Tánaiste and Minister for Social Protection her views on a matter (details supplied) regarding electricity cuts in budget 2016; and if she will make a statement on the matter. [38275/15]
View answerThe household benefits package (HHB) comprises the electricity or gas allowance, and the free television licence. The package is generally available to people living in the State, aged 66 years or over who are in receipt of a social welfare type payment or who satisfy a means test. The Department will spend approximately €227 million this year on the household benefits package for approximately 416,000 customers.
The electricity and gas allowance is currently €35 per month. There have been no reductions to the electricity and gas allowance in recent budgets. In 2013, I aligned the electricity and gas allowance with the cheapest available market rate for 1,800 units of electricity. This allows customers to obtain savings by switching to cheaper companies. Customers can now switch companies without the loss of any credit that may have built up, which was not possible under the old system. I have no plans at this time to increase the household benefits package. Any decision to increase the package would have budgetary consequences and would have to be considered in the context of budget negotiations.
As the Deputy will be aware, in Budget 2016, I was able to announce the first increase in the personal rate of the State pension in seven years, by €3 per week. This will increase the maximum personal rate of the non-contributory pension to €222, and that of the contributory pension to €233.30. I was also pleased to announce a €2.50 increase in the rate of the Fuel Allowance, from €20 to €22.50 per week. The purpose of this allowance is to support qualifying people with the cost of heating their home, at the time of the year they most need such support. I believe that, taken together with other changes, such as increasing the Christmas Bonus to 75% of weekly rate, the impact of this Budget will be very positive for older people.
