Niamh Smyth
Question:160. Deputy Niamh Smyth asked the Minister for the Environment, Climate and Communications if he will review the submission by a person (details supplied); and if he will make a statement on the matter. [18380/22]
View answerTuesday, 5 April 2022
Questions (160)
Written answers
The Government is acutely aware of the effect of rising electricity and gas prices on households and on older people. Government’s immediate response to the unprecedented surge in international gas prices, which is correlated to those rising electricity and gas costs to households, is to utilise the tax and social welfare system in Budget 2022 to counter rising costs of living for households.
As set out in the Programme for Government funding from carbon tax revenue is being used over the period to 2030 to ensure that increases in the carbon tax are progressive by tackling fuel poverty and providing for a Just Transition as well as to fund the retrofit programme, including free upgrades for lower income households.
ESRI research has demonstrated that recycling just one third of the revenue raised from the carbon tax increases through targeted social welfare payments helps the lowest income households and to reduce poverty. The Government will continue to be guided by the latest emerging research on the impacts of rising costs on households.
In recognition of the ongoing pressures on households, a further €505m package of measures to mitigate the wider cost of living increases were announced by Government on the 10th February, including:
1. The Electricity Costs (Domestic Electricity Accounts) Emergency Measures Bill 2022, that now provides for a credit payment to each domestic electricity account amounting to €176.22 (€200 including VAT). Approximately 2.1 million account holders will benefit from the payment in the coming weeks.
2. An additional lump sum payment of €125 to all households in receipt of the Fuel Allowance payment. It is expected that this additional lumpsum will cost an estimated €49 million in 2022. This means that low-income households will see an increase of 41% in Fuel Allowance support provided during this Fuel Allowance season compared to last season.
3. A special enhanced grant rate, equivalent to 80% of the typical cost, for attic and cavity wall insulation for all households, to urgently reduce energy use and cost.
It should also be noted that under the Supplementary Welfare Allowance scheme, a special heating supplement may be paid to assist people in certain circumstances that have special heating needs, and exceptional needs payments (ENP) may also be made to help meet an essential, once-off cost which an applicant is unable to meet out of their own resources.
Government also provides a Living Alone allowance which is a supplement paid to people aged 66 years or over who are in receipt of certain social welfare payments and who are living alone. Budget 2022 provided for a €3 per week increase to the Living Alone Allowance Increase from €19 to €22 per week with effect from January 2022.