Dáil Éireann Debate, Wednesday - 21 April 2021
255. Deputy Mattie McGrath asked the Minister for the Environment, Climate and Communications the percentage of passthrough charges that are payable to the Government in the form of the PSO levy; the amount the Government has received from the PSO levy and passthrough charges from the energy suppliers since the beginning of Covid-19 restrictions; and if he will make a statement on the matter. [19379/21]
View answerResponsibility for the regulation of the electricity market is a matter for the Commission for Regulation of Utilities (CRU) which is the independent regulator. The CRU was assigned responsibility for the regulation of the Irish electricity sector following the enactment of the Electricity Regulation Act, 1999 and subsequent legislation.
The matter of any schemes for the deferral of SME energy and network charges in the Covid context is for the CRU, in the performance of its ongoing functions as an independent regulator, and not the Minister.
The Government does not receive revenue from the PSO levy or from pass through network charges.
The PSO levy has been in place since 2001, and is a charge on all electricity customers without exception. The levy funds support schemes designed to facilitate national electricity policy objectives for renewable electricity. The PSO is a vital policy support for the development of renewable electricity and to enable Ireland reach EU renewable energy targets and national energy and climate targets. The money raised from the levy is paid to qualifying generators, not the Government.
The legal basis for the PSO levy and its method of calculation are set out in regulations made under the Electricity Regulation Act 1999 and the Public Service Obligations Order 2002 (S.I. 217 of 2002). Under this legislation, the Commission for Regulation of Utilities (CRU) is assigned responsibility for the calculation of the levy each year and the calculation of the Levy is strictly a CRU matter.The CRU is accountable for the performance of its functions to a Committee of the Oireachtas. It provides a dedicated email address for Oireachtas members, oireachtas@cru.ie, which enables them raise questions on electricity and gas regulatory matters such that raised in the question, with CRU, for timely direct reply.
